Yangtze River Port and Logistics Limited (YRIV) Provides the Accurate Details Regarding Hindenburg's Research Report

NEW YORK, Dec. 13, 2018 /PRNewswire/ -- Yangtze River Port and Logistics Limited (Nasdaq: YRIV) (the "Company"), an international infrastructure company that engages in the business of real estate development via a port logistic project located in the middle reaches of China's Yangtze River in Wuhan, China, today categorically refutes all the allegations made against the Company in Hindenburg Research's report dated December 6, 2018 (the "Report").  In particular, the Company wishes to broadly address certain patently false allegations made in the Report:

1. Worthless/Overinflated Assets

"The unconstructed part of the project is a planned "Logistics Center" that YRIV states it will build on 1.2 million square meters of land leased from a local village. On YRIV's latest quarterly balance sheet, the rights to the land are reported as having a value of $299 million, comprising over 77% of the company's total assets… Despite claiming to lease 1.2 million square meters from the village, our government-sourced maps…show that the total area of the village is only 610 thousand square meters. Moreover, conversations with officials from the village in question revealed that contrary to the company's claims, YRIV has not leased any land from them."

• The value of $299 million reflected in the Company's latest quarterly balance sheet is not related to the 1.2 million square meters of land. Instead, the reported value of $299 million relates to the value of land use rights of the unused portion of 6 parcels of commercial land (steel logistics park). Originally, the value of these land use rights of the 6 parcels of commercial land totaling 515,600 square meters, was booked at a cost of $308 million, of which 79,200 square meters of land have been used for constructing commercial buildings with 92,700 square meters of floor area, leaving 436,400 square meters of unused land. It is this unused piece of land that we have reported a value of $299 million. As of today, due to the significant appreciation of the local real estate market, we estimate that the 515,600 square meters of land that the Company has obtained land use right certificates for and was accounted at cost value, has nearly doubled to a value of nearly $600 million.

• The Company's lease of 1.2 million square meters of land mentioned in the Report comprises land not only from the Chunfeng Village but also Junmin Village and Jiangdi Village, which were brokered and represented through Chunfeng Village.

2. Undisclosed Legal Judgments