LEASE COMMITMENTS

9 Months Ended

Sep. 30, 2014

LEASE COMMITMENTS [Text Block]

20.	LEASE COMMITMENTS
	(a.) The Company entered into an operating lease agreement leasing a factory building located in Dongguan, China. The lease was signed by Shandong Lorain on behalf of Dongguan Lorain and expires on August 9, 2018.
	The minimum future lease payments for this property at September 30, 2014 are shown in the following table:

From	To		Lease payment
7/1/2014	12/31/2014	$	23,171
1/1/2015	12/31/2015		92,685
1/1/2016	12/31/2016		92,685
1/1/2017	12/31/2017		92,685
1/1/2018	8/9/2018		56,641
		$	357,867

The outstanding lease commitment as of September 30, 2014 was $357,867.

The minimum future lease payments for this property at December 31, 2013 are shown in the following table:

From	To		Lease payment
1/1/2014	12/31/2014	$	92,685
1/1/2015	12/31/2015		92,685
1/1/2016	12/31/2016		92,685
1/1/2017	12/31/2017		92,685
1/1/2018	8/9/2018		56,641
		$	427,381

	The outstanding lease commitment as of December 31, 2013 was $427,381.
(b.)	During the year ended December 31, 2013, the Company entered into three operating lease agreements leasing three plots of land where greenhouses are maintained to grow seasonal crops. The leases were signed by Junan Hongrun Foodstuff Co., Ltd. and expire on April 25, 2033, May 19, 2033, and June 19, 2033, respectively.
	The minimum future lease payments for these properties at September 30, 2014 are shown in the following tables:

From	To		Greenhouse 1	From	To		Greenhouse 2	From	To		Greenhouse 3
10/1/2014	12/31/2014	$	19,532	10/1/2014	12/31/2014	$	23,779	10/1/2014	12/31/2014	$	2,835
1/1/2015	12/31/2015		78,128	1/1/2015	12/31/2015		95,114	1/1/2015	12/31/2015		11,339
1/1/2016	12/31/2016		78,128	1/1/2016	12/31/2016		95,114	1/1/2016	12/31/2016		11,339
1/1/2017	12/31/2017		78,128	1/1/2017	12/31/2017		95,114	1/1/2017	12/31/2017		11,339
1/1/2018	12/31/2018		78,128	1/1/2018	12/31/2018		95,114	1/1/2018	12/31/2018		11,339
1/1/2019	12/31/2019		78,128	1/1/2019	12/31/2019		95,114	1/1/2019	12/31/2019		11,339
1/1/2020	12/31/2020		78,128	1/1/2020	12/31/2020		95,114	1/1/2020	12/31/2020		11,339
1/1/2021	12/31/2021		78,128	1/1/2021	12/31/2021		95,114	1/1/2021	12/31/2021		11,339
1/1/2022	12/31/2022		78,128	1/1/2022	12/31/2022		95,114	1/1/2022	12/31/2022		11,339
1/1/2023	12/31/2023		85,773	1/1/2023	12/31/2023		102,527	1/1/2023	12/31/2023		12,097
1/1/2024	12/31/2024		89,289	1/1/2024	12/31/2024		105,683	1/1/2024	12/31/2024		12,757
1/1/2025	12/31/2025		89,289	1/1/2025	12/31/2025		105,683	1/1/2025	12/31/2025		12,757
1/1/2026	12/31/2026		89,289	1/1/2026	12/31/2026		105,683	1/1/2026	12/31/2026		12,757
1/1/2027	12/31/2027		89,289	1/1/2027	12/31/2027		105,683	1/1/2027	12/31/2027		12,757
1/1/2028	12/31/2028		89,289	1/1/2028	12/31/2028		105,683	1/1/2028	12/31/2028		12,757
1/1/2029	12/31/2029		89,289	1/1/2029	12/31/2029		105,683	1/1/2029	12/31/2029		12,757
1/1/2030	12/31/2030		89,289	1/1/2030	12/31/2030		105,683	1/1/2030	12/31/2030		12,757
1/1/2031	12/31/2031		89,289	1/1/2031	12/31/2031		105,683	1/1/2031	12/31/2031		12,757
1/1/2032	12/31/2032		89,289	1/1/2032	12/31/2032		105,683	1/1/2032	12/31/2032		12,757
1/1/2033	4/25/2033		42,261	1/1/2033	5/19/2033		50,322	1/1/2033	6/19/2033		5,530
		$	1,576,191			$	1,888,687			$	225,987

The outstanding lease commitments for the three greenhouses as of September 30, 2014 was $3,690,865.

The minimum future lease payments for these properties at December 31, 2013 are shown in the following tables:

From	To		Greenhouse 1	From	To		Greenhouse 2	From	To		Greenhouse 3
1/1/2014	12/31/2014	$	78,128	1/1/2014	12/31/2014	$	95,114	1/1/2014	12/31/2014	$	11,339
1/1/2015	12/31/2015		78,128	1/1/2015	12/31/2015		95,114	1/1/2015	12/31/2015		11,339
1/1/2016	12/31/2016		78,128	1/1/2016	12/31/2016		95,114	1/1/2016	12/31/2016		11,339
1/1/2017	12/31/2017		78,128	1/1/2017	12/31/2017		95,114	1/1/2017	12/31/2017		11,339
1/1/2018	12/31/2018		78,128	1/1/2018	12/31/2018		95,114	1/1/2018	12/31/2018		11,339
1/1/2019	12/31/2019		78,128	1/1/2019	12/31/2019		95,114	1/1/2019	12/31/2019		11,339
1/1/2020	12/31/2020		78,128	1/1/2020	12/31/2020		95,114	1/1/2020	12/31/2020		11,339
1/1/2021	12/31/2021		78,128	1/1/2021	12/31/2021		95,114	1/1/2021	12/31/2021		11,339
1/1/2022	12/31/2022		78,128	1/1/2022	12/31/2022		95,114	1/1/2022	12/31/2022		11,339
1/1/2023	12/31/2023		85,773	1/1/2023	12/31/2023		102,527	1/1/2023	12/31/2023		12,097
1/1/2024	12/31/2024		89,289	1/1/2024	12/31/2024		105,683	1/1/2024	12/31/2024		12,757
1/1/2025	12/31/2025		89,289	1/1/2025	12/31/2025		105,683	1/1/2025	12/31/2025		12,757
1/1/2026	12/31/2026		89,289	1/1/2026	12/31/2026		105,683	1/1/2026	12/31/2026		12,757
1/1/2027	12/31/2027		89,289	1/1/2027	12/31/2027		105,683	1/1/2027	12/31/2027		12,757
1/1/2028	12/31/2028		89,289	1/1/2028	12/31/2028		105,683	1/1/2028	12/31/2028		12,757
1/1/2029	12/31/2029		89,289	1/1/2029	12/31/2029		105,683	1/1/2029	12/31/2029		12,757
1/1/2030	12/31/2030		89,289	1/1/2030	12/31/2030		105,683	1/1/2030	12/31/2030		12,757
1/1/2031	12/31/2031		89,289	1/1/2031	12/31/2031		105,683	1/1/2031	12/31/2031		12,757
1/1/2032	12/31/2032		89,289	1/1/2032	12/31/2032		105,683	1/1/2032	12/31/2032		12,757
1/1/2033	4/25/2033		42,261	1/1/2033	5/19/2033		50,322	1/1/2033	6/19/2033		5,530
		$	1,634,787			$	1,960,022			$	234,491

The outstanding lease commitment for the three greenhouses as of December 31, 2013 was $3,829,300.