Note 9 - Contingent consideration receivable

3 Months Ended

Mar. 31, 2012

Contingent Consideration Receivable Disclosure [Text Block]

9.   Contingent consideration receivables

	Amount
	US$(’000)
Balance as of December 31, 2011 (audited)		159
Recognized from acquisition of VIEs		-
Changes in fair value of contingent consideration receivables recognized		-
Exchange translation adjustment		1
Balance as of March 31, 2012 (unaudited)		160

Contingent consideration receivables arose from certain “make good” provisions entered into by and between the Company and the equity interest’s sellers upon acquisition of the Company’s consolidated VIEs for the year ended December 31, 2011, which were that if audited pretax profit or after tax profit for the year ended December 31, 2012 increases by less than certain amount or percentage while compared to the audited pretax profit or after tax profit of the prior year, the sellers need to compensate the Company in cash for the difference between target pretax profit or after tax profit and actual result achieved then.

As of December 31, 2011, the aggregate amount of the fair value of the contingent consideration receivables for the acquisition transactions that occurred in 2011 was approximately US$159,000. The Company reassessed the fair value of these contingent consideration receivables as of March 31, 2012 for the respective make good arrangement for the year ended December 31, 2012, based on their respectively historical performance and other relevant assumptions, and determined that no material changes in fair value of these contingent consideration receivables incurred during the three months ended March 31, 2012.