Haitong issued a report that downgraded Jingkelong from buy to hold, reflecting that the store opening process was slower than expected and adjusted the target price to HK $11.30, but did not provide the original target price. Jingkelong's earnings per share forecast for fiscal year 10 and fiscal year 11 were reduced to RMB0.43 and RMB0.48, respectively, with original values of RMB0.45 and RMB0.49, respectively.

In fiscal year 2010, Jingkelong opened only one new department store, six supermarkets and five convenience stores, falling short of the original target (that is, two high-end department stores, eight supermarkets and 10 convenience stores). According to Haitong, Jingkelong did not open a high-end department store in 10 years, and the location of one planned franchise store was acquired by the government, while the opening of another self-owned hypermarket was delayed to fiscal year 11.

Jingkelong closed at HK $10.82 yesterday.