L&L Provides Additional Information to Refute Short Seller Attack PR Newswire SEATTLE, Oct. 7, 2013 SEATTLE, Oct. 7, 2013 /PRNewswire/ -- L & L Energy, Inc. (NASDAQ: "LLEN") ("L&L" or the "Company"), a U.S.-based company with energy (coal) operations in China, today released additional information to refute the recent defamatory article by short-seller firm, GeoInvesting. In addition to contracts, legal opinions and other supportive evidence already produced, the Company has collected additional documents refuting allegations that its Hong Xing's coal washing facility ("Hong Xing") was shut down since 2012 and produced no revenue. The Company has collected the following documentation and explanatory material, which will be also shared withthe proper authorities. oDuring the period in question, L&Loperated two (2) washingfacilities, Hong Xing andTaiFung. During fiscal 2013, Hong Xing washingonly representedapproximately 20% of consolidated total company sales (not 39% as alleged by GeoInvesting), while TaiFung washing representedapproximately 19% of companysales. As previously disclosed, theCompany idled Hong Xing plant this summerto redirect its capital investment to fulfill a large wholesale supply agreement with Datang. The Company has submitted a monthly sales analysis toauditors that reflects the reduction of activity at Hong Xing from May to June 2013. Hong Xing ceased operations as of June 30, 2013 and produced no revenue in July 2013. In addition, GeoInvesting's allegation that they "sent [a] representative to visit theShizong County Local Tax Bureau, Second Branch [and t]he local tax bureauconfirmedthat the Hong Xing Coal Washing Factory paid less thanRMB 30,000 to theShizong County Local Tax Bureau,"fundamentally misrepresents how Chinese tax collections operate. Hong Xing pays taxes to the proper Chineseauthorities for its sales. TheShizong County Local Tax Bureau, Second Branch ("Second Branch") is a county tax agent that isonly responsible for the county's special surcharges and taxes, including local education and construction surcharges. The surcharge amount is generally small. Furthermore, L&L believes that the Second Branchrefused to give any information to GeoInvesting's investigators. Acertificationreceived from theSecond Branchstatesthat it recently rejected a request from an unknown party to review Hong Xing's data. The requesting partyfailed to provide proper identification. L&L will provide all relevant documentation, includingtheSecond Branch's certification, to the proper authorities. For further information, please contact: L&L Energy, Inc. Investor Relations +1 (206) 264-8065 firstname.lastname@example.org ICR, LLC Gary Dvorchak, CFA Senior Vice President U.S.: +1 (310) 954-1123 China: +86 (10) 6583-7528 Email:email@example.com SOURCE L & L Energy, Inc. Website: http://www.llenergyinc.com
L&L Provides Additional Information to Refute Short Seller Attack
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