*ST Rainbow "Caps" successfully or enter the fast development track

*ST Rainbow (600707.SH) announced that the Shanghai Stock Exchange approved the company's application to cancel the delisting risk warning on March 12, 2014. The company's shares will resume trading on March 14, 2014 and the delisting risk will be revoked. Warning, the short name of the stock was changed from "*ST Rainbow" to "Rainbow Share", the stock code "600707" remained unchanged, and the daily limit of stock trading was changed from 5% to 10%.

*ST Rainbow announced that since the company's 2011 and 2012 audited net profits continued to be negative, the company's stock was subject to special treatment for delisting risk warnings from April 1, 2013. The shares were changed to "*ST Rainbow".

The company reported in the first year of March that the company's owner's equity attributable to the listed company's shareholders was 2.045 billion yuan. In 2013, the operating income was 240 million yuan, and the net profit attributable to shareholders of the listed company was 74.759 million yuan.

A brokerage researcher believes that as the panel manufacturing industry shifts to the mainland, especially the capacity of the 8.5-generation line of the “capped” line is transferred to the mainland, China’s display device industry has an increasingly strong voice and increased international cooperation space. While accelerating the production line replication, the company actively promoted the research and development of high-generation glass substrates and glass cover plates, and the company entered a rapid development track.

The state supports the glass substrate import substitution policy unchanged. According to the “Tax Implementation Plan 2014” issued by the Ministry of Finance, the provisional tariff for liquid crystal glass substrates of 6 generations and below is raised from 4% in 2013 to 6%, and more than 6 generations ( The provisional tariff for liquid crystal glass substrates excluding 6 generations remains at 4%.

From the analysis of the glass substrate industry, the domestic glass substrates are mainly dependent on imports, and the future import substitution space is huge. The global share of mainland panels has exceeded 16% in Japan, and the share in 2016 is expected to increase to 23.7%. In the next two years, the new 8.5-generation line will be put into production in the mainland, and the mainland market has become a battleground for glass substrate giants.

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