XML 24 R24.htm IDEA: XBRL DOCUMENT
v2.4.0.8

STATUTORY RESERVES | 12 Months Ended
--- | ---
Dec. 31, 2011
STATUTORY RESERVES | 18. STATUTORY RESERVES Pursuant to the corporate law of the PRC effective January 1, 2006, the Company is only required to maintain one statutory reserve by appropriating from its after-tax profit before declaration or payment of dividends. The statutory reserve represents restricted retained earnings. Surplus Reserve Fund The Company’s Chinese subsidiaries are now only required to transfer 10% of their net income, as determined under PRC accounting rules and regulations, to a statutory surplus reserve fund until such reserve balance reaches 50% of the Company’s registered capital. The Company’s Chinese subsidiaries are not required to make appropriation to other reserve funds and do not have any intentions to make appropriations to any other reserve funds. There are no legal requirements in the PRC to fund these reserves by transfer of cash to restricted accounts, and the Company’s Chinese subsidiaries do not intend to do so. The surplus reserve fund is non-distributable other than during liquidation and can be used to fund previous years’ losses, if any, and may be utilized for business expansion or converted into share capital by issuing new shares to existing shareholders in proportion to their shareholding or by increasing the par value of the shares currently held by them, provided that the remaining reserve balance after such issue is not less than 25% of the registered capital. Common Welfare Fund The common welfare fund is a voluntary fund to which the Company can elect to transfer 5% to 10% of its net income. This fund can only be utilized on capital items for the collective benefit of the Company’s employees, such as construction of dormitories, cafeteria facilities, and other staff welfare facilities. This fund is non-distributable other than upon liquidation. The Company does not participate in this voluntary fund. The maximum statutory reserve amount has not been reached for any subsidiary. The table below discloses the statutory reserve amount for each Chinese subsidiary as of December 31, 2011.
Name of Chinese Subsidiaries |  | Registered Capital |  | Maximum Statutory Reserve Amount |  | Statutory reserve at December 31, 2011 |
Shanghai TCH |  | $ | 29,800,000 |  | $ | 14,900,000 |  | $ | 959,387 |
Xi’an TCH |  | ¥ | 202,000,000 |  | ¥ | 101,000,000 |  |  | ¥31,905,710 ($4,663,086) |
Erdos TCH |  | ¥ | 120,000,000 |  | ¥ | 60,000,000 |  |  | ¥9,780,018 ($1,429,370) |
Shanxi Huahong |  | $ | 2,500,300 |  | $ | 1,250,150 |  |  | Did not accrue yet due to accumulated deficit |
Xingtai Huaxin |  | ¥ | 550,000 |  | ¥ | 275,000 |  |  | Did not accrue yet due to accumulated deficit |

X
- Definition Disclosure regarding legal reserve and retained earnings, and dividends. + References No definition available. + Details
Name: | creg_LegalReserveAndRetainedEarningsAndDividendsDisclosureTextBlock
Namespace Prefix: | creg_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration