Bosideng Clarifies That The Down Sale Season Is At A Reasonable Level.

< p > Bosideng announced that the board of directors expressed high concern and clarification about the Hongkong media's inconsistent reports on the group and its business yesterday.

The group's retail network consists of exclusive stores and consignment outlets.

During the off-season sale of down jacket, according to the industry practice, some stores run by distributors will rent the stores in the form of short-term lease.

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< p > the consignment outlets of the group are mainly located in the counters of department stores. They are usually only set up during the peak season of the down jacket sales, so as to match the seasonal characteristics of the main products, consistent with the group's flexible sales strategy and strict cost control measures.

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< p > Bosideng, generally speaking, during the off-season sale of down garments from 4 to June, the group will help distributors deal with the issue of return and goods pfer, and this year, from the beginning of the next 1 fiscal year to March, the production of the next fiscal year will be used to save production costs. Therefore, the demand for material flow is relatively large, and the warehouse has a certain amount of stock, which is at a reasonable level.

By July, the group will distribute products to self stores and distributors, and inventory will begin to roll.

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< p > in addition, the return mechanism allows distributors to confirm the return of unsold goods at the end of the fiscal year at the end of the fiscal year by the end of March, and the return rate is about 20% to 25%.

In terms of financial settlement, the percentage of returns stated in the contract is not recognized as sales revenue.

In addition, since the financial year of 2010/11, the group has officially launched a new ordering mechanism for some long-term cooperative and relatively strong distributors, canceling the terms of the return arrangement, and the relevant arrangements are clearly recorded in the annual report of the financial year.

At present, the two method is double line parallel.

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< p > Bosideng said that the group had ample funds and unaudited financial data as at the end of March this year, and the group's net cash was about 2 billion 800 million yuan.

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