NEW YORK, Sept. 6, 2011 /PRNewswire/ -- Deer Consumer
Products, Inc. (Nasdaq: DEER) (website: http://www.deerinc.com/), a
leading provider of "DEER" branded household consumer products to
Chinese consumers and a vertically integrated manufacturer of small
household and kitchen appliances for global customers today
announced that Deer is fully aware of the latest desperate short
seller attacks on Deer on September 6,
2011, including another publication of the same old lies by
a fictitious figure "Alfred Little,"
including totally fabricated information, false identities, and
false allegations against the Company. Deer has repeatedly
filed relevant land acquisition related documents with the
Securities and Exchange Commission (SEC), and Deer stands by the
accuracy of its public filings.
Deer is not aware of any negative development with its business
and is conducting its normal course of business.
Deer also notes the short seller "Alfred
Little's" attempt to link Deer to a heavily shorted and
unrelated company, Harbin Electric, Inc. whose management team has
announced a going private transaction at $24 per share in cash, with a shareholder voting
record date of September 13, 2011,
and advised by Goldman Sachs, Morgan Stanley and Lazard Freres
& Co., as well as represented by several global law firms.
DEER REPORTS SIGNIFICANT PROGRESS MADE AGAINST STOCK
MANIPULATORS
On March 28, 2011, Deer filed suit
against short sellers and certain bloggers including "Alfred Little," a now-admitted fictitious
figure, alleging an orchestrated scheme to manipulate and depress
Deer's stock. Since then, "Alfred
Little" has failed to answer the complaint, changed his
identity from a real person to a web-site, and attempted to extort
the company by threatening to publish more false defamatory reports
until the company dropped its claims against these defendants.
On August 29, 2011, the New York
Supreme Court granted Deer's motion to serve "Alfred Little" with the summons and complaint in
the New York Litigation by e-mail and "Alfred Little" was served the following day.
A default judgment may be granted against "Alfred Little" if this defendant does not show
up in court. Deer is represented by highly credible and
competent legal counsel against the short seller defendants.
Further, as previously disclosed by the company, Deer has court
permission to serve document subpoenas on various parties related
to the lawsuit to identify the anonymous defendants and Deer will
conduct all necessary inquiries relating to the apparent stock
manipulation scheme against the Company.
Deer believes its common stock has been manipulated in collusion
among "naked" short sellers, which include California and offshore-based hedge funds and
individuals that distribute false and fabricated information
concerning Deer via various websites and blogs. Deer will
continue to pursue all legal actions to protect its shareholders'
value.
STRONG BALANCE SHEET, REAFFIRMS 2011 FINANCIAL GUIDANCE AND
DIVIDEND POLICY
As of Q2/2011, Deer had shareholders' equity of approximately
$157 million and more than
$22 million in cash and cash
equivalents without any long-term debts. Deer has sufficient cash
on hand and has no plan to dilute its shareholders. Deer also
affirms previous issued 2011 financial guidance and dividend
policy.
DEER CONFIRMS ACCURACY OF LAND USE RIGHT AND OTHER SEC
DISCLOSURES
Deer has made numerous filings with the Securities and Exchange
Commission on Forms 10-K, 10-Q and 8-K disclosing its land use
rights in the Anhui Province of
China. Despite recent claims of
certain bloggers, who Deer believes to represent the interests of
short sellers, Deer confirms that its disclosures in such filings
were accurate, complete and reflect the commitment of management to
provide the public with full and fair disclosure.
ABOUT DEER CONSUMER PRODUCTS, INC.
Deer Consumer Products, Inc. is a NASDAQ Global Select Market
listed U.S. company with its primary operations in China. Deer has a 16-year operating business
as well as a strong balance sheet. Operated by Deer's founders and
supported by more than 100 patents, trademarks, copyrights and
approximately 2,000 staff, Deer is a leading provider of "DEER"
branded consumer products to Chinese consumers and a leading
vertically integrated manufacturer of small home and kitchen
appliances for global customers. DEER's product lines include
series of small household and kitchen appliances as well as
personal care products designed to make modern lifestyles easier
and healthier.
SAFE HARBOR STATEMENT
All statements in this press release that are not historical are
forward-looking statements made pursuant to the "safe harbor"
provisions of the Private Securities Litigation Reform Act of 1995.
There can be no assurance that actual results will not differ from
the company's expectations. You are cautioned not to place undue
reliance on any forward-looking statements in this press release as
they reflect Deer's current expectations with respect to future
events and are subject to risks and uncertainties that may cause
actual results to differ materially from those contemplated.
Potential risks and uncertainties include, but are not limited to,
the risks described in Deer's filings with the Securities and
Exchange Commission.
Contact Information:
Corporate Contact:
Ms. Helen Wang, President
Deer Consumer Products, Inc.
Tel: 011-86-755-86028300
Email: investors@deerinc.com
SOURCE Deer Consumer Products, Inc.