Annual Report 2009 - Greentown China Holdings Limited

Dear Shareholders,
In early 2009, the level of property transactions in China was low,
which had affected Greentown briefly. Taking a proactive stance
to meet the challenge, Greentown management carried out
continuous discussions and assessments of the situation, which
brought two fundamental conclusions that we firmly believe in. The first
is that, despite temporary twists and turns, the improvement in living
standards and progress in urbanisation shall prevail in the long term,
propelled by the continuous economic development in the PRC. At the
same time, the real estate industry will be a fundamental driving force
for the nation’s economic growth and expansion of domestic demand.
The second is that, due to the shortage of high-quality products and
services in the market, the public’s strong demand for sophisticated
products and outstanding services will provide an inexhaustible
momentum for the development of the real estate industry. Based on
these two conclusions, Greentown reinforced its strategic focus on
sophisticated products and launched them on schedule defying all
other market concerns. As a result, by the end of the second quarter of
2009, Greentown completely overcome the short-term setbacks caused
by the market’s earlier downturn, and thus its sales jumped rapidly.
Looking forward to 2010, despite numerous uncertainties that hover
over the economic fundamentals and industry trends, Greentown
management has every confidence in China’s advancement towards
sustained prosperity. The country’s rapid urbanisation will remain a
strong impetus to the growth of the real estate industry. Management
believes that the Chinese people’s urgent demand for better standards
of housing and living is an irreversible trend that shapes the Group’s
long-term growth. While remaining true to our inherent principles,
Greentown is committed to the execution of its on-going development
strategies.
Quality and cooperation have always been the intrinsic values of
Greentown. We believe that Greentown’s superior quality has given
us the autonomy to define our own pricing strategy, while our sincere
approach in absorbing external resources has attracted beneficial
partnerships. These competitive advantages have helped the Group
stay proactively in the ever-changing market conditions. In response to
cyclical market fluctuations in the future, Greentown will also shorten
its product development cycle and adopt a fast-selling approach.
In 2010, four guiding principles will shape Greentown’s development.
Firstly, we will make this “The Year of Investment in Human Resources”
to accelerate the growth and development of our people. Secondly,
we will strenuously implement the strategy of product sophistication
at every level in the company to achieve optimal effectiveness in our
operation. Thirdly, we will proactively explore more flexible ways to
cooperate with landowners and establish a standard business model
for undertaking construction projects, thereby increasing the scale of
such projects. Fourthly, we will emphasize the importance of cash flow
in our operation. While maintaining its quality standards, Greentown
will strengthen its budget management and cost control, and speed up
its product development process, thereby achieving earlier, faster and
greater sales.
Management believes that changes in the external environment are
always secondary influences on a company’s development. Greentown’s
ultimate success always lies in its internal vision for growth and its
ability to implement the right strategies in response to market changes.
In 2010, Greentown will enter a new stage in its development with
vigour, perseverance and a spirit of self-examination.
Finally, I would like to take this opportunity to express my sincere
thanks to all of our customers and shareholders, and to our staff for
their continuous dedication and hard work.
Song Weiping
Chairman
19 April 2010
Greentown China Holdings Limited Annual Report 2009 41