On October 15, Shandong Province-based listed Chinese steelmaker Shandong Iron and Steel Co. (Shandong Steel) stated that it plans to transfer assets worth RMB 12.82 billion ($2.0 billion) at its Jinan facilities to its parent company Shandong Iron and Steel Group (Shandong Steel Group).
By spinning off the assets in question, Shandong Steel is expected to see an improvement in its performance as well as reduce its debts. In the first half of the current year, Shandong Steel registered an operating revenue of RMB 23.004 billion ($3.63 billion), down 15.32 percent year on year, with a net profit of RMB 7.4544 million ($1.18 million), having recorded a loss in the same period of last year.