Will credit crunch and corporate failure in Euro Zone affect YZJ in next 12 month?

Can ship breaking business cover loss in shipbuilding margin after 2013?

  ““Yangzijiang… is well-positioned with a healthy order book until next year and shouldn’t face any earnings pressure until 2013,” Ren says. By then, it would have begun generating new revenue streams from ship breaking and building steel structures for the offshore sector, businesses that commenced operations in 3Q2011.By 2015, Ren hopes to derive 40% of revenue from the two new divisions, with the remaining turnover coming from shipbuilding.’

(source: http://kfc1973-stock.blogspot.com/2011/11/testing-rens-entrepreneurial-talent.html )

Highlighted by CIMB  : interest income should come up to about Rmb1.2bn p.a

45% non-shipbuilding profits 
We estimate that non-operating income (interest income and subsidies) could dominate about 45% of YZJ’s earnings in FY11-12. In 3Q11, they contributed about 43%. Management guided that interest income should come up to about Rmb1.2bn p.a. on the back of Rmb10.4bn investment trusts (10-15% returns). These investments are likely to remain at Rmb10bn levels until FY13, for business diversification. We continue to see risks from these investments in a volatile market, as the ratio of share collateral dropped qoq to 2x from 2.66x.

(source: http://kfc1973-stock.blogspot.com/2011/11/yangzijiang-mini-conglo-in-making-cimb.html)