Dehao Runda receives financial subsidies from Wuhu

Wuhu Dehao Runda Optoelectronics Technology Co., Ltd., a wholly-owned subsidiary of Dehao Runda, recently received the “Notice on Disbursing the Financial Subsidy of Wuhu Dehao Runda Optoelectronics Technology Co., Ltd.” from the Finance Bureau of Wuhu Economic and Technological Development Zone. Implementing the call of the state to vigorously develop energy-saving and environmental protection industries and building a conservation-oriented society, according to the goal of the Wuhu Municipal Government to accelerate the cultivation of high-tech emerging industrial clusters, and promote the development of the LED photoelectric industry chain in Wuhu City, the management committee decided to approve the allocation to Wuhude. Haorunda Optoelectronics Technology Co., Ltd. 2010 “Technology Three” financial subsidy funds of RMB 252 million.

The “Three Technology” subsidies given to the company by the Wuhu Municipal Government are based on the company’s major project investment in the LED industry chain of LED epitaxial wafers, LED chips, LED packaging and applications in Wuhu to support the company’s technology. Investment and development in research and development, intermediate testing and other aspects.

On August 9, 2010, Wuhu Dehao Runda Optoelectronics Technology Co., Ltd. has received a portion of the above subsidy of RMB 70 million. According to the accounting standards, the subsidy of RMB 70 million received this time will be included in the current profit and loss when it is received, so it will have a significant positive impact on the company's 2010 profit. However, the company's accounting treatment for the current period of profit and loss will still be subject to the results of the annual audit of the accountant, and investors are advised to pay attention to investment risks.

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