Quarterly report pursuant to Section 13 or 15(d)

Unaudited Consolidated Statements of Cash Flows

v3.4.0.3
Unaudited Consolidated Statements of Cash Flows - USD ($)
 3 Months Ended
Mar. 31, 2016
Mar. 31, 2015
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net (loss) income $ (5,478,850) $ 8,416,262
Adjustments to reconcile net (loss) income from operations to net cash provided by operating activities:    
Depreciation 1,682,985 1,528,756
Increase in allowance for doubtful accounts 277,982 $ 160,765
Increase in reserve for inventories 1,550,335
Loss on equity method investment 10,316 $ 3,345
Changes in operating assets and liabilities:    
Accounts receivable 3,406,211 19,795,236
Inventories (2,967,993) $ 7,266,034
Advances to suppliers 170,802
Prepaid expenses 1,266 $ 13,289
Prepaid expenses - related parties $ 1,860,757 (10,140,274)
Deferred expenses - related parties 472,387
Other receivables $ (17) $ 164,836
Other receivables - related parties (97)
Accounts payable (37,895) $ 122,267
Accounts payable - related parties $ 656,067 (2,307,645)
Advances from customers (155,489)
Accrued liabilities and other payables $ (507,011) 792,197
Due to related parties 3
NET CASH PROVIDED BY OPERATING ACTIVITIES $ 624,858 26,131,969
CASH FLOWS FROM INVESTING ACTIVITIES:    
Refunds from commercial retail space prepayments 22,497,898
Purchase of property, plant and equipment $ (113,479) $ (16,361)
Prepayments made for long-term assets (20,108,663)
Proceeds from transferring equity method investment share $ 15,291,759
Payments for equity method investment $ (40,744,483)
NET CASH USED IN INVESTING ACTIVITIES $ (4,930,383) (18,262,946)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Proceeds from short-term bank loans 3,156,505 7,153,729
Repayments of short-term bank loans $ (7,214,044) (6,158,048)
Repayments of long-term bank loans $ (6,506,894)
Increase in restricted cash $ (611,670)
Advances from related parties $ 200,000 $ 1,100,000
Payments made for dividend (790,551)
Capital contribution from non-controlling interest 65,191,173
Payments made to related parties in connection with the termination of VIE (13,527,168)
NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES $ (4,469,209) 46,462,241
EFFECT OF EXCHANGE RATE ON CASH AND CASH EQUIVALENTS (90,453) 296,407
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS (8,865,187) 54,627,671
CASH AND CASH EQUIVALENTS - beginning of period 11,448,684 12,752,272
CASH AND CASH EQUIVALENTS - end of period 2,583,497 67,379,943
Cash paid for:    
Interest $ 556,138 $ 939,951
INCOME TAXES
NON-CASH INVESTING AND FINANCING ACTIVITIES:    
Acquisition of property and equipment by decreasing prepayment for long-term assets $ 10,551,314
Offset other receivables - related parties against due to related parties $ 1,560,000