Mountain China Resorts (Holding) Limited

TSX VENTURE : MCG


Mountain China Resorts (Holding) Limited

May 02, 2013 12:27 ET

Mountain China Resorts Announces Delay in Filing Annual Financial Statements

BEIJING, CHINA--(Marketwired - May 2, 2013) - Mountain China Resorts (Holding) Limited (TSX VENTURE:MCG) ("MCR" or the "Company"), announced today that the filing of its annual financial statements, management's discussion and analysis, and the related officer certifications for the financial year ended December 31, 2012 (collectively, the "Annual Filings") has been delayed beyond the filing deadline of April 30, 2013. The Company's auditors have advised that they will not be able to complete their audit by the filing deadline as the auditors are still determining the status of Company's default of the bank loan with China Construction Bank. Additionally, the Company is still awaiting results from its recently engaged independent Chartered Business Valuator as recommended by the Auditors. The Company intends to co-operate with the auditors to resolve any outstanding issues and hopes to file the Annual Filings as soon as possible.

The Company intends to follow the provisions of the Alternative Information Guidelines as set out in National Policy 12-203-Cease Trade Orders for Continuous Disclosure Defaults, for as long as MCR remains in default, including the issuance of further by-weekly default status reports, each of which will be issued in the form of a press release. A general cease trade order may be issued as a result of the Company's default status.

About MCR

MCR is the premier developer of four season destination ski resorts in China. MCR is transforming existing China ski properties into world-class, four seasons luxury mountain resorts with excellent real estate investment opportunities for discerning buyers. In February 2009, the Company's Sun Mountain Yabuli Resort was awarded Best Resort Makeover in Asia by TIME Magazine. Yabuli is also the permanent home of the China Entrepreneur's Forum the leading and most influential community of China's most distinguished and successful entrepreneurs and business leaders with over 5,000 members from across a variety of key industries.

FORWARD LOOKING INFORMATION

Information in this press release that is not current or historical factual information may constitute forward-looking information within the meaning of securities laws, and actual results may vary from the forward-looking information. Implicit in this information are assumptions regarding future operations, plans, expectations, anticipations, estimates and intentions, such as the plans to develop the ski resorts in China. These assumptions, although considered reasonable by MCR at the time of preparation, may prove to be incorrect. Readers are cautioned that actual future operating results and economic performance of MCR are subject to a number of risks and uncertainties, including general economic, market and business conditions, uncertainty relating to land use rights in China, adverse industry events for the ski and real estate industries, real estate prices in general in China, MCR's ability to make and integrate acquisitions, the requirements of recent Chinese regulations relating to cross-border mergers and acquisitions, the inability to obtain required approvals or approvals may be subject to conditions that are unacceptable to the parties, changing industry and government regulation, as well as MCR's ability to implement its business strategies, dispose of assets or raise sufficient capital, MCR's ability to obtain additional financial resources and sufficient working capital, MCR's ability to complete the announced non-brokered private placement, seasonality, weather conditions, competition, currency fluctuations and other risks, and could differ materially from what is currently expected as set out above. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking information contained in this press release.

Forward-looking information contained in this press release includes, but is not limited to, management's expectation to make the Annual Filings.

Forward-looking information contained in this press release is based on current estimates, expectations and projections, which MCR believes are reasonable as of the date of this press release. MCR uses forward-looking statements because it believes such statements provide useful information with respect to the operation and financial performance of MCR, and cautions readers that the information may not be appropriate for other purposes. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While MCR may elect to, it does not undertake to update this information at any particular time except as required by applicable law.

The TSX Venture Exchange nor its Regulation Services Provider has neither approved nor disapproved the contents of this press release.

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