Writer:NANING CHEMICAL GROUP CO.,LTD. Click:9806 Addtime:2006-8-16 6:33:33
Guest list : Nanning Chemical Co. Ltd. Mr. Chen, chairman of containing China Directors and CEO, Mr. Liu Jianguo Directors and secretary of the Board, Mr. Gao Zhi - Min Ruan Xiu-ying, deputy chief financial officer Jharkhand Securities Limited Liability Company Mr. De-Hua Huang vice president of investment Bogie Mr. Li Xu Wei, deputy general manager of Turning vote Mr. Wang Wei investment analysts running gear Discussion
Q: What is the basis for the price?
Chen: China's stock markets are the process, we have always adhered to two basic principles, namely, to ensure the interests of shareholders in the stock markets, shares in circulation without loss of the value of the company to ensure that the principles and the principle of undiminished. In accordance with these two principles, to sponsor independent, professional estimates, and taking into account the uncertainty of the market, with the full circulation stockholder communication, the program is finally decided to send four to 10, shows that the circulating shares of respect, protect the interests of the investors.
Q: option in the end is how the company calculated? Casevac can further improve the ratio?
Gao Zhi : total market value of ash used the same method to calculate the price of the program, we have calculated the results of the circulating shares for every 10 shares sent the stock 3.4, with the company in non-circulating shares, the full board of directors decided to raise, after an exchange of the circulating shares to pay the price level, to send every 10 shares 4 Unit The price of shares in circulation levels have fully considered the interests of shareholders, shareholders of the shares in circulation, reflected a pragmatic attitude. If a lower Casevac program through communication, and then a slight increase on the price level to get through the program, will be a serious price to pay for the act turned into a bargaining process, which is ash, as a professional does not want to see the phenomenon. We hope to investors stated that the South is favorable to the price level in the hope that the support of investors.
Q: Why do not the cash price?
China : Chen set the company's situation is different, the program has to pay the price difference. Southern shares of the stock of the fundamental principle is to ensure that the flow of stockholder interest is not lost, taking into account the company's future development, so we sent four pairs of the 10 option fully into account the above two points, it has not been considered in the program are sent way.
Q: What is so special about this program to the South?
De-Hua Huang : South of the stock markets, features : a package, and promised not to replace Casevac rights; Second, all the details are fully formulated to consider the interests of the shareholders of negotiable stocks, such as the average price of transactions on the 20th choice; Third, the option attractive, higher than the market average.
Q: The stock markets to small - and medium-sized retail What good would it do?
China : Chen set the program is to ensure a fair standard of circulating shares and non-circulating shares in the equity division reform after detract from the value of the shares, for the south after full appraisal of the shares and circulating shares after active communication program to ensure that the interests of all parties concerned. Program is not only subject to the general meeting of shareholders to participate in the final vote by more than two-thirds of the voting rights held by the shareholders, subject to the voting shares in circulation more than two-thirds of the voting rights held by shareholders.
Q: how to balance the flow of the stock is non-negotiable shareholders with the interests of shareholders? How shareholders can be achieved with non-circulating shares shares in circulation win?
De-Hua Huang : During the course of the stock, the company always circulating shares in the first place, taking into account the balance of circulating shares and non-tradable shareholders. In the formulation of the price, we have to actively communicate with the shareholders of negotiable stocks in the future to ensure that the foundation for sustainable development, to the greatest extent possible on the price of shares in circulation to shareholders. And the stock after the completion of circulating shares and the interests of non-tradable shares to shareholders in line, the company will have a total market value of the upgrade, all shareholders will realize a win-win situation.
Q: Southern Share major shareholder of this stock will be how much benefit? And circulating shares in the company's contribution deduction has invested how much revenue?
Liu Jianguo : current stock, shareholders will receive the original holders of non-tradable shares in circulation, based on the interests of its shareholders consistent with the original shares in circulation. Another major shareholder equity and commitment on behalf of the freeze on prices of non-tradable shares to shareholders, and faithfully carry out limited sales period, there is a major shareholder in this stock is difficult to quantify the benefits are calculated. For circulating shares in the company's contribution deduction has gone into how much revenue there is the issue, since the cost of shareholders holding different history, the need for a specific analysis of the calculation can not be summed up its earnings.
Q: The stock markets, companies may have to raise? Interim dividend will be changed?
China : Chen set the program after repeated communication and calculation, and give full consideration to the interests of the shareholders of negotiable stocks, hoping for your support. Companies interim dividend remains unchanged.
Q: If this package is passed, there is no breakdown on the voting mechanism? The company will use the opportunity to launch a major refinancing plan?
Chen set out on the G-Unit : the general meeting of shareholders to vote on the relevant legislation, regulatory bodies are developing, remains unclear. In addition, the company will own the development and the financial situation, guarantee the interests of all the shareholders to maximize principle, the need for a timely manner in accordance with the industrial development of the capital.
Q: I as a shareholder of the holding company's stock. Carefully reading the company's stock, have the following observations : 1, the price to pay for a reasonable, workable. 2, top prospects for their own company, whether or not there was a question of confidence, the market is now PVC Indonesia well, as leaders and decision-makers, you may also nearly two years ago, the company made a full estimate, so some of you think you dare not to make unnecessary commitments. 3, I think there are two very important commitments, but also allows shareholders to find senior or full confidence in the company's future development. First, the non-negotiable commitment to shift the date listed at least 24 months. Second, if the company's stock price to a low of commitments automatically stop reduction. 4, no program is a product of compromise between the two sides, I understand that the success of the program is a win-win situation, I feel that the opinions expressed by individuals or companies should be able to withstand and bear. Because the bulletin said, listing the amount to a total dividend has exceeded its fund-raising. It can be deduced that the cost of non-circulating shares have zero, if listed, the pressure on his heart! Gao Zhi : First, the nature of each company, operating, financial situation, the extent of asset quality vary, the figure can not be simple, we believe that more should attach importance to the substance rather than the form. Secondly, if the simple comparison between programs, the South also has some advantages of the program, 10 sent four of the first two price is not only higher than the approved 46 of the 10 pilot enterprises to send the average level of 3.38, higher than 10 to send the first batch of 40 enterprises 3.08 level. We uphold respect for the program flow majority stockholder interests in the first place, but also emphasize the company's long-term healthy development, a fair, open and impartial manner, we believe that the program is a competitive advantage, but the South Share good prospects for the future. In recent years, the performance will be expected to maintain steady and rapid development momentum.
Q: Chairman, you as a representative of non-tradable shareholders, the shareholders have no compensation do you think the bottom line for circulation?
China : Chen set the program is now fully into account the non-circulating shares and circulating shares after the interests of the non-circulating shares Casevac ratio is the result of an overall balance the interests of both sides. Companies are state-controlled companies, the controlling shareholder of the company holding the lowest percentage of the final decision by the SAC.
Q: With regard to price, how scientific and different types of shareholders, who can say different reasons, the South, Transmission and Distribution System can be combined, the historical cost, maximum and minimum prices that were reasonable?
De-Hua Huang : This at least is the premise of equity programs designed to protect non-circulating shares and circulating shares in the equity division reform of the total value of shares held after the reduction in the overall value of the equity division to protect the value after the reform, the value-added. This program is carefully considering the status quo in the interest of shareholders and the parties identified on the basis of, and strive to provide a stable income flow stockholder guarantee circulating shares because of the current reform of the equity division and interests, and the program seeks to reduce the risk of circulating shares in the market. So South shareholding reform program in terms of circulating shares is reasonable. On the current market price and basically formed a reasonable expectation of the program is higher than market expectation and the South, it is reasonable to the shareholders of the shares in circulation.
Q: Solving the equity division is a prerequisite for fair treatment of shareholders and the circulation of non-tradable shareholders to realize a win-win situation. What is the criteria for the program so fair? South of the shares is how to ensure this?
Lixuwei : Program is to ensure a fair standard of circulating shares and non-circulating shares in the equity division reform after detract from the value of the shares, for the south after full appraisal of the shares and circulating shares after active communication program to ensure that the interests of all parties concerned. The final program in the general meeting of shareholders to vote not only requires more than two-thirds of the voting rights held by the shareholders, by the need to participate in the circulating shares held by more than two-thirds of the voting rights. Production and operation of enterprises
Q: Southern Share is the production of chlor-alkali products, and is the main battlefield in Yunnan, Guangdong and Guangxi. Next year, Guizhou, Yunnan, the large chlor-alkali plant started operation, it will have an impact on returns?
South China : Chen set the regional market to a certain extent, the three provinces in the chlor-alkali enterprises have certain regional areas, and there are also a coincidence of coincidence. Most do not coincide, the coincidence is a small part of it. On the market in terms of market continued to expand the capacity of these enterprises to expand production will not have any impact on our effectiveness.
Q: growth performance in the second half of the company? A new profit growth point?
Liu Jianguo : chemical weakening of the market from a position of strength, the prices of the company's products have a certain pressure that the company is fully focus on the internal management, and strive to lower the cost of doing business, if not the second half of a large market decline, the company's operating performance in the second half than the first half of the growth. Company fourth quarter will be 60,000 tons of PVC, 60,000 tons of caustic soda, the new devices put into operation, the company will become a new growth point in the second half of the performance.
Q: How trend in the second half of caustic soda and PVC prices? Does your company have a price and cost advantage?
Liu Jianguo : domestic caustic soda production capacity oversupply is an indisputable fact. The chlor-alkali industry is still expanding but the momentum has not weakened, and caustic soda prices to continue Dizou is inevitable. As the price of crude oil has been at a high level, and oil prices are rising, the cost of a drop in prices of PVC resistance, and thus are affected by downstream demand for PVC prices will be greatly influenced by change. My company has a comparative advantage in the region, has a relative monopoly position in the market in the same sectors which have considerable cost advantages. Therefore, the main product cost remains competitive.
Q: chlor-alkali technological transformation company, PVC
Q: Does your company have a plan or vision to develop the international market?
Liu Jianguo, the company not only to the domestic market : the development, and also attaches great importance to the development of foreign markets. Strong Chlorine company, trichlorfon and other products annually exports more than 10 million dollars worth of imports annually 350,000 tons of industrial salt. The company will continue to intensify efforts to develop domestic and overseas markets, expand the space for the survival and development of enterprises.
Q: Share Split, you consider how the company's future development?
Gao Zhi : based business to fully rely on the South China region, as well as aluminum and paper manufacturing plastics processing industry by quickly become strong and make the company's main business, the company further strengthen regional monopoly position with a good performance to return to the shareholders.
Q: greater fluctuations in the prices of the company's products, enterprises?
Liu Jianguo : the price is determined by the market price volatility is a normal phenomenon. South of the market will be very concerned, timely and accurate market information collection, a careful analysis of market information, and then promptly adjusted according to changes in the market the company's operating strategy for the maximum profit. Others
Q: good performance of the company stock price will be or how such a tragedy? Why not take measures to protect the company stock price? This sent the stock 10 4 can, it would be preferable to increase cash compensation to cover the losses loyal to the company's shareholders in circulation?
Gao Zhi : resolving the equity division, the formation of the common values of all shareholders. This will prompt more concerned about the price of non-circulating shares, raising concern about corporate profits and the financial indicators improved, driven by the interests of shareholders to have more operators to monitor the conduct of operators who create a good external constraint mechanism. Meanwhile, the circular recently issued by the State Council, the SASAC will be made to conduct research on the performance of the listed company's state-owned controlling shareholder, should consider setting up its holding indicator of the market value of listed companies. Therefore, to enhance the operation and management of the company to improve profitability, good return to shareholders, shareholders of the company and enhance confidence, which can raise prices. Every company is different, the price paid for the programs vary, but the basic principle is to ensure that the flow of stockholder interest is not lost, taking into account the company's future development, so we have to send the 10 four pairs option fully into account the above two points, it has not been considered in the program are sent manner.
Q: If the equity division reform package is passed on the likely impact on prices? What do you predict the stock price is up or down south?
De-Hua Huang : fluctuations in the stock price is affected by many factors, we have experienced difficult to evaluate the price, but I believe that two points : First, South of the future will continue the sustained and steady growth of the good performance you return investors; Second, South Casevac program above average, and when the market after the company's first priority purely natural level will be reduced to 8.6 times, a lower level of profitability.
Lixuwei : this reform, the company made a public commitment to non-circulating shares, whether from the legal or technical, to major shareholders are binding. If it is not strictly implemented, shareholders will bear the corresponding legal responsibility assure you!
Q: Share Reform company, the company will take measures to stabilize prices at a certain location? Apart from the major shareholder, the other shareholders of the program non-negotiable view?
Liu Jianguo : the company shares in circulation adequately consider the interests of shareholders, the company confidence for the future development, will be to ensure a good performance in the company's share price stability, all of the non-circulating shares of the meeting unanimously agreed to participate in the stock markets, the equity division reform.
Q: Let's talk about your feeling on the South of the company's shares?
De-Hua Huang : the feeling that it is the following : First, is south of the chlor-alkali industry, the competition with regional characteristics, and Guangdong and Guangxi in southern China Southern Share is the dominant regional market, and chlor-alkali products sold and the South China region brisk market demand, the company is located in Guangxi, lower manufacturing costs, South of the same industry can therefore be higher than the average level of gross margins and profitability. Secondly, the companies have engaged in the chlor-alkali industry to gain the experience and training a large number of excellent production and technical personnel. South is a modest scale, good texture chemical enterprises.