MING Pao Enterprise Corp has reported a 40 per cent drop in profit to $53.96 million for the six months to September 30, citing keen competition and soaring newsprint costs as reasons.
The company said yesterday it had been unable to get back $176.2 million in unsecured short-term loans.
It said it would closely monitor the situation to see what action could be taken.
The company's annual report for last year was qualified by auditors over three loans and a deposit.
The principal amounts of two loans and the deposit have been settled, while a loan to a mainland independent party has been partly repaid. The company has recovered $104.52 million.
Of the $176.2 million in loans to be recovered, the company said $170.31 million of a $185.79 million loan was owed by the mainland party.