Today American Lorain announced that the head office of Industrial and Commercial Bank of China ("ICBC") has granted the company a RMB 105 million line of credit.
The line of credit was granted with specific allocation of 40 million yen to Junan Hongrun, 40 million yen to Shandong Lorain, and 25 million yen to Beijing Lorain, American Lorain's three major operating subsidiaries. The line of credit serves as a prerequisite for short term loans and is effective for 1 year.
Mr. Si Chen, Chairman and CEO of American Lorain commented: "American Lorain had a 60 million yen line of credit from ICBC Shandong branch last year. We are very much delighted to see that now ICBC has approved and extended the line of credit to 105 million yen on the head office level, which implements more stringent credit standards. We believe obtaining the line of credit is meaningful to our macro cash flow planning and management for the year 2011, which we try to translate into stronger and sustainable growth for the Company going forward."