The board of directors informed the shareholders of Zall Development Group Ltd. and potential investors that based on the preliminary assessment of the group's unaudited management accounts for the year ended 31 December 2013 and the information currently available to the Board, it is expected that there would be a substantial decline in the core net profit of the Group for the year ended 31 December 2013 as compared to that of 2012. Based on information currently available to the Board, the Board considers that such decline is primarily attributable to the decrease in the gross profit margin of the properties sold and delivered during 2013. Despite the expected decline in the core net profit of the Group for the year ended 31 December 2013, the Board considers the Group maintains an overall strong operations and financial position.