The board of directors of Wanjia Group Holdings Limited provided that the group is expected to record a significant loss attributable to the owners of the company of
approximately HKD 750 million to HKD 800 million for the year ended March 31, 2015. It was mainly attributable to the impairment loss on the goodwill arising from the effect of new Good Supply Practice (GSP) and the decrease in the revenue as a result of the promulgation and implementation of the GSP in Fujian, the People's Republic of China in April 2014.