All the data released in the statement on Mr. Jia Yueting's personal bankruptcy restructuring and the establishment of a creditor trust, LeTV said that this is the result of unilateral statistics by the Jia Yueting debt processing Group, and that the results of the treatment of the debts of the network and the major shareholders and their related parties have been publicly disclosed to the public.
With regard to the current operating situation of LeTV, LeTV said that as a public company, due to the emergence of historical problems, the reputation and credibility of LeTV in the market have fallen to the bottom, which has caused great negative impact on the development of normal business, and business expansion is difficult.
Internally, LETV said that the treatment of debt problems between listed companies and major shareholders and their related parties is in a state of stagnation, while facing a large number of debt defaults caused by extremely tight cash flow. In addition, the judgment result of LETV sports and LETV cloud illegal guarantee case is even worse for the survival of the company, and the treatment result of the above problems is directly related to the survival of the company in the future.
LeTV said that if Jia Yueting fails to repay the debts of his related parties and LeTV effectively in time and in full, the operating environment of LeTV will deteriorate completely, and LeTV may face a major risk that cash flow will be interrupted and the workforce will not be able to maintain it.
The full text of the following LeTV announcement:
Recently, LETV information technology (Beijing) Co., Ltd. (hereinafter referred to as "LETV" or "listed company") noted that Jia Yueting's debt processing team issued the statement on Jia Yueting's personal bankruptcy reorganization and establishment of creditor trust, which stated:
"more than 90% of Mr. Jia Yueting's debt is guaranteed by the company. Since being overfrozen by a creditor (far greater than the total amount of debt owed), the assets and bank operating accounts of all Jia Yueting and Letv have directly led to the inability of the company to operate normally. Up to the collapse of Letv, Mr. Jia Yueting has so far paid more than US $3 billion in debt for the company, and the total amount of debt to be repaid is about US $3.6 billion. Minus secured obligations that have frozen domestic assets to be disposed of and convertible shares, the net amount of debt is about $2 billion. "
II. Clarification statement
1. About the debts guaranteed by Mr. Jia Yueting for LETV, and the debts of its related parties and LETV
Since the outbreak of the operating crisis in 2017, Mr. Jia Yueting has repeatedly declared that he has pledged to repay, but there has been no actual guarantee action. LeTV disclosed the notice on related Party companies' debt offsetting and related transactions on January 2, 2018 and August 21, 2018, respectively, and the notice on the Progress in resolving the debt problem with the unlisted system (notice No. 2018 / 120). According to the announcement, through the unremitting efforts of the management at that time, LeTV and its major shareholders and their related parties offset the debt of listed companies by paying off their debts with capital and transferring their claims to about 820 million yuan.
Since August 2018, LETV has negotiated with major shareholders and their related parties for many times, but because the implementation and implementation of the solution depend on the treatment willingness and actual implementation of major shareholders, there is no progress in the debt treatment between LETV and major shareholders and their related parties. As of now, the debt treatment team of major shareholders and their related parties has not come up with a complete treatment plan that can be substantially implemented. , LETV did not receive any cash for the debt solution.
two。 On the current operating situation of LeTV
In the first half of 2019, by adjusting the business model, improving operational efficiency and controlling costs, the daily operating costs, CDN costs and labor costs decreased significantly compared with the same period.
However, in 2015, when the management failed to perform the approval, review and signing procedures of listed companies as stipulated in the company law, the articles of association and other laws and regulations, and LETV did not authorize an agent to sign the contract, as the signing contractor signed the contract beyond the authority of the agent, resulting in LETV sports and LETV cloud illegal guarantee case, resulting in LETV withdrawing relevant liabilities of about 98 Billion yuan, even LETV's huge loss in the first half of 2019, resulting in the current extremely difficult situation of LETV's operation.
As a public company, due to the emergence of historical problems, LeTV's reputation and reputation in the market have fallen to the bottom. At present, the reputation of LeTV has caused great negative impact on the development of normal business, business expansion is difficult, at the same time, the credibility of falling to the bottom of the company also makes the equity or debt financing of the company almost impossible to achieve. To sum up, the current situation of continuous net outflow of cash flow of the company is difficult to improve, and the sustainable operating capacity of the company is getting worse and worse.
Internally, the debt problems of listed companies, major shareholders and their related parties are in a state of stagnation, and at the same time, they are faced with a large number of debt defaults caused by extreme cash flow tension. In addition, the judgment result of LETV sports and LETV cloud illegal guarantee case is even worse for the survival of the company, and the treatment result of the above problems is directly related to the future life and death of the company.
If Mr. Jia Yueting fails to repay the debts of his related parties and LeTV in full and timely, the operating environment of LeTV will deteriorate completely, and LeTV may face major risks that cash flow will be interrupted and the workforce will not be able to maintain it.
3. The responsibilities of Jia Yueting as the actual controller of the company Mr. Jia Yueting as the actual controller of the company should bear the responsibilities of the major shareholders as soon as possible: to come up with practical solutions to the debt problems of related parties, relieve the pressure of public opinion of LETV network as soon as possible, assist LETV network to restore its reputation, improve the market operation environment of LETV network, and maintain the sustainable operation ability of LETV network; and Assist the company to actively respond to the illegal guarantee case of LETV and recover from the relevant responsible person; fulfill the commitment of providing 5.7 billion yuan of loan to LETV, relieve the pressure of LETV's cash flow, and undertake its own obligations to save LETV and protect the rights and interests of small and medium shareholders.
III. Related risk tips and other instructions
As confirmed by the board of directors of LETV, as of the date of this announcement, LETV has no matters that should be disclosed but not disclosed according to the Listing Rules of gem shares of Shenzhen Stock Exchange and relevant laws, regulations and normative documents.
IV. Necessary tips
The information disclosure media designated by LETV are China Securities Journal, Shanghai Securities Journal, securities times, securities daily and cninfo (www.cninfo. Com. CN). The information publicly disclosed by LETV is subject to the content published in the above designated information disclosure media.
Please invest rationally and pay attention to investment risk.
It is hereby announced.
LeTV Network Information Technology (Beijing) Co., Ltd.
Board of directors