The board of directors of China Electric Power Technology Holdings Limited that based on the preliminary assessment by the Board of the consolidated management accounts of the group for the year ended 31 March 2012, the group expects to record a loss during such period. Such loss was mainly attributable to: (i) a loss arising out of disposal of certain subsidiaries and (ii) the loss from continuing operation and disposed operation as compared to a profit for the audited financial results of the year ended 31 March 2011.