UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q/A
(Amendment No. 1)
(Mark One)
x | Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
For the quarterly period ended June 30, 2012
or
o | Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
For the transition period from ________ to ________
Commission File Number 001-34444
Yongye International, Inc.
(Exact name of registrant as specified in its charter)
Nevada | 20-8051010 |
(State or other jurisdiction of | (I.R.S. Employer |
incorporation or organization) | Identification No.) |
6th Floor, Suite 608, Xue Yuan International Tower,
No. 1 Zhichun Road, Haidian District Beijing, PRC
(Address of principal executive offices)
(Former name, former address and former fiscal year, if changed since last report)
+86 10 8232 8866
(Registrant’s telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Date File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes x No o
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer o | Accelerated filer x |
Non-accelerated filer o (Do not check if a smaller reporting company) | Smaller reporting company o |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x
As of August 6, 2012, there were 50,537,044 shares of common stock, par value $.001 per share, issued and outstanding.
The sole purpose of this Amendment No. 1 to Yongye International Inc.’s Quarterly Report on Form 10-Q (the “Form 10-Q”) for the quarterly period ended June 30, 2012, as filed with the Securities and Exchange Commission on August 9, 2012, is to furnish Exhibit 101 to the Form 10-Q in accordance with Rule 405 of Regulation S-T. Exhibit 101 provides the financial statements and related notes from the Form 10-Q formatted in XBRL (eXtensible Business Reporting Language).
No other changes have been made to the Form 10-Q. This Amendment No. 1 to the Form 10-Q does not reflect events that may have occurred subsequent to the original filing date, and does not modify or update in any way the disclosures made in the original Form 10-Q.
ITEM 1. | EXHIBITS |
Exhibit No. | Description | |
31.1 | Certification of the Chief Executive Officer (Principal Executive Officer) pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.* | |
31.2 | Certification of the Chief Financial Officer (Principal Financial and Accounting Officer) pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.* | |
32.1 | Certification Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.* | |
101.INS | XBRL Instance Document** | |
101.SCH | XBRL Taxonomy Extension Schema Document** | |
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document** | |
101.DEF | XBRL Taxonomy Extension Definition Linkbase Document** | |
101.LAB | XBRL Taxonomy Extension Label Linkbase Document** | |
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document** |
* | Filed as an exhibit to the original Form 10-Q for the quarterly period ended June 30, 2012, filed August 9, 2012. |
** | Pursuant to Rule 406T of Regulation S-T, the interactive files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections. |
SIGNATURES
In accordance with the requirements of the Securities Exchange Act of 1934, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
August 13, 2012 | Yongye International, Inc. | |
By: | /s/ Zishen Wu | |
Name: Zishen Wu Title: Chief Executive Officer and President (Principal Executive Officer) | ||
By: | /s/ Sam Yu | |
Name: Sam Yu | ||
Title: Chief Financial Officer (Principal Financial and Accounting Officer) |
CONCENTRATIONS AND CREDIT RISKS (Tables)
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6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2012
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Risks and Uncertainties [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block] | All these major customers are distributors in the PRC agriculture industry.
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OTHER ASSETS (Details Textual) (USD $)
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6 Months Ended | |
---|---|---|
Jun. 30, 2012
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Dec. 31, 2011
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Deferred tax liabilities (in dollars) | $ 6,831,827 | $ 4,857,800 |
Property, Plant and Equipment, Useful Life, Average | 5 years | |
Vehicles [Member]
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Deferred tax liabilities (in dollars) | $ 6,831,827 | $ 4,857,800 |
PROPERTY, PLANT AND EQUIPMENT (Details Textual) (USD $)
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3 Months Ended | 6 Months Ended | ||||||
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Jun. 30, 2012
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Jun. 30, 2011
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Jun. 30, 2012
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Jun. 30, 2011
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Jun. 30, 2012
Vehicles [Member]
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Dec. 31, 2011
Vehicles [Member]
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Jun. 30, 2012
Building [Member]
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Dec. 31, 2011
Building [Member]
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Depreciation, Depletion and Amortization (in dollars) | $ 440,318 | $ 453,803 | $ 909,504 | $ 833,473 | ||||
Number Of Vehicles Fledged | 7 | 16 | ||||||
Plant Property and Equipment Held As Collateral At Carrying Value (in dollars) | $ 468,426 | $ 794,984 | $ 6,100,000 | $ 6,100,000 |
EARNINGS PER SHARE (Details 1) (USD $)
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3 Months Ended | 6 Months Ended | ||
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Jun. 30, 2012
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Jun. 30, 2011
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Jun. 30, 2012
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Jun. 30, 2011
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Numerator: | ||||
Net income allocated to common stockholders as reported in basic EPS | $ 36,840,986 | $ 38,244,297 | $ 50,481,242 | $ 46,466,739 |
Change in fair value of derivative liabilities | (9,889) | (83,435) | (69,287) | (413,587) |
Net Income (Loss) Available to Common Stockholders, Diluted | $ 36,831,097 | $ 38,160,862 | $ 50,411,955 | $ 46,053,152 |
Denominator: | ||||
Weighted average shares of common stock as reported in basic EPS (in shares) | 49,370,711 | 49,276,070 | 49,370,711 | 48,734,565 |
Incremental Common Shares Attributable to Call Options and Warrants (in shares) | 74,465 | 102,326 | 82,861 | 110,716 |
Diluted (in shares) | 49,445,176 | 49,378,396 | 49,453,572 | 48,845,281 |
Diluted earnings per common stock (in dollars per share) | $ 0.74 | $ 0.77 | $ 1.02 | $ 0.94 |
SHORT-TERM BANK LOANS (Details Textual)
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1 Months Ended | 1 Months Ended | ||||||||
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Dec. 31, 2011
USD ($)
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Jun. 30, 2012
USD ($)
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Dec. 31, 2011
Short Term Loan 1 [Member]
USD ($)
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Dec. 31, 2011
Short Term Loan 1 [Member]
CNY
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Dec. 31, 2011
Short Term Loan 2 [Member]
USD ($)
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Dec. 31, 2011
Short Term Loan 2 [Member]
CNY
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Jun. 30, 2012
Short Term Loan 3 [Member]
USD ($)
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Jun. 30, 2012
Short Term Loan 3 [Member]
CNY
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Apr. 30, 2012
Short Term Loan 3 [Member]
USD ($)
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Apr. 30, 2012
Short Term Loan 3 [Member]
CNY
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Short-term bank loans (in dollars) | $ 28,308,563 | $ 25,339,309 | $ 9,436,188 | 60,000,000 | $ 18,872,375 | 120,000,000 | $ 9,502,241 | 60,000,000 | $ 15,837,068 | 100,000,000 |
Short-term Debt, Lender | China Citic Bank | China Citic Bank | China Citic Bank | China Everbright Bank | China Everbright Bank | |||||
Short-term Debt, Percentage Bearing Fixed Interest Rate | 7.93% | 7.93% | 7.93% | 7.93% | 8.203% | 8.203% | 8.528% | 8.528% | ||
Short Term Debt Maturity Date | Jun. 20, 2013 | Jun. 20, 2013 | Apr. 28, 2013 | Apr. 28, 2013 | ||||||
Short-term Debt, Repayment Date | May 31, 2012 | May 31, 2012 | Jun. 30, 2012 | Jun. 30, 2012 |
DEPOSITS TO SUPPLIERS (Details Textual) (USD $)
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Jun. 30, 2012
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Dec. 31, 2011
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Deposit Made To Suppliers | $ 24,696,228 | $ 2,616,231 |
Raw Materials Received Value on August 01, 2012 | $ 12,000,000 |
PROPERTY, PLANT AND EQUIPMENT (Tables)
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6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2012
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Property, Plant and Equipment [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property, Plant and Equipment [Table Text Block] | Property, plant and equipment at June30,2012and December31,2011consisted of the following:
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CONCENTRATIONS AND CREDIT RISKS (Details) (USD $)
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3 Months Ended | 6 Months Ended | ||
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Jun. 30, 2012
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Jun. 30, 2011
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Jun. 30, 2012
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Jun. 30, 2011
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Entity Wide Revenue, Major Customer, Amount (in dollars) | $ 81,605,811 | $ 51,775,780 | $ 114,681,108 | $ 69,258,378 |
Entity Wide Revenue, Major Customer, Percentage | 46.00% | 33.00% | 47.00% | 34.00% |
Customer A [Member] | Shandong [Member]
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Entity Wide Revenue, Major Customer, Amount (in dollars) | 19,870,690 | 11,140,841 | 23,839,329 | 15,482,182 |
Entity Wide Revenue, Major Customer, Percentage | 11.00% | 7.00% | 10.00% | 8.00% |
Customer B [Member] | Guangdong [Member]
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Entity Wide Revenue, Major Customer, Amount (in dollars) | 17,608,619 | 10,665,071 | 20,814,750 | 13,550,836 |
Entity Wide Revenue, Major Customer, Percentage | 10.00% | 7.00% | 8.00% | 7.00% |
Customer C [Member] | Henan [Member]
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Entity Wide Revenue, Major Customer, Amount (in dollars) | 16,380,450 | 9,061,962 | 20,888,735 | |
Entity Wide Revenue, Major Customer, Percentage | 9.00% | 6.00% | 9.00% | |
Customer D [Member] | Liaoning Heilongjiang Jilin [Member]
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Entity Wide Revenue, Major Customer, Amount (in dollars) | 15,124,464 | 11,714,097 | 19,021,343 | 15,111,830 |
Entity Wide Revenue, Major Customer, Percentage | 9.00% | 7.00% | 8.00% | 7.00% |
Customer E [Member] | Inner Mongolia [Member]
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Entity Wide Revenue, Major Customer, Amount (in dollars) | 12,621,588 | 30,116,951 | ||
Entity Wide Revenue, Major Customer, Percentage | 7.00% | 12.00% | ||
Customer F [Member] | Jiangsu [Member]
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Entity Wide Revenue, Major Customer, Amount (in dollars) | 9,193,809 | 12,016,174 | ||
Entity Wide Revenue, Major Customer, Percentage | 6.00% | 6.00% | ||
Customer G [Member] | Shaanxi [Member]
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Entity Wide Revenue, Major Customer, Amount (in dollars) | $ 13,097,356 | |||
Entity Wide Revenue, Major Customer, Percentage | 6.00% |
FAIR VALUE MEASUREMENTS
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6 Months Ended |
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Jun. 30, 2012
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Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | NOTE 18 - FAIR VALUE MEASUREMENTS
The fair values of the financial instruments as of June 30, 2012 and December 31, 2011 represent the estimated amounts that would be received to sell those assets or that would be paid to transfer those liabilities in an orderly transaction between market participants at that date. The fair value measurements maximize the use of observable inputs. However, in situations where there is little, if any, market activity for the asset or liability at the measurement date, the fair value measurement reflects the Company’s own judgments about the assumptions that market participants would use in pricing the asset or liability. Those judgments are developed by the Company based on the best information available in the circumstances, including expected cash flows and appropriately risk-adjusted discount rates, available observable and unobservable inputs.
The following methods and assumptions were used to estimate the fair value of each class of financial instruments:
Cash, restricted cash, accounts receivable, other receivables, short-term bank loans, long-term loans and payables - current portion, accounts payable, accrued expenses and other payables: The carrying amounts approximate fair value because of the short maturity of these instruments.
Derivative liabilities: The method and assumptions used to estimate the fair value of derivative liabilities are set out in Note 15.
Long-term loans and payables: The fair value of the Company’s long-term loans and payables is estimated by discounting future cash flows using current market interest rates offered to the Company and its subsidiaries for debts with substantially the same characteristics and maturities, and which approximated to its carrying amount as of June 30, 2012 and December 31, 2011. |
ACCOUNTS RECEIVABLE (Details 1) (USD $)
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6 Months Ended | |
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Jun. 30, 2012
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Jun. 30, 2011
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Allowance for doubtful accounts at beginning of period | $ 15,222,584 | $ 0 |
Charged to bad debt expense | 0 | 0 |
Reversal of allowance for doubtful accounts, net | (6,334,832) | 0 |
Foreign currency translation adjustment | 112,076 | 0 |
Allowance for doubtful accounts at end of period | $ 8,999,828 | $ 0 |
EQUITY FINANCING (Tables)
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6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2012
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Stockholders' Equity Note [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | The following table sets forth, by level within the fair value hierarchy, the Company’s financial liabilities that were measured at fair value on a recurring basis as of June30,2012and December31,2011.
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Schedule of Fair Values of Warrants [Table Text Block] | The fair values of the warrants are summarized as follows:
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Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block] | The fair values of the warrants outstanding as of June30,2012and December31,2011were determined based on the Binominal option pricing model, using the following key assumptions:
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Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | A summary of the Company’s unvested shares as of June30,2012, and changes during the three and six months ended June30,2012, is presented below:
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LAND USE RIGHT (Details Textual) (Use Rights [Member], USD $)
In Millions, unless otherwise specified |
Jun. 30, 2012
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Dec. 31, 2011
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Use Rights [Member]
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Mortgage Loans on Real Estate, Carrying Amount of Mortgages (in dollars) | $ 4.5 | $ 4.5 |
COMMITMENTS AND CONTINGENCIES (Details Textual) (USD $)
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3 Months Ended | 6 Months Ended | ||
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Jun. 30, 2012
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Jun. 30, 2011
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Jun. 30, 2012
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Jun. 30, 2011
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Operating Leases, Rent Expense, Net | $ 66,005 | $ 64,172 | $ 132,121 | $ 127,559 |
Operating Leases, Future Minimum Payments Due, Current | 264,234 | 264,234 | ||
Operating Leases, Future Minimum Payments, Due in Two Years | 132,117 | 132,117 | ||
Operating Leases, Future Minimum Payments Due | $ 396,351 | $ 396,351 |
EQUITY FINANCING (Details 1) (USD $)
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Jun. 30, 2012
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Dec. 31, 2011
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April Warrants [Member]
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Fair value of warrant per share (US$) at: | ||
Issuance Of Warrant Per Share | $ 1.07 | |
Fair Value Of Warrant Per Share (in dollars per share) | $ 1.6 | $ 2.11 |
September Warrants [Member]
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Fair value of warrant per share (US$) at: | ||
Issuance Of Warrant Per Share | $ 2.08 | |
Fair Value Of Warrant Per Share (in dollars per share) | $ 1.71 | $ 2.16 |
PROPERTY, PLANT AND EQUIPMENT (Details) (USD $)
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Jun. 30, 2012
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Dec. 31, 2011
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Buildings | $ 14,891,527 | $ 14,329,776 |
Machinery and equipment | 7,127,252 | 7,025,521 |
Office equipment and furniture | 521,852 | 511,713 |
Vehicles | 2,423,122 | 2,406,278 |
Software | 26,067 | 19,909 |
Leasehold improvements | 972,631 | 902,962 |
Construction in progress | 1,658 | 0 |
Property, Plant and Equipment, Gross | 25,964,109 | 25,196,159 |
Less: Accumulated depreciation and amortization | (4,176,219) | (3,266,715) |
Property, plant and equipment, net | $ 21,787,890 | $ 21,929,444 |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
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6 Months Ended |
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Jun. 30, 2012
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Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 -SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
PRINCIPLES OF CONSOLIDATION AND BASIS OF PRESENTATION
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted as permitted by rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). The December 31, 2011 consolidated balance sheet was derived from the audited consolidated financial statements of the Company. The accompanying unaudited consolidated financial statements should be read in conjunction with the December 31, 2011 audited consolidated financial statements of the Company included in the Company’s annual report on Form 10-K for the year ended December 31, 2011.
In the opinion of management, all adjustments (which include normal recurring adjustments) necessary to present a fair statement of the financial position as of June 30, 2012, the results of operations for the three and six months ended June 30, 2012 and 2011 and cash flows for six months ended June 30, 2012 and 2011, have been made.
The Company’s business is subject to seasonal variations; thus, the results of operations for the three months ended June 30, 2012 are not necessarily indicative of the results for the full fiscal year ending December 31, 2012. Generally, the second and third quarters are peak sales periods, and first and fourth quarters are low sales periods for the Company.
All significant intercompany transactions and balances are eliminated on consolidation.
USE OF ESTIMATES
The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the useful lives of fixed assets; the allowance for doubtful accounts; the fair value determination of financial and equity instruments and stock compensation awards, the realizability of deferred tax assets and inventories; the recoverability of goodwill, intangible asset, prepayment for mining project, land use right and property, plant and equipment; and accruals for income tax uncertainties and other contingencies. The current economic environment has increased the degree of uncertainty inherent in those estimates and assumptions. |
EQUITY FINANCING (Details 2) (USD $)
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6 Months Ended | 12 Months Ended |
---|---|---|
Jun. 30, 2012
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Dec. 31, 2011
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April Warrants [Member]
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Expected volatility | 0.571 | 0.655 |
Expected dividends yield | 0.00 | 0.00 |
Time to maturity | 9 months 18 days | 1 year 3 months 18 days |
Risk-free interest rate per annum | 0.00590 | 0.01202 |
Fair value of underlying common shares (per share) | $ 3.09 | $ 3.52 |
September Warrants [Member]
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Expected volatility | 0.693 | 0.641 |
Expected dividends yield | 0.00 | 0.00 |
Time to maturity | 1 year 2 months 12 days | 1 year 8 months 12 days |
Risk-free interest rate per annum | 0.00590 | 0.01202 |
Fair value of underlying common shares (per share) | $ 3.09 | $ 3.52 |