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  "documentTitle": "China Huishan Dairy Holdings (6863 HK)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2016-12-16 00:00:00",
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  "notes": "The slide uses a line chart to highlight a divergence in pricing and a table to quantify the price difference between internal and external sales.",
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      "text": "In our opinion, Huishan is hiding an approximately RMB 1.5 billion fair value loss on its biological assets.",
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      "text": "Our realized raw milk price versus national index price",
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      "text": "Raw Milk ASP: 14.4%",
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      "text": "In our opinion, Huishan is hiding an approximately RMB 1.5 billion fair value loss on its biological assets.",
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      "text": "The dramatic increase in average selling price is due to the higher relative price of milk sold internally. In other words, the internal sales price is much higher than that of the external (market) price. By inflating future cash flow expectations built into its Level 3 valuation model, Huishan can maintain the fair value of its milkable cows and hide a massive loss.",
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      "text": "During our fieldwork, we did not see or hear of purchases at this scale taking place. We think the likeliest explanation is that this line item absorbs much of the fake cash that Huishan generates.",
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      "text": "Source: Huishan 2016/2017 Interim Results Presentation, p. 19",
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      "text": "Table 1: Raw Milk ASP Comparison",
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