China's largest scallop producer by output has found itself in the media spotlight for reporting over the weekend massive losses of over 800 million yuan (USD 130.9 million; EUR 104.5 million) in the third quarter because of a controversial write-off of its scallop stocks.
Dalian-based Zhangzidao Group Co, a marine producer, underlined on Saturday that a rare natural disaster — a cold water current that swept into the northern Yellow Sea from June to August — has wiped out its latest scallop stock in the sea, one of its key products, which had been reared for three years and was set to be harvested this year.
"The greater volatility of water temperature [brought by the cold water current] is the major reason for the losses," it said in a statement filed with the Shenzhen Stock Exchange where it is listed.
