Document_and_Entity_Informatio
Document and Entity Information | 12 Months Ended |
Dec. 31, 2013 | |
Document and Entity Information | ' |
Entity Registrant Name | 'China Hydroelectric Corp |
Entity Central Index Key | '0001477156 |
Document Type | '20-F |
Document Period End Date | 31-Dec-13 |
Amendment Flag | 'false |
Current Fiscal Year End Date | '--12-31 |
Entity Well-known Seasoned Issuer | 'No |
Entity Voluntary Filers | 'No |
Entity Current Reporting Status | 'Yes |
Entity Filer Category | 'Non-accelerated Filer |
Entity Common Stock, Shares Outstanding | 162,126,002 |
Document Fiscal Year Focus | '2013 |
Document Fiscal Period Focus | 'FY |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $14,165 | $7,967 |
Restricted cash | ' | 5,171 |
Accounts receivable (net of allowance for doubtful accounts of nil as of December 31, 2012 and 2013) | 3,741 | 5,772 |
Notes receivable | 492 | 1,877 |
Deferred tax assets | 1,994 | 1,659 |
Amounts due from related parties (net of allowance for doubtful accounts of US$1,338 and US$1,379 as of December 31, 2012 and 2013) | ' | 86 |
Prepayments and other current assets (net of provision for impairment allowance of US$1,560 and US$1,608 as of December 31, 2012 and 2013) | 3,226 | 14,150 |
Total current assets | 23,618 | 36,682 |
Non-current assets: | ' | ' |
Property, plant and equipment, net | 540,242 | 548,511 |
Land use rights, net | 48,962 | 48,640 |
Intangible assets, net | 4,714 | 4,660 |
Goodwill | 115,960 | 112,481 |
Deferred tax assets | 1,526 | 1,329 |
Other non-current assets | 2,220 | 2,013 |
Total non-current assets | 713,624 | 717,634 |
TOTAL ASSETS | 737,242 | 754,316 |
Current liabilities: | ' | ' |
Accounts payable | 1,992 | 3,124 |
Short-term loans | 11,973 | 21,676 |
Current portion of long-term loans | 38,337 | 35,537 |
Amounts due to related parties | 9,491 | 12,705 |
Deferred tax liabilities | 300 | ' |
Accrued expenses and other current liabilities | 28,072 | 43,825 |
Warrant liabilities | ' | 839 |
Total current liabilities | 90,165 | 117,706 |
Non-current liabilities: | ' | ' |
Long-term loans | 211,723 | 212,970 |
Deferred tax liabilities | 24,720 | 24,345 |
Other non-current liabilities | 8,005 | 6,780 |
Total non-current liabilities | 244,448 | 244,095 |
Total liabilities | 334,613 | 361,801 |
Commitments and contingencies | ' | ' |
China Hydroelectric Corporation shareholders' equity: | ' | ' |
Ordinary shares (par value US$0.001 per share, 400,000,000 shares authorized as of December 31, 2012 and 2013; 161,989,097 and 162,099,665 shares issued and outstanding as of December 31, 2012 and 2013) | 162 | 162 |
Additional paid-in capital | 509,902 | 509,665 |
Accumulated other comprehensive income | 54,059 | 41,597 |
Accumulated deficit | -161,693 | -159,472 |
Total China Hydroelectric Corporation shareholders' equity | 402,430 | 391,952 |
Noncontrolling interests | 199 | 563 |
Total shareholders' equity | 402,629 | 392,515 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $737,242 | $754,316 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
CONSOLIDATED BALANCE SHEETS | ' | ' |
Allowance for doubtful accounts (in dollars) | $0 | $0 |
Allowance for doubtful accounts, related parties (in dollars) | 1,379 | 1,338 |
Provision for impairment allowance (in dollars) | $1,608 | $1,560 |
Ordinary shares, par value (in dollars per share) | $0.00 | $0.00 |
Ordinary shares, shares authorized | 400,000,000 | 400,000,000 |
Ordinary shares, shares issued | 162,099,665 | 161,989,097 |
Ordinary shares, shares outstanding | 162,099,665 | 161,989,097 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenues | $74,517 | $85,388 | $54,597 |
Cost of revenues | -35,357 | -35,795 | -31,314 |
Gross profit | 39,160 | 49,593 | 23,283 |
Operating expenses: | ' | ' | ' |
General and administrative expenses (including share-based compensation expense of US$10,479, US$166 and US$211 in 2011, 2012 and 2013) | -13,258 | -20,348 | -28,896 |
Impairment loss on goodwill | 0 | 0 | -11,388 |
Impairment loss on long-lived assets | -3,549 | 0 | -11,590 |
Total operating expenses | -16,807 | -20,348 | -51,874 |
Operating (loss) income | 22,353 | 29,245 | -28,591 |
Interest income | 98 | 84 | 101 |
Interest expense | -22,568 | -28,070 | -24,757 |
Changes in fair value of warrant liabilities | 839 | -399 | 951 |
Exchange (loss) gain | -41 | 28 | -851 |
Other (loss) income, net | 275 | 507 | -334 |
(Loss) income before income tax expense | 956 | 1,395 | -53,481 |
Income tax expense | -3,474 | -6,451 | -1,527 |
Net loss from continuing operations | -2,518 | -5,056 | -55,008 |
Discontinued operations | ' | ' | ' |
(Loss) income from discontinued operations (net of income tax expense of US$101, US$399 and nil in 2011, 2012 and 2013) | ' | 1,140 | -282 |
Gain on disposal of discontinued operations (net of income tax expense of nil, US$959 and nil in 2011, 2012 and 2013) | ' | 2,767 | ' |
Net (loss) income from discontinued operations | ' | 3,907 | -282 |
Net loss | -2,518 | -1,149 | -55,290 |
Less: | ' | ' | ' |
Net loss (income) attributable to noncontrolling interests | 297 | -94 | 9,901 |
Net loss attributable to China Hydroelectric Corporation shareholders | -2,221 | -1,243 | -45,389 |
- Continuing operations | -2,221 | -5,150 | -45,107 |
- Discontinued operations | ' | 3,907 | -282 |
Other comprehensive income (loss), net of income tax | ' | ' | ' |
Foreign currency translation adjustments (net of income tax expense of nil in 2011, 2012 and 2013) | 12,395 | -1,413 | 20,394 |
Defined benefit pension plans (net of income tax expense of nil in 2011, 2012 and 2013) | ' | 33 | -33 |
Other comprehensive income (loss) | 12,395 | -1,380 | 20,361 |
Comprehensive (loss) income | 9,877 | -2,529 | -34,929 |
Less: Comprehensive loss (income) attributable to noncontrolling interests | 364 | -85 | 9,586 |
Comprehensive (loss) income attributable to China Hydroelectric Corporation shareholders | $10,241 | ($2,614) | ($25,343) |
Net loss income attributable to ordinary shareholders per share (in dollars per share) | ($0.01) | ($0.01) | ($0.29) |
-From continuing operations - basic and diluted (in dollars per share) | ($0.01) | ($0.03) | ($0.29) |
-From discontinued operations - basic and diluted (in dollars per share) | ' | $0.02 | $0 |
Weighted average number of ordinary shares used in computing: | ' | ' | ' |
Net loss attributable to ordinary shareholders per share - basic and diluted (in shares) | 162,071,626 | 161,989,097 | 156,505,076 |
Ordinary shares | ' | ' | ' |
Other comprehensive income (loss), net of income tax | ' | ' | ' |
Net loss income attributable to ordinary shareholders per share (in dollars per share) | ($0.01) | ($0.01) | ($0.29) |
-From continuing operations - basic and diluted (in dollars per share) | ($0.01) | ($0.03) | ($0.29) |
-From discontinued operations - basic and diluted (in dollars per share) | ' | $0.02 | $0 |
Weighted average number of ordinary shares used in computing: | ' | ' | ' |
Net loss attributable to ordinary shareholders per share - basic and diluted (in shares) | 162,071,626 | 161,989,097 | 156,505,076 |
ADS | ' | ' | ' |
Other comprehensive income (loss), net of income tax | ' | ' | ' |
Net loss income attributable to ordinary shareholders per share (in dollars per share) | ($0.03) | ($0.02) | ($0.87) |
-From continuing operations - basic and diluted (in dollars per share) | ($0.03) | ($0.09) | ($0.86) |
-From discontinued operations - basic and diluted (in dollars per share) | ' | $0.07 | ($0.01) |
Weighted average number of ordinary shares used in computing: | ' | ' | ' |
Net loss attributable to ordinary shareholders per share - basic and diluted (in shares) | 54,023,875 | 53,996,366 | 52,168,358 |
CONSOLIDATED_STATEMENTS_OF_COM1
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ' | ' | ' |
Share-based compensation expense | $211 | $166 | $10,479 |
Income tax expense, discontinued operations | 0 | 399 | 101 |
Income tax expense, gain on disposal of discontinued operations | 0 | 959 | 0 |
Foreign currency translation adjustments, income tax expense | 0 | 0 | 0 |
Defined benefit pension plans, income tax expense | $0 | $0 | $0 |
Number of ordinary shares represented by each ADS | 3 | 3 | 3 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Net loss | ($2,518) | ($1,149) | ($55,290) |
Adjustments to reconcile net loss to net cash generated from operating activities: | ' | ' | ' |
Depreciation of property, plant and equipment | 22,182 | 22,407 | 21,984 |
Amortization of land use rights | 1,164 | 1,174 | 1,144 |
Amortization of intangible assets | 178 | 199 | 213 |
Impairment loss on goodwill | 0 | 0 | 11,388 |
Impairment loss on long-lived assets | 3,549 | 0 | 11,590 |
Deferred income taxes | -482 | -163 | -485 |
Changes in fair value of warrant liabilities | -839 | 399 | -951 |
Gain from disposal of subsidiaries | ' | -2,767 | ' |
Amortization of debt issuance costs | 175 | 191 | 19 |
Amortization of government grant | -3 | -3 | -3 |
Share-based compensation expense | 211 | 166 | 10,479 |
Loss from disposal of property, plant and equipment | 45 | 508 | 266 |
Exchange loss (gain) | 41 | -28 | 851 |
Gain from extinguishment of amounts due to original shareholders of acquired subsidiaries | ' | -462 | ' |
Provision for impairment allowance on prepayments and other current assets | ' | 843 | 696 |
Provision for allowance for doubtful accounts on amounts due from a related party | ' | ' | 1,302 |
Net pension cost recognized | ' | 33 | 173 |
Changes in operating assets and liabilities: | ' | ' | ' |
Accounts receivable | 2,175 | -1,797 | 242 |
Notes receivable | 789 | -1,874 | ' |
Prepayments and other current assets | -426 | -463 | 310 |
Other non-current assets | -538 | 779 | -344 |
Accounts payable | -1,084 | -345 | -42 |
Amounts due to related parties | -1 | -2 | ' |
Accrued expenses and other current liabilities | -6,437 | -1,524 | -1,903 |
Other non-current liabilities | 1,229 | 6,578 | 5 |
Net cash generated from operating activities | 19,410 | 22,700 | 1,644 |
Cash flows from investing activities: | ' | ' | ' |
Acquisition of subsidiaries, net of cash acquired | ' | -8,923 | -19,330 |
Proceeds from disposal of subsidiaries | 10,957 | 20,212 | ' |
Cash deposit for potential acquisitions | ' | ' | -696 |
Acquisition of intangible assets | -90 | ' | ' |
Acquisition of property, plant and equipment | -1,087 | -7,091 | -1,490 |
Proceeds from disposal of property, plant and equipment | 26 | 35 | 112 |
Payment to contractors for construction projects | -450 | -6,931 | -3,330 |
Loans to a related party | ' | -86 | ' |
Proceeds from insurance claims | 549 | ' | ' |
Net cash (used in) generated from investing activities | 9,905 | -2,784 | -24,734 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from exercise of share options | 26 | ' | ' |
Purchase of subsidiary shares from noncontrolling interests | ' | ' | -1,204 |
Proceeds from loans from related parties | 2,034 | 572 | 1,263 |
Proceeds from short-term loans | 14,364 | 28,070 | 23,066 |
Proceeds from long-term loans | 32,335 | 72,947 | 45,823 |
Proceeds from exercised warrants | ' | ' | 10,036 |
Proceeds from loans from third parties | 3,425 | 20,161 | 17,456 |
Payment of debt issuance costs and service fee | -194 | -704 | ' |
Repayment of loans from related parties | -5,585 | -69 | ' |
Repayment of short-term loans | -26,225 | -28,051 | -20,889 |
Repayment of long-term loans | -36,544 | -69,986 | -66,955 |
Repayment of loans from third parties | -13,313 | -38,136 | -10,637 |
Restricted cash | 5,249 | -5,166 | ' |
Net cash used in financing activities | -24,428 | -20,362 | -2,041 |
Net (decrease) increase in cash and cash equivalents | 4,887 | -446 | -25,131 |
Effect of changes in exchange rate on cash and cash equivalents | 1,311 | 11 | 76 |
Cash and cash equivalents at the beginning of the year | 7,967 | 8,402 | 33,457 |
Cash and cash equivalents at the end of the year | 14,165 | 7,967 | 8,402 |
Supplementary disclosure of cash flow information | ' | ' | ' |
Interest paid | 16,588 | 19,983 | 22,928 |
Income taxes paid | 5,061 | 2,855 | 2,333 |
Non-cash activities: | ' | ' | ' |
Non-cash portion of acquisition of subsidiaries | ' | ' | 1,825 |
Non-cash portion of acquisition of property, plant and equipment | 3,286 | 3,330 | 9,595 |
Non-cash portion of disposal of property, plant and equipment | ' | ' | 20 |
Discharge of liability from disposal of subsidiaries | ' | $158 | ' |
CONSOLIDATED_STATEMENTS_OF_SHA
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (USD $) | Total | Ordinary shares | Additional paid-in capital | Accumulated other comprehensive income | Accumulated deficit | Noncontrolling interests |
In Thousands, except Share data, unless otherwise specified | ||||||
Balance at Dec. 31, 2010 | $416,983 | $153 | $495,652 | $22,922 | ($112,840) | $11,096 |
Balance (in shares) at Dec. 31, 2010 | ' | 153,295,516 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' |
Reclassification of warrants from equity to liability | -1,391 | ' | -1,391 | ' | ' | ' |
Exercise of warrants | 9,675 | 9 | 9,666 | ' | ' | ' |
Exercise of warrants (in shares) | ' | 8,693,581 | ' | ' | ' | ' |
Purchase of subsidiary shares from noncontrolling interests | -5,939 | ' | -4,907 | ' | ' | -1,032 |
Share-based compensation expenses | 10,479 | ' | 10,479 | ' | ' | ' |
Other comprehensive income (loss) | 20,361 | ' | ' | 20,046 | ' | 315 |
Net (loss) income | -55,290 | ' | ' | ' | -45,389 | -9,901 |
Balance at Dec. 31, 2011 | 394,878 | 162 | 509,499 | 42,968 | -158,229 | 478 |
Balance (in shares) at Dec. 31, 2011 | ' | 161,989,097 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' |
Share-based compensation expenses | 166 | ' | 166 | ' | ' | ' |
Other comprehensive income (loss) | -1,380 | ' | ' | -1,371 | ' | -9 |
Net (loss) income | -1,149 | ' | ' | ' | -1,243 | 94 |
Balance at Dec. 31, 2012 | 392,515 | 162 | 509,665 | 41,597 | -159,472 | 563 |
Balance (in shares) at Dec. 31, 2012 | ' | 161,989,097 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' |
Share-based compensation expenses | 211 | ' | 211 | ' | ' | ' |
Exercise of share options | 26 | ' | 26 | ' | ' | ' |
Exercise of share options (in shares) | 110,568 | 110,568 | ' | ' | ' | ' |
Other comprehensive income (loss) | 12,395 | ' | ' | 12,462 | ' | -67 |
Net (loss) income | -2,518 | ' | ' | ' | -2,221 | -297 |
Balance at Dec. 31, 2013 | $402,629 | $162 | $509,902 | $54,059 | ($161,693) | $199 |
Balance (in shares) at Dec. 31, 2013 | ' | 162,099,665 | ' | ' | ' | ' |
ORGANIZATION_AND_PRINCIPAL_ACT
ORGANIZATION AND PRINCIPAL ACTIVITIES | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
ORGANIZATION AND PRINCIPAL ACTIVITIES | ' | |||||||||
ORGANIZATION AND PRINCIPAL ACTIVITIES | ' | |||||||||
1. ORGANIZATION AND PRINCIPAL ACTIVITIES | ||||||||||
China Hydroelectric Corporation (the “Company”) was incorporated on July 10, 2006 under the laws of the Cayman Islands to serve as a vehicle for the acquisition of equity interests in companies with hydroelectric assets in the People’s Republic of China (the “PRC” or “China”). The Company and its subsidiaries (the “Group”) are principally engaged in the operation and development of hydroelectric assets and the generation of hydroelectric power in the PRC. | ||||||||||
On January 25, 2010, the Company completed an initial public offering (“IPO”), whereby the Company issued 6,000,000 units of securities at US$16.00 per unit. Each unit consists of one American Depositary Share (“ADS”) priced at US$14.80 and one warrant priced at US$1.20. Each ADS represents three ordinary shares and each warrant entitles the holder to purchase three ordinary shares for an exercise price of US$15.00. The IPO yielded aggregate gross proceeds of US$96,000. The proceeds, net of applicable expenses, are used to acquire hydroelectric operating companies and assets and to develop new hydroelectric power projects in China, for working capital and for general corporate purposes. | ||||||||||
The Company does not conduct any substantive operation of its own and conducts its primary business operations through its subsidiaries. | ||||||||||
During the year ended December 31, 2011, the Company acquired one hydroelectric entity. The Company did not make any acquisition of hydroelectric entity during the years ended December 31, 2012 and 2013. | ||||||||||
As of December 31, 2013, the Company’s subsidiaries included the following entities: | ||||||||||
Subsidiaries | Place of | Date of | Percentage | Principal | ||||||
Incorporation | Establishment/ | of | Activities | |||||||
Acquisition | Ownership | |||||||||
Beijing A.B.C. Investment Consulting Co., Ltd. (“ABC”) | The PRC | April 19, 2007 | 100 | % | Provision of general and administrative services to group companies | |||||
Yunnan Huabang Electric Power Development Co., Ltd. (“Binglangjiang”) | The PRC | April 25, 2007 | 100 | % | Operation and development of hydroelectric assets | |||||
Sichuan Huabang Hydroelectric Development Co., Ltd. (“Liyuan”) | The PRC | May 21, 2007 | 100 | % | Operation and development of hydroelectric assets | |||||
Zhejiang Province Jingning Yingchuan Hydroelectric Development Co., Ltd. (“Yingchuan”) | The PRC | January 31, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
Qingtian Wuliting Hydroelectric Development Co., Ltd. (“Wuliting”) | The PRC | January 31, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
Suichang County Jiulongshan Hydroelectric Development Co., Ltd. (“Jiulongshan”) | The PRC | January 31, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
China Hydroelectric Corporation (Hong Kong) Limited (“CHC HK”) | Hong Kong (“HK”) | June 25, 2008 | 100 | % | Investment holding company | |||||
Place of | Date of | Percentage | Principal | |||||||
Incorporation | Establishment/ | of | Activities | |||||||
Acquisition | Ownership | |||||||||
Pingnan County Wangkeng Hydroelectric Co., Ltd. (“Wangkeng”) | The PRC | October 21, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
Sanming Zhongyin Banzhu Hydroelectric Co., Ltd. (“Banzhu”) | The PRC | October 22, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
Sun Power Asia Limited (“Sunpower”) | HK | November 14,2008 | 100 | % | Investment holding company | |||||
Yunhe County Shapulong Hydropower Generation Co., Ltd. (“Shapulong”) | The PRC | August 3, 2009 | 100 | % | Operation and development of hydroelectric assets | |||||
Zhejiang Longquan Ruiyang Cascaded II Hydropower Plant Co., Ltd. (“Ruiyang”) | The PRC | August 20, 2009 | 100 | % | Operation and development of hydroelectric assets | |||||
Suichang County Zhougongyuan Hydroelectric Development Co., Ltd. (“Zhougongyuan”). | The PRC | December 3, 2009 | 100 | % | Operation and development of hydroelectric assets | |||||
Fujian Huabang Hydroelectric Investment Co., Ltd. (“Fujian Huabang”). | The PRC | January 14, 2010 | 100 | % | Investment holding company | |||||
Henan Wuyue Storage Power Generation Co., Ltd. (“Wuyue”) | The PRC | March 23, 2010 | 79 | % | Development of hydroelectric assets | |||||
Yingjiang County Qinrui Husahe Power Co., Ltd. (“Husahe”) | The PRC | April 19, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Fugong County Hengda Electric Power Development Co., Ltd. (“Hengda”) | The PRC | June 22, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Fugong County Xineng Electric Power Development Co., Ltd. (“Xineng”) | The PRC | August 16, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Luquan Xiaopengzu Power Generation Co., Ltd. (“Xiaopengzu”) | The PRC | September 8, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Shaowu City Jinling Power Generation Co., Ltd. (“Jinling”) | The PRC | December 30, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Shaowu City Jinlong Hydroelectric Co., Ltd. (“Jinlong”) | The PRC | December 30, 2010 | 55 | % | Operation and development of hydroelectric assets | |||||
Shaowu City Jintang Hydroelectric Co., Ltd. (“Jintang”) | The PRC | December 30, 2010 | 74 | % | Operation and development of hydroelectric assets | |||||
Shaowu City Jinwei Hydroelectric Co., Ltd. (“Jinwei”) | The PRC | December 30, 2010 | 74 | % | Operation and development of hydroelectric assets | |||||
Jinping Kanghong Hydroelectric Development Co., Ltd. (“Dazhaihe”) | The PRC | April 10, 2011 | 100 | % | Operation and development of hydroelectric assets | |||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||||
(a) Basis of presentation | ||||||||||||
The accompanying consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“US GAAP”). | ||||||||||||
The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern. | ||||||||||||
As of December 31, 2013, the Group had working capital deficiency of US$66,547. This factor raises substantial doubt about the Company’s ability to continue as a going concern. The continued operation of the Group is dependent upon the Group’s ability in raising additional capital, obtaining additional financing and improving future operating and financial results. Therefore, the Company may not be able to realize its assets and discharge its liabilities in the normal course of business. In view of this, management has taken steps to actively pursue additional capital and financing. | ||||||||||||
While the Company strongly believes that its capital resources will be sufficient in the near term, there is no assurance that sufficient funds required during the next year or thereafter will be generated from operations or that funds will be available from external sources such as debt or equity financings or other potential sources. The lack of additional capital resulting from the inability to generate cash flow from operations or to raise capital from external sources would force the Company to substantially curtail or cease operations and would, therefore, have a material adverse effect on its business. Furthermore, there is no assurance that any additional financing, if available, will be obtainable on terms satisfactory or attractive to the Company. | ||||||||||||
The accompanying consolidated financial statements do not include any adjustments related to the recoverability and classification of recorded assets or the amounts and classification of liabilities that might have been necessary should the Company not be able to continue in existence as a going concern. | ||||||||||||
(b) Principles of consolidation | ||||||||||||
The consolidated financial statements include the financial statements of the Company and its subsidiaries. The results of subsidiaries are consolidated from the date of acquisition, being the date on which the Group obtained control and continued to be consolidated until the date that such control ceases. | ||||||||||||
Investments in entities that the Company does not control, but has the ability to exercise significant influence over operating and financial policies, are accounted for under the equity method. Investments in entities in which the Company does not have the ability to exercise significant influence are accounted for under the cost method. All significant intercompany transactions and balances have been eliminated upon consolidation. | ||||||||||||
The Group accounted for business combinations in accordance with ASC topic 805 (“ASC 805”), Business Combinations. ASC 805 requires the acquiring entity in a business combination to recognize all assets acquired and liabilities assumed in the transaction, establishes the acquisition date fair value as the measurement objective for all assets acquired and liabilities assumed, and requires the acquirer to disclose to investors and other users all of the information they need to evaluate and understand the nature and financial effect of the business combination. During the measurement period, which shall not exceed one year from the acquisition date, the Company recognizes adjustments to the provisional amounts of acquisition-date fair value and the resulting goodwill for new information obtained as if the accounting for the business combination had been completed at the acquisition date. The comparative information for prior periods presented in the consolidated financial statements is revised as needed, including making any change in depreciation, amortization or other income effects recognized in completing the initial accounting. | ||||||||||||
For a component of the Group that either has been disposed of or is classified as held-for-sale, the Group accounted for the result of operations of the component as a discontinued operation in accordance with ASC sub-topic 205-20 (“ASC 205-20”), Presentation of Financial Statements, when (1) the operations and cash flows of the component have been or will be eliminated from the ongoing operations of the Group as a result of the disposal transaction; and (2) the Group will not have any significant continuing involvement in the operations of the component after the disposal transaction. | ||||||||||||
The Company accounted for the purchase of additional ownership in its subsidiary from noncontrolling interests as an equity transaction in accordance with ASC topic 810 (“ASC 810”), Consolidation. The carrying amount of the noncontrolling interests is adjusted to reflect the change in the Group’s ownership interest in the subsidiary. Any difference between the fair value of the consideration received or paid and the amount by which the noncontrolling interests is adjusted is recognized in additional paid-in capital. | ||||||||||||
(c) Use of estimates | ||||||||||||
The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, the disclosure of contingent assets and liabilities at the balance sheet dates and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. | ||||||||||||
(d) Fair value measurement | ||||||||||||
Financial instruments include cash and cash equivalents, accounts receivable, notes receivable, certain other current assets, accounts payable, certain other liabilities, short-term loans, long-term loans and warrants. The carrying values of these financial instruments, other than long-term loans and warrants, approximate their fair values due to their short-term maturities. During the year ended December 31, 2011, certain warrants were reclassified from equity to liability upon modification of terms (Note 17). These amended warrants were recorded as liabilities at fair value on the day of modification and subsequently adjusted to the fair value at each reporting date. All liability-classified warrants expired unexercised as of December 31, 2013. The warrants classified as equity were measured at fair value on the grant dates. The carrying values of long-term loans approximate their fair values due to the fact that the interest rates on these loans are reset each year based on prevailing market interest rates. | ||||||||||||
The Group applied the provisions of ASC topic 820 (“ASC 820”), Fair Value Measurements and Disclosures, in measuring fair value. ASC 820 defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. | ||||||||||||
ASC 820 establishes a three-tier value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: | ||||||||||||
Level 1—Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. | ||||||||||||
Level 2—Include other inputs that are directly or indirectly observable in the marketplace. | ||||||||||||
Level 3—Unobservable inputs which are supported by little or no market activity. | ||||||||||||
The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. | ||||||||||||
ASC 820 describes three main approaches to measure the fair value of assets and liabilities: (1) market approach; (2) income approach and (3) cost approach. The market approach uses prices and other relevant information generated from market transactions involving identical or comparable assets or liabilities. The income approach uses valuation techniques to convert future amounts to a single present value amount. The measurement is based on the value indicated by current market expectations about those future amounts. The cost approach is based on the amount that would currently be required to replace an asset. | ||||||||||||
In accordance with ASC 820, the Group measures the fair value of money market funds included in cash equivalents using the market approach based on quoted market prices. The warrant liabilities were valued using the income approach based on inputs that are unobservable in the market (Level 3). | ||||||||||||
All assets and liabilities measured at fair value on a recurring basis as of December 31, 2012 are summarized below: | ||||||||||||
Quoted price in | Significant | Significant | ||||||||||
active market for | other | unobservable | ||||||||||
identical assets | observable | inputs | ||||||||||
(Level 1) | inputs | (Level 3) | ||||||||||
(Level 2) | ||||||||||||
US$ | US$ | US$ | ||||||||||
Money market funds in cash equivalent | 8 | — | — | |||||||||
Warrant liabilities (Note 17) | — | — | 839 | |||||||||
8 | — | 839 | ||||||||||
No assets and liabilities were measured at fair value on a recurring basis as of December 31, 2013. | ||||||||||||
The following table presents a reconciliation of warrant liabilities measured at fair value on a recurring basis using significant unobservable inputs for the years ended December 31, 2012 and 2013: | ||||||||||||
Warrant | ||||||||||||
liabilities | ||||||||||||
US$ | ||||||||||||
Balance as of December 31, 2011 | 440 | |||||||||||
Realized or unrealized losses | 399 | |||||||||||
Balance as of December 31, 2012 | 839 | |||||||||||
Realized or unrealized gain | (839 | ) | ||||||||||
Balance as of December 31, 2013 | — | |||||||||||
Realized or unrealized gain or losses for the years ended December 31, 2012 and 2013 were recorded in “changes in fair value of warrant liabilities” on the consolidated statements of comprehensive income. | ||||||||||||
All assets and liabilities measured at fair value on a nonrecurring basis as of December 31, 2013 are summarized below: | ||||||||||||
Carrying value | Quoted price in | Significant | Significant | Total loss | ||||||||
at December 31, 2013 | active market for | other | unobservable | |||||||||
identical assets | observable | inputs | ||||||||||
(Level 1) | inputs | (Level 3) | ||||||||||
(Level 2) | ||||||||||||
US$ | US$ | US$ | US$ | |||||||||
Property, plant and equipment | 4,098 | — | — | — | (4,098 | ) | ||||||
In accordance with ASC topic 360 (“ASC 360”), Property, Plant, and Equipment, property, plant and equipment of Liyuan with a carrying amount of US$4,098 was written down to its fair value of nil, resulting in an impairment loss of US$4,098, of which US$549 was recovered through insurance claims. A net impairment charge of US$3,549 was included in the consolidated statements of comprehensive income for the year ended December 31, 2013 (Note 7). | ||||||||||||
(e) Foreign currency | ||||||||||||
The Company determined its functional currency to be the US$ while its subsidiaries determine their functional currency based on the criteria of ASC topic 830 (“ASC 830”), Foreign Currency Matters. All of the Company’s subsidiaries determined their functional currency to be their respective local currency, except for CHC HK and Sunpower which determined their functional currency to be the US$. The Company uses the US$ as its reporting currency. | ||||||||||||
Each entity in the Group maintains its financial records in its own functional currency. Transactions denominated in foreign currencies are measured at the exchange rates prevailing on the transaction dates. Monetary assets and liabilities denominated in foreign currencies are remeasured at the exchange rates prevailing at the balance sheet date. Exchange gains and losses are included in the consolidated statements of comprehensive income. Non-monetary items that are measured in terms of historical cost in a foreign currency are remeasured using the exchange rates at the dates of the initial transactions. | ||||||||||||
The assets and liabilities of the Company’s subsidiaries are translated into the reporting currency of the Company at the exchange rates prevailing at the balance sheet date. The statements of comprehensive income of the Company’s subsidiaries are translated into the reporting currency of the Company at the weighted average exchange rates for the year. The resulting translation gains (losses) are recorded in accumulated other comprehensive income as a component of shareholders’ equity. | ||||||||||||
For the purpose of the consolidated statements of cash flows, cash flows of the Company’s subsidiaries are translated into the reporting currency of the Company at the exchange rates prevailing on the dates of the cash flows. Frequently recurring cash flows of the Company’s subsidiaries, which arise throughout the year, are translated into the reporting currency of the Company at the weighted average exchange rates for the year. | ||||||||||||
(f) Cash and cash equivalents | ||||||||||||
Cash and cash equivalents include cash on hand and short-term deposits with original maturity of three months or less at the date of purchase. Except for the restricted cash, none of the Group’s cash and cash equivalents is restricted as to withdrawal and use. | ||||||||||||
(g) Restricted cash | ||||||||||||
Restricted cash represents cash pledged to financial institutions as collateral for the Company’s bank loans (Note 15). The restriction on the cash collateral amount of US$5,171 as of December 31, 2012 was released in May 2013 upon repayment of the bank loans. | ||||||||||||
(h) Accounts receivable | ||||||||||||
Accounts receivable are carried at net realizable value. In evaluating the collectability of receivable balances, the Group considers many factors, including the aging of the balance, the customer’s payment history, its current credit-worthiness and current economic trends. An estimate for doubtful accounts is made when collection of the full amount is no longer probable. Accounts receivable are written off after all collective efforts have ceased. | ||||||||||||
(i) Notes receivable | ||||||||||||
Notes receivable represent short-term bank acceptance notes issued by financial institutions that entitle the holder to receive the stated amount from the financial institutions at the maturity date of the bill, which is generally within six months from the date of issuance. The holder of the bills can obtain payment from the financial institutions prior to the stated maturity date. In such a case, the holder will receive a discounted amount off the face value of the bill. There is recourse to the customers in the event the financial institutions default upon demand for payment by the holders of the notes. To reduce the Group’s credit risk, the Group has required certain customers to pay for electricity using notes receivable during the years ended December 31, 2012 and 2013. | ||||||||||||
(j) Property, plant and equipment | ||||||||||||
Property, plant and equipment are recorded at cost less accumulated depreciation. The depreciable amount of an item of property, plant and equipment is its cost less its estimated residual value, if any. The residual value is calculated by taking the price such an asset would fetch at the reporting date, with the assumption that it was already in the condition it will be in at the end of its useful life. Depreciation is recorded on a straight-line basis over the following estimated useful lives: | ||||||||||||
Dams and reservoirs | 30-49 years | |||||||||||
Buildings | 8-50 years | |||||||||||
Machinery | 1-30 years | |||||||||||
Transportation equipment | 1-11 years | |||||||||||
Electronic equipment and others | 1-15 years | |||||||||||
For property, plant and equipment acquired through a business combination, depreciation is recorded on a straight-line basis over their respective remaining estimated useful lives. The useful lives, residual values and methods of depreciation are reviewed at each reporting date and adjusted prospectively, if appropriate. | ||||||||||||
All direct and indirect costs that are related to the construction of property, plant and equipment and incurred before the assets are ready for their intended use are capitalized as construction in progress. Construction in progress is transferred to specific property, plant and equipment accounts and commences depreciation when these assets are ready for their intended use. | ||||||||||||
Interest costs are capitalized if they are incurred during the acquisition, construction or production of a qualifying asset and such costs could have been avoided if expenditures for the assets have not been made. Capitalization of interest costs commences when the activities to prepare the asset are in progress and expenditures and borrowing costs are being incurred. Interest costs are capitalized until the assets are ready for their intended use. | ||||||||||||
Repair and maintenance costs are charged to expense when incurred, whereas the cost of renewals and betterment that extend the useful life of fixed assets are capitalized as additions to the related assets. Retirement, sale and disposal of assets are recorded by removing the cost and accumulated depreciation, with any resulting gain or loss reflected in the consolidated statements of comprehensive income. | ||||||||||||
(k) Goodwill and intangible assets | ||||||||||||
Goodwill represents the excess of the purchase price over the amounts assigned to the fair value of the assets acquired and the liabilities assumed of acquired businesses. ASC topic 350 (“ASC 350”), Intangibles—Goodwill and Other, requires that goodwill be tested for impairment annually or more frequently if events or changes in circumstances indicate that it might be impaired. The Group assigns and assesses goodwill for impairment at the reporting unit level at each reporting date. The Group determines that each reporting unit is identified at the component level, which is one level below the operating segment. | ||||||||||||
The performance of the impairment test involves a two-step process. The first step of the impairment test involves comparing the fair value of the reporting unit with its carrying amount, including goodwill. Fair value is primarily determined through the income approach by computing the future discounted cash flows expected to be generated by the reporting unit and is dependent on a number of significant entity specific assumptions, including plant utilization rate, electricity sales volumes and tariffs, costs of production, capital expenditures, working capital changes and the discount rate. The discount rate is commensurate with the risk inherent in the projected cash flows and reflects the rate of return required by an investor in the current economic conditions. For reporting units to be disposed of subsequent to the reporting date, the market approach is used where estimates of prices reasonably expected to be realized from the sale of the reporting units are used to determine the fair value of each reporting unit. | ||||||||||||
If the carrying value exceeds the fair value, goodwill may be impaired. If this occurs, the Group performs the second step of the quantitative goodwill impairment test to determine the amount of impairment loss. The fair value of the reporting unit is allocated to its assets and liabilities in a manner similar to a purchase price allocation in order to determine the implied fair value of the reporting unit goodwill. This implied fair value is then compared with the carrying amount of the reporting unit goodwill, and if it is less, the Group would then recognize an impairment loss. In accordance with ASU No. 2011-08 (“ASU 2011-08”), Intangibles—Goodwill and Other (ASC 350), the Company has the option to first assess qualitative factors to determine whether it is necessary to perform the two-step test. If the Company believes, as a result of the qualitative assessment, that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, the quantitative impairment test is required. Otherwise, no further testing is required. | ||||||||||||
The Group recognized goodwill impairment loss of US$11,388, nil and nil for the years ended December 31, 2011, 2012 and 2013, respectively (Note 9). | ||||||||||||
Intangible assets are carried at cost less accumulated amortization. Intangible assets acquired in a business combination are recognized initially at fair value at the date of acquisition. Intangible assets with a finite useful life are amortized using the straight-line method over the estimated economic life of the intangible assets. The estimated useful lives for the intangible assets as of December 31, 2013 were as follows: | ||||||||||||
Development right of Binglangjiang Phase II | 30 years | |||||||||||
Dam use right of Dongguan | 40 years | |||||||||||
Software | 5 years | |||||||||||
The Group reviews and adjusts the carrying value of the intangible assets if facts and circumstances suggest the intangible assets may be impaired (Note 2(n)). The Group assessed and concluded that there was no impairment for intangible assets in any of the years presented. | ||||||||||||
(l) Land use rights | ||||||||||||
The land use rights represent the amounts paid and relevant costs incurred for the right to use land in the PRC and are recorded at purchase cost less accumulated amortization. Amortization is provided on a straight-line basis over the terms of the respective land use rights agreements, which are 50 years. For land use rights acquired through a business combination, amortization is recorded on a straight-line basis over their respective remaining estimated useful lives, which range from 41 to 50 years. | ||||||||||||
(m) Asset retirement obligations | ||||||||||||
ASC sub-topic 410-20 (“ASC 410-20”), Asset Retirement Obligations, requires companies to record the present value of obligations associated with the retirement of tangible long-lived assets in the period in which it is incurred. The value of the liability is capitalized as part of the carrying amount of the related long-lived asset. Over time, accretion of the liability is recognized as an operating expense and the capitalized cost is depreciated over the expected useful life of the related asset. The Group’s asset retirement obligations relate primarily to the restoration of leased lands under land use rights granted by the local government to their original condition. Asset retirement obligations as of December 31, 2012 and 2013 were insignificant. | ||||||||||||
(n) Impairment of long-lived assets | ||||||||||||
The Group evaluates its long-lived assets, including property, plant and equipment, land use rights and intangible assets with finite lives, for impairment whenever events or changes in circumstances, such as a significant adverse change to market conditions that will impact the future use of the assets, indicate that the carrying amount of an asset may not be recoverable in accordance with ASC 360. When these events occur, the Group assesses the recoverability of long-lived assets by comparing the carrying amount of the assets to the expected future undiscounted cash flows resulting from the use of the assets and their eventual disposition. If the sum of the expected undiscounted cash flow is less than the carrying amount of the assets, the Group recognizes an impairment loss based on the excess of the carrying amount of the assets over their fair value. Fair value is generally determined by discounting the cash flows expected to be generated by the assets, when the market prices are not readily available. The Group recognized impairment loss on long-lived assets of US$11,590, nil and US$3,549 for the years ended December 31, 2011, 2012 and 2013, respectively. | ||||||||||||
(o) Derivative instruments | ||||||||||||
ASC topic 815 (“ASC 815”), Derivatives and Hedging, requires all contracts which meet the definition of a derivative to be recognized in the consolidated financial statements as either assets or liabilities and recorded at fair value. Changes in the fair value of derivative financial instruments are either recognized periodically in earnings or in shareholders’ equity as a component of other comprehensive income depending on the use of the derivative and whether it qualifies for hedge accounting. Changes in fair values of derivatives not qualified as hedges are reported in the consolidated statements of comprehensive income. The estimated fair values of derivative instruments are determined at discrete points in time based on the relevant market information. These estimates are calculated with reference to the market rates using industry standard valuation techniques. | ||||||||||||
(p) Comprehensive income (loss) | ||||||||||||
Comprehensive income (loss) is defined as the change in shareholders’ equity of the Group during a period from transactions and other events and circumstances excluding transactions resulting from investments by owners and distributions to owners. The Group presents items of net income (loss) and other comprehensive income (loss) in one continuous statement. Accumulated other comprehensive income (loss) of the Group includes the cumulative foreign currency translation adjustments and net losses not recognized immediately as a component of net periodic pension cost of a defined benefit plan. | ||||||||||||
(q) Revenue recognition | ||||||||||||
The Group’s revenue is derived from the sale of electricity. Revenues are recognized when the following four criteria are met as prescribed by ASC topic 605 (“ASC 605”), Revenue Recognition: (i) persuasive evidence of an arrangement exists, (ii) delivery has occurred or services have been rendered, (iii) the seller’s price to the buyer is fixed or determinable, and (iv) collectability is reasonably assured. The Group considers the terms of each arrangement to determine the appropriate accounting treatment. Revenue is generally earned and recognized upon transmission of electricity to the power grid controlled and owned by the respective regional or provincial grid companies. For transactions in which electricity has been transmitted to the power grid without a fixed or determinable unit price per kWh while the tariff is pending approval of the regional or provincial pricing bureau, cash received in exchange for the transmission of electricity to the power grid controlled by the respective regional or provincial grid companies has been recorded as customer deposits until such time the price becomes fixed and determinable. When the price becomes fixed and determinable, all or a portion of the customer deposits will be recognized as revenue. The Group does not defer the related cost of revenues, which is charged to expense as incurred. No customer deposits were recognized as of December 31, 2012 and 2013. The Group has not offered any discounts or rebates to its customers nor does it provide for refunds in its sales contracts with customers. | ||||||||||||
The Company’s subsidiaries are subject to withholding value-added tax (“VAT”) on the revenues earned in the PRC. The applicable rate of VAT is 6% for small hydroelectric power projects with a total installed capacity of 50 megawatts or less and 17% for large hydroelectric power projects with a total installed capacity of over 50 megawatts. For the years ended December 31, 2011, 2012 and 2013, the lower VAT rate of 6% was applied to the hydroelectric power projects of Binglangjiang, Liyuan, Yingchuan, Wuliting, Jiulongshan, Zhougongyuan, Shapulong, Ruiyang, Husahe, Hengda, Xineng, Xiaopengzu, Jinling, Jinlong, Jintang Jinwei and Dazhaihe, and the VAT rate of 17% was applied to the hydroelectric power projects of Banzhu and Wangkeng. VAT on revenues earned from the sale of electricity by the Group to its customers for the years ended December 31, 2011, 2012 and 2013 were US$4,583, US$7,387 and US$6,047, respectively. The Group has recognized revenues net of VAT in the consolidated statements of comprehensive income. | ||||||||||||
(r) Cost of revenues | ||||||||||||
Cost of revenues consists primarily of depreciation expense of hydroelectric power projects and related operating costs and overhead expenses directly attributable to the production of electricity. | ||||||||||||
(s) Leases | ||||||||||||
In accordance with ASC topic 840 (“ASC 840”), Lease, leases are classified at the inception date as either a capital lease or an operating lease. For the lessee, a lease is a capital lease if any of the following conditions exist: (i) ownership is transferred to the lessee by the end of the lease term, (ii) there is a bargain purchase option, (iii) the lease term is at least 75% of the property’s estimated remaining economic life or (iv) the present value of the minimum lease payments at the beginning of the lease term is 90% or more of the fair value of the leased property to the lessor at the inception date. A capital lease is accounted for as if there was an acquisition of an asset and incurrence of an obligation at the inception of the lease. All other leases are accounted for as operating leases wherein rental payments are expensed on a straight-line basis over the lease periods. | ||||||||||||
The Group has no capital leases for any of the years presented. | ||||||||||||
(t) Income taxes | ||||||||||||
The Group follows the liability method of accounting for income taxes in accordance with ASC topic 740 (“ASC 740”), Income Taxes. Under this method, deferred tax assets and liabilities are determined based on the difference between the financial reporting and tax bases of assets and liabilities, net operating loss and credits carryforwards, using enacted tax rates that will be in effect for the period in which the differences are expected to reverse. The Group records a valuation allowance against the amount of deferred tax assets if based on the weight of available evidence, it is more likely than not that some portion, or all, of the deferred tax assets will not be realized. The effect on deferred taxes of a change in tax rate is recognized in the consolidated statements of comprehensive income in the period that includes the enactment date. | ||||||||||||
The Company accounts for uncertainty in income taxes in accordance with ASC 740. Interest and penalties arising from underpayment of income taxes are computed in accordance with the related PRC tax law. The amount of interest expenses is computed by applying the applicable statutory rate of interest to the difference between the tax position recognized and the amount previously taken or expected to be taken in a tax return. Interest recognized from the accounting for uncertainty in income taxes is classified in the financial statements as interest expenses, while penalties recognized from the accounting for uncertainty in income taxes are classified in the financial statements as other expenses. | ||||||||||||
The Group recognizes in its financial statements the impact of a tax position if a tax return position or future tax position is “more likely than not” to prevail, which is defined as a likelihood of more than fifty percent of being sustained upon audit, based on the technical merits of the tax position. Tax positions that meet the “more likely than not” threshold are measured, using a probability weighted approach, at the largest amount of tax benefit that has a greater than fifty percent likelihood of being realized upon settlement. | ||||||||||||
The Group’s estimated liability for unrecognized tax benefits is periodically assessed for adequacy and may be affected by changing interpretation of laws, rulings by tax authorities, certain changes and/or developments with respect to audits, and expiration of the statute of limitations. The outcome for a particular audit cannot be determined with certainty prior to the conclusion of the audit and, in some cases, appeal or litigation process. The actual benefits ultimately realized may differ from the Group’s estimates. As each audit is concluded, adjustments, if any, are appropriately recorded in the Group’s financial statements. Additionally, in future periods, change in facts, circumstances, and new information may require the Group to adjust the recognition and measurement estimates with regard to individual tax positions. Changes in recognition and measurement estimates are recognized in the period in which the change occurs. The Group classified unrecognized tax benefits as current liabilities to the extent the Group anticipates payment of cash within one year or the operating cycle, if longer. | ||||||||||||
The Company recognizes the tax benefit for the excess of the tax basis over the financial reporting basis or the tax liability when the financial reporting basis exceeds the tax basis (“outside basis difference”) of an investment in subsidiary in accordance with ASC sub-topic 740-30 (“ASC 740-30”), Income Taxes: Recognition, when it is apparent that the temporary differences will reverse in the foreseeable future. If it is “more likely than not” that a deferred tax liability will be realized as a result of the decision to dispose of a subsidiary, the tax liability would be recorded when the disposal group is classified as held for sale even though any gain expected upon disposal cannot be recognized until the sale is consummated. | ||||||||||||
(u) Net (loss) income per share | ||||||||||||
In accordance with ASC topic 260 (“ASC 260”), Earnings Per Share, basic (loss) income per share is computed by dividing net (loss) income attributable to ordinary shareholders by the weighted average number of ordinary shares outstanding during the year. Diluted (loss) income per share is calculated by dividing net (loss) income attributable to ordinary shareholders as adjusted for the effect of dilutive ordinary equivalent shares, if any, by the weighted average number of ordinary and dilutive ordinary share equivalents outstanding during the period. Ordinary share equivalents consist of the ordinary shares issuable upon the conversion of warrants (Note 17) and share options (Note 26), using the treasury stock method. | ||||||||||||
(v) Segment reporting | ||||||||||||
The Group follows ASC topic 280 (“ASC 280”), Segment Reporting, for the presentation of segment information. The Group’s chief operating decision maker, who has been identified as the chief executive officer (“CEO”), relies upon financial information by provinces with operations in the PRC when making decisions about allocating resources and assessing the performance of the Group. As a result, the Group operates and manages its business as four operating and reportable segments, namely the Yunnan Province segment, the Sichuan Province segment, the Zhejiang Province segment and the Fujian Province segment. As the Group’s long-term assets are substantially all located in and derived from the PRC, no geographical segments are presented. | ||||||||||||
(w) Government grant | ||||||||||||
Government grants are recognized when there is reasonable assurance that the attaching conditions will be complied with. A grant relates to an expense item is recognized as income over the period necessary to match the grant on a systematic basis to the related costs, whereas a grant relates to an asset acquisition is recognized as deferred government grant and recognized as income in proportion to depreciation of the related assets. Grant income is recognized on a net basis as a reduction to cost of revenues in the consolidated statements of comprehensive income. | ||||||||||||
(x) Share-based payment | ||||||||||||
The Company accounts for share awards issued to employees in accordance with ASC topic 718 (“ASC 718”), Compensation-Stock Compensation. In accordance with the fair value recognition provision of ASC 718, share-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as an expense, net of estimated forfeitures, over the requisite service period, which is generally the vesting period. The Company has elected to recognize share-based compensation expense for share awards granted to employees using the straight-line method. The Company uses a binomial option pricing valuations model in determining the fair value of the options granted. | ||||||||||||
The Company accounts for share awards issued to non-employees in accordance with the provisions of ASC 718 and ASC sub-topic 505-50 (“ASC 505-50”), Equity: Equity-Based Payment to Non-employees. The Company’s share awards issued to non-employees are subject to graded vesting provisions. The Group recognizes share-based compensation expense for share awards granted to non-employees using the accelerated recognition method over the requisite service period of the award. In accordance with ASC 718 and ASC 505-50, the Company uses the binomial option pricing valuations model to measure the value of options granted to non-employees at each vesting date to determine the appropriate charge to share-based compensation. | ||||||||||||
ASC 718 requires forfeitures to be estimated at the time of grant and revised, if necessary, in the subsequent period if actual forfeitures differ from initial estimates. Share-based compensation expense was recorded net of estimated forfeitures such that expense was recorded only for those share-based awards that are expected to vest. Forfeiture rate is estimated based on historical and future expectation of employee turnover rate and is adjusted to reflect future change in circumstances and facts, if any. | ||||||||||||
(y) Long-lived assets to be disposed of and discontinued operations | ||||||||||||
The Company accounts for a long-lived asset to be disposed of other than by sale in accordance with the provisions of ASC 360, where such long-lived asset continues to be classified as held and used until it is disposed of. When a long-lived asset ceases to be used, the carrying amount of the asset is written down to its salvage value, if any. | ||||||||||||
The Company accounts for a long-lived asset or disposal group to be sold in accordance with ASC 360, where such long-lived asset or disposal group is classified as held for sale in the period in which all six criteria are met: (1) a plan to sell the asset has been committed to by management; (2) the asset can be sold in its current condition; (3) an active plan has been initiated to find a buyer; (4) it is probable that the asset will be sold and the sale will be completed within one year and will qualify as a completed sale; (5) the sales price is reasonable relative to the asset’s current fair value and the entity is actively marketing the asset; and (6) it is unlikely that the plan to sell the asset will be withdrawn or changed significantly. | ||||||||||||
A long-lived asset or disposal group classified as held for sale is measured at the lower of its carrying amount or fair value less cost to sell, and it is presented separately on the consolidated balance sheets. Long-lived assets reclassified as held for sale are not depreciated or amortized. | ||||||||||||
The Company follows ASC 205-20 in its accounting for a component of the Company that has been disposed of or is classified as held for sale and has operations and cash flows that can be clearly distinguished from the rest of the Company. Such component is reported as discontinued operations. In the period in which a component has been disposed of or classified as held for sale, the results of operations, including any gain or loss after tax recognized in accordance with ASC 360, less applicable income taxes, for the periods presented are reclassified into line items of income separately from net income (loss) from continuing operations before extraordinary items (if applicable), on the consolidated statements of comprehensive income. | ||||||||||||
(z) Recently issued accounting standards | ||||||||||||
In March 2013, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2013-05 (“ASU 2013-05”), Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity, which specifies that a cumulative translation adjustment should be released into earnings when an entity ceases to have a controlling financial interest in a subsidiary or group of assets within a consolidated foreign entity and the sale or transfer results in the complete or substantially complete liquidation of the foreign entity. For sales of an equity method investment that is a foreign entity, a pro rata portion of cumulative translation adjustment attributable to the investment would be recognized in earnings when the investment is sold. When an entity sells either a part or all of its investment in a consolidated foreign entity, cumulative translation adjustment would be recognized in earnings only if the sale results in the parent no longer having a controlling financial interest in the foreign entity. In addition, cumulative translation adjustment should be recognized in earnings in a business combination achieved in stages (i.e., a step acquisition). The amendments are effective for reporting periods beginning after December 15, 2013. Early adoption is permitted. The Company is currently evaluating the impact on its consolidated financial statements from the adoption of ASU 2013-05. | ||||||||||||
In July 2013, the FASB issued ASU No. 2013-11 (“ASU 2013-11”), Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, which concludes an unrecognized tax benefit should be presented as a reduction of a deferred tax asset when settlement in this manner is available under the tax law. The amendments are effective for reporting periods beginning after December 15, 2013. Early adoption is permitted. The Company is currently evaluating the impact on its consolidated financial statements from the adoption of ASU 2013-11. |
ACQUISITIONS
ACQUISITIONS | 12 Months Ended | |||
Dec. 31, 2013 | ||||
ACQUISITIONS | ' | |||
ACQUISITIONS | ' | |||
3. ACQUISITIONS | ||||
(a) Acquisition of a subsidiary during the year ended December 31, 2011 | ||||
During the year ended December 31, 2011, the Company completed the acquisition of 100% ownership interest in Dazhaihe. This acquisition was in line with the Company’s plan to further expand its hydroelectric power generation capacity in the PRC. | ||||
On November 6, 2010, Xiaopengzu entered into an equity transfer purchase agreement with seven individual shareholders to acquire 100% of the equity interest in Dazhaihe. The total purchase consideration for the acquisition was US$9,019 (RMB59,000) cash. The hydroelectric project of Dazhaihe is located in Mengqian County, Yunnan Province, and has been in operation since September 2008. The acquisition was completed and Xiaopengzu took effective control of Dazhaihe on April 10, 2011. The acquisition of Dazhaihe meets the definition of a business acquisition and the results of operations of the acquired business have been included in the Company’s consolidated financial statements since April 10, 2011. | ||||
The following table summarizes the fair value of the assets acquired and liabilities assumed at the date of acquisition on April 10, 2011. | ||||
US$ | ||||
Cash purchase price | 9,019 | |||
Total purchase consideration | 9,019 | |||
Cash | 59 | |||
Property, plant and equipment, net | 11,540 | |||
Other assets | 555 | |||
Goodwill | 6,646 | |||
Total assets acquired | 18,800 | |||
Other liabilities | (9,303 | ) | ||
Deferred tax liabilities — non-current | (478 | ) | ||
Total liabilities assumed | (9,781 | ) | ||
Net assets acquired | 9,019 | |||
The US$6,646 goodwill from the acquisition of Dazhaihe was assigned to the Yunnan Province segment. The goodwill recognized is primarily attributable to expected synergies and the assembled workforce of Dazhaihe. None of the goodwill is expected to be deductible for tax purposes. | ||||
The Company recognized US$28 of acquisition-related costs that were expensed in the year ended December 31, 2011. These costs are included in “General and administrative expenses” on the consolidated statements of comprehensive income. | ||||
The amounts of revenue and net loss of Dazhaihe included in the Company’s consolidated statement of comprehensive income from April 10, 2011, the acquisition date, to December 31, 2011 were as follows: | ||||
US$ | ||||
Revenue | 831 | |||
Net loss | (717 | ) | ||
(b) Acquisition of noncontrolling interest | ||||
On January 14, 2011, Fujian Huabang, a wholly-owned subsidiary of the Company, completed the acquisition of the remaining 10% equity interest of Wangkeng pursuant to an equity transfer purchase agreement with Sanming Chenyang Hydroelectric Co., Ltd. dated November 22, 2010. The purchase consideration for the acquisition was US$5,939 (RMB38,967). The Company accounted for the purchase of subsidiary shares from the noncontrolling interest as an equity transaction in accordance with ASC 810. The carrying amount of the noncontrolling interest was adjusted from US$1,032 (RMB6,777) to nil to reflect the noncontrolling interest holder’s reduced ownership interest in Wangkeng’s net assets. The difference between the consideration paid by the Company to the noncontrolling interest holder and the adjustment to the carrying amount of the noncontrolling interest in Wangkeng was recognized in additional paid-in capital. Upon the completion of this transaction, Wangkeng became a wholly-owned subsidiary of the Group. | ||||
The following table shows the effects of changes in the Company’s ownership interest in Wangkeng on the Company’s equity: | ||||
For the year | ||||
ended | ||||
December 31, | ||||
2011 | ||||
US$ | ||||
Net income (loss) attributable to the Company | (45,389 | ) | ||
Decrease in the Company’s paid-in capital for purchase of 10% of equity interest in Wangkeng | (4,907 | ) | ||
Net transfers to noncontrolling interest | (4,907 | ) | ||
Change from net income (loss) attributable to the Company and transfers to noncontrolling interest | (50,296 | ) | ||
During the years ended December 31, 2012 and 2013, the Company did not complete any acquisition of hydropower projects. |
ACCOUNTS_RECEIVABLE
ACCOUNTS RECEIVABLE | 12 Months Ended |
Dec. 31, 2013 | |
ACCOUNTS RECEIVABLE | ' |
ACCOUNTS RECEIVABLE | ' |
4. ACCOUNTS RECEIVABLE | |
The Group’s trading terms with its customers are mainly on credit. The credit terms are generally within 60 days after the delivery of electricity. The Group does not offer extended payment terms and all accounts receivable balances are non-interest-bearing. | |
As of December 31, 2012 and 2013, all of the accounts receivable balances were within credit terms. |
PREPAYMENTS_AND_OTHER_CURRENT_
PREPAYMENTS AND OTHER CURRENT ASSETS | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
PREPAYMENTS AND OTHER CURRENT ASSETS | ' | |||||
PREPAYMENTS AND OTHER CURRENT ASSETS | ' | |||||
5. PREPAYMENTS AND OTHER CURRENT ASSETS | ||||||
Prepayments and other current assets consist of the following: | ||||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Advances for construction projects | 78 | 109 | ||||
Acquisition deposits | 716 | 738 | ||||
Amounts due from original shareholders of acquired subsidiaries | 1,297 | 1,350 | ||||
Consideration receivable from disposal of a subsidiary | 11,534 | — | ||||
Prepaid insurance | 360 | 509 | ||||
Rental deposit | 182 | 258 | ||||
Prepaid finance consulting fee | 570 | 844 | ||||
Others | 973 | 1,026 | ||||
15,710 | 4,834 | |||||
Less: Provision for impairment allowance | (1,560 | ) | (1,608 | ) | ||
Total | 14,150 | 3,226 | ||||
Acquisition deposits as of December 31, 2013 represent a deposit of US$492 (2012: US$477) advanced by Wangkeng to Long Yan Ting Zhou Hydroelectric Development Co., Ltd. in April 2011 for the acquisition of the Ting Zhou hydroelectric project and a deposit of US$246 (2012: US$239) advanced by Hengda to Lushui Jinman Hydro Development Co., Ltd. in April 2011 for the acquisition of the Jinmanhe power project. As of December 31, 2011, these acquisitions have not been completed and the memorandums of understanding in relation to these acquisitions have expired. As a result, the Group recognized a full provision for impairment allowance on the acquisition deposits of US$738 (2012: US$716) as of December 31, 2013. | ||||||
Amounts due from original shareholders of acquired subsidiaries as of December 31, 2013 mainly represent US$819 (2012: US$794) receivable from the original shareholders of Jinling and its subsidiaries for business tax and land value added tax related to the disposal of an office building and US$531 (2012: US$503) from the original shareholders of Banzhu for social insurance which should be borne by the original shareholders in accordance with the equity purchase agreements. As of December 31, 2012, the amounts due from the original shareholders of Jinling and its subsidiaries are determined to be not recoverable. As a result, the Group recognized a full provision for impairment allowance of US$819 (2012: US$794) as of December 31, 2013. | ||||||
On October 18, 2012, the Company entered into an equity purchase and sale agreement with a third-party to dispose 100% equity interest in Yuheng for a total consideration of US$21,269 (RMB134,000) cash. Consideration receivable from disposal of a subsidiary as of December 31, 2012 represents US$11,534 unpaid consideration due from the buyer, which was fully settled on March 19, 2013. | ||||||
Prepaid finance consulting fee as of December 31, 2013 mainly represents US$665 (2012: US$451) current portion of prepaid consulting fee paid to banks by Wuliting, Zhougongyuan, Ruiyang, Jiulongshan, Jintang and Jinwei for loans and US$179 (2012: US$119) current portion of prepaid service fee paid to International Far Eastern Leasing Co., Ltd. (“IEL”), by Liyuan and Dazhaihe for certain financing arrangements (Note 11). These prepaid fees for loans are amortized over the loan terms under the effective interest method. |
DISCONTINUED_OPERATIONS
DISCONTINUED OPERATIONS | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
DISCONTINUED OPERATIONS | ' | |||||||
DISCONTINUED OPERATIONS | ' | |||||||
6. DISCONTINUED OPERATIONS | ||||||||
On December 3, 2011, the Company entered into an equity purchase and sale agreement with a third-party to dispose 100% equity interest in Yuanping for a total consideration of US$11,276 (RMB71,050) cash. Yuanping owns and operates one hydroelectric station located in the Fujian Province, the PRC. On the same day, an agreement was entered into between Yuanping and Yuheng whereby Yuanping is assigned a right to use 36.48% of the water generated by Yuheng’s dam and reservoir at nil consideration with immediate effect. The dam and reservoir legally owned by Yuheng had been utilized in power generation by both Yuanping and Yuheng historically. The disposal date was March 2, 2012, which was the date the Company lost effective control over Yuanping. Accordingly, the operating results of Yuanping have been presented as discontinued operations in the consolidated statements of comprehensive income for all years presented. | ||||||||
On October 18, 2012, the Company entered into an equity purchase and sale agreement with a third-party to dispose 100% equity interest in Yuheng for a total consideration of US$21,269 (RMB134,000) cash. Yuheng owns and operates one hydroelectric station located in the Fujian Province, the PRC. The disposal date was October 31, 2012, which was the date the Company lost effective control over Yuheng. Accordingly, the operating results of Yuheng have been presented as discontinued operations in the consolidated statements of comprehensive income for all years presented. | ||||||||
The breakdown of assets and liabilities attributable to discontinued operations as of the disposal dates and the results of discontinued operations for the years presented are as follows: | ||||||||
(a) Assets and liabilities attributable to discontinued operations | ||||||||
The breakdown of assets and liabilities attributable to discontinued operations of Yuanping as of the date of disposal on March 2, 2012 is as follows: | ||||||||
March 2, 2012 | ||||||||
US$ | ||||||||
Assets: | ||||||||
Cash and cash equivalents | 56 | |||||||
Property, plant and equipment, net | 17,304 | |||||||
Goodwill | 3,219 | |||||||
Intangible assets, net | 617 | |||||||
Deferred tax assets | 259 | |||||||
Prepayments and other current assets | 328 | |||||||
Total | 21,783 | |||||||
Liabilities: | ||||||||
Current portion of long-term loans | 477 | |||||||
Accrued expenses and other current liabilities | 163 | |||||||
Long-term loans | 10,489 | |||||||
Deferred tax liabilities | 827 | |||||||
Total | 11,956 | |||||||
The breakdown of assets and liabilities attributable to discontinued operations of Yuheng as of the date of disposal on October 31, 2012 is as follows: | ||||||||
October 31, 2012 | ||||||||
US$ | ||||||||
Assets: | ||||||||
Cash and cash equivalents | 472 | |||||||
Property, plant and equipment, net | 18,509 | |||||||
Goodwill | 23,448 | |||||||
Intangible assets, net | 1,916 | |||||||
Deferred tax assets | 174 | |||||||
Prepayment and other current assets | 241 | |||||||
Total | 44,760 | |||||||
Liabilities: | ||||||||
Current portion of long-term loans | 14,920 | |||||||
Accrued expenses and other current liabilities | 2,256 | |||||||
Long-term loans | 7,301 | |||||||
Deferred tax liabilities | 2,046 | |||||||
Other non-current liabilities | 33 | |||||||
Total | 26,556 | |||||||
(b) Results of discontinued operations | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Revenues | 4,737 | 4,661 | — | |||||
Cost of revenues | (2,098 | ) | (1,131 | ) | — | |||
General and administrative expenses | (226 | ) | (176 | ) | — | |||
Interest income | 2 | 2 | — | |||||
Interest expense | (2,580 | ) | (1,634 | ) | — | |||
Other (loss) income, net | (16 | ) | 3,543 | — | ||||
Income tax expense | (101 | ) | (1,358 | ) | — | |||
Net (loss) income from discontinued operations | (282 | ) | 3,907 | — | ||||
The gain on disposal of US$1,819 and US$1,907, net of tax effects of US$959, from the dispositions of Yuanping and Yuheng, respectively, was included in “Other (loss) income, net” from discontinued operations for the year ended December 31, 2012. | ||||||||
(c) No allocation of cash flows has been made between continuing and discontinued operations, as the cash flows provided by or used in the operating, investing and financing activities of the discontinued operations were insignificant. |
PROPERTY_PLANT_AND_EQUIPMENT_N
PROPERTY, PLANT AND EQUIPMENT, NET | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||||
PROPERTY, PLANT AND EQUIPMENT, NET | ' | |||||||||||||||||||||||||||
PROPERTY, PLANT AND EQUIPMENT, NET | ' | |||||||||||||||||||||||||||
7. PROPERTY, PLANT AND EQUIPMENT, NET | ||||||||||||||||||||||||||||
Property, plant and equipment and its related accumulated depreciation as of December 31, 2012 and 2013 are as follows: | ||||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||||
2012 | 2013 | |||||||||||||||||||||||||||
US$ | US$ | |||||||||||||||||||||||||||
Dams and reservoirs | 339,123 | 348,905 | ||||||||||||||||||||||||||
Buildings | 124,154 | 127,356 | ||||||||||||||||||||||||||
Machinery | 153,837 | 158,527 | ||||||||||||||||||||||||||
Transportation equipment | 1,865 | 1,925 | ||||||||||||||||||||||||||
Electronic equipment and others | 4,244 | 1,797 | ||||||||||||||||||||||||||
623,223 | 638,510 | |||||||||||||||||||||||||||
Less: Accumulated depreciation | (74,852 | ) | (98,513 | ) | ||||||||||||||||||||||||
548,371 | 539,997 | |||||||||||||||||||||||||||
Construction in progress, net | 140 | 245 | ||||||||||||||||||||||||||
Total | 548,511 | 540,242 | ||||||||||||||||||||||||||
Construction in progress, net of impairment charge, as of December 31, 2012 and 2013 is as follows: | ||||||||||||||||||||||||||||
Jiulongshan | Liyuan | Binglangjiang | Banzhu | Wangkeng | Wuliting | Yingchuan | Xineng | Hengda | Ruiyang | Zhougongyuan | Dazhaihe | Total | ||||||||||||||||
US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | ||||||||||||||||
Balance as of December 31, 2011 | 13 | 1,158 | 1 | — | — | — | 9 | — | — | 9 | — | — | 1,190 | |||||||||||||||
Addition to construction in progress | — | 1,350 | — | — | — | 1,316 | — | 278 | 11 | 1,091 | 1,429 | 48 | 5,523 | |||||||||||||||
Transfer from property, plant and equipment | — | — | — | — | — | — | — | 610 | — | — | — | 13 | 623 | |||||||||||||||
Transfer to property, plant and equipment | — | (2,416 | ) | (1 | ) | — | — | (1,316 | ) | — | (888 | ) | (11 | ) | (1,076 | ) | (1,429 | ) | (61 | ) | (7,198 | ) | ||||||
Foreign currency translation adjustment | — | 2 | — | — | — | — | — | — | — | — | — | — | 2 | |||||||||||||||
Balance as of December 31, 2012 | 13 | 94 | — | — | — | — | 9 | — | — | 24 | — | — | 140 | |||||||||||||||
Addition to construction in progress | — | 29 | — | 411 | 83 | — | — | — | — | — | — | — | 523 | |||||||||||||||
Transfer to property, plant and equipment | — | — | — | (300 | ) | — | — | — | — | — | — | — | — | (300 | ) | |||||||||||||
Impairment of construction in progress | — | (134 | ) | — | — | — | — | — | — | — | — | — | — | (134 | ) | |||||||||||||
Foreign currency translation adjustment | — | 11 | — | 2 | 1 | — | — | — | — | 2 | — | — | 16 | |||||||||||||||
Balance as of December 31, 2013 | 13 | — | — | 113 | 84 | — | 9 | — | — | 26 | — | — | 245 | |||||||||||||||
Impairment of property, plant and equipment relates to write-off of plant assets of Liyuan which were damaged by flood in July 2013. The Company assessed the recoverability of its long-lived assets and recognized an impairment loss amounting to US$4,098 for the year ended December 31, 2013. Insurance recovery amounting to US$549 was recognized upon the receipt of insurance proceeds for the year ended December 31, 2013. | ||||||||||||||||||||||||||||
Interest costs from continuing operations qualifying for capitalization in the years ended December 31, 2011, 2012 and 2013 were US$10, nil and nil, respectively. | ||||||||||||||||||||||||||||
Depreciation expenses from continuing operations for the years ended December 31, 2011, 2012 and 2013 were US$20,763, US$21,747 and US$22,182, respectively. Accumulated depreciation as of December 31, 2012 and 2013 included foreign currency translation adjustment of US$157 and US$2,640, respectively. Depreciation expenses have been reported in the following accounts: | ||||||||||||||||||||||||||||
For the Years ended December 31, | ||||||||||||||||||||||||||||
2011 | 2012 | 2013 | ||||||||||||||||||||||||||
US$ | US$ | US$ | ||||||||||||||||||||||||||
Cost of revenues | (20,466 | ) | (21,402 | ) | (21,841 | ) | ||||||||||||||||||||||
General and administrative expenses | (297 | ) | (345 | ) | (341 | ) | ||||||||||||||||||||||
Total | (20,763 | ) | (21,747 | ) | (22,182 | ) | ||||||||||||||||||||||
INTANGIBLE_ASSETS
INTANGIBLE ASSETS (Intangible assets, excluding land use rights) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Intangible assets, excluding land use rights | ' | |||||||||
Intangible assets | ' | |||||||||
INTANGIBLE ASSETS | ' | |||||||||
8. INTANGIBLE ASSETS | ||||||||||
In connection with the acquisition of Binglangjiang, the Company acquired a legal right to develop and operate Phase II of Binglangjiang’s hydroelectric power project. The development right allows the Company to expand the power generation capacity of Binglangjiang by utilizing the existing water dam of Binglangjiang, which has a useful life of 30 years. The Company recognized the fair value of US$2,909 of the development right as a separate intangible asset apart from goodwill in accordance with ASC 805. The estimated useful life of the development right is 30 years. | ||||||||||
In connection with the acquisition of Jinling, the Company acquired a right to use the dam of the Dongguan hydropower project which has a useful life of 40 years. The Company recognized the fair value of US$1,759 for the dam use right as a separate intangible asset apart from goodwill in accordance with ASC 805. The estimated useful life of the dam use right of Dongguan is 40 years. | ||||||||||
During the year ended December 31, 2013, the Company acquired financial system software, which has an estimated useful life of 5 years, for US$90. | ||||||||||
Intangible assets and their related accumulated amortization as of December 31, 2012 and 2013 are as follows: | ||||||||||
December 31, 2012 | ||||||||||
Gross | Accumulated | Foreign Currency | Net | |||||||
Carrying | Amortization | Translation | Carrying | |||||||
Value | Adjustment | Value | ||||||||
Development right of Binglangjiang Phase II | 2,909 | (629 | ) | 619 | 2,899 | |||||
Dam use right of Dongguan | 1,759 | (90 | ) | 92 | 1,761 | |||||
Total | 4,668 | (719 | ) | 711 | 4,660 | |||||
December 31, 2013 | ||||||||||
Gross | Accumulated | Foreign Currency | Net | |||||||
Carrying | Amortization | Translation | Carrying | |||||||
Value | Adjustment | Value | ||||||||
Development right of Binglangjiang Phase II | 2,909 | (749 | ) | 706 | 2,866 | |||||
Dam use right of Dongguan | 1,759 | (137 | ) | 146 | 1,768 | |||||
Software | 90 | (11 | ) | 1 | 80 | |||||
Total | 4,758 | (897 | ) | 853 | 4,714 | |||||
Amortization expenses from continuing operations for the years ended December 31, 2011, 2012 and 2013 were US$161, US$165 and US$178, respectively, which have been reported in the following accounts: | ||||||||||
For the Years Ended December 31, | ||||||||||
2011 | 2012 | 2013 | ||||||||
US$ | US$ | US$ | ||||||||
Cost of revenues | (45 | ) | (45 | ) | (168 | ) | ||||
General and administrative expenses | (116 | ) | (120 | ) | (10 | ) | ||||
Total | (161 | ) | (165 | ) | (178 | ) | ||||
The estimated annual amortization expenses for each of the five succeeding fiscal years are as follows: | ||||||||||
US$ | ||||||||||
2014 | 185 | |||||||||
2015 | 185 | |||||||||
2016 | 185 | |||||||||
2017 | 185 | |||||||||
2018 | 177 | |||||||||
GOODWILL
GOODWILL | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
GOODWILL. | ' | |||||||||||
GOODWILL | ' | |||||||||||
9. GOODWILL | ||||||||||||
Goodwill of US$115,960 as of December 31, 2013 represents the excess of the purchase price over the estimated fair value of the net tangible and identifiable intangible assets acquired relating to the acquisition of Binglangjiang during 2007, the acquisitions of Yingchuan, Wuliting, Wangkeng, and Banzhu during 2008, the acquisitions of Shapulong and Ruiyang during 2009, the acquisitions of Husahe, Hengda, Xineng, Xiaopengzu and Jinling and its subsidiaries during 2010 and the acquisition of Dazhaihe during 2011, net of foreign currency translation adjustment. Goodwill is not deductible for tax purposes. In accordance with ASC 350, goodwill is not amortized but is tested for impairment at least annually. | ||||||||||||
The changes in the carrying amount of goodwill by operating and reportable segments for the years ended December 31, 2012 and 2013 are as follows: | ||||||||||||
Yunnan | Sichuan | Fujian | Zhejiang | Total | ||||||||
Province | Province | Province | Province | |||||||||
US$ | US$ | US$ | US$ | US$ | ||||||||
Balance as of December 31, 2011 | 21,544 | — | 70,760 | 43,347 | 135,651 | |||||||
Foreign currency translation adjustment | 53 | — | 119 | 106 | 278 | |||||||
Disposal of subsidiaries | — | — | (23,448 | ) | — | (23,448 | ) | |||||
Balance as of December 31, 2012 | 21,597 | — | 47,431 | 43,453 | 112,481 | |||||||
Foreign currency translation adjustment | 668 | — | 1,467 | 1,344 | 3,479 | |||||||
Balance as of December 31, 2013 | 22,265 | — | 48,898 | 44,797 | 115,960 | |||||||
During the year ended December 31, 2012 the Company performed a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. Based on the qualitative assessment, the Company determined that it is not more likely than not that the fair values of its reporting units were less than their carrying values. Accordingly, the first and second steps of the goodwill impairment test are not necessary in accordance with ASC 350. No impairment on goodwill was recognized for the year ended December 31, 2012. | ||||||||||||
During the year ended December 31, 2012, the Company completed the disposal of two wholly-owned subsidiaries, Yuheng and Yuanping (Note 6). Goodwill amounting to US$23,448 and US$3,219 for Yuheng and Yuanping, respectively, was derecognized on the respective disposal date. | ||||||||||||
During the year ended December 31, 2013, due to the decline in its revenue as compared to the year ended December 31, 2012, the Company determined that there was an impairment indicator related to the carrying value of its goodwill. Thus, the Company performed the two-step goodwill impairment test on each of its reporting units. | ||||||||||||
In estimating the fair value of each of the reporting units in the first step of the impairment test, significant management judgment was applied. The Company estimated the fair value of each of the reporting units using the income approach valuation methodology. The market-based valuation methodology is not considered as appropriate because of volatility of the general market condition as well as insufficient number of comparable companies. In using the income approach methodology of valuation, estimates to determine the fair value of the reporting units included management’s judgment related to forecasts of future operating results, discount rates and expected future growth rates. The underlying assumptions used in the first step of the impairment test considered the market capitalization as of December 31, 2013 as well as the current local operating environment in certain provinces in the PRC and its expected impact on the fair value of the reporting unit. The Company determined that the fair values of all reporting units exceeded their carrying value and the second step of the impairment test was not necessary. |
LAND_USE_RIGHTS
LAND USE RIGHTS (Land use rights) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
Land use rights | ' | |||||
Land use rights | ' | |||||
LAND USE RIGHTS | ' | |||||
10.LAND USE RIGHTS | ||||||
Land use rights and their related accumulated amortization as of December 31, 2012 and 2013 are as follows: | ||||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Land use right | 47,521 | 47,521 | ||||
Less: Accumulated amortization | (4,614 | ) | (5,778 | ) | ||
Foreign currency translation adjustment | 5,733 | 7,219 | ||||
Total | 48,640 | 48,962 | ||||
The estimated annual amortization expenses for each of the five succeeding fiscal years are as follows: | ||||||
US$ | ||||||
2014 | 1,192 | |||||
2015 | 1,192 | |||||
2016 | 1,192 | |||||
2017 | 1,192 | |||||
2018 | 1,192 | |||||
OTHER_NONCURRENT_ASSETS
OTHER NON-CURRENT ASSETS | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
OTHER NON-CURRENT ASSETS | ' | |||||
OTHER NON-CURRENT ASSETS | ' | |||||
11. OTHER NON-CURRENT ASSETS | ||||||
Other non-current assets consist of the following: | ||||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Long-term prepaid debt insurance cost | 315 | 311 | ||||
Long-term prepaid rental expenses | 118 | 3 | ||||
Long-term prepaid compensation cost | 337 | 230 | ||||
Deposits for financing arrangement | 859 | 1,358 | ||||
Unamortized service fees | 187 | 299 | ||||
Long-term prepaid guarantee fee | 197 | 19 | ||||
Total | 2,013 | 2,220 | ||||
Deposit for financing arrangement and unamortized service fee represent the refundable deposits and nonrefundable service fees paid to IEL for arrangements to sell certain power generation assets and simultaneously leased back the assets. In August 2012, Liyuan sold assets to IEL for US$7,151 and simultaneously leased back the assets for three years at a monthly lease payment of US$219. The implicit interest rate on the lease payments is 6.5% per annum which is determined based on 0.35% above the benchmark interest rate announced by the People’s Bank of China for 1 to 3 years loans. In December 2013, Dazhaihe sold assets to IEL for US$3,876 and simultaneously leased back the assets for five years at a quarterly lease payment of US$230. The implicit interest rate on the lease payments is 6.72% per annum which is determined based on 0.32% above the benchmark interest rate announced by the People’s Bank of China for 3 to 5 years loans. As the Company retained substantially all of the benefits and risks from the ownership of the leased assets, the arrangements were accounted for as financing from IEL in accordance with ASC 840-40, Sale-leaseback transactions (Note 15). Pursuant to the agreements, the Company paid refundable deposits of US$858 and US$465 to IEL for the financing arrangements in 2012 and 2013, respectively. The deposits will be repaid to the Company at the end of the lease period. The Company also paid nonrefundable service fees of US$354 and US$281 to IEL in 2012 and 2013, respectively, which are amortized over the lease terms under the effective interest method. |
ACCRUED_EXPENSES_AND_OTHER_CUR
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | |||||
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | |||||
12. ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ||||||
Accrued expenses and other current liabilities consist of the following: | ||||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Accrued payroll expenses | 3,445 | 2,591 | ||||
Retainage due to contractors | 199 | 100 | ||||
Employee termination costs | 1,750 | 875 | ||||
Guarantee deposits from original shareholders of acquired subsidiaries | 1,358 | 1,394 | ||||
Income tax payable | 5,406 | 2,922 | ||||
Other taxes payable | 2,326 | 2,877 | ||||
Amounts due to original shareholders of acquired subsidiaries | 1,345 | 1,331 | ||||
Accrued water resource fee | 1,496 | 1,219 | ||||
Loans from third parties | 13,627 | 4,330 | ||||
Interest payable | 1,260 | 575 | ||||
Accrued dam and reservoirs repair fee | 1,424 | 851 | ||||
Reservoir maintenance fund | 1,905 | 2,338 | ||||
Advance from customers | 1,014 | 23 | ||||
Deposits from third parties | 716 | — | ||||
Accrued audit fee | 650 | 543 | ||||
Accrued settlement costs for legal proceedings (Note 23(e)) | — | 579 | ||||
Land compensation costs (Note 23(c)) | 959 | 624 | ||||
Service fee payable | 1,036 | 1,347 | ||||
Other liabilities | 3,909 | 3,553 | ||||
Total | 43,825 | 28,072 | ||||
Employee termination costs as of December 31, 2012 and 2013 represent the termination benefits payable to the former chairman and CEO, John Kuhns, and the former executive vice president and corporate secretary, Mary Fellows. Based on a settlement agreement with the Company, John Kuhns and Mary Fellows resigned from their executive officer positions with the Group with effective date on September 30, 2012 and agreed to serve as senior advisors to the board of directors until December 15, 2012. After completion of their advisory roles, the Company shall pay aggregate termination benefits of US$1,250 and US$500 to John Kuhns and Mary Fellows, respectively, on a monthly basis over the course of 24 months. During the year ended December 31, 2013, the Company paid termination benefits amounting to US$875. | ||||||
Guarantee deposits of US$90 (2012: US$87) and US$1,304 (2012: US$1,271) from original shareholders of acquired subsidiaries as of December 31, 2013 represent security deposits received by the Company from original shareholders of Yingchuan and Jinling, respectively, which will be returned by the Company when the original shareholders of the acquired subsidiaries furnish the Company with final documentation relating to the acquired hydroelectric power projects and dams and reservoirs or formal title certificates with respect to the land. The final documentation and title certificates have not been provided in full as of December 31, 2013. The Company will retain the security deposits until receipt of such documentations. | ||||||
Amounts due to original shareholders of acquired subsidiaries as of December 31, 2012 mainly represent US$1,271 payable to the original shareholders of Dazhaihe, Hengda, Xineng and Banzhu for their entitlement to the net working capital surplus of Dazhaihe, Hengda, Xineng and Banzhu immediately prior to the consummation of the acquisitions in accordance with the supplemental equity transfer purchase agreements. Amounts due to original shareholders of acquired subsidiaries as of December 31, 2013 mainly represent US$1,313 payable to the original shareholders of Dazhaihe, Hengda, Xineng and Banzhu for their entitlement to the net working capital surplus of Dazhaihe, Hengda, Xineng and Banzhu immediately prior to the consummation of the acquisitions in accordance with the supplemental equity transfer purchase agreements. | ||||||
Loans from third parties as of December 31, 2012 represent RMB denominated loans from non-financial institutions of US$9,139, US$4,121, US$240 and US$127 for Jinling, Jinlong, Hengda and Binglangjiang, respectively. The loans of US$32, US$2,743 and US$6,364 for Jinling bear an interest rate of 24%, 18% and 32% per annum, respectively. The loans for Jinlong bear an interest rate of 18% per annum. The loans for Hengda and Binglangjiang are interest free. Loans for Jinling, Hengda and Binglangjiang were fully repaid during the year ended December 31, 2013. Loans from third parties as of December 31, 2013 represent RMB denominated loans from non-financial institutions of US$4,330 for Jinlong. The loans for Jinlong bear an interest rate of 18% per annum. |
INCOME_TAX_EXPENSE
INCOME TAX EXPENSE | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
INCOME TAX EXPENSE | ' | |||||||
INCOME TAX EXPENSE | ' | |||||||
13. INCOME TAX EXPENSE | ||||||||
Cayman Islands | ||||||||
Under the current income tax laws of the Cayman Islands, the Company is not subject to tax on any income or capital gain. | ||||||||
Hong Kong | ||||||||
Under the current income tax laws of Hong Kong, in general, companies are subject to Hong Kong Profits Tax at 16.5% on income arising in or derived from Hong Kong. CHC HK and Sunpower do not derive any income which is subject to Hong Kong Profits Tax since their incorporations. In addition, upon payments of dividends by CHC HK and Sunpower to the Company, no Hong Kong withholding tax will be imposed. | ||||||||
PRC | ||||||||
Effective from January 1, 2008, the PRC’s statutory income tax rate is 25%. The Company’s PRC subsidiaries are subject to income tax at 25% unless otherwise specified. | ||||||||
Pursuant to CaiShui [2012] No. 58, the Company’s PRC subsidiaries which are located in the Western region of the PRC and engaged in hydroelectric power activities are entitled to the preferential tax rate of 15% from 2010 to 2020 and 2-year full income tax exemption followed by 3-year 50% income tax reduction (the “2+3 tax holiday”), respectively. For a domestic enterprise, the 2+3 tax holiday starts from its commencement of business operation. For a foreign investment enterprise, the 2+3 tax holiday starts from its first profit-making year from income tax perspective. Accordingly, the following preferential tax rates are noted: | ||||||||
(i) | Binglangjiang and Husahe are subject to income tax at 15% from 2010 to 2020; | |||||||
(ii) | Liyuan and Hengda were subject to income tax at 7.5% for 2010 and 2011, and are subject to income tax at 15% from 2012 to 2020; | |||||||
(iii) | Xineng and Xiaopengzu were tax exempted for 2010, and are subject to income tax at 7.5% from 2011 to 2013, and at 15% from 2014 to 2020; and | |||||||
(iv) | Based on the local tax authority’s approvals, Dazhaihe was tax exempted for 2010, and is subject to income tax at 7.5% for 2011, at 12.5% for 2012 and 2013, and at 15% from 2014 to 2020. | |||||||
Further, Banzhu, being a foreign invested production-type enterprise, was entitled to a 2+3 tax holiday which is grandfathered under the prevailing PRC Corporate Income Tax Law (“the CIT Law”) and its relevant regulations. As such, Banzhu is subject to income tax at 12.5% from 2010 to 2012. | ||||||||
In accordance with the prevailing CIT Law and its relevant regulations, enterprises established under the laws of foreign countries or regions and whose “place of effective management” is located within the PRC territory are considered PRC resident enterprises and subject to the PRC income tax at the rate of 25% on worldwide income. The definition of “place of effective management” refers to an establishment that exercises, in substance, overall management and control over the production and business, personnel, accounting, properties, etc. of an enterprise. As of December 31, 2013, no detailed interpretation or guidance has been issued to define “place of effective management” for non-China-funded overseas enterprises, such as the Company. If the Company’s non-PRC incorporated entities are deemed PRC tax residents, such entities would be subject to PRC tax under the CIT Law. As of December 31, 2013, the Company has analyzed the applicability of this law and has not accrued for PRC tax on such basis. The Company will continue to monitor changes in the interpretation or guidance of this law. | ||||||||
The Group had minimal operations in jurisdictions other than the PRC. | ||||||||
Income (loss) before income tax expense from continuing operations consists of: | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Cayman Islands | (17,593 | ) | (7,962 | ) | (2,943 | ) | ||
Hong Kong | (659 | ) | (680 | ) | (480 | ) | ||
PRC | (35,229 | ) | 10,037 | 4,379 | ||||
(53,481 | ) | 1,395 | 956 | |||||
Income tax expense consists of: | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Current income tax expense | 2,113 | 7,013 | 3,956 | |||||
Deferred income tax benefit | (586 | ) | (562 | ) | (482 | ) | ||
Income tax expense | 1,527 | 6,451 | 3,474 | |||||
A reconciliation of the actual income tax expense to the amount computed by applying the PRC statutory tax rate to income (loss) before income tax expense in the consolidated statements of comprehensive income is as follows: | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Taxation at PRC statutory tax rate of 25% | (13,370 | ) | 349 | 239 | ||||
Effect of non-PRC entities not subject to income tax | 4,564 | 2,161 | 856 | |||||
Effect of tax holiday | — | (466 | ) | (8 | ) | |||
Effect of preferential tax rate | (248 | ) | (14 | ) | (119 | ) | ||
Current and deferred tax rate differential | 1,015 | 1,167 | 762 | |||||
Deemed interest income | 1,010 | 276 | 46 | |||||
Non-deductible expenses | 4,337 | 3,041 | 1,447 | |||||
Change in valuation allowance | 3,818 | 575 | 1,041 | |||||
Impact of changes in enacted tax rates | (325 | ) | — | — | ||||
Prior year tax audit adjustment | 190 | — | — | |||||
PRC withholding tax on the outside basis difference of the discontinued operations | 136 | — | — | |||||
Provision for (reversal of) PRC dividend withholding tax | 400 | (296 | ) | 300 | ||||
Effect of changes in the tax basis of property, plant and equipment | — | (225 | ) | (391 | ) | |||
Reduction to unrecognized tax benefits due to lapse of statute of limitations | — | (117 | ) | (699 | ) | |||
Income tax expense | 1,527 | 6,451 | 3,474 | |||||
Effective tax rate (%) | (2.86 | )% | 462.44 | % | 363.39 | % | ||
The aggregate amount and effect of tax holidays on basic and diluted loss per share are as follows: | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Aggregate amount | — | 466 | 8 | |||||
Basic and diluted | — | 0.003 | — | |||||
The Company’s unrecognized tax benefits are mainly related to transfer pricing and non-deductible expenses. | ||||||||
A reconciliation of the Company’s unrecognized tax benefits is as follows: | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Balance as of January 1 | 3,743 | 6,093 | 6,077 | |||||
Addition for tax positions taken in the current year | 459 | 396 | 464 | |||||
Reclassified from income tax payable for tax positions of prior years | 2,336 | 1,138 | 1729 | |||||
Reduction for tax positions of prior years | (87 | ) | (171 | ) | (27 | ) | ||
Lapse of statute of limitations | — | (117 | ) | (669 | ) | |||
Reclassified to liabilities directly associated with the assets classified as held-for-sale or disposal of discontinued operations | (618 | ) | (1,276 | ) | — | |||
Foreign currency translation | 260 | 14 | 211 | |||||
Balance as of December 31 | 6,093 | 6,077 | 7,785 | |||||
As of December 31, 2012 and 2013, the Company’s unrecognized tax benefits of US$6,077 and US$7,785, of which US$4,159 and US$5,481, respectively, of the unrecognized tax benefits, if ultimately recognized, will impact the effective tax rate. Of the US$6,077 and US$7,785 unrecognized tax benefits, US$986 and US$1,582, respectively, are presented on a net basis on the face of the consolidated balance sheets against deferred tax assets related to net operating loss, for which a full valuation allowance would otherwise be recorded. | ||||||||
Management does not expect the amount of unrecognized tax benefits will change significantly in the next 12 months. As of December 31, 2012 and 2013, unrecognized tax benefits of US$5,091 and US$6,203 were included in “other non-current liabilities”, respectively. During the years ended December 31, 2011, 2012 and 2013, the Company recognized interest related to unrecognized tax benefits amounting to US$457, US$576 and US$68 in interest expense, respectively. Total accrued interests as of December 31, 2012 and 2013 were US$1,583 and US$1,697, respectively, and were included in “other non-current liabilities”, respectively. There was no penalty recognized by the Company in relation to its unrecognized tax benefits. | ||||||||
For the Company’s PRC subsidiaries, their tax years 2009 through 2013 remain open to examination by the tax authorities as of December 31, 2013. |
DEFERRED_TAX_ASSETS_AND_DEFERR
DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES | ' | |||||
DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES | ' | |||||
14. DEFERRED TAX ASSETS ANDDEFERRED TAX LIABILITIES | ||||||
The significant components of deferred tax assets and deferred tax liabilities of the Company are as follows: | ||||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Deferred tax assets—current | ||||||
Allowance for uncollectible other receivables | 747 | 770 | ||||
Accrued water resource fee | 332 | 316 | ||||
Accrued expenses | 706 | 985 | ||||
Other payable | 622 | 762 | ||||
Deferred tax assets—current | 2,407 | 2,833 | ||||
Valuation allowance | (748 | ) | (839 | ) | ||
Net deferred tax assets—current | 1,659 | 1,994 | ||||
Deferred tax assets—non-current | ||||||
Net operating loss carryforwards | 1,746 | 2,822 | ||||
Depreciation of property, plant and equipment | 812 | 948 | ||||
Provision for impairment allowance | 3,481 | 3,599 | ||||
Others | 10 | 10 | ||||
Deferred tax assets—non-current | 6,049 | 7,379 | ||||
Valuation allowance | (4,720 | ) | (5,853 | ) | ||
Net deferred tax asset—non-current | 1,329 | 1,526 | ||||
Deferred tax liabilities—current | ||||||
Undistributed earnings of a foreign subsidiary | — | (300 | ) | |||
Deferred tax liabilities—non-current | ||||||
Fair value step-up of property, plant and equipment | (23,279 | ) | (23,647 | ) | ||
Fair value step-up of intangible assets | (1,066 | ) | (1,073 | ) | ||
Deferred tax liabilities—non-current | (24,345 | ) | (24,720 | ) | ||
The Group records a valuation allowance on its deferred tax assets that is sufficient to reduce the deferred tax assets to an amount that is more likely than not to be realized. Future reversal of the valuation allowance will be recognized either when the benefit is realized or when it has been determined that it is more likely than not that the benefit in future earnings will be realized. | ||||||
The Group recognized an increase in valuation allowance of US$3,818, US$575 and US$1,041 during the years ended December 31, 2011, 2012 and 2013, respectively. Foreign currency translation adjustments of US$69, US$12 and US$183 on valuation allowance were recognized in accumulated other comprehensive income during the years ended December 31, 2011, 2012 and 2013, respectively. | ||||||
Net operating loss carryforward amounted to US$22,365 as of December 31, 2013, of which US$452, US$1,361, US$5,972 US$7,560 and US$7,020 will expire in years 2014, 2015, 2016, 2017 and 2018, respectively. | ||||||
Apart from the amount disclosed above related to PRC dividend withholding tax on the undistributed earnings of a foreign subsidiary, deferred tax liabilities have not been provided on the undistributed earnings amounting US$29,260 and US$39,541 of the Company’s other foreign subsidiaries as of December 31, 2012 and 2013, respectively, as the Company intends to indefinitely reinvest such earnings into its foreign subsidiaries. Under the prevailing income tax law of the PRC and its relevant regulations, dividends paid by PRC enterprises out of profits earned after December 31, 2007 to non-PRC tax resident investors are subject to PRC withholding tax of 10%. A lower withholding tax rate may be applied based on applicable tax treaty with certain countries. The amounts of unrecognized deferred tax liabilities for the foreign subsidiaries’ undistributed earnings were US$2,926 and US$3,954 as of December 31, 2012 and 2013, respectively. |
BORROWINGS
BORROWINGS | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
BORROWINGS | ' | |||||
BORROWINGS | ' | |||||
15. BORROWINGS | ||||||
Total borrowings as of December 31, 2012 and 2013 consist of: | ||||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Short-term: | ||||||
Secured | 21,676 | 11,973 | ||||
Long-term: | ||||||
Current portion, secured | 35,537 | 38,337 | ||||
Non-current, secured | 212,970 | 211,723 | ||||
Total borrowings | 270,183 | 262,033 | ||||
The short-term loans outstanding as of December 31, 2012 represent RMB denominated loans of US$5,823, US$3,818, US$795, US$4,773, US$2,243, US$1,101 and US$623 for Jinling, Wangkeng, Yingchuan, Ruiyang, Zhougongyuan, Binglangjiang and Hengda, respectively, and US$ denominated loans of US$2,500 obtained from financial institutions. These loans are due for settlement in 2013. The short-term loans for Jinling of US$2,386 were obtained from Agricultural Bank of China with annual interest rates between 7.20% and 7.80% and were guaranteed by Wangkeng, and US$3,437 were obtained from Agricultural Bank of China with annual interest rates between 7.80% and 8.528% and were secured by the pledge of the property, plant and equipment of Jinling. The short-term loan for Wangkeng of US$3,818 was obtained from Industrial Bank of Fujian with an annual interest rate of 8.7% and was guaranteed by Pingnan County Yuanping Hydroelectric Co., Ltd. The short-term loan for Yingchuan of US$795 was obtained from Shanghai Pudong Development Bank with an annual interest rate of 9.60% and was guaranteed by Wuliting. The short-term loan for Ruiyang of US$1,591 was obtained from Shanghai Pudong Development Bank with an annual interest rate of 15%, and was secured by the pledge of the property, plant and equipment of Zhougongyuan and guaranteed by Yingchuan; and US$3,182 was obtained from Shanghai Pudong Development Bank with an annual interest rate of 18%, and was secured by the pledge of the property, plant and equipment of Jiulongshan and guaranteed by Wuliting. The short-term loan for Zhougongyuan of US$2,243 was obtained from Shanghai Pudong Development Bank with an annual interest rate of 5.40% and was secured by the pledge of a certificate of deposit of Zhougongyuan. The short-term loan for Binglangjiang of US$1,101 was obtained from Construction Bank of China with an annual interest rate of 7% and was secured by the pledge of proceeds from the future electricity sales of Binglangjiang. The short-term loan for Hengda of US$623 was obtained from Agricultural Bank of China with an annual interest rate of 6.29% and was secured by the pledge of notes receivable with a face amount of US$636. The short-term loan for CHC HK of US$2,500 was obtained from Bank of China with an annual interest rate of 4.64% and was secured by the pledge of a certificate of deposit of Fujian Huabang. | ||||||
The short-term loans outstanding as of December 31, 2013 represent RMB denominated loans of US$3,280, US$3,773, US$3,280, and US$1,640 for Jinling, Wangkeng, Wuliting and Binglangjiang, respectively, obtained from financial institutions. These loans are due for settlement in 2014. The short-term loans for Jinling of US$3,280 were obtained from Agricultural Bank of China with an annual interest rate of 8.4% and were secured by the pledge of the property, plant and equipment of Jinling. The short-term loan for Wangkeng of US$3,773 was obtained from Industrial Bank of Fujian with an annual interest rate of 8.4% and was guaranteed by Fujian Huabang. The short-term loan for Wuliting of US$3,280 was obtained from Zhejiang Chouzhou Commercial Bank with an annual interest rate of 10.80%, and was guaranteed by Yingchuan and secured by the pledge of the property, plant and equipment, and management rights of Wuliting. The short-term loan for Binglangjiang of US$1,640 was obtained from Agricultural Bank of China with an annual interest rate of 7.80% and was secured by the pledge of the property, plant and equipment of Binglangjiang. As of December 31, 2013, Wangkeng was in violation of certain debt covenant provisions relating to the use of funds. Pursuant to the loan agreement, the financial institution has the right to charge penalties at the stated interest rate of the loan. As the loan was obtained on December 25, 2013, the amount of accrued penalties was insignificant for the year ended December 31, 2013. | ||||||
The long-term loans of US$248,507 outstanding as of December 31, 2012 relate to RMB denominated loans obtained by Binglangjiang, Hengda, Xineng, Xiaopengzu, Yingchuan, Wuliting, Jiulongshan, Ruiyang, Zhougongyuan, Shapulong, Wangkeng, Banzhu, Liyuan, Jinling and its subsidiaries from financial institutions. The loan balances of Yingchuan that were not in compliance with certain debt covenants as of December 31, 2011 were fully settled during the year ended December 31, 2012. | ||||||
The long-term loans of US$250,060 outstanding as of December 31, 2013 relate to RMB denominated loans obtained by Binglangjiang, Hengda, Xineng, Xiaopengzu, Dazhaihe, Yingchuan, Wuliting, Jiulongshan, Ruiyang, Zhougongyuan, Shapulong, Wangkeng, Banzhu, Liyuan, Jinlong, Jinwei and Jintang from financial institutions. | ||||||
The interest rates on these long-term loans are variable based on the benchmark rate published by the People’s Bank of China each year. The weighted average interest rate on the long-term loans for the years ended December 31, 2012 and 2013 was 6.96% and 6.88%, respectively. The long-term loans are due from 2014 to 2027 and are secured by the following: | ||||||
(a) Corporate guarantee by thirdparties and related parties | ||||||
Long-term loans amounting to US$17,278 and US$6,069 as of December 31, 2012 and 2013, respectively, were guaranteed by the following third parties: | ||||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Guaranteed by: | ||||||
Guangsha Construction Group Co., Ltd. | 10,119 | 6,069 | ||||
Fujian Taiyu Investment (Group) Co., Ltd. | 7,159 | — | ||||
17,278 | 6,069 | |||||
Long-term loans amounting to US$10,978 and US$39,446 as of December 31, 2012 and 2013, respectively, were guaranteed by the following related parties: | ||||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Guaranteed by: | ||||||
Shaowu City Jinling Power Generation Co., Ltd. and Nanping City Xingshui Co., Ltd. | 4,455 | 3,936 | ||||
Fujian Taiyu Investment (Group) Co., Ltd., Shaowu City Jinling Power Generation Co., Ltd. and Xiamen Youxin Hydropower Development Co., Ltd. | 6,523 | — | ||||
Sanming Youxin Electricity Co., Ltd., Fujian Huabang Hydroelectric Investment Co., Ltd. | — | 35,510 | ||||
10,978 | 39,446 | |||||
(b) Pledge of property, plant and equipment | ||||||
As of December 31, 2012, long-term loans of US$237,752 were secured by the pledge of the property, plant and equipment in the amount of US$564,563 of Binglangjiang, Liyuan, Hengda, Xineng, Xiaopengzu, Yingchuan, Wuliting, Ruiyang, Jiulongshan, Zhougongyuan, Shapulong, Wangkeng, Banzhu, Jinlong, Jinwei and Jintang. | ||||||
As of December 31, 2013, long-term loans of US$224,310 were secured by the pledge of the property, plant and equipment in the amount of US$567,035 of Binglangjiang, Liyuan, Hengda, Xineng, Xiaopengzu, Dazhaihe, Yingchuan, Wuliting, Ruiyang, Jiulongshan, Zhougongyuan, Shapulong, Wangkeng, Banzhu, Jinling, Jinlong, Jinwei and Jintang. | ||||||
(c) Pledge of proceeds from future electricity sales | ||||||
As of December 31, 2012, long-term loans of US$171,740 were secured by the proceeds from future electricity sales of Hengda, Xineng, Xiaopengzu, Wuliting, Zhougongyuan, Jiulongshan, Ruiyang, Yingchuan, Shapulong, Wangkeng, Jinling, Jinlong and Liyuan. | ||||||
As of December 31, 2013, long-term loans of US$172,838 were secured by the proceeds from future electricity sales of Hengda, Xineng, Xiaopengzu, Dazhaihe, Binglangjiang, Wuliting, Zhougongyuan, Jiulongshan, Ruiyang, Yingchuan, Shapulong, Wangkeng, Jintang, Jinwei, Jinlong and Liyuan. | ||||||
(d) Pledge of equity interest | ||||||
As of December 31, 2012, long-term loans of US$20,683 and US$6,431 were secured by the pledge of the Company’s equity interest in Wuliting and Liyuan, respectively. As of December 31, 2013, long-term loans of US$20,502, US$4,277 and US$3,936 were secured by the pledge of the Company’s equity interest in Wuliting, Liyuan and Dazhaihe, respectively. | ||||||
Maturities of long-term loans for the five years succeeding December 31, 2013 are as follows: | ||||||
US$ | ||||||
2014 | 38,337 | |||||
2015 | 33,835 | |||||
2016 | 34,071 | |||||
2017 | 33,026 | |||||
2018 | 27,532 | |||||
Thereafter | 83,259 | |||||
250,060 | ||||||
OTHER_NONCURRENT_LIABILITIES
OTHER NON-CURRENT LIABILITIES | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
OTHER NON-CURRENT LIABILITIES | ' | |||||
OTHER NON-CURRENT LIABILITIES | ' | |||||
16. OTHER NON-CURRENT LIABILITIES | ||||||
Other non-current liabilities consist of the following: | ||||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Unrecognized tax benefits (Note 13) | 5,091 | 6,203 | ||||
Accrued interests on unrecognized tax benefits (Note 13) | 1,583 | 1,697 | ||||
Government grant | 100 | 100 | ||||
Others | 6 | 5 | ||||
Total | 6,780 | 8,005 | ||||
The government grant of Banzhu is recognized as income over the periods necessary to match it on a systematic basis with the related costs which it is intended to compensate. During the years ended December 31, 2011, 2012 and 2013, US$3, US$3 and US$3 has been recognized as a reduction to cost of revenues, respectively. | ||||||
WARRANTS
WARRANTS | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
WARRANTS. | ' | |||||||||
WARRANTS | ' | |||||||||
17. WARRANTS | ||||||||||
On January 25, 2010, the Company completed an IPO, whereby the Company issued 6,000,000 units of securities at US$16.00 per unit. Each unit consists of one ADS and one warrant (“IPO Warrant”). Each ADS represents three ordinary shares and each IPO Warrant entitles the holder to purchase three ordinary shares for an exercise price of US$15.00. The Company determined that the relative fair value of the ADSs and the IPO Warrants was US$14.80 and US$1.20, respectively, and allocated the sales proceeds of US$16.00 per unit of securities to the ADS and the IPO Warrant based on their relative fair values. The exercise period of the IPO Warrants commences on the date of issuance and expires on the earlier of January 25, 2014 or the redemption of the warrants by the Company. The IPO Warrants can be redeemed at the option of the Company at any time during the exercise period at US$0.01 per warrant, provided that the sales price per ADS equals or exceeds US$23.00 for any 20 trading days within a 30-trading day period before the redemption. The IPO Warrants expired unexercised on January 25, 2014. | ||||||||||
On January 25, 2010, the Company issued a warrant to Broadband Capital Management LLC (“Broadband Capital”), as part of the payment for services rendered by Broadband Capital in connection with the Company’s IPO, for US$100.00. The warrant allows Broadband Capital to purchase a number of units of securities equal to an aggregate of 4% of the units of securities sold in the IPO at an exercise price of 120% of the IPO price, or US$19.20 per unit (the “Underwriter’s Warrants”). The warrants underlying the units of securities issuable upon exercise of the Underwriter’s Warrant are equivalent to the IPO Warrants, except that the Underwriter’s Warrants are exercisable at 120% of the IPO warrant exercise price, or $18.00 for three ordinary shares. The Underwriter’s Warrants are exercisable on a cashless basis, are non-redeemable and have a five-year term. | ||||||||||
Upon the closing of the Company’s IPO on January 25, 2010 and as of December 31, 2012 and 2013, in accordance with ASC sub-topic 815-40 (“ASC 815-40”), Derivatives and Hedging: Contracts in Entity’s Own Equity, the IPO Warrants and Underwriter’s Warrants were concluded to be indexed solely to the Company’s own stock since the warrants do not contain an exercise contingency based on an observable market or an observable index, and the settlement amount would equal to the difference between the fair value of a fixed number of the Company’s ordinary shares and a fixed exercise price. In addition, the Company evaluated ASC 815-40-25-7 to ASC 815-40-25-35 and concluded that the IPO Warrants and Underwriter’s Warrants could only be physical settled or net-share settled but not net-cash settled. Therefore, the IPO Warrants and Underwriter’s Warrants have been classified as equity since the Company’s IPO on January 25, 2010. | ||||||||||
The IPO Warrants and Underwriter’s Warrants will continue to be reported as equity until such time as the warrants are exercised, expire, or become cash-settleable. In the event of a reclassification from equity to liability, the warrants will be measured at a new fair value as of the reclassification date with the change from the existing carrying value to the new fair value as an adjustment to shareholders’ equity. | ||||||||||
On July 26, 2010, the directors of China Hydro LLC (“CHL”), a limited liability company formed under the laws of the State of Delaware which holds the equity interest in the Company for the founding shareholders, resolved to distribute its ordinary shares in the Company and its warrants to purchase ordinary shares of the Company (the “Founders’ Warrants”) to the founding shareholders in proportion of their shareholding percentage at nil consideration. In connection with the distribution, CHL distributed to Sam Shoen and Shoen’s Trusts (collectively, “Shoen”) 66,964 Founders’ Warrants (the “Shoen’s Warrants”). Except for the Shoen’s Warrants, all of the other Founders’ Warrants expired unexercised. | ||||||||||
On August 18, 2011, the Company amended the exercise price of the 18,666,666 warrants, each to purchase one ordinary share, held by Vicis Capital Master Fund (“Vicis”) from US$5.00 per share to US$1.1544 per share. Immediately after the amendment, Vicis exercised 8,662,509 of the warrants to purchase 8,662,509 ordinary shares of the Company at the reduced exercise price of US$1.1544 per share. Vicis holds 10,004,157 warrants after the exercise. On August 19, 2011, the Company further amended four other terms of the remaining 10,004,157 warrants held by Vicis (the “Vicis’ Amended Warrants”) by (i) introducing full-ratchet anti-dilution protection where the exercise price is further adjusted to equal the dilutive price if the Company issues or sells any shares or equity-linked instrument at a price per share or new exercise price per share less than the reduced exercise price of US$1.1544; (ii) providing a cashless exercise option; (iii) increasing the hurdle for the Company’s exercise of its call option over the Holders’ Warrants, from a bid price equals or exceeds US$8.50 per share to US$17.66 per share; and (iv) extending the exercise period to the earlier of December 31, 2013 or upon redemption of the Vicis’ Amended Warrants by the Company. | ||||||||||
On October 27, 2011, the Company amended the exercise price of the Shoen’s Warrants to US$1.15 per share. Immediately after the amendment, Shoen exercised 31,072 of the warrants to purchase 31,072 ordinary shares of the Company at the reduced exercise price of US$1.15 per share. After the exercise, the Company further amended four other terms of the remaining 35,892 warrants held by Shoen (the “Shoen’s Amended Warrants”) by (i) introducing full-ratchet anti-dilution protection where the exercise price is further adjusted to equal the dilutive price if the Company issues or sells any shares or equity-linked instrument at a price per share or new exercise price per share less than the reduced exercise price of US$1.15; (ii) providing a cashless exercise option; (iii) increasing the hurdle for the Company’s exercise of its call option over the Founders’ Warrants, from a bid price equals or exceeds US$8.50 per share to US$17.66 per share; and (iv) extending the exercise period to the earlier of December 31, 2013 or upon redemption of the Shoen’s Amended Warrants by the Company. | ||||||||||
The Company evaluated ASC 815-40-15 and concluded that the 10,004,157 Vicis’ Amended Warrants and the 35,892 Shoen’s Amended Warrants are not indexed to its own stock due to the full-ratchet anti-dilution protection because the issuance of shares or an-equity-linked instrument in the future is not an input to the determination of the fair value of the settlement amount of a fixed-for-fixed or equity instrument. Therefore, the Vicis’ Amended Warrants and the Shoen’s Amended Warrants were reclassified from equity to liability. In accordance with ASC 815-40-35, the change in fair value of the Vicis’ Amended Warrants and the Shoen’s Amended Warrants during the period these warrants were classified as equity was accounted for as an adjustment to shareholders’ equity with any subsequent change in fair value being adjusted through earnings. The aggregate fair value of the Vicis’ Amended Warrants and the Shoen’s Amended Warrants were US$1,391, US$440, US$839 and nil at the time of amendment and as of December 31, 2011, 2012 and 2013, respectively. Thus, a debit to additional paid-in capital of US$1,391 and a gain of US$951 from the change in fair value of the Vicis’ Amended Warrants and Shoen’s Amended Warrants were recognized in the statements of shareholders’ equity and the statements of comprehensive income, respectively, during the year ended December 31, 2011. A loss of US$399 and a gain of US$839 from the change in fair value of the Vicis’ Amended Warrants and Shoen’s Amended Warrants were recognized in the statements of comprehensive income during the years ended December 31, 2012 and 2013, respectively. As of December 31, 2013, the Vicis’ Amended Warrants and Shoen’s Amended Warrants expired unexercised. | ||||||||||
The fair values of Vicis’ Amended Warrants and Shoen’s Amended Warrants, which are classified as liabilities, were estimated at their commitment date and December 31, 2011 and 2012 using the following assumptions: | ||||||||||
Vicis’ Amended | Shoen’s Amended | Vicis’/Shoen’s | Vicis’/Shoen’s | |||||||
Warrants | Warrants | Amended Warrants | Amended Warrants | |||||||
Commitment date/ year-end date | August 18, 2011 | October 27, 2011 | December 31, 2011 | December 31, 2012 | ||||||
Average risk-free rate of return | 0.24% | 0.24% | 0.24% | 0.14% | ||||||
Expected term/life | 2.38 years | 2.18 years | 2.00 years | 1.00 years | ||||||
Volatility rate | 52.52% | 51.20% | 72.00% | 88.40% | ||||||
Expected dividend yield | — | — | — | — | ||||||
Fair value of ordinary share | 0.14 | 0.04 | 0.04 | 0.57 | ||||||
Estimated forfeiture rate | 0% | 0% | 0% | 0% | ||||||
The fair values of the IPO Warrants and Underwriter’s Warrants, which are classified as equity, were estimated at their commitment date using the following assumptions: | ||||||||||
IPO | Underwriter’s | |||||||||
Warrants | Warrants | |||||||||
Commitment date | January 25, 2010 | January 25, 2010 | ||||||||
Average risk-free rate of return | 2.40% | 2.40% | ||||||||
Expected term/life | 4.99 years | 4.99 years | ||||||||
Volatility rate | 66.00% | 66.00% | ||||||||
Expected dividend yield | — | — | ||||||||
Fair value of ordinary share | 4.93 | 4.93 | ||||||||
Estimated forfeiture rate | 0% | 0% | ||||||||
The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying warrants and the fair value of the Company’s ordinary shares as of December 31, 2013, for those warrants that have an exercise price currently below the fair value of the Company’s ordinary shares. As of December 31, 2013, the Company has warrants outstanding to purchase an aggregate 19,440,000 ordinary shares. None of these warrants has an exercise price below the fair value of the Company’s ordinary shares, resulting in an aggregate intrinsic value of nil. | ||||||||||
All warrants were vested as of the date they were issued, except for the Underwriter’s Warrants which vested on July 19, 2011, 540 days after the IPO. Except for the exercise and expiration of warrants described above, no other warrants were redeemed, forfeited, cancelled or exercised for the years ended December 31, 2011, 2012 and 2013. | ||||||||||
SHARE_CAPITAL
SHARE CAPITAL | 12 Months Ended |
Dec. 31, 2013 | |
SHARE CAPITAL | ' |
SHARE CAPITAL | ' |
18. SHARE CAPITAL | |
The Company’s authorized ordinary share capital was 400,000,000 shares at par value of US$0.001 per share as of December 31, 2012 and 2013. There were 161,989,097 and 162,099,665 ordinary shares issued and outstanding as of December 31, 2012 and 2013, respectively. There were no preferred shares issued and outstanding as of December 31, 2012 and 2013. | |
On August 19, 2011 and October 27, 2011, Vicis and Shoen exercised a portion of their warrants to purchase 8,662,509 ordinary shares at US$1.1544 per share and 31,072 ordinary shares at US$1.15 per share from the Company, respectively (Note 17). | |
During the year ended December 31, 2013, 110,568 share options were exercised by three former employees, one consultant and one employee of the Company. The share options exercised by the former employees and consultant were on a cashless basis (Note 26). | |
The Group has not paid or declared any dividends on ordinary shares to date. The payment of dividends in the future will be contingent upon the Group’s revenues and earnings, if any, capital requirements and general financial condition subsequent to the completion of a business combination. The payment of dividends will be subject to the discretion of the Group’s board of directors and subject to the requirements of Cayman Islands’ laws. |
BASIC_AND_DILUTED_LOSS_INCOME_
BASIC AND DILUTED (LOSS) INCOME PER SHARE | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
BASIC AND DILUTED (LOSS) INCOME PER SHARE | ' | |||||||
BASIC AND DILUTED (LOSS) INCOME PER SHARE | ' | |||||||
19. BASIC AND DILUTED (LOSS) INCOME PER SHARE | ||||||||
Basic and diluted (loss) income per share for the years ended December 31, 2011, 2012 and 2013 are calculated as follows: | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Numerator for basic and diluted loss per share: | ||||||||
Loss attributable to ordinary shareholders | (45,389 | ) | (1,243 | ) | (2,221 | ) | ||
Denominator: | ||||||||
Weighted average number of ordinary shares outstanding—basic | 156,505,076 | 161,989,097 | 162,071,626 | |||||
Dilutive effect of convertible securities: | ||||||||
Warrants | — | — | — | |||||
Share options | — | — | — | |||||
Weighted average number of ordinary shares outstanding—diluted | 156,505,076 | 161,989,097 | 162,071,626 | |||||
(Loss) income per share—basic and diluted: | ||||||||
From continuing operations | (0.29 | ) | (0.03 | ) | (0.01 | ) | ||
From discontinued operations | (0.00 | ) | 0.02 | — | ||||
Loss per share—basic and diluted | (0.29 | ) | (0.01 | ) | (0.01 | ) | ||
The Group had warrants and share options outstanding which could potentially dilute basic income per share in the future but these securities were excluded from the computation of diluted loss per share in the years ended December 31, 2011, 2012 and 2013 as their effects would have been anti-dilutive. |
ACCUMULATED_OTHER_COMPREHENSIV
ACCUMULATED OTHER COMPREHENSIVE INCOME | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
ACCUMULATED OTHER COMPREHENSIVE INCOME | ' | |||||||
ACCUMULATED OTHER COMPREHENSIVE INCOME | ' | |||||||
20. ACCUMULATED OTHER COMPREHENSIVE INCOME | ||||||||
The changes in the balances of each component of accumulated other comprehensive income for the years ended December 31, 2011, 2012 and 2013 are as follows: | ||||||||
Foreign currency | Defined benefit pension plan | Total | ||||||
items | items | |||||||
US$ | US$ | US$ | ||||||
Balance at December 31, 2010 | 22,922 | — | 22,922 | |||||
Current-period other comprehensive income (loss) | 20,079 | (33 | ) | 20,046 | ||||
Balance at December 31, 2011 | 43,001 | (33 | ) | 42,968 | ||||
Current-period other comprehensive income | 954 | 33 | 987 | |||||
Amounts reclassified from accumulated other comprehensive income | (2,358 | ) | — | (2,358 | ) | |||
Net current-period other comprehensive (loss) income | (1,404 | ) | 33 | (1,371 | ) | |||
Balance at December 31, 2012 | 41,597 | — | 41,597 | |||||
Current-period other comprehensive income | 12,462 | — | 12,462 | |||||
Balance at December 31, 2013 | 54,059 | — | 54,059 | |||||
The amounts of foreign currency translation adjustments reclassified from accumulated other comprehensive income represent foreign currency translation adjustments realized in “gain on disposal of discontinued operations” on the consolidated statements of comprehensive income upon the dispositions of Yuanping and Yuheng during the year ended December 31, 2012. |
EMPLOYEE_BENEFIT_PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2013 | |
EMPLOYEE BENEFIT PLANS | ' |
EMPLOYEE BENEFIT PLANS | ' |
21. EMPLOYEE BENEFIT PLANS | |
(a) Defined contribution plan | |
The Group’s full time employees in the PRC participate in a government-mandated multi-employer defined contribution plan pursuant to which certain medical care unemployment insurance, employee housing fund and other welfare benefits are provided to employees. PRC labor regulations require the Group to accrue for these benefits based on 33.5% to 45.9% of the employees’ salaries, subject to a certain cap limit, depending on the location of employment. The total contribution for such employee benefits, which was expensed as incurred, was US$1,045, US1,324 and US$1,024 for the years ended December 31, 2011, 2012 and 2013, respectively. The Group has no additional legal obligations or liabilities for the benefits beyond the paid and accrued amounts. | |
In November 2008, the New York office of the Company established a 401(k) retirement plan, which requires a dollar by dollar matching contribution from the employer up to 3% of the employee’s annual salary. The total contribution for the 401(k) retirement plan, which was expensed as incurred, was US$155, US$74 and US$2 for the years ended December 31, 2011, 2012 and 2013, respectively. The Group has no additional legal obligation or liabilities for the benefits beyond the paid and accrued amounts. The 401(k) retirement plan was terminated in May 2013. | |
(b) Defined benefit plan | |
The Company established a defined benefit plan with a retirement plan service agent for two former executive officers, John Kuhns and Mary Fellows, with an effective date of January 1, 2010. The guaranteed retirement benefit under this defined benefit plan is based on the two former executive officers’ salaries and length of service periods. In 2012, the two former executive officers terminated their employment relationship with the Company and opted to have a lump sum cash distribution for their accumulated defined benefit of US$244, resulting in zero assets and obligation as of December 31, 2012. The benefit obligation, net periodic benefit cost, fair value of plan contributed assets and changes in the funded status of the plan were insignificant as of and for the years ended December 31, 2011 and 2012 based on the actuarial valuation dated January 13, 2012 and January 18, 2013, respectively. |
INTEREST_EXPENSE
INTEREST EXPENSE | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
INTEREST EXPENSE. | ' | |||||||
INTEREST EXPENSE | ' | |||||||
22. INTEREST EXPENSE | ||||||||
Interest expense for the years ended December 31, 2011, 2012 and 2013 consist of: | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Interest on loans | 18,371 | 20,017 | 19,091 | |||||
Accrued interest on unrecognized tax benefits (Note 13) | 457 | 576 | 68 | |||||
Amortization of debt issuance costs | 19 | 191 | 175 | |||||
Interest to original shareholders of acquired subsidiaries | 2,503 | 1,126 | 240 | |||||
Interest on loans from third parties | 2,567 | 4,757 | 1,683 | |||||
Bank charges | 672 | 1,340 | 1,067 | |||||
Others | 168 | 63 | 244 | |||||
Total | 24,757 | 28,070 | 22,568 |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | |||
Dec. 31, 2013 | ||||
COMMITMENTS AND CONTINGENCIES. | ' | |||
COMMITMENTS AND CONTINGENCIES | ' | |||
23. COMMITMENTS AND CONTINGENCIES | ||||
(a) Operating lease commitments | ||||
The Group has entered into certain operating leasing arrangements relating to the lease of the Group’s office premises. Payments made under operating leases are expensed on a straight-line basis over the term of the lease. Rental expenses under operating leases for the years ended December 31, 2011, 2012 and 2013 were US$912, US$639 and US$544, respectively. | ||||
Future minimum lease payments for non-cancellable operating leases as of December 31, 2013 are as follows: | ||||
US$ | ||||
2014 | 20 | |||
2015 | 22 | |||
Thereafter | — | |||
Total | 42 | |||
The Group’s lease arrangements have no renewal options, rent escalation clauses, restriction or contingent rents and are all conducted with third parties. | ||||
(b) Capital commitments | ||||
Capital commitments as of December 31, 2013 were approximately US$183 (RMB1,116) representing contracted but unprovided amounts for the purchase of property, plant and equipment by Yingchuan, Jiulongshan , Ruiyang , Wangkeng and Banzhu. | ||||
(c) Other commitments | ||||
During the year ended December 31, 2011, the Company entered into compensation agreements with certain land owners in the Fujian Province, the PRC, who lost the usage of their land due to the operation of the Company’s hydroelectric power projects in the areas. These agreements have terms ranging from 5 to 43 years from the date of signing of the compensation agreements. The annual compensation is based on the relevant land acres and agreed compensation rate per acre. The total compensation costs to the land owners, which were recorded in “cost of revenues”, were US$166, US$739 and US$202 for the years ended December 31, 2011, 2012 and 2013, respectively. | ||||
Future minimum compensation costs to the land owners for the five years succeeding December 31, 2013 are as follows: | ||||
US$ | ||||
2014 | 85 | |||
2015 | 194 | |||
2016 | 194 | |||
2017 | 193 | |||
2018 | 202 | |||
Thereafter | 5,286 | |||
Total | 6,154 | |||
(d) Other contingencies | ||||
As of December 31, 2013, the Group has not obtained formal title certificates with respect to the land that the Group used at the hydroelectric power projects of Zhougongyuan, Binglangjiang, Jinlong, Jintang, Jinling and Jinwei with a total area of approximately 2,499,278 meter square. The management is in the process of completing the legal procedures for obtaining the relevant title certificates for the parcels of land and buildings involved and registering them in the name of the Group’s operating companies. In addition, the Group has not passed the completion acceptance procedure for hydroelectric power projects of Wangkeng, Banzhu, Jinlong, Jintang, Jinwei and Jinling. Moreover, the hydroelectric power project of Husahe cannot verify whether it has passed completion acceptance due to the loss of files caused by flood in 2004. The management is in the process of performing the completion acceptance procedure for these hydroelectric power projects. In the opinion of management, the likelihood of not obtaining the formal title certificates and completing the acceptance procedures is remote based on current facts and circumstances. | ||||
There were no significant contingencies as of December 31, 2012 and 2013. | ||||
(e) Legal proceedings | ||||
On October 22, 2009, the Company signed a capital increase agreement with Henan Lantian Group Co., Ltd. (“Lantian”) to subscribe 79% equity interest in Wuyue, which owns the right to develop a pumped storage hydropower plant in the Henan Province, the PRC, for US$26,247 (RMB162,500). The Group completed the first capital injection of US$5,249 (RMB 32,500) in 2010. The project made minimum progress after the acquisition of Wuyue by the Group in October 2009. In 2011, the Company decided to abandon the development of the hydropower project and fully impair the construction in progress. In 2012, the Company initiated negotiations with Lantian to terminate the original capital increase agreement. | ||||
In April 2012, twenty-four employees of Wuyue filed an arbitration claim against the Company for the payment of salary in the amount of US$428 and the payment of social security in the amount of US$33. The claim was heard by the Henan Guangshan County Labour Arbitration Committee (“GCLAC”) in May 2012. GCLAC ordered that Wuyue be joined as a joint defendant with the Company. As of December 31, 2012, no ruling or award has been granted in respect of the claim. The Company had made a full accrual of the claimed amount in accrued expenses and other current liabilities. In October 2013, the twenty-four employees of Wuyue filed an arbitration claim against Wuyue, Lantian and the Company, which were named as joint respondents, for unpaid salary and social security payment in the amount of US$1,066. The claim was heard by GCLAC in November 2013. On November 26, 2013, GCLAC made an adjudication that the Company should pay salary and social security of US$540 (RMB3,342) and termination benefits of US$30 (RMB188) to those twenty-four employees. On February 17, 2014, the Company fully settled the compensation costs of US$570 to the employees of Wuyue in accordance with the verdict. | ||||
In May 2013, Lantian filed an arbitration claim against the Company at the China International Economic and Trade Arbitration Commission (“CIETAC”) for the penalties for late capital injection in Wuyue in the amount of US$4,158 (RMB 25,740). The Company filed a counterclaim against Lantian at the CIETAC for the termination of the capital increase agreement with Lantian and the return of the Company’s initial capital injection without additional penalties for late capital injection. In September 2013, Lantian increased the penalty claim amount to US$6,174 (RMB 38,220). As of December 31, 2013, no ruling or award has been granted in respect of the claim. The Company expects that the arbitration committee at CIETAC will issue a ruling during the second quarter of 2014. Since there is considerable uncertainty regarding the ultimate resolution of such matter, which includes eventual loss, fine, penalty or business impact, if any, an estimate for the reasonably possible loss or a range of reasonably possible losses cannot be made. |
OTHER_INCOME_LOSS_NET
OTHER INCOME (LOSS), NET | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
OTHER INCOME (LOSS), NET | ' | |||||||
OTHER INCOME (LOSS), NET | ' | |||||||
24. OTHER INCOME (LOSS), NET | ||||||||
Other income (loss), net for the years ended December 31, 2011, 2012 and 2013 consists of: | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Reimbursement from ADS depositary bank | 527 | — | — | |||||
Gain from extinguishment of amounts due to original shareholders of acquired subsidiaries | — | 462 | — | |||||
Interest penalty income from late consideration payment by the acquirer of a disposed subsidiary | — | — | 144 | |||||
Others | (861 | ) | 45 | 131 | ||||
Other (loss) income, net | (334 | ) | 507 | 275 |
SEGMENT_AND_GEOGRAPHIC_INFORMA
SEGMENT AND GEOGRAPHIC INFORMATION | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
SEGMENT AND GEOGRAPHIC INFORMATION | ' | |||||||||||||||
SEGMENT AND GEOGRAPHIC INFORMATION | ' | |||||||||||||||
25. SEGMENT AND GEOGRAPHIC INFORMATION | ||||||||||||||||
The Group follows ASC 280 for disclosure of segment information. The Group’s chief operating decision maker, who has been identified as the CEO, relies upon financial information by provinces with operations in the PRC when making decisions about allocating resources and assessing the performance of the Group. For the years ended December 31, 2011, 2012 and 2013, the Group operated and managed its business as four operating and reportable segments, namely the Yunnan Province segment, the Sichuan Province segment, the Zhejiang Province segment and the Fujian Province segment. As the Group’s long-lived assets and revenues are substantially all located in and derived from the PRC, no geographical segments are presented. | ||||||||||||||||
The Group’s segment information as of and for the year ended December 31, 2011 is as follows: | ||||||||||||||||
Yunnan | Sichuan | Zhejiang | Fujian | Unallocated | Eliminations | Consolidated | ||||||||||
Province | Province | Province | Province | |||||||||||||
US$ | US$ | US$ | US$ | US$ | US$ | US$ | ||||||||||
Revenues | 13,806 | 555 | 25,382 | 14,854 | — | — | 54,597 | |||||||||
Cost of revenues | (8,349 | ) | (568 | ) | (15,034 | ) | (10,874 | ) | — | 3,511 | (31,314 | ) | ||||
General and administrative expenses (including share-based compensation expense of US$10,479) | (1,519 | ) | (86 | ) | (1,148 | ) | (2,276 | ) | (23,867 | ) | — | (28,896 | ) | |||
Impairment loss on goodwill | (5,260 | ) | — | — | (6,128 | ) | — | — | (11,388 | ) | ||||||
Impairment loss on long-lived assets | — | — | — | — | (11,601 | ) | 11 | (11,590 | ) | |||||||
Interest income | 180 | 10 | 128 | 1,709 | 66 | (1,992 | ) | 101 | ||||||||
Interest expense | (8,468 | ) | — | (8,565 | ) | (9,669 | ) | (73 | ) | 2,018 | (24,757 | ) | ||||
Changes in fair value of warrant liabilities | — | — | — | — | 951 | — | 951 | |||||||||
Exchange loss | (28 | ) | — | — | (244 | ) | (579 | ) | — | (851 | ) | |||||
Other (loss) income, net | (285 | ) | — | (36 | ) | (158 | ) | 4,033 | (3,888 | ) | (334 | ) | ||||
Income tax (expense) benefit | (142 | ) | 5 | (843 | ) | 115 | (662 | ) | — | (1,527 | ) | |||||
Net loss from continuing operations | (10,065 | ) | (84 | ) | (116 | ) | (12,671 | ) | (31,732 | ) | (340 | ) | (55,008 | ) | ||
Loss from discontinued operations (net of income tax expense of US$101) | — | — | — | (631 | ) | — | 349 | (282 | ) | |||||||
Net loss for the year from discontinued operations | — | — | — | (631 | ) | — | 349 | (282 | ) | |||||||
Net loss | (10,065 | ) | (84 | ) | (116 | ) | (13,302 | ) | (31,732 | ) | 9 | (55,290 | ) | |||
Net loss attributable to noncontrolling interests | — | — | — | 2,546 | 7,355 | — | 9,901 | |||||||||
Net loss attributable to China Hydroelectric Corporation shareholders | (10,065 | ) | (84 | ) | (116 | ) | (10,756 | ) | (24,377 | ) | 9 | (45,389 | ) | |||
Total assets | 200,681 | 15,896 | 318,616 | 374,296 | 421,650 | (516,224 | ) | 814,915 | ||||||||
Total liabilities | (133,670 | ) | (753 | ) | (138,688 | ) | (185,330 | ) | (20,498 | ) | 58,902 | (420,037 | ) | |||
Capital expenditures | 1,763 | 1,128 | 3,031 | 645 | 970 | (5 | ) | 7,532 | ||||||||
Depreciation and amortization expenses | 5,181 | 344 | 9,837 | 6,569 | 115 | — | 22,046 | |||||||||
The Group’s segment information as of and for the year ended December 31, 2012 is as follows: | ||||||||||||||||
Yunnan | Sichuan | Zhejiang | Fujian | Unallocated | Eliminations | Consolidated | ||||||||||
Province | Province | Province | Province | |||||||||||||
US$ | US$ | US$ | US$ | US$ | US$ | US$ | ||||||||||
Revenues | 13,460 | 598 | 41,616 | 29,714 | — | — | 85,388 | |||||||||
Cost of revenues | (8,540 | ) | (689 | ) | (16,978 | ) | (13,133 | ) | — | 3,545 | (35,795 | ) | ||||
General and administrative expenses (including share-based compensation expense of US$166) | (2,108 | ) | (269 | ) | (2,569 | ) | (3,413 | ) | (11,989 | ) | — | (20,348 | ) | |||
Interest income | 236 | 121 | 838 | 1,713 | 3 | (2,827 | ) | 84 | ||||||||
Interest expense | (9,039 | ) | (260 | ) | (10,550 | ) | (10,787 | ) | (247 | ) | 2,813 | (28,070 | ) | |||
Changes in fair value of warrant liabilities | — | — | — | — | (399 | ) | — | (399 | ) | |||||||
Exchange (loss) gain | — | — | — | (1 | ) | 29 | — | 28 | ||||||||
Other income (loss), net | 136 | 22 | (81 | ) | 420 | 3,736 | (3,726 | ) | 507 | |||||||
Income tax benefit (expense) | 72 | (5 | ) | (3,831 | ) | (2,480 | ) | (207 | ) | (6,451 | ) | |||||
Net (loss) income from continuing operations | (5,783 | ) | (482 | ) | 8,445 | 2,033 | (9,074 | ) | (195 | ) | (5,056 | ) | ||||
Income from discontinued operations (net of income tax expense of US$399) | — | — | — | 959 | — | 181 | 1,140 | |||||||||
Gain on disposal of discontinued operations (net of income tax expense of $959) | — | — | — | — | 2,767 | — | 2,767 | |||||||||
Net income for the year from discontinued operations | — | — | — | 959 | 2,767 | 181 | 3,907 | |||||||||
Net (loss) income | (5,783 | ) | (482 | ) | 8,445 | 2,992 | (6,307 | ) | (14 | ) | (1,149 | ) | ||||
Net income attributable to noncontrolling interests | — | — | — | (94 | ) | — | — | (94 | ) | |||||||
Net (loss) income attributable to China Hydroelectric Corporation shareholders | (5,783 | ) | (482 | ) | 8,445 | 2,898 | (6,307 | ) | (14 | ) | (1,243 | ) | ||||
Total assets | 192,843 | 22,790 | 344,923 | 289,702 | 426,518 | (522,460 | ) | 754,316 | ||||||||
Total liabilities | (131,872 | ) | (8,092 | ) | (145,312 | ) | (129,627 | ) | (27,799 | ) | 80,901 | (361,801 | ) | |||
Capital expenditures | 877 | 1,384 | 3,973 | 1,305 | 15 | (58 | ) | 7,496 | ||||||||
Depreciation and amortization expenses | 5,546 | 477 | 10,136 | 6,767 | 142 | — | 23,068 | |||||||||
The Group’s segment information as of and for the year ended December 31, 2013 is as follows: | ||||||||||||||||
Yunnan | Sichuan | Zhejiang | Fujian | Unallocated | Eliminations | Consolidated | ||||||||||
Province | Province | Province | Province | |||||||||||||
US$ | US$ | US$ | US$ | US$ | US$ | US$ | ||||||||||
Revenues | 14,608 | 373 | 36,000 | 23,536 | — | — | 74,517 | |||||||||
Cost of revenues | (9,069 | ) | (634 | ) | (16,610 | ) | (12,393 | ) | (8 | ) | 3,357 | (35,357 | ) | |||
General and administrative expenses (including share-based compensation expense of US$211) | (1,534 | ) | (193 | ) | (1,909 | ) | (2,423 | ) | (7,154 | ) | (45 | ) | (13,258 | ) | ||
Impairment loss on long-lived assets | — | (3,549 | ) | — | — | — | — | (3,549 | ) | |||||||
Interest income | 340 | 365 | 1,801 | 702 | 2 | (3,112 | ) | 98 | ||||||||
Interest expense | (7,726 | ) | (557 | ) | (10,128 | ) | (7,160 | ) | (109 | ) | 3,112 | (22,568 | ) | |||
Changes in fair value of warrant liabilities | — | — | — | — | 839 | — | 839 | |||||||||
Exchange loss | — | — | — | — | (41 | ) | — | (41 | ) | |||||||
Other income (loss), net | 37 | — | (18 | ) | 91 | 3,477 | (3,312 | ) | 275 | |||||||
Income tax benefit (expense) | 43 | 15 | (2,245 | ) | (843 | ) | (444 | ) | — | (3,474 | ) | |||||
Net (loss) income from continuing operations | (3,301 | ) | (4,180 | ) | 6,891 | 1,510 | (3,438 | ) | — | (2,518 | ) | |||||
Net (loss) income from discontinuing operations | — | — | — | — | — | — | — | |||||||||
Net (loss) income | (3,301 | ) | (4,180 | ) | 6,891 | 1,510 | (3,438 | ) | — | (2,518 | ) | |||||
Net loss attributable to noncontrolling interests | — | — | — | 297 | — | — | 297 | |||||||||
Net (loss) income attributable to China Hydroelectric Corporation shareholders | (3,301 | ) | (4,180 | ) | 6,891 | 1,807 | (3,438 | ) | — | (2,221 | ) | |||||
Total assets | 197,995 | 21,135 | 346,886 | 288,735 | 437,477 | (554,986 | ) | 737,242 | ||||||||
Total liabilities | (117,524 | ) | (7,144 | ) | (128,690 | ) | (123,843 | ) | (28,315 | ) | 70,903 | (334,613 | ) | |||
Capital expenditures | 124 | 29 | 233 | 1,228 | 13 | — | 1,627 | |||||||||
Depreciation and amortization expenses | 5,633 | 482 | 10,437 | 6,839 | 133 | — | 23,524 | |||||||||
SHAREBASED_PAYMENT
SHARE-BASED PAYMENT | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
SHARE-BASED PAYMENT | ' | |||||||||
SHARE-BASED PAYMENT | ' | |||||||||
26. SHARE-BASED PAYMENT | ||||||||||
On August 18, 2008, the board of directors (the “Board”) of the Company adopted the China Hydroelectric Corporation 2008 Share Incentive Plan (the “2008 Plan”) that provides for the issuance of share-based awards to purchase up to 12,000,000 ordinary shares. The effectiveness of the 2008 Plan is subject to the approval of the Company’s shareholders within twelve months from the date on which the 2008 Plan is adopted by the Board. Under the 2008 Plan, the Company may grant share options including incentive stock options and non-qualified stock options, equity appreciation rights, restricted ordinary shares, restricted ordinary share units, performance-based grants of ordinary shares, performance units and other equity-based or cash-based awards to employees of the Group, consultants and other individuals who provide services to the Group, including the Company’s directors. The administrator, which may be the Board or its authorized designee, has full power and authority to administer, construe and interpret the 2008 Plan. Under the terms of the 2008 Plan, options intended to qualify as incentive shares options must have an exercise price at least equal to the fair market value as of the date of grant, but all other share options can be granted with an exercise price less than the fair market value. | ||||||||||
On December 28, 2011, the Board approved an option exchange program. Pursuant to the option exchange program, 10,109,000 and 275,000 share options originally granted to employees and a non-employee consultant, respectively, were cancelled. Simultaneously, 407,706 and 9,250 share options at an exercise price of US$0.46 were granted to these employees and the non-employee consultant, respectively, in exchange for the cancelled options. The option exchange program was structured to provide the same total fair value to the original and the new share options on the day of exchange. These new share options have a contractual life of five years and are exercisable immediately upon grant. These new options expire 30 days after termination of service if unexercised by the employees or non-employee consultant. Other non-employee consultants and directors did not participate in the option exchange program. The Company accounted for the exchange of the original award for a new award as a modification in accordance with ASC sub-topic 718-20-35, and measured the incremental compensation cost from the modification as the excess of the fair value of the modified award based on current circumstances over the fair value of the original option measured immediately before its terms are modified based on current circumstances. The incremental compensation cost was determined to be zero by the Company after considering the terms of fair value to fair value option exchange. The US$7,620 unrecognized compensation cost of the original options was fully recognized on December 28, 2011, the modification date, as the modified share options were immediately vested upon modification. | ||||||||||
On May 1, 2012, the Board approved the grant of 9,929,998 and 50,000 share options to employees and a non-employee consultant, respectively, at an exercise price of US$0.62 with a contractual life of five years. 50% of the share options will vest and become exercisable on the first anniversary of the grant date and 25% of the share options will vest and become exercisable on each of the second and third anniversaries of the grant date. | ||||||||||
In accordance with the settlement agreement with John Kuhns and Mary Fellows signed on September 28, 2012, all of their unvested options were immediately expired and all of their vested options must be exercised within 90 days from December 15, 2012. On March 5, 2013, John Kuhns and Mary Fellows exercised their options on a cashless basis. | ||||||||||
On December 1, 2012, the Board approved the grant of 600,000 share options to an employee at an exercise price of US$0.72 with a contractual life of five years. 25% of share options will vest and become exercisable on May 31, 2013 and 25% of the share options will vest and become exercisable on each of the first, second and third anniversaries of the grant date. | ||||||||||
On August 27, 2013, the Board approved the grants of 900,000 share options to certain employees and 400,000 share options to an employee at exercise prices of US$0.8474 and US$0.99, respectively, with a contractual life of five years. 33.3% of the share options will vest and become exercisable on each of the first, second and third anniversaries of the respective contractual date. | ||||||||||
During the year ended December 31, 2013, (i) all of the 40,000 options granted to directors on August 18, 2008 expired unexercised; and (ii) 9,250 options granted to non-employee consultants were exercised on a cashless basis with the remaining 50,000 options granted to the non-employee consultants expired unexercised. | ||||||||||
The following table summarizes the share options granted to employees as of and for the year ended December 31, 2013: | ||||||||||
Number of | Weighted- | Weighted- | Aggregate | |||||||
Options | Average | Average | Intrinsic | |||||||
Exercise | Remaining | Value (US$) | ||||||||
Price (US$) | Contractual | |||||||||
Life (Years) | ||||||||||
Outstanding at January 1, 2013 | 3,635,250 | 0.62 | 4.17 | 38 | ||||||
Granted | 1,300,000 | 0.89 | — | — | ||||||
Exercised | (265,547 | ) | 0.49 | — | — | |||||
Forfeited or cancelled | (630,139 | ) | 0.7 | — | — | |||||
Expired | — | — | — | — | ||||||
Outstanding at December 31, 2013 | 4,039,564 | 0.7 | 3.72 | 787 | ||||||
Vested and expected to vest at December 31, 2013 | 3,527,057 | 0.71 | 3.72 | 675 | ||||||
Exercisable at December 31, 2013 | 1,498,674 | 0.62 | 3.37 | 409 | ||||||
As of December 31, 2013, 3,519,283 share options granted to employees have an exercise price below the fair value of the Company’s shares, resulting in an aggregate intrinsic value of US$787. All of the remaining share options granted to employees have an exercise price above the fair value of the Company’s shares as of December 31, 2013, resulting in an aggregate intrinsic value of nil. Total intrinsic value of options exercised for the years ended December 31, 2011, 2012 and 2013 was nil, nil and US$62, respectively. | ||||||||||
The weighted average grant-date fair value of options granted to employees of the Group in 2011, 2012 and 2013 was US$0.22, US$0.19 and US$0.41, respectively. During the years ended December 31, 2011, 2012 and 2013, the total fair value of options vested based on the grant date fair value was US$90, nil and US$273, respectively. | ||||||||||
During the year ended December 31, 2013, three former employees and one employee exercised their options to obtain 107,700 ordinary shares of the Company, of which 65,202 ordinary shares were obtained on a cashless basis. During the year ended December 31, 2013, eight employees terminated their employment relationship with the Company which resulted in the forfeiture of their 630,139 unvested share options. | ||||||||||
As of December 31, 2013, there was US$553 of unrecognized share-based compensation cost related to options granted to employees, which will be recognized over a weighted-average vesting period of 1.78 years. To the extent the actual forfeiture rate is different from the original estimation actual share-based compensation related to these awards may be different from the expectation. | ||||||||||
The grant-date fair value of the options granted to employees during the years ended December 31, 2011, 2012 and 2013 was estimated with the following assumptions: | ||||||||||
For the Years Ended December 31, | ||||||||||
2011 | 2012 | 2013 | ||||||||
Suboptimal exercise factor | — | 1.5 | 1.5 | |||||||
Risk-free interest rate | 0.85% | 0.62%~0.83% | 1.52% | |||||||
Expected volatility rate | 71.87% | 73.4%~89.21% | 84.86% | |||||||
Expected dividend yield | — | — | — | |||||||
Expected share option life | 5 years | 5 years | 4.62~5 years | |||||||
Estimated forfeiture rate | ||||||||||
Founders | — | — | — | |||||||
Senior management | — | — | 6.7 | |||||||
Employees | — | — | 6.7 | |||||||
Fair value of ordinary shares | US$0.39 | US$0.44~US$0.62 | US$0.78 | |||||||
Total compensation cost recognized for share options granted to directors, consultants and employees for the years ended December 31, 2011, 2012 and 2013: | ||||||||||
For the Years Ended December 31, | ||||||||||
2011 | 2012 | 2013 | ||||||||
US$ | US$ | US$ | ||||||||
Cost of revenues | — | — | — | |||||||
General and administrative expenses | 10,479 | 166 | 211 | |||||||
10,479 | 166 | 211 | ||||||||
RELATED_PARTY_TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
RELATED PARTY TRANSACTIONS | ' | |||||||
RELATED PARTY TRANSACTIONS | ' | |||||||
27. RELATED PARTY TRANSACTIONS | ||||||||
The principal related parties with which the Group had transactions during the years presented are as follows: | ||||||||
Name of related parties | Relationship with the Group | |||||||
China Hydro LLC | A shareholder of the Company | |||||||
CPI Ballpark Investments Ltd. | A shareholder of the Company | |||||||
Kuhns Brothers, Inc. | A company owned by the former CEO, who resigned on September 30, 2012 | |||||||
China New Energy Group Company | A company controlled by the former CEO, who resigned on September 30, 2012 | |||||||
Lantian | Noncontrolling interest in Wuyue | |||||||
Nanping City Xingshui Co., Ltd. | Noncontrolling interest in Jinlong | |||||||
Xiamen Youen Hydropower Development Co., Ltd.(“Xiamen Youen”) | Noncontrolling interest in Jintang and Jinwei before June 23, 2013 | |||||||
Sanming Youxin Electric Power Industrial Co., Ltd. (“Sanming Youxin”) | Noncontrolling interest in Jintang and Jinwei after June 23, 2013 | |||||||
(a) The Company had the following related party transactions during the years presented: | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Expense paid on behalf by related parties: | ||||||||
Kuhns Brothers, Inc. | 90 | — | — | |||||
90 | — | — | ||||||
During the year ended December 31, 2011, Kuhns Brothers, Inc. paid US$90 of miscellaneous expenses on behalf of the Company. The amounts were fully repaid by the Company as of December 31, 2012. | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Reimbursement of expenses: | ||||||||
CPI Ballpark Investments Ltd. | — | 269 | 20 | |||||
During the years ended December 31, 2012 and 2013, the Company recorded expenses of US$269 and US$20 incurred by a shareholder in connection with the extraordinary shareholders meeting held on September 28, 2012 for the election of director nominees and certain administrative expenses, respectively. | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Loans to related parties: | ||||||||
China New Energy Group Company | — | 86 | — | |||||
During the year ended December 31, 2012, the Company provided a short-term loan amounting to US$86 to China New Energy Group Company. The short-term loan is unsecured, interest-free and repayable on demand. During the year ended December 31, 2013, China New Energy Group Company was no longer a related party of the Company and the short-term loan provided was reclassified to “Prepayments and other current assets” on the consolidated balance sheets. | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Loans from related parties: | ||||||||
Lantian | — | — | 402 | |||||
Xiamen Youen | 1,263 | 572 | 212 | |||||
Sanming Youxin | — | — | 1,420 | |||||
Repayment of loans from related parties: | ||||||||
Xiamen Youen | — | 69 | — | |||||
Sanming Youxin | — | — | 5,585 | |||||
During the year ended December 31, 2011, the Company obtained short-term borrowings amounting to US$1,263 from Xiamen Youen. During the year ended December 31, 2012, US$69 was repaid and additional short-term borrowings of US$572 were obtained from Xiamen Youen. During the year ended December 31, 2013, additional short-term borrowings of US$212 was obtained from Xiamen Youen. | ||||||||
During the year ended December 31, 2013, the Company obtained short-term borrowings amounting to US$1,420 and US$402 from Sanming Youxin and Lantian, respectively. | ||||||||
All loans from related parties are unsecured, interest-free and repayable on demand. | ||||||||
(b) The Company had the following related party balances as of December 31, 2012 and 2013: | ||||||||
December 31, | ||||||||
2012 | 2013 | |||||||
US$ | US$ | |||||||
Amounts due from related parties: | ||||||||
China New Energy Group Company | 86 | — | ||||||
Lantian | 1,338 | 1,379 | ||||||
Less: Allowance for doubtful accounts | (1,338 | ) | (1,379 | ) | ||||
86 | — | |||||||
Amounts due to related parties: | ||||||||
CPI Ballpark Investments Ltd. | 2 | 1 | ||||||
Nanping City Xingshui Co., Ltd. | 1,494 | 1,540 | ||||||
Lantian | — | 408 | ||||||
Xiamen Youen | 11,209 | — | ||||||
Sanming Youxin | — | 7,542 | ||||||
12,705 | 9,491 | |||||||
Amounts due from related parties as of December 31, 2013 represent payments made on behalf of Lantian by the Company for the construction of Wuyue’s hydroelectric project in 2010. The Company made a full bad debt provision on the balance due to the abandonment of the Wuyue hydroelectric project. | ||||||||
All balances with related parties as of December 31, 2013 are unsecured, interest free and repayable on demand. | ||||||||
Amounts due to Xiamen Youen of US$11,593 became amounts due to Sanming Youxin upon the transfer of noncontrolling interest in Jintang and Jinwei from Xiamen Youen to Sanming Youxin on June 23, 2013. During the year ended December 31, 2013, US$5,585 was repaid by the Company. |
STATUTORY_RESERVES
STATUTORY RESERVES | 12 Months Ended |
Dec. 31, 2013 | |
STATUTORY RESERVES | ' |
STATUTORY RESERVES | ' |
28. STATUTORY RESERVES | |
The Group’s ability to pay dividends is primarily dependent on the Group receiving distributions from its subsidiaries. Relevant PRC statutory laws and regulations permit payments of dividends by the Group’s PRC subsidiaries only out of their retained earnings, if any, as determined in accordance with PRC accounting standards and regulations. The results of operations reflected in the financial statements prepared in accordance with US GAAP differ from those reflected in the statutory financial statements of the Group’s subsidiaries. | |
In accordance with the Law of the People’s Republic of China on Foreign Invested Enterprises (“FIE”) and its articles of association, a FIE established in the PRC is required to provide certain statutory reserves, namely general reserve fund, the enterprise expansion fund and staff welfare and bonus fund which are appropriated from net profit as reported in the enterprise’s PRC statutory accounts. A wholly-owned foreign invested enterprise (“WOFE”) is required to allocate at least 10% of its annual after-tax profit to the general reserve until such reserve has reached 50% of its respective registered capital based on the enterprise’s PRC statutory accounts. A non-wholly-owned foreign invested enterprise is permitted to provide all the above allocation of annual after-tax profit at the discretion of its board of directors, except for the general reserve fund which has the same requirement as a WOFE. Appropriations to the enterprise expansion fund and staff welfare and bonus fund are at the discretion of the board of directors for all foreign invested enterprises. The aforementioned reserves can only be used for specific purposes and are not distributable as cash dividends. All of the subsidiaries of the Company except Wangkeng, Shapulong, Wuyue, Ruiyang, Husahe, Jinlong, Jintang, Jinwei and Dazhaihe were acquired or established as WOFEs, and therefore are subject to the above mandated restrictions on distributable profits. Wangkeng was acquired as a non-wholly-owned foreign invested equity; Shapulong and Wuyue are equity joint ventures established pursuant to the Law of China on Sino-Foreign Equity Joint Ventures, and Ruiyang, Husahe, Jinlong, Jintang, Jinwei and Dazhaihe are domestic companies established pursuant to the Company Law of China, and therefore are only subject to the 10% general reserve fund requirement. | |
As a result of the PRC laws, rules and regulations that require annual appropriations of 10% of after-tax income to be set aside prior to payment of dividends as general reserve fund, the Group’s PRC subsidiaries are restricted in their ability to transfer a portion of their net assets in the form of dividend payments, loans or advances. The amounts restricted include paid-in capital and statutory reserves as determined pursuant to PRC generally accepted accounting principles, totaling US$475,004 and US$503,912 as of December 31, 2012 and 2013, respectively. Profit appropriations of US$333, US$1,005 and US$833 were made for the years ended December 31, 2011, 2012 and 2013, respectively. |
CONCENTRATION_OF_RISKS
CONCENTRATION OF RISKS | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
CONCENTRATION OF RISKS | ' | |||||||||
CONCENTRATION OF RISKS | ' | |||||||||
29. CONCENTRATION OF RISKS | ||||||||||
Financial instruments that potentially subject the Group to significant concentration of credit risk consist primarily of cash and cash equivalents and accounts receivable. As of December 31, 2012 and 2013, substantially all of the Group’s cash and cash equivalents were managed by financial institutions located in the United States and the PRC which management believes are of high credit quality. | ||||||||||
Accounts receivable are typically unsecured and derived from revenue earned from customers in the PRC. As a percentage of total accounts receivable, the top five customers accounted for 86% and 91% as of December 31, 2012 and 2013, respectively. | ||||||||||
Due to the Group’s dependence on a limited number of customers, any negative events or deterioration in financial strength with the Group’s customers or deterioration of relationship with the Group’s customers, may cause material loss to the Group and have a material adverse effect on the Group’s financial condition and results of operations. The major customers and the portion of revenue from these customers for the years ended December 31, 2011, 2012 and 2013 are listed below: | ||||||||||
For the Years Ended December 31, | ||||||||||
Customers | Segment | 2011 | 2012 | 2013 | ||||||
Yunnan Nujiang Electric Power Co., Ltd. | Yunnan Province | 7 | % | 5 | % | 6 | % | |||
Yunnan Dehong Electric Power Co., Ltd. | Yunnan Province | 11 | % | 6 | % | 8 | % | |||
Yunnan Honghe Electric Power Co., Ltd. | Yunnan Province | 1 | % | 1 | % | 2 | % | |||
Yunnan Grid Company, Ltd. | Yunnan Province | 4 | % | 3 | % | 3 | % | |||
Sichuan Cangxi Electric Power Co., Ltd. | Sichuan Province | 1 | % | 1 | % | 1 | % | |||
Lishui Electric Power Bureau | Zhejiang Province | 43 | % | 46 | % | 49 | % | |||
Fujian Electric Power Co., Ltd. | Fujian Province | 16 | % | 20 | % | 19 | % | |||
Pingnan Power Supply Company | Fujian Province | 8 | % | 5 | % | — | ||||
Shaowu Electric Power Bureau | Fujian Province | 7 | % | 9 | % | 9 | % | |||
Nanping Electric Power Bureau | Fujian Province | 2 | % | 4 | % | 3 | % | |||
100 | % | 100 | % | 100 | % | |||||
Currency convertibility risk | ||||||||||
Substantially all of the Group’s businesses are transacted in RMB, which is not freely convertible into foreign currencies. On January 1, 1994, the PRC government abolished the dual rate system and introduced a single rate of exchange as quoted daily by the People’s Bank of China. However, the unification of the exchange rates does not imply the convertibility of RMB into US$ or other foreign currencies. Under Mainland China’s Foreign Exchange Currency Regulation and Administration, the Group is permitted to exchange RMB for foreign currencies through banks authorized to conduct foreign exchange business. All foreign exchange transactions continue to take place either through the People’s Bank of China or other banks authorized to buy and sell foreign currencies at the exchange rates quoted by the People’s Bank of China. Approval of foreign currency payments by the People’s Bank of China or other institutions requires submitting a payment application form together with invoices and signed contracts. | ||||||||||
Foreign currency exchange rate risk | ||||||||||
On July 21, 2005, the PRC government changed its decade-old policy of pegging the value of the RMB to US$. Under the new policy, the RMB is permitted to fluctuate within a narrow and managed band against a basket of certain foreign currencies. This change in policy has resulted in an approximately 4.9%, 0.2% and 3.0% appreciation of the RMB against the US$ in 2011, 2012 and 2013, respectively. On June 19, 2010, the People’s Bank of China announced the end of the RMB’s de facto peg to US$, a policy which was instituted in late 2008 in the face of the global financial crisis, to further reform the RMB exchange rate regime and to enhance the RMB exchange rate flexibility. On March 15, 2014, the People’s Bank of China announced the widening of the daily trading band for RMB against US$. While the international reaction to the RMB revaluation has generally been positive, there remains significant international pressure on the PRC government to adopt an even more flexible currency policy, which could result in a further and more significant volatility of the RMB against the US$. | ||||||||||
Any significant revaluation of RMB may materially and adversely affect the cash flows, revenues, earnings and financial position in US$. | ||||||||||
Current vulnerability due to certain other concentrations | ||||||||||
The Group’s operations may be adversely affected by significant political, economic and social uncertainties in the PRC. Although the PRC government has been pursuing economic reform policies for almost 30 years, no assurance can be given that the PRC Government will continue to pursue such policies or that such policies may not be significantly altered, especially in the event of a change in leadership, social or political disruption or unforeseen circumstances affecting the PRC’s political, economic and social conditions. There is also no guarantee that the PRC government’s pursuit of economic reforms will be consistent or effective. |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2013 | |
SUBSEQUENT EVENTS | ' |
SUBSEQUENT EVENTS | ' |
30. SUBSEQUENT EVENTS | |
On January 9, 2014, Xiaopengzu sold power generation assets to IEL for US$5,249 and simultaneously leased back the assets for five years at a quarterly lease payment of US$311. The implicit interest rate on the lease payments is 6.72% per annum which is determined based on 0.32% above the benchmark interest rate announced by the People’s Bank of China for 3 to 5 years loans. | |
On January 9, 2014 and January 10, 2014, the Group obtained short-term loans amounting to US$1,476 (RMB9,000) and US$328 (RMB2,000), respectively, from Agriculture Bank of China. The loans bear interest at 7.8% per annum which is 1.8% above the benchmark interest rate announced by the People’s Bank of China. | |
On January 13, 2014, the Company entered into a definitive agreement and plan of merger with various parties pursuant to which CPT Wyndham Holdings Ltd. will acquire the Company for US$1.17 per ordinary share and US$3.51 per ADS, through the merger of its wholly owned acquisition subsidiary, CPT Wyndham Sub Ltd., with and into the Company. On February 7, 2014, the Company filed a going private transaction statement on Schedule 13E-3 with the SEC. | |
On January 14, 2014, the Group obtained a long-term loan amounting to US$4,100 (RMB25,000) from the Rural Credit Cooperative Union with repayment dates ranging from year 2015 to year 2018. The loan bears interest at 9% per annum which is 2.6% above the benchmark interest rate announced by the People’s Bank of China for 3 to 5 years loans. | |
On March 5, 2014, the Group obtained a long-term loan amounting to US$13,613 (RMB83,000) from Bank of China with repayment dates ranging from year 2014 to year 2021. The loan bears interest at 6.8775% per annum which is 0.3275% above the benchmark interest rate announced by the People’s Bank of China for loans over 5 years. | |
On March 18, 2014 the Group received insurance recovery on damage of Liyuan plant amounting to US$955 (RMB5,822) from BOC Insurance Sichuan Branch. |
CONDENSED_FINANCIAL_INFORMATIO
CONDENSED FINANCIAL INFORMATION OF THE COMPANY | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
CONDENSED FINANCIAL INFORMATION OF THE COMPANY | ' | |||||||
CONDENSED FINANCIAL INFORMATION OF THE COMPANY | ' | |||||||
31. CONDENSED FINANCIAL INFORMATION OF THE COMPANY | ||||||||
The following is the condensed financial information of the Company on a non-consolidated basis: | ||||||||
Balance sheets | ||||||||
December 31, | ||||||||
2012 | 2013 | |||||||
US$ | US$ | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | 164 | 228 | ||||||
Amounts due from subsidiaries | 10,000 | 4,130 | ||||||
Prepayments and other current assets | 11,616 | 65 | ||||||
Total current assets | 21,780 | 4,423 | ||||||
Non-current assets: | ||||||||
Property, plant and equipment, net | 5 | 1 | ||||||
Investment in subsidiaries | 399,364 | 427,679 | ||||||
Other non-current assets | — | 19 | ||||||
Total non-current assets | 399,369 | 427,699 | ||||||
TOTAL ASSETS | 421,149 | 432,122 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current liabilities: | ||||||||
Amounts due to subsidiaries | 16,464 | 19,374 | ||||||
Accrued expense and other current liabilities | 4,424 | 2,549 | ||||||
Amounts due to related parties | 2 | 1 | ||||||
Deferred tax liabilities | — | 300 | ||||||
Warrant liabilities | 839 | — | ||||||
Total current liabilities | 21,729 | 22,224 | ||||||
Total liabilities | 21,729 | 22,224 | ||||||
Shareholders’ equity: | ||||||||
Ordinary shares (par value US$0.001 per share, 400,000,000 shares authorized as of December 31, 2012 and 2013; 161,989,097 and 162,099,665 shares issued and outstanding as of December 31, 2012 and 2013) | 162 | 162 | ||||||
Additional paid-in capital | 517,133 | 517,370 | ||||||
Accumulated other comprehensive income | 41,597 | 54,059 | ||||||
Accumulated deficit | (159,472 | ) | (161,693 | ) | ||||
Total shareholders’ equity | 399,420 | 409,898 | ||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | 421,149 | 432,122 | ||||||
Statements of comprehensive income | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Revenues | — | — | — | |||||
Cost of revenues | — | — | (7 | ) | ||||
Gross profit | — | — | (7 | ) | ||||
Operating expenses: | ||||||||
General and administrative expenses | (18,247 | ) | (7,324 | ) | (3,929 | ) | ||
Total operating expenses | (18,247 | ) | (7,324 | ) | (3,936 | ) | ||
Operating loss | (18,247 | ) | (7,324 | ) | (3,936 | ) | ||
Equity in (losses) profits of subsidiaries | (27,395 | ) | 3,662 | 1,022 | ||||
Interest income | 66 | 3 | — | |||||
Interest expense | (23 | ) | (142 | ) | (4 | ) | ||
Changes in fair value of warrant liabilities | 951 | (399 | ) | 839 | ||||
Exchange (loss) gain | (580 | ) | 30 | 6 | ||||
Gain from disposal of subsidiaries | — | 3,726 | — | |||||
Other income, net | 375 | 293 | 152 | |||||
Loss before income tax expense | (44,853 | ) | (151 | ) | (1,921 | ) | ||
Income tax expense | (536 | ) | (1,092 | ) | (300 | ) | ||
Net loss | (45,389 | ) | (1,243 | ) | (2,221 | ) | ||
Other comprehensive income (loss), net of income tax expense | ||||||||
Foreign currency translation adjustments | 20,079 | (1,404 | ) | 12,462 | ||||
Defined benefit pension plans | (33 | ) | 33 | — | ||||
Other comprehensive income (loss) | 20,046 | (1,371 | ) | 12,462 | ||||
Comprehensive (loss) income | (25,343 | ) | (2,614 | ) | 10,241 | |||
Statements of cash flows | ||||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Cash flows used in operating activities | (8,740 | ) | (3,651 | ) | (2,433 | ) | ||
Cash flows (used in) provided by investing activities | (6,500 | ) | 931 | 2,471 | ||||
Cash flows provided by financing activities | 10,036 | — | 26 | |||||
Net (decrease) increasein cash and cash equivalents | (5,204 | ) | (2,720 | ) | 64 | |||
Cash and cash equivalents at the beginning oftheyear | 8,088 | 2,884 | 164 | |||||
Cash and cash equivalents at the end oftheyear | 2,884 | 164 | 228 | |||||
(a) Basis of presentation | ||||||||
In the Company-only financial statements, the Company’s investment in subsidiaries is stated at cost plus equity in undistributed earnings of subsidiaries since the date of acquisition. Company-only financial statements should be read in conjunction with the Company’s consolidated financial statements. | ||||||||
The Company records its investment in its subsidiaries under the equity method of accounting as prescribed in ASC 323. Such investment is presented as “Investment in subsidiaries” on the balance sheets and share of the subsidiaries’ losses or profits is presented as “Equity in profits (losses) of subsidiaries” on the statements of comprehensive income. | ||||||||
The subsidiaries paid nil, US$1,039 and nil, dividend to the Company for the years ended December 31, 2011, 2012 and 2013, respectively. | ||||||||
Certain information and footnote disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted by reference to the disclosures in the consolidated financial statements. | ||||||||
(b) Commitments | ||||||||
The Company does not have any significant commitments or long-term obligations as of any of the years presented, except for those disclosed in the consolidated financial statements (Note 23). |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||
Basis of presentation | ' | |||||||||||
(a) Basis of presentation | ||||||||||||
The accompanying consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“US GAAP”). | ||||||||||||
The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern. | ||||||||||||
As of December 31, 2013, the Group had working capital deficiency of US$66,547. This factor raises substantial doubt about the Company’s ability to continue as a going concern. The continued operation of the Group is dependent upon the Group’s ability in raising additional capital, obtaining additional financing and improving future operating and financial results. Therefore, the Company may not be able to realize its assets and discharge its liabilities in the normal course of business. In view of this, management has taken steps to actively pursue additional capital and financing. | ||||||||||||
While the Company strongly believes that its capital resources will be sufficient in the near term, there is no assurance that sufficient funds required during the next year or thereafter will be generated from operations or that funds will be available from external sources such as debt or equity financings or other potential sources. The lack of additional capital resulting from the inability to generate cash flow from operations or to raise capital from external sources would force the Company to substantially curtail or cease operations and would, therefore, have a material adverse effect on its business. Furthermore, there is no assurance that any additional financing, if available, will be obtainable on terms satisfactory or attractive to the Company. | ||||||||||||
The accompanying consolidated financial statements do not include any adjustments related to the recoverability and classification of recorded assets or the amounts and classification of liabilities that might have been necessary should the Company not be able to continue in existence as a going concern. | ||||||||||||
Principles of consolidation | ' | |||||||||||
(b) Principles of consolidation | ||||||||||||
The consolidated financial statements include the financial statements of the Company and its subsidiaries. The results of subsidiaries are consolidated from the date of acquisition, being the date on which the Group obtained control and continued to be consolidated until the date that such control ceases. | ||||||||||||
Investments in entities that the Company does not control, but has the ability to exercise significant influence over operating and financial policies, are accounted for under the equity method. Investments in entities in which the Company does not have the ability to exercise significant influence are accounted for under the cost method. All significant intercompany transactions and balances have been eliminated upon consolidation. | ||||||||||||
The Group accounted for business combinations in accordance with ASC topic 805 (“ASC 805”), Business Combinations. ASC 805 requires the acquiring entity in a business combination to recognize all assets acquired and liabilities assumed in the transaction, establishes the acquisition date fair value as the measurement objective for all assets acquired and liabilities assumed, and requires the acquirer to disclose to investors and other users all of the information they need to evaluate and understand the nature and financial effect of the business combination. During the measurement period, which shall not exceed one year from the acquisition date, the Company recognizes adjustments to the provisional amounts of acquisition-date fair value and the resulting goodwill for new information obtained as if the accounting for the business combination had been completed at the acquisition date. The comparative information for prior periods presented in the consolidated financial statements is revised as needed, including making any change in depreciation, amortization or other income effects recognized in completing the initial accounting. | ||||||||||||
For a component of the Group that either has been disposed of or is classified as held-for-sale, the Group accounted for the result of operations of the component as a discontinued operation in accordance with ASC sub-topic 205-20 (“ASC 205-20”), Presentation of Financial Statements, when (1) the operations and cash flows of the component have been or will be eliminated from the ongoing operations of the Group as a result of the disposal transaction; and (2) the Group will not have any significant continuing involvement in the operations of the component after the disposal transaction. | ||||||||||||
The Company accounted for the purchase of additional ownership in its subsidiary from noncontrolling interests as an equity transaction in accordance with ASC topic 810 (“ASC 810”), Consolidation. The carrying amount of the noncontrolling interests is adjusted to reflect the change in the Group’s ownership interest in the subsidiary. Any difference between the fair value of the consideration received or paid and the amount by which the noncontrolling interests is adjusted is recognized in additional paid-in capital. | ||||||||||||
Use of estimates | ' | |||||||||||
(c) Use of estimates | ||||||||||||
The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, the disclosure of contingent assets and liabilities at the balance sheet dates and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. | ||||||||||||
Fair value measurement | ' | |||||||||||
(d) Fair value measurement | ||||||||||||
Financial instruments include cash and cash equivalents, accounts receivable, notes receivable, certain other current assets, accounts payable, certain other liabilities, short-term loans, long-term loans and warrants. The carrying values of these financial instruments, other than long-term loans and warrants, approximate their fair values due to their short-term maturities. During the year ended December 31, 2011, certain warrants were reclassified from equity to liability upon modification of terms (Note 17). These amended warrants were recorded as liabilities at fair value on the day of modification and subsequently adjusted to the fair value at each reporting date. All liability-classified warrants expired unexercised as of December 31, 2013. The warrants classified as equity were measured at fair value on the grant dates. The carrying values of long-term loans approximate their fair values due to the fact that the interest rates on these loans are reset each year based on prevailing market interest rates. | ||||||||||||
The Group applied the provisions of ASC topic 820 (“ASC 820”), Fair Value Measurements and Disclosures, in measuring fair value. ASC 820 defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. | ||||||||||||
ASC 820 establishes a three-tier value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: | ||||||||||||
Level 1—Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. | ||||||||||||
Level 2—Include other inputs that are directly or indirectly observable in the marketplace. | ||||||||||||
Level 3—Unobservable inputs which are supported by little or no market activity. | ||||||||||||
The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. | ||||||||||||
ASC 820 describes three main approaches to measure the fair value of assets and liabilities: (1) market approach; (2) income approach and (3) cost approach. The market approach uses prices and other relevant information generated from market transactions involving identical or comparable assets or liabilities. The income approach uses valuation techniques to convert future amounts to a single present value amount. The measurement is based on the value indicated by current market expectations about those future amounts. The cost approach is based on the amount that would currently be required to replace an asset. | ||||||||||||
In accordance with ASC 820, the Group measures the fair value of money market funds included in cash equivalents using the market approach based on quoted market prices. The warrant liabilities were valued using the income approach based on inputs that are unobservable in the market (Level 3). | ||||||||||||
All assets and liabilities measured at fair value on a recurring basis as of December 31, 2012 are summarized below: | ||||||||||||
Quoted price in | Significant | Significant | ||||||||||
active market for | other | unobservable | ||||||||||
identical assets | observable | inputs | ||||||||||
(Level 1) | inputs | (Level 3) | ||||||||||
(Level 2) | ||||||||||||
US$ | US$ | US$ | ||||||||||
Money market funds in cash equivalent | 8 | — | — | |||||||||
Warrant liabilities (Note 17) | — | — | 839 | |||||||||
8 | — | 839 | ||||||||||
No assets and liabilities were measured at fair value on a recurring basis as of December 31, 2013. | ||||||||||||
The following table presents a reconciliation of warrant liabilities measured at fair value on a recurring basis using significant unobservable inputs for the years ended December 31, 2012 and 2013: | ||||||||||||
Warrant | ||||||||||||
liabilities | ||||||||||||
US$ | ||||||||||||
Balance as of December 31, 2011 | 440 | |||||||||||
Realized or unrealized losses | 399 | |||||||||||
Balance as of December 31, 2012 | 839 | |||||||||||
Realized or unrealized gain | (839 | ) | ||||||||||
Balance as of December 31, 2013 | — | |||||||||||
Realized or unrealized gain or losses for the years ended December 31, 2012 and 2013 were recorded in “changes in fair value of warrant liabilities” on the consolidated statements of comprehensive income. | ||||||||||||
All assets and liabilities measured at fair value on a nonrecurring basis as of December 31, 2013 are summarized below: | ||||||||||||
Carrying value | Quoted price in | Significant | Significant | Total loss | ||||||||
at December 31, 2013 | active market for | other | unobservable | |||||||||
identical assets | observable | inputs | ||||||||||
(Level 1) | inputs | (Level 3) | ||||||||||
(Level 2) | ||||||||||||
US$ | US$ | US$ | US$ | |||||||||
Property, plant and equipment | 4,098 | — | — | — | (4,098 | ) | ||||||
In accordance with ASC topic 360 (“ASC 360”), Property, Plant, and Equipment, property, plant and equipment of Liyuan with a carrying amount of US$4,098 was written down to its fair value of nil, resulting in an impairment loss of US$4,098, of which US$549 was recovered through insurance claims. A net impairment charge of US$3,549 was included in the consolidated statements of comprehensive income for the year ended December 31, 2013 (Note 7). | ||||||||||||
Foreign currency | ' | |||||||||||
(e) Foreign currency | ||||||||||||
The Company determined its functional currency to be the US$ while its subsidiaries determine their functional currency based on the criteria of ASC topic 830 (“ASC 830”), Foreign Currency Matters. All of the Company’s subsidiaries determined their functional currency to be their respective local currency, except for CHC HK and Sunpower which determined their functional currency to be the US$. The Company uses the US$ as its reporting currency. | ||||||||||||
Each entity in the Group maintains its financial records in its own functional currency. Transactions denominated in foreign currencies are measured at the exchange rates prevailing on the transaction dates. Monetary assets and liabilities denominated in foreign currencies are remeasured at the exchange rates prevailing at the balance sheet date. Exchange gains and losses are included in the consolidated statements of comprehensive income. Non-monetary items that are measured in terms of historical cost in a foreign currency are remeasured using the exchange rates at the dates of the initial transactions. | ||||||||||||
The assets and liabilities of the Company’s subsidiaries are translated into the reporting currency of the Company at the exchange rates prevailing at the balance sheet date. The statements of comprehensive income of the Company’s subsidiaries are translated into the reporting currency of the Company at the weighted average exchange rates for the year. The resulting translation gains (losses) are recorded in accumulated other comprehensive income as a component of shareholders’ equity. | ||||||||||||
For the purpose of the consolidated statements of cash flows, cash flows of the Company’s subsidiaries are translated into the reporting currency of the Company at the exchange rates prevailing on the dates of the cash flows. Frequently recurring cash flows of the Company’s subsidiaries, which arise throughout the year, are translated into the reporting currency of the Company at the weighted average exchange rates for the year. | ||||||||||||
Cash and cash equivalents | ' | |||||||||||
(f) Cash and cash equivalents | ||||||||||||
Cash and cash equivalents include cash on hand and short-term deposits with original maturity of three months or less at the date of purchase. Except for the restricted cash, none of the Group’s cash and cash equivalents is restricted as to withdrawal and use. | ||||||||||||
Restricted cash | ' | |||||||||||
(g) Restricted cash | ||||||||||||
Restricted cash represents cash pledged to financial institutions as collateral for the Company’s bank loans (Note 15). The restriction on the cash collateral amount of US$5,171 as of December 31, 2012 was released in May 2013 upon repayment of the bank loans. | ||||||||||||
Accounts receivable | ' | |||||||||||
(h) Accounts receivable | ||||||||||||
Accounts receivable are carried at net realizable value. In evaluating the collectability of receivable balances, the Group considers many factors, including the aging of the balance, the customer’s payment history, its current credit-worthiness and current economic trends. An estimate for doubtful accounts is made when collection of the full amount is no longer probable. Accounts receivable are written off after all collective efforts have ceased. | ||||||||||||
Notes receivable | ' | |||||||||||
(i) Notes receivable | ||||||||||||
Notes receivable represent short-term bank acceptance notes issued by financial institutions that entitle the holder to receive the stated amount from the financial institutions at the maturity date of the bill, which is generally within six months from the date of issuance. The holder of the bills can obtain payment from the financial institutions prior to the stated maturity date. In such a case, the holder will receive a discounted amount off the face value of the bill. There is recourse to the customers in the event the financial institutions default upon demand for payment by the holders of the notes. To reduce the Group’s credit risk, the Group has required certain customers to pay for electricity using notes receivable during the years ended December 31, 2012 and 2013. | ||||||||||||
Property, plant and equipment | ' | |||||||||||
(j) Property, plant and equipment | ||||||||||||
Property, plant and equipment are recorded at cost less accumulated depreciation. The depreciable amount of an item of property, plant and equipment is its cost less its estimated residual value, if any. The residual value is calculated by taking the price such an asset would fetch at the reporting date, with the assumption that it was already in the condition it will be in at the end of its useful life. Depreciation is recorded on a straight-line basis over the following estimated useful lives: | ||||||||||||
Dams and reservoirs | 30-49 years | |||||||||||
Buildings | 8-50 years | |||||||||||
Machinery | 1-30 years | |||||||||||
Transportation equipment | 1-11 years | |||||||||||
Electronic equipment and others | 1-15 years | |||||||||||
For property, plant and equipment acquired through a business combination, depreciation is recorded on a straight-line basis over their respective remaining estimated useful lives. The useful lives, residual values and methods of depreciation are reviewed at each reporting date and adjusted prospectively, if appropriate. | ||||||||||||
All direct and indirect costs that are related to the construction of property, plant and equipment and incurred before the assets are ready for their intended use are capitalized as construction in progress. Construction in progress is transferred to specific property, plant and equipment accounts and commences depreciation when these assets are ready for their intended use. | ||||||||||||
Interest costs are capitalized if they are incurred during the acquisition, construction or production of a qualifying asset and such costs could have been avoided if expenditures for the assets have not been made. Capitalization of interest costs commences when the activities to prepare the asset are in progress and expenditures and borrowing costs are being incurred. Interest costs are capitalized until the assets are ready for their intended use. | ||||||||||||
Repair and maintenance costs are charged to expense when incurred, whereas the cost of renewals and betterment that extend the useful life of fixed assets are capitalized as additions to the related assets. Retirement, sale and disposal of assets are recorded by removing the cost and accumulated depreciation, with any resulting gain or loss reflected in the consolidated statements of comprehensive income. | ||||||||||||
Goodwill and intangible assets | ' | |||||||||||
(k) Goodwill and intangible assets | ||||||||||||
Goodwill represents the excess of the purchase price over the amounts assigned to the fair value of the assets acquired and the liabilities assumed of acquired businesses. ASC topic 350 (“ASC 350”), Intangibles—Goodwill and Other, requires that goodwill be tested for impairment annually or more frequently if events or changes in circumstances indicate that it might be impaired. The Group assigns and assesses goodwill for impairment at the reporting unit level at each reporting date. The Group determines that each reporting unit is identified at the component level, which is one level below the operating segment. | ||||||||||||
The performance of the impairment test involves a two-step process. The first step of the impairment test involves comparing the fair value of the reporting unit with its carrying amount, including goodwill. Fair value is primarily determined through the income approach by computing the future discounted cash flows expected to be generated by the reporting unit and is dependent on a number of significant entity specific assumptions, including plant utilization rate, electricity sales volumes and tariffs, costs of production, capital expenditures, working capital changes and the discount rate. The discount rate is commensurate with the risk inherent in the projected cash flows and reflects the rate of return required by an investor in the current economic conditions. For reporting units to be disposed of subsequent to the reporting date, the market approach is used where estimates of prices reasonably expected to be realized from the sale of the reporting units are used to determine the fair value of each reporting unit. | ||||||||||||
If the carrying value exceeds the fair value, goodwill may be impaired. If this occurs, the Group performs the second step of the quantitative goodwill impairment test to determine the amount of impairment loss. The fair value of the reporting unit is allocated to its assets and liabilities in a manner similar to a purchase price allocation in order to determine the implied fair value of the reporting unit goodwill. This implied fair value is then compared with the carrying amount of the reporting unit goodwill, and if it is less, the Group would then recognize an impairment loss. In accordance with ASU No. 2011-08 (“ASU 2011-08”), Intangibles—Goodwill and Other (ASC 350), the Company has the option to first assess qualitative factors to determine whether it is necessary to perform the two-step test. If the Company believes, as a result of the qualitative assessment, that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, the quantitative impairment test is required. Otherwise, no further testing is required. | ||||||||||||
The Group recognized goodwill impairment loss of US$11,388, nil and nil for the years ended December 31, 2011, 2012 and 2013, respectively (Note 9). | ||||||||||||
Intangible assets are carried at cost less accumulated amortization. Intangible assets acquired in a business combination are recognized initially at fair value at the date of acquisition. Intangible assets with a finite useful life are amortized using the straight-line method over the estimated economic life of the intangible assets. The estimated useful lives for the intangible assets as of December 31, 2013 were as follows: | ||||||||||||
Development right of Binglangjiang Phase II | 30 years | |||||||||||
Dam use right of Dongguan | 40 years | |||||||||||
Software | 5 years | |||||||||||
The Group reviews and adjusts the carrying value of the intangible assets if facts and circumstances suggest the intangible assets may be impaired (Note 2(n)). The Group assessed and concluded that there was no impairment for intangible assets in any of the years presented. | ||||||||||||
Land use rights | ' | |||||||||||
(l) Land use rights | ||||||||||||
The land use rights represent the amounts paid and relevant costs incurred for the right to use land in the PRC and are recorded at purchase cost less accumulated amortization. Amortization is provided on a straight-line basis over the terms of the respective land use rights agreements, which are 50 years. For land use rights acquired through a business combination, amortization is recorded on a straight-line basis over their respective remaining estimated useful lives, which range from 41 to 50 years. | ||||||||||||
Asset retirement obligations | ' | |||||||||||
(m) Asset retirement obligations | ||||||||||||
ASC sub-topic 410-20 (“ASC 410-20”), Asset Retirement Obligations, requires companies to record the present value of obligations associated with the retirement of tangible long-lived assets in the period in which it is incurred. The value of the liability is capitalized as part of the carrying amount of the related long-lived asset. Over time, accretion of the liability is recognized as an operating expense and the capitalized cost is depreciated over the expected useful life of the related asset. The Group’s asset retirement obligations relate primarily to the restoration of leased lands under land use rights granted by the local government to their original condition. Asset retirement obligations as of December 31, 2012 and 2013 were insignificant. | ||||||||||||
Impairment of long-lived assets | ' | |||||||||||
(n) Impairment of long-lived assets | ||||||||||||
The Group evaluates its long-lived assets, including property, plant and equipment, land use rights and intangible assets with finite lives, for impairment whenever events or changes in circumstances, such as a significant adverse change to market conditions that will impact the future use of the assets, indicate that the carrying amount of an asset may not be recoverable in accordance with ASC 360. When these events occur, the Group assesses the recoverability of long-lived assets by comparing the carrying amount of the assets to the expected future undiscounted cash flows resulting from the use of the assets and their eventual disposition. If the sum of the expected undiscounted cash flow is less than the carrying amount of the assets, the Group recognizes an impairment loss based on the excess of the carrying amount of the assets over their fair value. Fair value is generally determined by discounting the cash flows expected to be generated by the assets, when the market prices are not readily available. The Group recognized impairment loss on long-lived assets of US$11,590, nil and US$3,549 for the years ended December 31, 2011, 2012 and 2013, respectively. | ||||||||||||
Derivative instruments | ' | |||||||||||
(o) Derivative instruments | ||||||||||||
ASC topic 815 (“ASC 815”), Derivatives and Hedging, requires all contracts which meet the definition of a derivative to be recognized in the consolidated financial statements as either assets or liabilities and recorded at fair value. Changes in the fair value of derivative financial instruments are either recognized periodically in earnings or in shareholders’ equity as a component of other comprehensive income depending on the use of the derivative and whether it qualifies for hedge accounting. Changes in fair values of derivatives not qualified as hedges are reported in the consolidated statements of comprehensive income. The estimated fair values of derivative instruments are determined at discrete points in time based on the relevant market information. These estimates are calculated with reference to the market rates using industry standard valuation techniques. | ||||||||||||
Comprehensive income (loss) | ' | |||||||||||
(p) Comprehensive income (loss) | ||||||||||||
Comprehensive income (loss) is defined as the change in shareholders’ equity of the Group during a period from transactions and other events and circumstances excluding transactions resulting from investments by owners and distributions to owners. The Group presents items of net income (loss) and other comprehensive income (loss) in one continuous statement. Accumulated other comprehensive income (loss) of the Group includes the cumulative foreign currency translation adjustments and net losses not recognized immediately as a component of net periodic pension cost of a defined benefit plan. | ||||||||||||
Revenue recognition | ' | |||||||||||
(q) Revenue recognition | ||||||||||||
The Group’s revenue is derived from the sale of electricity. Revenues are recognized when the following four criteria are met as prescribed by ASC topic 605 (“ASC 605”), Revenue Recognition: (i) persuasive evidence of an arrangement exists, (ii) delivery has occurred or services have been rendered, (iii) the seller’s price to the buyer is fixed or determinable, and (iv) collectability is reasonably assured. The Group considers the terms of each arrangement to determine the appropriate accounting treatment. Revenue is generally earned and recognized upon transmission of electricity to the power grid controlled and owned by the respective regional or provincial grid companies. For transactions in which electricity has been transmitted to the power grid without a fixed or determinable unit price per kWh while the tariff is pending approval of the regional or provincial pricing bureau, cash received in exchange for the transmission of electricity to the power grid controlled by the respective regional or provincial grid companies has been recorded as customer deposits until such time the price becomes fixed and determinable. When the price becomes fixed and determinable, all or a portion of the customer deposits will be recognized as revenue. The Group does not defer the related cost of revenues, which is charged to expense as incurred. No customer deposits were recognized as of December 31, 2012 and 2013. The Group has not offered any discounts or rebates to its customers nor does it provide for refunds in its sales contracts with customers. | ||||||||||||
The Company’s subsidiaries are subject to withholding value-added tax (“VAT”) on the revenues earned in the PRC. The applicable rate of VAT is 6% for small hydroelectric power projects with a total installed capacity of 50 megawatts or less and 17% for large hydroelectric power projects with a total installed capacity of over 50 megawatts. For the years ended December 31, 2011, 2012 and 2013, the lower VAT rate of 6% was applied to the hydroelectric power projects of Binglangjiang, Liyuan, Yingchuan, Wuliting, Jiulongshan, Zhougongyuan, Shapulong, Ruiyang, Husahe, Hengda, Xineng, Xiaopengzu, Jinling, Jinlong, Jintang Jinwei and Dazhaihe, and the VAT rate of 17% was applied to the hydroelectric power projects of Banzhu and Wangkeng. VAT on revenues earned from the sale of electricity by the Group to its customers for the years ended December 31, 2011, 2012 and 2013 were US$4,583, US$7,387 and US$6,047, respectively. The Group has recognized revenues net of VAT in the consolidated statements of comprehensive income. | ||||||||||||
Cost of revenues | ' | |||||||||||
(r) Cost of revenues | ||||||||||||
Cost of revenues consists primarily of depreciation expense of hydroelectric power projects and related operating costs and overhead expenses directly attributable to the production of electricity. | ||||||||||||
Leases | ' | |||||||||||
(s) Leases | ||||||||||||
In accordance with ASC topic 840 (“ASC 840”), Lease, leases are classified at the inception date as either a capital lease or an operating lease. For the lessee, a lease is a capital lease if any of the following conditions exist: (i) ownership is transferred to the lessee by the end of the lease term, (ii) there is a bargain purchase option, (iii) the lease term is at least 75% of the property’s estimated remaining economic life or (iv) the present value of the minimum lease payments at the beginning of the lease term is 90% or more of the fair value of the leased property to the lessor at the inception date. A capital lease is accounted for as if there was an acquisition of an asset and incurrence of an obligation at the inception of the lease. All other leases are accounted for as operating leases wherein rental payments are expensed on a straight-line basis over the lease periods. | ||||||||||||
The Group has no capital leases for any of the years presented. | ||||||||||||
Income taxes | ' | |||||||||||
(t) Income taxes | ||||||||||||
The Group follows the liability method of accounting for income taxes in accordance with ASC topic 740 (“ASC 740”), Income Taxes. Under this method, deferred tax assets and liabilities are determined based on the difference between the financial reporting and tax bases of assets and liabilities, net operating loss and credits carryforwards, using enacted tax rates that will be in effect for the period in which the differences are expected to reverse. The Group records a valuation allowance against the amount of deferred tax assets if based on the weight of available evidence, it is more likely than not that some portion, or all, of the deferred tax assets will not be realized. The effect on deferred taxes of a change in tax rate is recognized in the consolidated statements of comprehensive income in the period that includes the enactment date. | ||||||||||||
The Company accounts for uncertainty in income taxes in accordance with ASC 740. Interest and penalties arising from underpayment of income taxes are computed in accordance with the related PRC tax law. The amount of interest expenses is computed by applying the applicable statutory rate of interest to the difference between the tax position recognized and the amount previously taken or expected to be taken in a tax return. Interest recognized from the accounting for uncertainty in income taxes is classified in the financial statements as interest expenses, while penalties recognized from the accounting for uncertainty in income taxes are classified in the financial statements as other expenses. | ||||||||||||
The Group recognizes in its financial statements the impact of a tax position if a tax return position or future tax position is “more likely than not” to prevail, which is defined as a likelihood of more than fifty percent of being sustained upon audit, based on the technical merits of the tax position. Tax positions that meet the “more likely than not” threshold are measured, using a probability weighted approach, at the largest amount of tax benefit that has a greater than fifty percent likelihood of being realized upon settlement. | ||||||||||||
The Group’s estimated liability for unrecognized tax benefits is periodically assessed for adequacy and may be affected by changing interpretation of laws, rulings by tax authorities, certain changes and/or developments with respect to audits, and expiration of the statute of limitations. The outcome for a particular audit cannot be determined with certainty prior to the conclusion of the audit and, in some cases, appeal or litigation process. The actual benefits ultimately realized may differ from the Group’s estimates. As each audit is concluded, adjustments, if any, are appropriately recorded in the Group’s financial statements. Additionally, in future periods, change in facts, circumstances, and new information may require the Group to adjust the recognition and measurement estimates with regard to individual tax positions. Changes in recognition and measurement estimates are recognized in the period in which the change occurs. The Group classified unrecognized tax benefits as current liabilities to the extent the Group anticipates payment of cash within one year or the operating cycle, if longer. | ||||||||||||
The Company recognizes the tax benefit for the excess of the tax basis over the financial reporting basis or the tax liability when the financial reporting basis exceeds the tax basis (“outside basis difference”) of an investment in subsidiary in accordance with ASC sub-topic 740-30 (“ASC 740-30”), Income Taxes: Recognition, when it is apparent that the temporary differences will reverse in the foreseeable future. If it is “more likely than not” that a deferred tax liability will be realized as a result of the decision to dispose of a subsidiary, the tax liability would be recorded when the disposal group is classified as held for sale even though any gain expected upon disposal cannot be recognized until the sale is consummated. | ||||||||||||
Net (loss) income per share | ' | |||||||||||
(u) Net (loss) income per share | ||||||||||||
In accordance with ASC topic 260 (“ASC 260”), Earnings Per Share, basic (loss) income per share is computed by dividing net (loss) income attributable to ordinary shareholders by the weighted average number of ordinary shares outstanding during the year. Diluted (loss) income per share is calculated by dividing net (loss) income attributable to ordinary shareholders as adjusted for the effect of dilutive ordinary equivalent shares, if any, by the weighted average number of ordinary and dilutive ordinary share equivalents outstanding during the period. Ordinary share equivalents consist of the ordinary shares issuable upon the conversion of warrants (Note 17) and share options (Note 26), using the treasury stock method. | ||||||||||||
Segment reporting | ' | |||||||||||
(v) Segment reporting | ||||||||||||
The Group follows ASC topic 280 (“ASC 280”), Segment Reporting, for the presentation of segment information. The Group’s chief operating decision maker, who has been identified as the chief executive officer (“CEO”), relies upon financial information by provinces with operations in the PRC when making decisions about allocating resources and assessing the performance of the Group. As a result, the Group operates and manages its business as four operating and reportable segments, namely the Yunnan Province segment, the Sichuan Province segment, the Zhejiang Province segment and the Fujian Province segment. As the Group’s long-term assets are substantially all located in and derived from the PRC, no geographical segments are presented. | ||||||||||||
Government grant | ' | |||||||||||
(w) Government grant | ||||||||||||
Government grants are recognized when there is reasonable assurance that the attaching conditions will be complied with. A grant relates to an expense item is recognized as income over the period necessary to match the grant on a systematic basis to the related costs, whereas a grant relates to an asset acquisition is recognized as deferred government grant and recognized as income in proportion to depreciation of the related assets. Grant income is recognized on a net basis as a reduction to cost of revenues in the consolidated statements of comprehensive income. | ||||||||||||
Share-based payment | ' | |||||||||||
(x) Share-based payment | ||||||||||||
The Company accounts for share awards issued to employees in accordance with ASC topic 718 (“ASC 718”), Compensation-Stock Compensation. In accordance with the fair value recognition provision of ASC 718, share-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as an expense, net of estimated forfeitures, over the requisite service period, which is generally the vesting period. The Company has elected to recognize share-based compensation expense for share awards granted to employees using the straight-line method. The Company uses a binomial option pricing valuations model in determining the fair value of the options granted. | ||||||||||||
The Company accounts for share awards issued to non-employees in accordance with the provisions of ASC 718 and ASC sub-topic 505-50 (“ASC 505-50”), Equity: Equity-Based Payment to Non-employees. The Company’s share awards issued to non-employees are subject to graded vesting provisions. The Group recognizes share-based compensation expense for share awards granted to non-employees using the accelerated recognition method over the requisite service period of the award. In accordance with ASC 718 and ASC 505-50, the Company uses the binomial option pricing valuations model to measure the value of options granted to non-employees at each vesting date to determine the appropriate charge to share-based compensation. | ||||||||||||
ASC 718 requires forfeitures to be estimated at the time of grant and revised, if necessary, in the subsequent period if actual forfeitures differ from initial estimates. Share-based compensation expense was recorded net of estimated forfeitures such that expense was recorded only for those share-based awards that are expected to vest. Forfeiture rate is estimated based on historical and future expectation of employee turnover rate and is adjusted to reflect future change in circumstances and facts, if any. | ||||||||||||
Long-lived assets to be disposed of and discontinued operations | ' | |||||||||||
(y) Long-lived assets to be disposed of and discontinued operations | ||||||||||||
The Company accounts for a long-lived asset to be disposed of other than by sale in accordance with the provisions of ASC 360, where such long-lived asset continues to be classified as held and used until it is disposed of. When a long-lived asset ceases to be used, the carrying amount of the asset is written down to its salvage value, if any. | ||||||||||||
The Company accounts for a long-lived asset or disposal group to be sold in accordance with ASC 360, where such long-lived asset or disposal group is classified as held for sale in the period in which all six criteria are met: (1) a plan to sell the asset has been committed to by management; (2) the asset can be sold in its current condition; (3) an active plan has been initiated to find a buyer; (4) it is probable that the asset will be sold and the sale will be completed within one year and will qualify as a completed sale; (5) the sales price is reasonable relative to the asset’s current fair value and the entity is actively marketing the asset; and (6) it is unlikely that the plan to sell the asset will be withdrawn or changed significantly. | ||||||||||||
A long-lived asset or disposal group classified as held for sale is measured at the lower of its carrying amount or fair value less cost to sell, and it is presented separately on the consolidated balance sheets. Long-lived assets reclassified as held for sale are not depreciated or amortized. | ||||||||||||
The Company follows ASC 205-20 in its accounting for a component of the Company that has been disposed of or is classified as held for sale and has operations and cash flows that can be clearly distinguished from the rest of the Company. Such component is reported as discontinued operations. In the period in which a component has been disposed of or classified as held for sale, the results of operations, including any gain or loss after tax recognized in accordance with ASC 360, less applicable income taxes, for the periods presented are reclassified into line items of income separately from net income (loss) from continuing operations before extraordinary items (if applicable), on the consolidated statements of comprehensive income. | ||||||||||||
Recently issued accounting standards | ' | |||||||||||
(z) Recently issued accounting standards | ||||||||||||
In March 2013, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2013-05 (“ASU 2013-05”), Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity, which specifies that a cumulative translation adjustment should be released into earnings when an entity ceases to have a controlling financial interest in a subsidiary or group of assets within a consolidated foreign entity and the sale or transfer results in the complete or substantially complete liquidation of the foreign entity. For sales of an equity method investment that is a foreign entity, a pro rata portion of cumulative translation adjustment attributable to the investment would be recognized in earnings when the investment is sold. When an entity sells either a part or all of its investment in a consolidated foreign entity, cumulative translation adjustment would be recognized in earnings only if the sale results in the parent no longer having a controlling financial interest in the foreign entity. In addition, cumulative translation adjustment should be recognized in earnings in a business combination achieved in stages (i.e., a step acquisition). The amendments are effective for reporting periods beginning after December 15, 2013. Early adoption is permitted. The Company is currently evaluating the impact on its consolidated financial statements from the adoption of ASU 2013-05. | ||||||||||||
In July 2013, the FASB issued ASU No. 2013-11 (“ASU 2013-11”), Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, which concludes an unrecognized tax benefit should be presented as a reduction of a deferred tax asset when settlement in this manner is available under the tax law. The amendments are effective for reporting periods beginning after December 15, 2013. Early adoption is permitted. The Company is currently evaluating the impact on its consolidated financial statements from the adoption of ASU 2013-11. |
ORGANIZATION_AND_PRINCIPAL_ACT1
ORGANIZATION AND PRINCIPAL ACTIVITIES (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
ORGANIZATION AND PRINCIPAL ACTIVITIES | ' | |||||||||
Schedule of subsidiaries | ' | |||||||||
As of December 31, 2013, the Company’s subsidiaries included the following entities: | ||||||||||
Subsidiaries | Place of | Date of | Percentage | Principal | ||||||
Incorporation | Establishment/ | of | Activities | |||||||
Acquisition | Ownership | |||||||||
Beijing A.B.C. Investment Consulting Co., Ltd. (“ABC”) | The PRC | April 19, 2007 | 100 | % | Provision of general and administrative services to group companies | |||||
Yunnan Huabang Electric Power Development Co., Ltd. (“Binglangjiang”) | The PRC | April 25, 2007 | 100 | % | Operation and development of hydroelectric assets | |||||
Sichuan Huabang Hydroelectric Development Co., Ltd. (“Liyuan”) | The PRC | May 21, 2007 | 100 | % | Operation and development of hydroelectric assets | |||||
Zhejiang Province Jingning Yingchuan Hydroelectric Development Co., Ltd. (“Yingchuan”) | The PRC | January 31, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
Qingtian Wuliting Hydroelectric Development Co., Ltd. (“Wuliting”) | The PRC | January 31, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
Suichang County Jiulongshan Hydroelectric Development Co., Ltd. (“Jiulongshan”) | The PRC | January 31, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
China Hydroelectric Corporation (Hong Kong) Limited (“CHC HK”) | Hong Kong (“HK”) | June 25, 2008 | 100 | % | Investment holding company | |||||
Place of | Date of | Percentage | Principal | |||||||
Incorporation | Establishment/ | of | Activities | |||||||
Acquisition | Ownership | |||||||||
Pingnan County Wangkeng Hydroelectric Co., Ltd. (“Wangkeng”) | The PRC | October 21, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
Sanming Zhongyin Banzhu Hydroelectric Co., Ltd. (“Banzhu”) | The PRC | October 22, 2008 | 100 | % | Operation and development of hydroelectric assets | |||||
Sun Power Asia Limited (“Sunpower”) | HK | November 14,2008 | 100 | % | Investment holding company | |||||
Yunhe County Shapulong Hydropower Generation Co., Ltd. (“Shapulong”) | The PRC | August 3, 2009 | 100 | % | Operation and development of hydroelectric assets | |||||
Zhejiang Longquan Ruiyang Cascaded II Hydropower Plant Co., Ltd. (“Ruiyang”) | The PRC | August 20, 2009 | 100 | % | Operation and development of hydroelectric assets | |||||
Suichang County Zhougongyuan Hydroelectric Development Co., Ltd. (“Zhougongyuan”). | The PRC | December 3, 2009 | 100 | % | Operation and development of hydroelectric assets | |||||
Fujian Huabang Hydroelectric Investment Co., Ltd. (“Fujian Huabang”). | The PRC | January 14, 2010 | 100 | % | Investment holding company | |||||
Henan Wuyue Storage Power Generation Co., Ltd. (“Wuyue”) | The PRC | March 23, 2010 | 79 | % | Development of hydroelectric assets | |||||
Yingjiang County Qinrui Husahe Power Co., Ltd. (“Husahe”) | The PRC | April 19, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Fugong County Hengda Electric Power Development Co., Ltd. (“Hengda”) | The PRC | June 22, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Fugong County Xineng Electric Power Development Co., Ltd. (“Xineng”) | The PRC | August 16, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Luquan Xiaopengzu Power Generation Co., Ltd. (“Xiaopengzu”) | The PRC | September 8, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Shaowu City Jinling Power Generation Co., Ltd. (“Jinling”) | The PRC | December 30, 2010 | 100 | % | Operation and development of hydroelectric assets | |||||
Shaowu City Jinlong Hydroelectric Co., Ltd. (“Jinlong”) | The PRC | December 30, 2010 | 55 | % | Operation and development of hydroelectric assets | |||||
Shaowu City Jintang Hydroelectric Co., Ltd. (“Jintang”) | The PRC | December 30, 2010 | 74 | % | Operation and development of hydroelectric assets | |||||
Shaowu City Jinwei Hydroelectric Co., Ltd. (“Jinwei”) | The PRC | December 30, 2010 | 74 | % | Operation and development of hydroelectric assets | |||||
Jinping Kanghong Hydroelectric Development Co., Ltd. (“Dazhaihe”) | The PRC | April 10, 2011 | 100 | % | Operation and development of hydroelectric assets | |||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||
Summary of assets and liabilities measured at fair value on a recurring basis | ' | |||||||||||
All assets and liabilities measured at fair value on a recurring basis as of December 31, 2012 are summarized below: | ||||||||||||
Quoted price in | Significant | Significant | ||||||||||
active market for | other | unobservable | ||||||||||
identical assets | observable | inputs | ||||||||||
(Level 1) | inputs | (Level 3) | ||||||||||
(Level 2) | ||||||||||||
US$ | US$ | US$ | ||||||||||
Money market funds in cash equivalent | 8 | — | — | |||||||||
Warrant liabilities (Note 17) | — | — | 839 | |||||||||
8 | — | 839 | ||||||||||
Schedule of reconciliation of warrant liabilities measured at fair value on a recurring basis using significant unobservable inputs | ' | |||||||||||
Warrant | ||||||||||||
liabilities | ||||||||||||
US$ | ||||||||||||
Balance as of December 31, 2011 | 440 | |||||||||||
Realized or unrealized losses | 399 | |||||||||||
Balance as of December 31, 2012 | 839 | |||||||||||
Realized or unrealized gain | (839 | ) | ||||||||||
Balance as of December 31, 2013 | — | |||||||||||
Summary of assets and liabilities measured at fair value on a nonrecurring basis | ' | |||||||||||
Carrying value | Quoted price in | Significant | Significant | Total loss | ||||||||
at December 31, 2013 | active market for | other | unobservable | |||||||||
identical assets | observable | inputs | ||||||||||
(Level 1) | inputs | (Level 3) | ||||||||||
(Level 2) | ||||||||||||
US$ | US$ | US$ | US$ | |||||||||
Property, plant and equipment | 4,098 | — | — | — | (4,098 | ) | ||||||
Schedule of estimated useful lives of property, plant and equipment | ' | |||||||||||
Dams and reservoirs | 30-49 years | |||||||||||
Buildings | 8-50 years | |||||||||||
Machinery | 1-30 years | |||||||||||
Transportation equipment | 1-11 years | |||||||||||
Electronic equipment and others | 1-15 years | |||||||||||
Schedule of estimated useful life for the intangible assets | ' | |||||||||||
The estimated useful lives for the intangible assets as of December 31, 2013 were as follows: | ||||||||||||
Development right of Binglangjiang Phase II | 30 years | |||||||||||
Dam use right of Dongguan | 40 years | |||||||||||
Software | 5 years | |||||||||||
ACQUISITIONS_Tables
ACQUISITIONS (Tables) | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Dazhaihe | ' | |||
ACQUISITIONS | ' | |||
Summary of fair value of the assets acquired and liabilities assumed at the date of acquisition | ' | |||
The following table summarizes the fair value of the assets acquired and liabilities assumed at the date of acquisition on April 10, 2011. | ||||
US$ | ||||
Cash purchase price | 9,019 | |||
Total purchase consideration | 9,019 | |||
Cash | 59 | |||
Property, plant and equipment, net | 11,540 | |||
Other assets | 555 | |||
Goodwill | 6,646 | |||
Total assets acquired | 18,800 | |||
Other liabilities | (9,303 | ) | ||
Deferred tax liabilities — non-current | (478 | ) | ||
Total liabilities assumed | (9,781 | ) | ||
Net assets acquired | 9,019 | |||
Schedule of amounts of revenue and net profit of acquired entity included in the Company's consolidated statement of comprehensive income | ' | |||
The amounts of revenue and net loss of Dazhaihe included in the Company’s consolidated statement of comprehensive income from April 10, 2011, the acquisition date, to December 31, 2011 were as follows: | ||||
US$ | ||||
Revenue | 831 | |||
Net loss | (717 | ) | ||
Wangkeng | ' | |||
ACQUISITIONS | ' | |||
Schedule of effects of changes in the Company's ownership interest | ' | |||
For the year | ||||
ended | ||||
December 31, | ||||
2011 | ||||
US$ | ||||
Net income (loss) attributable to the Company | (45,389 | ) | ||
Decrease in the Company’s paid-in capital for purchase of 10% of equity interest in Wangkeng | (4,907 | ) | ||
Net transfers to noncontrolling interest | (4,907 | ) | ||
Change from net income (loss) attributable to the Company and transfers to noncontrolling interest | (50,296 | ) | ||
PREPAYMENTS_AND_OTHER_CURRENT_1
PREPAYMENTS AND OTHER CURRENT ASSETS (Tables) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
PREPAYMENTS AND OTHER CURRENT ASSETS | ' | |||||
Schedule of prepayments and other current assets | ' | |||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Advances for construction projects | 78 | 109 | ||||
Acquisition deposits | 716 | 738 | ||||
Amounts due from original shareholders of acquired subsidiaries | 1,297 | 1,350 | ||||
Consideration receivable from disposal of a subsidiary | 11,534 | — | ||||
Prepaid insurance | 360 | 509 | ||||
Rental deposit | 182 | 258 | ||||
Prepaid finance consulting fee | 570 | 844 | ||||
Others | 973 | 1,026 | ||||
15,710 | 4,834 | |||||
Less: Provision for impairment allowance | (1,560 | ) | (1,608 | ) | ||
Total | 14,150 | 3,226 |
DISCONTINUED_OPERATIONS_Tables
DISCONTINUED OPERATIONS (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Discontinued operations | ' | |||||||
Schedule of results of discontinued operations | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Revenues | 4,737 | 4,661 | — | |||||
Cost of revenues | (2,098 | ) | (1,131 | ) | — | |||
General and administrative expenses | (226 | ) | (176 | ) | — | |||
Interest income | 2 | 2 | — | |||||
Interest expense | (2,580 | ) | (1,634 | ) | — | |||
Other (loss) income, net | (16 | ) | 3,543 | — | ||||
Income tax expense | (101 | ) | (1,358 | ) | — | |||
Net (loss) income from discontinued operations | (282 | ) | 3,907 | — | ||||
Yuanping | ' | |||||||
Discontinued operations | ' | |||||||
Schedule of assets and liabilities attributable to discontinued operations | ' | |||||||
March 2, 2012 | ||||||||
US$ | ||||||||
Assets: | ||||||||
Cash and cash equivalents | 56 | |||||||
Property, plant and equipment, net | 17,304 | |||||||
Goodwill | 3,219 | |||||||
Intangible assets, net | 617 | |||||||
Deferred tax assets | 259 | |||||||
Prepayments and other current assets | 328 | |||||||
Total | 21,783 | |||||||
Liabilities: | ||||||||
Current portion of long-term loans | 477 | |||||||
Accrued expenses and other current liabilities | 163 | |||||||
Long-term loans | 10,489 | |||||||
Deferred tax liabilities | 827 | |||||||
Total | 11,956 | |||||||
Yuheng | ' | |||||||
Discontinued operations | ' | |||||||
Schedule of assets and liabilities attributable to discontinued operations | ' | |||||||
October 31, 2012 | ||||||||
US$ | ||||||||
Assets: | ||||||||
Cash and cash equivalents | 472 | |||||||
Property, plant and equipment, net | 18,509 | |||||||
Goodwill | 23,448 | |||||||
Intangible assets, net | 1,916 | |||||||
Deferred tax assets | 174 | |||||||
Prepayment and other current assets | 241 | |||||||
Total | 44,760 | |||||||
Liabilities: | ||||||||
Current portion of long-term loans | 14,920 | |||||||
Accrued expenses and other current liabilities | 2,256 | |||||||
Long-term loans | 7,301 | |||||||
Deferred tax liabilities | 2,046 | |||||||
Other non-current liabilities | 33 | |||||||
Total | 26,556 |
PROPERTY_PLANT_AND_EQUIPMENT_N1
PROPERTY, PLANT AND EQUIPMENT, NET (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||||
PROPERTY, PLANT AND EQUIPMENT, NET | ' | |||||||||||||||||||||||||||
Schedule of property, plant and equipment and its related accumulated depreciation | ' | |||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||||
2012 | 2013 | |||||||||||||||||||||||||||
US$ | US$ | |||||||||||||||||||||||||||
Dams and reservoirs | 339,123 | 348,905 | ||||||||||||||||||||||||||
Buildings | 124,154 | 127,356 | ||||||||||||||||||||||||||
Machinery | 153,837 | 158,527 | ||||||||||||||||||||||||||
Transportation equipment | 1,865 | 1,925 | ||||||||||||||||||||||||||
Electronic equipment and others | 4,244 | 1,797 | ||||||||||||||||||||||||||
623,223 | 638,510 | |||||||||||||||||||||||||||
Less: Accumulated depreciation | (74,852 | ) | (98,513 | ) | ||||||||||||||||||||||||
548,371 | 539,997 | |||||||||||||||||||||||||||
Construction in progress, net | 140 | 245 | ||||||||||||||||||||||||||
Total | 548,511 | 540,242 | ||||||||||||||||||||||||||
Schedule of construction in progress, net of impairment charge | ' | |||||||||||||||||||||||||||
Jiulongshan | Liyuan | Binglangjiang | Banzhu | Wangkeng | Wuliting | Yingchuan | Xineng | Hengda | Ruiyang | Zhougongyuan | Dazhaihe | Total | ||||||||||||||||
US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | US$ | ||||||||||||||||
Balance as of December 31, 2011 | 13 | 1,158 | 1 | — | — | — | 9 | — | — | 9 | — | — | 1,190 | |||||||||||||||
Addition to construction in progress | — | 1,350 | — | — | — | 1,316 | — | 278 | 11 | 1,091 | 1,429 | 48 | 5,523 | |||||||||||||||
Transfer from property, plant and equipment | — | — | — | — | — | — | — | 610 | — | — | — | 13 | 623 | |||||||||||||||
Transfer to property, plant and equipment | — | (2,416 | ) | (1 | ) | — | — | (1,316 | ) | — | (888 | ) | (11 | ) | (1,076 | ) | (1,429 | ) | (61 | ) | (7,198 | ) | ||||||
Foreign currency translation adjustment | — | 2 | — | — | — | — | — | — | — | — | — | — | 2 | |||||||||||||||
Balance as of December 31, 2012 | 13 | 94 | — | — | — | — | 9 | — | — | 24 | — | — | 140 | |||||||||||||||
Addition to construction in progress | — | 29 | — | 411 | 83 | — | — | — | — | — | — | — | 523 | |||||||||||||||
Transfer to property, plant and equipment | — | — | — | (300 | ) | — | — | — | — | — | — | — | — | (300 | ) | |||||||||||||
Impairment of construction in progress | — | (134 | ) | — | — | — | — | — | — | — | — | — | — | (134 | ) | |||||||||||||
Foreign currency translation adjustment | — | 11 | — | 2 | 1 | — | — | — | — | 2 | — | — | 16 | |||||||||||||||
Balance as of December 31, 2013 | 13 | — | — | 113 | 84 | — | 9 | — | — | 26 | — | — | 245 | |||||||||||||||
Schedule of depreciation expenses | ' | |||||||||||||||||||||||||||
For the Years ended December 31, | ||||||||||||||||||||||||||||
2011 | 2012 | 2013 | ||||||||||||||||||||||||||
US$ | US$ | US$ | ||||||||||||||||||||||||||
Cost of revenues | (20,466 | ) | (21,402 | ) | (21,841 | ) | ||||||||||||||||||||||
General and administrative expenses | (297 | ) | (345 | ) | (341 | ) | ||||||||||||||||||||||
Total | (20,763 | ) | (21,747 | ) | (22,182 | ) | ||||||||||||||||||||||
INTANGIBLE_ASSETS_Tables
INTANGIBLE ASSETS (Tables) (Intangible assets, excluding land use rights) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Intangible assets, excluding land use rights | ' | |||||||||
Intangible assets | ' | |||||||||
Schedule of intangible assets and their related accumulated amortization | ' | |||||||||
December 31, 2012 | ||||||||||
Gross | Accumulated | Foreign Currency | Net | |||||||
Carrying | Amortization | Translation | Carrying | |||||||
Value | Adjustment | Value | ||||||||
Development right of Binglangjiang Phase II | 2,909 | (629 | ) | 619 | 2,899 | |||||
Dam use right of Dongguan | 1,759 | (90 | ) | 92 | 1,761 | |||||
Total | 4,668 | (719 | ) | 711 | 4,660 | |||||
December 31, 2013 | ||||||||||
Gross | Accumulated | Foreign Currency | Net | |||||||
Carrying | Amortization | Translation | Carrying | |||||||
Value | Adjustment | Value | ||||||||
Development right of Binglangjiang Phase II | 2,909 | (749 | ) | 706 | 2,866 | |||||
Dam use right of Dongguan | 1,759 | (137 | ) | 146 | 1,768 | |||||
Software | 90 | (11 | ) | 1 | 80 | |||||
Total | 4,758 | (897 | ) | 853 | 4,714 | |||||
Schedule of amortization expenses for the intangible assets with finite lives | ' | |||||||||
For the Years Ended December 31, | ||||||||||
2011 | 2012 | 2013 | ||||||||
US$ | US$ | US$ | ||||||||
Cost of revenues | (45 | ) | (45 | ) | (168 | ) | ||||
General and administrative expenses | (116 | ) | (120 | ) | (10 | ) | ||||
Total | (161 | ) | (165 | ) | (178 | ) | ||||
Schedule of estimated annual amortization expenses | ' | |||||||||
US$ | ||||||||||
2014 | 185 | |||||||||
2015 | 185 | |||||||||
2016 | 185 | |||||||||
2017 | 185 | |||||||||
2018 | 177 | |||||||||
GOODWILL_Tables
GOODWILL (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
GOODWILL. | ' | |||||||||||
Schedule of changes in the carrying amount of goodwill by operating and reportable segments | ' | |||||||||||
Yunnan | Sichuan | Fujian | Zhejiang | Total | ||||||||
Province | Province | Province | Province | |||||||||
US$ | US$ | US$ | US$ | US$ | ||||||||
Balance as of December 31, 2011 | 21,544 | — | 70,760 | 43,347 | 135,651 | |||||||
Foreign currency translation adjustment | 53 | — | 119 | 106 | 278 | |||||||
Disposal of subsidiaries | — | — | (23,448 | ) | — | (23,448 | ) | |||||
Balance as of December 31, 2012 | 21,597 | — | 47,431 | 43,453 | 112,481 | |||||||
Foreign currency translation adjustment | 668 | — | 1,467 | 1,344 | 3,479 | |||||||
Balance as of December 31, 2013 | 22,265 | — | 48,898 | 44,797 | 115,960 |
LAND_USE_RIGHTS_Tables
LAND USE RIGHTS (Tables) (Land use rights) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
Land use rights | ' | |||||
Land use rights | ' | |||||
Schedule of land use rights and their related accumulated amortization | ' | |||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Land use right | 47,521 | 47,521 | ||||
Less: Accumulated amortization | (4,614 | ) | (5,778 | ) | ||
Foreign currency translation adjustment | 5,733 | 7,219 | ||||
Total | 48,640 | 48,962 | ||||
Schedule of estimated annual amortization expenses | ' | |||||
US$ | ||||||
2014 | 1,192 | |||||
2015 | 1,192 | |||||
2016 | 1,192 | |||||
2017 | 1,192 | |||||
2018 | 1,192 |
OTHER_NONCURRENT_ASSETS_Tables
OTHER NON-CURRENT ASSETS (Tables) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
OTHER NON-CURRENT ASSETS | ' | |||||
Schedule of other non-current assets | ' | |||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Long-term prepaid debt insurance cost | 315 | 311 | ||||
Long-term prepaid rental expenses | 118 | 3 | ||||
Long-term prepaid compensation cost | 337 | 230 | ||||
Deposits for financing arrangement | 859 | 1,358 | ||||
Unamortized service fees | 187 | 299 | ||||
Long-term prepaid guarantee fee | 197 | 19 | ||||
Total | 2,013 | 2,220 |
ACCRUED_EXPENSES_AND_OTHER_CUR1
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | |||||
Schedule of accrued expenses and other current liabilities | ' | |||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Accrued payroll expenses | 3,445 | 2,591 | ||||
Retainage due to contractors | 199 | 100 | ||||
Employee termination costs | 1,750 | 875 | ||||
Guarantee deposits from original shareholders of acquired subsidiaries | 1,358 | 1,394 | ||||
Income tax payable | 5,406 | 2,922 | ||||
Other taxes payable | 2,326 | 2,877 | ||||
Amounts due to original shareholders of acquired subsidiaries | 1,345 | 1,331 | ||||
Accrued water resource fee | 1,496 | 1,219 | ||||
Loans from third parties | 13,627 | 4,330 | ||||
Interest payable | 1,260 | 575 | ||||
Accrued dam and reservoirs repair fee | 1,424 | 851 | ||||
Reservoir maintenance fund | 1,905 | 2,338 | ||||
Advance from customers | 1,014 | 23 | ||||
Deposits from third parties | 716 | — | ||||
Accrued audit fee | 650 | 543 | ||||
Accrued settlement costs for legal proceedings (Note 23(e)) | — | 579 | ||||
Land compensation costs (Note 23(c)) | 959 | 624 | ||||
Service fee payable | 1,036 | 1,347 | ||||
Other liabilities | 3,909 | 3,553 | ||||
Total | 43,825 | 28,072 |
INCOME_TAX_EXPENSE_Tables
INCOME TAX EXPENSE (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
INCOME TAX EXPENSE | ' | |||||||
Schedule of (loss) income before income taxes | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Cayman Islands | (17,593 | ) | (7,962 | ) | (2,943 | ) | ||
Hong Kong | (659 | ) | (680 | ) | (480 | ) | ||
PRC | (35,229 | ) | 10,037 | 4,379 | ||||
(53,481 | ) | 1,395 | 956 | |||||
Schedule of income tax expenses | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Current income tax expense | 2,113 | 7,013 | 3,956 | |||||
Deferred income tax benefit | (586 | ) | (562 | ) | (482 | ) | ||
Income tax expense | 1,527 | 6,451 | 3,474 | |||||
Schedule of reconciliation of the effective income tax provisions | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Taxation at PRC statutory tax rate of 25% | (13,370 | ) | 349 | 239 | ||||
Effect of non-PRC entities not subject to income tax | 4,564 | 2,161 | 856 | |||||
Effect of tax holiday | — | (466 | ) | (8 | ) | |||
Effect of preferential tax rate | (248 | ) | (14 | ) | (119 | ) | ||
Current and deferred tax rate differential | 1,015 | 1,167 | 762 | |||||
Deemed interest income | 1,010 | 276 | 46 | |||||
Non-deductible expenses | 4,337 | 3,041 | 1,447 | |||||
Change in valuation allowance | 3,818 | 575 | 1,041 | |||||
Impact of changes in enacted tax rates | (325 | ) | — | — | ||||
Prior year tax audit adjustment | 190 | — | — | |||||
PRC withholding tax on the outside basis difference of the discontinued operations | 136 | — | — | |||||
Provision for (reversal of) PRC dividend withholding tax | 400 | (296 | ) | 300 | ||||
Effect of changes in the tax basis of property, plant and equipment | — | (225 | ) | (391 | ) | |||
Reduction to unrecognized tax benefits due to lapse of statute of limitations | — | (117 | ) | (699 | ) | |||
Income tax expense | 1,527 | 6,451 | 3,474 | |||||
Effective tax rate (%) | (2.86 | )% | 462.44 | % | 363.39 | % | ||
Schedule of aggregate amount and effects of tax holidays on basic and diluted loss per share | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Aggregate amount | — | 466 | 8 | |||||
Basic and diluted | — | 0.003 | — | |||||
Schedule of reconciliation of accrued unrecognized tax benefits | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Balance as of January 1 | 3,743 | 6,093 | 6,077 | |||||
Addition for tax positions taken in the current year | 459 | 396 | 464 | |||||
Reclassified from income tax payable for tax positions of prior years | 2,336 | 1,138 | 1729 | |||||
Reduction for tax positions of prior years | (87 | ) | (171 | ) | (27 | ) | ||
Lapse of statute of limitations | — | (117 | ) | (669 | ) | |||
Reclassified to liabilities directly associated with the assets classified as held-for-sale or disposal of discontinued operations | (618 | ) | (1,276 | ) | — | |||
Foreign currency translation | 260 | 14 | 211 | |||||
Balance as of December 31 | 6,093 | 6,077 | 7,785 |
DEFERRED_TAX_ASSETS_AND_DEFERR1
DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES (Tables) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES | ' | |||||
Schedule of significant components of deferred tax assets and deferred tax liabilities | ' | |||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Deferred tax assets—current | ||||||
Allowance for uncollectible other receivables | 747 | 770 | ||||
Accrued water resource fee | 332 | 316 | ||||
Accrued expenses | 706 | 985 | ||||
Other payable | 622 | 762 | ||||
Deferred tax assets—current | 2,407 | 2,833 | ||||
Valuation allowance | (748 | ) | (839 | ) | ||
Net deferred tax assets—current | 1,659 | 1,994 | ||||
Deferred tax assets—non-current | ||||||
Net operating loss carryforwards | 1,746 | 2,822 | ||||
Depreciation of property, plant and equipment | 812 | 948 | ||||
Provision for impairment allowance | 3,481 | 3,599 | ||||
Others | 10 | 10 | ||||
Deferred tax assets—non-current | 6,049 | 7,379 | ||||
Valuation allowance | (4,720 | ) | (5,853 | ) | ||
Net deferred tax asset—non-current | 1,329 | 1,526 | ||||
Deferred tax liabilities—current | ||||||
Undistributed earnings of a foreign subsidiary | — | (300 | ) | |||
Deferred tax liabilities—non-current | ||||||
Fair value step-up of property, plant and equipment | (23,279 | ) | (23,647 | ) | ||
Fair value step-up of intangible assets | (1,066 | ) | (1,073 | ) | ||
Deferred tax liabilities—non-current | (24,345 | ) | (24,720 | ) |
BORROWINGS_Tables
BORROWINGS (Tables) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
BORROWINGS | ' | |||||
Schedule of total borrowings | ' | |||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Short-term: | ||||||
Secured | 21,676 | 11,973 | ||||
Long-term: | ||||||
Current portion, secured | 35,537 | 38,337 | ||||
Non-current, secured | 212,970 | 211,723 | ||||
Total borrowings | 270,183 | 262,033 | ||||
Schedule of corporate guarantee by third party | ' | |||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Guaranteed by: | ||||||
Guangsha Construction Group Co., Ltd. | 10,119 | 6,069 | ||||
Fujian Taiyu Investment (Group) Co., Ltd. | 7,159 | — | ||||
17,278 | 6,069 | |||||
Schedule of corporate guarantee by related parties | ' | |||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Guaranteed by: | ||||||
Shaowu City Jinling Power Generation Co., Ltd. and Nanping City Xingshui Co., Ltd. | 4,455 | 3,936 | ||||
Fujian Taiyu Investment (Group) Co., Ltd., Shaowu City Jinling Power Generation Co., Ltd. and Xiamen Youxin Hydropower Development Co., Ltd. | 6,523 | — | ||||
Sanming Youxin Electricity Co., Ltd., Fujian Huabang Hydroelectric Investment Co., Ltd. | — | 35,510 | ||||
10,978 | 39,446 | |||||
Schedule of maturities of long-term loans | ' | |||||
Maturities of long-term loans for the five years succeeding December 31, 2013 are as follows: | ||||||
US$ | ||||||
2014 | 38,337 | |||||
2015 | 33,835 | |||||
2016 | 34,071 | |||||
2017 | 33,026 | |||||
2018 | 27,532 | |||||
Thereafter | 83,259 | |||||
250,060 | ||||||
OTHER_NONCURRENT_LIABILITIES_T
OTHER NON-CURRENT LIABILITIES (Tables) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
OTHER NON-CURRENT LIABILITIES | ' | |||||
Schedule of other non-current liabilities | ' | |||||
December 31, | ||||||
2012 | 2013 | |||||
US$ | US$ | |||||
Unrecognized tax benefits (Note 13) | 5,091 | 6,203 | ||||
Accrued interests on unrecognized tax benefits (Note 13) | 1,583 | 1,697 | ||||
Government grant | 100 | 100 | ||||
Others | 6 | 5 | ||||
Total | 6,780 | 8,005 |
WARRANTS_Tables
WARRANTS (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
WARRANTS. | ' | |||||||||
Schedule of assumptions used to estimate the fair values of the outstanding warrants, which are classified as liabilities | ' | |||||||||
Vicis’ Amended | Shoen’s Amended | Vicis’/Shoen’s | Vicis’/Shoen’s | |||||||
Warrants | Warrants | Amended Warrants | Amended Warrants | |||||||
Commitment date/ year-end date | August 18, 2011 | October 27, 2011 | December 31, 2011 | December 31, 2012 | ||||||
Average risk-free rate of return | 0.24% | 0.24% | 0.24% | 0.14% | ||||||
Expected term/life | 2.38 years | 2.18 years | 2.00 years | 1.00 years | ||||||
Volatility rate | 52.52% | 51.20% | 72.00% | 88.40% | ||||||
Expected dividend yield | — | — | — | — | ||||||
Fair value of ordinary share | 0.14 | 0.04 | 0.04 | 0.57 | ||||||
Estimated forfeiture rate | 0% | 0% | 0% | 0% | ||||||
Schedule of assumptions used to estimate the fair values of the outstanding warrants, which are classified as equity | ' | |||||||||
IPO | Underwriter’s | |||||||||
Warrants | Warrants | |||||||||
Commitment date | January 25, 2010 | January 25, 2010 | ||||||||
Average risk-free rate of return | 2.40% | 2.40% | ||||||||
Expected term/life | 4.99 years | 4.99 years | ||||||||
Volatility rate | 66.00% | 66.00% | ||||||||
Expected dividend yield | — | — | ||||||||
Fair value of ordinary share | 4.93 | 4.93 | ||||||||
Estimated forfeiture rate | 0% | 0% |
BASIC_AND_DILUTED_LOSS_INCOME_1
BASIC AND DILUTED (LOSS) INCOME PER SHARE (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
BASIC AND DILUTED (LOSS) INCOME PER SHARE | ' | |||||||
Schedule of basic and diluted (loss) income per share | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Numerator for basic and diluted loss per share: | ||||||||
Loss attributable to ordinary shareholders | (45,389 | ) | (1,243 | ) | (2,221 | ) | ||
Denominator: | ||||||||
Weighted average number of ordinary shares outstanding—basic | 156,505,076 | 161,989,097 | 162,071,626 | |||||
Dilutive effect of convertible securities: | ||||||||
Warrants | — | — | — | |||||
Share options | — | — | — | |||||
Weighted average number of ordinary shares outstanding—diluted | 156,505,076 | 161,989,097 | 162,071,626 | |||||
(Loss) income per share—basic and diluted: | ||||||||
From continuing operations | (0.29 | ) | (0.03 | ) | (0.01 | ) | ||
From discontinued operations | (0.00 | ) | 0.02 | — | ||||
Loss per share—basic and diluted | (0.29 | ) | (0.01 | ) | (0.01 | ) |
ACCUMULATED_OTHER_COMPREHENSIV1
ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
ACCUMULATED OTHER COMPREHENSIVE INCOME | ' | |||||||
Schedule of changes in the balances of each component of accumulated other comprehensive income | ' | |||||||
Foreign currency | Defined benefit pension plan | Total | ||||||
items | items | |||||||
US$ | US$ | US$ | ||||||
Balance at December 31, 2010 | 22,922 | — | 22,922 | |||||
Current-period other comprehensive income (loss) | 20,079 | (33 | ) | 20,046 | ||||
Balance at December 31, 2011 | 43,001 | (33 | ) | 42,968 | ||||
Current-period other comprehensive income | 954 | 33 | 987 | |||||
Amounts reclassified from accumulated other comprehensive income | (2,358 | ) | — | (2,358 | ) | |||
Net current-period other comprehensive (loss) income | (1,404 | ) | 33 | (1,371 | ) | |||
Balance at December 31, 2012 | 41,597 | — | 41,597 | |||||
Current-period other comprehensive income | 12,462 | — | 12,462 | |||||
Balance at December 31, 2013 | 54,059 | — | 54,059 |
INTEREST_EXPENSE_Tables
INTEREST EXPENSE (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
INTEREST EXPENSE. | ' | |||||||
Schedule of interest expense | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Interest on loans | 18,371 | 20,017 | 19,091 | |||||
Accrued interest on unrecognized tax benefits (Note 13) | 457 | 576 | 68 | |||||
Amortization of debt issuance costs | 19 | 191 | 175 | |||||
Interest to original shareholders of acquired subsidiaries | 2,503 | 1,126 | 240 | |||||
Interest on loans from third parties | 2,567 | 4,757 | 1,683 | |||||
Bank charges | 672 | 1,340 | 1,067 | |||||
Others | 168 | 63 | 244 | |||||
Total | 24,757 | 28,070 | 22,568 |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | |||
Dec. 31, 2013 | ||||
COMMITMENTS AND CONTINGENCIES. | ' | |||
Schedule of future minimum lease payments for non-cancellable operating leases | ' | |||
Future minimum lease payments for non-cancellable operating leases as of December 31, 2013 are as follows: | ||||
US$ | ||||
2014 | 20 | |||
2015 | 22 | |||
Thereafter | — | |||
Total | 42 | |||
Schedule of future minimum compensation costs to the land owners | ' | |||
Future minimum compensation costs to the land owners for the five years succeeding December 31, 2013 are as follows: | ||||
US$ | ||||
2014 | 85 | |||
2015 | 194 | |||
2016 | 194 | |||
2017 | 193 | |||
2018 | 202 | |||
Thereafter | 5,286 | |||
Total | 6,154 | |||
OTHER_INCOME_LOSS_NET_Tables
OTHER INCOME (LOSS), NET (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
OTHER INCOME (LOSS), NET | ' | |||||||
Schedule of other income (loss), net | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Reimbursement from ADS depositary bank | 527 | — | — | |||||
Gain from extinguishment of amounts due to original shareholders of acquired subsidiaries | — | 462 | — | |||||
Interest penalty income from late consideration payment by the acquirer of a disposed subsidiary | — | — | 144 | |||||
Others | (861 | ) | 45 | 131 | ||||
Other (loss) income, net | (334 | ) | 507 | 275 |
SEGMENT_AND_GEOGRAPHIC_INFORMA1
SEGMENT AND GEOGRAPHIC INFORMATION (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
SEGMENT AND GEOGRAPHIC INFORMATION | ' | |||||||||||||||
Schedule of the Group's segment information | ' | |||||||||||||||
The Group’s segment information as of and for the year ended December 31, 2011 is as follows: | ||||||||||||||||
Yunnan | Sichuan | Zhejiang | Fujian | Unallocated | Eliminations | Consolidated | ||||||||||
Province | Province | Province | Province | |||||||||||||
US$ | US$ | US$ | US$ | US$ | US$ | US$ | ||||||||||
Revenues | 13,806 | 555 | 25,382 | 14,854 | — | — | 54,597 | |||||||||
Cost of revenues | (8,349 | ) | (568 | ) | (15,034 | ) | (10,874 | ) | — | 3,511 | (31,314 | ) | ||||
General and administrative expenses (including share-based compensation expense of US$10,479) | (1,519 | ) | (86 | ) | (1,148 | ) | (2,276 | ) | (23,867 | ) | — | (28,896 | ) | |||
Impairment loss on goodwill | (5,260 | ) | — | — | (6,128 | ) | — | — | (11,388 | ) | ||||||
Impairment loss on long-lived assets | — | — | — | — | (11,601 | ) | 11 | (11,590 | ) | |||||||
Interest income | 180 | 10 | 128 | 1,709 | 66 | (1,992 | ) | 101 | ||||||||
Interest expense | (8,468 | ) | — | (8,565 | ) | (9,669 | ) | (73 | ) | 2,018 | (24,757 | ) | ||||
Changes in fair value of warrant liabilities | — | — | — | — | 951 | — | 951 | |||||||||
Exchange loss | (28 | ) | — | — | (244 | ) | (579 | ) | — | (851 | ) | |||||
Other (loss) income, net | (285 | ) | — | (36 | ) | (158 | ) | 4,033 | (3,888 | ) | (334 | ) | ||||
Income tax (expense) benefit | (142 | ) | 5 | (843 | ) | 115 | (662 | ) | — | (1,527 | ) | |||||
Net loss from continuing operations | (10,065 | ) | (84 | ) | (116 | ) | (12,671 | ) | (31,732 | ) | (340 | ) | (55,008 | ) | ||
Loss from discontinued operations (net of income tax expense of US$101) | — | — | — | (631 | ) | — | 349 | (282 | ) | |||||||
Net loss for the year from discontinued operations | — | — | — | (631 | ) | — | 349 | (282 | ) | |||||||
Net loss | (10,065 | ) | (84 | ) | (116 | ) | (13,302 | ) | (31,732 | ) | 9 | (55,290 | ) | |||
Net loss attributable to noncontrolling interests | — | — | — | 2,546 | 7,355 | — | 9,901 | |||||||||
Net loss attributable to China Hydroelectric Corporation shareholders | (10,065 | ) | (84 | ) | (116 | ) | (10,756 | ) | (24,377 | ) | 9 | (45,389 | ) | |||
Total assets | 200,681 | 15,896 | 318,616 | 374,296 | 421,650 | (516,224 | ) | 814,915 | ||||||||
Total liabilities | (133,670 | ) | (753 | ) | (138,688 | ) | (185,330 | ) | (20,498 | ) | 58,902 | (420,037 | ) | |||
Capital expenditures | 1,763 | 1,128 | 3,031 | 645 | 970 | (5 | ) | 7,532 | ||||||||
Depreciation and amortization expenses | 5,181 | 344 | 9,837 | 6,569 | 115 | — | 22,046 | |||||||||
The Group’s segment information as of and for the year ended December 31, 2012 is as follows: | ||||||||||||||||
Yunnan | Sichuan | Zhejiang | Fujian | Unallocated | Eliminations | Consolidated | ||||||||||
Province | Province | Province | Province | |||||||||||||
US$ | US$ | US$ | US$ | US$ | US$ | US$ | ||||||||||
Revenues | 13,460 | 598 | 41,616 | 29,714 | — | — | 85,388 | |||||||||
Cost of revenues | (8,540 | ) | (689 | ) | (16,978 | ) | (13,133 | ) | — | 3,545 | (35,795 | ) | ||||
General and administrative expenses (including share-based compensation expense of US$166) | (2,108 | ) | (269 | ) | (2,569 | ) | (3,413 | ) | (11,989 | ) | — | (20,348 | ) | |||
Interest income | 236 | 121 | 838 | 1,713 | 3 | (2,827 | ) | 84 | ||||||||
Interest expense | (9,039 | ) | (260 | ) | (10,550 | ) | (10,787 | ) | (247 | ) | 2,813 | (28,070 | ) | |||
Changes in fair value of warrant liabilities | — | — | — | — | (399 | ) | — | (399 | ) | |||||||
Exchange (loss) gain | — | — | — | (1 | ) | 29 | — | 28 | ||||||||
Other income (loss), net | 136 | 22 | (81 | ) | 420 | 3,736 | (3,726 | ) | 507 | |||||||
Income tax benefit (expense) | 72 | (5 | ) | (3,831 | ) | (2,480 | ) | (207 | ) | (6,451 | ) | |||||
Net (loss) income from continuing operations | (5,783 | ) | (482 | ) | 8,445 | 2,033 | (9,074 | ) | (195 | ) | (5,056 | ) | ||||
Income from discontinued operations (net of income tax expense of US$399) | — | — | — | 959 | — | 181 | 1,140 | |||||||||
Gain on disposal of discontinued operations (net of income tax expense of $959) | — | — | — | — | 2,767 | — | 2,767 | |||||||||
Net income for the year from discontinued operations | — | — | — | 959 | 2,767 | 181 | 3,907 | |||||||||
Net (loss) income | (5,783 | ) | (482 | ) | 8,445 | 2,992 | (6,307 | ) | (14 | ) | (1,149 | ) | ||||
Net income attributable to noncontrolling interests | — | — | — | (94 | ) | — | — | (94 | ) | |||||||
Net (loss) income attributable to China Hydroelectric Corporation shareholders | (5,783 | ) | (482 | ) | 8,445 | 2,898 | (6,307 | ) | (14 | ) | (1,243 | ) | ||||
Total assets | 192,843 | 22,790 | 344,923 | 289,702 | 426,518 | (522,460 | ) | 754,316 | ||||||||
Total liabilities | (131,872 | ) | (8,092 | ) | (145,312 | ) | (129,627 | ) | (27,799 | ) | 80,901 | (361,801 | ) | |||
Capital expenditures | 877 | 1,384 | 3,973 | 1,305 | 15 | (58 | ) | 7,496 | ||||||||
Depreciation and amortization expenses | 5,546 | 477 | 10,136 | 6,767 | 142 | — | 23,068 | |||||||||
The Group’s segment information as of and for the year ended December 31, 2013 is as follows: | ||||||||||||||||
Yunnan | Sichuan | Zhejiang | Fujian | Unallocated | Eliminations | Consolidated | ||||||||||
Province | Province | Province | Province | |||||||||||||
US$ | US$ | US$ | US$ | US$ | US$ | US$ | ||||||||||
Revenues | 14,608 | 373 | 36,000 | 23,536 | — | — | 74,517 | |||||||||
Cost of revenues | (9,069 | ) | (634 | ) | (16,610 | ) | (12,393 | ) | (8 | ) | 3,357 | (35,357 | ) | |||
General and administrative expenses (including share-based compensation expense of US$211) | (1,534 | ) | (193 | ) | (1,909 | ) | (2,423 | ) | (7,154 | ) | (45 | ) | (13,258 | ) | ||
Impairment loss on long-lived assets | — | (3,549 | ) | — | — | — | — | (3,549 | ) | |||||||
Interest income | 340 | 365 | 1,801 | 702 | 2 | (3,112 | ) | 98 | ||||||||
Interest expense | (7,726 | ) | (557 | ) | (10,128 | ) | (7,160 | ) | (109 | ) | 3,112 | (22,568 | ) | |||
Changes in fair value of warrant liabilities | — | — | — | — | 839 | — | 839 | |||||||||
Exchange loss | — | — | — | — | (41 | ) | — | (41 | ) | |||||||
Other income (loss), net | 37 | — | (18 | ) | 91 | 3,477 | (3,312 | ) | 275 | |||||||
Income tax benefit (expense) | 43 | 15 | (2,245 | ) | (843 | ) | (444 | ) | — | (3,474 | ) | |||||
Net (loss) income from continuing operations | (3,301 | ) | (4,180 | ) | 6,891 | 1,510 | (3,438 | ) | — | (2,518 | ) | |||||
Net (loss) income from discontinuing operations | — | — | — | — | — | — | — | |||||||||
Net (loss) income | (3,301 | ) | (4,180 | ) | 6,891 | 1,510 | (3,438 | ) | — | (2,518 | ) | |||||
Net loss attributable to noncontrolling interests | — | — | — | 297 | — | — | 297 | |||||||||
Net (loss) income attributable to China Hydroelectric Corporation shareholders | (3,301 | ) | (4,180 | ) | 6,891 | 1,807 | (3,438 | ) | — | (2,221 | ) | |||||
Total assets | 197,995 | 21,135 | 346,886 | 288,735 | 437,477 | (554,986 | ) | 737,242 | ||||||||
Total liabilities | (117,524 | ) | (7,144 | ) | (128,690 | ) | (123,843 | ) | (28,315 | ) | 70,903 | (334,613 | ) | |||
Capital expenditures | 124 | 29 | 233 | 1,228 | 13 | — | 1,627 | |||||||||
Depreciation and amortization expenses | 5,633 | 482 | 10,437 | 6,839 | 133 | — | 23,524 | |||||||||
SHAREBASED_PAYMENT_Tables
SHARE-BASED PAYMENT (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
SHARE-BASED PAYMENT | ' | |||||||||
Schedule of total compensation cost recognized for share options granted | ' | |||||||||
For the Years Ended December 31, | ||||||||||
2011 | 2012 | 2013 | ||||||||
US$ | US$ | US$ | ||||||||
Cost of revenues | — | — | — | |||||||
General and administrative expenses | 10,479 | 166 | 211 | |||||||
10,479 | 166 | 211 | ||||||||
Employees | ' | |||||||||
SHARE-BASED PAYMENT | ' | |||||||||
Schedule of share options granted | ' | |||||||||
Number of | Weighted- | Weighted- | Aggregate | |||||||
Options | Average | Average | Intrinsic | |||||||
Exercise | Remaining | Value (US$) | ||||||||
Price (US$) | Contractual | |||||||||
Life (Years) | ||||||||||
Outstanding at January 1, 2013 | 3,635,250 | 0.62 | 4.17 | 38 | ||||||
Granted | 1,300,000 | 0.89 | — | — | ||||||
Exercised | (265,547 | ) | 0.49 | — | — | |||||
Forfeited or cancelled | (630,139 | ) | 0.7 | — | — | |||||
Expired | — | — | — | — | ||||||
Outstanding at December 31, 2013 | 4,039,564 | 0.7 | 3.72 | 787 | ||||||
Vested and expected to vest at December 31, 2013 | 3,527,057 | 0.71 | 3.72 | 675 | ||||||
Exercisable at December 31, 2013 | 1,498,674 | 0.62 | 3.37 | 409 | ||||||
Schedule of assumptions used in estimating the grant-date fair value of options granted | ' | |||||||||
For the Years Ended December 31, | ||||||||||
2011 | 2012 | 2013 | ||||||||
Suboptimal exercise factor | — | 1.5 | 1.5 | |||||||
Risk-free interest rate | 0.85% | 0.62%~0.83% | 1.52% | |||||||
Expected volatility rate | 71.87% | 73.4%~89.21% | 84.86% | |||||||
Expected dividend yield | — | — | — | |||||||
Expected share option life | 5 years | 5 years | 4.62~5 years | |||||||
Estimated forfeiture rate | ||||||||||
Founders | — | — | — | |||||||
Senior management | — | — | 6.7 | |||||||
Employees | — | — | 6.7 | |||||||
Fair value of ordinary shares | US$0.39 | US$0.44~US$0.62 | US$0.78 |
RELATED_PARTY_TRANSACTIONS_Tab
RELATED PARTY TRANSACTIONS (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
RELATED PARTY TRANSACTIONS | ' | |||||||
Schedule of principal related parties with which the entity had transactions | ' | |||||||
Name of related parties | Relationship with the Group | |||||||
China Hydro LLC | A shareholder of the Company | |||||||
CPI Ballpark Investments Ltd. | A shareholder of the Company | |||||||
Kuhns Brothers, Inc. | A company owned by the former CEO, who resigned on September 30, 2012 | |||||||
China New Energy Group Company | A company controlled by the former CEO, who resigned on September 30, 2012 | |||||||
Lantian | Noncontrolling interest in Wuyue | |||||||
Nanping City Xingshui Co., Ltd. | Noncontrolling interest in Jinlong | |||||||
Xiamen Youen Hydropower Development Co., Ltd.(“Xiamen Youen”) | Noncontrolling interest in Jintang and Jinwei before June 23, 2013 | |||||||
Sanming Youxin Electric Power Industrial Co., Ltd. (“Sanming Youxin”) | Noncontrolling interest in Jintang and Jinwei after June 23, 2013 | |||||||
Schedule of expense paid on behalf by related parties | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Expense paid on behalf by related parties: | ||||||||
Kuhns Brothers, Inc. | 90 | — | — | |||||
90 | — | — | ||||||
Schedule of reimbursement of expenses | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Reimbursement of expenses: | ||||||||
CPI Ballpark Investments Ltd. | — | 269 | 20 | |||||
Schedule of loans to related parties | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Loans to related parties: | ||||||||
China New Energy Group Company | — | 86 | — | |||||
Schedule of loans from and prepayment to related parties | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Loans from related parties: | ||||||||
Lantian | — | — | 402 | |||||
Xiamen Youen | 1,263 | 572 | 212 | |||||
Sanming Youxin | — | — | 1,420 | |||||
Repayment of loans from related parties: | ||||||||
Xiamen Youen | — | 69 | — | |||||
Sanming Youxin | — | — | 5,585 | |||||
Schedule of related party balances | ' | |||||||
December 31, | ||||||||
2012 | 2013 | |||||||
US$ | US$ | |||||||
Amounts due from related parties: | ||||||||
China New Energy Group Company | 86 | — | ||||||
Lantian | 1,338 | 1,379 | ||||||
Less: Allowance for doubtful accounts | (1,338 | ) | (1,379 | ) | ||||
86 | — | |||||||
Amounts due to related parties: | ||||||||
CPI Ballpark Investments Ltd. | 2 | 1 | ||||||
Nanping City Xingshui Co., Ltd. | 1,494 | 1,540 | ||||||
Lantian | — | 408 | ||||||
Xiamen Youen | 11,209 | — | ||||||
Sanming Youxin | — | 7,542 | ||||||
12,705 | 9,491 | |||||||
CONCENTRATION_OF_RISKS_Tables
CONCENTRATION OF RISKS (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
CONCENTRATION OF RISKS | ' | |||||||||
Schedule of major customers and the portion of revenue from customers | ' | |||||||||
For the Years Ended December 31, | ||||||||||
Customers | Segment | 2011 | 2012 | 2013 | ||||||
Yunnan Nujiang Electric Power Co., Ltd. | Yunnan Province | 7 | % | 5 | % | 6 | % | |||
Yunnan Dehong Electric Power Co., Ltd. | Yunnan Province | 11 | % | 6 | % | 8 | % | |||
Yunnan Honghe Electric Power Co., Ltd. | Yunnan Province | 1 | % | 1 | % | 2 | % | |||
Yunnan Grid Company, Ltd. | Yunnan Province | 4 | % | 3 | % | 3 | % | |||
Sichuan Cangxi Electric Power Co., Ltd. | Sichuan Province | 1 | % | 1 | % | 1 | % | |||
Lishui Electric Power Bureau | Zhejiang Province | 43 | % | 46 | % | 49 | % | |||
Fujian Electric Power Co., Ltd. | Fujian Province | 16 | % | 20 | % | 19 | % | |||
Pingnan Power Supply Company | Fujian Province | 8 | % | 5 | % | — | ||||
Shaowu Electric Power Bureau | Fujian Province | 7 | % | 9 | % | 9 | % | |||
Nanping Electric Power Bureau | Fujian Province | 2 | % | 4 | % | 3 | % | |||
100 | % | 100 | % | 100 | % |
CONDENSED_FINANCIAL_INFORMATIO1
CONDENSED FINANCIAL INFORMATION OF THE COMPANY (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
CONDENSED FINANCIAL INFORMATION OF THE COMPANY | ' | |||||||
Schedule of condensed balance sheets | ' | |||||||
December 31, | ||||||||
2012 | 2013 | |||||||
US$ | US$ | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | 164 | 228 | ||||||
Amounts due from subsidiaries | 10,000 | 4,130 | ||||||
Prepayments and other current assets | 11,616 | 65 | ||||||
Total current assets | 21,780 | 4,423 | ||||||
Non-current assets: | ||||||||
Property, plant and equipment, net | 5 | 1 | ||||||
Investment in subsidiaries | 399,364 | 427,679 | ||||||
Other non-current assets | — | 19 | ||||||
Total non-current assets | 399,369 | 427,699 | ||||||
TOTAL ASSETS | 421,149 | 432,122 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current liabilities: | ||||||||
Amounts due to subsidiaries | 16,464 | 19,374 | ||||||
Accrued expense and other current liabilities | 4,424 | 2,549 | ||||||
Amounts due to related parties | 2 | 1 | ||||||
Deferred tax liabilities | — | 300 | ||||||
Warrant liabilities | 839 | — | ||||||
Total current liabilities | 21,729 | 22,224 | ||||||
Total liabilities | 21,729 | 22,224 | ||||||
Shareholders’ equity: | ||||||||
Ordinary shares (par value US$0.001 per share, 400,000,000 shares authorized as of December 31, 2012 and 2013; 161,989,097 and 162,099,665 shares issued and outstanding as of December 31, 2012 and 2013) | 162 | 162 | ||||||
Additional paid-in capital | 517,133 | 517,370 | ||||||
Accumulated other comprehensive income | 41,597 | 54,059 | ||||||
Accumulated deficit | (159,472 | ) | (161,693 | ) | ||||
Total shareholders’ equity | 399,420 | 409,898 | ||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | 421,149 | 432,122 | ||||||
Schedule of condensed statements of comprehensive income | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Revenues | — | — | — | |||||
Cost of revenues | — | — | (7 | ) | ||||
Gross profit | — | — | (7 | ) | ||||
Operating expenses: | ||||||||
General and administrative expenses | (18,247 | ) | (7,324 | ) | (3,929 | ) | ||
Total operating expenses | (18,247 | ) | (7,324 | ) | (3,936 | ) | ||
Operating loss | (18,247 | ) | (7,324 | ) | (3,936 | ) | ||
Equity in (losses) profits of subsidiaries | (27,395 | ) | 3,662 | 1,022 | ||||
Interest income | 66 | 3 | — | |||||
Interest expense | (23 | ) | (142 | ) | (4 | ) | ||
Changes in fair value of warrant liabilities | 951 | (399 | ) | 839 | ||||
Exchange (loss) gain | (580 | ) | 30 | 6 | ||||
Gain from disposal of subsidiaries | — | 3,726 | — | |||||
Other income, net | 375 | 293 | 152 | |||||
Loss before income tax expense | (44,853 | ) | (151 | ) | (1,921 | ) | ||
Income tax expense | (536 | ) | (1,092 | ) | (300 | ) | ||
Net loss | (45,389 | ) | (1,243 | ) | (2,221 | ) | ||
Other comprehensive income (loss), net of income tax expense | ||||||||
Foreign currency translation adjustments | 20,079 | (1,404 | ) | 12,462 | ||||
Defined benefit pension plans | (33 | ) | 33 | — | ||||
Other comprehensive income (loss) | 20,046 | (1,371 | ) | 12,462 | ||||
Comprehensive (loss) income | (25,343 | ) | (2,614 | ) | 10,241 | |||
Schedule of condensed statements of cash flows | ' | |||||||
For the Years Ended December 31, | ||||||||
2011 | 2012 | 2013 | ||||||
US$ | US$ | US$ | ||||||
Cash flows used in operating activities | (8,740 | ) | (3,651 | ) | (2,433 | ) | ||
Cash flows (used in) provided by investing activities | (6,500 | ) | 931 | 2,471 | ||||
Cash flows provided by financing activities | 10,036 | — | 26 | |||||
Net (decrease) increasein cash and cash equivalents | (5,204 | ) | (2,720 | ) | 64 | |||
Cash and cash equivalents at the beginning oftheyear | 8,088 | 2,884 | 164 | |||||
Cash and cash equivalents at the end oftheyear | 2,884 | 164 | 228 | |||||
ORGANIZATION_AND_PRINCIPAL_ACT2
ORGANIZATION AND PRINCIPAL ACTIVITIES (Details) (USD $) | 12 Months Ended | 12 Months Ended | 0 Months Ended | ||||||||||||||||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Jan. 25, 2010 | Jan. 25, 2010 | Jan. 25, 2010 |
item | ABC | Binglangjiang | Liyuan | Yingchuan | Wuliting | Jiulongshan | CHC HK | Wangkeng | Banzhu | Sunpower | Shapulong | Ruiyang | Zhougongyuan | Fujian Huabang | Wuyue | Husahe | Hengda | Xineng | Xiaopengzu | Jinling | Dazhaihe | Units | Units | Units | |||
ADS | Warrant | ||||||||||||||||||||||||||
Organization and principal activities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of units | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,000,000 | ' | ' |
Number of ADS consisted in each unit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' |
Number of warrants consisted in each unit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 |
Unit price (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $16 | $14.80 | $1.20 |
Number of ordinary shares represented by each ADS | 3 | 3 | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' |
Number of ordinary shares that can be purchased by warrant holder | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 |
Exercise price of warrants (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $15 |
Aggregate gross proceeds yielded from IPO (in dollars) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $96,000 | ' | ' |
Number of hydroelectric entities acquired | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of ownership | ' | ' | ' | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 79.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | ' | ' | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Basis of presentation | ' |
Working capital deficiency | $66,547 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2) (Recurring basis, USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | Quoted price in active market for identical assets (Level 1) | Significant unobservable inputs (Level 3) | Money market funds in cash equivalent | Warrant liabilities | |
Quoted price in active market for identical assets (Level 1) | Significant unobservable inputs (Level 3) | ||||
Fair value measurement | ' | ' | ' | ' | ' |
Assets | $0 | $8 | ' | $8 | ' |
Liabilities | $0 | ' | $839 | ' | $839 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 3) (USD $) | 12 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2011 |
Changes in fair value of warrant liabilities | Changes in fair value of warrant liabilities | Warrant liabilities | Warrant liabilities | |||
Reconciliation of warrant liabilities measured at fair value on a recurring basis using significant unobservable inputs | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | ' | ' | ' | ' | $839 | $440 |
Realized or unrealized gain (losses) | ' | ' | -839 | 399 | ' | ' |
Balance at the end of the period | ' | ' | ' | ' | 839 | 440 |
Cash and cash equivalents | ' | ' | ' | ' | ' | ' |
Restricted cash and cash equivalents | 0 | ' | ' | ' | ' | ' |
Restricted cash | ' | ' | ' | ' | ' | ' |
Restriction on cash collateral amount | ' | $5,171 | ' | ' | ' | ' |
Maximum maturity term of Notes receivable | '6 months | ' | ' | ' | ' | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 4) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Fair value measurement | ' | ' | ' |
Proceeds from insurance claims | $549 | ' | ' |
Impairment charge of property, plant and equipment | 3,549 | 0 | 11,590 |
Nonrecurring basis | Property, plant and equipment | Carrying amount | ' | ' | ' |
Fair value measurement | ' | ' | ' |
Assets | 4,098 | ' | ' |
Nonrecurring basis | Property, plant and equipment | Total loss | ' | ' | ' |
Fair value measurement | ' | ' | ' |
Assets | -4,098 | ' | ' |
Nonrecurring basis | Property, plant and equipment | Liyuan | Carrying amount | ' | ' | ' |
Fair value measurement | ' | ' | ' |
Assets | 4,098 | ' | ' |
Nonrecurring basis | Property, plant and equipment | Liyuan | Fair value | ' | ' | ' |
Fair value measurement | ' | ' | ' |
Assets | $0 | ' | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 5) | 12 Months Ended |
Dec. 31, 2013 | |
Dams and reservoirs | Minimum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '30 years |
Dams and reservoirs | Maximum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '49 years |
Buildings | Minimum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '8 years |
Buildings | Maximum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '50 years |
Machinery | Minimum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '1 year |
Machinery | Maximum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '30 years |
Transportation equipment | Minimum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '1 year |
Transportation equipment | Maximum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '11 years |
Electronic equipment and others | Minimum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '1 year |
Electronic equipment and others | Maximum | ' |
Property, plant and equipment | ' |
Estimated useful lives | '15 years |
SUMMARY_OF_SIGNIFICANT_ACCOUNT8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 6) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Goodwill and intangible assets | ' | ' | ' |
Goodwill impairment loss | $0 | $0 | $11,388 |
Development right | Binglangjiang | ' | ' | ' |
Goodwill and intangible assets | ' | ' | ' |
Estimated useful lives for the intangible assets | '30 years | ' | ' |
Dam use right | Jinling | ' | ' | ' |
Goodwill and intangible assets | ' | ' | ' |
Estimated useful lives for the intangible assets | '40 years | ' | ' |
Software | ' | ' | ' |
Goodwill and intangible assets | ' | ' | ' |
Estimated useful lives for the intangible assets | '5 years | ' | ' |
Land use rights | PRC | ' | ' | ' |
Goodwill and intangible assets | ' | ' | ' |
Agreement term of land use rights | '50 years | ' | ' |
Land use rights | PRC | Minimum | ' | ' | ' |
Goodwill and intangible assets | ' | ' | ' |
Estimated useful lives for the intangible assets | '41 years | ' | ' |
Land use rights | PRC | Maximum | ' | ' | ' |
Goodwill and intangible assets | ' | ' | ' |
Estimated useful lives for the intangible assets | '50 years | ' | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT9
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 7) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
item | |||
Impairment of long-lived assets | ' | ' | ' |
Impairment loss on long-lived assets | $3,549 | $0 | $11,590 |
Revenue recognition | ' | ' | ' |
Customer deposits recognized as revenue | 0 | 0 | ' |
VAT on revenue earned | 6,047 | 7,387 | 4,583 |
Leases | ' | ' | ' |
Capital leases | $0 | $0 | $0 |
Segment reporting | ' | ' | ' |
Number of operating segments | 4 | ' | ' |
Number of reportable segments | 4 | ' | ' |
Number of geographic segments | 0 | ' | ' |
PRC | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | ' | ' |
Applicable rate of VAT for large hydroelectric power projects with a total installed capacity of over 50 megawatts (as a percent) | 17.00% | ' | ' |
Total installed capacity threshold of hydroelectric power projects for determination of value added tax rate (in megawatts) | 50 | ' | ' |
PRC | Binglangjiang | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Liyuan | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Yingchuan | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Wuliting | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Jiulongshan | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Zhougongyuan | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Shapulong | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Ruiyang | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Husahe | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Hengda | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Xineng | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Xiaopengzu | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Jinling | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Jinlong | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Jintang | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Jinwei | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Dazhaihe | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for small hydroelectric power projects with a total installed capacity of 50 megawatts or less (as a percent) | 6.00% | 6.00% | 6.00% |
PRC | Banzhu | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for large hydroelectric power projects with a total installed capacity of over 50 megawatts (as a percent) | 17.00% | 17.00% | 17.00% |
PRC | Wangkeng | ' | ' | ' |
Revenue recognition | ' | ' | ' |
Applicable rate of VAT for large hydroelectric power projects with a total installed capacity of over 50 megawatts (as a percent) | 17.00% | 17.00% | 17.00% |
ACQUISITIONS_Details
ACQUISITIONS (Details) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Apr. 10, 2011 | Apr. 10, 2011 | Apr. 10, 2011 | Nov. 06, 2010 |
In Thousands, unless otherwise specified | USD ($) | USD ($) | USD ($) | Yunnan Province | Yunnan Province | Yunnan Province | Dazhaihe | Dazhaihe | Dazhaihe | Dazhaihe | Dazhaihe | Dazhaihe |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Yunnan Province | Xiaopengzu | Xiaopengzu | Xiaopengzu | ||||
USD ($) | USD ($) | CNY | item | |||||||||
ACQUISITIONS | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership interest (as a percent) | ' | ' | ' | ' | ' | ' | 100.00% | 100.00% | ' | ' | ' | ' |
Number of shareholders entered into an equity transfer purchase agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7 |
Estimated fair value of the assets acquired and liabilities assumed at the date of acquisition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash purchase price | ' | ' | ' | ' | ' | ' | ' | ' | ' | $9,019 | ' | ' |
Total purchase consideration | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,019 | 59,000 | ' |
Cash | ' | ' | ' | ' | ' | ' | ' | ' | ' | 59 | ' | ' |
Property, plant and equipment, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11,540 | ' | ' |
Other assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | 555 | ' | ' |
Goodwill | 115,960 | 112,481 | 135,651 | 22,265 | 21,597 | 21,544 | ' | ' | 6,646 | 6,646 | ' | ' |
Total assets acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | 18,800 | ' | ' |
Other liabilities | ' | ' | ' | ' | ' | ' | ' | ' | ' | -9,303 | ' | ' |
Deferred tax liabilities - non-current | ' | ' | ' | ' | ' | ' | ' | ' | ' | -478 | ' | ' |
Total liabilities assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | -9,781 | ' | ' |
Net assets acquired | ' | ' | 1,825 | ' | ' | ' | ' | ' | ' | 9,019 | ' | ' |
Goodwill expected to be deductible for tax purposes | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' |
Acquisition-related costs | ' | ' | ' | ' | ' | ' | ' | 28 | ' | ' | ' | ' |
Revenue | ' | ' | ' | ' | ' | ' | 831 | ' | ' | ' | ' | ' |
Net profit/(loss) | ' | ' | ' | ' | ' | ' | ($717) | ' | ' | ' | ' | ' |
ACQUISITIONS_Details_2
ACQUISITIONS (Details 2) | 12 Months Ended | 0 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Jan. 14, 2011 | Jan. 14, 2011 | Dec. 31, 2011 |
USD ($) | USD ($) | USD ($) | Wangkeng | Wangkeng | Wangkeng | Wangkeng | |
USD ($) | Fujian Huabang | Fujian Huabang | Fujian Huabang | ||||
USD ($) | CNY | ||||||
ACQUISITIONS | ' | ' | ' | ' | ' | ' | ' |
Ownership interest (as a percent) | ' | ' | ' | ' | 10.00% | 10.00% | 10.00% |
Purchase consideration | ' | ' | ' | ' | $5,939 | 38,967 | ' |
Carrying amount of noncontrolling interest before changes in the entity's ownership interest | ' | ' | ' | ' | 1,032 | 6,777 | ' |
Effects of changes in the entity's ownership interest | ' | ' | ' | ' | ' | ' | ' |
Net income (loss) attributable to the entity | -2,221 | -1,243 | -45,389 | -45,389 | ' | ' | ' |
Decrease in the company's paid-in capital for purchase of 10% of equity interest in Wangkeng | ' | ' | ' | -4,907 | ' | ' | ' |
Net transfers to noncontrolling interest | ' | ' | ' | -4,907 | ' | ' | ' |
Change from net income (loss) attributable to the entity and transfers to noncontrolling interest | ' | ' | ' | ($50,296) | ' | ' | ' |
ACCOUNTS_RECEIVABLE_Details
ACCOUNTS RECEIVABLE (Details) | 12 Months Ended |
Dec. 31, 2013 | |
ACCOUNTS RECEIVABLE | ' |
Maximum credit term of accounts receivable | '60 days |
PREPAYMENTS_AND_OTHER_CURRENT_2
PREPAYMENTS AND OTHER CURRENT ASSETS (Details) | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 18, 2012 | Oct. 18, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | USD ($) | USD ($) | Yuheng | Yuheng | Jinling and its subsidiaries | Jinling and its subsidiaries | Wangkeng and Hengda | Wangkeng and Hengda | Wangkeng | Wangkeng | Hengda | Hengda | Banzhu | Banzhu | Wuliting, Zhougongyuan, Ruiyang, Jiulongshan, Jintang and Jinwei | Wuliting, Zhougongyuan, Ruiyang, Jiulongshan, Jintang and Jinwei | Liyuan and Dazhaihe | Liyuan and Dazhaihe |
USD ($) | CNY | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||
PREPAYMENTS AND OTHER CURRENT ASSETS | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Advances for construction projects | $109 | $78 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acquisition deposits | 738 | 716 | ' | ' | ' | ' | ' | ' | 492 | 477 | 246 | 239 | ' | ' | ' | ' | ' | ' |
Amounts due from original shareholders of acquired subsidiaries | 1,350 | 1,297 | ' | ' | 819 | 794 | ' | ' | ' | ' | ' | ' | 531 | 503 | ' | ' | ' | ' |
Consideration receivable from disposal of a subsidiary | ' | 11,534 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Prepaid insurance | 509 | 360 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Rental deposit | 258 | 182 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Prepaid finance consulting fee | 844 | 570 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 665 | 451 | 179 | 119 |
Others | 1,026 | 973 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Prepayments and other current assets, gross | 4,834 | 15,710 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Less: Provision for impairment allowance | -1,608 | -1,560 | ' | ' | -819 | -794 | -738 | -716 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | 3,226 | 14,150 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
PREPAYMENTS AND OTHER CURRENT ASSETS | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acquisition deposits | 738 | 716 | ' | ' | ' | ' | ' | ' | 492 | 477 | 246 | 239 | ' | ' | ' | ' | ' | ' |
Amounts due from original shareholders of acquired subsidiaries | 1,350 | 1,297 | ' | ' | 819 | 794 | ' | ' | ' | ' | ' | ' | 531 | 503 | ' | ' | ' | ' |
Prepaid finance consulting fee | 844 | 570 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 665 | 451 | 179 | 119 |
Provision for impairment allowance (in dollars) | 1,608 | 1,560 | ' | ' | 819 | 794 | 738 | 716 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership interest percentage held in discontinued operations | ' | ' | 100.00% | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total consideration in cash | ' | ' | $21,269 | 134,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
DISCONTINUED_OPERATIONS_Detail
DISCONTINUED OPERATIONS (Details) | 12 Months Ended | 12 Months Ended | |||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2012 | Mar. 02, 2012 | Dec. 03, 2011 | Dec. 03, 2011 | Dec. 03, 2011 | Dec. 31, 2012 | Oct. 31, 2012 | Oct. 18, 2012 | Oct. 18, 2012 | Oct. 18, 2012 |
USD ($) | USD ($) | USD ($) | Yuanping | Yuanping | Yuanping | Yuanping | Yuanping | Yuheng | Yuheng | Yuheng | Yuheng | Yuheng | |
USD ($) | USD ($) | USD ($) | CNY | PRC | USD ($) | USD ($) | USD ($) | CNY | PRC | ||||
item | item | ||||||||||||
Discontinued operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership interest percentage held in discontinued operations | ' | ' | ' | ' | ' | 100.00% | 100.00% | ' | ' | ' | 100.00% | 100.00% | ' |
Total consideration in cash | ' | ' | ' | ' | ' | $11,276 | 71,050 | ' | ' | ' | $21,269 | 134,000 | ' |
Number of businesses operated | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | 1 |
Right to use water generated by dam assigned (as a percent) | ' | ' | ' | ' | ' | 36.48% | 36.48% | ' | ' | ' | ' | ' | ' |
Assets: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | ' | ' | ' | ' | 56 | ' | ' | ' | ' | 472 | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' | ' | 17,304 | ' | ' | ' | ' | 18,509 | ' | ' | ' |
Goodwill | ' | ' | ' | ' | 3,219 | ' | ' | ' | ' | 23,448 | ' | ' | ' |
Intangible assets, net | ' | ' | ' | ' | 617 | ' | ' | ' | ' | 1,916 | ' | ' | ' |
Deferred tax assets | ' | ' | ' | ' | 259 | ' | ' | ' | ' | 174 | ' | ' | ' |
Prepayments and other current assets | ' | ' | ' | ' | 328 | ' | ' | ' | ' | 241 | ' | ' | ' |
Total | ' | ' | ' | ' | 21,783 | ' | ' | ' | ' | 44,760 | ' | ' | ' |
Liabilities: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current portion of long-term loans | ' | ' | ' | ' | 477 | ' | ' | ' | ' | 14,920 | ' | ' | ' |
Accrued expenses and other current liabilities | ' | ' | ' | ' | 163 | ' | ' | ' | ' | 2,256 | ' | ' | ' |
Long-term loans | ' | ' | ' | ' | 10,489 | ' | ' | ' | ' | 7,301 | ' | ' | ' |
Deferred tax liabilities | ' | ' | ' | ' | 827 | ' | ' | ' | ' | 2,046 | ' | ' | ' |
Other non-current liabilities | ' | ' | ' | ' | ' | ' | ' | ' | ' | 33 | ' | ' | ' |
Total | ' | ' | ' | ' | 11,956 | ' | ' | ' | ' | 26,556 | ' | ' | ' |
Results of discontinued operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues | ' | 4,661 | 4,737 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cost of revenues | ' | -1,131 | -2,098 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
General and administrative expenses | ' | -176 | -226 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest income | ' | 2 | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest expense | ' | -1,634 | -2,580 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other (loss) income, net | ' | 3,543 | -16 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income tax expense | ' | -1,358 | -101 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net (loss) income from discontinued operations | ' | 3,907 | -282 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain on disposal from disposition | ' | 2,767 | ' | 1,819 | ' | ' | ' | ' | 1,907 | ' | ' | ' | ' |
Tax effects of gain on disposal from disposition | $0 | $959 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
PROPERTY_PLANT_AND_EQUIPMENT_N2
PROPERTY, PLANT AND EQUIPMENT, NET (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Property, plant and equipment, net | ' | ' | ' |
Property, plant and equipment, gross, excluding construction in progress | $638,510 | $623,223 | ' |
Less: Accumulated depreciation | -98,513 | -74,852 | ' |
Property, plant and equipment, net excluding construction in progress | 539,997 | 548,371 | ' |
Total | 540,242 | 548,511 | ' |
Dams and reservoirs | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Property, plant and equipment, gross, excluding construction in progress | 348,905 | 339,123 | ' |
Buildings | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Property, plant and equipment, gross, excluding construction in progress | 127,356 | 124,154 | ' |
Machinery | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Property, plant and equipment, gross, excluding construction in progress | 158,527 | 153,837 | ' |
Transportation equipment | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Property, plant and equipment, gross, excluding construction in progress | 1,925 | 1,865 | ' |
Electronic equipment and others | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Property, plant and equipment, gross, excluding construction in progress | 1,797 | 4,244 | ' |
Construction in progress, net | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Construction in progress, net | $245 | $140 | $1,190 |
PROPERTY_PLANT_AND_EQUIPMENT_N3
PROPERTY, PLANT AND EQUIPMENT, NET (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Impairment of construction in progress | $3,549 | $0 | $11,590 |
Recognition of impairment loss of long-lived assets | 4,098 | ' | ' |
Amount of insurance recovery recognized upon the receipt of insurance proceeds | 549 | ' | ' |
Interest costs from continuing operations qualifying for capitalization | 0 | 0 | 10 |
Liyuan | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Long-lived assets and recognition of impairment loss | 4,098 | ' | ' |
Construction in progress, net | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Balance at the beginning of the period | 140 | 1,190 | ' |
Addition to construction in progress | 523 | 5,523 | ' |
Transfer from property, plant and equipment | ' | 623 | ' |
Transfer to property, plant and equipment | -300 | -7,198 | ' |
Impairment of construction in progress | -134 | ' | ' |
Foreign currency translation adjustment | 16 | 2 | ' |
Balance at the end of the period | 245 | 140 | ' |
Construction in progress, net | Jiulongshan | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Balance at the end of the period | 13 | 13 | 13 |
Construction in progress, net | Liyuan | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Balance at the beginning of the period | 94 | 1,158 | ' |
Addition to construction in progress | 29 | 1,350 | ' |
Transfer to property, plant and equipment | ' | -2,416 | ' |
Impairment of construction in progress | -134 | ' | ' |
Foreign currency translation adjustment | 11 | 2 | ' |
Balance at the end of the period | ' | 94 | ' |
Construction in progress, net | Binglangjiang | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Balance at the beginning of the period | ' | 1 | ' |
Transfer to property, plant and equipment | ' | -1 | ' |
Construction in progress, net | Banzhu | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Addition to construction in progress | 411 | ' | ' |
Transfer to property, plant and equipment | -300 | ' | ' |
Foreign currency translation adjustment | 2 | ' | ' |
Balance at the end of the period | 113 | ' | ' |
Construction in progress, net | Wangkeng | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Addition to construction in progress | 83 | ' | ' |
Foreign currency translation adjustment | 1 | ' | ' |
Balance at the end of the period | 84 | ' | ' |
Construction in progress, net | Wuliting | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Addition to construction in progress | ' | 1,316 | ' |
Transfer to property, plant and equipment | ' | -1,316 | ' |
Construction in progress, net | Yingchuan | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Balance at the end of the period | 9 | 9 | 9 |
Construction in progress, net | Xineng | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Addition to construction in progress | ' | 278 | ' |
Transfer from property, plant and equipment | ' | 610 | ' |
Transfer to property, plant and equipment | ' | -888 | ' |
Construction in progress, net | Hengda | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Addition to construction in progress | ' | 11 | ' |
Transfer to property, plant and equipment | ' | -11 | ' |
Construction in progress, net | Ruiyang | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Balance at the beginning of the period | 24 | 9 | ' |
Addition to construction in progress | ' | 1,091 | ' |
Transfer to property, plant and equipment | ' | -1,076 | ' |
Foreign currency translation adjustment | 2 | ' | ' |
Balance at the end of the period | 26 | 24 | ' |
Construction in progress, net | Zhougongyuan | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Addition to construction in progress | ' | 1,429 | ' |
Transfer to property, plant and equipment | ' | -1,429 | ' |
Construction in progress, net | Dazhaihe | ' | ' | ' |
Changes in construction in progress, net of impairment charge | ' | ' | ' |
Addition to construction in progress | ' | 48 | ' |
Transfer from property, plant and equipment | ' | 13 | ' |
Transfer to property, plant and equipment | ' | ($61) | ' |
PROPERTY_PLANT_AND_EQUIPMENT_N4
PROPERTY, PLANT AND EQUIPMENT, NET (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
PROPERTY, PLANT AND EQUIPMENT, NET | ' | ' | ' |
Foreign currency translation adjustment included in accumulated depreciation | $2,640 | $157 | ' |
Property, plant and equipment, net | ' | ' | ' |
Depreciation expenses | -22,182 | -22,407 | -21,984 |
Continuing operations | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Depreciation expenses | -22,182 | -21,747 | -20,763 |
Cost of revenues | Continuing operations | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Depreciation expenses | -21,841 | -21,402 | -20,466 |
General and administrative expenses | Continuing operations | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Depreciation expenses | ($341) | ($345) | ($297) |
INTANGIBLE_ASSETS_Details
INTANGIBLE ASSETS (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Intangible assets | ' | ' | ' |
Amortization expenses | ($178) | ($199) | ($213) |
Continuing operations | Cost of revenues | ' | ' | ' |
Intangible assets | ' | ' | ' |
Amortization expenses | -168 | -45 | -45 |
Continuing operations | General and administrative expenses | ' | ' | ' |
Intangible assets | ' | ' | ' |
Amortization expenses | -10 | -120 | -116 |
Intangible assets, excluding land use rights | ' | ' | ' |
Intangible assets | ' | ' | ' |
Gross Carrying Value | 4,758 | 4,668 | ' |
Accumulated Amortization | -897 | -719 | ' |
Foreign Currency Translation Adjustment | 853 | 711 | ' |
Total | 4,714 | 4,660 | ' |
Intangible assets, excluding land use rights | Continuing operations | ' | ' | ' |
Intangible assets | ' | ' | ' |
Amortization expenses | -178 | -165 | -161 |
Software | ' | ' | ' |
Intangible assets | ' | ' | ' |
Estimated useful life | '5 years | ' | ' |
Gross Carrying Value | 90 | ' | ' |
Accumulated Amortization | -11 | ' | ' |
Foreign Currency Translation Adjustment | 1 | ' | ' |
Total | 80 | ' | ' |
Binglangjiang | Development right | ' | ' | ' |
Intangible assets | ' | ' | ' |
Estimated useful life | '30 years | ' | ' |
Gross Carrying Value | 2,909 | 2,909 | ' |
Accumulated Amortization | -749 | -629 | ' |
Foreign Currency Translation Adjustment | 706 | 619 | ' |
Total | 2,866 | 2,899 | ' |
Dongguan hydropower project of Jinling | Dam use right | ' | ' | ' |
Intangible assets | ' | ' | ' |
Estimated useful life | '40 years | ' | ' |
Gross Carrying Value | 1,759 | 1,759 | ' |
Accumulated Amortization | -137 | -90 | ' |
Foreign Currency Translation Adjustment | 146 | 92 | ' |
Total | $1,768 | $1,761 | ' |
INTANGIBLE_ASSETS_Details_2
INTANGIBLE ASSETS (Details 2) (Intangible assets, excluding land use rights, USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Intangible assets, excluding land use rights | ' |
Estimated annual amortization expenses | ' |
2014 | $185 |
2015 | 185 |
2016 | 185 |
2017 | 185 |
2018 | $177 |
GOODWILL_Details
GOODWILL (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
item | |||
GOODWILL. | ' | ' | ' |
Goodwill | $115,960 | $112,481 | $135,651 |
Changes in the carrying amount of goodwill by operating and reportable segments | ' | ' | ' |
Balance at the beginning of the period | 112,481 | 135,651 | ' |
Foreign currency translation adjustment | 3,479 | 278 | ' |
Disposal of subsidiaries | ' | -23,448 | ' |
Balance at the end of the period | 115,960 | 112,481 | 135,651 |
Impairment on goodwill | 0 | 0 | 11,388 |
Number of subsidiaries disposed | ' | 2 | ' |
Amount of goodwill derecognized on disposal date | ' | 23,448 | ' |
Yuheng | ' | ' | ' |
Changes in the carrying amount of goodwill by operating and reportable segments | ' | ' | ' |
Disposal of subsidiaries | ' | -23,448 | ' |
Amount of goodwill derecognized on disposal date | ' | 23,448 | ' |
Yuanping | ' | ' | ' |
Changes in the carrying amount of goodwill by operating and reportable segments | ' | ' | ' |
Disposal of subsidiaries | ' | -3,219 | ' |
Amount of goodwill derecognized on disposal date | ' | 3,219 | ' |
Yunnan Province | ' | ' | ' |
GOODWILL. | ' | ' | ' |
Goodwill | 22,265 | 21,597 | ' |
Changes in the carrying amount of goodwill by operating and reportable segments | ' | ' | ' |
Balance at the beginning of the period | 21,597 | 21,544 | ' |
Foreign currency translation adjustment | 668 | 53 | ' |
Balance at the end of the period | 22,265 | 21,597 | ' |
Fujian Province | ' | ' | ' |
GOODWILL. | ' | ' | ' |
Goodwill | 48,898 | 47,431 | ' |
Changes in the carrying amount of goodwill by operating and reportable segments | ' | ' | ' |
Balance at the beginning of the period | 47,431 | 70,760 | ' |
Foreign currency translation adjustment | 1,467 | 119 | ' |
Disposal of subsidiaries | ' | -23,448 | ' |
Balance at the end of the period | 48,898 | 47,431 | ' |
Amount of goodwill derecognized on disposal date | ' | 23,448 | ' |
Zhejiang Province | ' | ' | ' |
GOODWILL. | ' | ' | ' |
Goodwill | 44,797 | 43,453 | ' |
Changes in the carrying amount of goodwill by operating and reportable segments | ' | ' | ' |
Balance at the beginning of the period | 43,453 | 43,347 | ' |
Foreign currency translation adjustment | 1,344 | 106 | ' |
Balance at the end of the period | $44,797 | $43,453 | ' |
LAND_USE_RIGHTS_Details
LAND USE RIGHTS (Details) (Land use rights, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Land use rights | ' | ' |
Land use rights | ' | ' |
Land use right | $47,521 | $47,521 |
Less: Accumulated amortization | -5,778 | -4,614 |
Foreign currency translation adjustment | 7,219 | 5,733 |
Total | 48,962 | 48,640 |
Estimated annual amortization expenses | ' | ' |
2014 | 1,192 | ' |
2015 | 1,192 | ' |
2016 | 1,192 | ' |
2017 | 1,192 | ' |
2018 | $1,192 | ' |
OTHER_NONCURRENT_ASSETS_Detail
OTHER NON-CURRENT ASSETS (Details) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Aug. 31, 2012 | Aug. 31, 2012 | Aug. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 |
Liyuan | Liyuan | Liyuan | Dazhaihe | Dazhaihe | Dazhaihe | Dazhaihe | Dazhaihe | |||
Minimum | Maximum | Minimum | Maximum | |||||||
OTHER NON-CURRENT ASSETS | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term prepaid debt insurance cost | $311 | $315 | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term prepaid rental expenses | 3 | 118 | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term prepaid compensation cost | 230 | 337 | ' | ' | ' | ' | ' | ' | ' | ' |
Deposits for financing arrangement | 1,358 | 859 | ' | ' | ' | ' | ' | ' | ' | ' |
Unamortized service fees | 299 | 187 | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term prepaid guarantee fee | 19 | 197 | ' | ' | ' | ' | ' | ' | ' | ' |
Total | 2,220 | 2,013 | ' | ' | ' | ' | ' | ' | ' | ' |
Other Non-Current Assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consideration for sale of certain power generating assets | ' | ' | 7,151 | ' | ' | 3,876 | ' | ' | ' | ' |
Term of sale and leaseback | ' | ' | '3 years | ' | ' | '5 years | ' | ' | ' | ' |
Monthly lease payment | ' | ' | 219 | ' | ' | ' | ' | ' | ' | ' |
Implicit interest rate on the lease payments (as a percent) | ' | ' | 6.50% | ' | ' | 6.72% | ' | ' | ' | ' |
Basis spread on variable rate (as a percent) | ' | ' | 0.35% | ' | ' | 0.32% | 0.32% | ' | ' | ' |
Variable rate basis | ' | ' | 'Benchmark interest rate announced by the People's Bank of China | ' | ' | 'Benchmark interest rate announced by the People's Bank of China | ' | ' | ' | ' |
Term of loan for basis spread on variable rate | ' | ' | ' | '1 year | '3 years | ' | ' | ' | '3 years | '5 years |
Quarterly lease payment | ' | ' | ' | ' | ' | 230 | ' | ' | ' | ' |
Refundable deposit amount paid to IEL | 465 | 858 | ' | ' | ' | ' | 465 | 858 | ' | ' |
Nonrefundable service fee paid | $281 | $354 | ' | ' | ' | ' | $281 | $354 | ' | ' |
ACCRUED_EXPENSES_AND_OTHER_CUR2
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Accrued payroll expenses | $2,591 | $3,445 |
Retainage due to contractors | 100 | 199 |
Employee termination costs | 875 | 1,750 |
Guarantee deposits from original shareholders of acquired subsidiaries | 1,394 | 1,358 |
Income tax payable | 2,922 | 5,406 |
Other taxes payable | 2,877 | 2,326 |
Amounts due to original shareholders of acquired subsidiaries | 1,331 | 1,345 |
Accrued water resource fee | 1,219 | 1,496 |
Loans from third parties | 4,330 | 13,627 |
Interest payable | 575 | 1,260 |
Accrued dam and reservoirs repair fee | 851 | 1,424 |
Reservoir maintenance fund | 2,338 | 1,905 |
Advance from customers | 23 | 1,014 |
Deposits from third parties | ' | 716 |
Accrued audit fee | 543 | 650 |
Accrued settlement costs for legal proceedings | 579 | ' |
Land compensation costs | 624 | 959 |
Service fee payable | 1,347 | 1,036 |
Other liabilities | 3,553 | 3,909 |
Total | $28,072 | $43,825 |
ACCRUED_EXPENSES_AND_OTHER_CUR3
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details 2) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Aggregate termination benefits payable | $875 | $1,750 |
Guarantee deposits from original shareholders of acquired subsidiaries | 1,394 | 1,358 |
Loans from third parties | 4,330 | 13,627 |
John Kuhns | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Aggregate termination benefits payable | 1,250 | ' |
Period over which the company shall pay aggregate termination benefits | '24 months | ' |
Mary Fellows | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Aggregate termination benefits payable | 500 | ' |
Period over which the company shall pay aggregate termination benefits | '24 months | ' |
Yingchuan | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Guarantee deposits from original shareholders of acquired subsidiaries | 90 | 87 |
Jinling | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Guarantee deposits from original shareholders of acquired subsidiaries | 1,304 | 1,271 |
Loans from third parties | ' | 9,139 |
Jinling | 24% loan from non-financial institutions | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Loans from third parties | ' | 32 |
Annual interest rate on short-term loans (as a percent) | ' | 24.00% |
Jinling | 18% loan from non-financial institutions | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Loans from third parties | ' | 2,743 |
Annual interest rate on short-term loans (as a percent) | ' | 18.00% |
Jinling | 32% loan from non-financial institutions | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Loans from third parties | ' | 6,364 |
Annual interest rate on short-term loans (as a percent) | ' | 32.00% |
Jinlong | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Loans from third parties | 4,330 | 4,121 |
Annual interest rate on short-term loans (as a percent) | 18.00% | ' |
Hengda | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Loans from third parties | ' | 240 |
Binglangjiang | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Loans from third parties | ' | 127 |
Dazhaihe, Hengda, Xineng and Banzhu | ' | ' |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ' |
Amounts due to original shareholders of Dazhaihe, Hengda, Xineng and Banzhu for their entitlement to net working capital surplus | ' | 1,271 |
Amounts due to original shareholders of acquired subsidiaries for borrowings before acquisition date | $1,313 | ' |
INCOME_TAX_EXPENSE_Details
INCOME TAX EXPENSE (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income tax expenses | ' | ' | ' |
Income tax rate (as a percent) | 25.00% | 25.00% | 25.00% |
Income (loss) before income tax expense | $956 | $1,395 | ($53,481) |
Components of income tax expenses | ' | ' | ' |
Current income tax expenses | 3,956 | 7,013 | 2,113 |
Deferred income tax benefit | -482 | -562 | -586 |
Income tax expenses | 3,474 | 6,451 | 1,527 |
Reconciliation of the effective income tax provisions to the amount computed by applying the statutory tax rate to (loss) income before income taxes | ' | ' | ' |
Taxation at PRC statutory tax rate of 25% | 239 | 349 | -13,370 |
Effect of non-PRC entities not subject to income tax | 856 | 2,161 | 4,564 |
Effect of tax holiday | -8 | -466 | ' |
Effect of preferential tax rate | -119 | -14 | -248 |
Current and deferred tax rate differential | 762 | 1,167 | 1,015 |
Deemed interest income | 46 | 276 | 1,010 |
Non-deductible expenses | 1,447 | 3,041 | 4,337 |
Change in valuation allowance | 1,041 | 575 | 3,818 |
Impact of changes in enacted tax rates | ' | ' | -325 |
Prior year tax audit adjustment | ' | ' | 190 |
PRC withholding tax on the outside basis difference of the discontinued operations | ' | ' | 136 |
Provision for (reversal of) PRC dividend withholding tax | 300 | -296 | 400 |
Effect of changes in the tax basis of property, plant and equipment | -391 | -225 | ' |
Reduction to unrecognized tax benefits due to lapse of statute of limitations | -699 | -117 | ' |
Income tax expenses | 3,474 | 6,451 | 1,527 |
Effective Tax Rate (as a percent) | 363.39% | 462.44% | -2.86% |
Effect of tax holidays on basic and diluted loss per share | ' | ' | ' |
Aggregate amount | 8 | 466 | ' |
Basic and diluted (in dollars per share) | ' | $0.00 | ' |
Reconciliation of accrued unrecognized tax benefits | ' | ' | ' |
Balance at the beginning of the period | 6,077 | 6,093 | 3,743 |
Addition for tax positions taken in the current year | 464 | 396 | 459 |
Reclassified from income tax payable for tax positions of prior years | 1,729 | 1,138 | 2,336 |
Reduction for tax positions of prior years | -27 | -171 | -87 |
Lapse of statute of limitations | -669 | -117 | ' |
Reclassified to liabilities directly associated with the assets classified as held-for-sale or disposal of discontinued operations | ' | -1,276 | -618 |
Foreign currency translation | 211 | 14 | 260 |
Balance at the end of the period | 7,785 | 6,077 | 6,093 |
Unrecognized tax benefits, which if recognized, would affect the effective tax rate | 5,481 | 4,159 | ' |
Portion of unrecognized tax benefits presented on a net basis as deferred tax asset related to net operating loss | 1,582 | 986 | ' |
Interest on unrecognized tax benefits recognized in interest expense | 68 | 576 | 457 |
Unrecognized tax benefits included in other non-current liabilities | 6,203 | 5,091 | ' |
Accrued interests on unrecognized tax benefits | 1,697 | 1,583 | ' |
Penalty recognized in relation to unrecognized tax benefits | 0 | ' | ' |
PRC | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Income tax rate (as a percent) | 25.00% | ' | ' |
Income tax exemption period | '2 years | ' | ' |
Income tax rate reduction period | '3 years | ' | ' |
Percentage of tax reduction | 50.00% | ' | ' |
Income (loss) before income tax expense | 4,379 | 10,037 | -35,229 |
PRC | From 2010 to 2020 | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 15.00% | ' | ' |
PRC | From 2010 to 2020 | Binglangjiang | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 15.00% | ' | ' |
PRC | From 2010 to 2020 | Husahe | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 15.00% | ' | ' |
PRC | From 2010 to 2011 | Liyuan | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 7.50% | ' | ' |
PRC | From 2010 to 2011 | Hengda | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 7.50% | ' | ' |
PRC | From 2012 to 2020 | Liyuan | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 15.00% | ' | ' |
PRC | From 2012 to 2020 | Hengda | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 15.00% | ' | ' |
PRC | From 2014 to 2020 | Xineng | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 15.00% | ' | ' |
PRC | From 2014 to 2020 | Xiaopengzu | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 15.00% | ' | ' |
PRC | From 2014 to 2020 | Dazhaihe | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 15.00% | ' | ' |
PRC | In 2011 | Dazhaihe | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 7.50% | ' | ' |
PRC | From 2012 to 2013 | Dazhaihe | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 12.50% | ' | ' |
PRC | From 2010 to 2012 | Banzhu | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 12.50% | ' | ' |
PRC | From 2011 to 2013 | Xineng | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 7.50% | ' | ' |
PRC | From 2011 to 2013 | Xiaopengzu | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Preferential income tax rate (as a percent) | 7.50% | ' | ' |
Cayman Islands | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Income (loss) before income tax expense | -2,943 | -7,962 | -17,593 |
Hong Kong | ' | ' | ' |
Income tax expenses | ' | ' | ' |
Tax rate (as a percent) | 16.50% | ' | ' |
Withholding tax | 0 | ' | ' |
Income (loss) before income tax expense | ($480) | ($680) | ($659) |
DEFERRED_TAX_ASSETS_AND_DEFERR2
DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Deferred tax assets-current | ' | ' | ' |
Allowance for uncollectible other receivables | $770 | $747 | ' |
Accrued water resource fee | 316 | 332 | ' |
Accrued expenses | 985 | 706 | ' |
Other payable | 762 | 622 | ' |
Deferred tax assets-current | 2,833 | 2,407 | ' |
Valuation allowance | -839 | -748 | ' |
Net deferred tax assets-current | 1,994 | 1,659 | ' |
Deferred tax assets-non-current | ' | ' | ' |
Net operating loss carryforwards | 2,822 | 1,746 | ' |
Depreciation of property, plant and equipment | 948 | 812 | ' |
Provision for impairment allowance | 3,599 | 3,481 | ' |
Others | 10 | 10 | ' |
Deferred tax assets-non-current | 7,379 | 6,049 | ' |
Valuation allowance | -5,853 | -4,720 | ' |
Net deferred tax asset-non-current | 1,526 | 1,329 | ' |
Deferred tax liabilities-current | ' | ' | ' |
Undistributed earnings of a foreign subsidiary | -300 | ' | ' |
Deferred tax liabilities-non-current | ' | ' | ' |
Fair value step-up of property, plant and equipment | -23,647 | -23,279 | ' |
Fair value step-up of intangible assets | -1,073 | -1,066 | ' |
Deferred tax liabilities-non-current | -24,720 | -24,345 | ' |
Change in valuation allowance | 1,041 | 575 | 3,818 |
Foreign currency translation adjustment on valuation allowance recognized in accumulated other comprehensive income | 183 | 12 | 69 |
Undistributed earnings of foreign subsidiaries | 39,541 | 29,260 | ' |
PRC withholding tax rate (as a percent) | 10.00% | 10.00% | ' |
Unrecognized deferred tax liabilities for foreign subsidiaries undistributed earnings | $3,954 | $2,926 | ' |
DEFERRED_TAX_ASSETS_AND_DEFERR3
DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES (Details 2) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Income taxes | ' |
Net operating loss carry-forward | $22,365 |
2014 | ' |
Income taxes | ' |
Net operating loss carry-forward | 452 |
2015 | ' |
Income taxes | ' |
Net operating loss carry-forward | 1,361 |
2016 | ' |
Income taxes | ' |
Net operating loss carry-forward | 5,972 |
2017 | ' |
Income taxes | ' |
Net operating loss carry-forward | 7,560 |
2018 | ' |
Income taxes | ' |
Net operating loss carry-forward | $7,020 |
BORROWINGS_Details
BORROWINGS (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Borrowings | ' | ' |
Short-term loans | $11,973 | $21,676 |
Long-term, Current portion | 38,337 | 35,537 |
Long-term, Non-current portion | 211,723 | 212,970 |
Total borrowings | 262,033 | 270,183 |
Long-term loans | 250,060 | 248,507 |
Benchmark rate used for long-term loans | 'People's Bank of China | 'People's Bank of China |
Weighted average interest rate on the long-term loans (as a percent) | 6.88% | 6.96% |
Long-term loans guarantee by the third parties | 6,069 | 17,278 |
Long-term loans guarantee by the related parties | 39,446 | 10,978 |
Long-term loans secured by a pledge of property, plant, and equipment | 224,310 | 237,752 |
Long-term loans secured by a pledge of proceeds from future electricity sales | 172,838 | 171,740 |
Maturities of long-term loans | ' | ' |
2014 | 38,337 | ' |
2015 | 33,835 | ' |
2016 | 34,071 | ' |
2017 | 33,026 | ' |
2018 | 27,532 | ' |
Thereafter | 83,259 | ' |
Total | 250,060 | 248,507 |
Property, plant and equipment | ' | ' |
Borrowings | ' | ' |
Value of pledged property, plant and equipment | 567,035 | 564,563 |
Guangsha Construction Group Co., Ltd. | ' | ' |
Borrowings | ' | ' |
Long-term loans guarantee by the third parties | 6,069 | 10,119 |
Fujian Taiyu Investment (Group) Co., Ltd. | ' | ' |
Borrowings | ' | ' |
Long-term loans guarantee by the third parties | ' | 7,159 |
Shaowu City Jinling Power Generation Co., Ltd. and Nanping City Xingshui Co., Ltd. | ' | ' |
Borrowings | ' | ' |
Long-term loans guarantee by the related parties | 3,936 | 4,455 |
Fujian Taiyu Investment (Group) Co., Ltd., Shaowu City Jinling Power Generation Co., Ltd. and Xiamen Youen Hydropower Development Co., Ltd. | ' | ' |
Borrowings | ' | ' |
Long-term loans guarantee by the related parties | ' | 6,523 |
Sanming Youxin Electricity Co., Ltd. | ' | ' |
Borrowings | ' | ' |
Long-term loans guarantee by the related parties | 35,510 | ' |
Wuliting | ' | ' |
Borrowings | ' | ' |
Long-term loans secured by a pledge of equity interest | 20,502 | 20,683 |
Wangkeng | Industrial Bank of Fujian | Fujian Huabang | ' | ' |
Borrowings | ' | ' |
Short-term loans | 3,773 | ' |
Annual interest rate on short-term loans (as a percent) | 8.40% | ' |
Liyuan | ' | ' |
Borrowings | ' | ' |
Long-term loans secured by a pledge of equity interest | 4,277 | 6,431 |
Dazhaihe | ' | ' |
Borrowings | ' | ' |
Long-term loans secured by a pledge of equity interest | 3,936 | ' |
Secured | ' | ' |
Borrowings | ' | ' |
Short-term loans | 11,973 | 21,676 |
Long-term, Current portion | 38,337 | 35,537 |
Long-term, Non-current portion | 211,723 | 212,970 |
Secured | Jinling | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 5,823 |
Secured | Jinling | Agricultural Bank of China | Property, plant and equipment | ' | ' |
Borrowings | ' | ' |
Short-term loans | 3,280 | 3,437 |
Annual interest rate on short-term loans (as a percent) | 8.40% | ' |
Secured | Jinling | Agricultural Bank of China | Wangkeng | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 2,386 |
Secured | Jinling | Agricultural Bank of China | Minimum | Property, plant and equipment | ' | ' |
Borrowings | ' | ' |
Annual interest rate on short-term loans (as a percent) | ' | 7.80% |
Secured | Jinling | Agricultural Bank of China | Minimum | Wangkeng | ' | ' |
Borrowings | ' | ' |
Annual interest rate on short-term loans (as a percent) | ' | 7.20% |
Secured | Jinling | Agricultural Bank of China | Maximum | Property, plant and equipment | ' | ' |
Borrowings | ' | ' |
Annual interest rate on short-term loans (as a percent) | ' | 8.53% |
Secured | Jinling | Agricultural Bank of China | Maximum | Wangkeng | ' | ' |
Borrowings | ' | ' |
Annual interest rate on short-term loans (as a percent) | ' | 7.80% |
Secured | Wuliting | Zhejiang Chouzhou Commercial Bank | Yingchuan | Property, plant and equipment, and management rights | ' | ' |
Borrowings | ' | ' |
Short-term loans | 3,280 | ' |
Annual interest rate on short-term loans (as a percent) | 10.80% | ' |
Secured | Yingchuan | Shanghai Pudong Development Bank | Wuliting | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 795 |
Annual interest rate on short-term loans (as a percent) | ' | 9.60% |
Secured | Ruiyang | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 4,773 |
Secured | Ruiyang | Shanghai Pudong Development Bank | Yingchuan | Property, plant and equipment of Zhougongyuan | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 1,591 |
Annual interest rate on short-term loans (as a percent) | ' | 15.00% |
Secured | Ruiyang | Shanghai Pudong Development Bank | Wuliting | Property, plant and equipment of Jiulongshan | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 3,182 |
Annual interest rate on short-term loans (as a percent) | ' | 18.00% |
Secured | Binglangjiang | Agricultural Bank of China | Property, plant and equipment | ' | ' |
Borrowings | ' | ' |
Short-term loans | 1,640 | ' |
Annual interest rate on short-term loans (as a percent) | 7.80% | ' |
Secured | Binglangjiang | China Construction Bank | Proceeds from future electricity sales | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 1,101 |
Annual interest rate on short-term loans (as a percent) | ' | 7.00% |
Secured | Zhougongyuan | Shanghai Pudong Development Bank | Certificate of deposit | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 2,243 |
Annual interest rate on short-term loans (as a percent) | ' | 5.40% |
Secured | Hengda | Agricultural Bank of China | Note receivable | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 623 |
Annual interest rate on short-term loans (as a percent) | ' | 6.29% |
Face amount of notes receivable | ' | 636 |
Secured | Wangkeng | Industrial Bank of Fujian | Yuanping | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | 3,818 |
Annual interest rate on short-term loans (as a percent) | ' | 8.70% |
Secured | CHC HK | Agricultural Bank of China | Certificate of deposit of Fujian Huabang | ' | ' |
Borrowings | ' | ' |
Short-term loans | ' | $2,500 |
Annual interest rate on short-term loans (as a percent) | ' | 4.64% |
OTHER_NONCURRENT_LIABILITIES_D
OTHER NON-CURRENT LIABILITIES (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
OTHER NON-CURRENT LIABILITIES | ' | ' | ' |
Unrecognized tax benefits (Note 13) | $6,203 | $5,091 | ' |
Accrued interests on unrecognized tax benefits (Note 13) | 1,697 | 1,583 | ' |
Government grant | 100 | 100 | ' |
Others | 5 | 6 | ' |
Total | 8,005 | 6,780 | ' |
Banzhu | ' | ' | ' |
Other non-current liabilities | ' | ' | ' |
Government grant recognized | $3 | $3 | $3 |
WARRANTS_Details
WARRANTS (Details) (USD $) | 12 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | |||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jan. 25, 2010 | Jan. 25, 2010 | Jan. 25, 2010 | Aug. 19, 2011 | Aug. 11, 2011 | Jan. 25, 2010 | Jan. 25, 2010 | Jan. 25, 2010 | Jan. 25, 2010 | Jan. 25, 2010 | Jan. 25, 2010 | Jan. 25, 2010 | Jul. 26, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Oct. 27, 2011 | Aug. 18, 2011 | Aug. 19, 2011 | Oct. 27, 2011 | Oct. 26, 2011 | |
Ordinary shares | Unit | Unit | Vicis | Holders' Warrants | IPO Warrants | IPO Warrants | IPO Warrants | IPO Warrants | Underwriter's Warrants | Underwriter's Warrants | Underwriter's Warrants | Shoen's Warrants | Vicis'/Shoen's Amended Warrants | Vicis'/Shoen's Amended Warrants | Vicis'/Shoen's Amended Warrants | Vicis'/Shoen's Amended Warrants | Vicis' Amended Warrants | Vicis' Amended Warrants | Shoen's Amended Warrants | Shoen's Amended Warrants | ||||
ADS | Ordinary shares | Vicis | item | ADS | Unit | Unit | Ordinary shares | Unit | CHL | Vicis | Vicis | item | ||||||||||||
Notes | Minimum | ADS | item | |||||||||||||||||||||
WARRANTS | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of units | ' | ' | ' | ' | 6,000,000 | ' | ' | ' | ' | ' | 6,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share price (in dollars per share) | ' | ' | ' | $4.93 | ' | ' | ' | ' | ' | $23 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unit price (in dollars per share) | ' | ' | ' | ' | $16 | $14.80 | ' | ' | $1.20 | ' | $16 | $14.80 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of ordinary shares per unit | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of warrants consisted in each unit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of ADS consisted in each unit | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of ordinary shares that can be purchased by warrant holder | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise price of warrants (in dollars per share) | ' | ' | ' | ' | ' | ' | $1.15 | ' | $15 | ' | ' | ' | ' | $18 | $19.20 | ' | ' | ' | ' | ' | $1.15 | ' | $1.15 | ' |
Redemption price of each warrant during the exercise period (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | $0.01 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum last independent bid price of the ordinary share for warrant redemption (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $8.50 | $17.66 | $17.66 | $8.50 |
Considerations of ordinary shares and the Founders' Warrants issued to Founding Shareholders | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of warrants issued (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 66,964 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares that can be purchase by warrant holder | 19,440,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $839,000 | $440,000 | $1,391,000 | ' | ' | ' | ' |
Changes in fair value of warrant liabilities | 839,000 | -399,000 | 951,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 839,000 | -399,000 | 951,000 | ' | ' | ' | ' | ' |
Number of ordinary shares represented by each ADS | 3 | 3 | 3 | ' | ' | 3 | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Threshold number trading days for which the share price should exceed the specified amount | ' | ' | ' | ' | ' | ' | ' | ' | 20 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Threshold period of specified consecutive trading days within which the share price should exceed the specified amount | ' | ' | ' | ' | ' | ' | ' | ' | '30 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants issued as part of the payment for services rendered | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of the units of securities sold in the IPO allowed to be purchased by the holder of the warrant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price of units as a percentage of the IPO price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 120.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise price of warrants as a percentage of the IPO warrant exercise price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 120.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants exercised (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,662,509 | ' | 31,072 | ' |
Exercise of warrants (in shares) | ' | ' | ' | ' | ' | ' | 8,662,509 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,662,509 | ' | 31,072 | ' |
Warrants outstanding (in shares) | ' | ' | ' | ' | ' | ' | ' | 18,666,666 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,004,157 | ' | 35,892 | ' |
Exercise price of warrants before amendment (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | $5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of terms amended | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 4 | ' |
Warrants classified from equity to liability (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,004,157 | 35,892 | ' |
Debit to additional paid-in capital as a result of reclassification of warrants from equity to liability | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,391,000 | ' | ' | ' | ' | ' |
WARRANTS_Details_2
WARRANTS (Details 2) (USD $) | Dec. 31, 2013 | Aug. 18, 2011 | Oct. 27, 2011 | Dec. 31, 2012 | Dec. 31, 2011 | Jan. 25, 2010 | Jul. 19, 2011 | Jan. 25, 2010 |
In Thousands, except Share data, unless otherwise specified | Vicis' Amended Warrants | Shoen's Amended Warrants | Vicis'/Shoen's Amended Warrants | Vicis'/Shoen's Amended Warrants | IPO Warrants | Underwriter's Warrants | Underwriter's Warrants | |
Warrants classified as liabilities | Warrants classified as liabilities | Warrants classified as liabilities | Warrants classified as liabilities | Warrants classified as equity | Warrants classified as equity | |||
Assumptions used in estimating the fair values of the outstanding warrants at commitment date | ' | ' | ' | ' | ' | ' | ' | ' |
Average risk-free rate of return (as a percent) | ' | 0.24% | 0.24% | 0.14% | 0.24% | 2.40% | ' | 2.40% |
Expected term/life | ' | '2 years 4 months 17 days | '2 years 2 months 5 days | '1 year | '2 years | '4 years 11 months 26 days | ' | '4 years 11 months 26 days |
Volatility rate (as a percent) | ' | 52.52% | 51.20% | 88.40% | 72.00% | 66.00% | ' | 66.00% |
Fair value of ordinary share (in dollars per share) | ' | $0.14 | $0.04 | $0.57 | $0.04 | $4.93 | ' | $4.93 |
Estimated forfeiture rate (as a percent) | ' | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | ' | 0.00% |
Additional disclosure | ' | ' | ' | ' | ' | ' | ' | ' |
Shares that can be purchased by warrants outstanding (in shares) | 19,440,000 | ' | ' | ' | ' | ' | ' | ' |
Number of warrants with exercise price below the fair value of the ordinary shares | 0 | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic value of warrants | $0 | ' | ' | ' | ' | ' | ' | ' |
Vesting period of warrants after the IPO | ' | ' | ' | ' | ' | ' | '540 days | ' |
SHARE_CAPITAL_Details
SHARE CAPITAL (Details) (USD $) | 12 Months Ended | 0 Months Ended | ||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Aug. 19, 2011 | Oct. 27, 2011 | |
Employees | Consultants | Former employees | Ordinary shares | Ordinary shares | Ordinary shares | Ordinary shares | Ordinary shares | |||
item | item | item | Vicis | Shoen | ||||||
SHARE CAPITAL | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred shares issued | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred shares outstanding | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' |
Share capital | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Authorized ordinary share capital | 400,000,000 | 400,000,000 | ' | ' | ' | 400,000,000 | 400,000,000 | ' | ' | ' |
Ordinary shares, par value (in dollars per share) | $0.00 | $0.00 | ' | ' | ' | $0.00 | $0.00 | ' | ' | ' |
Ordinary shares issued | 162,099,665 | 161,989,097 | ' | ' | ' | 162,099,665 | 161,989,097 | ' | ' | ' |
Ordinary shares outstanding | 162,099,665 | 161,989,097 | ' | ' | ' | 162,099,665 | 161,989,097 | 161,989,097 | ' | ' |
Exercise price (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | $1.15 | $1.15 |
Exercise of warrants (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 8,662,509 | 31,072 |
Exercise of share options (in shares) | 110,568 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of persons who exercised share options | ' | ' | 1 | 1 | 3 | ' | ' | ' | ' | ' |
BASIC_AND_DILUTED_LOSS_INCOME_2
BASIC AND DILUTED (LOSS) INCOME PER SHARE (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Numerator for basic and diluted loss per share: | ' | ' | ' |
Loss attributable to ordinary shareholders | ($2,221) | ($1,243) | ($45,389) |
Denominator: | ' | ' | ' |
Weighted average number of ordinary shares outstanding-basic | 162,071,626 | 161,989,097 | 156,505,076 |
Weighted average number of ordinary shares outstanding-diluted | 162,071,626 | 161,989,097 | 156,505,076 |
(Loss) income per share-basic and diluted: | ' | ' | ' |
From continuing operations (in dollars per share) | ($0.01) | ($0.03) | ($0.29) |
From discontinued operations (in dollars per share) | ' | $0.02 | $0 |
Loss per share-basic and diluted (in dollars per share) | ($0.01) | ($0.01) | ($0.29) |
ACCUMULATED_OTHER_COMPREHENSIV2
ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Accumulated other Comprehensive income loss | ' | ' | ' |
Balance at the beginning of the period | $41,597 | $42,968 | $22,922 |
Current period other comprehensive income (loss) | 12,462 | 987 | 20,046 |
Amounts reclassified from accumulated other comprehensive income | ' | -2,358 | ' |
Net current-period other comprehensive income (loss) | ' | -1,371 | ' |
Balance at the end of the period | 54,059 | 41,597 | 42,968 |
Foreign currency items | ' | ' | ' |
Accumulated other Comprehensive income loss | ' | ' | ' |
Balance at the beginning of the period | 41,597 | 43,001 | 22,922 |
Current period other comprehensive income (loss) | 12,462 | 954 | 20,079 |
Amounts reclassified from accumulated other comprehensive income | ' | -2,358 | ' |
Net current-period other comprehensive income (loss) | ' | -1,404 | ' |
Balance at the end of the period | 54,059 | 41,597 | 43,001 |
Defined benefit pension plan items | ' | ' | ' |
Accumulated other Comprehensive income loss | ' | ' | ' |
Balance at the beginning of the period | ' | -33 | ' |
Current period other comprehensive income (loss) | ' | 33 | -33 |
Net current-period other comprehensive income (loss) | ' | 33 | ' |
Balance at the end of the period | ' | ' | ($33) |
EMPLOYEE_BENEFIT_PLANS_Details
EMPLOYEE BENEFIT PLANS (Details) (USD $) | 12 Months Ended | 12 Months Ended | 1 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Nov. 30, 2008 |
item | item | Multi-employer defined contribution plan | Multi-employer defined contribution plan | Multi-employer defined contribution plan | Multi-employer defined contribution plan | Multi-employer defined contribution plan | Multi-employer defined contribution plan | 401(k) retirement plan | 401(k) retirement plan | 401(k) retirement plan | 401(k) retirement plan | |
PRC | PRC | PRC | PRC | PRC | Maximum | |||||||
Minimum | Maximum | |||||||||||
Defined contribution plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of employees' salaries on which the entity has to accrue benefits as per labor regulations | ' | ' | ' | ' | ' | ' | 33.50% | 45.90% | ' | ' | ' | ' |
Employer matching contribution (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.00% |
Total contribution to the plan | ' | ' | ' | $1,024 | $1,324 | $1,045 | ' | ' | $2 | $74 | $155 | ' |
Additional legal obligations or liabilities | ' | ' | 0 | ' | ' | ' | ' | ' | 0 | ' | ' | ' |
Defined benefit plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of former executive officers for whom the defined benefit plan is established | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of former executive officers whose salaries and length of service periods are considered for guaranteed retirement benefit | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of former executive officers terminated their employment relationship with the Company and opted to have a lump sum cash distribution | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accumulated defined benefit | ' | 244 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Assets and obligation | ' | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
INTEREST_EXPENSE_Details
INTEREST EXPENSE (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
INTEREST EXPENSE. | ' | ' | ' |
Interest on loans | $19,091 | $20,017 | $18,371 |
Accrued interest on unrecognized tax benefits | 68 | 576 | 457 |
Amortization of debt issuance costs | 175 | 191 | 19 |
Interest to original shareholders of acquired subsidiaries | 240 | 1,126 | 2,503 |
Interest on loans from third parties | 1,683 | 4,757 | 2,567 |
Bank charges | 1,067 | 1,340 | 672 |
Others | 244 | 63 | 168 |
Total | $22,568 | $28,070 | $24,757 |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Details) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 |
USD ($) | USD ($) | USD ($) | Property, plant and equipment | Property, plant and equipment | |
Yingchuan, Jiulongshan, Ruiyang,Wangkeng and Banzhu | Yingchuan, Jiulongshan, Ruiyang,Wangkeng and Banzhu | ||||
USD ($) | CNY | ||||
COMMITMENTS AND CONTINGENCIES. | ' | ' | ' | ' | ' |
Rental expenses under operating leases | $544 | $639 | $912 | ' | ' |
Future minimum lease payments for non-cancellable operating leases | ' | ' | ' | ' | ' |
2014 | 20 | ' | ' | ' | ' |
2015 | 22 | ' | ' | ' | ' |
Total | 42 | ' | ' | ' | ' |
Capital commitments | ' | ' | ' | ' | ' |
Capital commitments for property, plant and equipment | ' | ' | ' | $183 | 1,116 |
COMMITMENTS_AND_CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Other commitments | ' | ' | ' |
Compensation costs paid | $202 | $739 | $166 |
Future minimum compensation costs | ' | ' | ' |
2014 | 85 | ' | ' |
2015 | 194 | ' | ' |
2016 | 194 | ' | ' |
2017 | 193 | ' | ' |
2018 | 202 | ' | ' |
Thereafter | 5,286 | ' | ' |
Total | $6,154 | ' | ' |
Minimum | ' | ' | ' |
Other commitments | ' | ' | ' |
Term of compensation agreements | ' | ' | '5 years |
Maximum | ' | ' | ' |
Other commitments | ' | ' | ' |
Term of compensation agreements | ' | ' | '43 years |
COMMITMENTS_AND_CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES (Details 3) | Dec. 31, 2013 | Oct. 22, 2009 | Oct. 22, 2009 | Feb. 17, 2014 | Nov. 26, 2013 | Nov. 26, 2013 | Oct. 31, 2013 | Apr. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 26, 2013 | Nov. 26, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | 31-May-13 | 31-May-13 |
In Thousands, unless otherwise specified | sqm | Wuyue | Wuyue | Wuyue | Claim for payment of salary and social security | Claim for payment of salary and social security | Claim for payment of salary and social security | Claim for payment of salary and social security | Claim for payment of salary and social security | Claim for payment of salary and social security | Claim for payment of the termination of their labor contracts | Claim for payment of the termination of their labor contracts | Claim for payment of penalty of delayed capital injection | Claim for payment of penalty of delayed capital injection | Claim for payment of penalty of delayed capital injection | Claim for payment of penalty of delayed capital injection |
USD ($) | CNY | Subsequent event | Wuyue | Wuyue | Wuyue | Wuyue | Wuyue | Wuyue | Wuyue | Wuyue | Wuyue | Wuyue | Wuyue | Wuyue | ||
USD ($) | USD ($) | CNY | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | CNY | USD ($) | CNY | USD ($) | CNY | ||||
employee | employee | |||||||||||||||
Other contingencies | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Area of land for which formal title certificate has not been obtained (in square meters) | 2,499,278 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
COMMITMENTS AND CONTINGENCIES | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of employees who filed an arbitration claim against the company | ' | ' | ' | ' | ' | ' | 24 | 24 | ' | ' | ' | ' | ' | ' | ' | ' |
Amount claimed against the company for the payment of salary | ' | ' | ' | ' | ' | ' | ' | $428 | ' | ' | ' | ' | ' | ' | ' | ' |
Amount claimed against the company for the social security | ' | ' | ' | ' | ' | ' | ' | 33 | ' | ' | ' | ' | ' | ' | ' | ' |
Ruling or award granted in respect of the claim | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' |
Amount claimed against the company | ' | ' | ' | ' | ' | ' | 1,066 | ' | ' | ' | ' | ' | 6,174 | 38,220 | 4,158 | 25,740 |
Amount payable by company under verdict of GCLAC | ' | ' | ' | ' | 540 | 3,342 | ' | ' | ' | ' | 30 | 188 | ' | ' | ' | ' |
First capital injection amount by company | ' | 5,249 | 32,500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of equity interest acquired | ' | 79.00% | 79.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cost of equity interest acquired | ' | 26,247 | 162,500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of claims paid by the company | ' | ' | ' | $570 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
OTHER_INCOME_LOSS_NET_Details
OTHER INCOME (LOSS), NET (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
OTHER INCOME (LOSS), NET | ' | ' | ' |
Reimbursement from ADS depositary bank | ' | ' | $527 |
Gain from extinguishment of amounts due to original shareholders of acquired subsidiaries | ' | 462 | ' |
Interest penalty income from late consideration payment by the acquirer of a disposed Subsidiary | 144 | ' | ' |
Others | 131 | 45 | -861 |
Other (loss) income, net | $275 | $507 | ($334) |
SEGMENT_AND_GEOGRAPHIC_INFORMA2
SEGMENT AND GEOGRAPHIC INFORMATION (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
item | |||
Segment reporting | ' | ' | ' |
Number of operating segments | 4 | ' | ' |
Number of reportable segments | 4 | ' | ' |
Number of geographic segments | 0 | ' | ' |
Segment and geographic information | ' | ' | ' |
Revenues | $74,517 | $85,388 | $54,597 |
Cost of revenues | -35,357 | -35,795 | -31,314 |
General and administrative expenses (including share-based compensation expense of US$10,479, US$166 and US$211 in 2011, 2012 and 2013) | -13,258 | -20,348 | -28,896 |
Impairment loss on goodwill | 0 | 0 | -11,388 |
Impairment loss on long-lived assets | -3,549 | 0 | -11,590 |
Interest income | 98 | 84 | 101 |
Interest expense | -22,568 | -28,070 | -24,757 |
Changes in fair value of warrant liabilities | 839 | -399 | 951 |
Exchange (loss) gain | -41 | 28 | -851 |
Other (loss) income, net | 275 | 507 | -334 |
Income tax benefit (expense) | -3,474 | -6,451 | -1,527 |
Net loss from continuing operations | -2,518 | -5,056 | -55,008 |
Income (Loss) from discontinued operations (net of income tax expense of US$399, US$101 and US$152 for the year ended on December 31, 2012, 2011 and 2010, respectively) | ' | 1,140 | -282 |
Gain on disposal of discontinued operations (net of income tax expense of US$959) | ' | 2,767 | ' |
Net (loss) income from discontinued operations | ' | 3,907 | -282 |
Net loss | -2,518 | -1,149 | -55,290 |
Net loss (income) attributable to noncontrolling interests | 297 | -94 | 9,901 |
Net loss attributable to China Hydroelectric Corporation shareholders | -2,221 | -1,243 | -45,389 |
Total assets | 737,242 | 754,316 | 814,915 |
Total liabilities | -334,613 | -361,801 | -420,037 |
Capital expenditures | 1,627 | 7,496 | 7,532 |
Depreciation and amortization expenses | 23,524 | 23,068 | 22,046 |
Share-based compensation expense | 211 | 166 | 10,479 |
Income tax expense (benefit) from discontinued operations | 0 | 399 | 101 |
Income tax expense, gain on disposal of discontinued operations | 0 | 959 | 0 |
Operating Segments | Yunnan Province | ' | ' | ' |
Segment and geographic information | ' | ' | ' |
Revenues | 14,608 | 13,460 | 13,806 |
Cost of revenues | -9,069 | -8,540 | -8,349 |
General and administrative expenses (including share-based compensation expense of US$10,479, US$166 and US$211 in 2011, 2012 and 2013) | -1,534 | -2,108 | -1,519 |
Impairment loss on goodwill | ' | ' | -5,260 |
Interest income | 340 | 236 | 180 |
Interest expense | -7,726 | -9,039 | -8,468 |
Exchange (loss) gain | ' | ' | -28 |
Other (loss) income, net | 37 | 136 | -285 |
Income tax benefit (expense) | 43 | 72 | -142 |
Net loss from continuing operations | -3,301 | -5,783 | -10,065 |
Net loss | -3,301 | -5,783 | -10,065 |
Net loss attributable to China Hydroelectric Corporation shareholders | -3,301 | -5,783 | -10,065 |
Total assets | 197,995 | 192,843 | 200,681 |
Total liabilities | -117,524 | -131,872 | -133,670 |
Capital expenditures | 124 | 877 | 1,763 |
Depreciation and amortization expenses | 5,633 | 5,546 | 5,181 |
Operating Segments | Sichuan Province | ' | ' | ' |
Segment and geographic information | ' | ' | ' |
Revenues | 373 | 598 | 555 |
Cost of revenues | -634 | -689 | -568 |
General and administrative expenses (including share-based compensation expense of US$10,479, US$166 and US$211 in 2011, 2012 and 2013) | -193 | -269 | -86 |
Impairment loss on long-lived assets | -3,549 | ' | ' |
Interest income | 365 | 121 | 10 |
Interest expense | -557 | -260 | ' |
Other (loss) income, net | ' | 22 | ' |
Income tax benefit (expense) | 15 | -5 | 5 |
Net loss from continuing operations | -4,180 | -482 | -84 |
Net loss | -4,180 | -482 | -84 |
Net loss attributable to China Hydroelectric Corporation shareholders | -4,180 | -482 | -84 |
Total assets | 21,135 | 22,790 | 15,896 |
Total liabilities | -7,144 | -8,092 | -753 |
Capital expenditures | 29 | 1,384 | 1,128 |
Depreciation and amortization expenses | 482 | 477 | 344 |
Operating Segments | Zhejiang Province | ' | ' | ' |
Segment and geographic information | ' | ' | ' |
Revenues | 36,000 | 41,616 | 25,382 |
Cost of revenues | -16,610 | -16,978 | -15,034 |
General and administrative expenses (including share-based compensation expense of US$10,479, US$166 and US$211 in 2011, 2012 and 2013) | -1,909 | -2,569 | -1,148 |
Interest income | 1,801 | 838 | 128 |
Interest expense | -10,128 | -10,550 | -8,565 |
Other (loss) income, net | -18 | -81 | -36 |
Income tax benefit (expense) | -2,245 | -3,831 | -843 |
Net loss from continuing operations | 6,891 | 8,445 | -116 |
Net loss | 6,891 | 8,445 | -116 |
Net loss attributable to China Hydroelectric Corporation shareholders | 6,891 | 8,445 | -116 |
Total assets | 346,886 | 344,923 | 318,616 |
Total liabilities | -128,690 | -145,312 | -138,688 |
Capital expenditures | 233 | 3,973 | 3,031 |
Depreciation and amortization expenses | 10,437 | 10,136 | 9,837 |
Operating Segments | Fujian Province | ' | ' | ' |
Segment and geographic information | ' | ' | ' |
Revenues | 23,536 | 29,714 | 14,854 |
Cost of revenues | -12,393 | -13,133 | -10,874 |
General and administrative expenses (including share-based compensation expense of US$10,479, US$166 and US$211 in 2011, 2012 and 2013) | -2,423 | -3,413 | -2,276 |
Impairment loss on goodwill | ' | ' | -6,128 |
Interest income | 702 | 1,713 | 1,709 |
Interest expense | -7,160 | -10,787 | -9,669 |
Exchange (loss) gain | ' | -1 | -244 |
Other (loss) income, net | 91 | 420 | -158 |
Income tax benefit (expense) | -843 | -2,480 | 115 |
Net loss from continuing operations | 1,510 | 2,033 | -12,671 |
Income (Loss) from discontinued operations (net of income tax expense of US$399, US$101 and US$152 for the year ended on December 31, 2012, 2011 and 2010, respectively) | ' | 959 | -631 |
Net (loss) income from discontinued operations | ' | 959 | -631 |
Net loss | 1,510 | 2,992 | -13,302 |
Net loss (income) attributable to noncontrolling interests | 297 | -94 | 2,546 |
Net loss attributable to China Hydroelectric Corporation shareholders | 1,807 | 2,898 | -10,756 |
Total assets | 288,735 | 289,702 | 374,296 |
Total liabilities | -123,843 | -129,627 | -185,330 |
Capital expenditures | 1,228 | 1,305 | 645 |
Depreciation and amortization expenses | 6,839 | 6,767 | 6,569 |
Unallocated | ' | ' | ' |
Segment and geographic information | ' | ' | ' |
Cost of revenues | -8 | ' | ' |
General and administrative expenses (including share-based compensation expense of US$10,479, US$166 and US$211 in 2011, 2012 and 2013) | -7,154 | -11,989 | -23,867 |
Impairment loss on long-lived assets | ' | ' | -11,601 |
Interest income | 2 | 3 | 66 |
Interest expense | -109 | -247 | -73 |
Changes in fair value of warrant liabilities | 839 | -399 | 951 |
Exchange (loss) gain | -41 | 29 | -579 |
Other (loss) income, net | 3,477 | 3,736 | 4,033 |
Income tax benefit (expense) | -444 | -207 | -662 |
Net loss from continuing operations | -3,438 | -9,074 | -31,732 |
Gain on disposal of discontinued operations (net of income tax expense of US$959) | ' | 2,767 | ' |
Net (loss) income from discontinued operations | ' | 2,767 | ' |
Net loss | -3,438 | -6,307 | -31,732 |
Net loss (income) attributable to noncontrolling interests | ' | ' | 7,355 |
Net loss attributable to China Hydroelectric Corporation shareholders | -3,438 | -6,307 | -24,377 |
Total assets | 437,477 | 426,518 | 421,650 |
Total liabilities | -28,315 | -27,799 | -20,498 |
Capital expenditures | 13 | 15 | 970 |
Depreciation and amortization expenses | 133 | 142 | 115 |
Eliminations | ' | ' | ' |
Segment and geographic information | ' | ' | ' |
Cost of revenues | 3,357 | 3,545 | 3,511 |
General and administrative expenses (including share-based compensation expense of US$10,479, US$166 and US$211 in 2011, 2012 and 2013) | -45 | ' | ' |
Impairment loss on long-lived assets | ' | ' | 11 |
Interest income | -3,112 | -2,827 | -1,992 |
Interest expense | 3,112 | 2,813 | 2,018 |
Other (loss) income, net | -3,312 | -3,726 | -3,888 |
Net loss from continuing operations | ' | -195 | -340 |
Income (Loss) from discontinued operations (net of income tax expense of US$399, US$101 and US$152 for the year ended on December 31, 2012, 2011 and 2010, respectively) | ' | 181 | 349 |
Net (loss) income from discontinued operations | ' | 181 | 349 |
Net loss | ' | -14 | 9 |
Net loss attributable to China Hydroelectric Corporation shareholders | ' | -14 | 9 |
Total assets | -554,986 | -522,460 | -516,224 |
Total liabilities | 70,903 | 80,901 | 58,902 |
Capital expenditures | ' | ($58) | ($5) |
SHAREBASED_PAYMENT_Details
SHARE-BASED PAYMENT (Details) (USD $) | 0 Months Ended | 12 Months Ended | ||||||
In Thousands, except Share data, unless otherwise specified | Aug. 27, 2013 | Dec. 01, 2012 | 1-May-12 | Dec. 28, 2011 | Aug. 18, 2008 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
item | ||||||||
SHARE-BASED PAYMENT | ' | ' | ' | ' | ' | ' | ' | ' |
Ordinary shares authorized to be purchased | ' | ' | ' | ' | 12,000,000 | ' | ' | ' |
Share-based compensation cost recognized | ' | ' | ' | ' | ' | $211 | $166 | $10,479 |
Number of Options | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised (in shares) | ' | ' | ' | ' | ' | -110,568 | ' | ' |
Maximum | ' | ' | ' | ' | ' | ' | ' | ' |
SHARE-BASED PAYMENT | ' | ' | ' | ' | ' | ' | ' | ' |
Period for approval of the Plan by shareholders from the date on which the Plan is adopted by the Board | ' | ' | ' | ' | '12 months | ' | ' | ' |
Share options | ' | ' | ' | ' | ' | ' | ' | ' |
SHARE-BASED PAYMENT | ' | ' | ' | ' | ' | ' | ' | ' |
Contractual life | ' | ' | '5 years | ' | ' | ' | ' | ' |
Share options vest and become exercisable on the first anniversary of the grant date (as a percent) | ' | ' | 50.00% | ' | ' | ' | ' | ' |
Share options vest and become exercisable on the second and third anniversary of the grant date (as a percent) | ' | ' | 25.00% | ' | ' | ' | ' | ' |
Exercise period under settlement agreement, maximum, from December 15, 2012 | ' | ' | ' | ' | ' | ' | '90 days | ' |
Incremental compensation cost on modification | ' | ' | ' | 0 | ' | ' | ' | ' |
Share-based compensation cost recognized | ' | ' | ' | 7,620 | ' | ' | ' | ' |
Weighted-Average Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in dollars per share) | ' | ' | 0.62 | ' | ' | ' | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of options exercised | ' | ' | ' | ' | ' | 62 | 0 | 0 |
Share options | Directors | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Options | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | ' | 40,000 | ' | ' | ' |
Expired (in shares) | ' | ' | ' | ' | ' | -40,000 | ' | ' |
Share options | Consultants | ' | ' | ' | ' | ' | ' | ' | ' |
SHARE-BASED PAYMENT | ' | ' | ' | ' | ' | ' | ' | ' |
Contractual life | ' | ' | ' | '5 years | ' | ' | ' | ' |
Expiration period of options after termination of service | ' | ' | ' | '30 days | ' | ' | ' | ' |
Number of Options | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | 50,000 | 9,250 | 9,250 | ' | ' | ' |
Exercised (in shares) | ' | ' | ' | ' | ' | -9,250 | ' | ' |
Forfeited or cancelled (in shares) | ' | ' | ' | -275,000 | ' | ' | ' | ' |
Expired (in shares) | ' | ' | ' | ' | ' | -50,000 | ' | ' |
Weighted-Average Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in dollars per share) | ' | ' | ' | $0.46 | ' | ' | ' | ' |
Share options | Employees | ' | ' | ' | ' | ' | ' | ' | ' |
SHARE-BASED PAYMENT | ' | ' | ' | ' | ' | ' | ' | ' |
Contractual life | '5 years | '5 years | ' | '5 years | ' | ' | ' | ' |
Expiration period of options after termination of service | ' | ' | ' | '30 days | ' | ' | ' | ' |
Share options vest and become exercisable on May 31, 2013 (as a percent) | ' | 25.00% | ' | ' | ' | ' | ' | ' |
Share options vest and become exercisable on the first, second and third anniversary of the grant date (as a percent) | ' | 25.00% | ' | ' | ' | ' | ' | ' |
Share options vest and become exercisable on the first, second and third anniversary of the contractual date (as a percent) | 33.30% | ' | ' | ' | ' | ' | ' | ' |
Number of Options | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in shares) | ' | ' | ' | ' | ' | 3,635,250 | ' | ' |
Granted (in shares) | 900,000 | 600,000 | 9,929,998 | 407,706 | ' | 1,300,000 | ' | ' |
Exercised (in shares) | ' | ' | ' | ' | ' | -265,547 | ' | ' |
Forfeited or cancelled (in shares) | ' | ' | ' | -10,109,000 | ' | -630,139 | ' | ' |
Expired (in shares) | ' | ' | ' | ' | -50,000 | ' | ' | ' |
Outstanding at the end of the period (in shares) | ' | ' | ' | ' | ' | 4,039,564 | 3,635,250 | ' |
Vested and expected to vest (in shares) | ' | ' | ' | ' | ' | 3,527,057 | ' | ' |
Exercisable (in shares) | ' | ' | ' | ' | ' | 1,498,674 | ' | ' |
Weighted-Average Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in dollars per share) | ' | ' | ' | ' | ' | $0.62 | ' | ' |
Granted (in dollars per share) | $0.85 | $0.72 | ' | $0.46 | ' | $0.89 | ' | ' |
Exercised (in dollars per share) | ' | ' | ' | ' | ' | $0.49 | ' | ' |
Forfeited or cancelled (in dollars per share) | ' | ' | ' | ' | ' | $0.70 | ' | ' |
Outstanding at the end of the period (in dollars per share) | ' | ' | ' | ' | ' | $0.70 | $0.62 | ' |
Vested and expected to vest (in dollars per share) | ' | ' | ' | ' | ' | $0.71 | ' | ' |
Exercisable (in dollars per share) | ' | ' | ' | ' | ' | $0.62 | ' | ' |
Weighted-Average Remaining Contractual Life | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period | ' | ' | ' | ' | ' | '3 years 8 months 19 days | '4 years 2 months 1 day | ' |
Outstanding at the end of the period | ' | ' | ' | ' | ' | '3 years 8 months 19 days | '4 years 2 months 1 day | ' |
Vested and expected to vest | ' | ' | ' | ' | ' | '3 years 8 months 19 days | ' | ' |
Exercisable | ' | ' | ' | ' | ' | '3 years 4 months 13 days | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period | ' | ' | ' | ' | ' | 38 | ' | ' |
Outstanding at the end of the period | ' | ' | ' | ' | ' | 787 | 38 | ' |
Vested and expected to vest | ' | ' | ' | ' | ' | 675 | ' | ' |
Exercisable | ' | ' | ' | ' | ' | 409 | ' | ' |
Weighted-average grant-date fair value (in dollars per share) | ' | ' | ' | ' | ' | $0.41 | $0.19 | $0.22 |
Number of employees terminated their employment relationship | ' | ' | ' | ' | ' | 8 | ' | ' |
Number of employees exercised their options | ' | ' | ' | ' | ' | 1 | ' | ' |
Unrecognized share-based compensation | ' | ' | ' | ' | ' | 553 | ' | ' |
Weighted-average vesting period | ' | ' | ' | ' | ' | '1 year 9 months 11 days | ' | ' |
Assumptions used in estimating the grant-date fair value of options granted | ' | ' | ' | ' | ' | ' | ' | ' |
Suboptimal exercise factor (in dollars per share) | ' | ' | ' | ' | ' | $1.50 | $1.50 | ' |
Risk-free interest rate (as a percent) | ' | ' | ' | ' | ' | 1.52% | ' | 0.85% |
Expected volatility rate (as a percent) | ' | ' | ' | ' | ' | 84.86% | ' | 71.87% |
Expected share option life | ' | ' | ' | ' | ' | ' | '5 years | '5 years |
Estimated forfeiture rate (as a percent) | ' | ' | ' | ' | ' | 6.70% | ' | ' |
Fair value of ordinary share (in dollars per share) | ' | ' | ' | ' | ' | $0.78 | ' | $0.39 |
Fair value of options vested | ' | ' | ' | ' | ' | $273 | $0 | $90 |
Shares granted having exercise price below the fair value | ' | ' | ' | ' | ' | 3,519,283 | ' | ' |
Share options | Employees | Minimum | ' | ' | ' | ' | ' | ' | ' | ' |
Assumptions used in estimating the grant-date fair value of options granted | ' | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate (as a percent) | ' | ' | ' | ' | ' | ' | 0.62% | ' |
Expected volatility rate (as a percent) | ' | ' | ' | ' | ' | ' | 73.40% | ' |
Expected share option life | ' | ' | ' | ' | ' | '4 years 7 months 13 days | ' | ' |
Fair value of ordinary share (in dollars per share) | ' | ' | ' | ' | ' | ' | $0.44 | ' |
Share options | Employees | Maximum | ' | ' | ' | ' | ' | ' | ' | ' |
Assumptions used in estimating the grant-date fair value of options granted | ' | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate (as a percent) | ' | ' | ' | ' | ' | ' | 0.83% | ' |
Expected volatility rate (as a percent) | ' | ' | ' | ' | ' | ' | 89.21% | ' |
Expected share option life | ' | ' | ' | ' | ' | '5 years | ' | ' |
Fair value of ordinary share (in dollars per share) | ' | ' | ' | ' | ' | ' | $0.62 | ' |
Share options | Senior management | ' | ' | ' | ' | ' | ' | ' | ' |
Assumptions used in estimating the grant-date fair value of options granted | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated forfeiture rate (as a percent) | ' | ' | ' | ' | ' | 6.70% | ' | ' |
Share options | Former employees | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Options | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised (in shares) | ' | ' | ' | ' | ' | -107,700 | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' | ' | ' | ' | ' |
Cashless exercises (in shares) | ' | ' | ' | ' | ' | 65,202 | ' | ' |
Number of employees exercised their options | ' | ' | ' | ' | ' | 3 | ' | ' |
Share options | One employee | ' | ' | ' | ' | ' | ' | ' | ' |
SHARE-BASED PAYMENT | ' | ' | ' | ' | ' | ' | ' | ' |
Contractual life | '5 years | ' | ' | ' | ' | ' | ' | ' |
Share options vest and become exercisable on the first, second and third anniversary of the contractual date (as a percent) | 33.30% | ' | ' | ' | ' | ' | ' | ' |
Number of Options | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | 400,000 | ' | ' | ' | ' | ' | ' | ' |
Weighted-Average Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in dollars per share) | $0.99 | ' | ' | ' | ' | ' | ' | ' |
SHAREBASED_PAYMENT_Details_2
SHARE-BASED PAYMENT (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
SHARE-BASED PAYMENT | ' | ' | ' |
Total compensation cost recognized | $211 | $166 | $10,479 |
General and administrative expenses | ' | ' | ' |
SHARE-BASED PAYMENT | ' | ' | ' |
Total compensation cost recognized | $211 | $166 | $10,479 |
RELATED_PARTY_TRANSACTIONS_Det
RELATED PARTY TRANSACTIONS (Details) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Jun. 23, 2013 | Dec. 31, 2012 |
Kuhns Brothers, Inc. | CPI Ballpark Investments Ltd | CPI Ballpark Investments Ltd | CPI Ballpark Investments Ltd | CPI Ballpark Investments Ltd | Nanping City Xingshui Co., Ltd. | Nanping City Xingshui Co., Ltd. | Lantian | Lantian | Xiamen Youen | Xiamen Youen | Xiamen Youen | Sanming Youxin | Sanming Youxin | China New Energy Group Company | ||||
Miscellaneous expenses | Reimbursement of expenses related to extraordinary shareholders meeting: | Reimbursement of expenses related to extraordinary shareholders meeting: | ||||||||||||||||
RELATED PARTY TRANSACTIONS | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expenses from transactions with related party | ' | ' | ' | $90 | ' | ' | $20 | $269 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loans to related parties | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 86 |
Loans from related parties | 2,034 | 572 | 1,263 | ' | ' | ' | ' | ' | ' | ' | 402 | ' | 212 | 572 | 1,263 | 1,420 | ' | ' |
Repayment of loans from related parties | 5,585 | 69 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 69 | ' | 5,585 | ' | ' |
Amounts due from related parties gross | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,379 | 1,338 | ' | ' | ' | ' | ' | ' |
Amounts due from related parties gross | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 86 |
Less: Allowance for doubtful accounts | -1,379 | -1,338 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amounts due from related parties | ' | 86 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amounts due to related parties | $9,491 | $12,705 | ' | ' | $1 | $2 | ' | ' | $1,540 | $1,494 | $408 | ' | ' | $11,209 | ' | $7,542 | $11,593 | ' |
STATUTORY_RESERVES_Details
STATUTORY RESERVES (Details) (PRC, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Statutory reserves | ' | ' | ' |
Restricted portion of net assets, including paid-up capital and statutory reserves of PRC subsidiaries | $503,912 | $475,004 | ' |
Appropriation to statutory reserve | $833 | $1,005 | $333 |
WOFE | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Statutory reserve as a percentage of registered capital up to which after-tax profit of PRC subsidiaries shall be transferred to statutory reserve | 50.00% | ' | ' |
WOFE | Minimum | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
Wangkeng | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
Shapulong | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
Wuyue | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
Ruiyang | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
Husahe | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
Jinlong | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
Jintang | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
Jinwei | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
Dazhaihe | ' | ' | ' |
Statutory reserves | ' | ' | ' |
Appropriation of annual after-tax profit to general reserve fund (as a percent) | 10.00% | ' | ' |
CONCENTRATION_OF_RISKS_Details
CONCENTRATION OF RISKS (Details) (PRC) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Foreign currency exchange rate risk | ' | ' | ' |
Appreciation of the RMB against US$ (as a percent) | 3.00% | 0.20% | 4.90% |
Top five customers | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Number of customers | 5 | ' | ' |
Accounts receivable | Credit concentration risk | Top five customers | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 91.00% | 86.00% | ' |
Revenue | Customer concentration risk | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 100.00% | 100.00% | 100.00% |
Revenue | Customer concentration risk | Yunnan Province | Yunnan Nujiang Electric Power Co., Ltd. | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 6.00% | 5.00% | 7.00% |
Revenue | Customer concentration risk | Yunnan Province | Yunnan Dehong Electric Power Co., Ltd. | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 8.00% | 6.00% | 11.00% |
Revenue | Customer concentration risk | Yunnan Province | Yunnan Honghe Electric Power Co., Ltd. | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 2.00% | 1.00% | 1.00% |
Revenue | Customer concentration risk | Yunnan Province | Yunnan Grid Company, Ltd. | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 3.00% | 3.00% | 4.00% |
Revenue | Customer concentration risk | Sichuan Province | Sichuan Cangxi Electric Power Co., Ltd. | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 1.00% | 1.00% | 1.00% |
Revenue | Customer concentration risk | Zhejiang Province | Lishui Electric Power Bureau | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 49.00% | 46.00% | 43.00% |
Revenue | Customer concentration risk | Fujian Province | Fujian Electric Power Co., Ltd. | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 19.00% | 20.00% | 16.00% |
Revenue | Customer concentration risk | Fujian Province | Pingnan Power Supply Company | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | ' | 5.00% | 8.00% |
Revenue | Customer concentration risk | Fujian Province | Shaowu Electric Power Bureau | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 9.00% | 9.00% | 7.00% |
Revenue | Customer concentration risk | Fujian Province | Nanping Electric Power Bureau | ' | ' | ' |
Concentration of risks | ' | ' | ' |
Concentration risk (as a percent) | 3.00% | 4.00% | 2.00% |
SUBSEQUENT_EVENTS_Details
SUBSEQUENT EVENTS (Details) | 12 Months Ended | 1 Months Ended | 0 Months Ended | 0 Months Ended | |||||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Aug. 31, 2012 | Aug. 31, 2012 | Aug. 31, 2012 | Jan. 09, 2014 | Jan. 09, 2014 | Jan. 11, 2014 | Jan. 11, 2014 | Jan. 14, 2014 | Jan. 14, 2014 | Mar. 05, 2014 | Mar. 05, 2014 | Jan. 14, 2014 | Mar. 05, 2014 | Jan. 14, 2014 | Jan. 09, 2014 | Jan. 09, 2014 | Jan. 09, 2014 | Jan. 14, 2014 | Jan. 14, 2014 | Mar. 18, 2014 | Mar. 18, 2014 |
USD ($) | Liyuan | Liyuan | Liyuan | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | ||
USD ($) | Minimum | Maximum | Short-term loan entered into, January 9, 2014 | Short-term loan entered into, January 9, 2014 | Short-term loan entered into, January 10, 2014 | Short-term loan entered into, January 10, 2014 | Long-term loan entered into, January 14, 2014 | Long-term loan entered into, January 14, 2014 | Long-term loan entered into, March 5, 2014 | Long-term loan entered into, March 5, 2014 | Minimum | Minimum | Maximum | Xiaopengzu | Xiaopengzu | Xiaopengzu | CPT Wyndham Holdings Ltd. | CPT Wyndham Holdings Ltd. | Liyuan | Liyuan | |||
Agricultural Bank of China | Agricultural Bank of China | Agricultural Bank of China | Agricultural Bank of China | Rural Credit Cooperative Union | Rural Credit Cooperative Union | Bank of China | Bank of China | Long-term loan entered into, January 14, 2014 | Long-term loan entered into, March 5, 2014 | Long-term loan entered into, January 14, 2014 | IEL | IEL | IEL | CPT Wyndham Sub Ltd. | CPT Wyndham Sub Ltd. | USD ($) | CNY | ||||||
USD ($) | CNY | USD ($) | CNY | USD ($) | CNY | USD ($) | CNY | Rural Credit Cooperative Union | Bank of China | Rural Credit Cooperative Union | USD ($) | Minimum | Maximum | Ordinary shares | ADS | ||||||||
USD ($) | USD ($) | ||||||||||||||||||||||
Subsequent Event | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash consideration for sale of certain power generating assets | ' | ' | $7,151 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $5,249 | ' | ' | ' | ' | ' | ' |
Term of sale and leaseback | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' |
Quarterly lease payment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 311 | ' | ' | ' | ' | ' | ' |
Implicit interest rate on the lease payments (as a percent) | ' | ' | 6.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6.72% | ' | ' | ' | ' | ' | ' |
Basis spread on variable rate (as a percent) | ' | ' | 0.35% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.32% | ' | ' | ' | ' | ' | ' |
Variable rate basis | ' | ' | 'Benchmark interest rate announced by the People's Bank of China | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'Benchmark interest rate announced by the People's Bank of China | ' | ' | ' | ' | ' | ' |
Term of loan for basis spread on variable rate | ' | ' | ' | '1 year | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | '5 years | ' | ' | ' | ' |
Loan obtained | ' | ' | ' | ' | ' | 1,476 | 9,000 | 328 | 2,000 | 4,100 | 25,000 | 13,613 | 83,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate (as a percent) | ' | ' | ' | ' | ' | 7.80% | 7.80% | 7.80% | 7.80% | 9.00% | 9.00% | 6.88% | 6.88% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premium over benchmark interest rate (as a percent) | ' | ' | ' | ' | ' | 1.80% | 1.80% | 1.80% | 1.80% | 2.60% | 2.60% | 0.33% | 0.33% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1.17 | $3.51 | ' | ' |
Benchmark rate used for loans | 'People's Bank of China | 'People's Bank of China | ' | ' | ' | 'People's Bank of China | 'People's Bank of China | 'People's Bank of China | 'People's Bank of China | 'People's Bank of China | 'People's Bank of China | 'People's Bank of China | 'People's Bank of China | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term of debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | '5 years | '5 years | ' | ' | ' | ' | ' | ' | ' |
Insurance recovery received on damage of plant from BOC Insurance Sichuan Branch | $549 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $955 | 5,822 |
CONDENSED_FINANCIAL_INFORMATIO2
CONDENSED FINANCIAL INFORMATION OF THE COMPANY (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | ||||
Current assets | ' | ' | ' | ' |
Cash and cash equivalents | $14,165 | $7,967 | ' | ' |
Amounts due from subsidiaries | ' | 86 | ' | ' |
Prepayments and other current assets | 3,226 | 14,150 | ' | ' |
Total current assets | 23,618 | 36,682 | ' | ' |
Non-current assets | ' | ' | ' | ' |
Property, plant and equipment, net | 540,242 | 548,511 | ' | ' |
Other non-current assets | 2,220 | 2,013 | ' | ' |
Total non-current assets | 713,624 | 717,634 | ' | ' |
TOTAL ASSETS | 737,242 | 754,316 | 814,915 | ' |
Current liabilities | ' | ' | ' | ' |
Accrued expense and other current liabilities | 28,072 | 43,825 | ' | ' |
Amounts due to related parties | 9,491 | 12,705 | ' | ' |
Deferred tax liabilities | 300 | ' | ' | ' |
Warrant liabilities | ' | 839 | ' | ' |
Total current liabilities | 90,165 | 117,706 | ' | ' |
Total liabilities | 334,613 | 361,801 | 420,037 | ' |
Shareholders' equity | ' | ' | ' | ' |
Ordinary shares (par value US$0.001 per share, 400,000,000 shares authorized as of December 31, 2012 and 2013; 161,989,097 and 162,099,665 shares issued and outstanding as of December 31, 2012 and 2013) | 162 | 162 | ' | ' |
Additional paid-in capital | 509,902 | 509,665 | ' | ' |
Accumulated other comprehensive income | 54,059 | 41,597 | 42,968 | 22,922 |
Accumulated deficit | -161,693 | -159,472 | ' | ' |
Total China Hydroelectric Corporation shareholders' equity | 402,430 | 391,952 | ' | ' |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 737,242 | 754,316 | ' | ' |
Company | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' |
Cash and cash equivalents | 228 | 164 | ' | ' |
Amounts due from subsidiaries | 4,130 | 10,000 | ' | ' |
Prepayments and other current assets | 65 | 11,616 | ' | ' |
Total current assets | 4,423 | 21,780 | ' | ' |
Non-current assets | ' | ' | ' | ' |
Property, plant and equipment, net | 1 | 5 | ' | ' |
Investment in subsidiaries | 427,679 | 399,364 | ' | ' |
Other non-current assets | 19 | ' | ' | ' |
Total non-current assets | 427,699 | 399,369 | ' | ' |
TOTAL ASSETS | 432,122 | 421,149 | ' | ' |
Current liabilities | ' | ' | ' | ' |
Amounts due to subsidiaries | 19,374 | 16,464 | ' | ' |
Accrued expense and other current liabilities | 2,549 | 4,424 | ' | ' |
Amounts due to related parties | 1 | 2 | ' | ' |
Deferred tax liabilities | 300 | ' | ' | ' |
Warrant liabilities | ' | 839 | ' | ' |
Total current liabilities | 22,224 | 21,729 | ' | ' |
Total liabilities | 22,224 | 21,729 | ' | ' |
Shareholders' equity | ' | ' | ' | ' |
Ordinary shares (par value US$0.001 per share, 400,000,000 shares authorized as of December 31, 2012 and 2013; 161,989,097 and 162,099,665 shares issued and outstanding as of December 31, 2012 and 2013) | 162 | 162 | ' | ' |
Additional paid-in capital | 517,370 | 517,133 | ' | ' |
Accumulated other comprehensive income | 54,059 | 41,597 | ' | ' |
Accumulated deficit | -161,693 | -159,472 | ' | ' |
Total China Hydroelectric Corporation shareholders' equity | 409,898 | 399,420 | ' | ' |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $432,122 | $421,149 | ' | ' |
CONDENSED_FINANCIAL_INFORMATIO3
CONDENSED FINANCIAL INFORMATION OF THE COMPANY (Details 2) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Balance sheets (Parenthetical) | ' | ' |
Ordinary shares, par value (in dollars per share) | $0.00 | $0.00 |
Ordinary shares, shares authorized | 400,000,000 | 400,000,000 |
Ordinary shares, shares issued | 162,099,665 | 161,989,097 |
Ordinary shares, shares outstanding | 162,099,665 | 161,989,097 |
Company | ' | ' |
Balance sheets (Parenthetical) | ' | ' |
Ordinary shares, par value (in dollars per share) | $0.00 | $0.00 |
Ordinary shares, shares authorized | 400,000,000 | 400,000,000 |
Ordinary shares, shares issued | 162,099,665 | 161,989,097 |
Ordinary shares, shares outstanding | 162,099,665 | 161,989,097 |
CONDENSED_FINANCIAL_INFORMATIO4
CONDENSED FINANCIAL INFORMATION OF THE COMPANY (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Statements of operations | ' | ' | ' |
Revenues | $74,517 | $85,388 | $54,597 |
Cost of revenues | 35,357 | 35,795 | 31,314 |
Gross profit | 39,160 | 49,593 | 23,283 |
Operating expenses: | ' | ' | ' |
General and administrative expenses (including share-based compensation expense) | -13,258 | -20,348 | -28,896 |
Total operating expenses | -16,807 | -20,348 | -51,874 |
Operating (loss) income | 22,353 | 29,245 | -28,591 |
Interest income | 98 | 84 | 101 |
Interest expense | -22,568 | -28,070 | -24,757 |
Changes in fair value of warrant liabilities | 839 | -399 | 951 |
Exchange (loss) gain | -41 | 28 | -851 |
Gain from disposal of subsidiaries | ' | 2,767 | ' |
Other income, net | 275 | 507 | -334 |
(Loss) income before income tax expense | 956 | 1,395 | -53,481 |
Income tax expense | -3,474 | -6,451 | -1,527 |
Net loss attributable to China Hydroelectric Corporation shareholders | -2,221 | -1,243 | -45,389 |
Other comprehensive income (loss), net of income tax | ' | ' | ' |
Foreign currency translation adjustments (net of income tax expense of nil in 2011, 2012 and 2013) | 12,395 | -1,413 | 20,394 |
Defined benefit pension plans (net of income tax expense of nil in 2011, 2012 and 2013) | ' | 33 | -33 |
Other comprehensive income (loss) | 12,395 | -1,380 | 20,361 |
Comprehensive (loss) income | 9,877 | -2,529 | -34,929 |
Company | ' | ' | ' |
Statements of operations | ' | ' | ' |
Cost of revenues | -7 | ' | ' |
Gross profit | -7 | ' | ' |
Operating expenses: | ' | ' | ' |
General and administrative expenses (including share-based compensation expense) | -3,929 | -7,324 | -18,247 |
Total operating expenses | -3,936 | -7,324 | -18,247 |
Operating (loss) income | -3,936 | -7,324 | -18,247 |
Equity in (losses) profits of subsidiaries | 1,022 | 3,662 | -27,395 |
Interest income | ' | 3 | 66 |
Interest expense | -4 | -142 | -23 |
Changes in fair value of warrant liabilities | 839 | -399 | 951 |
Exchange (loss) gain | 6 | 30 | -580 |
Gain from disposal of subsidiaries | ' | 3,726 | ' |
Other income, net | 152 | 293 | 375 |
(Loss) income before income tax expense | -1,921 | -151 | -44,853 |
Income tax expense | -300 | -1,092 | -536 |
Net loss attributable to China Hydroelectric Corporation shareholders | -2,221 | -1,243 | -45,389 |
Other comprehensive income (loss), net of income tax | ' | ' | ' |
Foreign currency translation adjustments (net of income tax expense of nil in 2011, 2012 and 2013) | 12,462 | -1,404 | 20,079 |
Defined benefit pension plans (net of income tax expense of nil in 2011, 2012 and 2013) | ' | 33 | -33 |
Other comprehensive income (loss) | 12,462 | -1,371 | 20,046 |
Comprehensive (loss) income | $10,241 | ($2,614) | ($25,343) |
CONDENSED_FINANCIAL_INFORMATIO5
CONDENSED FINANCIAL INFORMATION OF THE COMPANY (Details 4) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Statements of cash flows | ' | ' | ' |
Cash flows used in operating activities | $19,410 | $22,700 | $1,644 |
Cash flows (used in) provided by investing activities | 9,905 | -2,784 | -24,734 |
Cash flows provided by financing activities | -24,428 | -20,362 | -2,041 |
Net (decrease) increase in cash and cash equivalents | 4,887 | -446 | -25,131 |
Cash and cash equivalents at the beginning of the year | 7,967 | 8,402 | 33,457 |
Cash and cash equivalents at the end of the year | 14,165 | 7,967 | 8,402 |
Cash dividends paid to parent company | ' | ' | ' |
Cash dividends paid to parent company | 0 | 1,039 | 0 |
Company | ' | ' | ' |
Statements of cash flows | ' | ' | ' |
Cash flows used in operating activities | -2,433 | -3,651 | -8,740 |
Cash flows (used in) provided by investing activities | 2,471 | 931 | -6,500 |
Cash flows provided by financing activities | 26 | ' | 10,036 |
Net (decrease) increase in cash and cash equivalents | 64 | -2,720 | -5,204 |
Cash and cash equivalents at the beginning of the year | 164 | 2,884 | 8,088 |
Cash and cash equivalents at the end of the year | $228 | $164 | $2,884 |