**UNITED STATES SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D.C. 20549**

 

**FORM 10-K**

| **R**

**ANNUAL REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

 

**For the fiscal year ended December 31, 2009**

 

**£**

**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**:  333-147084**

**CHINA GREEN CREATIVE, INC.**

 (Exact name of small business issuer as specified in its charter)

 

**Nevada**

 

**83-0506099**

(State or other jurisdiction of incorporation or organization)

 

(I.R.S. Employer Identification No.)

  

 

  

**24/F., Unit 3 Great China International Square, No. 1 Fuhua Rd.**

**Futian District, Shenzhen, Guangdong Privince, China**

 

(Address of principal executive offices)

 

(Zip Code)

  

**Tel:  86-755-23998799**

(Issuer’s telephone number)

 

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 during the preceding 12 months (or for such shorter period that the issuer was required to file such reports), and (2)has been subject to such filing requirements for the past 90 days. Yes þ No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data 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 £   No £

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§ 229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.    þ

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.                       o

Non-accelerated filer.   o

(Do not check if a smaller reporting company)

Smaller reporting company.      þ

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act)  Yes  o No  þ

State the aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price at which the common equity was last sold, or the average bid and asked price of such common equity, as of the last business day of the registrant’s most recently completed fiscal quarter: N/A.

Number of the issuer’s Common Stock outstanding as of April 13, 2010:  300,000,000

Documents incorporated by reference: None.

Transitional Small Business Disclosure Format (Check One): Yes o  No þ

1

**TABLE OF CONTENTS**

 

 

Page

**Part I**

 

**3**

  Item 1

Business

3

  Item 1A

Risk Factors

6

  Item 1B

Unresolved Staff Comments

11

  Item 2

Properties

11

  Item 3

Legal Proceedings

11

  Item 4

Submission of Matters to a Vote of Security Holders

11

**Part II**

 

**12**

  Item 5

Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.

12

  Item 6

Selected Financial Data.

12

  Item 7

Management’s Discussion and Analysis of Financial Condition and Results of Operation

12

  Item 7A

Quantitative and Qualitative Disclosures about Market Risk

15

  Item 8

Financial Statements and Supplementary Data

15

  Item 9

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

15

  Item 9A

Controls and Procedures

16

  Item 9B

Other Information

17

**Part III**

 

**17**

  Item 10

Directors and Executive Officers and Corporate Governance.

17

  Item 11

Executive Compensation

19

  Item 12

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

20

  Item 13

Certain Relationships and Related Transactions, and Director Independence.

20

  Item 14

Principal Accounting Fees and Services

21

**Part IV**

 

**22**

  Item 15

Exhibits, Financial Statement Schedules

22

**Signatures **

**  **

**23**

2

**PART I**

**Item 1. Business**

**Introduction**

As used herein, unless the context otherwise requires, “Registrant” and the “Company” (and “we”, “our” and similar expressions) refer to the business of China Green Creative, Inc. (formerly named Glance, Inc.) before the Share Exchange (as hereinafter defined) and Plenty Fame Holding, Ltd (“Plenty Fame”) after the Share Exchange.

China Green Creative, Inc., a Nevada Corporation, was incorporated on August 17, 2006, with a fiscal year end of June 30 under the name of Glance, Inc.  We changed our name to China Green Creative on January 21, 2009.  Until December 2008, the Company was involved in development and production of organic body-care lotions.  At that time, the Company had a change in ownership via a private stock sale of a majority of the common stock of the Company.

On September 18, 2009, the Company closed the Agreement for Share Exchange referenced in the Form 8-K filed with the Securities and Exchange Commission on June 2, 2009 (the Share Exchange”).  Pursuant to the Share Exchange, the Company acquired 100% of the equity ownership of Plenty Fame, a British Virgin Islands company in exchange for 277,785,000 newly-issued shares of its common stock. 

Plenty Fame is the 100% owner of Prospect Hong Kong Development Limited (“Prospect”), an investment holding company incorporated in Hong Kong. Prospect is the 100% owner of Jiangxi Jien Industries Limited (“Jiangxi Jien”), a company incorporated in the People’s Republic of China (“China” or the “PRC”) which principally engaged in distribution of consumer goods in the PRC .  In April 2009, Jiangxi Jien formed Shenzhen Jien Electronic Commerce Company Limited (“Shenzhen Jien”), a PRC company which is principally engaged in the distribution of consumer goods and electronic products in the PRC.

Immediate after the completion of the Share Exchange Agreement, Plenty Fame’s business became our major business and the Shareholder became our majority shareholder

**General Description of Business**

The Company is principally engaged in the distribution of consumer goods and electronic products in the PRC.

Business Overview

Jiangxi Jien is a distributor of consumer goods in China.  We source our selected products from factories in China and distribute them through our regional distributors according to market demand.  Further, in an effort to stay competitive, we change up our products and distribution strategies in China according to current economic conditions, consumer preference, government policy and social climate in the marketplace.  During the year, our core competencies consist of providing cosmetics, herbal teas and beverages, trendy cellular phones, sanitary napkins and body shaping underwear for our customers.   To keep up in such a competitive industry and to satisfy our customers, we often register a different brand name for our products as part of our marketing strategy (i.e. we now use “GEN + ME” for our main product line).  We sell our products primarily through our regional distributors in the PRC to customers mainly in Beijing, Zhejiang, Shandong, Fujian and Heilongjiang Provinces.

Product Supplies

Due to high demand in the Chinese marketplace, our distribution focus on consumer products has allowed our Company to gain market share and achieve favorable profit margins.  Product selection is made only after our market research team conducts appropriate due diligence related to market demand and, after working with our regional distributors, determines the best strategy for moving forward.  Upon selection of each product type, we then source each product from the respective producers within the region.  Criteria for choosing producers include, but are not limited to the following:  reputation, product quality, price, trustworthiness, business track record, and expertise related to their production of the chosen product.  We also impose a quality control metric that ensures product safety in accordance with all required government standards.  Further, as an integral part of our products department, our product design team works tirelessly to ensure the highest innovation and quality in our packaging, logos and product descriptions.

3

Regional Distributors

Regional distributors are the downstream component in our value chain.  They act as our buyers and resell our products directly to the consumer.  We value our relationship with our distributors as they have their fingers on the pulse of the market, and best understand the consumer.  However, while the distributors are our clients, we also work closely with them as partners in an effort to obtain valuable market information that assists us in our supply chain management.  In our expansion efforts, we are constantly seeking out new distributors who can help us break into untapped markets that are sound business opportunities.  We rely heavily on our research department, vendors, business associates, customers and friends to locate and invite regional distributors to build our distribution network.  Further, we choose our regional distributors based on a number of criteria, including:

·

The size of the distributors network in their immediate market

·

The distributor’s ability to market new brands and products within that market

·

The distributor’s operating and logistical strength within the market

·

The distributor’s core competencies and types of products they are already distributing

·

The distributor’s financial strength

Product Delivery

To save time, transportation and storage costs, our suppliers ship our products directly to our regional distributors.  In a case where there is a product return or defect, the regional distributors return the goods upon our confirmation and approval.  

Marketing and Sales

We rely heavily on our regional distributors to market and promote both our brands and our products.  Our distributors deliver our products directly to the local retail shops, and we monitor our sales performance and market information through our distributor’s activities.  Occasionally, we conduct our advertising and promotional campaigns directly through our distributors.  

Online customer service platform

We are developing a new online customer service platform to increase our future sales revenue and improve customer satisfaction.  The online platform will offer one-stop services to our customers, including real time sales inquiry, order processing and delivery arrangements.  It also provides advertising opportunities for the Company’s new products. 

The platform is currently in testing stages and we expect to launch the platform in second half of 2010. Through improved customer awareness and a larger customer base, we expect this platform will increase our internet sales revenue in the future.

**Recent Development**

On April 13, 2009, Jiangxi Jien formed Shenzhen Jien as a wholly-owned subsidiary. During the year, Shenzhen Jien is principally engaged in the distribution of consumer goods and electronic products in the PRC, and developing a new online customer service platform.  Its registered capital of RMB3, 000,000 was fully paid in April, 2009.

**Production facilities**

Jiangxi Jien, a subsidiary of the Company, owns and is developing a manufacturing base in Anyi County, Jiangxi Province, China. Our manufacturing base comprises plant areas, an administration office and a warehouse.  We did not commence production in 2009 and all of our products are sourced from suppliers, as we are planning to improve our site environment and introduce advanced production facilities to our manufacturing base. Currently our plants are under reconstruction. We expected that these structural constructions will be completed in 2011.

**Competition**

We are in a highly competitive industry. We compete with other distributors in our region, and also complete with vendors who sell similar products direct.

We compete with other distributors and vendors in following areas:

4

·

Product Quality and Cost

The Chinese consumer products market is a very price sensitive market. As products are similar and information flow is efficient, product quality and associated costs often dictate the lifespan of a product. We compete with our competitors in sourcing good and cost efficient suppliers, quality control, keeping costs to a minimum, and in the safety precautions taken to keep employees and customers safe. 

·

Product Presence and Availability

We compete with other players in the industry for the number of retail shops and for market share within the distribution network. The larger the number of retail shops, the higher the penetration of the market and brand awareness. We need to ensure our regional distributors have a sizeable distribution network in each region so we can maintain our market share, penetration and exposure. Further, we work with our distributors to ensure adequate and timely delivery to each region in which we are selling our products in order to maintain a competitive market position. 

·

Brand Awareness

The Chinese consumer is a brand-name consumer.  As such, we are constantly competing primarily on a brand recognition basis.  Maintaining brand recognition and awareness is vital to our short term strategy and long term survival.

**Growth Strategies**

To ensure our continuous success, we are planning to implement the following strategies:

·

Expansion of our Distribution Network

Currently we sell our products through our distributors to customers mainly in Beijing, Zhejiang, Shandong, Fujian and Heilongjiang Provinces of the PRC. We plan to expand our distribution network into more provinces by assigning distributors into every one to two provinces in China. By working with more regional distributors, we can expand our geographic coverage to grow our customer base. The larger customer base should increase both our product offerings and our revenues. Further, the increase in order quantities with suppliers will cut our costs significantly due to discounts from the larger order quantities.

·

Development of Direct Sales Channel

In addition to our traditional distribution network, we plan to implement a direct sales channel through internet sales. By implementing an online direct sales channel, we can sell our products into regions not yet covered by our distributors. Also, we can secure our sales in the areas in case of distributor non-performance.  Chinese consumers account for the largest online consumer base in the world. We believe our online distribution strategy will help us hedge against the risks of distributor failure and further grow our customer base in China.

·

Strengthening our Brand Awareness

In the past, we have relied heavily on our distributors to market our products and build brand awareness.  Going forward, building brand awareness will be vital to our success in building our distribution network and in expanding our customer base.  Further, as the Chinese customer learns and earns, brand awareness is at the forefront of their minds.  Accordingly, we plan to put more time, effort and money into our research and development in an effort to improve product packaging, design, brand management and advertising.

**Government Regulation**

Regarding distribution of consumer goods, the Chinese government and PRC laws do not require any special and/or additional approvals, permissions or any other qualifications except for the relevant business license. 

However, for some of our product offerings, the Chinese government may impose certain regulations on the production, distribution and sales. As such, we will only select suppliers and distributors who are in compliance with all laws and regulations as required by the Chinese government, and who possess all required licenses, permits and approvals as is necessary and required to do business in China.

Further, the income tax rate on companies in China may vary depending on the availability of preferential tax treatment or subsidies based on the industry or location. The current maximum corporate income tax rate is 25%.

**Employees**

As of December 31, 2009, we had 83 employees in five departments, namely product, finance and accounting, logistics, market research and administration departments.

5

**Item 1A.**

**Risk Factors**

**Risks Related to Our Business**

***To Maximize Our Potential For Future Growth And Achieve Our Expected Revenues, We Need To Manage Growth In Our Current Operations.***

In order to maximize potential growth in our current and potential markets, we believe that we must expand our sourcing, market research and marketing operations. This expansion will place a significant strain on our management and on our operational, accounting, and information systems. We expect that as we continue to grow we will need to improve our financial controls, operating procedures, and management information systems to handle increased operations. We will also need to effectively train, motivate, and manage our employees. Failure to manage our growth could disrupt our operations and ultimately prevent us from generating the revenues we expect.  

***We Cannot Guarantee That Our Organic Growth Strategy Will Be Successful.***

One of our growth strategies is to grow organically by increasing the distribution and sales of our products in new provinces and regions within China. However, many obstacles to entering new provinces exist, such as the costs associated with entering into new markets, developing and implementing effective marketing efforts, cultural differences and differences in provincial government policies. We cannot, therefore, assure you that we will be able to successfully overcome such obstacles and establish our products in any additional markets. Our inability to successfully implement our organic growth strategy may have a negative impact on our growth strategy and on our future financial condition, results of operations or cash flows.

 

***We Cannot Assure You That Our Acquisition Growth Strategy Will Be Successful.***

In addition to our organic growth strategy we also expect to grow through strategic acquisitions.  We cannot assure you that our acquisitions we be successful or that we will have the funds to pursue any acquisitions.

***If We Are Not Able To Implement Our Strategies To Achieve Our Business Objectives, Our Business Operations And Financial Performance May Be Adversely Affected.***

Our business plan and growth strategy is based on currently prevailing circumstances and the assumption that certain circumstances will or will not occur, as well as the inherent risks and uncertainties involved in various stages of development. However, there is no assurance that we will be successful in implementing our strategies or that our strategies, even if implemented, will lead to the successful achievement of our objectives. If we are not able to successfully implement our strategies, our business operations and financial performance may be adversely affected.

***If We Need Additional Capital To Fund Our Growing Operations, We May Not Be Able To Obtain Sufficient Capital And May Be Forced To Limit The Scope Of Our Operations.***

As we implement our growth strategies, we may experience increased capital needs and we may not have enough capital to fund future operations without additional capital investments. Our capital needs will depend on numerous factors, including (1) our profitability; (2) the release of competitive products by our competition; (3) the level of our investment in marketing research and development; and (4) the amount of our capital expenditures. We cannot assure you that we will be able to obtain capital in the future to meet our needs.

 

If we cannot obtain additional funding, we may be required to: 

·

reduce our investments in marketing research; 

·

limit our marketing efforts; and 

·

decrease or eliminate capital expenditures

Such reductions could have a material adverse affect our business and our ability to compete. Even if we do find a source of additional capital, we may not be able to negotiate acceptable terms and conditions for receiving the additional capital. Any future capital investments could dilute or otherwise materially and adversely affect the holdings or rights of our existing shareholders. In addition, new equity or convertible debt securities issued by us to obtain financing could have rights, preferences and privileges senior to our common stock. We cannot give you any assurance that any additional financing will be available to us, or if available, will be on terms favorable to us.

6

***We Depend On Third Parties To Supply Products, Any Adverse Changes In Such Supply Or The Costs Of Products May Adversely Affect Our Operations.***

We currently obtain our products from third parties. The supply of these products can be adversely affected by any material change in the economical and political conditions in China, which may, in turn, result in increased costs to purchase these products.

***We Depend On Third Parties to Supply Products, and Any Failure of Our Products In Compliance With Safety Requirements Set By Government May Adversely Affect Our Results from Operations.***

We currently obtain our products from third parties. We may fail to ensure the supplied goods to be compliance with safety regulation and rules set by government, which may, in turn, results in losing our customers and region distributors which would adversely affect our revenues and stockholder value.

***A Significant Portion Of Our Sales Are Derived From A Limited Number Of Customers, And Results From Operations Could Be Adversely Affected And Stockholder Value Harmed If We Lose Any Of These Customers.***

A significant portion of our revenues have been derived from a limited number of customers. Beijing Shanghan International Trading Limited (“Beijing Shanghan”), a PRC company, is a major customer of the Company and contributed 97% and 82.7% of the Company’s revenues for the years ended December 31, 2009 and 2008, respectively. The loss of any of our major customers or a significant reduction in sales to either of these customers would materially adversely affect our profitability and stockholders’ value.

On March 1, 2009, the director of Beijing Shanghan was named as one of the shareholders of the Company.

***Intense Competition From Existing And New Entities May Adversely Affect Our Revenues And Profitability.***

We compete with other companies, many of whom are developing, or can be expected to develop, strategy similar to ours. Some of our competitors are more established than we are, and have significantly greater financial, technical, marketing and other resources than we presently possess. Some of our competitors have greater name recognition and a larger customer base. These competitors may be able to respond more quickly to new or changing opportunities and customer requirements and may be able to undertake more extensive promotional activities, offer more attractive terms to customers, and adopt more aggressive pricing policies. We intend to create greater brand awareness for our brand name so that we can successfully compete with our competitors. We cannot guarantee that we will be able to compete effectively with current or future competitors or that the competitive pressures we face will not harm our business.

***We Depend On Our Key Management Personnel And The Loss Of Their Services Could Adversely Affect Our Business.***

Our future success is dependent upon the continued service of our management. We rely on their industry expertise and experience in our business operations, and in particular, their business vision, management skills, and working relationships with our employees, many of our regional distributors and suppliers in our network. We do not maintain key-man life insurance for our management.  If our management is unable or unwilling to continue in their present positions or if they join a competitor or form a competing company, we may not be able to replace them easily or at all. As a result, our business and growth prospects may be severely disrupted if we lose any of our management’s services.

***We May Incur Significant Costs To Ensure Compliance With U.S. Corporate Governance And Accounting Requirements.***

We may incur significant costs associated with our public company reporting requirements, costs associated with newly applicable corporate governance requirements, including requirements under the Sarbanes-Oxley Act of 2002 and other rules implemented by the Securities and Exchange Commission and the NASDAQ OTCBB. We expect all of these applicable rules and regulations to increase our legal and financial compliance costs and to make some activities more time-consuming and costly. We also expect that these applicable rules and regulations may make it more difficult and more expensive for us to obtain director and officer liability insurance and we may be required to accept reduced policy limits and coverage or incur substantially higher costs to obtain the same or similar coverage. As a result, it may be more difficult for us to attract and retain qualified individuals to serve on our board of directors or as executive officers. We are currently evaluating and monitoring developments with respect to these newly applicable rules, and we cannot predict or estimate the amount of additional costs we may incur or the timing of such costs.  

 

7

***We May Have Difficulty Raising Necessary Capital To Fund Operations As A Result Of Market Price Volatility Of Our Shares Of Common Stock.***

If our growth strategies are successful, we may require additional financing to continue to develop and to expand into new markets. The exploitation of our technologies may, therefore, be dependent upon our ability to obtain equity financing through debt and equity or other means. In recent years, the securities markets in the United States have experienced a high level of price and volume volatility, and the market price of securities of many companies have experienced wide fluctuations that have not necessarily been related to the operations, performance, underlying asset values or prospects of such companies.

 

For these reasons, our shares of common stock can also be expected to be subject to volatility resulting from purely market forces over which we will have no control. Such volatility may make it more difficult to find investors willing to invest in our common stock, or to negotiate equity financing or terms that are acceptable to us.

**Risks Relating To The People's Republic of China**

***Currency Conversion And Exchange Rate Volatility Could Adversely Affect Our Financial Condition.***

The PRC government imposes control over the conversion of Renminbi into foreign currencies. Under the current unified floating exchange rate system, the People's Bank of China publishes an exchange rate, which we refer to as the People's Bank of China exchange rate, based on the previous day's dealings in the inter-bank foreign exchange market. Financial institutions authorized to deal in foreign currency may enter into foreign exchange transactions at exchange rates within an authorized range above or below the People's Bank of China exchange rate according to market conditions. Pursuant to the Foreign Exchange Control Regulations of the PRC issued by the State Council which came into effect on April 1, 1996, and the Regulations on the Administration of Foreign Exchange Settlement, Sale and Payment of the PRC which came into effect on July 1, 1996, regarding foreign exchange control, conversion of Renminbi into foreign exchange by Foreign Investment Enterprises, for use on current account items, including the distribution of dividends and profits to foreign investors, is permissible. Foreign Investment Enterprises are permitted to convert their after-tax dividends and profits to foreign exchange and remit such foreign exchange to their foreign exchange bank accounts in the PRC. Conversion of Renminbi into foreign currencies for capital account items, including direct investment, loans, and security investment, is still under certain restrictions. On January 14, 1997, the State Council amended the Foreign Exchange Control Regulations and added, among other things, an important provision, which provides that the PRC government shall not impose restrictions on recurring international payments and transfers under current account items.

 

Enterprises in the PRC (including Foreign Investment Enterprises) which require foreign exchange for transactions relating to current account items, may, without approval of the State Administration of Foreign Exchange, or SAFE, effect payment from their foreign exchange account or convert and pay at the designated foreign exchange banks by providing valid receipts and proofs.  

***Most Of Our Assets Are Located In China; Any Dividends Of Proceeds From Liquidation Are Subject To The Approval Of The Relevant Chinese Government Agencies.***

Our assets are predominantly located inside China. Under the laws governing foreign invested enterprises in China, dividend distribution and liquidation are allowed but subject to special procedures under the relevant laws and rules. Any dividend payment will be subject to the decision of the board of directors and subject to foreign exchange rules governing such repatriation. Any liquidation is subject to both the relevant government agency's approval and supervision as well the foreign exchange control. This may generate additional risk for our investors in case of dividend payment and liquidation.

***China’s Economic Policies Could Affect Our Business.***

Substantially all of our assets are located in China and substantially all of our revenue is derived from our operations in China. Accordingly, our results of operations and prospects are subject, to a significant extent, to the economic, political and legal developments in China.

While China's economy has experienced a significant growth in the past twenty years, growth has been irregular, both geographically and among various sectors of the economy. The Chinese government has implemented various measures to encourage economic growth and guide the allocation of resources. Some of these measures benefit the overall economy of China, but may also have a negative effect on us. For example, our operating results and financial condition may be adversely affected by the government control over capital investments or changes in tax regulations.

8

The economy of China has been transitioning from a planned economy to a more market-oriented economy. In recent years the Chinese government has implemented measures emphasizing the utilization of market forces for economic reform and the reduction of state ownership of productive assets and the establishment of corporate governance in business enterprises; however, a substantial portion of productive assets in China are still owned by the Chinese government. In addition, the Chinese government continues to play a significant role in regulating industry development by imposing industrial policies. It also exercises significant control over China's economic growth through the allocation of resources, controlling payment of foreign currency-denominated obligations, setting monetary policy and providing preferential treatment to particular industries or companies.

***We May Face Obstacles from the Communist System in the People's Republic of China.***

Foreign companies conducting operations in The People's Republic of China face some political, economic and legal risks.

***We May Have Difficulty Establishing Adequate Management, Legal and Financial Controls in The People's Republic of China.***

The People's Republic of China historically has been deficient in Western style management and financial reporting concepts and practices, as well as in modern banking, computer and other control systems. We may have difficulty in hiring and retaining a sufficient number of qualified employees to work in The People's Republic of China. As a result of these factors, we may experience difficulty in establishing management, legal and financial controls, collecting financial data and preparing financial statements, books of account and corporate records and instituting business practices that meet Western standards.

***Because Our Assets and Operations are Located in China, You May Have Difficulty Enforcing Any Civil Liabilities Against Us Under the Securities and Other Laws of the United States or Any State.***

We are a holding company, and all of our assets are located in the People's Republic of China. In addition, our directors and officers are non-residents of the United States, and all or a substantial portion of the assets of these non-residents are located outside the United States. As a result, it may be difficult for investors to effect service of process within the United States upon these non-residents, or to enforce against them judgments obtained in United States courts, including judgments based upon the civil liability provisions of the securities laws of the United States or any state.

There is uncertainty as to whether courts of the People's Republic of China would enforce:

·

Judgments of United States courts obtained against us or these non-residents based on the civil liability provisions of the securities laws of the United States or any state; or 

·

In original actions brought in the People's Republic of China, liabilities against us or non-residents predicated upon the securities laws of the United States or any state. Enforcement of a foreign judgment in the People's Republic of China also may be limited or otherwise affected by applicable bankruptcy, insolvency, liquidation, arrangement, moratorium or similar laws relating to or affecting creditors' rights generally and will be subject to a statutory limitation of time within which proceedings may be brought.

***The PRC Legal System Embodies Uncertainties, Which Could Limit Law Enforcement Availability.***

The PRC legal system is a civil law system based on written statutes. Unlike common law systems, decided legal cases have little precedence. In 1979, the PRC government began to promulgate a comprehensive system of laws and regulations governing economic matters in general. The overall effect of legislation over the past 27 years has significantly enhanced the protections afforded to various forms of foreign investment in China. Each of our PRC operating subsidiaries and affiliates is subject to PRC laws and regulations. However, these laws and regulations change frequently and the interpretation and enforcement involve uncertainties. For instance, we may have to resort to administrative and court proceedings to enforce the legal protection that we are entitled to by law or contract. However, since PRC administrative and court authorities have significant discretion in interpreting statutory and contractual terms, it may be difficult to evaluate the outcome of administrative court proceedings and the level of law enforcement that we would receive in more developed legal systems. Such uncertainties, including the inability to enforce our contracts, could affect our business and operation. In addition, intellectual property rights and confidentiality protections in China may not be as effective as in the United States or other countries. Accordingly, we cannot predict the effect of future developments in the PRC legal system, particularly with regard to the industries in which we operate, including the promulgation of new laws. This may include changes to existing laws or the interpretation or enforcement thereof, or the preemption of local regulations by national laws. These uncertainties could limit the availability of law enforcement, including our ability to enforce our agreements with the government entities and other foreign investors.

9

**Risks Related to Corporate and Stock Matters**

***The Limited Trading Volume in our Stock May Cause Volatility in the Market Price of our Common Stock.***

Our common stock is currently traded on a limited basis on the OTCBB under the symbol, "CNGV.OB" The quotation of our common stock on the OTCBB does not assure that a meaningful, consistent and liquid trading market currently exists, and in recent years, such market has experienced extreme price and volume fluctuations that have particularly affected the market prices of many smaller companies like us. Our common stock is thus subject to volatility. In the absence of an active trading market:

·

investors may have difficulty buying and selling or obtaining market quotations; 

·

market visibility for our common stock may be limited; and 

·

a lack of visibility for our common stock may have a depressive effect on the market for our common stock.

***Our Stock is a Penny Stock.  Trading of our Stock May Be Restricted by the SEC’s Penny Stock Regulations Which May Limit a Stockholder’s Ability to Buy and Sell our Stock.***

Our stock is a penny stock. The SEC has adopted Rule 15g-9 which generally defines "penny stock" to be any equity security that has a market price (as defined) less than $5.00 per share or an exercise price of less than $5.00 per share, subject to certain exceptions. Our securities are covered by the penny stock rules, which impose additional sales practice requirements on broker-dealers who sell to persons other than established customers and "accredited investors". The term "accredited investor" refers generally to institutions with assets in excess of $5,000,000 or individuals with a net worth in excess of $1,000,000 or annual income exceeding $200,000 or $300,000 jointly with their spouse. The penny stock rules require a broker-dealer, prior to a transaction in a penny stock not otherwise exempt from the rules, to deliver a standardized risk disclosure document in a form prepared by the SEC which provides information about penny stocks and the nature and level of risks in the penny stock market. The broker-dealer also must provide the customer with current bid and offer quotations for the penny stock, the compensation of the broker-dealer and its salesperson in the transaction and monthly account statements showing the market value of each penny stock held in the customer's account. The bid and offer quotations, and the broker-dealer and salesperson compensation information, must be given to the customer orally or in writing prior to effecting the transaction and must be given to the customer in writing before or with the customer's confirmation. In addition, the penny stock rules require that prior to a transaction in a penny stock not otherwise exempt from these rules; the broker-dealer must make a special written determination that the penny stock is a suitable investment for the purchaser and receive the purchaser's written agreement to the transaction. These disclosure requirements may have the effect of reducing the level of trading activity in the secondary market for the stock that is subject to these penny stock rules. Consequently, these penny stock rules may affect the ability of broker-dealers to trade our securities. We believe that the penny stock rules discourage investor interest in and limit the marketability of our common stock.

 

***FINRA Sales practice Requirements May Also Limit a Stockholder’s Ability to Buy and Sell our Stock.***

Section 15(g) of the Securities Exchange Act of 1934, as amended, and Rule 15g-2 promulgated thereunder by the SEC require broker-dealers dealing in penny stocks to provide potential investors with a document disclosing the risks of penny stocks and to obtain a manually signed and dated written receipt of the document before effecting any transaction in a penny stock for the investor's account.

Potential investors in our common stock are urged to obtain and read such disclosure carefully before purchasing any shares that are deemed to be "penny stock." Moreover, Rule 15g-9 requires broker-dealers in penny stocks to approve the account of any investor for transactions in such stocks before selling any penny stock to that investor. This procedure requires the broker-dealer to (i) obtain from the investor information concerning his or her financial situation, investment experience and investment objectives; (ii)reasonably determine, based on that information, that transactions in penny stocks are suitable for the investor and that the investor has sufficient knowledge and experience as to be reasonably capable of evaluating the risks of penny stock transactions; (iii) provide the investor with a written statement setting forth the basis on which the broker-dealer made the determination in (ii) above; and (iv) receive a signed and dated copy of such statement from the investor, confirming that it accurately reflects the investor's financial situation, investment experience and investment objectives. Compliance with these requirements may make it more difficult for holders of our common stock to resell their shares to third parties or to otherwise dispose of them in the market or otherwise. If we or our independent registered public accountants cannot attest our adequacy in the internal control measures over our financial reporting, as required by Section 404 of the U.S. Sarbanes-Oxley Act, for the fiscal year ended December 31, 2008, we may be adversely affected.

As a public company, we are subject to report our internal control structure and procedures for financial reporting in our annual reports on Form 10-K, as a requirement of Section 404 of the U.S. Sarbanes-Oxley Act of 2002 by the U.S. Securities and 

10

Exchange Commission (the "SEC"). The report must contain an assessment by management about the effectiveness of our internal controls over financial reporting. Moreover, the independent registered public accountants of our Company must attest to and report on management's assessment of the same. Even if our management attests to our internal control measures to be effective, our independent registered public accountants may not be satisfied with our internal control structure and procedures. We cannot guarantee the outcome of the report and it could result in an adverse impact on us in the financial marketplace due to the loss of investor confidence in the reliability of our financial statements, which could negative influence to our stock market price.

**Item 1B.**

**Unresolved Staff Comments**

 

Not Applicable.

 

**Item 2.**

**Properties**

***Properties***

Details of the Company’s properties are summarized as follows:

Item

Address

 Areas

Leased/Owned

Headquarters

 24/F., Unit 3 Great China International Square,

 No 1 Fuhua Rd ,Futian District, Shenzhen,

 Guangdong Province, China

 262.75 sq. meters

Leased

Manufacturing base

 No. 9 Zhongduan, Fenghuang Mountain 

 Development Zone, 

 Anyi County, Jiangxi Province, China

 25,638.77 sq. meters

Owned

The Company’s headquarters are leased from Mr. Chen Xing Hua, a director of the Company, for 1 year starting from May 4, 2009 to May 3, 2010.  Monthly rental is $4,616. 

The land use right of the Company’s manufacturing base expires in 2068 which will usually be available for renewal. 

The manufacturing base and the land use right are restricted to sale or transfer as of December 31, 2009 and up to the date of this report.  Details of which have been disclosed in footnote 13 to the consolidated financial statements.

***Intellectual Property***

The Company has the rights to the trademark “GENO 2”, “GENT”, “GEN’S”, “GENTEN” and “GEN+ME”.

**Item 3.**

**Legal Proceedings**

To the knowledge of our management, there is no litigation currently pending or contemplated against us or any of our officers or directors in their capacity as such.

 

**Item 4.**

**Submission of Matters to a Vote of Security Holders**

 

During the fourth quarter of our fiscal year ended December 31, 2009, there were no matters submitted to a vote of security holders.

 

11

**PART II**

 

**Item 5.**

**Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities**

Our shares of common stock are traded on the Over the Counter Bulletin Board (OTCBB) under the symbol “CNGV”.

As of April 5, 2010, there were approximately 54 holders of record of Company’s common stock. Save as the Share Exchange as mentioned in Item 1, there was no trading in shares of our common stock during the year.

**Dividends**

 

There were no cash dividends or other cash distributions made by us during the fiscal year ended December 31, 2009 or the fiscal year ended December 31, 2008. The payment of dividends in the future will be contingent upon our revenues and earnings, if any, capital requirements and general financial condition.  The payment of any dividends is within the discretion of our board of directors. It is the present intention of our board of directors to retain all earnings, if any, for use in our business operations and, accordingly, our board does not anticipate declaring any dividends in the foreseeable future.

 

**Recent Sales of Unregistered Securities and Use of Proceeds**

On September 18, 2009, the Company closed the Share Exchange on June 2, 2009.  Pursuant to the Share Exchange, the Company acquired 100% of the equity ownership of Plenty Fame, a British Virgin Islands company in exchange for 277,785,000 newly-issued shares of its common stock.

The shares of Common Stock were issued pursuant to Regulation S in a transaction that was exempt from registration under the Securities Act of 1933, as amended.

**Repurchases of Equity Securities**

 

None.

 

**Equity Compensation Plan Information**

 

None.

 

**Item 6.**

**Selected Financial Data**

 

As a smaller reporting company, we are not required to include this information in our annual report on Form 10-K.

 

**Item 7.**

**Management’s Discussion and Analysis of Financial Condition and Results of Operations**

Note regarding forward – looking statements

This annual report contains forward-looking statements within the meaning of the federal securities laws. These include statements about our expectations, beliefs, intentions or strategies for the future, which we indicate by words or phrases such as "anticipate," "expect," "intend," "plan," "will," "we believe," "the Company believes" "management believes" and similar language. The forward-looking statements are based on the current expectations of the Company and are subject to certain risks, uncertainties and assumptions, including those set forth in the discussion under "Management's Discussion and Analysis of Financial Condition and Results of Operations" in this report. The actual results may differ materially from results anticipated in these forward-looking statements. We base the forward-looking statements on information currently available to us, and we assume no obligation to update them.

 

Investors are also advised to refer to the information in our filings with the Securities and Exchange Commission, specifically Forms 10-K, 10-Q and 8-K, in which we discuss in more detail various important factors that could cause actual results to differ from expected or historic results. It is not possible to foresee or identify all such factors. As such, investors should not consider any list of such factors to be an exhaustive statement of all risks and uncertainties or potentially inaccurate assumptions.

12

Except as otherwise indicated by the context, references in this Form 10-K to “we,” “us,” “our,” “the Registrant”, “our Company,” or “the Company” are to China Green Creative, Inc., a Nevada Corporation, and its consolidated subsidiaries. Unless the context otherwise requires, all references to (i) “BVI” are to British Virgin Islands; (ii) “PRC” and “China” are to the People’s Republic of China; (iii) “U.S. dollar,” “$” and “US$” are to United States dollars; (iv) “RMB” are to Yuan Renminbi of China; (v) “Securities Act” are to the Securities Act of 1933, as amended; and (vi) “Exchange Act” are to the Securities Exchange Act of 1934, as amended.

Critical Accounting Policies and Estimates

Our financial statements and related public financial information are based on the application of accounting principles generally accepted in the United States (*"US GAAP"*). US GAAP requires the use of estimates; assumptions, judgments and subjective interpretations of accounting principles that have an impact on the assets, liabilities, revenues and expenses amounts reported. These estimates can also affect supplemental information contained in our external disclosures including information regarding contingencies, risk and financial condition. We believe our use of estimates and underlying accounting assumptions adhere to GAAP and are consistently and conservatively applied. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results may differ materially from these estimates under different assumptions or conditions. We continue to monitor significant estimates made during the preparation of our financial statements.

We believe the following is among the most critical accounting policies that impact our consolidated financial statements. We suggest that our significant accounting policies, as described in our consolidated financial statements in the Summary of Significant Accounting Policies, be read in conjunction with this Management's Discussion and Analysis of Financial Condition and Results of Operations.

We recognize revenue in accordance with Staff Accounting Bulletin (*"SAB"*) No. 104. All of the following criteria must exist in order for us to recognize revenue:

·

Persuasive evidence of an arrangement exists;

·

Delivery has occurred;

·

The seller's price to the buyer is fixed or determinable; and

·

Collectability is reasonably assured.

The majority of the Company's revenue results from sales contracts with direct customers and revenues are generated upon the shipment of goods. The Company's pricing structure is fixed and there are no rebate or discount programs. Management conducts credit background checks for new customers as a means to reduce the subjectivity of assuring collectability. Based on these factors, the Company believes that it can apply the provisions of SAB 104 with minimal subjectivity.

Recent Accounting Pronouncements

The Company does not expect that the adoption of any recent accounting pronouncements will have any material impact on its financial statements.

Results of Operations – Year Ended December 31, 2009 as Compared to Year Ended December 31, 2008

 

 

 

 

 

 

 

 

 

Years ended December 31,

 

Increase/

 

%

 

 

2009

 

2008

 

(decrease)

 

change

Revenue

$

10,417,379

$

859,110 

$

9,558,269

 

1113

Cost of sales

 

2,747,490

 

336,237 

 

2,411,253

 

717

Gross profit

 

7,669,889

 

522,873 

 

7,147,016

 

1367

Selling and distribution expenses

 

1,289,329

 

368,889 

 

920,440

 

250

General and administrative expenses

 

5,804,483

 

450,344 

 

5,354,139

 

1189

Income/(loss) before income taxes

 

472,471

 

(407,033)

 

879,504

 

-

Provision for income taxes

 

218,782

 

(101,758)

 

320,540

 

-

Discontinued operations

 

-

 

- 

 

-

 

-

Net income/(loss)

$

253,689

$

(305,275)

$

558,964

 

-

 

 

 

 

 

 

 

 

 

13

*Revenues*

During the year ended December 31, 2009, the Company is principally engaged in the distribution of consumer goods in the PRC.

Sales revenue arising from the distribution of consumer goods for 2009 was $10,417,379, representing an increase of $9,558,269 or 1113% compared to last year. The increase in revenue was mainly due to the introduction of new products, including lingerie products, cosmetic, beverages and mobile phone products, which were highly accepted by end users during the year.

Beijing Shanghan International Trading Limited (“Beijing Shanghan”), a related party, is the major distributor of the Company and contributed 97.6% and 82.7% of the Company’s revenues for the years ended December 31, 2009 and 2008, respectively.   As of December 31, 2009, the Company has an account receivable from Beijing Shanghan of $5,867,670. Subsequent to the balance sheet date, in [January], 2010, the Company entered into a repayment arrangement with Beijing Shanghan to collect the amount under a repayment schedule of up to 12 months, and has collected $658,800 from the customer up to the date of this report.  The Company reviewed the recoverability of this account and recorded an allowance of $2,590,795 or approximately 50% of the outstanding receivable as of the date of this report. The allowance was charged to general and administrative expenses for the year ended December 31, 2009.

In April 2009, we established Shenzhen Jien Electronic Commerce Company Limited (“Shenzhen Jien”), a PRC company.  During the year, Shenzhen Jien principally engaged in the distribution of consumer goods and electronic products in the PRC.  The revenue contributed by Shenzhen Jien for the year ended December 31, 2009 was $245,844.

*Cost of sales and gross profit*

Cost of sales increased from $336,237 for 2008 to $2,747,490 for 2009, representing a 717% increase. The increase in cost of sales was a result of increase in sales revenue.

Gross profit increased by $7,147,016, or 1367%, from $522,873 for 2008 to $7,669,889 for 2009.  Gross profit as a percentage of revenue was 73.6% for 2009, representing an increase of 12.7% from 60.9% for last year. Such increase was mainly due to the introduction of new products, including lingerie products, cosmetic, beverages and mobile phone products, which had higher profit margins. 

*Selling and distribution expenses*

During the year ended December 31, 2009, selling and distribution expenses mainly consisted of marketing expenses and design expenses. Although we fine tuned our market development strategies in the third quarter of 2009, the overall increase in marketing efforts has increased the selling and distribution expenses by 250% from $368,889 for 2008 to $1,289,329 for 2009.

*General and administrative expenses*

General and administrative expenses increased by $5,354,139 or 1189% from $450,344 for 2008 to $5,804,483 for 2009. The increase in general and administrative expenses in 2009 compared to that of 2008 was primarily due to an allowance for doubtful accounts of $2,590,795 for 2009, an impairment of property, plant and equipment of $628,169 due to technology advancement program, and the expansion of operation which led to an increase in office expenses, professional expenses and traveling expenses.

*Income/(loss) before income taxes and provision for income taxes*

Income before income tax was $472,471 for 2009 compared to a loss of $407,033 for 2008, representing an increase of $879,504. The increase was mainly attributable to the increase in sales revenue, as the introduction of new products was highly accepted by end users in 2009.

Provision for taxation for 2009 was $218,782 compared to $(101,758) for 2008.

*Net income/(loss)*

Our net income increased to $253,689 for 2009 from a loss of $305,275 for 2008. Net margin for 2009 was 2.4%. The increase was mainly attributable to the increase in sales revenue.

14

Liquidity and Capital Resources

*Cash and cash equivalents*

As of December 31, 2009, the Company had a total cash and cash equivalents of $116,989 compared to $6,768 as of December 31, 2008. The increase in cash and cash equivalents was mainly attributable to net cash received from sales activities. The cash was mainly used to fund our operations.

*Cash Flow From Continuing Operations*

 

 

 

Years ended

 

 

 

December 31,

 

 

 

 

2009

 

2008

Net cash provided by/(used in) operating activities

 

 

$

2,619,005 

$

(1,311,582)

Net cash used in investing activities

 

 

 

(557,815)

 

(132,631)

Net cash (used in)/provided by financing activities

 

 

 

(1,953,245)

 

1,463,439 

Net increase in cash and cash equivalents

 

 

$

107,945 

$

19,226 

In 2009, we had net cash provided by operating activities of $2,619,005, as compared to net cash used in operating activities of $1,311,582 for last year. The increase in cash inflow was primarily due to an increase in our sales revenue.

In 2009, our cash flow used in investing activities of $557,815 mainly represents our payment for construction in progress.

Our cash flows used in financing activities for 2009 amounted to $1,953,245, as compared to an inflow of $1,463,439 for last year. The change was mainly due to our repayment of loans from related parties and other debts during the year.

*Working Capital*

As of December 31, 2009, the Company recorded a working capital deficit of $2,638,339, as compared to a deficit of $2,510,341 as of December 31, 2008.  We currently generate our cash flow through our operations. We believe that our cash flow generated from operations will be sufficient to sustain operations for at least the next 12 months. There is no identifiable expansion plan as of December 31, 2009, but from time to time, we may identify new expansion opportunities for which there will be a need for use of cash.

Off-Balance Sheet Transactions

We do not maintain any off-balance sheet transactions, arrangements, obligations or other relationships with unconsolidated entities or others that are reasonably likely to have a material current or future effect on our financial condition, cash flows, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources

**Item 7A.**

**Quantitative and Qualitative Disclosures About Market Risk**

As a smaller reporting company, we are not required to include this information in our annual report on Form 10-K.

**Item 8.**

**Financial Statements and Supplementary Data**

The response to this item is included in a separate section of this Annual Report. See “Index to Consolidated Financial Statements” on Page F-1.

 

**Item 9.**

**Changes in and Disagreements with Accountants on Accounting and Financial Disclosure**

Not Applicable.

 

15

**Item 9A.**

**(T) Controls and Procedures Evaluation of Disclosure Controls and Procedures**

 

Under the supervision and with the participation of our management, including our principal executive officer and principal financial officer, we conducted an evaluation as of December 31, 2009 of our disclosure controls and procedures, as such terms are defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act. Based on this evaluation, our principal executive officer and principal financial officer has concluded that during the period covered by this report, the Company’s disclosure controls and procedures were effective as of such date to ensure that information required to be disclosed in our Exchange Act reports is recorded, processed, summarized, and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosures.

 

**Management’s Report on Internal Control over Financial Reporting**

Management is responsible for establishing and maintaining adequate internal control over financial reporting. Internal control over financial reporting is defined in Rule 13a-15(f) and 15d-15(f) promulgated under the Exchange Act as a process designed by, or under the supervision of, the Company’s principal executive and principal financial officers and effected by the Company’s board of directors, management and other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles and includes those policies and procedures that: 

·

Pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the Company; 

·

Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and 

·

Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the Company’s assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation. Projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. 

The Company’s management assessed the effectiveness of the Company’s internal control over financial reporting as of March 31, 2010.  In making this assessment, the Company’s management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”) in Internal Control-Integrated Framework.  The COSO framework is based upon five integrated components of control: control environment, risk assessment, control activities, information and communications and ongoing monitoring.

Based on the assessment performed, management has concluded that the Company’s internal control over financial reporting, as of March 31, 2010, is effective and provides reasonable assurance regarding the reliability of its financial reporting and the preparation of its financial statements in accordance with generally accepted accounting principles.  Further, management has not identified any material weaknesses in internal control over financial reporting as of March 31, 2010.

This annual report does not include an attestation report of the Company’s registered independent public accounting firm regarding internal control over financial reporting.  Management’s report was not subject to attestation by the Company’s independent registered public accounting firm pursuant to temporary rules of the SEC that permit the Company to provide only management’s report in this annual report.

 

**Changes in Internal Control over Financial Reporting**

None.

16

**Item 9B.**

**Other Information**

 

On November 4, 2009, the Board of Directors of the Company elected to change the fiscal year of the Company to a December 31 year-end.  The Company filed a Form 10-Q for quarter ended September 30, 2009 and a Form 10-K for the year ended December 31, 2009.

 

**PART III**

 

**Item 10.**

**Directors, Executive Officers and Corporate Governance**

Our executive officers and directors and their ages as of March 31, 2010 is as follows:

 

**Name**

**Age**

**Position**

**Date of Appointment**

Chen Xing Hua

46

President and Director

September 18, 2009

Ye Xin Zhang

48

CEO and Director

Appointed as Director on May 31, 2009

Appointed as CEO on September 18, 2009

Chen Feng

25

Director

December 12, 2008

Deng Lin

39

CFO

September 18, 2009

Set forth below is a brief description of the background and business experience of our executive officers and directors for the past five years.

***Chen Xing Hua***, age 46, is the President and director of the Company. Mr. Chen is in charge of business development of the company.  Mr. Chen has over 20 years of experience in manufacturing and factory operation management.  From 2001 to 2002, he was the President and General Manager of Shenzhen In - Tech Technology Co., Ltd., a manufacturer of auto parts, auto diagnosis and care systems. He was responsible for the firm’s strategic planning, operation and business development.  From 2002 to 2005, Mr. Chen was the Vice President of Golden Group Corporation, a Chinese producer of surveillance systems and consultancy services. From 2005 to 2006, he served as a director of China Security & Surveillance Technology, Inc, a company listed on the OTCBB. He was responsible for decision-making, operations management and marketing. From 2007 to 2008, he was the CEO of China Water and Drinks Inc, a company listed on the OTCBB focused on bottle water production and marketing. He was responsible for business development and overall operation of the company.  Mr. Chen officially announced that he was no longer the CEO of China Water & Drinks as of June 16, 2008.  Mr. Chen has been the Company’s President and Director since that time, and is responsible for overseeing the Company’s strategic business development. Mr. Chen graduated from Jiangxi Technical Institute with a major in Industry and Civil Building Industry in 1984. Currently, Mr. Chen is also a director of Shenzhen Hanhong Investments Limited

***Ye Xing Zhang***, aged 48, is the Chief Executive Officer and director of the Company on. Mr. Ye, has more than 20 years in trading, retail, textile and machinery industry in China. He is expert at trading operation, business development and management. In addition, he is knowledgeable about technology development and its trends. Since 2005, Mr. Ye has been the president of Jiangxi Fangyuanlong Industry & Trade Co., Ltd, a trading company he founded in 2005. There, he was responsible for decision-making, operations and business development. From 2000 to 2004, he set up Nanchang Changxin Industry & Trade Co. Ltd, a trading company in which he was the president. From 1990 to 1999, he established Xinjiang Wusu Cotton Textile Factory and was in charge of its operation and business development. From 1986 to 1990, Mr. Ye found and managed the Jiang Xi Xinmin Textile Machinery Factory. Before starting his career as a entrepreneur, Mr Ye was a secondary teacher in the Jiang Xi Province, China from 1984 to 1985.  Mr Ye graduated from Nanchang University with a major in Mathematics in 1980. In 2002, he was awarded the “Labor Model of the Jiang Xi Province” and “Top Ten Excellent Young People in Nanchang City” from the Chinese Government.

***Chen Feng***, aged 25, resigned as CEO and CFO on September 18, 2009 and remained as a director of the Company. Currently, Mr. Chen is also the deputy general manager of Shenzhen Ziyunjin Investment Company where he is the head of its investment department. From 2006 to 2007, before joining Shenzhen Ziyunjin, Mr. Chen was the assistant to the general manager and then the manager of business finance of In-Tech Technology Company Limited.  Mr. Chen is an excellent operations manager and excels at business finance and information systems. In 2006, Mr. Chen graduated from Zhejiang Wanli University with a Bachelor’s degree in Business Administration and Management Information Systems.

17

***Deng Lin***, age 39, is the Chief Financial Officer of the Company.  She has over 16 years of experience in accounting and finance. From 2007 to 2009, she was the Finance Manager of China Water & Drinks, Inc, a bottle water company listed on OTCBB. From 2001 to 2007, she served as the Vice General Manager, in charge of securities investment and daily operations, of Southern Taixin Investment Fund in China. From 1997 to 2001, Mrs. Lin was the Director’s Assistance and later the Finance Manager of Gansu Securities. She was the Senior Accountant of Lanzhou Branch of China Tai Group. Mrs. Lin graduated from the Lanzhou University of Finance & Economics with a major in Accounting & Finance in 1993. She is also an accountant and registered Financial Planner in China.  

***Corporate Governance***

 

**Term of Office**

 

Our directors are appointed for a one-year term to hold office until the next annual general meeting of our shareholders or until removed from office in accordance with our bylaws. Our officers are appointed by our board of directors and hold office until removed by the board.

**Audit Committee**

Our board of directors will establish an audit committee with independent financial expertise within twelve months after the year end of 2009 in accordance with Sarbanes Oxley Act 404. Currently, our entire board of directors serves as our audit committee in 2009.

**Other Committees**

We intend to establish compensation, nominating committees of the Board of Directors within the twelve months after the year end of 2009.

 

**Family Relationships**

There are no family relationships among any of the executive officers and our Board members.

**Code of Ethics**

We have adopted a code of ethics that applies to our principal executive officer, principal financial officer, and principal accounting officer as well as our employees.  Our standards are in writing and are to be posted on our website at a future time.   The following is a summation of the key points of the Code of Ethics we adopted:

·

Honest and ethical conduct, including ethical handling of actual or apparent conflicts of interest between personal and professional relationships; 

·

Full, fair, accurate, timely, and understandable disclosure reports and documents that a small business issuer files with, or submits to, the Commission and in other public communications made by our Company; 

·

Full compliance with applicable government laws, rules and regulations;

·

The prompt internal reporting of violations of the code to an appropriate person or persons identified in the code; and

·

Accountability for adherence to the code. 

 

**Changes in Director Nomination Process for Stockholders**

 

None.

 

**Beneficial Ownership Reporting Compliance**

 

Under Section 16(a) of the Exchange Act, our directors and certain of our officers, and persons holding more than 10 percent of our common stock are required to file forms reporting their beneficial ownership of our common stock and subsequent changes in that ownership with the United States Securities and Exchange Commission.  Such persons are also required to furnish the Company with copies of all forms so filed.

 

18

**Item 11.**

**Executive Compensation**

The following table sets forth all cash compensation paid or to be paid by the Company, as well as certain other compensation paid or accrued, during each of the Company’s last two fiscal years to each of the following named executive officers (the “Named Executive Officers”): 

 

**Summary Compensation Table**

 **Annual compensation for fiscal years ended December 31, 2009 and 2008**

Name and Principal Position

Year

Salary

Bonus

Stock

Awards

($)

Option Awards

($)

Non-Equity Incentive Plan Compensation ($)

Non-Qualified Deferred Compensation Earnings

($)

All Other Compensation

($)

Totals

($)

Chen Xing Hua – (i)

President and Director

2009

2008

$26,352

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

Ye Xing Zhang – (ii)

CEO and Director

2009

2008

$26,352

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

Deng Lin – (iii)

CFO

2009

2008

$21,082

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

Chen Feng – (iv)

Director

2009

2008

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

(i)

Mr. Chen Xing Hua was appointed as President and Director of the Company on September 18, 2009.

(ii)

Mr. Ye Xing Zhang was appointed as Director of the Company on May 31, 2009, and then named as the CEO of the Company on September 18, 2009.

(iii)

Ms. Deng Lin was appointed as CFO of the Company on September 18, 2009

(iv)

Mr. Chen Feng was appointed as Director, CEO and CFO of the Company on December 12, 2008.  On September 18, 2009, he resigned as CEO and CFO and remained as Director of the Company.

**Employment Agreements**

Currently, we have no employment agreements with any of our Directors or Officers.

**Equity Compensation Plans**

 

We do not maintain any equity compensation plans and we have not granted any stock options or stock appreciation rights or any awards under long-term incentive plans.

**Pension Benefits**

We do not sponsor any qualified or non-qualified defined benefit plans.

**Nonqualified Deferred Compensation**

We do not maintain any non-qualified defined contribution or deferred compensation plans.

19

**Item 12.**

**Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters**

 

Below is a list of the beneficial ownership of the common stock held by officers and directors of the Company and each person known to us to own more than 5% of the outstanding stock of the Company:

Beneficial owners

Title

Total number of shares owned

Nature of ownership

Chen Xing Hua

President and Director

123,375,000

14,725,000 shares from 100% equity ownership of Han Sing Investments Incorporated

103,650,000 shares from 50% equity ownership of Lionhero Investments Limited

Deng Lin

CFO

500,000

500,000 shares held directly

Ye Xin Zhang

CEO and Director

103,650,000

103,650,000 shares from 50% equity ownership of Lionhero Investments Limited

Chen Xiao Ming

5% or more shareholder

16,000,000

5,000,000 shares held directly

11,000,000 shares under his wife’s name, Han Yishen

Han Yishen

5% or more shareholder

16,000,000

11,000,000 shares held directly

5,000,000 shares under her husband’s name, Chen Xiao Ming

 

**Item 13.**

**Certain Relationships and Related Transactions, and Director Independence**

The Company has following related party transactions during the fiscal year ended December 31, 2009:

Sales to Beijing Shanghan

Sales to Beijing Shanghan for the year ended December 31, 2009 was $10,162,381.  Beijing Shanghan is a related party as a director of which is also a shareholder of the Company. We believe that these sales were made at the prevailing sales price in the market and were on terms similar to other purchasers of these items from the operating entities.

As of December 31, 2009, the accounts receivable from Beijing Shanghan, net of an allowance for doubtful account of $2,590,795, amounted to $3,276,875.

Loans from related parties

Mr. Chen Xing Hua, our president of the Company, provided a short term loan of $219,900 to the Company in 2008.  The amount was bearing interest at 12% per annum, and was fully repaid in January 2009.  Interest expense associated with this loan for the year ended December 31, 2009 was $2,196.

Shenzhen Hanhong Investments Limited (“Shenzhen Hanhong”) provided a short term loan of $879,600 to the Company in 2008.  At January 1, 2009, the outstanding amount was $776,980.  The amount was bearing interest at 12% per annum, and was fully repaid in May 2009.  Interest expense associated with this loan for the year ended December 31, 2009 was $23,278.

Mr. Chen Xin Hua is a common director of the Company and Shenzhen Hanhong.

In 2008, Shenzhen Ziyunjin Investments Limited provided a short term loan of $689,020 to the Company. The amount was bearing interest at 12% per annum, and was fully repaid in June 2009.  Interest expense associated with this loan for the year ended December 31, 2009 was $30,969.

Shenzhen Ziyunjin is a related party as Mr. Chen Feng, one of our directors, holds a senior position in Shenzhen Ziyunjin.  Also one of our shareholders is a director of Shenzhen Ziyunjin.

Advances to a director

In 2009, we provided advances of $99,957 to Mr. Ye Xin Zhang, our CEO, for the Company’s daily operating expense. The balance was unsecured, interest free and had no fixed terms of repayment.

Advances from a director

In 2009, Mr. Chen Xin Hua provided us with advances of $201,033 for our working capital use. The amount was unsecured, interest free and had no fixed terms of repayment.

20

Guarantee

As of December 31, 2009, the Company’s net amount due to Court of Anyi of $1,494,300 is guaranteed by Shenzhen Hanhong.  Details of which have been disclosed in footnote 13 to the consolidated financial statements.

**Item 14.**

**Principal Accountant Fees and Services**

On January 3, 2010, the Company dismissed its principal independent accountants, Ronald R. Chadwick, P.C. (“Chadwick”). The decision to dismiss Chadwick as the Company’s principal independent accountant was approved by the Company’s Board of Directors on January 3, 2010. Chadwick’s report on the Company’s financial statements for the fiscal years ended June 30, 2009 and 2008 contained no adverse opinion or disclaimer of opinion, nor was it qualified or modified as to uncertainty, audit scope or accounting principles except as stated herein.

Except as stated herein, during the period from Chadwick’s engagement through the date of Chadwick’s dismissal, there were no disagreements with Chadwick on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreements, if not resolved to the satisfaction of Chadwick, would have caused Chadwick to make reference to the subject matter of the disagreements in connection with its report on the financial statements for such period. None of the “reportable events” described under Item 304(a)(1)(iv) of Regulation S-K occurred within the period of Chadwick’s engagement.  The audit report relating to the audit of China Green Creative, Inc.’s financial statements for the year ended June 30, 2009 and filed on August 22, 2009 indicated the auditors’ substantial doubt about the Company’s ability to continue as a going concern because, at those times, the Company required additional funds to meet its obligations and the costs of its operations.

On January 3, 2010, the Company engaged Madsen & Associates CPA Inc. (“Madsen”) as its new principal independent accountants, effective immediately upon the dismissal of Chadwick. The decision to engage Madsen as the Company’s principal independent accountants was approved by the Company’s Board of Directors on January 3, 2010.

The Registrant has provided Chadwick with a copy of this Current Report on Form 8-K before it was filed and requested that Chadwick furnish it with a letter addressed to the Securities and Exchange Commission stating whether it agrees with the above statements. A copy of Chadwick’s letter dated April 6, 2010 is filed as Exhibit 16 to this Current Report on Form 8-K.

The Company paid the following fees to its auditors during its fiscal years ended December 31, 2009 and 2008:

**Fee Category**

** **

**2009**

 

 

**2008**

** **

Audit fees – Madsen

 

$

43,000

 

 

$

0

 

Audit Fees –Ronald R. Chadwick

 

$

7,500

 

 

$

7,500

 

 

Audit Fees

The aggregate fees billed by Chadwick for professional services rendered for the audit of the Company’s financial statements for the fiscal years ended June 30, 2009 and 2008, for the review of the Company’s financial statements for the periods ended September 30, 2008, December 31, 2008, and March 31, 2009. 

On November 4, 2009, the Company changed the fiscal year to a December 31 year-end.  The Company filed a Form 10-Q for quarter ended September 30, 2009 and a Form 10-K for the year ended December 31, 2009.

The aggregate fees billed by Madsen for professional services rendered for the audit of the Company’s financial statements for the year ended December 31, 2009, and for the review of the Company’s financial statements for the period ended September 30, 2009.

Audit Related Fees

We did not incur any audit-related fees with Madsen or Chadwick for the years ended December 31, 2009 and 2008.

 

Tax Fees

We did not incur any tax fees with Madsen or Chadwick for the years ended December 31, 2009 and 2008.

 

All Other Fees

We did not incur any fees with Madsen or Chadwick for other professional services rendered for the years ended December 31, 2009 or 2008.

 

21

Pre-Approval Of Services

The Board of Director’s policy is to pre-approve all audit and permissible non-audit services provided by the independent auditors. These services may include audit services, audit-related services, tax services and other services. The Board may also pre-approve particular services on a case-by-case basis.

 

**PART IV**

**Item 15.**

**Exhibits, Financial Statement Schedules**

 

(a)(1) Financial Statements

 

**China Green Creative, Inc. and Subsidiaries**

**December 31, 2009 and 2008**

Report of Independent Registered Public Accounting Firm 

24

Consolidated Balance Sheets 

25

Consolidated Statements of Operations and Comprehensive Income

26

Statements of Changes in Stockholders’ Equity and Comprehensive Income

27

Consolidated Statements of Cash Flows 

28

Notes to Consolidated Financial Statements 

30

An index to Consolidated Financial Statements appears on page F-1.

 

(b) Exhibits

 The following Exhibits are filed as part of this report:

 

 

**Exhibit**

**Number**

**Exhibit Title**

 

 

31.1

Certification of Ye Xing Zhang pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2

Certification of Deng Lin, pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.1

Certification of Ye Xing Zhang pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

32.2

Certification of Deng Lin, pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

22

**SIGNATURES**

 

In accordance with Section 13 or 15(d) of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, there unto duly authorized.

 

 

** China Green Creative, Inc.**

 

 

 

 

 

 Dated April 13, 2010

By: 

*/s/ Ye Xing Zhang*

 

 

 

Ye Xing Zhang

 

 

 

Chief Executive Officer, Director

 

In accordance with the requirements of the Securities Act of 1933, this registration statement was signed by the following persons in the capacities and on the dates stated.

 

 

 

Name

Title

Date

 

 

 

*/s/ Ye Xing Zhang*

 

April 13, 2010

Ye Xing Zhang

Chief Executive Officer, Director

 

 

 

 

*/S/ Chen Feng*

 

April 13, 2010

Chen Feng

Director

 

 

 

 

*/s/ Deng Lin*

 

April 13, 2010

Deng Lin

Chief Financial Officer, Principal Accounting Officer

 

23

** REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

To the Board of Directors andStockholders of China Green Creative, Inc. and subsidiaries

We have audited the accompanying balance sheets of China Green Creative, Inc. and subsidiaries as of December 31, 2009 and 2008, and the related statements of operations and comprehensive income, stockholders’ equity, and cash flows for each of the years in the two year period ended December 31, 2009. China Green Creative Inc’s management is responsible for these financial statements. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. The company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company’s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of China Green Creative, Inc. and subsidiaries as of December 31, 2009 and 2008, and the results of its operations and its cash flows for each of the years in the two year period ended December 31, 2009 in conformity with accounting principles generally accepted in the United States of America.

           */s/Madsen & Associates CPA’s, Inc.*

Madsen & Associates CPA’s, Inc.

 

 

Salt Lake City, Utah  84107

 

 

April 12, 2010 

 

 

 

24

**CHINA GREEN CREATIVE, INC. AND SUBSIDIARIES**

**CONSOLIDATED BALANCE SHEETS**

**December 31, 2009 and 2008**

 

 

 

 

2009

 

2008

**Assets**

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

      Cash and cash equivalents

 

 

$

116,989

$

6,768

      Accounts receivable

 

 

 

3,282,501

 

48,733

      Inventories

 

 

 

66,289

 

1,121,068

      Amount due from a director

 

 

 

99,957

 

-

Prepaid expenses and other receivables

 

 

 

231,883

 

447,241

Total current assets

 

 

 

3,797,619

 

1,623,810

 

 

 

 

 

 

 

Property, plant and equipment, net

 

 

 

3,348,553

 

3,431,223

Land use rights, net

 

 

 

95,478

 

97,056

Other intangible assets, net

 

 

 

39,198

 

-

Deferred tax assets

 

 

 

430,798

 

450,966

 

 

 

 

 

 

 

**Total assets**

 

 

**$**

**7,711,646**

**$**

** 5,603,055**

 

 

 

 

 

 

** **

**Liabilities and stockholders’ equity**

 

 

 

 

 

 

**Liabilities**

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

Accounts payable

 

 

$

436,505

$

153,004

Accrued expenses and other payables

 

 

 

2,523,943

 

382,127

Other liabilities

 

 

 

1,494,300

 

1,876,480

Loans from related parties

 

 

 

-

 

996,880

Short term debts

 

 

 

230,005

 

689,020

Taxes payable

 

 

 

1,550,172

 

23,899

Amount due to a director

 

 

 

201,033

 

12,741

Total current liabilities

 

 

 

6,435,958

 

4,134,151

 

 

 

 

 

 

 

Long term debt

 

 

 

-

 

303,462

Long term accrued expenses

 

 

 

-

 

142,935

 

 

 

 

** **

 

** **

**Total liabilities**

 

 

 

** 6,435,958**

 

** 4,580,548**

 

 

 

 

** **

 

** **

**Stockholders’ equity**

 

 

 

** **

 

** **

Common stock: Par value $0.001 per share; 400,000,000 shares authorized, 300,000,000 and 277,785,000 shares issued and outstanding in 2009 and 2008, respectively

 

 

 

300,000

 

277,785

Additional paid in capital

 

 

 

1,632,689

 

1,654,904

Accumulated deficits

 

 

 

(919,402)

 

(1,173,091)

Accumulated other comprehensive income

 

 

 

262,401

 

262,909

**Total stockholders’ equity**

 

 

 

** 1,275,688**

 

** 1,022,507**

 

 

 

 

** **

 

** **

**Total liabilities and stockholders’ equity**

 

 

**$**

** 7,711,646**

**$**

** 5,603,055**

 

 

 

 

 

 

** **

**See accompanying notes to consolidated financial statements**

25

**CHINA GREEN CREATIVE, INC. AND SUBSIDIARIES**

** CONSOLIDATED STATEMENTS OF OPERATIONS**

**AND COMPREHENSIVE INCOME**

**Year ended December 31, 2009 and 2008**

 

 

**2009**

 

**2008**

 

 

 

 

 

Revenues

$

10,417,379

$

859,110

 

 

 

 

 

Cost of sales

 

2,747,490

 

336,237

 

 

 

 

 

Gross profit

 

7,669,889

 

522,873

 

 

 

 

 

Expenses

 

 

 

 

Selling and distribution 

 

1,289,329

 

368,889

General and administrative (inclusive of depreciation and allowance of doubtful accounts)

 

5,804,483

 

450,344

Total operating expenses

 

7,093,812

 

819,233

 

 

 

 

 

Operating profit/(loss) from continuing operations

 

576,077

 

(296,360)

 

 

 

 

 

Other income/(expenses)

 

 

 

 

Other income

 

-

 

2,159

Other expenses

 

(3,243)

 

-

Interest expense

 

(100,363)

 

(112,832)

Total other expenses

 

(103,606)

 

(110,673)

 

 

 

 

 

Income/(loss) from continuing operations before provision for income taxes

 

472,471

 

(407,033)

 

 

 

 

 

Provision for income taxes

 

218,782

 

(101,758)

 

 

 

 

 

**Net income/(loss) from continuing operations**

 

**253,689**

 

**(305,275)**

 

 

 

 

 

Discontinued operations

 

 

 

 

Net loss

 

(2,288)

 

-

Gain on disposal of discontinued operations

 

2,288

 

-

 

 

 

 

 

**Net income/(loss) from discontinued operations**

 

-

 

-

 

 

 

 

 

**Net income/(loss) for the period**

**$**

**253,689**

**$**

**(305,275)**

 

 

 

 

 

Other comprehensive income

 

 

 

 

(Loss)/gain on foreign currency translation

 

(508)

 

81,597

 

 

 

 

 

**Total comprehensive income/(loss) for the period**

$

253,181

$

(223,678)

 

 

 

 

 

 

 

 

 

 

Earnings/(loss) per share, basic and diluted – continuing operations

$

0.001

$

(0.001)

 

 

 

 

 

Weighted average number of shares outstanding, basic and diluted

 

300,000,000

 

300,000,000

**See accompanying notes to consolidated financial statements**

26

**CHINA GREEN CREATIVE, INC. AND SUBSIDIARIES**

**STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY**

**AND COMPREHENSIVE INCOME**

**Years ended December 31, 2009 and 2008**

 

 

 **Common stock**

 

**Additional**

**paid in**

**capital**

 

** Accumulated**

** deficits**

 

**Accumulated**

**other**

**comprehensive**

**Income**

 

** Total**

** equity**

 

**Number of**

**shares**

 

** Amount**

  

 

  

 

 

 

 

 

 

 

 

 

 

 

 

 

**Balance at January 1, 2008**

** **

 277,785,000

 $

 277,785

 $

 1,654,904

 $

(867,816)

 $

181,312

 $

 1,246,185

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss for the year

 

-

 

-

 

-

 

(305,275)

 

-

 

 (305,275)

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation adjustments

 

-

 

-

 

-

 

-

 

81,597

 

 81,597

 

 

 

 

 

 

 

 

 

 

 

 

 

**Balance at December 31, 2008 and January 1, 2009**

** **

277,785,000

 $

277,785

 $

 1,654,904

 $

(1,173,091)

 $

262,909

 $

1,022,507

 

 

 

 

 

 

 

 

 

 

 

 

 

Issuance of exchange shares

 

22,215,000

 

22,215

 

(22,215)

 

-

 

-

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income for the year

 

-

 

-

 

-

 

253,689

 

-

 

253,689

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation adjustments

 

-

 

-

 

-

 

-

 

(508)

 

(508)

 

 

 

 

 

 

 

 

 

 

 

 

 

**Balance at December 31, 2009**

** **

**300,000,000**

** $**

**300,000**

**$**

**1,632,689**

**$**

**(919,402)**

**$**

**262,401**

**$**

**1,275,688**

 

 

**See accompanying notes to consolidated financial statements**

27

**CHINA GREEN CREATIVE, INC. AND SUBSIDIARIES**

** CONSOLIDATED STATEMENTS OF CASH FLOWS**

**Year ended December 31, 2009 and 2008**

 

 

**2009**

 

**2008**

**Cash flows from operating activities**

 

 

 

 

Net income/(loss) from continuing operations

$

253,689

$

(305,275)

Adjustments to reconcile net loss to net cash provided by/(used in) operating activities:

 

 

 

 

Depreciation expense

 

407,516

 

167,375

Impairment charges for property, plant and equipment

 

628,169

 

-

Allowance for doubtful accounts

 

2,590,795

 

-

Amortization expense of land use rights

 

1,510

 

1,485

Amortization expense of other intangible assets

 

2,407

 

-

Deferred tax 

 

19,847

 

(111,510)

Changes in operating assets and liabilities:

 

 

 

 

Increase in accounts receivable

 

(5,824,563)

 

(48,733)

Decrease/(increase) in inventories

 

1,054,779

 

(1,121,068)

Decrease/(increase) in prepaid expenses and other receivables

 

215,358

 

(437,461)

Increase in amount due from a director

 

(99,957)

 

-

Increase in accounts payable

 

283,501

 

153,004

Increase in accrued expenses and other payables

 

1,559,681

 

366,702

Increase in taxes payable

 

1,526,273

 

23,899

 

 

 

 

 

Net cash provided by/(used in) operating activities – continuing operations

 

 2,619,005

 

 (1,311,582)

Net cash used in operating activities – discontinued operations

 

(247)

 

(75,366)

 

 

 

 

 

**Net cash provided by/(used in) operating activities**

 

2,618,758

 

(1,386,948)

 

 

 

 

 

**Cash flows from investing activities**

 

 

 

 

Additions to property, plant and equipment

$

(516,210)

 

(132,631)

Additions to other intangible assets

 

(41,605)

 

-

 

 

 

 

 

Net cash used in investing activities – continuing operations

 

(557,815)

 

(132,631)

Net cash used in investing activities – discontinued operations

 

-

 

-

 

 

 

 

 

**Net cash used in investing activities**

 

(557,815)

 

(132,631)

 

 

 

 

 

**Cash flows from financing activities**

 

 

 

 

Decrease in other liabilities

$

(382,180)

$

-

Increase in loans from related parties

 

-

 

1,097,610

Repayment of loans from related parties

 

(996,880)

 

(100,730)

Proceeds from other borrowings

 

-

 

689,020

Repayment of debt

 

(762,477)

 

(205,777)

Increase/(decrease) in amount due to a director

 

188,292

 

(16,684)

 

 

 

 

 

Net cash (used in)/provided by financing activities – continuing operations

 

(1,953,245)

 

1,463,439

Net cash provided by financing activities – discontinued operations

 

-

 

26,587

 

 

 

 

 

**Net cash (used in)/provided by financing activities**

 

**(1,953,245)**

 

**1,490,026**

 

 

 

 

 

**Net increase/(decrease) in cash and cash equivalents**

 

 

 

 

Attributable to continuing operations

$

107,945

 

19,226

Attributable to discontinued operations

 

(247)

 

(48,779)

 

$

107,698

$

(29,553)

**(...continued)**

28

**CHINA GREEN CREATIVE, INC. AND SUBSIDIARIES**

** CONSOLIDATED STATEMENTS OF CASH FLOWS**

**Year ended December 31, 2009 and 2008**

**(Continued)**

 

 

**2009**

 

**2008**

 

 

 

 

 

**Effect of foreign exchange rate changes**

 

 

 

 

Attributable to continuing operations

 $

2,276

$

(22,754)

Attributable to discontinued operations

 

-

 

-

 

$

2,276

$

(22,754)

 

 

 

 

 

**Cash and cash equivalents at January 1**

 

 

 

 

Attributable to continuing operations

$

6,768

$

10,296

Attributable to discontinued operations

 

247

 

49,026

 

$

7,015

$

59,322

 

 

 

 

 

**Cash and cash equivalents at December 31**

 

 

 

 

Attributable to continuing operations

$

116,989

$

6,768

Attributable to discontinued operations

 

-

 

247

 

$

116,989

$

7,015

 

 

 

 

 

Supplement disclosure of cash flows information:

 

 

 

 

Cash paid for interest

$

56,443

$

62,372

Cash paid for income taxes

$

-

$

-

**See accompanying notes to consolidated financial statements**

29

**CHINA GREEN CREATIVE, INC. AND SUBSIDIARIES**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS**

**Year ended December 31, 2009 and 2008**

**NOTE 1 – ORGANIZATION AND PRINCIPAL ACTIVITIES**

China Green Creative, Inc. (“CGC”), a Nevada Corporation, was incorporated on August 17, 2006 under the name of Glance, Inc. On January 21, 2009, we changed our name to China Green Creative, Inc. CGC and its subsidiaries (collectively known as the “Company”) are principally engaged in the distribution of consumer goods in the People’s Republic of China (“China” or the “PRC”).

As of December 31, 2009, the details of the Company’s subsidiaries are summarized as follows:

Name

 

Domicile and date of incorporation

 

Paid-in capital

 

Effective ownership

 

Principal activities

 

 

 

 

 

 

 

 

 

Plenty Fame Holding, Limited (“Plenty Fame”)

 

British Virgin Islands (the “BVI”)

January 18, 2008

 

$50,000

 

100%

 

Investment holding

 

 

 

 

 

 

 

 

 

Prospect Hong Kong Development Limited (“Prospect”)

 

Hong Kong Special Administrative Region (“HKSAR”)

October 17, 2008

 

HK$10,000

 

100%

 

Investment holding

 

 

 

 

 

 

 

 

 

Jiangxi Jien Industries Limited

 (“Jiangxi Jien”)

 

The PRC 

April 8, 1997

 

RMB16,000,000

 

100%

 

Distribution of consumer goods in the PRC

 

 

 

 

 

 

 

 

 

Shenzhen Jien Electronic Commerce Company Limited (“Shenzhen Jien”)

 

The PRC 

April 13, 2009

 

RMB3,000,000

 

100%

 

Distribution of consumer goods in the PRC, and provision of online customer services

 

 

 

 

 

 

 

 

 

On April 13, 2009, Jiangxi Jien formed Shenzhen Jien as a wholly-owned subsidiary. Shenzhen Jien is principally engaged in the distribution of consumer goods in the PRC, and provision of online customer services for the company’s customers. Its registered capital of RMB3,000,000 was fully paid up in April, 2009.  

No segment information is reported as the Company has operated in only one segment for the years ended December 31, 2009 and 2008.

**NOTE 2 – RECAPITALIZATION AND REORGANIZATION**

On May 31, 2009, Plenty Fame entered into a share exchange agreement (the “Agreement for Share Exchange”) with CGC. Pursuant to which CGC acquired all of the equity ownership of Plenty Fame in exchange for 277,785,000 newly-issued shares of CGC. On September 18, 2009, the Company issued the shares and closed the Agreement for Share Exchange. 

Immediately after completion of the share exchange transaction, the Company had a total of approximately 300,000,000 shares of its common stock issued and outstanding. 

The above stock exchange transaction resulted in the shareholders of Plenty Fame obtaining a majority voting interest in the Company. Generally accepted accounting principles in the United States of America require that the Company whose shareholders retain the majority interest in a combined business be treated as the acquirer for accounting purposes. Consequently, the stock exchange transaction has been accounted for as a recapitalization of Plenty Fame as Plenty Fame acquired a controlling equity interest in the Company. The reverse acquisition process utilizes the capital structure of CGC and the assets and liabilities of Plenty Fame recorded at historical cost.

30

Plenty Fame is the continuing operating entity for financial reporting purposes and the financial statements prior to September 18, 2009 represent Plenty Fame’s financial position and results of operations. Although Plenty Fame is deemed to be the acquiring corporation for financial accounting and reporting purposes, the legal status of the Company as the surviving corporation did not change.  

**NOTE 3 – PRINCIPLES OF CONSOLIDATION**

The accompanying consolidated financial statements for the years ended December 31, 2009 and 2008 include the accounts of the Company and the Company’s subsidiaries (see Note 1). The consolidated financial statements are prepared in accordance with generally accepted accounting principles used in the United States of America, and all significant intercompany balances and transactions have been eliminated. The functional currency for the majority of the Company’s operations is the Renminbi (“RMB”), while the reporting currency is the US Dollar. 

**NOTE 4 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

(a)

Economic and Political Risk 

The Company’s major operations are conducted in China. Accordingly, the political, economic, and legal environments in the PRC, as well as the general state of the PRC’s economy may influence the Company’s business, financial condition, and results of operations.

The Company’s major operations in the PRC are subject to special considerations and significant risks not typically associated with companies in North America and Western Europe. These include risks associated with, among others, the political, economic, and legal environment. The Company’s results may be adversely affected by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, and rates and methods of taxation, among other things.

(b)

Cash and Cash Equivalents

The Company considers all highly liquid investments purchased with original maturities of three months or less to be cash equivalents.  The Company maintains bank accounts in Hong Kong and China.

(c)

Accounts Receivable

Trade receivables are recognized and carried at the original invoice amount less allowance for any uncollectible amounts. An estimate for doubtful accounts is made when collection of the full amount is no longer probable. Allowance for doubtful accounts is primarily determined by review of specific accounts receivable.  Those accounts that are doubtful of collection are included in the allowance.  An additional allowance has been established based on a percentage of receivables outstanding.  These provisions are reviewed to determine the adequacy of the allowance for doubtful accounts.  Accounts receivables are charged off when there is certainty as to their being uncollectible. 

(d)

Inventories

Inventories consisting of trading goods, packing and other materials are stated at the lower of cost or net realizable value. Inventory costs are calculated using a weighted average method of accounting.

(e)

Property, Plant and Equipment

Property, plant and equipment are carried at cost less accumulated depreciation. The cost of maintenance and repairs is charged to the statement of income as incurred, whereas significant renewals and betterments are capitalized. The cost and the related accumulated depreciation of assets sold or otherwise retired are eliminated from the accounts and any gain or loss is included in the statement of income.

(f)

Land Use Right

According to the law of PRC, the government owns all the land in the PRC. Companies or individuals are authorized to possess and use the land only through land use right granted by the PRC government for 50 to 60 years.

31

(g)

Other Intangible Assets with Definite Lives

Other long-lived assets and intangible assets with definite lives, including cost of setting up information systems, are tested for recoverability whenever events or changes in circumstances indicate that their carrying amount may not be recoverable. The carrying amount of a long-lived asset is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. If the carrying amount is deemed to not be recoverable, an impairment loss is recorded as the amount by which the carrying amount of the long-lived asset exceeds its fair value. 

(h)

Depreciation and Amortization

The Company provides for depreciation of plant and equipment principally by use of the straight-line method for financial reporting purposes. 

Amortization of definite lived intangible assets is recorded on a straight-line basis over their estimated lives.

(i)

Accounting for the Impairment of Long-Lived Assets

The long-lived assets held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of assets may not be recoverable. It is reasonably possible that these assets could become impaired as a result of technology or other industry changes. Determination of recoverability of assets to be held and used is by comparing the carrying amount of an asset to future net undiscounted cash flows to be generated by the assets. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. 

(j)

Income Tax

Income taxes are based on pre-tax financial accounting income. Deferred tax assets and liabilities are recognized for the expected tax consequences of temporary differences between the tax bases of assets and liabilities and their reported amounts. The Company periodically assesses the need to establish valuation allowances against its deferred tax assets to the extent the Company no longer believes it is more likely than not that the tax assets will be fully utilized.

 

The Company evaluates a tax position to determine whether it is more likely than not that the tax position will be sustained upon examination, based upon the technical merits of the position. A tax position that meets the more-likely-than-not recognition threshold is subject to a measurement assessment to determine the amount of benefit to recognize and the appropriate reserve to establish, if any. If a tax position does not meet the more-likely-than-not recognition threshold, no benefit is recognized

In accordance with the relevant tax laws and regulations of PRC, the applicable corporation income tax rate was 25% for the years ended December 31, 2009 and 2008, respectively.  At times generally accepted accounting principles requires the Company to recognize certain income and expenses that do not conform to the timing and conditions allowed by the PRC. 

(k)

Fair Value of Financial Instruments

The Company’s financial instruments primarily consist of cash and cash equivalents, accounts receivable, prepaid expenses and other receivables, amount due from/(to) directors, other liabilities, loans from related parties, debts, accounts payable, accrued expenses and other payables, and taxes payable. 

The estimated fair value amounts have been determined by the Company, using available market information or other appropriate valuation methodologies. However, considerable judgment is required in interpreting market data to develop estimates of fair value. Consequently, the estimates are not necessarily indicative of the amounts that could be realized or would be paid in a current market exchange. 

  

As of the balance sheet dates, the estimated fair values of the financial instruments were not materially different from their carrying values as presented, due to the short maturities of these instruments and the fact that the interest rates on the borrowings approximate those that would have been available for loans of similar remaining maturity and risk profiles at respective year ends. 

(l)

Revenue Recognition

32

Revenue represents the invoiced value of goods sold recognized upon the shipment of goods to customers. Revenue is recognized when all of the following criteria are met:

(i)

Persuasive evidence of an arrangement exists,

(ii)

Delivery has occurred,

(iii)

The seller’s price to the buyer is fixed or determinable, and

(iv)

Collectability is reasonably assured.

(m)

Earnings Per Share

Basic earnings per share is computed by dividing income available to common shareholders by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is computed similar to basic earnings per share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive.  As of December 31, 2009 and 2008, there were no dilutive securities outstanding.

(n)

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates.

(o)

Retirement Benefits

The country of PRC mandates companies to contribute funds into the national retirement system, which benefits qualified employees based on where they were born within the country. The Company pays the required payment for qualified employees of the Company as a payroll tax expense. Very few employees in the Company fall under the mandatory conditions requiring the Company to pay as a payroll tax expense into the retirement system of the PRC. 

The Company’s PRC subsidiaries are required to make appropriations to staff welfare fund, based on after-tax net income determined in accordance with generally accepted accounting principles of the People’s Republic of China (the “PRC GAAP”). Appropriations to the staff welfare fund are made at the discretion of the Board of Directors. The staff welfare fund is established for the purpose of providing employee facilities and other collective benefits to the employees and is non-distributable other than in liquidation. 

The Company provides no other retirement benefits to its employees.

(p)

Comprehensive Income

Comprehensive income is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. Among other disclosures, all items that are required to be recognized under current accounting standards as components of comprehensive income are required to be reported in a financial statement that is presented with the same prominence as other financial statements.  Comprehensive income includes net income and the foreign currency translation gain, net of tax.

(q)

Foreign Currency Translation

The accompanying consolidated financial statements are presented in United States Dollars (US$). The functional currency of the Company is the Renminbi (RMB). Capital accounts of the consolidated financial statements are translated into United States dollars from RMB at their historical exchange rates when the capital transactions occurred. Assets and liabilities are translated at the exchange rates as of balance sheet date. Income and expenditures are translated at the average exchange rate of the year.  The translation rates are as follows:

 

2009

 

2008

 

 

 

 

Year end RMB : US$ exchange rate

0.1465

 

0.1466

Average yearly RMB : US$ exchange rate            

0.1464

 

0.1439

33

On July 21, 2005, the PRC changed its foreign currency exchange policy from a fixed RMB/US$ exchange rate into a flexible rate under the control of the PRC’s government.

The RMB is not freely convertible into foreign currency and all foreign exchange transactions must take place through authorized institutions.  No representation is made that the RMB amounts could have been, or could be, converted into US$ at the rates used in translation.

(r)

Reclassifications

Certain prior year amounts have been reclassified to conform to current period presentation.

(s)

Recent Accounting Pronouncements

In June 2009, the Financial Accounting Standards Board (the "FASB") issued guidance which establishes the FASB Accounting Standards Codification (the “Codification” or “ASC”) as the official single source of authoritative GAAP. All existing accounting standards are superseded by the Codification, and all other accounting guidance not included in the Codification will be considered non-authoritative. The Codification also includes all relevant SEC guidance organized using the same topical structure in separate sections within the Codification. Following the Codification, the FASB will not issue new standards in the form of Statements, FASB Staff Positions or Emerging Issues Task Force Abstracts. Instead, it will issue Accounting Standards Updates (“ASU”), which will serve to update the Codification, provide background information about the guidance and provide the basis for conclusions on the changes to the Codification. The Codification is not intended to change GAAP, but did change the way GAAP is organized and presented. The Codification was effective for interim and annual periods ending after September 15, 2009, and the Company adopted the provisions of the Codification beginning with financial statements issued after September 15, 2009. The impact on the Company’s financial statements is limited to disclosures, in that references to authoritative accounting literature no longer reference the prior guidance.

 

In August 2009, the FASB issued additional guidance clarifying the measurement of liabilities at fair value. When a quoted price in an active market for the identical liability is not available, the amendments require that the fair value of a liability be measured using one or more of the listed valuation techniques that should maximize the use of relevant observable inputs and minimize the use of unobservable inputs. In addition the amendments clarify that when estimating the fair value of a liability, an entity is not required to include a separate input or adjustment to other inputs relating to the existence of a restriction that prevents the transfer of the liability. The amendment also clarifies how the price of a traded debt security (i.e., an asset value) should be considered in estimating the fair value of the issuer’s liability. The amendments were effective immediately. The adoption of this amendment did not have a significant impact on the Company’s financial statements.

 

In October 2009, the FASB issued guidance that supersedes certain previous rules relating to how a company allocates consideration to all of its deliverables in a multiple-deliverable revenue arrangement. The revised guidance eliminates the use of the residual method of allocation in which the undelivered element is measured at its estimated selling price and the delivered element is measured as the residual of the arrangement consideration and alternatively requires that the relative-selling-price method be used in all circumstances in which an entity recognizes revenue for an arrangement with multiple-deliverables. The revised guidance requires both ongoing disclosures regarding an entity’s multiple-element revenue arrangements as well as certain transitional disclosures during periods after adoption. All entities must adopt the revised guidance no later than the beginning of their first fiscal year beginning on or after June 15, 2010 with earlier adoption allowed. Entities may elect to adopt the guidance through either prospective application or through retrospective application to all revenue arrangements for all periods presented. The Company plans to adopt the revised guidance effective January 1, 2011. The Company does not believe the adoption of this new guidance will have a significant impact on the Company’s financial statements.

In January 2010, the FASB issued a standard update that clarifies the scope and establishes the accounting and reporting guidance for noncontrolling interests and changes in ownership interest of a subsidiary. This standard update is effective beginning with the interim or annual reporting period ending on or after December 15, 2009. The Company began applying this new amendment in its December 31, 2009 financial statements. The adoption of this amendment did not have a significant impact on the Company’s financial statements.

34

**NOTE 5 – ACCOUNTS RECEIVABLE**

As of the balance sheet dates, the Company’s accounts receivable are summarized as follows:

 

 

2009

 

2008

 

 

 

 

 

Beijing Shanghan International Trading Limited (“Beijing Shanghan”)

$

5,867,670

$

48,733

Others

 

5,626

 

-

 

 

5,873,296

 

48,733

Less: Allowance for doubtful accounts

 

(2,590,795)

 

-

 

 

 

Total

$

3,282,501

$

48,733

Beijing Shanghan is a related party as a director of which is also a shareholder of the Company. It contributed 97.6% and 82.7% of the Company’s revenues for years ended December 31, 2009 and 2008, respectively. The balances are unsecured, interest free and repayable according to terms of trade.

Subsequent to the balance sheet date, in January, 2010, the Company entered into a repayment arrangement with Beijing Shanghan to collect the amount under a repayment schedule of up to 12 months, and has collected $658,800 from the customer up to the date of this report.  The Company reviewed the recoverability of this account and recorded an allowance of $2,590,795 or approximately 50% of the outstanding receivable as of the date of this report. 

The allowance was charged to general and administrative expenses for the year ended December 31, 2009.

   

NOTE 6 – INVENTORIES

As of the balance sheet dates, the Company’s inventories are summarized as follows:

 

 

2009

 

2008

 

 

 

 

 

Trading inventories

$

    40,041

$

1,114,240

Packing and other materials

 

    26,248

 

6,828

 

 

 

Total 

$

   66,289

$

1,121,068

**NOTE 7 – PREPAID EXPENSES AND OTHER RECEIVABLES**

As of the balance sheet dates, the Company’s prepaid expenses and other receivables are summarized as follows:

 

 

2009

 

2008

 

 

 

 

 

Prepaid expenses

$

199,454

$

441,723

Other receivables

 

32,429

 

5,518

 

 

 

Total 

$

231,883

$

447,241

The Company evaluates prepaid expenses and other receivables on a periodic basis and records a charge to the current operations of the Company when the related expense has been incurred or when the amounts reported as other receivables is no longer deemed to be collectible by the Company.

35

**NOTE 8 – PROPERTY, PLANT AND EQUIPMENT, NET**

Property, plant and equipment of the Company consist primarily of manufacturing facilities and equipment owned by Jiangxi Jien in the PRC. As of the balance sheet dates, property, plant and equipment are summarized as follows:

 

Depreciable

lives

 

 

December 31,

2009

 

December 31,

2008

At cost:

 

 

 

 

 

 

Plant

40 years

 

$

1,543,298

$

2,473,475

Machinery

15 years

 

 

158,701

 

1,616,324

Motor vehicle

10 years

 

 

106,945

 

107,722

Office equipment

5 years

 

 

154,016

 

42,294

Leasehold Improvement

2 years

 

 

439,500

 

-

Construction in progress

N/A

 

 

1,604,247

 

529,028

 

 

 

 

4,006,707

 

4,768,843

 

 

 

 

 

 

 

Less: Accumulated depreciation

 

 

 

(658,154)

 

(1,337,620)

 

 

 

 

 

 

 

Property, plant and equipment, net

 

 

$

3,348,553

$

3,431,223

 

 

 

 

 

 

 

Depreciation expense for the years ended December 31, 2009 and 2008 was $407,516 and $167,375, respectively. 

Impairment charges for property, plant and equipment for the years ended December 31, 2009 and 2008 were $628,169 and nil, respectively.

In 2009, the Company has commenced a technical advancement program. Certain machineries, equipment and motor vehicle with net book value of $628,169 in aggregate were removed or abandoned. These assets were fully impaired on December 31, 2009.

The Company’s plant and construction in progress are restricted to sale as of December 31, 2009 and up to the date of this report.  Details of which have been disclosed in note 13 to the consolidated financial statements.

**NOTE 9 – LAND USE RIGHTS, NET**

The Company’s land use rights represent the cost for purchasing the rights to use the leasehold land in the PRC for the production facilities of Jiangxi Jien. According to the law of the PRC, the government owns all the land in the PRC. Companies or individuals are only authorized to possess and use the land through land use rights granted by the PRC government.

As of the balance sheet dates, the Company’s land use rights are summarized as follows:

 

Useful lives

 

 

2009

 

2008

At cost:

 

 

 

 

 

 

Land use rights

59 – 60 years

 

$

111,384 

$

111,460 

 

 

 

 

 

 

 

Less: Accumulated amortization

 

 

 

(15,906)

 

(14,404)

 

 

 

 

 

 

 

Land use rights, net

 

 

$

95,478 

$

97,056 

 

 

 

 

 

 

 

Amortization expense of land use rights for the years ended December 31, 2009 and 2008 was $1,510 and $1,485, respectively.

The Company’s land use rights are restricted to sale as of December 31, 2009 and up to the date of this report.  Details of which have been disclosed in note 13 to the consolidated financial statements.

36

**NOTE 10 – OTHER INTANGIBLE ASSETS, NET**

The Company’s other intangible assets represent cost of setting up information systems for the provision of e-commerce services. As of the balance sheet dates, the Company’s other intangible assets are summarized as follows:

 

Useful lives

 

2009

 

2008

At cost:

 

 

 

 

 

Information systems

5 years

$

41,605 

$

-

 

 

 

 

 

 

Less: Accumulated amortization

 

 

(2,407)

 

-

 

 

 

 

 

 

Other intangible assets, net

 

$

39,198 

$

-

 

 

 

 

 

 

Amortization expense of other intangible assets for the years ended December 31, 2009 and 2008 was $2,407 and nil, respectively.

**NOTE 11 – DEFERRED TAX ASSETS**

As of the balance sheet dates, the components of the Company’s deferred tax assets are summarized as follows:

 

 

2009

 

2008

Arising from:

 

 

 

 

Difference in depreciation and amortization

$

290,304

$

292,750

Difference in recognition of expenses between accounting and PRC tax practice (timing differences)

 

140,494

 

158,216

 

 

 

 

 

Total 

$

430,798

$

450,966

 

 

 

 

 

**NOTE 12 – AMOUNT DUE FROM/(TO) DIRECTORS**

As of the balance sheet dates, the Company’s current accounts with the directors are summarized as follows:

 

 

2009

 

2008

 

 

 

 

 

Ye Xin Zhang

$

99,957

$

(12,741)

 

 

 

 

 

Chen Xing Hua

$

(201,033)

$

-

 

 

 

The amount due from/(to) Mr. Ye Xin Zhang represents temporary advances from/(to) the director for the Company’s daily operating expenses.  The balances are unsecured, interest free, and have no fixed terms of repayments.

The amount due to Mr. Chen Xing Hua represents temporary advance from the director for the Company’s working capital use. The balance is unsecured, interest free, and has no fixed terms of repayment.

**NOTE 13 – OTHER LIABILITIES**

 

 

2009

 

2008

 

 

 

 

 

Other liabilities

$

1,494,300

$

1,876,480

 

 

 

In 2003, the Company was involved in litigation matters with two local banks in PRC as Jiangxi Jien was unable to settle bank borrowings of RMB16,200,000 in aggregate. 

37

Pursuant to legal opinion, the Court of Anyi Municipal, Jiangxi Province, China (the “Court of Anyi”) ruled in 2003 that the final settlement payable by Jiangxi Jien is RMB12,800,000. Meanwhile, Jiangxi Jien’s properties, properties under construction, and land use rights have been restricted to sale until the above debt is fully settled.

Shenzhen Hanhong Investments Limited (“Shenzhen Hanhong”), a related company with common directorship, has provided a guarantee in favor of the Court of Anyi for repayment of the outstanding debt.  Mr. Chen Xing Hua is a common director of the Company and Shenzhen Hanhong. As such, the guarantee granted by Shenzhen Hanhong is a related party transaction.

Repayment of outstanding borrowings in 2009 amounted to RMB2,600,000 (equivalent to $380,640).  Subsequent to the balance sheet date, the Company has paid an additional RMB8,200,000 (equivalent to $1,201,300) to the Court of Anyi.  In view of management, the remaining balance of RMB2,000,000 will be settled upon the official acknowledgement from the Court of Anyi for the release of restrictions relating to the property and equipment of the Company.

**NOTE 14 – LOANS FROM RELATED PARTIES**

The Company has entered into arrangements with related parties to borrow unsecured RMB funds. The table below shows the details of the borrowings:

 

 

 

 

 

 

Effective 

interest rate

 

Outstanding balance

Name of related parties

 

Due date

 

Nature

 

2009

 

2008

 

 

2009

 

2008

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shenzhen Hanhong Investments Limited

 

May, 2009

 

Unsecured

 

12.0%

 

12.0%

 

$

-

$

776,980

Chen Xing Hua

 

January, 2009

 

Unsecured

 

12.0%

 

12.0%

 

 

-

 

219,900

Current portion

 

 

 

 

 

 

 

 

 

$

-

$

996,880

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mr. Chen Xing Hua is a common director of the Company and Shenzhen Hanhong. As such, the loans from the director, and from the related company with common director, are related party transactions.
The balances were repaid by the Company during 2009.  Interest expense in connection with these loans for years ended December 31, 2009 and 2008 were $25,474 and $69,962, respectively. 

**NOTE 15 – DEBTS**

The Company’s debts are summarized as follows:

 

 

 

 

 

 

Effective 

interest rate

 

Outstanding balance

Name of parties

 

Due date

 

Nature

 

2009

 

2008

 

 

2009

 

2008

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Qin Jianguo – (i)

 

September, 2010

 

Unsecured

 

19.1%

 

10.8%

 

$

230,005

$

303,462

Shenzhen Ziyunjin Investments Limited – (ii)

 

June, 

2009

 

Unsecured

 

12.0%

 

12.0%

 

 

-

 

689,020

 

 

 

 

 

 

 

 

 

 

 

230,005

 

992,482

Less: Repayable after one year but within two years (long term debt)

 

 

-

 

(303,462)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Short term debts

 

 

 

 

 

 

 

 

 

$

230,005

$

689,020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

38

(i)

   Pursuant to the loan agreement entered into between Jiangxi Jien and Qin Jianguo on September 30, 2005, the total lending amount was RMB3,000,000, repayable in September, 2010.  Total interest expense accrued on the borrowing amount is fixed at RMB1,500,000 (equivalent to $219,750 as of December 31, 2009), repayable on the due date and is being accrued over the loan period (please also see footnote 15). Accrued interest expense associated with this debt for the years ended December 31, 2009 and 2008 was $43,920 and $42,870, respectively

(ii)

   A director of Shenzhen Ziyunjin Investments Limited is also a shareholder of the Company. The debt was fully repaid in 2009. Interest expense associated with this debt for the years ended December 31, 2009 was $30,969.

Total debt interest expense for the years ended December 31, 2009 and 2008 was $74,889 and $42,870, respectively.

**NOTE 16 – ACCRUED EXPENSES AND OTHER PAYABLES**

As of the balance sheet dates, the Company’s accrued expenses and other payables are summarized as follows:

 

 

2009

 

2008

 

 

 

 

 

Accrued operating expenses

$

70,052

$

89,947

Accrued interest expenses – (i)

 

186,788

 

142,935

Deposits received in advance from customers

 

380,683

 

-

Amount due to Shenzhen Hanhong – (ii)

 

826,600

 

-

Other payables – (iii)

 

1,059,820

 

292,180

 

 

2,523,943

 

525,062

Less: Accrued interest expenses repayable after

 one year but within two years – (i)

 

-

 

(142,935)

 

 

 

Current portion

$

2,523,943

$

382,127

 

 

 

 

 

(i)

Amount represents accrued interest expense for loan from Qin Jianguo repayable in September, 2010 (please also see footnote 14). 

(ii)

The amount mainly represents consultancy fee payable to Shenzhen Hanhong. Shenzhen Hanhong is a related party as Mr. Chen Xing Hua is a common director of the Company and Shenzhen Hanhong.

(iii)

Included in other payable as of December 31, 2009, there is an amount payable for office decoration in the amount of $439,500 and an amount payable for marketing and promotional expenses of $343,050.The remaining balance consists of amounts owed by the Company to various entities that are incurred by the Company outside of the normal course of business operations.  These liabilities and accrued operating expenses are non interest bearing and are payable within one year.

**NOTE 17 – TAXES PAYABLE**

As of the balance sheet dates, the Company’s taxes payable are summarized as follows:

 

 

2009

 

2008

 

 

 

 

 

Income tax payables

$

208,998

$

9,935

Value added tax payables

 

1,252,119

 

11,292

Other tax payables

 

89,055

 

2,672

 

 

 

Total

$

1,550,172

$

23,899

 

 

 

 

 

39

**NOTE 18 – COMMON STOCK**

As of December 31, 2009, the Company has authorized 400,000,000 shares $0.001 par value of common stock, of which 300,000,000 shares have been issued and outstanding. The Company has also authorized 10,000,000 shares of preferred class of stock, but no shares have been issued at the current time.

During the year, the Company effectuated a 1 for 3 forward stock split of our common stock. Immediately after completion of the forward split, the Company has a total of 22,215,000 shares of common stock issued and outstanding. All share amounts presented in these consolidated financial statements have been retroactively adjusted to reflect the stock split.

On September 18, 2009, the Company issued 277,785,000 shares of common stock in exchange for the entire equity ownership of Plenty Fame (see Footnote 2). Immediately after completion of the share exchange transaction, the Company has a total of 300,000,000 shares of its common stock issued and outstanding. 

**NOTE 19 – REVENUES**

The components of the Company’s revenues are summarized as follows:

 

 

2009

 

2008

 

 

 

 

 

Health products

$

882,184

$

 347,780

Feminine hygiene and beauty products

 

1,652,838

 

 249,439

Lingerie products

 

3,621,480

 

 167,386

Chinese herbal tea products

 

526,047

 

 94,505

Beverages

 

1,791,836

 

 -

Trendy cellular phones

 

1,708,000

 

 -

IT products

 

234,994

 

 -

 

 

 

 

Total revenues

$

10,417,379

$

 859,110

 

 

 

 

 

Beijing Shanghan, a related party through a common director since March 1, 2009, contributed 97.6% and 82.7% of the Company’s revenues for the years ended December 31, 2009 and 2008, respectively.

No segment information is reported as the Company was operated in only one segment for the years ended December 31, 2009 and 2008.

NOTE 20 – PROVISION FOR INCOME TAXES

Income tax expense for the years ended December 31, 2009 and 2008 are summarized as follows:

 

 

2009

 

2008

 

 

 

 

 

Current – PRC income tax provision

$

198,935

$

9,752

Deferred income tax provision

 

19,847

 

(111,510)

 

 

 

 

 

Total

$

218,782

$

(101,758)

 

 

 

 

 

40

A reconciliation of the expected tax with the actual tax expense is as follows:

 

 

 

2009

 

2008

 

 

 

Amount

%

 

Amount

%

 

 

 

 

 

 

 

 

Income/(loss) from continuing operations before provision for income taxes

 

$

472,471

 

 

(407,033)

 

 

 

 

 

 

 

 

 

Expected PRC income tax expense at statutory tax rate of 25%

 

 

118,118

25.0

 

(101,758)

25.0

Deferred tax charged to operations during the year

 

 

19,847

4.2

 

-

-

Tax losses not recognized as deferred tax assets

 

 

80,817

17.1

 

-

-

 

 

 

 

 

 

 

 

Actual tax expense

 

$

218,782

46.3

$

(101,758)

25.0

(i)

Both Jiangxi Jien and Shenzhen Jien are subject to PRC tax. The provision for PRC income tax is based on a statutory rate of 25% of the assessable income of the PRC subsidiaries as determined in accordance with the relevant income tax rules and regulations of the PRC. 

(ii)

Plenty Fame is not subject to tax in accordance with the relevant tax laws and regulations of the BVI. 

(iii)

Prospect did not generate any assessable profits since its incorporation and therefore is not subject to HKSAR tax.

**NOTE 21 – RELATED PARTY TRANSACTIONS**

In addition to the transactions detailed elsewhere in these financial statements, the Company entered into the following significant transactions with related parties:

 

 

2009

 

2008

 

 

 

 

 

Shenzhen Hanhong

 

 

 

 

Consultancy fees

$

    1,229,760

$

71,950

 

 

 

 

 

Chen Xing Hua

 

 

 

 

Rental expenses payable for the Company’s office premises in Shenzhen, the PRC

 

    

38,038

 

-

 

 

 

 

 

Mr. Chen Xing Hua, the director of Shenzhen Hanhong, is also a director of the Company.  Details of which please refer to note 12 to the consolidated financial statements.

In the opinion of the directors, the above transactions were entered into by the Company in the normal course of business.

**NOTE 22 – CONCENTRATION OF RISK**

The Company is exposed to the following concentrations of risk:

 

(a)

Major Customers

Beijing Shanghan International Trading Limited (“Beijing Shanghan”), is a related party as a director of which is also a shareholder of the Company. It contributed 97.6% and 82.7% of the Company’s revenues for years ended December 31, 2009 and 2008, respectively.

41

(b)

Major Suppliers

For the years ended December 31, 2009 and 2008, the vendors who account for 10% or more of purchases of the Company are presented as follows:

 

 

 

2009

 

2008

 

 

 

Purchases

%

 

Purchases

%

Vendor A

 

$

    -

  

$

805,119

56.3

Vendor B

 

 

   85,371

5.1

 

208,513

14.6

Vendor C

 

 

    -

 

 

226,530

15.8

Vendor D

 

 

1,271,468

75.4

 

-

-

Vendor E

 

 

224,416

13.3

 

-

-

 

 

$

1,581,255

93.8

$

1,240,162

86.7

**NOTE 23 – CONTINGENCIES AND COMMITMENTS**

(a)

Capital Commitment:

As of December 31, 2009, the Company’s capital commitment is summarized as follows:

 

 

 

 

2009

Construction-in-progress:

 

 

 

 

Contracted but not provided for

 

 

$

1,845,900

(b)

Lease Commitment

As of December 31, 2009, Shenzhen Jien had arranged a non-cancelable operating lease with the Company’s director, Mr. Chen Xing Hua, for the Company’s office in Shenzhen, the PRC.  The expected annual lease payment under the operating leases is as follows:

 

 

2009

For the year ending December 31,

 

 

2010

 

126,120

TOTAL

$

126,120

**NOTE 24 – SUBSEQUENT EVENTS**

Management has evaluated subsequent events through April 12, 2010 which is the date that the financial statements were issued.

42 |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|