Chinese Strategic Holdings Limited announced that, as compared to a net loss of HKD 28.7 million for the three months ended March 31, 2013, the Group is expected to record a substantial profit for the three months ended March 31, 2014 which was mainly attributable to gain arising from fair value changes of convertible instruments designated at financial assets at fair value through profit or loss of approximately HKD 95 million; gain on derecognition of an associate of approximately HKD 36 million; and the absence of an impairment loss on interest in an associate of approximately HKD 16 million as recorded for the three months ended March 31, 2013.