| |  | The financial crisis in Q4 2008 brought about a drop in international markets and set off the global recession | | | | | Recession meant lower demand, lower production and lower prices | | | | | Cotton prices declined sharply as is exhibited below by the Cotton A Index: | | | | |  | | | | | | | | Lower cotton prices |  | Less incentive to plant and harvest | | Lower cotton crop | | Less cotton trade and ginning | | | | | | Demand for yarn, fabric and garments declined dramatically especially in export markets | | | | | | | Economic recession | | Lower consumer demand | | Lower demand for yarn and garments | | Less retail business | | | | | | | Despite the adverse effect of the crisis, the Group, on the whole, has managed to remain profitable Additionally, global demand has begun to shift upwards again | | |  | |