10-Q/A

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q/A

[X] Quarterly report pursuant Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended June 30, 2013

[_] Transition report pursuant Section 13 or 15(d) of the Securities Exchange Act of 1934

For the transition period from _______ to _______.

001-33960
(Commission file number)

SHINER INTERNATIONAL, INC.
(Exact name of registrant as specified in its charter)

Nevada	98-0507398
(State or other jurisdiction of incorporation or organization)	(IRS Employer Identification No.)

19/F, Didu Building, Pearl River Plaza,
No. 2 North Longkun Road
Haikou, Hainan Province
China 570125
(Address of principal executive offices)

011-86-898-68581104 (Issuer’s telephone number)

N/A
(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes [X]    No [_]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files)

Yes [X]    No [_]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer [_]	Accelerated filer [_]
Non-accelerated filer [_]	Smaller reporting company [X]
(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes [_] No [X]

The number of shares outstanding of each of the issuer’s classes of common stock, as of August 9, 2013 is as follows:

Class of Securities	Shares Outstanding
Common Stock, $0.001 par value	27,541,491

EXPLANATORY NOTE

This amendment to the Quarterly Report on Form 10-Q (the “Amendment”) amends the amended Quarterly Report on Form 10-Q of Shiner International, Inc. (the “Company”) for the quarter ended June 30, 2013 (the “Original Filing”), that was originally filed with the U.S. Securities and Exchange Commission on August 15, 2013. The Amendment is being filed to submit Exhibit 101 (XBRL interactive data).

Except as described above, the Amendment does not modify or update the disclosures presented in, or exhibits to, the Original Filing in any way. Those sections of the Original Filing that are unaffected by the Amendment are not included herein. The Amendment continues to speak as of the date of the Original Filing. Furthermore, the Amendment does not reflect events occurring after the filing of the Original Filing. Accordingly, the Amendment should be read in conjunction with the Original Filing, as well as the Company’s other filings made with the SEC pursuant to Section 13(a) or 15(d) of the Exchange Act subsequent to the filing of the Original Filing.

Pursuant to Rule 406T of Regulation S-T, the interactive data files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are deemed not filed for purposes of Section 18 of the Securities Act of 1934, as amended, and otherwise are not subject to liability under those sections.

TABLE OF CONTENTS

PART I – FINANCIAL INFORMATION
Item 1.	Financial Statements	1
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	19
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	26
Item 4.	Controls and Procedures	26
PART II – OTHER INFORMATION
Item 1.	Legal Proceedings	26
Item 1A.	Risk Factors	27
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	27
Item 3.	Defaults Upon Senior Securities	27
Item 4.	Mine Safety Disclosures	27
Item 5.	Other Information	27
Item 6.	Exhibits	27

PART I.

FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS.

SHINER INTERNATIONAL, INC.

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2013 AND 2012

	Page(s)
Financial Statements
Consolidated Balance Sheets	2
Consolidated Statements of Operations and Other Comprehensive Income (Loss)	3
Consolidated Statements of Cash Flows	4
Notes to Consolidated Financial Statements	5 - 18

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS

		June 30,			December 31,
		2013			2012
		(Unaudited)
ASSETS
CURRENT ASSETS:
Cash and equivalents	$	5,381,045		$	4,233,183
Restricted cash		2,509,330			925,039
Accounts receivable, net of allowance for doubtful accounts of $997,763            and $850,123 at June 30, 2013 and December 31, 2012		10,088,042			7,807,846
Advances to suppliers		13,513,886			15,141,398
Notes receivable		58,653			542,802
Inventory, net		14,339,365			10,110,732
Prepaid expenses and other current assets		1,740,120			711,537
Total current assets		47,630,441			39,472,537
Property and equipment, net		30,349,348			30,689,391
Construction in progress		5,346,403			5,840,483
Advance for purchase of equipment		311,940			426,536
Intangible assets, net		1,080,556			1,069,988
TOTAL ASSETS	$	84,718,688		$	77,498,935
LIABILITIES AND EQUITY
CURRENT LIABILITIES:
Accounts payable	$	8,567,798		$	6,808,524
Other payables		8,457,086			8,213,146
Unearned revenue		1,032,067			1,622,318
Accrued payroll		150,704			147,722
Short-term loans		19,488,630			16,404,115
Total current liabilities		37,696,285			33,195,825
Long-term loans		11,326,000			11,095,000
Total liabilities		49,022,285			44,290,825
Commitments and contingencies
EQUITY:
Shiner stockholders' equity:
Common stock, par value $0.001; 75,000,000 shares authorized,                        27,603,336 shares issued and 27,541,491 shares outstanding		27,603			27,603
Additional paid-in capital		14,336,456			14,336,456
Treasury stock (61,845 shares)		(58,036	)		(58,036	)
Other comprehensive income		6,452,437			5,745,728
Statutory reserve		3,414,514			3,414,514
Retained earnings		11,296,405			9,526,528
Total Shiner stockholders' equity		35,469,379			32,992,793
Noncontrolling interest		227,024			215,317
Total equity		35,696,403			33,208,110
TOTAL LIABILITIES AND EQUITY	$	84,718,688		$	77,498,935

The accompanying notes are an integral part of these consolidated financial statements.

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SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE INCOME (LOSS)
(Unaudited)

		Three Months Ended June 30,						Six Months Ended June 30,
		2013			2012			2013			2012
Net revenue	$	17,950,297		$	16,401,485		$	31,793,826		$	33,771,509
Cost of goods sold		16,127,248			15,913,476			29,057,338			31,112,559
Gross profit		1,823,049			488,009			2,736,488			2,658,950
Operating expenses:
Selling		769,904			577,500			1,435,329			1,232,031
General and administrative		1,497,585			1,386,968			2,928,678			3,033,445
Total operating expenses		2,267,489			1,964,468			4,364,007			4,265,476
Loss from operations		(444, 440	)		(1,476,459	)		(1,627,519	)		(1,606,526	)
Non-operating income (expense):
Other income (expense), net		3,572,108			294,712			4,579,548			193,529
Interest income		14,411			9,565			75,761			18,394
Interest expense		(512,850	)		(323,196	)		(887,006	)		(611,865	)
Exchange loss		(41,011	)		(3,775	)		(79,071	)		(9,648	)
Total non-operating income (expense)		3,032,658			(22,694	)		3,689,232			(409,590	)
Income (loss) before income tax		2,588,218			(1,499,153	)		2,061,713			(2,016,116	)
Income tax expense (benefit)		284,684			(63,222	)		284,684			15,721
Net income (loss)		2,303,534			(1,435,931	)		1,777,029			(2,031,837	)
Net income (loss) attributed to noncontrolling
interest		7,137			(21,641	)		7,152			(63,027	)
Net income (loss) attributed to Shiner	$	2,296,397		$	(1,414,290	)	$	1,769,877		$	(1,968,810	)
Comprehensive income (loss):
Net income (loss)	$	2,303,534		$	(1,435,931	)	$	1,777,029		$	(2,031,837	)
Foreign currency translation gain		517,918			28,762			706,709			307,086
Comprehensive income (loss)	$	2,821,452		$	(1,407,169	)	$	2,483,738		$	(1,724,751	)
Weighted average shares outstanding:
Basic		27,541,491			27,541,491			27,541,491			27,541,491
Diluted		27,541,491			27,541,491			27,541,491			27,541,491
Income (loss) per share attributed to Shiner common
stockholders:
Basic	$	0.08		$	(0.05	)	$	0.06		$	(0.07	)
Diluted	$	0.08		$	(0.05	)	$	0.06		$	(0.07	)

The accompanying notes are an integral part of these consolidated financial statements.

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SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2013 AND 2012
(Unaudited)

		2013			2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	1,777,029		$	(2,031,837	)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation		1,627,172			1,654,126
Amortization		11,594			118,214
Stock compensation expense		-			2,032
Change in working capital components:
Accounts receivable		(2,096,694	)		280,177
Inventory		(3,978,392	)		(2,276,621	)
Advances to suppliers		1,923,549			(2,010,504	)
Prepaid expenses and other current assets		(1,019,674	)		475,505
Accounts payable		1,602,247			(1,942,069	)
Unearned revenue		(617,857	)		439,576
Other payables		76,624			(219,453	)
Accrued payroll		(92	)		(41,167	)
Net cash used in operating activities		(694,494	)		(5,552,021	)
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash from the sale of assets		122,255			-
Issuance of notes receivable		(54,690	)		(23,764	)
Proceeds from notes receivable		545,241			7,925
Payments for property and equipment		(48,258	)		(1,675,316	)
Increase in restricted cash		(1,549,556	)		(156,619	)
Net cash used in investing activities		(985,008	)		(1,847,774	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of short-term loans		(16,580,059	)		(11,655,944	)
Proceeds from short-term loans		19,295,912			18,572,677
Proceeds from long-term loans		-			1,061,206
Net cash provided by financing activities		2,715,853			7,977,939
Effect of exchange rate changes on cash and equivalents		111,511			25,348
NET INCREASE IN CASH AND EQUIVALENTS		1,147,862			603,492
CASH AND EQUIVALENTS, BEGINNING BALANCE		4,233,183			2,831,808
CASH AND EQUIVALENTS, ENDING BALANCE	$	5,381,045		$	3,435,300
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Interest paid	$	757,239		$	546,020
Income taxes paid	$	-		$	7,608

The accompanying notes are an integral part of these consolidated financial statements.

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SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

Note 1 - Organization and Basis of Presentation

The unaudited consolidated financial statements were prepared by Shiner International, Inc., a Nevada corporation (the “Company” or “Shiner”), pursuant to the rules and regulations of the Securities Exchange Commission (“SEC”). The information furnished herein reflects all adjustments (consisting of normal recurring accruals and adjustments) which are, in the opinion of management, necessary to fairly present the operating results for the respective periods. Certain information and footnote disclosures normally present in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) were omitted pursuant to such rules and regulations. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and footnotes included in the Company’s Annual Report on Form 10-K filed with the SEC on March 29, 2013. The results for the three and six months ended June 30, 2013, are not necessarily indicative of the results to be expected for the year ending December 31, 2013.

Organization and Line of Business

Shiner International, Inc. (the “Company” or “Shiner”) was incorporated in the State of Nevada on November 12, 2003. The Company, through its subsidiaries manufactures Biaxially Oriented Polypropylene (“BOPP”) tobacco film, coated films, color printing products, advanced film, and water based coatings selling to customers throughout the People’s Republic of China (“China” or “PRC”), Asia, Australia, Europe, the Middle East and North America. Our products are sold to companies in the following industries: food, tobacco, chemical, agribusiness, medical, pharmaceutical, personal care, electronics, automotive, construction, graphics, music and video publishing and other consumer goods.

Except as otherwise indicated by the context, all references in this report to “Shiner,” “Company,” “we,” “us” or “our” are to Shiner International, Inc. and its direct and indirect subsidiaries: (i) Hainan Shiner Industrial Co., Ltd., or “Hainan Shiner,” (ii) Hainan Shiny-Day Color Printing Packaging Co., Ltd., or “Shiny-Day,” (iii) Hainan Modern Hi-Tech Industrial Co., Ltd., or “Hainan Modern,” (iv) Zhuhai Modern Huanuo Packaging Material Co., Ltd., or “Zhuhai Modern,” (v) Shimmer Sun Ltd., or “Shimmer Sun,” (vi) Hainan Jingyue New Material Co., Ltd., or “Jingyue,” (vii) Hainan Shunhao New Material Co., Ltd., or “Shunhao,” (viii) Hainan Yongxin Environmental Co., Ltd., or “Yongxin,” and (ix) Ningbo Neisuoer Latex Co., Ltd., or “Ningbo”.

Basis of Presentation

The accompanying consolidated financial statements include the accounts of Shiner and its subsidiaries as follows:

	Place	Percentage
Subsidiary	Incorporated	Owned	Parent
Shiner International, Inc.	Nevada, USA		None
Hainan Shiner	China	100%	Shiner International, Inc.
Shiny-Day	China	100%	Shiner International, Inc.
Hainan Modern	China	100%	Shiny-Day
Zhuhai Modern	China	100%	Shiny-Day
Shimmer Sun	China	100%	Shiner International, Inc.
Jingyue	China	100%	Shimmer Sun
Shunhao	China	100%	Jingyue
Yongxin	China	100%	Shunhao
Ningbo	China	65%	Yongxin

The accompanying consolidated financial statements were prepared in conformity with the accounting principles generally accepted in the United States of America (“US GAAP”). The Company’s functional currency is the Chinese Yuan Renminbi (“RMB”); however, the accompanying consolidated financial statements were translated and presented in United States Dollars (“$” or “USD”).

Noncontrolling Interest

On May 2, 2011, Shiner acquired 100% of the stock of Shimmer Sun Ltd. (“Shimmer Sun”) for $3.2 million. The Company paid $1.3 million in cash and the remaining $1.9 million was paid by September 30, 2011. The acquisition gave Shiner a 65% controlling

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SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

interest in Shimmer Sun’s subsidiary, Ningbo. The transaction was accounted for under the acquisition method of accounting, with the purchase price allocated based on the fair value (“FV”) of the individual assets acquired and liabilities assumed.

The Company follows Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 810, “Consolidation,” which governs the accounting for and reporting of non-controlling interests (“NCIs”) in partially owned consolidated subsidiaries and the loss of control of subsidiaries. Certain provisions of this standard indicate, among other things, that NCIs be treated as a separate component of equity, not as a liability, that increases and decreases in the parent’s ownership interest that leave control intact be treated as equity transactions rather than as step acquisitions or dilution gains or losses, and that losses of a partially owned consolidated subsidiary be allocated to the NCI even when such allocation might result in a deficit balance. This standard also required changes to certain presentation and disclosure requirements.

The net income (loss) attributed to the NCI is separately designated in the accompanying statements of operations and other comprehensive income (loss). Losses attributable to the NCI in a subsidiary may exceed the NCI’s interests in the subsidiary’s equity. The excess attributable to the NCI is attributed to those interests. The NCI shall continue to attribute its share of losses even if that attribution results in a deficit NCI balance.

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of Shiner International, Inc. and its subsidiaries. All significant intercompany transactions and balances were eliminated in consolidation.

Foreign Currency Translation

The accounts of the Company’s Chinese subsidiaries are maintained in RMB and the accounts of the US parent company are maintained in USD. The accounts of the Chinese subsidiaries are translated into USD in accordance with ASC Topic 830, “Foreign Currency Matters,” with the RMB as the functional currency. According to Topic 830, all assets and liabilities are translated at the exchange rate on the balance sheet date, stockholders’ equity is translated at historical rates and statement of operations items are translated at the weighted average exchange rate for the period. The resulting translation adjustments are reported under other comprehensive income in accordance with ASC Topic 220, “Comprehensive Income.” Gains and losses resulting from the translations of foreign currency transactions and balances are reflected in the statement of operations and other comprehensive income (loss).

Note 2 - Summary of Significant Accounting Policies

Use of Estimates

The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Equivalents

Cash and equivalents include cash on hand and cash in time deposits, certificates of deposit and all highly liquid debt instruments with original maturities of three months or less.

Restricted Cash

Restricted cash consists of monies restricted by the Company’s lender related to its outstanding debt obligations.

Accounts Receivable

The Company maintains reserves for potential credit losses on accounts receivable. Management reviews the composition of accounts receivable and analyzes historical bad debts, customer concentrations, customer credit worthiness, current economic trends and changes in customer payment patterns to evaluate the adequacy of these reserves. Reserves are recorded primarily on a specific identification basis.

Advances to Suppliers

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SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

To ensure a steady supply of raw materials, the Company is required from time to time to make cash advances when placing its purchase orders. Management determined no reserve was necessary for advances to suppliers. The advances to suppliers are interest free and unsecured.

Notes Receivable

Notes receivable consist of bank notes received from customers as payment of their accounts receivable. The notes are guaranteed by a bank and bear no interest. The notes are generally due within three months from the date of issuance.

Inventory, net

Inventory is valued at the lower of the inventory’s cost (weighted average basis) or the current market price of the inventory. Management compares the cost of inventory with its market value and an allowance is made to write down inventory to market value, if lower.

Property and Equipment, net

Property and equipment are stated at cost. Expenditures for maintenance and repairs are expensed as incurred; additions, renewals and improvements are capitalized. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Depreciation of property and equipment is provided using the straight-line method for substantially all assets with estimated lives as follows:

Operating equipment	10 years
Vehicles	8 years
Office equipment	5 years
Buildings and improvements	20 years

The following are the details regarding the Company’s property and equipment at June 30, 2013 and December 31, 2012:

		June 30,			December 31,
		2013			2012
					(audited)
Operating equipment	$	26,478,484		$	25,868,886
Vehicles		710,210			695,724
Office equipment		240,916			231,234
Buildings		12,630,628			12,183,492
		40,060,238			38,979,336
Less: accumulated depreciation		(9,710,890	)		(8,289,945	)
	$	30,349,348		$	30,689,391

Construction in Progress and Government Grants

Construction in progress mainly consists of amounts expended to build a manufacturing workshop in Hainan, including a product line for a BOPP tobacco line. The costs incurred and capitalized as construction in progress at June 30, 2013 and December 31, 2012 (audited) were $5.3 million and $5.8 million, respectively, which include the facility and equipment. Once the project is completed, it will be transferred from “Construction in progress” to “Property and equipment.” The total cost of the new Hainan manufacturing workshop and the BOPP tobacco line is expected to be $25.1 million. The first phase of the project was completed during 2010. In October 2009, the Company received a government grant for this project of RMB29.1 million (or $4.3 million based on the exchange rate at December 31, 2009) from the Hainan Province Finance Bureau (“HPFB”). The Company is required to provide detailed expenses of the construction project to the HPFB. At the end of the project, the government will determine if the funds were used in accordance with the grant. At June 30, 2013 and December 31, 2012 (audited), respectively, RMB25.2 million ($4.1 million based on the exchange rate at June 30, 2013) and RMB26.675 million (or $4.2 million based on the exchange rate at December 31, 2012) was recorded in “Other payables” on the accompanying consolidated financial statements (Note 6). The amount of the government grant is being amortized into other income over the useful life of the asset on the same basis used to depreciate the asset. For the three and six months ended June 30, 2013, the Company amortized $116,546 and $232,364, respectively, into “Other income.”

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SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

In December 2011, the Company received a government grant of RMB14.0 million (or $2.2 million based on the exchange rate as of December 31, 2011) from the Haikou Finance Bureau (“HFB”) for the adjustment and expansion of our operations and related capital expenditures for construction and equipment purchases. The Company is required to provide detailed expenses of the construction project to HFB. At the end of the project, the government will determine if the funds were used in accordance with the grant. At June 30, 2013 and December 31, 2012 (audited), respectively, RMB12.1 million ($2.0 million based on the exchange rate at June 30, 2013) and RMB12.8 million (or $2.0 million based on the exchange rate at December 31, 2012) was recorded in “Other payables” on the accompanying consolidated financial statements (Note 6). The amount of the government grant is being amortized into “Other income” over the useful life of the asset on the same basis used to depreciate the asset. For the three and six months ended June 30, 2013, the Company amortized $56,070 and $111,790, respectively, into “Other income.”

In January 2012, the Company received a government grant of RMB1.8 million (or $0.3 million based on the exchange rate as of June 30, 2013) from the HFB for the adjustment and expansion of our operation and related capital expenditures for construction and equipment purchase. The Company is required to provide detailed expenses of the construction project to the HFB. At the end of the project, the government will determine if the funds were used in accordance with the grant. At June 30, 2013 and December 31, 2012 (audited), the entire grant was recorded in “Other payables” on the accompanying consolidated financial statements (Note 6). If the government determines the funds were used for their intended purpose, the amount of the government grant is then amortized into “Other income” over the useful life of the asset on the same basis being used to depreciate the asset. The Company has not begun amortizing the grant into “Other income.”

Long-Lived Assets

The Company applies ASC Topic 360, “Property, Plant, and Equipment,” which addresses financial accounting and reporting for the impairment or disposal of long-lived assets. ASC 360 requires impairment losses to be recorded on long-lived assets used in operations when indicators of impairment are present and the undiscounted cash flows estimated to be generated by those assets are less than the assets’ carrying amounts. In that event, a loss is recognized based on the amount by which the carrying amount exceeds the FV of the long-lived assets. Loss on long-lived assets to be disposed of is determined in a similar manner, except that FVs are reduced to recognize the cost of disposal. Based on its review, the Company believes that as of June 30, 2013 and December 31, 2012 (audited), respectively, there was no significant impairment of its long-lived assets.

Intangible Assets

Intangible assets consist of rights to use three plots of land in Haikou City granted by the Municipal Administration of China for state-owned land. For two of these plots, the Company’s rights run through January 2059 and, for the third, through October 2060. The Company evaluates intangible assets for impairment, at least on an annual basis and whenever events or changes in circumstances indicate the carrying value may not be recoverable from its estimated future cash flows. Recoverability of intangible and other long-lived assets is measured by comparing their net book value to the related projected undiscounted cash flows from these assets, considering a number of factors including past operating results, budgets, economic projections, market trends and product development cycles. If the net book value of the asset exceeds the related undiscounted cash flows, the asset is considered impaired, and a second test is performed to measure the amount of impairment loss.

Goodwill

Goodwill is the excess of purchase price over the underlying net assets of businesses acquired. Under accounting requirements, goodwill is not amortized but is subject to annual impairment tests, and more frequently if circumstances dictate. The impairment testing is based on the FV of the reporting units, which is estimated based on a discounted cash flow valuation model and the projected future cash flows of the underlying businesses.

Fair Value of Financial Instruments

For certain of the Company’s financial instruments, including cash and equivalents, restricted cash, accounts receivable, advances to suppliers, accounts payable, accrued liabilities and short-term debt, the carrying amounts approximate their FVs due to their short maturities. In addition, the Company has long-term debt with financial institutions. The carrying amounts of the line of credit and other long-term liabilities approximate their FVs based on current rates of interest for instruments with similar characteristics.

ASC Topic 820, “Fair Value Measurements and Disclosures,” requires disclosure of the FV of financial instruments held by the Company. ASC Topic 825, “Financial Instruments,” defines FV, and establishes a three-level valuation hierarchy for disclosures of FV measurement that enhances disclosure requirements for FV measures. The carrying amounts reported in the consolidated balance sheets for receivables and current liabilities each qualify as financial instruments and are a reasonable estimate of their FVs because of the short period of time between the origination of such instruments and their expected realization and their current market rate of interest. The three levels of valuation hierarchy are defined as follows:

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SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

• Level 1 inputs to the valuation methodology are quoted prices for identical assets or liabilities in active markets.
• Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets in inactive markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.
• Level 3 inputs to the valuation methodology us one or more unobservable inputs which are significant to the FV measurement.

The Company analyzes all financial instruments with features of both liabilities and equity under ASC Topic 480, “Distinguishing Liabilities from Equity,” and ASC Topic 815, “Derivatives and Hedging.”

As of June 30, 2013 and December 31, 2012 (audited), respectively, the Company did not identify any assets and liabilities required to be presented on the balance sheet at FV.

Revenue Recognition

The Company’s revenue recognition policies comply with ASC Topic 605, “Revenue Recognition.” Sales revenue is recognized at the date of shipment to customers when a formal arrangement exists, the price is fixed or determinable, the delivery is completed, no other significant obligations of the Company exist and collectability is reasonably assured. Payments received before all of the relevant criteria for revenue recognition are satisfied are recorded as unearned revenue.

Sales revenue consists of the invoiced value of goods, which is net of value-added tax (“VAT”). All of the Company’s products sold in the PRC are subject to Chinese VAT of 17% of the gross sales price. This VAT may be offset by VAT paid by the Company on raw materials and other materials included in the cost of producing their end product. The Company recorded VAT payable and VAT receivable net of payments in the financial statements. The VAT tax return is filed offsetting the payables against the receivables.

Sales and purchases are recorded net of VAT collected and paid. VAT taxes are not affected by the income tax holiday.

Sales returns and allowances was $0 for the three and six months ended June 30, 2013 and 2012. The Company does not provide unconditional right of return, price protection or any other concessions to its dealers or other customers.

Other Income

The Company recognizes other income in the period it has earned the revenue and collectability is reasonably assured. Other income in 2013 and 2012 consists primarily of subsidy income received from Chinese Government Agencies for developing technology and research and development. The Company must manage the funds according to government requirements. The Company recognizes the revenue over the contract period.

Advertising Costs

The Company expenses the cost of advertising as incurred. Advertising costs for 2013 and 2012 were not significant.

Research and Development

The Company expenses its research and development (“R&D”) costs as incurred. R&D costs included in general and administrative expenses for the three and six months ended June 30, 2013 were $921,262 and $1,575,906, respectively and $649,976 and $1,336,942 for the three and six months ended June 30, 2012, respectively.

Stock-Based Compensation

The Company records stock-based compensation in accordance with ASC Topic 718, “Compensation – Stock Compensation.” ASC Topic 718 requires companies to measure compensation cost for stock-based employee compensation at FV at the grant date and recognize the expense over the employee’s requisite service period. The Company recognizes in the statement of operations the grant-date FV of stock options and other equity-based compensation issued to employees and non-employees. There were 90,000 options outstanding as of June 30, 2013.

- 9 -

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

Income Taxes

The Company accounts for income taxes in accordance with ASC Topic 740, “Income Taxes.” ASC 740 requires a company to use the asset and liability method of accounting for income taxes, whereby deferred tax assets are recognized for deductible temporary differences, and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion, or all of, the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment.

Under ASC 740, a tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is more than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded.

Basic and Diluted Earnings (Loss) Per Share

Earnings (loss) per share is calculated in accordance with ASC Topic 260, “Earnings Per Share.” Basic earnings per share (“EPS”) is based on the weighted average number of common shares outstanding. Diluted EPS is based on the assumption that all dilutive convertible shares and stock warrants were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period. There were 90,000 options and 0 warrants outstanding as of June 30, 2013 with weighted-average exercise prices of $0.95 and $0, respectively. All options and warrants were excluded from the diluted loss per share for 2013 due to the dilutive effect. The following is a reconciliation of the number of shares (denominator) used in the basic and diluted EPS computations for the three and six months ended June 30, 2013 and 2012:

	Three Months Ended June 30,
	2013			2012
			Per Share			Per Share
	Shares		Amount	Shares		Amount
Basic earnings (loss) per share	27,541,491	$	0.08	27,541,491	$	(0.05	)
Effect of dilutive stock options and warrants	-		-	-		-
Diluted earnings per share	27,541,491	$	0.08	27,541,491	$	(0.05	)

	Six Months Ended June 30,
	2013			2012
			Per Share			Per Share
	Shares		Amount	Shares		Amount
Basic earnings (loss) per share	27,541,491	$	0.06	27,541,491	$	(0.07	)
Effect of dilutive stock options and warrants	-		-	-		-
Diluted earnings per share	27,541,491	$	0.06	27,541,491	$	(0.07	)

Foreign Currency Transactions and Comprehensive Income

US GAAP requires recognized revenue, expenses, gains and losses to be included in net income. Certain statements, however, require entities to report specific changes in assets and liabilities, such as gain or loss on foreign currency translation, as a separate component of the equity section of the balance sheet. Such items, along with net income, are components of comprehensive income. The functional currency of the Company’s Chinese subsidiaries is the RMB. Translation gains of $6,452,437 and $5,745,728 at June 30, 2013 and December 31, 2012 (audited), respectively, are classified as an item of other comprehensive income in the stockholders’ equity section of the consolidated balance sheets.

Statement of Cash Flows

In accordance with ASC Topic 230, “Statement of Cash Flows,” cash flows from the Company’s operations are calculated based on the local currencies using the average translation rates. As a result, amounts related to assets and liabilities reported on the consolidated statements of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheets.

Segment Reporting

- 10 -

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

ASC Topic 280, “Segment Reporting,” requires use of the “management approach” model for segment reporting. The management approach model is based on the way a company’s management organizes segments within the company for making operating decisions and assessing performance. The Company determined it has five reportable segments. See Note 14.

Dividends

The Company's Chinese subsidiaries have restrictions on the payment of dividends to the Company. China has currency and capital transfer regulations that may require the Company's Chinese subsidiaries to comply with complex regulations for the movement of capital. These regulations include a public notice issued in October 2005 by the State Administration of Foreign Exchange (“SAFE”) requiring PRC residents, including both legal and natural persons, to register with the competent local SAFE branch before establishing or controlling any company outside of China. Although the Company believes its Chinese subsidiaries are in compliance with these regulations, should these regulations or the interpretation of them by courts or regulatory agencies change, the Company may not be able to pay dividends outside of China.

Note 3 – Advances to Suppliers

Advances to suppliers represent prepayment to vendors for the purchases of inventory.

Note 4 – Inventory, net

Inventory at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,			December 31,
		2013			2012
					(audited)
Raw Material	$	4,322,783		$	4,264,823
Work in process		1,663,592			1,647,956
Finished goods		9,131,781			4,960,861
		15,118,156			10,873,640
Less: obsolescence reserve		(778,791	)		(762,908	)
Inventory, net	$	14,339,365		$	10,110,732

Note 5 – Prepaid Expenses and Other Current Assets

Prepaid expense and other current assets at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,		December 31,
		2013		2012
				(audited)
Other receivables	$	1,683,128	$	651,971
Prepaid expenses		56,992		59,566
	$	1,740,120	$	711,537

Note 6 - Intangible Assets, net

Intangible assets at June 30, 2013 and December 31, 2012 consisted of rights to use land as follows:

		June 30,			December 31,
		2013			2012
					(audited)
Right to use land	$	1,186,431		$	1,162,234
Less: accumulated amortization		(105,875	)		(92,246	)
Intangible assets, net	$	1,080,556		$	1,069,988

- 11 -

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

Pursuant to the regulations, the PRC government owns all land. The Company has recognized the amounts paid for the acquisition of rights to use the land as an intangible asset and amortizes such rights over the period the Company has use of the land, which range from 54 to 57 years.

Note 7 – Other Payables

Other payables at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,		December 31,
		2013		2012
				(audited)
Special purpose fund for Shi Zi Ling workshop	$	4,080,596	$	4,227,988
Special purpose fund for structure and equipment		2,229,717		2,317,006
Special purpose fund for expansion and equipment		288,813		282,922
Taxes payable		892,556		652,751
Miscellaneous payables		965,404		732,479
	$	8,457,086	$	8,213,146

The $4,080,596, $2,229,717 and $288,813 payables at June 30, 2013 are liabilities recorded pursuant to the funds received as part of government grants. See “Construction in Progress and Government Grants” in Note 2.

Note 8 - Debt

Short-term loans at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,		December 31,
		2013		2012
				(audited)
From March 16, 2012 to February 18, 2013, with interest of 8.53% at December 31, 2012. The loan was collateralized by equipment.	$	-	$	1,585,000
From June 19, 2012 to June 19, 2013, with interest of 8.20% at December 31, 2012. The loan was collateralized by equipment.		-		2,377,500
From June 8, 2012 to June 7, 2013, with interest of 7.26% at December 31, 2012. The loan was collateralized by equipment.		-		4,279,500
Various bank acceptance bills that were payable on various dates through June 10, 2013.		-		3,758,527
From December 21, 2012 to June 21, 2013, with interest of 6.16% at December 31, 2012. The loan was collateralized by a building and equipment.		-		792,500
From September 10, 2012 to March 10, 2013, with interest of 6.16% at December 31, 2012. The loan was collateralized by a building and equipment.		-		697,400
From September 10, 2012 to March 10, 2013, with interest of 6.16% at December 31, 2012. The loan was collateralized by a building and equipment.		-		792,500
From November 27, 2012 to May 27, 2103, with various interest rates averaging 6.70%. The loan was collateralized by a letter of credit.		-		2,121,188
From April 23, 2013 to October 23, 2013, with interest of 6.16% at June 30, 2013. The loan is collateralized by a building and equipment.		2,427,000		-
From May 31, 2013 to May 31, 2014, with interest of 6.6% at June 30, 2013. The loan is collateralized by a building and equipment.		6,472,000		-
From June 28, 2013 to September 27, 2014, with interest of 2.276% at June 30, 2013. The loan is collateralized by a building and equipment.		285,038		-
From May 30, 2013 to August 29, 2014, with interest of 2.273% at June 30, 2013. The loan is collateralized by a building and equipment.		242,248		-
From April 25, 2013 to July 25, 2014, with interest of 1.376% at June 30, 2013. The loan is collateralized by a building and equipment.		283,540		-
From March 28, 2013 to September 19, 2013, with interest of 6.16% at June 30, 2013. The loan is collateralized by a building and equipment.		2,224,847		-
From June 1, 2013 to November 19, 2014, with interest of 6.16% at June 30, 2013. The loan is collateralized by a building and equipment.		1,621,802		-
From May 13, 2013 to November 11, 2014, with interest of 6.3% at June 30, 2013. The loan is collateralized by a building and equipment.		1,618,000		-
Various bank acceptance bills that are payable on various dates through December 27, 2013.		4,314,155		-
	$	19,488,630	$	16,404,115

- 12 -

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

Long-term loans at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,		December 31,
		2013		2012
				(audited)
From January 24, 2011 to January 24, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.	$	2,588,800	$	2,536,000
From February 10, 2011 to February 10, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		2,912,400		2,853,000
From February 16, 2011 to February 16, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		2,346,100		2,298,250
From February 17, 2011 to February 17, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		1,278,220		1,252,150
From March 25, 2011 to March 25, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		436,860		427,950
From November 30, 2011 to November 30, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		161,800		158,500
From December 23, 2011 to December 23, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		517,760		507,200
From March 19, 2012 to January 18, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		1,084,060		1,061,950
	$	11,326,000	$	11,095,000

- 13 -

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

Aggregate future maturities of long-term loans at June 30, 2013 are as follows:

Year ending December 31,
2013	$	-
2014		-
2015		-
2016		-
Thereafter		11,326,000
	$	11,326,000

The weighted average interest rate on long-term loans is 6.60% ..

On August 2, 2010, Hainan Shiner entered into a credit facility with the Hainan Branch of the Bank of China. It is a secured revolving credit facility of RMB70 million (or $11.1 million based on the exchange rate on December 31, 2010) for seven years. Under the credit facility, Hainan Shiner may only use the loan proceeds to improve the technology of its BOPP film and to purchase certain equipment necessary for this improvement. Proceeds under the facility not used for these purposes would be subject to a misappropriation penalty interest rate that is 100% of the current interest rate on the loan.

The initial interest rate on each withdrawal from the facility will be the 5-year benchmark lending rate announced by the People’s Bank of China on the date of such withdrawal, and is subject to adjustment every 12 months based upon the benchmark. Additional interest will be paid on an overdue loan under this credit facility at 50% of the current interest rate on the loan. Hainan Shiner and certain of its affiliates, including the Company, have provided guarantees and certain land, buildings, and property as collateral under this facility.

The credit facility includes covenants that prohibit Hainan Shiner from making distributions to the Company, its sole shareholder, if (a) its after-tax net income for the fiscal year is zero or negative, (b) its after-tax net income is insufficient to make up its accumulated loss, (c) its income before tax is not utilized in paying off the capital, interest and expense of the lender, or (d) its income before tax is insufficient to pay the capital, interest and expense of the lender.

As of June 30, 2013, the Company drew down the entire RMB70 million credit facility.

Note 9 - Stock Options and Warrants

Stock Options

The following is a summary of the Company’s stock option activity for the six months ended June 30, 2013:

			Weighted
			Average		Aggregate
	Options		Exercise Price		Intrinsic
	Outstanding		Price		Value
Outstanding at December 31, 2012	90,000	$	0.95	$	-
Granted	-
Canceled	-
Exercised	-
Outstanding at June 30, 2013	90,000	$	0.95	$	-
Exercisable at June 30, 2013	90,000	$	0.95	$	-

- 14 -

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

The number and weighted average exercise prices of all options outstanding as of June 30, 2013, are as follows:

	Options Outstanding
					Weighted
				Weighted	Average
		Number		Average	Remaining
	Range of	Outstanding		Exercise	Contractual Life
	Exercise Price	June 30, 2013		Price	(Years)
$	0.80	60,000	$	0.80	3.44
$	1.25	30,000	$	1.25	0.93
		90,000

The number and weighted average exercise prices of all options exercisable as of June 30, 2013, are as follows:

	Options Exercisable
					Weighted
				Weighted	Average
		Number		Average	Remaining
	Range of	Outstanding		Exercise	Contractual Life
	Exercise Price	June 30, 2013		Price	(Years)
$	0.80	60,000	$	0.80	3.44
$	1.25	30,000	$	1.25	0.93
		90,000

Warrants

The following is a summary of the Company’s warrant activity for the three and six months ended June 30, 2013:

					Weighted
				Weighted	Average
				Average	Remaining
	Warrants			Exercise Price	Contractual Life
	Outstanding			Price	(Years)
Outstanding at December 31, 2012	521,664		$	1.70	0.24
Granted	-
Canceled	-
Exercised	(521,664	)	$	1.70	-
Outstanding at June 30, 2013	-		$	-	-
Exercisable at June 30, 2013	-		$	-	-

Note 10 - Employee Welfare Plans

The expense for employee common welfare was $15,117 and $36,323 for the three and six months ended June 30, 2013, respectively and $40,302 and $42,805 for the three and six months ended June 30, 2012, respectively.

Note 11 - Statutory Common Welfare Fund

As stipulated by the Company Law of the PRC, net income after taxation can only be distributed as dividends after appropriation has been made for the following:

i. Making up cumulative prior years’ losses, if any;

- 15 -

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

ii.	Allocations to the “statutory surplus reserve” of at least 10% of income after tax, as determined under PRC accounting rules and regulations, until the reserve reaches 50% of the Company’s registered capital;
iii.	Allocations of 5% to 10% of income after tax, as determined under PRC accounting rules and regulations, to the Company’s “statutory common welfare fund,” which is established for the purpose of providing employee facilities and other collective benefits to the Company’s employees; and
iv.	Allocations to the discretionary surplus reserve, if approved in the stockholders’ general meeting.

The Company appropriated $0 and $0 as reserve for the statutory surplus reserve and statutory common welfare fund for the three and six months ended June 30, 2013 and 2012, respectively.

Note 12 - Current Vulnerability Due to Certain Concentrations

There were no customers that exceeded 10% of the Company’s sales for the six months ended June 30, 2013 or 2012. One vendor provided 16% of the Company’s raw materials for the six months ended June 30, 2013, as compared to one vendor that provided 17% of the Company’s raw material purchases for the six months ended June 30, 2012. At June 30, 2013 and December 31, 2012, the Company owed these vendors $1,460,650 and $1,143,862, respectively.

The Company’s operations are carried out in the PRC. Accordingly, the Company’s business, financial condition and results of operations may be influenced by the political, economic and legal environments in the PRC and by the general state of the PRC’s economy. The Company’s business may be influenced by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things.

Note 13 – Commitments and Contingencies

At June 30, 2013, the Company was contingently liable to banks for discounted notes receivable and to vendors for endorsed notes receivable of $827,466 (RMB5,114,131).

Note 14 – Segment Information

The Company has five segments: BOPP tobacco films, water-based latex, coated film, color printed packaging, and advanced film. The water-based latex is one of the raw materials used in coated film to make the packaging more environmental friendly and the barrier property better. Approximately 60% of the water-base latex products manufactured by Ningbo are sold to Hainan Shiner, Shiny-Day and Zhuhai Modern.

The following tables summarize the Company’s segment information for the three and six months ended June 30, 2013 and 2012:

		Three Months Ended June 30,					Six Months Ended June 30,
		2013		2012			2013		2012
Revenues from unrelated entities
Tobacco film	$	10,121,060	$	10,596,958		$	17,509,118	$	20,634,999
Water-based latex		200,231		278,999			399,415		292,810
Coated film		4,684,105		3,774,754			8,202,994		7,892,170
Color printing		1,211,045		385,673			2,162,528		1,416,479
Advanced film		1,733,856		1,365,101			3,519,771		3,535,051
	$	17,950,297	$	16,401,485		$	31,793,826	$	33,771,509
Intersegment revenues
Tobacco film	$	2,321,553	$	4,516,389		$	3,334,740	$	9,767,474
Water-based latex		263		(119	)		42,720		168,948
Coated film		1,019,630		1,581,823			1,502,205		3,735,720
Color printing		281,384		131,249			411,869		670,483
Advanced film		356,143		538,158			601,061		1,673,299
	$	3,978,973	$	6,767,500		$	5,892,595	$	16,015,924

- 16 -

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

Total revenues
Tobacco film	$	12,442,613		$	15,113,347		$	20,843,858		$	30,402,473
Water-based latex		200,494			278,880			442,135			461,758
Coated film		5,703,735			5,356,577			9,705,199			11,627,890
Color printing		1,492,429			516,922			2,574,397			2,086,962
Advanced film		2,089,999			1,903,259			4,120,832			5,208,350
Less Intersegment revenues		(3,978,973	)		(6,767,500	)		(5,892,595	)		(16,015,924	)
	$	17,950,297		$	16,401,485		$	31,793,826		$	33,771,509
Income (loss) from operations
Tobacco film	$	(373,976	)	$	(1,253,324	)	$	(1,043,068	)	$	(753,110	)
Water-based latex		56,713			59,830			109,220			60,513
Coated film		87,154			(169,752	)		(259,043	)		(554,756	)
Color printing		(29,130	)		(146,548	)		(106,995	)		(269,932	)
Advanced film		(160,195	)		(7,624	)		(267,821	)		(65,042	)
Holding Company		(25,006	)		40,959			(59,812	)		(24,199	)
	$	(444,440	)	$	(1,476,459	)	$	(1,627,519	)	$	(1,606,526	)
Interest income
Tobacco film	$	8,982		$	6,137		$	41,722		$	11,239
Water-based latex		69			152			952			159
Coated film		3,952			2,206			19,547			4,299
Color printing		936			248			5,153			772
Advanced film		472			822			8,387			1,925
Holding Company		-			-			-			-
	$	14,411		$	9,565		$	75,761		$	18,394
Interest expense
Tobacco film	$	309,454		$	212,604		$	535,143		$	368,844
Water-based latex		3,218			3,622			5,566			3,837
Coated film		122,746			71,034			212,267			146,304
Color printing		24,835			10,245			42,948			29,601
Advanced film		51,960			25,021			89,856			61,933
Holding Company		637			670			1,226			1,346
	$	512,850		$	323,196		$	887,006		$	611,865
Income tax expense (benefit)
Tobacco film	$	158,886		$	(64,768	)	$	158,886		$	9,274
Water-based latex		-			-			-			-
Coated film		89,848			(448	)		89,848			4,453
Color printing		-			-			-			-
Advanced film		35,950			1,994			35,950			1,994
Holding Company		-			-			-			-
	$	284,684		$	(63,222	)	$	284,684		$	15,721
Net income (loss)
Tobacco film	$	1,102,448		$	(1,219,285	)	$	750,228		$	(974,336	)
Water-based latex		53,562			56,361			104,605			56,836
Coated film		1,008,392			(160,873	)		893,102			(631,283	)
Color printing		(53,029	)		(156,545	)		(144, 790	)		(298,761	)
Advanced film		210,667			25,763			227,770			(95,721	)
Holding Company		(25,643	)		40,289			(61,038	)		(25,545	)

- 17 -

SHINER INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2013 AND 2012 (Unaudited)

	$	2,296,397	$	(1,414,290	)	$	1,769,877	$	(1,968,810	)
Provision for depreciation
Tobacco film	$	472,691	$	631,228		$	977,146	$	992,620
Water-based latex		9,623		10,716			19,943		21,446
Coated film		187,495		219,625			387,590		393,727
Color printing		37,936		34,892			78,421		79,662
Advanced film		79,369		81,292			164,072		166,671
Holding Company		-		-			-		-
	$	787,114	$	977,753		$	1,627,172	$	1,654,126

		As of		As of
		June 30,		December 31,
		2013		2012
Total assets				(audited)
Tobacco film	$	44,175,606	$	34,457,224
Water-based latex		657,568		961,826
Coated film		17,522,471		16,599,954
Color printing		3,545,306		4,268,660
Advanced film		7,417,519		8,140,512
Holding Company		11,400,218		13,070,759
	$	84,718,688	$	77,498,935

Note 15 - Geographical Sales

The geographical distribution of Shiner’s revenue for the three and six months ended June 30, 2013 and 2012 is as follows:

		Three Months Ended June 30,				Six Months Ended June 30,
Geographical Areas		2013		2012		2013		2012
Chinese Main Land	$	15,039,914	$	13,569,643	$	25,724,940	$	27,947,584
Asia (outside Mainland China)		1,457,552		1,282,973		2,976,198		2,455,536
Australia		813,377		997,009		1,856,941		1,920,232
North America		482,795		374,903		794,045		632,842
Middle East		51,494		99,183		159,154		419,020
Europe		73,382		77,774		184,173		338,108
Africa		-		-		-		33,841
South America		31,783		-		98,375		24,346
	$	17,950,297	$	16,401,485	$	31,793,826	$	33,771,509

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ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

In addition to historical information, this report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. We use words such as “believe,” “expect,” “anticipate,” “project,” “target,” “plan,” “optimistic,” “intend,” “aim,” “will” or similar expressions which are intended to identify forward-looking statements. Such statements include, among others, those concerning market and industry segment growth and demand and acceptance of new and existing products; any projections of sales, earnings, revenue, margins or other financial items; any statements of the plans, strategies and objectives of management for future operations; and any statements regarding future economic conditions or performance, as well as all assumptions, expectations, predictions, intentions or beliefs about future events. You are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, as well as assumptions, which, if they were to ever materialize or prove incorrect, could cause the results of the Company to differ materially from those expressed or implied by such forward-looking statements. Potential risks and uncertainties include, among other things, the factors discussed in Item 1A, “Risk Factors” included in the Company annual report on Form 10-K filed on March 29, 2013.

Because the factors discussed in this report could cause our actual results or outcomes to differ materially from those expressed in any forward-looking statement made by us or on our behalf, you should not place undue reliance on any such forward-looking statement. Further, any forward-looking statement speaks only as of the date on which it is made, and we undertake no obligation to update any forward-looking statement or statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law. New factors emerge from time to time, and it is not possible for us to predict which will arise. In addition, we cannot assess the impact of each factor on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statement.

Use of Terms

Except as otherwise indicated by the context, all references in this report to:

• “Shiner,” “Company,” “we,” “us” or “our” are to Shiner International, Inc., a Nevada corporation, and its direct and indirect subsidiaries: (i) Hainan Shiner Industrial Co., Ltd., or “Hainan Shiner,” (ii) Hainan Shiny-Day Color Printing Packaging Co., Ltd., or “Shiny-Day,” (iii) Hainan Modern Hi-Tech Industrial Co., Ltd., or “Hainan Modern,” (iv) Zhuhai Modern Huanuo Packaging Material Co., Ltd., or “Zhuhai Modern,” (v) Shimmer Sun Ltd., or “Shimmer Sun,” (vi) Hainan Jingyue New Material Co., Ltd ., or “Jingyue,” (vii) Hainan Shunhao New Material Co., Ltd., or “Shunhao,” (viii) Hainan Yongxin Environmental Co., Ltd., or “Yongxin,” and (ix) Ningbo Neisuoer Latex Co., Ltd., or "Ningbo".
• “SEC” are to the United States Securities and Exchange Commission;
• “Securities Act” are to the Securities Act of 1933, as amended; and “Exchange Act” are to the Securities Exchange Act of 1934, as amended;
• “RMB” are to Renminbi, the legal currency of China; and “U.S. dollar,” “USD,” “US$” and “$” are to the legal currency of the United States;
• “China,” “Chinese” and “PRC” are to the People’s Republic of China; and

Overview

We were incorporated in Nevada in November 2003, but since July 2007, have been headquartered in Hainan, China. Through our operating subsidiaries, Hainan Shiner, Shiny-Day, Hainan Modern, Zhuhai Modern, Shimmer Sun, and Ningbo we manufacture and sell packaging and anti-counterfeit plastic film to manufacturers and producers in China. We sell anti-counterfeit film, coated film, and color printing, in international markets through a network of distributors and converters.

Our primary business consists of the manufacture and distribution of technology driven advanced packaging film products in five business segments: bi-axially oriented polypropylene, or BOPP, film for wrapping tobacco; water-based latex; coated film; color printed packaging; and advanced film. Our products are sold to customers in the food, tobacco, chemical, medical and pharmaceutical, personal care, electronics, automotive, construction, graphics, music and video publishing industries. Our current production capacity consists of: five coated film lines with a capacity of 15,000 tons a year; two BOPP tobacco film production lines with a capacity of 13,500 tons a year; one BOPP film production line with a capacity of 7,000 tons a year; three color printing lines; four anti-counterfeit film lines with a capacity of 2,500 tons a year; and two water-based latex reaction kettles with a capacity of 3,000 tons a year.

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The table below shows the percentage of revenue by each of our business segments for the three and six months ended June 30, 2013, and 2012:

	Percent of Revenue		Percent of Revenue
	Three Months Ended June 30,		Six Months Ended June 30,
	2013	2012	2013	2012
BOPP tobacco film	56.4%	64.6%	55.0%	61.1%
Water-based latex	1.1%	1.7%	1.3%	0.9%
Coated film	26.1%	23.0%	25.8%	23.4%
Color printing	6.7%	2.4%	6.8%	4.2%
Advanced film	9.7%	8.3%	11.1%	10.4%
	100.0%	100.0%	100.0%	100.0%

We have 27 patents issued by the State Intellectual Property Office of China and have 75 patent applications relating to our products and manufacturing processes pending. Although our patents and processes provide us a competitive advantage, we do not believe the loss of any single patent would have a material adverse effect on our business.

Our principal executive offices are located at 19th Floor, Didu Building, Pearl River Plaza, No. 2 North Longkun Road, Haikou, Hainan Province, China 570125. Our telephone number is +86-898-68581104 and our website is www.shinerinc.com.

Principal Factors Affecting Our Financial Performance

We believe that the following factors will continue to affect our financial performance:

• Global Economic Fragility – The ongoing turmoil in the global economy may have an impact on our business and our financial condition, and we may face challenges if economic conditions do not improve. These economic conditions impact levels of consumer spending, which have deteriorated and may remain depressed for the foreseeable future. If demand for our products fluctuates as a result of these economic conditions or otherwise, our revenue and gross margin could be harmed.

• Fuel Prices – Significant fluctuations in fuel prices could have both a positive and negative effect on our business and operations. Significant fluctuations in world fuel prices could significantly increase the price of shipping or transporting our products which we may not be able to pass on to our customers.

Results of Operations

The following summary of our results of operations should be read in conjunction with our financial statements and the notes thereto for the three-month periods ended June 30, 2013 and 2012 included herein. The following tables set forth key components of our results of operations for the periods indicated, both in dollars and as a percentage of sales revenue and key components of our revenue for the periods indicated in dollars and percentages.

Comparison of Three Months Ended June 30, 2013 and 2012

The following table summarizes the results of our operations during the three-month periods ended June 30, 2013 and 2012 and provides information regarding the dollar and percentage increase or (decrease) in such periods:

		Three Months Ended June 30,						$		%
		2013			2012			Change		Change
Revenues	$	17,950,297		$	16,401,485		$	1,548,812		9.4%
Cost of goods sold		16,127,248			15,913,476			213,772		1.3%
Gross profit		1,823,049			488,009			1,335,040		273.6%
Selling, general and administrative expenses		2,267,489			1,964,468			303,021		15.4%
Interest expense, net of interest income		498,439			313,631			184,808		58.9%
Other income, net		3,572,108			294,712			3,277,396		1,112.1%
Exchange (loss)		(41,011	)		(3,775	)		(37,236	)	986.4%
Income tax expense (benefit)		284,684			(63,222	)		347,906		550.3%
Net income (loss) attributed to noncontrolling interest		7,137			(21,641	)		28,778		133.0%
Net income attributed to Shiner	$	2,296,397		$	(1,414,290	)	$	3,710,687		262.4%

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Revenues

Revenues for the three months ended June 30, 2013 increased $1.5 million (or 9.4%), to $17.9 million, compared to $16.4 million in the 2012 period. The increase was primarily attributable to increased revenues generated from the sale of coated film, color printing and advanced film, which, was partially offset by a decrease in revenues generated from the sale of BOPP tobacco and water-based latex. In the second quarter of 2013, revenue from advanced film increased $0.37 million (or 27.0%) to $1.7 million, up from $1.4 million; revenue from coated film increased $0.9 million (or 24.1%) to $4.7 million, from $3.8 million, revenue from color printing increased $0.8 million (or 214.0%) to $1.2 million, from $0.4 million; revenue from BOPP tobacco decreased $0.5 million (or 4.5%) to $10.1 million, down from $10.6 million and revenue from water-based latex decreased $78,768 (or 28.2%) to $0.2 million, from $0.3 million, as compared to the 2012 period. In the second quarter of 2013, our domestic sales (in mainland China) increased as a percentage of total sales, from 82.7% in the second quarter of 2012, to 83.8% in the second quarter of 2013.

Cost of Goods Sold

For the three months ended June 30, 2013, cost of goods sold (“COGS”) increased $0.2 million (or 1.3%), from $15.9 million in the 2012 period, to $16.1 million. COGS for the second quarters of 2013 and 2012 were 89.8% and 97.0% of our revenues, respectively. The decrease in COGS as a percentage of revenues was primarily caused by improved utilization of equipment and higher material utilization.

Gross Profit

Our gross profit for the three months ended June 30, 2013 was $1.8 million, with a profit margin of 10.2%, a 7.2% increase from 3.0% in the second quarter of 2012. The increase in profit margin was primarily a consequence of increased sales revenue resulting from an increase in unit price and the improved utilization of equipment and material that lowered our cost of goods sold.

Selling, General and Administrative (“SG&A”) Expenses

For the three months ended June 30, 2013, our SG&A expenses increased by $0.3 million (or 15.4%) to $2.3 million, compared to $2.0 million in the 2012 period. SG&A expenses include rent, management and staff salaries, insurance, marketing, accounting, legal, and research and development (“R&D”) expenses. The increase in SG&A expenses was mainly due to an increase of $0.3 million R&D expenses.

Interest Expense, net

For the three months ended June 30, 2013, interest expense, net increased by $184,808 (or 58.9%) to $498,439 compared to $313,631 in the 2012 period, primarily due to additional short-term and long-term loans.

Other Income, net

For the three months ended June 30, 2013, there was other income of $3.6 million, representing an increase of $3.3 million (or 1,112.1%), compared to $294,712 for the same period in 2012. In the second quarter of 2013 and 2012, we recognized approximately $0.3 million in subsidy income from PRC governmental agencies for developing technology and R&D projects. In addition, in the second quarter of 2013, we also recognized approximately $3.2 million as a gain from the sale of a patent.

Income Tax Expense (benefit)

For the three months ended June 30, 2013, we recorded a tax provision of $284,684, compared to a tax benefit of $63,222 in the 2012 period. Our effective tax rates for the second quarters of 2013 and 2012 were 11.0% and 4.2%, respectively. The change in the effective tax rate is due to losses incurred by certain subsidiaries where the loss was not able to offset income generated by other subsidiaries.

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Net Income (Loss)

For the three months ended June 30, 2013, we generated net income of $2.3 million, representing an increase of $3.7 million (or 262.4%) from a net loss of $1.4 million during the 2012 period. The change in net income (loss) was principally due to an increase in revenue and increases in our gross margins, as explained above.

Comparison of Six Months Ended June 30, 2013 and 2012

The following table summarizes the results of our operations during the three-month periods ended June 30, 2013 and 2012 and provides information regarding the dollar and percentage increase or (decrease) in such periods:

		Six Months Ended June 30,						$		%
		2013			2012			Change		Change
Revenues	$	31,793,826		$	33,771,509		$	(1, 977,683	)	-5.9%
Cost of goods sold		29,057,338			31,112,559			(2,055,221	)	-6.6%
Gross profit		2,736,488			2,658,950			77,538		2.9%
Selling, general and administrative expenses		4,364,007			4,265,476			98,531		2.3%
Interest expense, net of interest income		811,245			593,471			217,774		36.7%
Other income, net		4,579,548			193,529			4,386,019		2,266.3%
Exchange (loss)		(79,071	)		(9,648	)		(69,423	)	719.6%
Income tax expense		284,684			15,721			268,963		1710.9%
Net income (loss) attributed to noncontrolling interest		7,152			(63,027	)		70,179		111.3%
Net income (loss) attributed to Shiner	$	1,769,877		$	(1,968,810	)	$	3,738,687		189.9%

Revenues

Revenues for the six months ended June 30, 2013 decreased $2.0 million (or 5.9%), to $31.8 million, compared to $33.8 million in the 2012 period. The decrease was primarily attributable to decreased revenues generated from the sale of BOPP tobacco and advanced film which was partially offset by an increase in coated film, color printing, and water-based latex. In the six months ended June 30, 2013 revenue from BOPP tobacco decreased $3.1 million (or 15.1%) to $17.5 million, down from $20.6 million; revenue from advanced film decreased $15,280 (or 0.4%) to $3.5 million; revenue from water-based latex increased $0.1 million (or 36.4%) to $0.4 million from $0.3 million; revenue from coated film increased $0.3 million (or 3.9%) to $8.2 million, from $7.9 million, and revenue from color printing increased $0.7 million (or 52.7%) to $2.2 million, from $1.4 million. In the six months ended June 30, 2013 the percentage of revenue from domestic and international sales did not change significantly from the percentages in 2012. In the six months ended June 30 of 2013 and 2012, sales generated domestically accounted for 80.9% and 82.8%, respectively.

Cost of Goods Sold

For the six months ended June 30, 2013, COGS decreased $2.1 million (or 6.6%), from $31.1 million in the 2012 period, to $29.1 million. COGS for the six months ended June 30, 2013 and 2012 was 91.4% and 92.1% of our revenues, respectively. The decrease in COGS as a percentage of revenues was not significant.

Gross Profit

Our gross profit for the six months ended June 30, 2013 was $2.7 million, with a profit margin of 8.6%, a .07% increase from 7.9% for the six months ended June 30, 2012. The increase in profit margin was primarily a consequence of increased sales revenue resulting from an increase in unit price and the improved utilization of equipment and material that lowered our cost of goods sold.

Selling, General and Administrative (“SG&A”) Expenses

For the six months ended June 30, 2013, our SG&A expenses increased by $98,531 (or 2.3%) to $4.4 million, compared to $4.3 million in the 2012 period. SG&A expenses include rent, management and staff salaries, insurance, marketing, accounting, legal, and research and development (“R&D”) expenses. The increase in SG&A expenses was not significant.

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Interest Expense, net

For the six months ended June 30, 2013, interest expense, net increased by $217,774 (or 36.7%) to $811,245 compared to $593,471 in the 2012 period, primarily due to additional short-term and long-term loans.

Other Income, net

For the six months ended June 30, 2013, other income increased by $4.4 million (or 2,266.3%) to $4.6 million, compared to $0.2 in the 2012 period. For the six months ended June 30, 2013 we recognized $1.1 million in subsidy income from PRC governmental agencies for developing technology and R&D projects compared to $0.2 million in the 2012 period and recognized approximately $3.2 million as a gain from the sale of a patent in 2013.

Income Tax Expense

For the six months ended June 30, 2013, we recorded a tax provision of $284,684, compared to $15,721 in the 2012 period. Our effective tax rates for the six months ended June 30 2013 and 2012 were 13.8% and (.08)%, respectively. The change in the effective tax rate is due to losses incurred by certain subsidiaries where the loss was not able to offset income generated by other subsidiaries. This resulted in us providing a provision for income taxes in the six months ended June 30, 2012 even though we incurred an overall net loss.

Net Income (Loss)

For the six months ended June 30, 2013, we incurred a net income of $1.8 million, representing an increase of $3.7 million or 189.9% from a net loss of $2.0 million during the 2012 period. The change in net income (loss) was principally due to an increase in revenue and increases in our gross margins, as explained above.

Liquidity and Capital Resources

At June 30, 2013, we had $5.4 million in cash and equivalents on hand, compared to $4.2 million at December 31, 2012. We had working capital of $9.9 million at June 30, 2013, compared to $6.3 million at December 31, 2012. The increase in working capital is attributed to the net income generated during the first half of 2013. Our principal demands for liquidity are: increasing capacity, purchasing raw materials, sales distribution and the possible acquisition of new subsidiaries in our industry, as well as other general corporate purposes.

Below is a tabular summary of our cash flows for the six months ended June 30, 2013, and 2012:

		Six Months Ended June 30,
		2013			2012
Net cash used in operating activities	$	(694,494	)	$	(5,552,021	)
Net cash used in investing activities		(985,008	)		(1,847,774	)
Net cash provided by financing activities		2,715,853			7,977,939
Effect of exchange rate changes on cash and equivalents		111,511			25,348
Net increase in cash and equivalents		1,147,862			603,492
Cash and equivalents at beginning of period		4,233,183			2,831,808
Cash and equivalents at end of period	$	5,381,045		$	3,435,300

Operating Activities

Net cash flows used in operating activities during the six months ended June 30, 2013 was $0.7 million, a decrease of $4.9, compared to $5.6 million in the 2012 period. The decrease in cash used in operating activities during the six months ended June 30, 2013 was primarily attributable to our generating net income during the six months ended June 30, 2013 compared to a net loss during the same period in 2012.

Investing Activities

Net cash flows used in investing activities during the six months ended June 30, 2013 was $1.0 million, a decrease of $0.9 million, compared to $1.9 million in the 2012 period. During 2012, we used $1.6 million for the acquisition of property and equipment, compared to $48,258 in 2013. The property and equipment were purchased for the construction of a new BOPP film production line and a fully automated plant equipped with state-of-the-art production machinery. In the 2013 period there was cash provided from the repayment of notes receivable of $0.5 million, offset by an increase in restricted cash of $1.5 million.

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Financing Activities

Net cash provided by financing activities for the six months ended June 30, 2013 was $2.7 million, a decrease of $5.3 million compared to the 2012 period. During the 2013 period, we decreased our net cash provided by financing activities by repaying $16.6 million of short-term loans, an increase of $4.9 million from $11.7 million in the 2012 period, and increased our proceeds from our loans from $18.6 million during the 2012 period to $19.3 in 2013.

Assets

Our total assets as of June 30, 2013 were $84.7 million, an increase of $7.2 million, compared to $77.5 million as of December 31, 2012. The increase was primarily due to the increase of cash of $1.1 million, restricted cash of $1.6 million, accounts receivable of $2.3 million and inventory of $4.2 million, offset by a decrease in advances to suppliers of $1.6 million. We intend to continue our efforts to maintain accounts receivable at reasonable levels in relation to our sales.

Liabilities

Our current liabilities increased by $4.5 million as of June 30, 2013, compared to December 31, 2012, principally due to an increase in accounts payable of $1.8 million and short-term loans of $3.1 million.

Loan Commitments

On August 2, 2010, Hainan Shiner, our wholly owned subsidiary, entered into a credit facility with the Hainan Branch of the Bank of China. The credit facility is comprised of a seven-year RMB70 million, or $11.1 million, secured revolving credit facility. On each of January 24, February 10, February 16, February 17, March 25, November 30, December 23, 2011 and March 19, 2012, Hainan Shiner made withdrawals on the credit facility of $2.5 million, $2.6 million, $2.2 million, $1.2 million, $0.4 million, $0.2 million, $0.5 million and $1.1 million, respectively. Hainan Shiner may only use the loan proceeds to improve the technology of its BOPP film and to purchase certain equipment necessary for these improvements. Proceeds under the facility not used for these purposes may be subject to a misappropriation penalty interest rate of 100% of the current interest rate (6.6% at June 30, 2013) on the loan.

The initial interest rate on each withdrawal from the facility is the 5-year benchmark lending rate announced by the People’s Bank of China on the date of such withdrawal, and is subject to adjustment every 12 months based upon this benchmark. Additional interest is paid on any overdue loan under this credit facility of 50% of the current interest rate on the loan. Hainan Shiner and certain of its affiliates, including the Company, provided guarantees and certain land use rights, buildings, and property as collateral under this facility.

The credit facility includes financial covenants that prohibit Hainan Shiner from making distributions to its sole shareholder if (a) its after-tax net income for the fiscal year is zero or negative, (b) its after-tax net income is insufficient to make up its accumulated loss for the last several fiscal years, (c) its income before tax is not utilized in paying off the capital, interest and expense of the lender, or (d) the income before tax is insufficient to pay the capital, interest and expense of the lender.

During the six months ended June 30, 2013, we paid $16.6 million of our short-term loans and borrowed an additional $19.3 million in short-term loans. The current outstanding short-term loans are due through June 2014. We intend to meet our liquidity requirements, including capital expenditures related to the purchase of equipment, purchase of raw materials, and the expansion of our business, through cash flow provided by operations, and our current credit facilities.

Obligations Under Material Contracts

We have no material payment obligations other than the loan commitments disclosed above.

Critical Accounting Policies

The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires our management to make assumptions, estimates and judgments that affect the amounts reported, including the notes thereto, and related disclosures of commitments and contingencies, if any. We have identified certain accounting policies that are significant to the preparation of our financial statements. These accounting policies are important for an understanding of our financial condition and results of operation. Critical accounting policies are those that are most important to the portrayal of our financial conditions and results of operations and require management’s difficult, subjective, or complex judgment, often as a result of the need to make estimates about the effect of matters that are inherently uncertain and may change in subsequent periods. Certain accounting estimates are particularly sensitive because of their significance to financial statements and because of the possibility that future events affecting the estimate may differ significantly from management’s current judgments.

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Accounts Receivable

The Company maintains reserves for potential credit losses on accounts receivable. Management reviews the composition of accounts receivable and analyzes historical bad debts, customer concentrations, customer credit worthiness, current economic trends and changes in customer payment patterns to evaluate the adequacy of these reserves. Reserves are recorded primarily on a specific identification basis.

Inventory, Net

Inventory is valued at the lower of cost (determined on a weighted average basis) or market. Management compares the cost of inventory with this market value and allowance is made to write down inventory to market value, if lower.

Revenue Recognition

The Company’s revenue recognition policies comply with the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 605, “Revenue Recognition.” Sales revenue is recognized at the date of shipment to customers when a formal arrangement exists, the price is fixed or determinable, the delivery is completed, no other significant obligations of the Company exist and collectability is reasonably assured. Payments received before all of the relevant criteria for revenue recognition are satisfied are recorded as unearned revenue.

Sales revenue consists of the invoiced value of goods, which is net of value-added tax (“VAT”). All of the Company’s products are sold in the PRC and are subject to Chinese VAT of 17% of the gross sales price. This VAT may be offset by VAT paid by the Company on raw materials and other materials included in the cost of producing their end product. The Company recorded VAT payable and VAT receivable net of payments in the financial statements. The VAT tax return is filed offsetting the payables against the receivables.

Sales and purchases are recorded net of VAT collected and paid. VAT taxes are not affected by the income tax holiday.

Stock-Based Compensation

The Company records stock-based compensation in accordance with ASC Topic 718, “Compensation – Stock Compensation.” ASC 718 requires companies to measure compensation cost for stock-based employee compensation at fair value (“FV”) at the grant date and recognize the expense over the employee’s requisite service period. The Company recognizes in the statement of operations the grant-date FV of stock options and other equity-based compensation issued to employees and non-employees.

Income Taxes

The Company accounts for income taxes in accordance with ASC Topic 740, “Income Taxes.” ASC 740 requires a company to use the asset and liability method of accounting for income taxes, whereby deferred tax assets are recognized for deductible temporary differences, and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion, or all of, the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment.

Under ASC 740, a tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. The adoption had no effect on the Company’s consolidated financial statements.

Basic and Diluted Earnings Per Share

Earnings per share (“EPS”) is calculated in accordance with the ASC Topic 260, “Earnings Per Share.” Basic EPS is based upon the weighted average number of common shares outstanding. Diluted EPS is based on the assumption that all dilutive convertible shares and stock warrants were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period.

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Recent Accounting Pronouncements

In December 2011, the FASB issued ASU No. 2011-11, “Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities.” This ASU requires an entity to disclose information about offsetting and related arrangements to enable users of its financial statements to understand the effect of those arrangements on its financial position. In January 2013, this guidance was amended by ASU 2013-01, “Clarifying the Scope of Disclosure about Offsetting Assets and Liabilities,” which limits the scope of ASU No. 2011-11 to certain derivatives, repurchase and reverse repurchase agreements, and securities borrowing and lending transactions. This guidance is effective for annual and interim reporting periods beginning on or after January 1, 2013. The adoption of this standard did not have a material impact on our consolidated results of operations, financial condition, or liquidity.

Seasonality of Our Sales

The first quarter of the calendar year is typically the slowest season of the year for us due to the Chinese New Year holiday. During this period, accounts receivable collection tends to be very slow and we also need to purchase raw materials to prepare for upcoming busier seasons.

Inflation

Inflation does not materially affect our business or the results of our operations.

Off-Balance Sheet Arrangements

As of June 30, 2013, we did not have any off-balance sheet arrangements.

ITEM 3.    QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not applicable.

ITEM 4.    CONTROLS AND PROCEDURES

Disclosure Controls and Procedures

We maintain disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act). Disclosure controls and procedures refer to controls and other procedures designed to ensure that information required to be disclosed in the reports we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the SEC and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Principal Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.

As required by Rule 13a-15(e), our management has carried out an evaluation, with the participation and under the supervision of our Chief Executive Officer, Mr. Qingtao Xing and our Interim Chief Financial Officer, Xuezhu Xu, of the effectiveness of the design and operation of our disclosure controls and procedures, as of June 30, 2013. Based upon, and as of the date of this evaluation, Mr. Xing and Mr. Xu, determined that, as of June 30, 2013, and as of the date of this report, our disclosure controls and procedures were effective.

Changes in Internal Controls over Financial Reporting

There were no changes in our internal controls over financial reporting during the six months ended June 30 of fiscal 2013 that have materially affected, or are reasonably likely to materially affect our internal control over financial reporting.

PART II. OTHER INFORMATION

ITEM 1.    LEGAL PROCEEDINGS

From time to time, we may become involved in various lawsuits and legal proceedings, which arise, in the ordinary course of business. However, litigation is subject to inherent uncertainties, and an adverse result in these, or other matters, may arise from time to time that may harm our business. We are currently not aware of any such legal proceedings or claims that we believe will have a material adverse affect on our business, financial condition or operating results.

- 26 -

ITEM 1A. RISK FACTORS.

There are no material changes from the risk factors previously disclosed in Item 1A “Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2012.

ITEM 2.    UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS.

None.

ITEM 3.    DEFAULTS UPON SENIOR SECURITIES.

None.

ITEM 4.    MINE SAFETY DISCLOSURES

Not applicable.

ITEM 5.    OTHER INFORMATION

We have no information to disclose that was required to be in a report on Form 8-K during the period covered by this report, but was not reported. There have been no material changes to the procedures by which security holders may recommend nominees to our board of directors.

ITEM 6.    EXHIBITS

Exhibit	Description of Exhibit
31.1	Certification of our Chief Executive Officer pursuant to Rules 13a-14 and 15d-14 under the Securities Exchange Act of 1934, as amended, filed herewith
31.2	Certification of our Chief Financial Officer pursuant to Rules 13a-14 and 15d-14 under the Securities Exchange Act of 1934, as amended, filed herewith
32.1	Certification of our Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, filed herewith
32.2	Certification of our Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, filed herewith
101*	Interactive data files pursuant to Rule 405 of Regulation S-T

_______________________

* Filed with this Form 10-Q for Shiner International, Inc. Pursuant to Rule 406T of Regulation S-T, the interactive data files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, or for purposes of Section 18 of the Securities Act of 1934, as amended, and otherwise are not subject to liability under those sections.

- 27 -

SIGNATURES

            Pursuant to the requirements of the Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	SHINER INTERNATIONAL, INC.
August 15, 2013	By: /s/ Qingtao Xing
	Name: Qingtao Xing
	Title: President and Chief Executive Officer
	(Principal Executive Officer)
August 15, 2013	By: /s/ Xuezhu Xu
	Name: Xuezhu Xu
	Title: Interim Chief Financial Officer
	(Principal Financial and Accounting Officer)

EX-31.1

Exhibit 31.1

CERTIFICATIONS

I, Qingtao Xing, certify that:

1.	I have reviewed this quarterly report on Form 10-Q/A of Shiner International, Inc.;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
	a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
	b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
	c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
	d)	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
	a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
	b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 16, 2013

/s/ Qingtao Xing                                            
Qingtao Xing
Chief Executive Officer
(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATIONS

I, Xuezhu Xu, certify that:

1.	I have reviewed this quarterly report on Form 10-Q/A of Shiner International, Inc.;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
	a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
	b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
	c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
	d)	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
	a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
	b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 16, 2013

/s/Xuezhu Xu

Xuezhu Xu

Interim Chief Financial Officer

(Principal Financial Officer and Principal Accounting Officer)

EX-32.1

Exhibit 32.1

CERTIFICATIONS PURSUANT TO 18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO SECTION 906
OF THE SARBANES-OXLEY ACT OF 2002

The undersigned, Qingtao Xing, the Chief Executive Officer of SHINER INTERNATIONAL, INC. (the “Company”), DOES HEREBY CERTIFY that:

          1.     The Company’s Quarterly Report on Form 10-Q/A for the quarter ended June 30, 2013 (the “Report”), fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and

          2.      Information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Company.

IN WITNESS WHEREOF, each of the undersigned has executed this statement this 16th day of August, 2013.

/s/ Qingtao Xing

Qingtao Xing

Chief Executive Officer

(Principal Executive Officer)

A signed original of this written statement required by Section 906 has been provided to Shiner International, Inc. and will be retained by Shiner International, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

The forgoing certification is being furnished to the Securities and Exchange Commission pursuant to § 18 U.S.C. Section 1350. It is not being filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and is not to be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.

EX-32.2

Exhibit 32.2

CERTIFICATIONS PURSUANT TO 18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO SECTION 906
OF THE SARBANES-OXLEY ACT OF 2002

The undersigned, Xuezhu Xu, the Interim Chief Financial Officer of SHINER INTERNATIONAL, INC. (the “Company”), DOES HEREBY CERTIFY that:

          1.      The Company’s Quarterly Report on Form 10-Q/A for the quarter ended June 30, 2013 (the “Report”), fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and

          2.      Information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Company.

IN WITNESS WHEREOF, each of the undersigned has executed this statement this 16th day of August, 2013.

/s/ Xuezhu Xu

Xuezhu Xu

Interim Chief Financial Officer

(Principal Financial Officer and

Principal Accounting Officer)

A signed original of this written statement required by Section 906 has been provided to Shiner International, Inc. and will be retained by Shiner International, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

The forgoing certification is being furnished to the Securities and Exchange Commission pursuant to § 18 U.S.C. Section 1350. It is not being filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and is not to be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.

XML

Current Vulnerability Due to Certain Concentrations

6 Months Ended

Jun. 30, 2013

Current Vulnerability Due to Certain Concentrations [Text Block]

Note 12 - Current Vulnerability Due to Certain Concentrations

There were no customers that exceeded 10% of the Company’s sales for the six months ended June 30, 2013 or 2012. One vendor provided 16% of the Company’s raw materials for the six months ended June 30, 2013, as compared to one vendor that provided 17% of the Company’s raw material purchases for the six months ended June 30, 2012. At June 30, 2013 and December 31, 2012, the Company owed these vendors $1,460,650 and $1,143,862, respectively.

The Company’s operations are carried out in the PRC. Accordingly, the Company’s business, financial condition and results of operations may be influenced by the political, economic and legal environments in the PRC and by the general state of the PRC’s economy. The Company’s business may be influenced by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things.

XML

Summary of Stock Option Activity (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Stock Options And Warrants Summary Of Stock Option Activity 1	$ 90,000
Stock Options And Warrants Summary Of Stock Option Activity 2	0.95
Stock Options And Warrants Summary Of Stock Option Activity 3	0
Stock Options And Warrants Summary Of Stock Option Activity 4	0
Stock Options And Warrants Summary Of Stock Option Activity 5	0
Stock Options And Warrants Summary Of Stock Option Activity 6	0
Stock Options And Warrants Summary Of Stock Option Activity 7	0
Stock Options And Warrants Summary Of Stock Option Activity 8	0
Stock Options And Warrants Summary Of Stock Option Activity 9	0
Stock Options And Warrants Summary Of Stock Option Activity 10	0
Stock Options And Warrants Summary Of Stock Option Activity 11	0
Stock Options And Warrants Summary Of Stock Option Activity 12	0
Stock Options And Warrants Summary Of Stock Option Activity 13	90,000
Stock Options And Warrants Summary Of Stock Option Activity 14	0.95
Stock Options And Warrants Summary Of Stock Option Activity 15	0
Stock Options And Warrants Summary Of Stock Option Activity 16	90,000
Stock Options And Warrants Summary Of Stock Option Activity 17	0.95
Stock Options And Warrants Summary Of Stock Option Activity 18	$ 0

XML

CONSOLIDATED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE INCOME (LOSS) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Net revenue	$ 17,950,297	$ 16,401,485	$ 31,793,826	$ 33,771,509
Cost of goods sold	16,127,248	15,913,476	29,057,338	31,112,559
Gross profit	1,823,049	488,009	2,736,488	2,658,950
Operating expenses:
Selling	769,904	577,500	1,435,329	1,232,031
General and administrative	1,497,585	1,386,968	2,928,678	3,033,445
Total operating expenses	2,267,489	1,964,468	4,364,007	4,265,476
Income (loss) from operations	(444,440)	(1,476,459)	(1,627,519)	(1,606,526)
Non-operating income (expense):
Other income (expense), net	3,572,108	294,712	4,579,548	193,529
Interest income	14,411	9,565	75,761	18,394
Interest expense	(512,850)	(323,196)	(887,006)	(611,865)
Exchange loss	(41,011)	(3,775)	(79,071)	(9,648)
Total non-operating income (expense)	3,032,658	(22,694)	3,689,232	(409,590)
Income (loss) before income tax	2,588,218	(1,499,153)	2,061,713	(2,016,116)
Income tax expense (benefit)	284,684	(63,222)	284,684	15,721
Net income (loss)	2,303,534	(1,435,931)	1,777,029	(2,031,837)
Net income (loss) attributed to noncontrolling interest	7,137	(21,641)	7,152	(63,027)
Net income (loss) attributed to Shiner	2,296,397	(1,414,290)	1,769,877	(1,968,810)
Comprehensive income (loss):
Net income (loss)	2,303,534	(1,435,931)	1,777,029	(2,031,837)
Foreign currency translation gain	517,918	28,762	706,709	307,086
Comprehensive income (loss)	$ 2,821,452	$ (1,407,169)	$ 2,483,738	$ (1,724,751)
Weighted average shares outstanding:
Basic	27,541,491	27,541,491	27,541,491	27,541,491
Diluted	27,541,491	27,541,491	27,541,491	27,541,491
Income (loss) per share attributed to Shiner common stockholders:
Basic	$ 0.08	$ (0.05)	$ 0.06	$ (0.07)
Diluted	$ 0.08	$ (0.05)	$ 0.06	$ (0.07)

XML

Prepaid Expense and Other Current Assets

6 Months Ended

Jun. 30, 2013

Prepaid Expense and Other Current Assets [Text Block]

Note 5 – Prepaid Expenses and Other Current Assets

Prepaid expense and other current assets at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,		December 31,
		2013		2012
				(audited)
Other receivables	$	1,683,128	$	651,971
Prepaid expenses		56,992		59,566
	$	1,740,120	$	711,537

XML

Inventory (Tables)

6 Months Ended

Jun. 30, 2013

Inventory [Table Text Block]

		June 30,			December 31,
		2013			2012
					(audited)
Raw Material	$	4,322,783		$	4,264,823
Work in process		1,663,592			1,647,956
Finished goods		9,131,781			4,960,861
		15,118,156			10,873,640
Less: obsolescence reserve		(778,791	)		(762,908	)
Inventory, net	$	14,339,365		$	10,110,732

XML

Summary of Company's Warrant Activity (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Stock Options And Warrants Summary Of Company's Warrant Activity 1	$ 521,664
Stock Options And Warrants Summary Of Company's Warrant Activity 2	1.70
Stock Options And Warrants Summary Of Company's Warrant Activity 3	0.24
Stock Options And Warrants Summary Of Company's Warrant Activity 4	0
Stock Options And Warrants Summary Of Company's Warrant Activity 5	0
Stock Options And Warrants Summary Of Company's Warrant Activity 6	(521,664)
Stock Options And Warrants Summary Of Company's Warrant Activity 7	1.70
Stock Options And Warrants Summary Of Company's Warrant Activity 8	0
Stock Options And Warrants Summary Of Company's Warrant Activity 9	0
Stock Options And Warrants Summary Of Company's Warrant Activity 10	0
Stock Options And Warrants Summary Of Company's Warrant Activity 11	0
Stock Options And Warrants Summary Of Company's Warrant Activity 12	0
Stock Options And Warrants Summary Of Company's Warrant Activity 13	0
Stock Options And Warrants Summary Of Company's Warrant Activity 14	$ 0

XML

Commitments and Contingencies

6 Months Ended

Jun. 30, 2013

Commitments and Contingencies [Text Block]

Note 13 – Commitments and Contingencies

At June 30, 2013, the Company was contingently liable to banks for discounted notes receivable and to vendors for endorsed notes receivable of $827,466 (RMB5,114,131).

XML

Intangible Assets (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Intangible Assets Intangible Assets 1	$ 1,186,431
Intangible Assets Intangible Assets 2	1,162,234
Intangible Assets Intangible Assets 3	(105,875)
Intangible Assets Intangible Assets 4	(92,246)
Intangible Assets Intangible Assets 5	1,080,556
Intangible Assets Intangible Assets 6	$ 1,069,988

XML

Company's Segment Information (Statement of Operation) (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Segment Information Company's Segment Information (statement Of Operation) 1	$ 10,121,060
Segment Information Company's Segment Information (statement Of Operation) 2	10,596,958
Segment Information Company's Segment Information (statement Of Operation) 3	17,509,118
Segment Information Company's Segment Information (statement Of Operation) 4	20,634,999
Segment Information Company's Segment Information (statement Of Operation) 5	200,231
Segment Information Company's Segment Information (statement Of Operation) 6	278,999
Segment Information Company's Segment Information (statement Of Operation) 7	399,415
Segment Information Company's Segment Information (statement Of Operation) 8	292,810
Segment Information Company's Segment Information (statement Of Operation) 9	4,684,105
Segment Information Company's Segment Information (statement Of Operation) 10	3,774,754
Segment Information Company's Segment Information (statement Of Operation) 11	8,202,994
Segment Information Company's Segment Information (statement Of Operation) 12	7,892,170
Segment Information Company's Segment Information (statement Of Operation) 13	1,211,045
Segment Information Company's Segment Information (statement Of Operation) 14	385,673
Segment Information Company's Segment Information (statement Of Operation) 15	2,162,528
Segment Information Company's Segment Information (statement Of Operation) 16	1,416,479
Segment Information Company's Segment Information (statement Of Operation) 17	1,733,856
Segment Information Company's Segment Information (statement Of Operation) 18	1,365,101
Segment Information Company's Segment Information (statement Of Operation) 19	3,519,771
Segment Information Company's Segment Information (statement Of Operation) 20	3,535,051
Segment Information Company's Segment Information (statement Of Operation) 21	17,950,297
Segment Information Company's Segment Information (statement Of Operation) 22	16,401,485
Segment Information Company's Segment Information (statement Of Operation) 23	31,793,826
Segment Information Company's Segment Information (statement Of Operation) 24	33,771,509
Segment Information Company's Segment Information (statement Of Operation) 25	2,321,553
Segment Information Company's Segment Information (statement Of Operation) 26	4,516,389
Segment Information Company's Segment Information (statement Of Operation) 27	3,334,740
Segment Information Company's Segment Information (statement Of Operation) 28	9,767,474
Segment Information Company's Segment Information (statement Of Operation) 29	263
Segment Information Company's Segment Information (statement Of Operation) 30	(119)
Segment Information Company's Segment Information (statement Of Operation) 31	42,720
Segment Information Company's Segment Information (statement Of Operation) 32	168,948
Segment Information Company's Segment Information (statement Of Operation) 33	1,019,630
Segment Information Company's Segment Information (statement Of Operation) 34	1,581,823
Segment Information Company's Segment Information (statement Of Operation) 35	1,502,205
Segment Information Company's Segment Information (statement Of Operation) 36	3,735,720
Segment Information Company's Segment Information (statement Of Operation) 37	281,384
Segment Information Company's Segment Information (statement Of Operation) 38	131,249
Segment Information Company's Segment Information (statement Of Operation) 39	411,869
Segment Information Company's Segment Information (statement Of Operation) 40	670,483
Segment Information Company's Segment Information (statement Of Operation) 41	356,143
Segment Information Company's Segment Information (statement Of Operation) 42	538,158
Segment Information Company's Segment Information (statement Of Operation) 43	601,061
Segment Information Company's Segment Information (statement Of Operation) 44	1,673,299
Segment Information Company's Segment Information (statement Of Operation) 45	3,978,973
Segment Information Company's Segment Information (statement Of Operation) 46	6,767,500
Segment Information Company's Segment Information (statement Of Operation) 47	5,892,595
Segment Information Company's Segment Information (statement Of Operation) 48	16,015,924
Segment Information Company's Segment Information (statement Of Operation) 49	12,442,613
Segment Information Company's Segment Information (statement Of Operation) 50	15,113,347
Segment Information Company's Segment Information (statement Of Operation) 51	20,843,858
Segment Information Company's Segment Information (statement Of Operation) 52	30,402,473
Segment Information Company's Segment Information (statement Of Operation) 53	200,494
Segment Information Company's Segment Information (statement Of Operation) 54	278,880
Segment Information Company's Segment Information (statement Of Operation) 55	442,135
Segment Information Company's Segment Information (statement Of Operation) 56	461,758
Segment Information Company's Segment Information (statement Of Operation) 57	5,703,735
Segment Information Company's Segment Information (statement Of Operation) 58	5,356,577
Segment Information Company's Segment Information (statement Of Operation) 59	9,705,199
Segment Information Company's Segment Information (statement Of Operation) 60	11,627,890
Segment Information Company's Segment Information (statement Of Operation) 61	1,492,429
Segment Information Company's Segment Information (statement Of Operation) 62	516,922
Segment Information Company's Segment Information (statement Of Operation) 63	2,574,397
Segment Information Company's Segment Information (statement Of Operation) 64	2,086,962
Segment Information Company's Segment Information (statement Of Operation) 65	2,089,999
Segment Information Company's Segment Information (statement Of Operation) 66	1,903,259
Segment Information Company's Segment Information (statement Of Operation) 67	4,120,832
Segment Information Company's Segment Information (statement Of Operation) 68	5,208,350
Segment Information Company's Segment Information (statement Of Operation) 69	(3,978,973)
Segment Information Company's Segment Information (statement Of Operation) 70	(6,767,500)
Segment Information Company's Segment Information (statement Of Operation) 71	(5,892,595)
Segment Information Company's Segment Information (statement Of Operation) 72	(16,015,924)
Segment Information Company's Segment Information (statement Of Operation) 73	17,950,297
Segment Information Company's Segment Information (statement Of Operation) 74	16,401,485
Segment Information Company's Segment Information (statement Of Operation) 75	31,793,826
Segment Information Company's Segment Information (statement Of Operation) 76	33,771,509
Segment Information Company's Segment Information (statement Of Operation) 77	(373,976)
Segment Information Company's Segment Information (statement Of Operation) 78	(1,253,324)
Segment Information Company's Segment Information (statement Of Operation) 79	(1,043,068)
Segment Information Company's Segment Information (statement Of Operation) 80	(753,110)
Segment Information Company's Segment Information (statement Of Operation) 81	56,713
Segment Information Company's Segment Information (statement Of Operation) 82	59,830
Segment Information Company's Segment Information (statement Of Operation) 83	109,220
Segment Information Company's Segment Information (statement Of Operation) 84	60,513
Segment Information Company's Segment Information (statement Of Operation) 85	87,154
Segment Information Company's Segment Information (statement Of Operation) 86	(169,752)
Segment Information Company's Segment Information (statement Of Operation) 87	(259,043)
Segment Information Company's Segment Information (statement Of Operation) 88	(554,756)
Segment Information Company's Segment Information (statement Of Operation) 89	(29,130)
Segment Information Company's Segment Information (statement Of Operation) 90	(146,548)
Segment Information Company's Segment Information (statement Of Operation) 91	(106,995)
Segment Information Company's Segment Information (statement Of Operation) 92	(269,932)
Segment Information Company's Segment Information (statement Of Operation) 93	(160,195)
Segment Information Company's Segment Information (statement Of Operation) 94	(7,624)
Segment Information Company's Segment Information (statement Of Operation) 95	(267,821)
Segment Information Company's Segment Information (statement Of Operation) 96	(65,042)
Segment Information Company's Segment Information (statement Of Operation) 97	(25,006)
Segment Information Company's Segment Information (statement Of Operation) 98	40,959
Segment Information Company's Segment Information (statement Of Operation) 99	(59,812)
Segment Information Company's Segment Information (statement Of Operation) 100	(24,199)
Segment Information Company's Segment Information (statement Of Operation) 101	(444,440)
Segment Information Company's Segment Information (statement Of Operation) 102	(1,476,459)
Segment Information Company's Segment Information (statement Of Operation) 103	(1,627,519)
Segment Information Company's Segment Information (statement Of Operation) 104	(1,606,526)
Segment Information Company's Segment Information (statement Of Operation) 105	8,982
Segment Information Company's Segment Information (statement Of Operation) 106	6,137
Segment Information Company's Segment Information (statement Of Operation) 107	41,722
Segment Information Company's Segment Information (statement Of Operation) 108	11,239
Segment Information Company's Segment Information (statement Of Operation) 109	69
Segment Information Company's Segment Information (statement Of Operation) 110	152
Segment Information Company's Segment Information (statement Of Operation) 111	952
Segment Information Company's Segment Information (statement Of Operation) 112	159
Segment Information Company's Segment Information (statement Of Operation) 113	3,952
Segment Information Company's Segment Information (statement Of Operation) 114	2,206
Segment Information Company's Segment Information (statement Of Operation) 115	19,547
Segment Information Company's Segment Information (statement Of Operation) 116	4,299
Segment Information Company's Segment Information (statement Of Operation) 117	936
Segment Information Company's Segment Information (statement Of Operation) 118	248
Segment Information Company's Segment Information (statement Of Operation) 119	5,153
Segment Information Company's Segment Information (statement Of Operation) 120	772
Segment Information Company's Segment Information (statement Of Operation) 121	472
Segment Information Company's Segment Information (statement Of Operation) 122	822
Segment Information Company's Segment Information (statement Of Operation) 123	8,387
Segment Information Company's Segment Information (statement Of Operation) 124	1,925
Segment Information Company's Segment Information (statement Of Operation) 125	0
Segment Information Company's Segment Information (statement Of Operation) 126	0
Segment Information Company's Segment Information (statement Of Operation) 127	0
Segment Information Company's Segment Information (statement Of Operation) 128	0
Segment Information Company's Segment Information (statement Of Operation) 129	14,411
Segment Information Company's Segment Information (statement Of Operation) 130	9,565
Segment Information Company's Segment Information (statement Of Operation) 131	75,761
Segment Information Company's Segment Information (statement Of Operation) 132	18,394
Segment Information Company's Segment Information (statement Of Operation) 133	309,454
Segment Information Company's Segment Information (statement Of Operation) 134	212,604
Segment Information Company's Segment Information (statement Of Operation) 135	535,143
Segment Information Company's Segment Information (statement Of Operation) 136	368,844
Segment Information Company's Segment Information (statement Of Operation) 137	3,218
Segment Information Company's Segment Information (statement Of Operation) 138	3,622
Segment Information Company's Segment Information (statement Of Operation) 139	5,566
Segment Information Company's Segment Information (statement Of Operation) 140	3,837
Segment Information Company's Segment Information (statement Of Operation) 141	122,746
Segment Information Company's Segment Information (statement Of Operation) 142	71,034
Segment Information Company's Segment Information (statement Of Operation) 143	212,267
Segment Information Company's Segment Information (statement Of Operation) 144	146,304
Segment Information Company's Segment Information (statement Of Operation) 145	24,835
Segment Information Company's Segment Information (statement Of Operation) 146	10,245
Segment Information Company's Segment Information (statement Of Operation) 147	42,948
Segment Information Company's Segment Information (statement Of Operation) 148	29,601
Segment Information Company's Segment Information (statement Of Operation) 149	51,960
Segment Information Company's Segment Information (statement Of Operation) 150	25,021
Segment Information Company's Segment Information (statement Of Operation) 151	89,856
Segment Information Company's Segment Information (statement Of Operation) 152	61,933
Segment Information Company's Segment Information (statement Of Operation) 153	637
Segment Information Company's Segment Information (statement Of Operation) 154	670
Segment Information Company's Segment Information (statement Of Operation) 155	1,226
Segment Information Company's Segment Information (statement Of Operation) 156	1,346
Segment Information Company's Segment Information (statement Of Operation) 157	512,850
Segment Information Company's Segment Information (statement Of Operation) 158	323,196
Segment Information Company's Segment Information (statement Of Operation) 159	887,006
Segment Information Company's Segment Information (statement Of Operation) 160	611,865
Segment Information Company's Segment Information (statement Of Operation) 161	158,886
Segment Information Company's Segment Information (statement Of Operation) 162	(64,768)
Segment Information Company's Segment Information (statement Of Operation) 163	158,886
Segment Information Company's Segment Information (statement Of Operation) 164	9,274
Segment Information Company's Segment Information (statement Of Operation) 165	0
Segment Information Company's Segment Information (statement Of Operation) 166	0
Segment Information Company's Segment Information (statement Of Operation) 167	0
Segment Information Company's Segment Information (statement Of Operation) 168	0
Segment Information Company's Segment Information (statement Of Operation) 169	89,848
Segment Information Company's Segment Information (statement Of Operation) 170	(448)
Segment Information Company's Segment Information (statement Of Operation) 171	89,848
Segment Information Company's Segment Information (statement Of Operation) 172	4,453
Segment Information Company's Segment Information (statement Of Operation) 173	0
Segment Information Company's Segment Information (statement Of Operation) 174	0
Segment Information Company's Segment Information (statement Of Operation) 175	0
Segment Information Company's Segment Information (statement Of Operation) 176	0
Segment Information Company's Segment Information (statement Of Operation) 177	35,950
Segment Information Company's Segment Information (statement Of Operation) 178	1,994
Segment Information Company's Segment Information (statement Of Operation) 179	35,950
Segment Information Company's Segment Information (statement Of Operation) 180	1,994
Segment Information Company's Segment Information (statement Of Operation) 181	0
Segment Information Company's Segment Information (statement Of Operation) 182	0
Segment Information Company's Segment Information (statement Of Operation) 183	0
Segment Information Company's Segment Information (statement Of Operation) 184	0
Segment Information Company's Segment Information (statement Of Operation) 185	284,684
Segment Information Company's Segment Information (statement Of Operation) 186	(63,222)
Segment Information Company's Segment Information (statement Of Operation) 187	284,684
Segment Information Company's Segment Information (statement Of Operation) 188	15,721
Segment Information Company's Segment Information (statement Of Operation) 189	1,102,448
Segment Information Company's Segment Information (statement Of Operation) 190	(1,219,285)
Segment Information Company's Segment Information (statement Of Operation) 191	750,228
Segment Information Company's Segment Information (statement Of Operation) 192	(974,336)
Segment Information Company's Segment Information (statement Of Operation) 193	53,562
Segment Information Company's Segment Information (statement Of Operation) 194	56,361
Segment Information Company's Segment Information (statement Of Operation) 195	104,605
Segment Information Company's Segment Information (statement Of Operation) 196	56,836
Segment Information Company's Segment Information (statement Of Operation) 197	1,008,392
Segment Information Company's Segment Information (statement Of Operation) 198	(160,873)
Segment Information Company's Segment Information (statement Of Operation) 199	893,102
Segment Information Company's Segment Information (statement Of Operation) 200	(631,283)
Segment Information Company's Segment Information (statement Of Operation) 201	(53,029)
Segment Information Company's Segment Information (statement Of Operation) 202	(156,545)
Segment Information Company's Segment Information (statement Of Operation) 203	(144,790)
Segment Information Company's Segment Information (statement Of Operation) 204	(298,761)
Segment Information Company's Segment Information (statement Of Operation) 205	210,667
Segment Information Company's Segment Information (statement Of Operation) 206	25,763
Segment Information Company's Segment Information (statement Of Operation) 207	227,770
Segment Information Company's Segment Information (statement Of Operation) 208	(95,721)
Segment Information Company's Segment Information (statement Of Operation) 209	(25,643)
Segment Information Company's Segment Information (statement Of Operation) 210	40,289
Segment Information Company's Segment Information (statement Of Operation) 211	(61,038)
Segment Information Company's Segment Information (statement Of Operation) 212	(25,545)
Segment Information Company's Segment Information (statement Of Operation) 213	2,296,397
Segment Information Company's Segment Information (statement Of Operation) 214	(1,414,290)
Segment Information Company's Segment Information (statement Of Operation) 215	1,769,877
Segment Information Company's Segment Information (statement Of Operation) 216	(1,968,810)
Segment Information Company's Segment Information (statement Of Operation) 217	472,691
Segment Information Company's Segment Information (statement Of Operation) 218	631,228
Segment Information Company's Segment Information (statement Of Operation) 219	977,146
Segment Information Company's Segment Information (statement Of Operation) 220	992,620
Segment Information Company's Segment Information (statement Of Operation) 221	9,623
Segment Information Company's Segment Information (statement Of Operation) 222	10,716
Segment Information Company's Segment Information (statement Of Operation) 223	19,943
Segment Information Company's Segment Information (statement Of Operation) 224	21,446
Segment Information Company's Segment Information (statement Of Operation) 225	187,495
Segment Information Company's Segment Information (statement Of Operation) 226	219,625
Segment Information Company's Segment Information (statement Of Operation) 227	387,590
Segment Information Company's Segment Information (statement Of Operation) 228	393,727
Segment Information Company's Segment Information (statement Of Operation) 229	37,936
Segment Information Company's Segment Information (statement Of Operation) 230	34,892
Segment Information Company's Segment Information (statement Of Operation) 231	78,421
Segment Information Company's Segment Information (statement Of Operation) 232	79,662
Segment Information Company's Segment Information (statement Of Operation) 233	79,369
Segment Information Company's Segment Information (statement Of Operation) 234	81,292
Segment Information Company's Segment Information (statement Of Operation) 235	164,072
Segment Information Company's Segment Information (statement Of Operation) 236	166,671
Segment Information Company's Segment Information (statement Of Operation) 237	0
Segment Information Company's Segment Information (statement Of Operation) 238	0
Segment Information Company's Segment Information (statement Of Operation) 239	0
Segment Information Company's Segment Information (statement Of Operation) 240	0
Segment Information Company's Segment Information (statement Of Operation) 241	787,114
Segment Information Company's Segment Information (statement Of Operation) 242	977,753
Segment Information Company's Segment Information (statement Of Operation) 243	1,627,172
Segment Information Company's Segment Information (statement Of Operation) 244	$ 1,654,126

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Statutory Common Welfare Fund (Narrative) (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Statutory Common Welfare Fund 1	10.00%
Statutory Common Welfare Fund 2	50.00%
Statutory Common Welfare Fund 3	5.00%
Statutory Common Welfare Fund 4	10.00%
Statutory Common Welfare Fund 5	$ 0
Statutory Common Welfare Fund 6	$ 0

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Other Payables (Tables)

6 Months Ended

Jun. 30, 2013

Other Payables [Table Text Block]

		June 30,		December 31,
		2013		2012
				(audited)
Special purpose fund for Shi Zi Ling workshop	$	4,080,596	$	4,227,988
Special purpose fund for structure and equipment		2,229,717		2,317,006
Special purpose fund for expansion and equipment		288,813		282,922
Taxes payable		892,556		652,751
Miscellaneous payables		965,404		732,479
	$	8,457,086	$	8,213,146

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Intangible Assets (Tables)

6 Months Ended

Jun. 30, 2013

Intangible Assets [Table Text Block]

		June 30,			December 31,
		2013			2012
					(audited)
Right to use land	$	1,186,431		$	1,162,234
Less: accumulated amortization		(105,875	)		(92,246	)
Intangible assets, net	$	1,080,556		$	1,069,988

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Inventory (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Inventory Inventory 1	$ 4,322,783
Inventory Inventory 2	4,264,823
Inventory Inventory 3	1,663,592
Inventory Inventory 4	1,647,956
Inventory Inventory 5	9,131,781
Inventory Inventory 6	4,960,861
Inventory Inventory 7	15,118,156
Inventory Inventory 8	10,873,640
Inventory Inventory 9	(778,791)
Inventory Inventory 10	(762,908)
Inventory Inventory 11	14,339,365
Inventory Inventory 12	$ 10,110,732

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Intangible Assets (Narrative) (Details)	6 Months Ended
	Jun. 30, 2013 Y
Intangible Assets 1	54
Intangible Assets 2	57

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Commitments and Contingencies (Narrative) (Details)	6 Months Ended
	Jun. 30, 2013 USD ($)	Jun. 30, 2013 CNY
Commitments And Contingencies 1	$ 827,466
Commitments And Contingencies 2		5,114,131

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Other Payables (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Other Payables Other Payables 1	$ 4,080,596
Other Payables Other Payables 2	4,227,988
Other Payables Other Payables 3	2,229,717
Other Payables Other Payables 4	2,317,006
Other Payables Other Payables 5	288,813
Other Payables Other Payables 6	282,922
Other Payables Other Payables 7	892,556
Other Payables Other Payables 8	652,751
Other Payables Other Payables 9	965,404
Other Payables Other Payables 10	732,479
Other Payables Other Payables 11	8,457,086
Other Payables Other Payables 12	$ 8,213,146

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Geographical Sales (Tables)

6 Months Ended

Jun. 30, 2013

Geographical Distribution of Shiner's Revenue [Table Text Block]

		Three Months Ended June 30,				Six Months Ended June 30,
Geographical Areas		2013		2012		2013		2012
Chinese Main Land	$	15,039,914	$	13,569,643	$	25,724,940	$	27,947,584
Asia (outside Mainland China)		1,457,552		1,282,973		2,976,198		2,455,536
Australia		813,377		997,009		1,856,941		1,920,232
North America		482,795		374,903		794,045		632,842
Middle East		51,494		99,183		159,154		419,020
Europe		73,382		77,774		184,173		338,108
Africa		-		-		-		33,841
South America		31,783		-		98,375		24,346
	$	17,950,297	$	16,401,485	$	31,793,826	$	33,771,509

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Depreciation of Property and Equipment Is Using Straight-Line Method for Substantially all Assets with Estimated Lives (Details)	6 Months Ended
	Jun. 30, 2013 Y
Summary Of Significant Accounting Policies Depreciation Of Property And Equipment Is Using Straight-line Method For Substantially All Assets With Estimated Lives 1	10
Summary Of Significant Accounting Policies Depreciation Of Property And Equipment Is Using Straight-line Method For Substantially All Assets With Estimated Lives 2	8
Summary Of Significant Accounting Policies Depreciation Of Property And Equipment Is Using Straight-line Method For Substantially All Assets With Estimated Lives 3	5
Summary Of Significant Accounting Policies Depreciation Of Property And Equipment Is Using Straight-line Method For Substantially All Assets With Estimated Lives 4	20

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Prepaid Expense and Other Current Assets (Tables)

6 Months Ended

Jun. 30, 2013

Schedule of Prepaid Expenses and Other Current Assets [Table Text Block]

		June 30,		December 31,
		2013		2012
				(audited)
Other receivables	$	1,683,128	$	651,971
Prepaid expenses		56,992		59,566
	$	1,740,120	$	711,537

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Organization and Basis of Presentation

6 Months Ended

Jun. 30, 2013

Organization and Basis of Presentation [Text Block]

Note 1 - Organization and Basis of Presentation

The unaudited consolidated financial statements were prepared by Shiner International, Inc., a Nevada corporation (the “Company” or “Shiner”), pursuant to the rules and regulations of the Securities Exchange Commission (“SEC”). The information furnished herein reflects all adjustments (consisting of normal recurring accruals and adjustments) which are, in the opinion of management, necessary to fairly present the operating results for the respective periods. Certain information and footnote disclosures normally present in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) were omitted pursuant to such rules and regulations. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and footnotes included in the Company’s Annual Report on Form 10-K filed with the SEC on March 29, 2013. The results for the three and six months ended June 30, 2013, are not necessarily indicative of the results to be expected for the year ending December 31, 2013.

Organization and Line of Business

Shiner International, Inc. (the “Company” or “Shiner”) was incorporated in the State of Nevada on November 12, 2003. The Company, through its subsidiaries manufactures Biaxially Oriented Polypropylene (“BOPP”) tobacco film, coated films, color printing products, advanced film, and water based coatings selling to customers throughout the People’s Republic of China (“China” or “PRC”), Asia, Australia, Europe, the Middle East and North America. Our products are sold to companies in the following industries: food, tobacco, chemical, agribusiness, medical, pharmaceutical, personal care, electronics, automotive, construction, graphics, music and video publishing and other consumer goods.

Except as otherwise indicated by the context, all references in this report to “Shiner,” “Company,” “we,” “us” or “our” are to Shiner International, Inc. and its direct and indirect subsidiaries: (i) Hainan Shiner Industrial Co., Ltd., or “Hainan Shiner,” (ii) Hainan Shiny-Day Color Printing Packaging Co., Ltd., or “Shiny-Day,” (iii) Hainan Modern Hi-Tech Industrial Co., Ltd., or “Hainan Modern,” (iv) Zhuhai Modern Huanuo Packaging Material Co., Ltd., or “Zhuhai Modern,” (v) Shimmer Sun Ltd., or “Shimmer Sun,” (vi) Hainan Jingyue New Material Co., Ltd., or “Jingyue,” (vii) Hainan Shunhao New Material Co., Ltd., or “Shunhao,” (viii) Hainan Yongxin Environmental Co., Ltd., or “Yongxin,” and (ix) Ningbo Neisuoer Latex Co., Ltd., or “Ningbo”.

Basis of Presentation

The accompanying consolidated financial statements include the accounts of Shiner and its subsidiaries as follows:

	Place	Percentage
Subsidiary	Incorporated	Owned	Parent
Shiner International, Inc.	Nevada, USA		None
Hainan Shiner	China	100%	Shiner International, Inc.
Shiny-Day	China	100%	Shiner International, Inc.
Hainan Modern	China	100%	Shiny-Day
Zhuhai Modern	China	100%	Shiny-Day
Shimmer Sun	China	100%	Shiner International, Inc.
Jingyue	China	100%	Shimmer Sun
Shunhao	China	100%	Jingyue
Yongxin	China	100%	Shunhao
Ningbo	China	65%	Yongxin

The accompanying consolidated financial statements were prepared in conformity with the accounting principles generally accepted in the United States of America (“US GAAP”). The Company’s functional currency is the Chinese Yuan Renminbi (“RMB”); however, the accompanying consolidated financial statements were translated and presented in United States Dollars (“$” or “USD”).

Noncontrolling Interest

On May 2, 2011, Shiner acquired 100% of the stock of Shimmer Sun Ltd. (“Shimmer Sun”) for $3.2 million. The Company paid $1.3 million in cash and the remaining $1.9 million was paid by September 30, 2011. The acquisition gave Shiner a 65% controlling

interest in Shimmer Sun’s subsidiary, Ningbo. The transaction was accounted for under the acquisition method of accounting, with the purchase price allocated based on the fair value (“FV”) of the individual assets acquired and liabilities assumed.

The Company follows Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 810, “Consolidation,” which governs the accounting for and reporting of non-controlling interests (“NCIs”) in partially owned consolidated subsidiaries and the loss of control of subsidiaries. Certain provisions of this standard indicate, among other things, that NCIs be treated as a separate component of equity, not as a liability, that increases and decreases in the parent’s ownership interest that leave control intact be treated as equity transactions rather than as step acquisitions or dilution gains or losses, and that losses of a partially owned consolidated subsidiary be allocated to the NCI even when such allocation might result in a deficit balance. This standard also required changes to certain presentation and disclosure requirements.

The net income (loss) attributed to the NCI is separately designated in the accompanying statements of operations and other comprehensive income (loss). Losses attributable to the NCI in a subsidiary may exceed the NCI’s interests in the subsidiary’s equity. The excess attributable to the NCI is attributed to those interests. The NCI shall continue to attribute its share of losses even if that attribution results in a deficit NCI balance.

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of Shiner International, Inc. and its subsidiaries. All significant intercompany transactions and balances were eliminated in consolidation.

Foreign Currency Translation

The accounts of the Company’s Chinese subsidiaries are maintained in RMB and the accounts of the US parent company are maintained in USD. The accounts of the Chinese subsidiaries are translated into USD in accordance with ASC Topic 830, “Foreign Currency Matters,” with the RMB as the functional currency. According to Topic 830, all assets and liabilities are translated at the exchange rate on the balance sheet date, stockholders’ equity is translated at historical rates and statement of operations items are translated at the weighted average exchange rate for the period. The resulting translation adjustments are reported under other comprehensive income in accordance with ASC Topic 220, “Comprehensive Income.” Gains and losses resulting from the translations of foreign currency transactions and balances are reflected in the statement of operations and other comprehensive income (loss).

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Advances to Suppliers

6 Months Ended

Jun. 30, 2013

Advances to Suppliers [Text Block]

Note 3 – Advances to Suppliers

Advances to suppliers represent prepayment to vendors for the purchases of inventory.

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Intangible Assets

6 Months Ended

Jun. 30, 2013

Intangible Assets [Text Block]

Note 6 - Intangible Assets, net

Intangible assets at June 30, 2013 and December 31, 2012 consisted of rights to use land as follows:

		June 30,			December 31,
		2013			2012
					(audited)
Right to use land	$	1,186,431		$	1,162,234
Less: accumulated amortization		(105,875	)		(92,246	)
Intangible assets, net	$	1,080,556		$	1,069,988

Pursuant to the regulations, the PRC government owns all land. The Company has recognized the amounts paid for the acquisition of rights to use the land as an intangible asset and amortizes such rights over the period the Company has use of the land, which range from 54 to 57 years.

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Inventory

6 Months Ended

Jun. 30, 2013

Inventory [Text Block]

Note 4 – Inventory, net

Inventory at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,			December 31,
		2013			2012
					(audited)
Raw Material	$	4,322,783		$	4,264,823
Work in process		1,663,592			1,647,956
Finished goods		9,131,781			4,960,861
		15,118,156			10,873,640
Less: obsolescence reserve		(778,791	)		(762,908	)
Inventory, net	$	14,339,365		$	10,110,732

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Segment Information (Narrative) (Details)	6 Months Ended
	Jun. 30, 2013
Segment Information 1	60.00%

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Debt (Tables)

6 Months Ended

Jun. 30, 2013

Short-Term Loans [Table Text Block]

		June 30,		December 31,
		2013		2012
				(audited)
From March 16, 2012 to February 18, 2013, with interest of 8.53% at December 31, 2012. The loan was collateralized by equipment.	$	-	$	1,585,000
From June 19, 2012 to June 19, 2013, with interest of 8.20% at December 31, 2012. The loan was collateralized by equipment.		-		2,377,500
From June 8, 2012 to June 7, 2013, with interest of 7.26% at December 31, 2012. The loan was collateralized by equipment.		-		4,279,500
Various bank acceptance bills that were payable on various dates through June 10, 2013.		-		3,758,527
From December 21, 2012 to June 21, 2013, with interest of 6.16% at December 31, 2012. The loan was collateralized by a building and equipment.		-		792,500
From September 10, 2012 to March 10, 2013, with interest of 6.16% at December 31, 2012. The loan was collateralized by a building and equipment.		-		697,400
From September 10, 2012 to March 10, 2013, with interest of 6.16% at December 31, 2012. The loan was collateralized by a building and equipment.		-		792,500
From November 27, 2012 to May 27, 2103, with various interest rates averaging 6.70%. The loan was collateralized by a letter of credit.		-		2,121,188
From April 23, 2013 to October 23, 2013, with interest of 6.16% at June 30, 2013. The loan is collateralized by a building and equipment.		2,427,000		-
From May 31, 2013 to May 31, 2014, with interest of 6.6% at June 30, 2013. The loan is collateralized by a building and equipment.		6,472,000		-
From June 28, 2013 to September 27, 2014, with interest of 2.276% at June 30, 2013. The loan is collateralized by a building and equipment.		285,038		-
From May 30, 2013 to August 29, 2014, with interest of 2.273% at June 30, 2013. The loan is collateralized by a building and equipment.		242,248		-
From April 25, 2013 to July 25, 2014, with interest of 1.376% at June 30, 2013. The loan is collateralized by a building and equipment.		283,540		-
From March 28, 2013 to September 19, 2013, with interest of 6.16% at June 30, 2013. The loan is collateralized by a building and equipment.		2,224,847		-
From June 1, 2013 to November 19, 2014, with interest of 6.16% at June 30, 2013. The loan is collateralized by a building and equipment.		1,621,802		-
From May 13, 2013 to November 11, 2014, with interest of 6.3% at June 30, 2013. The loan is collateralized by a building and equipment.		1,618,000		-
Various bank acceptance bills that are payable on various dates through December 27, 2013.		4,314,155		-
	$	19,488,630	$	16,404,115

Long-Term Loans [Table Text Block]

		June 30,		December 31,
		2013		2012
				(audited)
From January 24, 2011 to January 24, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.	$	2,588,800	$	2,536,000
From February 10, 2011 to February 10, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		2,912,400		2,853,000
From February 16, 2011 to February 16, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		2,346,100		2,298,250
From February 17, 2011 to February 17, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		1,278,220		1,252,150
From March 25, 2011 to March 25, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		436,860		427,950
From November 30, 2011 to November 30, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		161,800		158,500
From December 23, 2011 to December 23, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		517,760		507,200
From March 19, 2012 to January 18, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		1,084,060		1,061,950
	$	11,326,000	$	11,095,000

Schedule of Maturities of Long-term Debt [Table Text Block]

Year ending December 31,
2013	$	-
2014		-
2015		-
2016		-
Thereafter		11,326,000
	$	11,326,000

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Organization and Basis of Presentation (Narrative) (Details) (USD $) In Millions, unless otherwise specified	6 Months Ended
	Jun. 30, 2013
Organization And Basis Of Presentation 1	100.00%
Organization And Basis Of Presentation 2	$ 3
Organization And Basis Of Presentation 3	1
Organization And Basis Of Presentation 4	$ 2
Organization And Basis Of Presentation 5	65.00%

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Employee Welfare Plans (Narrative) (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Employee Welfare Plans 1	$ 15,117
Employee Welfare Plans 2	36,323
Employee Welfare Plans 3	40,302
Employee Welfare Plans 4	$ 42,805

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Number and Weighted Average Exercise Prices of All Options Exercisable (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Exercisable 1	0.80
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Exercisable 2	$ 60,000
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Exercisable 3	0.80
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Exercisable 4	3.44
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Exercisable 5	1.25
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Exercisable 6	30,000
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Exercisable 7	1.25
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Exercisable 8	0.93
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Exercisable 9	$ 90,000

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Short-Term Loans (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Debt Short-term Loans 1	8.53%
Debt Short-term Loans 2	$ 0
Debt Short-term Loans 3	1,585,000
Debt Short-term Loans 4	8.20%
Debt Short-term Loans 5	0
Debt Short-term Loans 6	2,377,500
Debt Short-term Loans 7	7.26%
Debt Short-term Loans 8	0
Debt Short-term Loans 9	4,279,500
Debt Short-term Loans 10	0
Debt Short-term Loans 11	3,758,527
Debt Short-term Loans 12	6.16%
Debt Short-term Loans 13	0
Debt Short-term Loans 14	792,500
Debt Short-term Loans 15	6.16%
Debt Short-term Loans 16	0
Debt Short-term Loans 17	697,400
Debt Short-term Loans 18	6.16%
Debt Short-term Loans 19	0
Debt Short-term Loans 20	792,500
Debt Short-term Loans 21	6.70%
Debt Short-term Loans 22	0
Debt Short-term Loans 23	2,121,188
Debt Short-term Loans 24	6.16%
Debt Short-term Loans 25	2,427,000
Debt Short-term Loans 26	0
Debt Short-term Loans 27	6.60%
Debt Short-term Loans 28	6,472,000
Debt Short-term Loans 29	0
Debt Short-term Loans 30	2.276%
Debt Short-term Loans 31	285,038
Debt Short-term Loans 32	0
Debt Short-term Loans 33	2.273%
Debt Short-term Loans 34	242,248
Debt Short-term Loans 35	0
Debt Short-term Loans 36	1.376%
Debt Short-term Loans 37	283,540
Debt Short-term Loans 38	0
Debt Short-term Loans 39	6.16%
Debt Short-term Loans 40	2,224,847
Debt Short-term Loans 41	0
Debt Short-term Loans 42	6.16%
Debt Short-term Loans 43	1,621,802
Debt Short-term Loans 44	0
Debt Short-term Loans 45	6.30%
Debt Short-term Loans 46	1,618,000
Debt Short-term Loans 47	0
Debt Short-term Loans 48	4,314,155
Debt Short-term Loans 49	0
Debt Short-term Loans 50	19,488,630
Debt Short-term Loans 51	$ 16,404,115

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Reconciliation of Number of Shares (Details) (USD $)	3 Months Ended	6 Months Ended
	Jun. 30, 2013	Jun. 30, 2013
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 1	$ 27,541,491
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 2	0.08
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 3	27,541,491
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 4	(0.05)
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 5	0
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 6	0
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 7	0
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 8	0
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 9	27,541,491
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 10	0.08
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 11	27,541,491
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 12	(0.05)
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 1		27,541,491
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 2		0.06
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 3		27,541,491
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 4		(0.07)
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 5		0
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 6		0
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 7		0
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 8		0
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 9		27,541,491
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 10		0.06
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 11		$ 27,541,491
Summary Of Significant Accounting Policies Reconciliation Of Number Of Shares (denominator) Used In Basic And Diluted Earnings Per Share Computations 12		(0.07)

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CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Jun. 30, 2013	Dec. 31, 2012
Accounts receivable, allowance for doubtful accounts	$ 997,763	$ 850,123
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	75,000,000	75,000,000
Common stock, shares issued	27,603,336	27,603,336
Common stock, shares outstanding	27,541,491	27,541,491
Treasury stock, shares	61,845	61,845

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Stock Options and Warrants

6 Months Ended

Jun. 30, 2013

Stock Options and Warrants [Text Block]

Note 9 - Stock Options and Warrants

Stock Options

The following is a summary of the Company’s stock option activity for the six months ended June 30, 2013:

			Weighted
			Average		Aggregate
	Options		Exercise Price		Intrinsic
	Outstanding		Price		Value
Outstanding at December 31, 2012	90,000	$	0.95	$	-
Granted	-		-		-
Canceled	-		-		-
Exercised	-		-		-
Outstanding at June 30, 2013	90,000	$	0.95	$	-
Exercisable at June 30, 2013	90,000	$	0.95	$	-

The number and weighted average exercise prices of all options outstanding as of June 30, 2013, are as follows:

	Options Outstanding
					Weighted
				Weighted	Average
		Number		Average	Remaining
	Range of	Outstanding		Exercise	Contractual Life
	Exercise Price	June 30, 2013		Price	(Years)
$	0.80	60,000	$	0.80	3.44
$	1.25	30,000	$	1.25	0.93
		90,000

The number and weighted average exercise prices of all options exercisable as of June 30, 2013, are as follows:

	Options Exercisable
					Weighted
				Weighted	Average
		Number		Average	Remaining
	Range of	Outstanding		Exercise	Contractual Life
	Exercise Price	June 30, 2013		Price	(Years)
$	0.80	60,000	$	0.80	3.44
$	1.25	30,000	$	1.25	0.93
		90,000

Warrants

The following is a summary of the Company’s warrant activity for the three and six months ended June 30, 2013:

					Weighted
				Weighted	Average
				Average	Remaining
	Warrants			Exercise Price	Contractual Life
	Outstanding			Price	(Years)
Outstanding at December 31, 2012	521,664		$	1.70	0.24
Granted	-
Canceled	-
Exercised	(521,664	)	$	1.70	-
Outstanding at June 30, 2013	-		$	-	-
Exercisable at June 30, 2013	-		$	-	-

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CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$ 1,777,029	$ (2,031,837)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation	1,627,172	1,654,126
Amortization	11,594	118,214
Stock compensation expense	0	2,032
Change in working capital components:
Accounts receivable	(2,096,694)	280,177
Inventory	(3,978,392)	(2,276,621)
Advances to suppliers	1,923,549	(2,010,504)
Prepaid expenses and other assets	(1,019,674)	475,505
Accounts payable	1,602,247	(1,942,069)
Unearned revenue	(617,857)	439,576
Other payables	76,624	(219,453)
Accrued payroll	(92)	(41,167)
Net cash used in operating activities	(694,494)	(5,552,021)
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash from the sale of assets	122,255	0
Issuance of notes receivable	(54,690)	(23,764)
Proceeds from note receivable	545,241	7,925
Payments for property and equipment	(48,258)	(1,675,316)
(Increase) decrease in restricted cash	(1,549,556)	(156,619)
Net cash used in investing activities	(985,008)	(1,847,774)
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of short-term loans	(16,580,059)	(11,655,944)
Proceeds from short-term loans	19,295,912	18,572,677
Proceeds from long-term loans	0	1,061,206
Net cash provided by financing activities	2,715,853	7,977,939
Effect of exchange rate changes on cash and equivalents	111,511	25,348
NET INCREASE IN CASH AND EQUIVALENTS	1,147,862	603,492
CASH AND EQUIVALENTS, BEGINNING BALANCE	4,233,183	2,831,808
CASH AND EQUIVALENTS, ENDING BALANCE	5,381,045	3,435,300
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Interest paid	757,239	546,020
Income taxes paid	$ 0	$ 7,608

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Company's Segment Information (Assets) (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Segment Information Company's Segment Information (assets) 1	$ 44,175,606
Segment Information Company's Segment Information (assets) 2	34,457,224
Segment Information Company's Segment Information (assets) 3	657,568
Segment Information Company's Segment Information (assets) 4	961,826
Segment Information Company's Segment Information (assets) 5	17,522,471
Segment Information Company's Segment Information (assets) 6	16,599,954
Segment Information Company's Segment Information (assets) 7	3,545,306
Segment Information Company's Segment Information (assets) 8	4,268,660
Segment Information Company's Segment Information (assets) 9	7,417,519
Segment Information Company's Segment Information (assets) 10	8,140,512
Segment Information Company's Segment Information (assets) 11	11,400,218
Segment Information Company's Segment Information (assets) 12	13,070,759
Segment Information Company's Segment Information (assets) 13	84,718,688
Segment Information Company's Segment Information (assets) 14	$ 77,498,935

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CONSOLIDATED BALANCE SHEETS (USD $)	Jun. 30, 2013	Dec. 31, 2012
CURRENT ASSETS:
Cash and equivalents	$ 5,381,045	$ 4,233,183
Restricted cash	2,509,330	925,039
Accounts receivable, net of allowance for doubtful accounts of $997,763 and $850,123 at June 30, 2013 and December 31, 2012	10,088,042	7,807,846
Advances to suppliers	13,513,886	15,141,398
Notes receivable	58,653	542,802
Inventory, net	14,339,365	10,110,732
Prepaid expenses and other current assets	1,740,120	711,537
Total current assets	47,630,441	39,472,537
Property and equipment, net	30,349,348	30,689,391
Construction in progress	5,346,403	5,840,483
Advance for purchase of equipment	311,940	426,536
Intangible assets, net	1,080,556	1,069,988
TOTAL ASSETS	84,718,688	77,498,935
CURRENT LIABILITIES:
Accounts payable	8,567,798	6,808,524
Other payables	8,457,086	8,213,146
Unearned revenue	1,032,067	1,622,318
Accrued payroll	150,704	147,722
Short-term loans	19,488,630	16,404,115
Total current liabilities	37,696,285	33,195,825
Long-term loans	11,326,000	11,095,000
Total liabilities	49,022,285	44,290,825
Commitments and contingencies	0	0
Shiner stockholders' equity:
Common stock, par value $0.001; 75,000,000 shares authorized, 27,603,336 shares issued and 27,541,491 shares outstanding	27,603	27,603
Additional paid-in capital	14,336,456	14,336,456
Treasury stock (61,845 shares)	(58,036)	(58,036)
Other comprehensive income	6,452,437	5,745,728
Statutory reserve	3,414,514	3,414,514
Retained earnings	11,296,405	9,526,528
Total Shiner stockholders' equity	35,469,379	32,992,793
Noncontrolling interest	227,024	215,317
Total equity	35,696,403	33,208,110
TOTAL LIABILITIES AND EQUITY	$ 84,718,688	$ 77,498,935

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Long-Term Loans (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Debt Long-term Loans 1	6.60%
Debt Long-term Loans 2	$ 2,588,800
Debt Long-term Loans 3	2,536,000
Debt Long-term Loans 4	6.60%
Debt Long-term Loans 5	2,912,400
Debt Long-term Loans 6	2,853,000
Debt Long-term Loans 7	6.60%
Debt Long-term Loans 8	2,346,100
Debt Long-term Loans 9	2,298,250
Debt Long-term Loans 10	6.60%
Debt Long-term Loans 11	1,278,220
Debt Long-term Loans 12	1,252,150
Debt Long-term Loans 13	6.60%
Debt Long-term Loans 14	436,860
Debt Long-term Loans 15	427,950
Debt Long-term Loans 16	6.60%
Debt Long-term Loans 17	161,800
Debt Long-term Loans 18	158,500
Debt Long-term Loans 19	6.60%
Debt Long-term Loans 20	517,760
Debt Long-term Loans 21	507,200
Debt Long-term Loans 22	6.60%
Debt Long-term Loans 23	1,084,060
Debt Long-term Loans 24	1,061,950
Debt Long-term Loans 25	11,326,000
Debt Long-term Loans 26	$ 11,095,000

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Stock Options and Warrants (Tables)

6 Months Ended

Jun. 30, 2013

Summary of Stock Option Activity [Table Text Block]

			Weighted
			Average		Aggregate
	Options		Exercise Price		Intrinsic
	Outstanding		Price		Value
Outstanding at December 31, 2012	90,000	$	0.95	$	-
Granted	-		-		-
Canceled	-		-		-
Exercised	-		-		-
Outstanding at June 30, 2013	90,000	$	0.95	$	-
Exercisable at June 30, 2013	90,000	$	0.95	$	-

Number and Weighted Average Exercise Prices of All Options Outstanding [Table Text Block]

	Options Outstanding
					Weighted
				Weighted	Average
		Number		Average	Remaining
	Range of	Outstanding		Exercise	Contractual Life
	Exercise Price	June 30, 2013		Price	(Years)
$	0.80	60,000	$	0.80	3.44
$	1.25	30,000	$	1.25	0.93
		90,000

Number and Weighted Average Exercise Prices of All Options Exercisable [Table Text Block]

	Options Exercisable
					Weighted
				Weighted	Average
		Number		Average	Remaining
	Range of	Outstanding		Exercise	Contractual Life
	Exercise Price	June 30, 2013		Price	(Years)
$	0.80	60,000	$	0.80	3.44
$	1.25	30,000	$	1.25	0.93
		90,000

Summary of Company's Warrant Activity [Table Text Block]

					Weighted
				Weighted	Average
				Average	Remaining
	Warrants			Exercise Price	Contractual Life
	Outstanding			Price	(Years)
Outstanding at December 31, 2012	521,664		$	1.70	0.24
Granted	-
Canceled	-
Exercised	(521,664	)	$	1.70	-
Outstanding at June 30, 2013	-		$	-	-
Exercisable at June 30, 2013	-		$	-	-

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Summary of Significant Accounting Policies (Tables)

3 Months Ended

6 Months Ended

Jun. 30, 2013

Jun. 30, 2013

Depreciation of Property and Equipment Is Using Straight-Line Method for Substantially all Assets with Estimated Lives [Table Text Block]

Operating equipment	10 years
Vehicles	8 years
Office equipment	5 years
Buildings and improvements	20 years

Company's Property and Equipment [Table Text Block]

		June 30,			December 31,
		2013			2012
					(audited)
Operating equipment	$	26,478,484		$	25,868,886
Vehicles		710,210			695,724
Office equipment		240,916			231,234
Buildings		12,630,628			12,183,492
		40,060,238			38,979,336
Less: accumulated depreciation		(9,710,890	)		(8,289,945	)
	$	30,349,348		$	30,689,391

Reconciliation of Number of Shares [Table Text Block]

	Three Months Ended June 30,
	2013			2012
			Per Share			Per Share
	Shares		Amount	Shares		Amount
Basic earnings (loss) per share	27,541,491	$	0.08	27,541,491	$	(0.05	)
Effect of dilutive stock options and warrants	-		-	-		-
Diluted earnings per share	27,541,491	$	0.08	27,541,491	$	(0.05	)

	Six Months Ended June 30,
	2013			2012
			Per Share			Per Share
	Shares		Amount	Shares		Amount
Basic earnings (loss) per share	27,541,491	$	0.06	27,541,491	$	(0.07	)
Effect of dilutive stock options and warrants	-		-	-		-
Diluted earnings per share	27,541,491	$	0.06	27,541,491	$	(0.07	)

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Company's Property and Equipment (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Summary Of Significant Accounting Policies Company's Property And Equipment 1	$ 26,478,484
Summary Of Significant Accounting Policies Company's Property And Equipment 2	25,868,886
Summary Of Significant Accounting Policies Company's Property And Equipment 3	710,210
Summary Of Significant Accounting Policies Company's Property And Equipment 4	695,724
Summary Of Significant Accounting Policies Company's Property And Equipment 5	240,916
Summary Of Significant Accounting Policies Company's Property And Equipment 6	231,234
Summary Of Significant Accounting Policies Company's Property And Equipment 7	12,630,628
Summary Of Significant Accounting Policies Company's Property And Equipment 8	12,183,492
Summary Of Significant Accounting Policies Company's Property And Equipment 9	40,060,238
Summary Of Significant Accounting Policies Company's Property And Equipment 10	38,979,336
Summary Of Significant Accounting Policies Company's Property And Equipment 11	(9,710,890)
Summary Of Significant Accounting Policies Company's Property And Equipment 12	(8,289,945)
Summary Of Significant Accounting Policies Company's Property And Equipment 13	30,349,348
Summary Of Significant Accounting Policies Company's Property And Equipment 14	$ 30,689,391

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Number and Weighted Average Exercise Prices of All Options Outstanding (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Outstanding 1	0.80
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Outstanding 2	$ 60,000
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Outstanding 3	0.80
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Outstanding 4	3.44
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Outstanding 5	1.25
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Outstanding 6	30,000
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Outstanding 7	1.25
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Outstanding 8	0.93
Stock Options And Warrants Number And Weighted Average Exercise Prices Of All Options Outstanding 9	$ 90,000

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Current Vulnerability Due to Certain Concentrations (Narrative) (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Current Vulnerability Due To Certain Concentrations 1	10.00%
Current Vulnerability Due To Certain Concentrations 2	16.00%
Current Vulnerability Due To Certain Concentrations 3	17.00%
Current Vulnerability Due To Certain Concentrations 4	$ 1,460,650
Current Vulnerability Due To Certain Concentrations 5	$ 1,143,862

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Other Payables (Narrative) (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Other Payables 1	$ 4,080,596
Other Payables 2	2,229,717
Other Payables 3	$ 288,813

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Debt (Narrative) (Details) In Millions, unless otherwise specified	6 Months Ended
	Jun. 30, 2013 USD ($) M	Jun. 30, 2013 CNY
Debt 1	6.60%	6.60%
Debt 2		70
Debt 3	11
Debt 4	100.00%	100.00%
Debt 5	5	5
Debt 6	12	12
Debt 7	50.00%	50.00%
Debt 8		70

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Debt

6 Months Ended

Jun. 30, 2013

Debt [Text Block]

Note 8 - Debt

Short-term loans at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,		December 31,
		2013		2012
				(audited)
From March 16, 2012 to February 18, 2013, with interest of 8.53% at December 31, 2012. The loan was collateralized by equipment.	$	-	$	1,585,000
From June 19, 2012 to June 19, 2013, with interest of 8.20% at December 31, 2012. The loan was collateralized by equipment.		-		2,377,500
From June 8, 2012 to June 7, 2013, with interest of 7.26% at December 31, 2012. The loan was collateralized by equipment.		-		4,279,500
Various bank acceptance bills that were payable on various dates through June 10, 2013.		-		3,758,527
From December 21, 2012 to June 21, 2013, with interest of 6.16% at December 31, 2012. The loan was collateralized by a building and equipment.		-		792,500
From September 10, 2012 to March 10, 2013, with interest of 6.16% at December 31, 2012. The loan was collateralized by a building and equipment.		-		697,400
From September 10, 2012 to March 10, 2013, with interest of 6.16% at December 31, 2012. The loan was collateralized by a building and equipment.		-		792,500
From November 27, 2012 to May 27, 2103, with various interest rates averaging 6.70%. The loan was collateralized by a letter of credit.		-		2,121,188
From April 23, 2013 to October 23, 2013, with interest of 6.16% at June 30, 2013. The loan is collateralized by a building and equipment.		2,427,000		-
From May 31, 2013 to May 31, 2014, with interest of 6.6% at June 30, 2013. The loan is collateralized by a building and equipment.		6,472,000		-
From June 28, 2013 to September 27, 2014, with interest of 2.276% at June 30, 2013. The loan is collateralized by a building and equipment.		285,038		-
From May 30, 2013 to August 29, 2014, with interest of 2.273% at June 30, 2013. The loan is collateralized by a building and equipment.		242,248		-
From April 25, 2013 to July 25, 2014, with interest of 1.376% at June 30, 2013. The loan is collateralized by a building and equipment.		283,540		-
From March 28, 2013 to September 19, 2013, with interest of 6.16% at June 30, 2013. The loan is collateralized by a building and equipment.		2,224,847		-
From June 1, 2013 to November 19, 2014, with interest of 6.16% at June 30, 2013. The loan is collateralized by a building and equipment.		1,621,802		-
From May 13, 2013 to November 11, 2014, with interest of 6.3% at June 30, 2013. The loan is collateralized by a building and equipment.		1,618,000		-
Various bank acceptance bills that are payable on various dates through December 27, 2013.		4,314,155		-
	$	19,488,630	$	16,404,115

Long-term loans at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,		December 31,
		2013		2012
				(audited)
From January 24, 2011 to January 24, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.	$	2,588,800	$	2,536,000
From February 10, 2011 to February 10, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		2,912,400		2,853,000
From February 16, 2011 to February 16, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		2,346,100		2,298,250
From February 17, 2011 to February 17, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		1,278,220		1,252,150
From March 25, 2011 to March 25, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		436,860		427,950
From November 30, 2011 to November 30, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		161,800		158,500
From December 23, 2011 to December 23, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		517,760		507,200
From March 19, 2012 to January 18, 2018, with interest of 6.60%. The loan is collateralized by buildings and land use rights.		1,084,060		1,061,950
	$	11,326,000	$	11,095,000

Aggregate future maturities of long-term loans at June 30, 2013 are as follows:

Year ending December 31,
2013	$	-
2014		-
2015		-
2016		-
Thereafter		11,326,000
	$	11,326,000

The weighted average interest rate on long-term loans is 6.60% .

On August 2, 2010, Hainan Shiner entered into a credit facility with the Hainan Branch of the Bank of China. It is a secured revolving credit facility of RMB70 million (or $11.1 million based on the exchange rate on December 31, 2010) for seven years. Under the credit facility, Hainan Shiner may only use the loan proceeds to improve the technology of its BOPP film and to purchase certain equipment necessary for this improvement. Proceeds under the facility not used for these purposes would be subject to a misappropriation penalty interest rate that is 100% of the current interest rate on the loan.

The initial interest rate on each withdrawal from the facility will be the 5 -year benchmark lending rate announced by the People’s Bank of China on the date of such withdrawal, and is subject to adjustment every 12 months based upon the benchmark. Additional interest will be paid on an overdue loan under this credit facility at 50% of the current interest rate on the loan. Hainan Shiner and certain of its affiliates, including the Company, have provided guarantees and certain land, buildings, and property as collateral under this facility.

The credit facility includes covenants that prohibit Hainan Shiner from making distributions to the Company, its sole shareholder, if (a) its after-tax net income for the fiscal year is zero or negative, (b) its after-tax net income is insufficient to make up its accumulated loss, (c) its income before tax is not utilized in paying off the capital, interest and expense of the lender, or (d) its income before tax is insufficient to pay the capital, interest and expense of the lender.

As of June 30, 2013, the Company drew down the entire RMB70 million credit facility.

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Segment Information (Tables)

6 Months Ended

Jun. 30, 2013

Company's Segment Information (Statement of Operation) [Table Text Block]

		Three Months Ended June 30,						Six Months Ended June 30,
		2013			2012			2013			2012
Revenues from unrelated entities
Tobacco film	$	10,121,060		$	10,596,958		$	17,509,118		$	20,634,999
Water-based latex		200,231			278,999			399,415			292,810
Coated film		4,684,105			3,774,754			8,202,994			7,892,170
Color printing		1,211,045			385,673			2,162,528			1,416,479
Advanced film		1,733,856			1,365,101			3,519,771			3,535,051
	$	17,950,297		$	16,401,485		$	31,793,826		$	33,771,509
Intersegment revenues
Tobacco film	$	2,321,553		$	4,516,389		$	3,334,740		$	9,767,474
Water-based latex		263			(119	)		42,720			168,948
Coated film		1,019,630			1,581,823			1,502,205			3,735,720
Color printing		281,384			131,249			411,869			670,483
Advanced film		356,143			538,158			601,061			1,673,299
	$	3,978,973		$	6,767,500		$	5,892,595		$	16,015,924
Total revenues
Tobacco film	$	12,442,613		$	15,113,347		$	20,843,858		$	30,402,473
Water-based latex		200,494			278,880			442,135			461,758
Coated film		5,703,735			5,356,577			9,705,199			11,627,890
Color printing		1,492,429			516,922			2,574,397			2,086,962
Advanced film		2,089,999			1,903,259			4,120,832			5,208,350
Less Intersegment revenues		(3,978,973	)		(6,767,500	)		(5,892,595	)		(16,015,924	)
	$	17,950,297		$	16,401,485		$	31,793,826		$	33,771,509
Income (loss) from operations
Tobacco film	$	(373,976	)	$	(1,253,324	)	$	(1,043,068	)	$	(753,110	)
Water-based latex		56,713			59,830			109,220			60,513
Coated film		87,154			(169,752	)		(259,043	)		(554,756	)
Color printing		(29,130	)		(146,548	)		(106,995	)		(269,932	)
Advanced film		(160,195	)		(7,624	)		(267,821	)		(65,042	)
Holding Company		(25,006	)		40,959			(59,812	)		(24,199	)
	$	(444,440	)	$	(1,476,459	)	$	(1,627,519	)	$	(1,606,526	)
Interest income
Tobacco film	$	8,982		$	6,137		$	41,722		$	11,239
Water-based latex		69			152			952			159
Coated film		3,952			2,206			19,547			4,299
Color printing		936			248			5,153			772
Advanced film		472			822			8,387			1,925
Holding Company		-			-			-			-
	$	14,411		$	9,565		$	75,761		$	18,394
Interest expense
Tobacco film	$	309,454		$	212,604		$	535,143		$	368,844
Water-based latex		3,218			3,622			5,566			3,837
Coated film		122,746			71,034			212,267			146,304
Color printing		24,835			10,245			42,948			29,601
Advanced film		51,960			25,021			89,856			61,933
Holding Company		637			670			1,226			1,346
	$	512,850		$	323,196		$	887,006		$	611,865
Income tax expense (benefit)
Tobacco film	$	158,886		$	(64,768	)	$	158,886		$	9,274
Water-based latex		-			-			-			-
Coated film		89,848			(448	)		89,848			4,453
Color printing		-			-			-			-
Advanced film		35,950			1,994			35,950			1,994
Holding Company		-			-			-			-
	$	284,684		$	(63,222	)	$	284,684		$	15,721
Net income (loss)
Tobacco film	$	1,102,448		$	(1,219,285	)	$	750,228		$	(974,336	)
Water-based latex		53,562			56,361			104,605			56,836
Coated film		1,008,392			(160,873	)		893,102			(631,283	)
Color printing		(53,029	)		(156,545	)		(144,790	)		(298,761	)
Advanced film		210,667			25,763			227,770			(95,721	)
Holding Company		(25,643	)		40,289			(61,038	)		(25,545	)
	$	2,296,397		$	(1,414,290	)	$	1,769,877		$	(1,968,810	)
Provision for depreciation
Tobacco film	$	472,691		$	631,228		$	977,146		$	992,620
Water-based latex		9,623			10,716			19,943			21,446
Coated film		187,495			219,625			387,590			393,727
Color printing		37,936			34,892			78,421			79,662
Advanced film		79,369			81,292			164,072			166,671
Holding Company		-			-			-			-
	$	787,114		$	977,753		$	1,627,172		$	1,654,126

Company's Segment Information (Assets) [Table Text Block]

		As of		As of
		June 30,		December 31,
		2013		2012
Total assets				(audited)
Tobacco film	$	44,175,606	$	34,457,224
Water-based latex		657,568		961,826
Coated film		17,522,471		16,599,954
Color printing		3,545,306		4,268,660
Advanced film		7,417,519		8,140,512
Holding Company		11,400,218		13,070,759
	$	84,718,688	$	77,498,935

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Accompanying Consolidated Financial Statements Include Accounts of Shiner and Its Subsidiaries (Details)	6 Months Ended
	Jun. 30, 2013
Organization And Basis Of Presentation Accompanying Consolidated Financial Statements Include Accounts Of Shiner And Its Subsidiaries 1	100.00%
Organization And Basis Of Presentation Accompanying Consolidated Financial Statements Include Accounts Of Shiner And Its Subsidiaries 2	100.00%
Organization And Basis Of Presentation Accompanying Consolidated Financial Statements Include Accounts Of Shiner And Its Subsidiaries 3	100.00%
Organization And Basis Of Presentation Accompanying Consolidated Financial Statements Include Accounts Of Shiner And Its Subsidiaries 4	100.00%
Organization And Basis Of Presentation Accompanying Consolidated Financial Statements Include Accounts Of Shiner And Its Subsidiaries 5	100.00%
Organization And Basis Of Presentation Accompanying Consolidated Financial Statements Include Accounts Of Shiner And Its Subsidiaries 6	100.00%
Organization And Basis Of Presentation Accompanying Consolidated Financial Statements Include Accounts Of Shiner And Its Subsidiaries 7	100.00%
Organization And Basis Of Presentation Accompanying Consolidated Financial Statements Include Accounts Of Shiner And Its Subsidiaries 8	100.00%
Organization And Basis Of Presentation Accompanying Consolidated Financial Statements Include Accounts Of Shiner And Its Subsidiaries 9	65.00%

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Statutory Common Welfare Fund

6 Months Ended

Jun. 30, 2013

Statutory Common Welfare Fund [Text Block]

Note 11 - Statutory Common Welfare Fund

As stipulated by the Company Law of the PRC, net income after taxation can only be distributed as dividends after appropriation has been made for the following:

i. Making up cumulative prior years’ losses, if any;

ii.	Allocations to the “statutory surplus reserve” of at least 10% of income after tax, as determined under PRC accounting rules and regulations, until the reserve reaches 50% of the Company’s registered capital;
iii.	Allocations of 5% to 10% of income after tax, as determined under PRC accounting rules and regulations, to the Company’s “statutory common welfare fund,” which is established for the purpose of providing employee facilities and other collective benefits to the Company’s employees; and
iv.	Allocations to the discretionary surplus reserve, if approved in the stockholders’ general meeting.

The Company appropriated $0 and $0 as reserve for the statutory surplus reserve and statutory common welfare fund for the three and six months ended June 30, 2013 and 2012, respectively.

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Other Payables

6 Months Ended

Jun. 30, 2013

Other Payables [Text Block]

Note 7 – Other Payables

Other payables at June 30, 2013 and December 31, 2012 consisted of the following:

		June 30,		December 31,
		2013		2012
				(audited)
Special purpose fund for Shi Zi Ling workshop	$	4,080,596	$	4,227,988
Special purpose fund for structure and equipment		2,229,717		2,317,006
Special purpose fund for expansion and equipment		288,813		282,922
Taxes payable		892,556		652,751
Miscellaneous payables		965,404		732,479
	$	8,457,086	$	8,213,146

The $4,080,596, $2,229,717 and $288,813 payables at June 30, 2013 are liabilities recorded pursuant to the funds received as part of government grants. See “Construction in Progress and Government Grants” in Note 2.

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Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2013

Summary of Significant Accounting Policies [Text Block]

Note 2 - Summary of Significant Accounting Policies

Use of Estimates

The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Equivalents

Cash and equivalents include cash on hand and cash in time deposits, certificates of deposit and all highly liquid debt instruments with original maturities of three months or less.

Restricted Cash

Restricted cash consists of monies restricted by the Company’s lender related to its outstanding debt obligations.

Accounts Receivable

The Company maintains reserves for potential credit losses on accounts receivable. Management reviews the composition of accounts receivable and analyzes historical bad debts, customer concentrations, customer credit worthiness, current economic trends and changes in customer payment patterns to evaluate the adequacy of these reserves. Reserves are recorded primarily on a specific identification basis.

Advances to Suppliers

To ensure a steady supply of raw materials, the Company is required from time to time to make cash advances when placing its purchase orders. Management determined no reserve was necessary for advances to suppliers. The advances to suppliers are interest free and unsecured.

Notes Receivable

Notes receivable consist of bank notes received from customers as payment of their accounts receivable. The notes are guaranteed by a bank and bear no interest. The notes are generally due within three months from the date of issuance.

Inventory, net

Inventory is valued at the lower of the inventory’s cost (weighted average basis) or the current market price of the inventory. Management compares the cost of inventory with its market value and an allowance is made to write down inventory to market value, if lower.

Property and Equipment, net

Property and equipment are stated at cost. Expenditures for maintenance and repairs are expensed as incurred; additions, renewals and improvements are capitalized. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Depreciation of property and equipment is provided using the straight-line method for substantially all assets with estimated lives as follows:

Operating equipment	10 years
Vehicles	8 years
Office equipment	5 years
Buildings and improvements	20 years

The following are the details regarding the Company’s property and equipment at June 30, 2013 and December 31, 2012:

		June 30,			December 31,
		2013			2012
					(audited)
Operating equipment	$	26,478,484		$	25,868,886
Vehicles		710,210			695,724
Office equipment		240,916			231,234
Buildings		12,630,628			12,183,492
		40,060,238			38,979,336
Less: accumulated depreciation		(9,710,890	)		(8,289,945	)
	$	30,349,348		$	30,689,391

Construction in Progress and Government Grants

Construction in progress mainly consists of amounts expended to build a manufacturing workshop in Hainan, including a product line for a BOPP tobacco line. The costs incurred and capitalized as construction in progress at June 30, 2013 and December 31, 2012 (audited) were $5.3 million and $5.8 million, respectively, which include the facility and equipment. Once the project is completed, it will be transferred from “Construction in progress” to “Property and equipment.” The total cost of the new Hainan manufacturing workshop and the BOPP tobacco line is expected to be $25.1 million. The first phase of the project was completed during 2010. In October 2009, the Company received a government grant for this project of RMB29.1 million (or $4.3 million based on the exchange rate at December 31, 2009) from the Hainan Province Finance Bureau (“HPFB”). The Company is required to provide detailed expenses of the construction project to the HPFB. At the end of the project, the government will determine if the funds were used in accordance with the grant. At June 30, 2013 and December 31, 2012 (audited), respectively, RMB25.2 million ($4.1 million based on the exchange rate at June 30, 2013) and RMB26.675 million (or $4.2 million based on the exchange rate at December 31, 2012) was recorded in “Other payables” on the accompanying consolidated financial statements (Note 6). The amount of the government grant is being amortized into other income over the useful life of the asset on the same basis used to depreciate the asset. For the three and six months ended June 30, 2013, the Company amortized $116,546 and $232,364, respectively, into “Other income.”

In December 2011, the Company received a government grant of RMB14.0 million (or $2.2 million based on the exchange rate as of December 31, 2011) from the Haikou Finance Bureau (“HFB”) for the adjustment and expansion of our operations and related capital expenditures for construction and equipment purchases. The Company is required to provide detailed expenses of the construction project to HFB. At the end of the project, the government will determine if the funds were used in accordance with the grant. At June 30, 2013 and December 31, 2012 (audited), respectively, RMB12.1 million ($2.0 million based on the exchange rate at June 30, 2013) and RMB12.8 million (or $2.0 million based on the exchange rate at December 31, 2012) was recorded in “Other payables” on the accompanying consolidated financial statements (Note 6). The amount of the government grant is being amortized into “Other income” over the useful life of the asset on the same basis used to depreciate the asset. For the three and six months ended June 30, 2013, the Company amortized $56,070 and $111,790, respectively, into “Other income.”

In January 2012, the Company received a government grant of RMB1.8 million (or $0.3 million based on the exchange rate as of June 30, 2013) from the HFB for the adjustment and expansion of our operation and related capital expenditures for construction and equipment purchase. The Company is required to provide detailed expenses of the construction project to the HFB. At the end of the project, the government will determine if the funds were used in accordance with the grant. At June 30, 2013 and December 31, 2012 (audited), the entire grant was recorded in “Other payables” on the accompanying consolidated financial statements (Note 6). If the government determines the funds were used for their intended purpose, the amount of the government grant is then amortized into “Other income” over the useful life of the asset on the same basis being used to depreciate the asset. The Company has not begun amortizing the grant into “Other income.”

Long-Lived Assets

The Company applies ASC Topic 360, “Property, Plant, and Equipment,” which addresses financial accounting and reporting for the impairment or disposal of long-lived assets. ASC 360 requires impairment losses to be recorded on long-lived assets used in operations when indicators of impairment are present and the undiscounted cash flows estimated to be generated by those assets are less than the assets’ carrying amounts. In that event, a loss is recognized based on the amount by which the carrying amount exceeds the FV of the long-lived assets. Loss on long-lived assets to be disposed of is determined in a similar manner, except that FVs are reduced to recognize the cost of disposal. Based on its review, the Company believes that as of June 30, 2013 and December 31, 2012 (audited), respectively, there was no significant impairment of its long-lived assets.

Intangible Assets

Intangible assets consist of rights to use three plots of land in Haikou City granted by the Municipal Administration of China for state-owned land. For two of these plots, the Company’s rights run through January 2059 and, for the third, through October 2060. The Company evaluates intangible assets for impairment, at least on an annual basis and whenever events or changes in circumstances indicate the carrying value may not be recoverable from its estimated future cash flows. Recoverability of intangible and other long-lived assets is measured by comparing their net book value to the related projected undiscounted cash flows from these assets, considering a number of factors including past operating results, budgets, economic projections, market trends and product development cycles. If the net book value of the asset exceeds the related undiscounted cash flows, the asset is considered impaired, and a second test is performed to measure the amount of impairment loss.

Goodwill

Goodwill is the excess of purchase price over the underlying net assets of businesses acquired. Under accounting requirements, goodwill is not amortized but is subject to annual impairment tests, and more frequently if circumstances dictate. The impairment testing is based on the FV of the reporting units, which is estimated based on a discounted cash flow valuation model and the projected future cash flows of the underlying businesses.

Fair Value of Financial Instruments

For certain of the Company’s financial instruments, including cash and equivalents, restricted cash, accounts receivable, advances to suppliers, accounts payable, accrued liabilities and short-term debt, the carrying amounts approximate their FVs due to their short maturities. In addition, the Company has long-term debt with financial institutions. The carrying amounts of the line of credit and other long-term liabilities approximate their FVs based on current rates of interest for instruments with similar characteristics.

ASC Topic 820, “Fair Value Measurements and Disclosures,” requires disclosure of the FV of financial instruments held by the Company. ASC Topic 825, “Financial Instruments,” defines FV, and establishes a three-level valuation hierarchy for disclosures of FV measurement that enhances disclosure requirements for FV measures. The carrying amounts reported in the consolidated balance sheets for receivables and current liabilities each qualify as financial instruments and are a reasonable estimate of their FVs because of the short period of time between the origination of such instruments and their expected realization and their current market rate of interest. The three levels of valuation hierarchy are defined as follows:

• Level 1 inputs to the valuation methodology are quoted prices for identical assets or liabilities in active markets.
• Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets in inactive markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.
• Level 3 inputs to the valuation methodology us one or more unobservable inputs which are significant to the FV measurement.

The Company analyzes all financial instruments with features of both liabilities and equity under ASC Topic 480, “Distinguishing Liabilities from Equity,” and ASC Topic 815, “Derivatives and Hedging.”

As of June 30, 2013 and December 31, 2012 (audited), respectively, the Company did not identify any assets and liabilities required to be presented on the balance sheet at FV.

Revenue Recognition

The Company’s revenue recognition policies comply with ASC Topic 605, “Revenue Recognition.” Sales revenue is recognized at the date of shipment to customers when a formal arrangement exists, the price is fixed or determinable, the delivery is completed, no other significant obligations of the Company exist and collectability is reasonably assured. Payments received before all of the relevant criteria for revenue recognition are satisfied are recorded as unearned revenue.

Sales revenue consists of the invoiced value of goods, which is net of value-added tax (“VAT”). All of the Company’s products sold in the PRC are subject to Chinese VAT of 17% of the gross sales price. This VAT may be offset by VAT paid by the Company on raw materials and other materials included in the cost of producing their end product. The Company recorded VAT payable and VAT receivable net of payments in the financial statements. The VAT tax return is filed offsetting the payables against the receivables.

Sales and purchases are recorded net of VAT collected and paid. VAT taxes are not affected by the income tax holiday.

Sales returns and allowances was $0 for the three and six months ended June 30, 2013 and 2012. The Company does not provide unconditional right of return, price protection or any other concessions to its dealers or other customers.

Other Income

The Company recognizes other income in the period it has earned the revenue and collectability is reasonably assured. Other income in 2013 and 2012 consists primarily of subsidy income received from Chinese Government Agencies for developing technology and research and development. The Company must manage the funds according to government requirements. The Company recognizes the revenue over the contract period.

Advertising Costs

The Company expenses the cost of advertising as incurred. Advertising costs for 2013 and 2012 were not significant.

Research and Development

The Company expenses its research and development (“R&D”) costs as incurred. R&D costs included in general and administrative expenses for the three and six months ended June 30, 2013 were $921,262 and $1,575,906, respectively and $649,976 and $1,336,942 for the three and six months ended June 30, 2012, respectively.

Stock-Based Compensation

The Company records stock-based compensation in accordance with ASC Topic 718, “Compensation – Stock Compensation.” ASC Topic 718 requires companies to measure compensation cost for stock-based employee compensation at FV at the grant date and recognize the expense over the employee’s requisite service period. The Company recognizes in the statement of operations the grant-date FV of stock options and other equity-based compensation issued to employees and non-employees. There were 90,000 options outstanding as of June 30, 2013.

Income Taxes

The Company accounts for income taxes in accordance with ASC Topic 740, “Income Taxes.” ASC 740 requires a company to use the asset and liability method of accounting for income taxes, whereby deferred tax assets are recognized for deductible temporary differences, and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion, or all of, the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment.

Under ASC 740, a tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is more than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded.

Basic and Diluted Earnings (Loss) Per Share

Earnings (loss) per share is calculated in accordance with ASC Topic 260, “Earnings Per Share.” Basic earnings per share (“EPS”) is based on the weighted average number of common shares outstanding. Diluted EPS is based on the assumption that all dilutive convertible shares and stock warrants were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period. There were 90,000 options and 0 warrants outstanding as of June 30, 2013 with weighted-average exercise prices of $0.95 and $0, respectively. All options and warrants were excluded from the diluted loss per share for 2013 due to the dilutive effect. The following is a reconciliation of the number of shares (denominator) used in the basic and diluted EPS computations for the three and six months ended June 30, 2013 and 2012:

	Three Months Ended June 30,
	2013			2012
			Per Share			Per Share
	Shares		Amount	Shares		Amount
Basic earnings (loss) per share	27,541,491	$	0.08	27,541,491	$	(0.05	)
Effect of dilutive stock options and warrants	-		-	-		-
Diluted earnings per share	27,541,491	$	0.08	27,541,491	$	(0.05	)

	Six Months Ended June 30,
	2013			2012
			Per Share			Per Share
	Shares		Amount	Shares		Amount
Basic earnings (loss) per share	27,541,491	$	0.06	27,541,491	$	(0.07	)
Effect of dilutive stock options and warrants	-		-	-		-
Diluted earnings per share	27,541,491	$	0.06	27,541,491	$	(0.07	)

Foreign Currency Transactions and Comprehensive Income

US GAAP requires recognized revenue, expenses, gains and losses to be included in net income. Certain statements, however, require entities to report specific changes in assets and liabilities, such as gain or loss on foreign currency translation, as a separate component of the equity section of the balance sheet. Such items, along with net income, are components of comprehensive income. The functional currency of the Company’s Chinese subsidiaries is the RMB. Translation gains of $6,452,437 and $5,745,728 at June 30, 2013 and December 31, 2012 (audited), respectively, are classified as an item of other comprehensive income in the stockholders’ equity section of the consolidated balance sheets.

Statement of Cash Flows

In accordance with ASC Topic 230, “Statement of Cash Flows,” cash flows from the Company’s operations are calculated based on the local currencies using the average translation rates. As a result, amounts related to assets and liabilities reported on the consolidated statements of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheets.

Segment Reporting

ASC Topic 280, “Segment Reporting,” requires use of the “management approach” model for segment reporting. The management approach model is based on the way a company’s management organizes segments within the company for making operating decisions and assessing performance. The Company determined it has five reportable segments. See Note 14.

Dividends

The Company’s Chinese subsidiaries have restrictions on the payment of dividends to the Company. China has currency and capital transfer regulations that may require the Company’s Chinese subsidiaries to comply with complex regulations for the movement of capital. These regulations include a public notice issued in October 2005 by the State Administration of Foreign Exchange (“SAFE”) requiring PRC residents, including both legal and natural persons, to register with the competent local SAFE branch before establishing or controlling any company outside of China. Although the Company believes its Chinese subsidiaries are in compliance with these regulations, should these regulations or the interpretation of them by courts or regulatory agencies change, the Company may not be able to pay dividends outside of China.

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Schedule of Maturities of Long-term Debt (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Debt Schedule Of Maturities Of Long-term Debt 1	$ 0
Debt Schedule Of Maturities Of Long-term Debt 2	0
Debt Schedule Of Maturities Of Long-term Debt 3	0
Debt Schedule Of Maturities Of Long-term Debt 4	0
Debt Schedule Of Maturities Of Long-term Debt 5	11,326,000
Debt Schedule Of Maturities Of Long-term Debt 6	$ 11,326,000

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Schedule of Prepaid Expenses and Other Current Assets (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Prepaid Expense And Other Current Assets Schedule Of Prepaid Expenses And Other Current Assets 1	$ 1,683,128
Prepaid Expense And Other Current Assets Schedule Of Prepaid Expenses And Other Current Assets 2	651,971
Prepaid Expense And Other Current Assets Schedule Of Prepaid Expenses And Other Current Assets 3	56,992
Prepaid Expense And Other Current Assets Schedule Of Prepaid Expenses And Other Current Assets 4	59,566
Prepaid Expense And Other Current Assets Schedule Of Prepaid Expenses And Other Current Assets 5	1,740,120
Prepaid Expense And Other Current Assets Schedule Of Prepaid Expenses And Other Current Assets 6	$ 711,537

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Summary of Significant Accounting Policies (Narrative) (Details)	6 Months Ended
	Jun. 30, 2013 USD ($)	Jun. 30, 2013 CNY
Summary Of Significant Accounting Policies 1	$ 5,300,000
Summary Of Significant Accounting Policies 2	5,800,000
Summary Of Significant Accounting Policies 3	25,100,000
Summary Of Significant Accounting Policies 4		29,100,000
Summary Of Significant Accounting Policies 5	4,300,000
Summary Of Significant Accounting Policies 6		25,200,000
Summary Of Significant Accounting Policies 7	4,100,000,000,000
Summary Of Significant Accounting Policies 8		26,675,000
Summary Of Significant Accounting Policies 9	4,200,000
Summary Of Significant Accounting Policies 10	116,546
Summary Of Significant Accounting Policies 11	232,364
Summary Of Significant Accounting Policies 12		14,000,000
Summary Of Significant Accounting Policies 13	2,200,000
Summary Of Significant Accounting Policies 14		12,100,000
Summary Of Significant Accounting Policies 15	2,000,000
Summary Of Significant Accounting Policies 16		12,800,000
Summary Of Significant Accounting Policies 17	2,000,000
Summary Of Significant Accounting Policies 18	56,070
Summary Of Significant Accounting Policies 19	111,790
Summary Of Significant Accounting Policies 20		1,800,000
Summary Of Significant Accounting Policies 21	300,000
Summary Of Significant Accounting Policies 22	17.00%	17.00%
Summary Of Significant Accounting Policies 23	0
Summary Of Significant Accounting Policies 24	921,262
Summary Of Significant Accounting Policies 25	1,575,906
Summary Of Significant Accounting Policies 26	649,976
Summary Of Significant Accounting Policies 27	1,336,942
Summary Of Significant Accounting Policies 28	90,000	90,000
Summary Of Significant Accounting Policies 29	50.00%	50.00%
Summary Of Significant Accounting Policies 30	90,000	90,000
Summary Of Significant Accounting Policies 31	0	0
Summary Of Significant Accounting Policies 32	0.95
Summary Of Significant Accounting Policies 33	0
Summary Of Significant Accounting Policies 34	6,452,437
Summary Of Significant Accounting Policies 35	$ 5,745,728

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Geographical Distribution of Shiner's Revenue (Details) (USD $)	6 Months Ended
	Jun. 30, 2013
Geographical Sales Geographical Distribution Of Shiner's Revenue 1	$ 15,039,914
Geographical Sales Geographical Distribution Of Shiner's Revenue 2	13,569,643
Geographical Sales Geographical Distribution Of Shiner's Revenue 3	25,724,940
Geographical Sales Geographical Distribution Of Shiner's Revenue 4	27,947,584
Geographical Sales Geographical Distribution Of Shiner's Revenue 5	1,457,552
Geographical Sales Geographical Distribution Of Shiner's Revenue 6	1,282,973
Geographical Sales Geographical Distribution Of Shiner's Revenue 7	2,976,198
Geographical Sales Geographical Distribution Of Shiner's Revenue 8	2,455,536
Geographical Sales Geographical Distribution Of Shiner's Revenue 9	813,377
Geographical Sales Geographical Distribution Of Shiner's Revenue 10	997,009
Geographical Sales Geographical Distribution Of Shiner's Revenue 11	1,856,941
Geographical Sales Geographical Distribution Of Shiner's Revenue 12	1,920,232
Geographical Sales Geographical Distribution Of Shiner's Revenue 13	482,795
Geographical Sales Geographical Distribution Of Shiner's Revenue 14	374,903
Geographical Sales Geographical Distribution Of Shiner's Revenue 15	794,045
Geographical Sales Geographical Distribution Of Shiner's Revenue 16	632,842
Geographical Sales Geographical Distribution Of Shiner's Revenue 17	51,494
Geographical Sales Geographical Distribution Of Shiner's Revenue 18	99,183
Geographical Sales Geographical Distribution Of Shiner's Revenue 19	159,154
Geographical Sales Geographical Distribution Of Shiner's Revenue 20	419,020
Geographical Sales Geographical Distribution Of Shiner's Revenue 21	73,382
Geographical Sales Geographical Distribution Of Shiner's Revenue 22	77,774
Geographical Sales Geographical Distribution Of Shiner's Revenue 23	184,173
Geographical Sales Geographical Distribution Of Shiner's Revenue 24	338,108
Geographical Sales Geographical Distribution Of Shiner's Revenue 25	0
Geographical Sales Geographical Distribution Of Shiner's Revenue 26	0
Geographical Sales Geographical Distribution Of Shiner's Revenue 27	0
Geographical Sales Geographical Distribution Of Shiner's Revenue 28	33,841
Geographical Sales Geographical Distribution Of Shiner's Revenue 29	31,783
Geographical Sales Geographical Distribution Of Shiner's Revenue 30	0
Geographical Sales Geographical Distribution Of Shiner's Revenue 31	98,375
Geographical Sales Geographical Distribution Of Shiner's Revenue 32	24,346
Geographical Sales Geographical Distribution Of Shiner's Revenue 33	17,950,297
Geographical Sales Geographical Distribution Of Shiner's Revenue 34	16,401,485
Geographical Sales Geographical Distribution Of Shiner's Revenue 35	31,793,826
Geographical Sales Geographical Distribution Of Shiner's Revenue 36	$ 33,771,509

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Segment Information

6 Months Ended

Jun. 30, 2013

Segment Information [Text Block]

Note 14 – Segment Information

The Company has five segments: BOPP tobacco films, water-based latex, coated film, color printed packaging, and advanced film. The water-based latex is one of the raw materials used in coated film to make the packaging more environmental friendly and the barrier property better. Approximately 60% of the water-base latex products manufactured by Ningbo are sold to Hainan Shiner, Shiny-Day and Zhuhai Modern.

The following tables summarize the Company’s segment information for the three and six months ended June 30, 2013 and 2012:

		Three Months Ended June 30,						Six Months Ended June 30,
		2013			2012			2013			2012
Revenues from unrelated entities
Tobacco film	$	10,121,060		$	10,596,958		$	17,509,118		$	20,634,999
Water-based latex		200,231			278,999			399,415			292,810
Coated film		4,684,105			3,774,754			8,202,994			7,892,170
Color printing		1,211,045			385,673			2,162,528			1,416,479
Advanced film		1,733,856			1,365,101			3,519,771			3,535,051
	$	17,950,297		$	16,401,485		$	31,793,826		$	33,771,509
Intersegment revenues
Tobacco film	$	2,321,553		$	4,516,389		$	3,334,740		$	9,767,474
Water-based latex		263			(119	)		42,720			168,948
Coated film		1,019,630			1,581,823			1,502,205			3,735,720
Color printing		281,384			131,249			411,869			670,483
Advanced film		356,143			538,158			601,061			1,673,299
	$	3,978,973		$	6,767,500		$	5,892,595		$	16,015,924
Total revenues
Tobacco film	$	12,442,613		$	15,113,347		$	20,843,858		$	30,402,473
Water-based latex		200,494			278,880			442,135			461,758
Coated film		5,703,735			5,356,577			9,705,199			11,627,890
Color printing		1,492,429			516,922			2,574,397			2,086,962
Advanced film		2,089,999			1,903,259			4,120,832			5,208,350
Less Intersegment revenues		(3,978,973	)		(6,767,500	)		(5,892,595	)		(16,015,924	)
	$	17,950,297		$	16,401,485		$	31,793,826		$	33,771,509
Income (loss) from operations
Tobacco film	$	(373,976	)	$	(1,253,324	)	$	(1,043,068	)	$	(753,110	)
Water-based latex		56,713			59,830			109,220			60,513
Coated film		87,154			(169,752	)		(259,043	)		(554,756	)
Color printing		(29,130	)		(146,548	)		(106,995	)		(269,932	)
Advanced film		(160,195	)		(7,624	)		(267,821	)		(65,042	)
Holding Company		(25,006	)		40,959			(59,812	)		(24,199	)
	$	(444,440	)	$	(1,476,459	)	$	(1,627,519	)	$	(1,606,526	)
Interest income
Tobacco film	$	8,982		$	6,137		$	41,722		$	11,239
Water-based latex		69			152			952			159
Coated film		3,952			2,206			19,547			4,299
Color printing		936			248			5,153			772
Advanced film		472			822			8,387			1,925
Holding Company		-			-			-			-
	$	14,411		$	9,565		$	75,761		$	18,394
Interest expense
Tobacco film	$	309,454		$	212,604		$	535,143		$	368,844
Water-based latex		3,218			3,622			5,566			3,837
Coated film		122,746			71,034			212,267			146,304
Color printing		24,835			10,245			42,948			29,601
Advanced film		51,960			25,021			89,856			61,933
Holding Company		637			670			1,226			1,346
	$	512,850		$	323,196		$	887,006		$	611,865
Income tax expense (benefit)
Tobacco film	$	158,886		$	(64,768	)	$	158,886		$	9,274
Water-based latex		-			-			-			-
Coated film		89,848			(448	)		89,848			4,453
Color printing		-			-			-			-
Advanced film		35,950			1,994			35,950			1,994
Holding Company		-			-			-			-
	$	284,684		$	(63,222	)	$	284,684		$	15,721
Net income (loss)
Tobacco film	$	1,102,448		$	(1,219,285	)	$	750,228		$	(974,336	)
Water-based latex		53,562			56,361			104,605			56,836
Coated film		1,008,392			(160,873	)		893,102			(631,283	)
Color printing		(53,029	)		(156,545	)		(144,790	)		(298,761	)
Advanced film		210,667			25,763			227,770			(95,721	)
Holding Company		(25,643	)		40,289			(61,038	)		(25,545	)
	$	2,296,397		$	(1,414,290	)	$	1,769,877		$	(1,968,810	)
Provision for depreciation
Tobacco film	$	472,691		$	631,228		$	977,146		$	992,620
Water-based latex		9,623			10,716			19,943			21,446
Coated film		187,495			219,625			387,590			393,727
Color printing		37,936			34,892			78,421			79,662
Advanced film		79,369			81,292			164,072			166,671
Holding Company		-			-			-			-
	$	787,114		$	977,753		$	1,627,172		$	1,654,126

		As of		As of
		June 30,		December 31,
		2013		2012
Total assets				(audited)
Tobacco film	$	44,175,606	$	34,457,224
Water-based latex		657,568		961,826
Coated film		17,522,471		16,599,954
Color printing		3,545,306		4,268,660
Advanced film		7,417,519		8,140,512
Holding Company		11,400,218		13,070,759
	$	84,718,688	$	77,498,935

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Employee Welfare Plans

6 Months Ended

Jun. 30, 2013

Employee Welfare Plans [Text Block]

Note 10 - Employee Welfare Plans

The expense for employee common welfare was $15,117 and $36,323 for the three and six months ended June 30, 2013, respectively and $40,302 and $42,805 for the three and six months ended June 30, 2012, respectively.

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Organization and Basis of Presentation (Tables)

6 Months Ended

Jun. 30, 2013

Accompanying Consolidated Financial Statements Include Accounts of Shiner and Its Subsidiaries [Table Text Block]

	Place	Percentage
Subsidiary	Incorporated	Owned	Parent
Shiner International, Inc.	Nevada, USA		None
Hainan Shiner	China	100%	Shiner International, Inc.
Shiny-Day	China	100%	Shiner International, Inc.
Hainan Modern	China	100%	Shiny-Day
Zhuhai Modern	China	100%	Shiny-Day
Shimmer Sun	China	100%	Shiner International, Inc.
Jingyue	China	100%	Shimmer Sun
Shunhao	China	100%	Jingyue
Yongxin	China	100%	Shunhao
Ningbo	China	65%	Yongxin

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Geographical Sales

6 Months Ended

Jun. 30, 2013

Geographical Sales [Text Block]

Note 15 - Geographical Sales

The geographical distribution of Shiner’s revenue for the three and six months ended June 30, 2013 and 2012 is as follows:

		Three Months Ended June 30,				Six Months Ended June 30,
Geographical Areas		2013		2012		2013		2012
Chinese Main Land	$	15,039,914	$	13,569,643	$	25,724,940	$	27,947,584
Asia (outside Mainland China)		1,457,552		1,282,973		2,976,198		2,455,536
Australia		813,377		997,009		1,856,941		1,920,232
North America		482,795		374,903		794,045		632,842
Middle East		51,494		99,183		159,154		419,020
Europe		73,382		77,774		184,173		338,108
Africa		-		-		-		33,841
South America		31,783		-		98,375		24,346
	$	17,950,297	$	16,401,485	$	31,793,826	$	33,771,509

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Document and Entity Information	6 Months Ended
	Jun. 30, 2013	Aug. 09, 2013
Document Type	10-Q
Amendment Flag	true
Amendment Description	This amended Quarterly Report on Form 10-Q (the “Amendment”) amends the Quarterly Report on Form 10-Q of Shiner International, Inc. (the “Company”) for the quarter ended June 30, 2013 (the “Original Filing”), that was originally filed with the U.S. Securities and Exchange Commission on August 14, 2013. The Amendment is being filed to correct an error in classifying the sale of patent/license for RMB 20 million ($3.2 million) as other income instead of sales revenue as previously reported. The Consolidated Statement of Operations and Other Comprehensive Income (Loss) in this 10-Q/A has been amended to reflect the proper classification. The reclassification resulted in a decrease in Revenue from sales for the six months ended June 30, 2013 by the same amount, and a corresponding increase in Other income. The reclassification has no effect on the net income reported for the three and six months ended June 30, 2013, or on the Consolidated Statement of Cash Flows or the Consolidated Balance Sheet for the period. Corresponding changes have been made to the "Results of Operations" section under "Management’s Discussion and Analysis of Financial Condition and Results of Operations" in the Amendment. Except as described above, the Amendment does not modify or update the disclosures presented in, or exhibits to, the Original Filing in any way. The Amendment continues to speak as of the date of the Original Filing. Furthermore, the Amendment does not reflect events occurring after the filing of the Original Filing. Accordingly, the Amendment should be read in conjunction with the Original Filing, as well as the Company’s other filings made with the SEC pursuant to Section 13(a) or 15(d) of the Exchange Act subsequent to the filing of the Original Filing.
Document Period End Date	Jun. 30, 2013
Trading Symbol	best
Entity Registrant Name	Shiner International, Inc.
Entity Central Index Key	0001369774
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		27,541,491
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well Known Seasoned Issuer	No
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q2

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Summary of Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2013

Use of Estimates [Policy Text Block]

Use of Estimates

The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents [Policy Text Block]

Cash and Equivalents

Cash and equivalents include cash on hand and cash in time deposits, certificates of deposit and all highly liquid debt instruments with original maturities of three months or less.

Restricted cash [Policy Text Block]

Restricted Cash

Restricted cash consists of monies restricted by the Company’s lender related to its outstanding debt obligations.

Accounts Receivable [Policy Text Block]

Accounts Receivable

The Company maintains reserves for potential credit losses on accounts receivable. Management reviews the composition of accounts receivable and analyzes historical bad debts, customer concentrations, customer credit worthiness, current economic trends and changes in customer payment patterns to evaluate the adequacy of these reserves. Reserves are recorded primarily on a specific identification basis.

Advances to Suppliers [Policy Text Block]

Advances to Suppliers

To ensure a steady supply of raw materials, the Company is required from time to time to make cash advances when placing its purchase orders. Management determined no reserve was necessary for advances to suppliers. The advances to suppliers are interest free and unsecured.

Notes Receivable [Policy Text Block]

Notes Receivable

Notes receivable consist of bank notes received from customers as payment of their accounts receivable. The notes are guaranteed by a bank and bear no interest. The notes are generally due within three months from the date of issuance.

Inventory [Policy Text Block]

Inventory, net

Inventory is valued at the lower of the inventory’s cost (weighted average basis) or the current market price of the inventory. Management compares the cost of inventory with its market value and an allowance is made to write down inventory to market value, if lower.

Property and Equipment [Policy Text Block]

Property and Equipment, net

Property and equipment are stated at cost. Expenditures for maintenance and repairs are expensed as incurred; additions, renewals and improvements are capitalized. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Depreciation of property and equipment is provided using the straight-line method for substantially all assets with estimated lives as follows:

Operating equipment	10 years
Vehicles	8 years
Office equipment	5 years
Buildings and improvements	20 years

The following are the details regarding the Company’s property and equipment at June 30, 2013 and December 31, 2012:

		June 30,			December 31,
		2013			2012
					(audited)
Operating equipment	$	26,478,484		$	25,868,886
Vehicles		710,210			695,724
Office equipment		240,916			231,234
Buildings		12,630,628			12,183,492
		40,060,238			38,979,336
Less: accumulated depreciation		(9,710,890	)		(8,289,945	)
	$	30,349,348		$	30,689,391

Construction in Progress and Government Grants [Policy Text Block]

Construction in Progress and Government Grants

Construction in progress mainly consists of amounts expended to build a manufacturing workshop in Hainan, including a product line for a BOPP tobacco line. The costs incurred and capitalized as construction in progress at June 30, 2013 and December 31, 2012 (audited) were $5.3 million and $5.8 million, respectively, which include the facility and equipment. Once the project is completed, it will be transferred from “Construction in progress” to “Property and equipment.” The total cost of the new Hainan manufacturing workshop and the BOPP tobacco line is expected to be $25.1 million. The first phase of the project was completed during 2010. In October 2009, the Company received a government grant for this project of RMB29.1 million (or $4.3 million based on the exchange rate at December 31, 2009) from the Hainan Province Finance Bureau (“HPFB”). The Company is required to provide detailed expenses of the construction project to the HPFB. At the end of the project, the government will determine if the funds were used in accordance with the grant. At June 30, 2013 and December 31, 2012 (audited), respectively, RMB25.2 million ($4.1 million based on the exchange rate at June 30, 2013) and RMB26.675 million (or $4.2 million based on the exchange rate at December 31, 2012) was recorded in “Other payables” on the accompanying consolidated financial statements (Note 6). The amount of the government grant is being amortized into other income over the useful life of the asset on the same basis used to depreciate the asset. For the three and six months ended June 30, 2013, the Company amortized $116,546 and $232,364, respectively, into “Other income.”

In December 2011, the Company received a government grant of RMB14.0 million (or $2.2 million based on the exchange rate as of December 31, 2011) from the Haikou Finance Bureau (“HFB”) for the adjustment and expansion of our operations and related capital expenditures for construction and equipment purchases. The Company is required to provide detailed expenses of the construction project to HFB. At the end of the project, the government will determine if the funds were used in accordance with the grant. At June 30, 2013 and December 31, 2012 (audited), respectively, RMB12.1 million ($2.0 million based on the exchange rate at June 30, 2013) and RMB12.8 million (or $2.0 million based on the exchange rate at December 31, 2012) was recorded in “Other payables” on the accompanying consolidated financial statements (Note 6). The amount of the government grant is being amortized into “Other income” over the useful life of the asset on the same basis used to depreciate the asset. For the three and six months ended June 30, 2013, the Company amortized $56,070 and $111,790, respectively, into “Other income.”

In January 2012, the Company received a government grant of RMB1.8 million (or $0.3 million based on the exchange rate as of June 30, 2013) from the HFB for the adjustment and expansion of our operation and related capital expenditures for construction and equipment purchase. The Company is required to provide detailed expenses of the construction project to the HFB. At the end of the project, the government will determine if the funds were used in accordance with the grant. At June 30, 2013 and December 31, 2012 (audited), the entire grant was recorded in “Other payables” on the accompanying consolidated financial statements (Note 6). If the government determines the funds were used for their intended purpose, the amount of the government grant is then amortized into “Other income” over the useful life of the asset on the same basis being used to depreciate the asset. The Company has not begun amortizing the grant into “Other income.”

Long-Lived Assets [Policy Text Block]

Long-Lived Assets

The Company applies ASC Topic 360, “Property, Plant, and Equipment,” which addresses financial accounting and reporting for the impairment or disposal of long-lived assets. ASC 360 requires impairment losses to be recorded on long-lived assets used in operations when indicators of impairment are present and the undiscounted cash flows estimated to be generated by those assets are less than the assets’ carrying amounts. In that event, a loss is recognized based on the amount by which the carrying amount exceeds the FV of the long-lived assets. Loss on long-lived assets to be disposed of is determined in a similar manner, except that FVs are reduced to recognize the cost of disposal. Based on its review, the Company believes that as of June 30, 2013 and December 31, 2012 (audited), respectively, there was no significant impairment of its long-lived assets.

Intangible Assets [Policy Text Block]

Intangible Assets

Intangible assets consist of rights to use three plots of land in Haikou City granted by the Municipal Administration of China for state-owned land. For two of these plots, the Company’s rights run through January 2059 and, for the third, through October 2060. The Company evaluates intangible assets for impairment, at least on an annual basis and whenever events or changes in circumstances indicate the carrying value may not be recoverable from its estimated future cash flows. Recoverability of intangible and other long-lived assets is measured by comparing their net book value to the related projected undiscounted cash flows from these assets, considering a number of factors including past operating results, budgets, economic projections, market trends and product development cycles. If the net book value of the asset exceeds the related undiscounted cash flows, the asset is considered impaired, and a second test is performed to measure the amount of impairment loss.

Goodwill [Policy Text Block]

Goodwill

Goodwill is the excess of purchase price over the underlying net assets of businesses acquired. Under accounting requirements, goodwill is not amortized but is subject to annual impairment tests, and more frequently if circumstances dictate. The impairment testing is based on the FV of the reporting units, which is estimated based on a discounted cash flow valuation model and the projected future cash flows of the underlying businesses.

Fair Value of Financial Instruments [Policy Text Block]

Fair Value of Financial Instruments

For certain of the Company’s financial instruments, including cash and equivalents, restricted cash, accounts receivable, advances to suppliers, accounts payable, accrued liabilities and short-term debt, the carrying amounts approximate their FVs due to their short maturities. In addition, the Company has long-term debt with financial institutions. The carrying amounts of the line of credit and other long-term liabilities approximate their FVs based on current rates of interest for instruments with similar characteristics.

ASC Topic 820, “Fair Value Measurements and Disclosures,” requires disclosure of the FV of financial instruments held by the Company. ASC Topic 825, “Financial Instruments,” defines FV, and establishes a three-level valuation hierarchy for disclosures of FV measurement that enhances disclosure requirements for FV measures. The carrying amounts reported in the consolidated balance sheets for receivables and current liabilities each qualify as financial instruments and are a reasonable estimate of their FVs because of the short period of time between the origination of such instruments and their expected realization and their current market rate of interest. The three levels of valuation hierarchy are defined as follows:

• Level 1 inputs to the valuation methodology are quoted prices for identical assets or liabilities in active markets.
• Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets in inactive markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.
• Level 3 inputs to the valuation methodology us one or more unobservable inputs which are significant to the FV measurement.

The Company analyzes all financial instruments with features of both liabilities and equity under ASC Topic 480, “Distinguishing Liabilities from Equity,” and ASC Topic 815, “Derivatives and Hedging.”

As of June 30, 2013 and December 31, 2012 (audited), respectively, the Company did not identify any assets and liabilities required to be presented on the balance sheet at FV.

Revenue Recognition [Policy Text Block]

Revenue Recognition

The Company’s revenue recognition policies comply with ASC Topic 605, “Revenue Recognition.” Sales revenue is recognized at the date of shipment to customers when a formal arrangement exists, the price is fixed or determinable, the delivery is completed, no other significant obligations of the Company exist and collectability is reasonably assured. Payments received before all of the relevant criteria for revenue recognition are satisfied are recorded as unearned revenue.

Sales revenue consists of the invoiced value of goods, which is net of value-added tax (“VAT”). All of the Company’s products sold in the PRC are subject to Chinese VAT of 17% of the gross sales price. This VAT may be offset by VAT paid by the Company on raw materials and other materials included in the cost of producing their end product. The Company recorded VAT payable and VAT receivable net of payments in the financial statements. The VAT tax return is filed offsetting the payables against the receivables.

Sales and purchases are recorded net of VAT collected and paid. VAT taxes are not affected by the income tax holiday.

Sales returns and allowances was $0 for the three and six months ended June 30, 2013 and 2012. The Company does not provide unconditional right of return, price protection or any other concessions to its dealers or other customers.

Other Income [Policy Text Block]

Other Income

The Company recognizes other income in the period it has earned the revenue and collectability is reasonably assured. Other income in 2013 and 2012 consists primarily of subsidy income received from Chinese Government Agencies for developing technology and research and development. The Company must manage the funds according to government requirements. The Company recognizes the revenue over the contract period.

Advertising Costs [Policy Text Block]

Advertising Costs

The Company expenses the cost of advertising as incurred. Advertising costs for 2013 and 2012 were not significant.

Research and Development [Policy Text Block]

Research and Development

The Company expenses its research and development (“R&D”) costs as incurred. R&D costs included in general and administrative expenses for the three and six months ended June 30, 2013 were $921,262 and $1,575,906, respectively and $649,976 and $1,336,942 for the three and six months ended June 30, 2012, respectively.

Stock-Based Compensation [Policy Text Block]

Stock-Based Compensation

The Company records stock-based compensation in accordance with ASC Topic 718, “Compensation – Stock Compensation.” ASC Topic 718 requires companies to measure compensation cost for stock-based employee compensation at FV at the grant date and recognize the expense over the employee’s requisite service period. The Company recognizes in the statement of operations the grant-date FV of stock options and other equity-based compensation issued to employees and non-employees. There were 90,000 options outstanding as of June 30, 2013.

Income Taxes [Policy Text Block]

Income Taxes

The Company accounts for income taxes in accordance with ASC Topic 740, “Income Taxes.” ASC 740 requires a company to use the asset and liability method of accounting for income taxes, whereby deferred tax assets are recognized for deductible temporary differences, and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion, or all of, the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment.

Under ASC 740, a tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is more than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded.

Basic and Diluted Earnings (Loss) Per Share [Policy Text Block]

Basic and Diluted Earnings (Loss) Per Share

Earnings (loss) per share is calculated in accordance with ASC Topic 260, “Earnings Per Share.” Basic earnings per share (“EPS”) is based on the weighted average number of common shares outstanding. Diluted EPS is based on the assumption that all dilutive convertible shares and stock warrants were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period. There were 90,000 options and 0 warrants outstanding as of June 30, 2013 with weighted-average exercise prices of $0.95 and $0, respectively. All options and warrants were excluded from the diluted loss per share for 2013 due to the dilutive effect. The following is a reconciliation of the number of shares (denominator) used in the basic and diluted EPS computations for the three and six months ended June 30, 2013 and 2012:

	Three Months Ended June 30,
	2013			2012
			Per Share			Per Share
	Shares		Amount	Shares		Amount
Basic earnings (loss) per share	27,541,491	$	0.08	27,541,491	$	(0.05	)
Effect of dilutive stock options and warrants	-		-	-		-
Diluted earnings per share	27,541,491	$	0.08	27,541,491	$	(0.05	)

	Six Months Ended June 30,
	2013			2012
			Per Share			Per Share
	Shares		Amount	Shares		Amount
Basic earnings (loss) per share	27,541,491	$	0.06	27,541,491	$	(0.07	)
Effect of dilutive stock options and warrants	-		-	-		-
Diluted earnings per share	27,541,491	$	0.06	27,541,491	$	(0.07	)

Foreign Currency Transactions and Comprehensive Income [Policy Text Block]

Foreign Currency Transactions and Comprehensive Income

US GAAP requires recognized revenue, expenses, gains and losses to be included in net income. Certain statements, however, require entities to report specific changes in assets and liabilities, such as gain or loss on foreign currency translation, as a separate component of the equity section of the balance sheet. Such items, along with net income, are components of comprehensive income. The functional currency of the Company’s Chinese subsidiaries is the RMB. Translation gains of $6,452,437 and $5,745,728 at June 30, 2013 and December 31, 2012 (audited), respectively, are classified as an item of other comprehensive income in the stockholders’ equity section of the consolidated balance sheets.

Statement of Cash Flows [Policy Text Block]

Statement of Cash Flows

In accordance with ASC Topic 230, “Statement of Cash Flows,” cash flows from the Company’s operations are calculated based on the local currencies using the average translation rates. As a result, amounts related to assets and liabilities reported on the consolidated statements of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheets.

Segment Reporting [Policy Text Block]

Segment Reporting

ASC Topic 280, “Segment Reporting,” requires use of the “management approach” model for segment reporting. The management approach model is based on the way a company’s management organizes segments within the company for making operating decisions and assessing performance. The Company determined it has five reportable segments. See Note 14.

Dividends [Policy Text Block]

Dividends

The Company’s Chinese subsidiaries have restrictions on the payment of dividends to the Company. China has currency and capital transfer regulations that may require the Company’s Chinese subsidiaries to comply with complex regulations for the movement of capital. These regulations include a public notice issued in October 2005 by the State Administration of Foreign Exchange (“SAFE”) requiring PRC residents, including both legal and natural persons, to register with the competent local SAFE branch before establishing or controlling any company outside of China. Although the Company believes its Chinese subsidiaries are in compliance with these regulations, should these regulations or the interpretation of them by courts or regulatory agencies change, the Company may not be able to pay dividends outside of China.