China Automotive Systems Closes Sale Of Idle Land With Gain Of $5 Mln In Profit

(RTTNews) - China Automotive Systems Inc. (CAAS), a power steering components and systems supplier in China, said that it has received cash of RMB 40 million or $6.4 million in June 2014 and expects to receive cash of about RMB 12 million or $1.9 million in July 2014 from the Jingzhou Land Reserve Center, a local PRC government bureau. The receipt of this cash is for the sale of the Company's idle land use rights in Jingzhou City, Hubei Province.

This land rights sale resulted in an approximate gain of $5.0 million in net income for the second quarter ending June 30, 2014. The gain is the difference between the selling price and the net book value of the related land use rights, after taxes and minority shareholder interest. This transaction completes the Company's sale of idle land use rights in Jingzhou City, Hubei Province.