Sino-Forest Corporation

Sino-Forest Corporation (Sino-Forest) (: TRE) (Chinese: 嘉汉林业; pinyin: Jiāhàn Línyè) claims to be one of the leading commercial forest plantation operators in the People's Republic of China. In 2011, the company was accused of fraud and is being investigated by the Royal Canadian Mounted Police and the Ontario Securities Commission. On March 30, 2012 Sino-Forest filed for bankruptcy protection in Canada. It also announced that the company would be sold or restructured, with the proceeds going to its creditors.

Formed in 1994, its principal businesses are claimed to include the ownership and management of tree plantations and complementary manufacturing of downstream engineered-wood products. The company claims to derive most of its revenue from the sales of wood fibre needed to produce industrial, commercial and residential wood products. Sino-Forest also holds a majority interest in Omnicorp Limited, an investment holding company listed in Hong Kong (HK:0094) that claims to import wood fibre into China. Sino-Forest’s common shares have traded on the under the symbol TRE since 1995 and its corporate office is in Mississauga, Canada. Sino-Forest had a market capitalization of just over $5 billion in November 2010.

As of September 30, 2009, Sino-Forest claims to have had approximately 757,000 hectares of trees under management and over 700,000 hectares of trees available to be acquired under its six long-term master agreements. The company intends to replant 200,000 hectares by 2012.

The company claims that it expects to benefit from China's economic stimulus plan which includes further infrastructure development, rebuilding after Sichuan's 2008 earthquake and building of affordable housing for rural areas.

At the end of September 2010, Sino-Forest Corp had claimed approximately 757,000 hectares of forest plantations located in southern China. Its principal business segments include Wood Fibre Operations (i.e. the ownership and management of plantation trees, the sale of standing timber and wood logs, the trading of wood products sourced domestically and internationally) and Manufacturing and Other Operations (i.e. downstream engineered-wood flooring and panels, seedling nurseries, greenery services).

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