PRESS RELEASE: Greater China Corporation Announces the Financial Results
of Restructuring
Dow Jones & Company, Inc. -- April 30, 2007
NEW YORK, April 30 /PRNewswire-FirstCall/ -- Greater China Corporation
(OTC: GCHC.PK) has completed a corporate restructuring which provides it
with a solid foundation for growth. The attached financial statements
for 2005 and 2006, which have been filed with the SEC, reflect the
following major accomplishments.
1. The rescission of a prior acquisition resulting in the repatriation
of
17.5 million shares which can now be used to finance growth and to
make
acquisitions.
2. The elimination of more than $5 million in debt which otherwise would
have to be repaid or converted into equity. This leaves the company
with no debt.
3. The preservation of more than $6 million in loss carry-forwards
available to reduce tax liabilities on future income.
4. The development of a broad base of more than 1,500 quality
shareholders
none of whom holds more than 5% of the shares.
5. The elimination of all dilutive instruments including options and
warrants so that all results flow directly to existing shareholders.
6. The assembly of an exceptionally strong and experienced Board of
Directors and Advisors all of whom are directly involved in building
the Company.
7. The development of numerous business opportunities in each of seven
areas of concentration. Each of these seven groups has been selected
for its potential to aggregate $100 million in revenues and at least
15% in earnings within 5 years.
8. The ability to use the platform of a U.S. based public company to
attract entrepreneurs, investors and strategic partners with the
advantage of the liquidity of publicly traded shares.
In a communication to shareholders, John W. Allen, CEO said: "Our
continuing goal has been to preserve and enhance the value of every
share of Greater China stock. In spite of many suggestions to
reverse-split the stock, and numerous offers to provide financing and
promotion from third parties who we suspect would then have hyped and
shorted the stock or otherwise disrupted legitimate market activities,
we have done neither. Instead we have kept our expenses at a minimum and
relied on financial and advisory assistance only from those who we know
are acting in the best long-term interests of the company. Now, for the
first time, we can concentrate our efforts on growing our business. It
is an exciting time for all of us, and hopefully a very rewarding one
for all of our shareholders."
Statements in this press release that are other than historical facts
are " forward-looking" in that they contain expectations about future
results. There can be no assurance that the transactions described in
the above can or will be implemented. Such forward-looking statements
involve numerous risks and uncertainties. Although GCHC believes that
expectations reflected in its forward-looking statements are reasonable,
it can give no assurance that this will prove to be correct.
For additional information please contact: Jon Scott, info@
greaterchinacorp.com; JWA@greaterchina.com or LBL@greaterchina.com.
Greater China Corporation
-------------------------
Statement of Income and Expense ($US)
-------------------------------------
Ordinary Income/Expense Jan-Dec 2006 Jan-Dec 2005
----------------------- ------------ ------------
Expense
Administration Fees $ 120,000 $ 120,000
Advisor Fees 45,000 -
Agents Fee 100 100
Bank Charges 541 373
Corporate Expense 3,400 65,747 *
Corporate Restructuring - 129,910 *
Corporate Services 500 101,300 *
Directors Fees 18,750 -
Directors Meeting 2,210 -
Edgar Filing 1,000 -
Financing Expense 2,000 39,062 *
Franchise Tax 910 775
Investor Relations 9,350 -
Legal & Professional 33,024 19,148
Meeting 123 155
Office 562 20,050 *
Rent 42,000 42,000
Transfer Agent 5,900 2,135
Travel 2,737 45,000 *
------------ ------------
Total Expense 288,105 585,755
Net Ordinary Income (288,105) (585,755)
------------------- ------------ ------------
Net Income $ (288,105) $ (585,755)
---------- ------------ ------------
* Includes one-time expenses associated with corporate restructuring.
Greater China Corporation
-------------------------
Balance Sheet ($US)
-------------------
ASSETS Dec 31 2006 Dec 31 2005
------ ----------- -----------
Current Assets
Checking/Savings
Cash In Bank $ 1,691 $ 2
----------- -----------
Total Checking/Savings 1,691 2
Other Current Assets
Due For Professional Services 57,120 60,000
Loan to Affiliates 5,000 -
----------- -----------
Total Other Current Assets 62,120 60,000
Total Current Assets 63,811 60,002
----------- -----------
TOTAL ASSETS $ 63,811 $ 60,002
------------ ----------- -----------
LIABILITIES & EQUITY
--------------------
Liabilities
Current Liabilities
Other Current Liabilities
Accrued Expenses $ 31,624 $ -
Due For Administrative Services 106,840 59,300
----------- -----------
Total Other Current Liabilities 138,464 59,300
Total Current Liabilities 138,463 59,300
----------- -----------
Total Liabilities 138,464 59,300
----------- -----------
Equity
Additional Paid-In Capital 6,727,644 6,545,743
Common Stock 456,885 426,035
Retained Earnings (6,969,401) (6,383,646)
Treasury Stock (1,675) (1,675)
Net Income (288,105) (585,755)
----------- -----------
Total Equity (74,653) 702
----------- -----------
TOTAL LIABILITIES & EQUITY $ 63,811 $ 60,002
-------------------------- ----------- -----------
SOURCE Greater China Corporation
/CONTACT: Jon Scott, info@greaterchinacorp.com; JWA@greaterchina.com or
LBL@ greaterchina.com |
