Beginning in late 2007, AWT’s share price started declining. The fall persisted through 2008 and stabilised somewhat in 2009. AWT’s financial health deteriorated with a negative growth of 20 per cent from 2008 to 2009, and losses increased 9 fold in the one-year period, attributable to the rise in doubtful debt expenses and finance expenses, and the 50 per cent drop in gross profit for its main power plant business15. For the second half of 2008, high construction costs in the power plant water purification projects in China and the delay in earnings from two other major projects affected AWT’s performance. Furthermore, a major earthquake in Sichuan in 2008 threatened the progress of their water infrastructure projects, and higher loans and borrowings caused the Group to breach its debt covenants during the quarters ended 30 June and 30 September 2008. The company’s share price fell from over 20 cents to below 10 cents16.