Reinventing the Millennium.

September 9st, there are still 21 days until the end of Q3.

After Bingxin confirmed once again that the photoresist was usable, Fang Zhuo called Beijing.

In just two hours, leaders of multiple departments confirmed that they would fly to Luzhou in the afternoon, including his brother Zheng Danrui, who was responsible for part of the business work.

At 12 noon, Zheng Danrui called Fang Zhuo on the way to the airport to inquire about the exact progress of the photoresist research and development work.

Fang Zhuo gave a concise explanation.

Zheng Danrui's heart was beating fast as he listened, and he suddenly asked, "Yi Ke's third quarter financial report is coming out soon, but the revenue is not good after all."

Even if the production capacity is restored immediately, the revenue for the past third quarter cannot be made up, and there will inevitably be an extremely ugly financial report, which is the last straw that has been exaggerated recently.

Fang Zhuo knew what he was talking about and smiled, "Obviously, financial statements are not the only criterion for measuring the value of a company's stock."

During this wave of short selling, many institutions have repeatedly emphasized a point of view that "financial statements are the most important criterion for measuring a company's stock price" and tried to use Yike's already irreversible Q3 financial report to defeat the stock price.

However, Fang Zhuo will demonstrate another criterion for determining stock price movements - expectations.

Zheng Danrui felt relieved when he heard what Mr. Fang said. Since the world-renowned mobile financial company had good news, the old demon would definitely be able to make good use of it.

He did not talk about this topic any further, but instead talked about the leaders he would meet in the afternoon.

The current situation of Yike and Bingxin has been discussed many times, and there are also many written materials. There are also many struggles over the import of photoresist, but being controlled by others is being controlled by others. In addition, BIS is squeezing the supply tightly, so it will be difficult for Bingxin to resume supply in the short term.

However, once it is available in the country, the situation is completely different.

Fang Zhuo has the same expectation for this transformation, and DuPont has also used its ideas to support this direction.

The conversation between the two was interrupted when Zheng Danrui arrived at the airport.

When the passenger plane that had hurriedly flown from the capital landed in Luzhou, Fang Zhuo saw Zheng Danrui again with many leaders.

There wasn't much small talk among the group. The most important thing about this trip was to get reports on the latest situation.

Just like the previous report in the early hours of the morning, this time it was Xinyang’s head Wang Fuxiang, R&D director Chai Qingliang and Bingxin’s vice president Yan Zongrui who jointly described the current situation.

After confirming that the 16nm photoresist had indeed achieved a breakthrough, the focus of the conversation shifted to the relevant guarantees for the next process node, and Yan Zongrui described in detail the continuity of this photoresist due to the process technology.

"Mr. Fang, this is such a great surprise!"

"Okay, this is the photoresist that cannot be sealed, and this is the ice core spirit that cannot be sealed!"

"Mr. Fang, great!!"

The leaders from Beijing spoke highly of it.

Fang Zhuo said seriously: "This is thanks to the courage of the Xinyang team to shoulder the heavy responsibility, and the perseverance and dedication of all Bingxin employees. We have long proved our competitiveness on par with the world's advanced level. This time we have once again demonstrated our enterprising spirit to the world with practical actions. It will not only consolidate our leading position in the industry, but also continue to vigorously promote the development of the mainland semiconductor industry."

Wang Fuxiang from Xinyang was overjoyed when he saw Mr. Fang pointing in his direction with his eyes, but he was surprised when he heard what another leader said.

One leader jokingly said, "Boss Fang, you have said everything we wanted to say. What else do we have to say?"

Everyone laughed.

The situation is now clear. Once the biggest problem in the operation of the ice core is solved, it will be like seeing the light through the clouds. The following work will be easier to do.

Wang Fuxiang and Chai Qingliang also received praise from the leaders. However, after completing their reports, they made way for Yi Ke’s head to have a deep discussion with the leaders.

"Mr. Chai, Mr. Fang asked you before if you had any requests, and you said you would think about it. Have you thought about it now?" Wang Fuxiang asked the hero with a smile on his face on his way back.

Chai Qingliang nodded and said seriously, "I thought of it."

Wang Fuxiang asked in surprise: "You thought of it? What do you want?"

"I heard that Mr. Fang has a fund for financial management. I want to put all my money and that of my relatives and friends into it." Chai Qingliang replied, "I plan to mortgage my house first."

Wang Fuxiang: “…”

He didn't know whether to laugh or cry, "You...you're taking risks with your own money. You might as well just ask Mr. Fang for it."

"It's my own money, so maybe it doesn't count. I can think about it again later." Chai Qingliang said.

Wang Fuxiang: “…”

He walked a few more steps and asked, "Did you really mortgage the house?"

Chai Qingliang said strangely, "Yes, why hesitate? I developed the photoresist myself. Mr. Fang is obviously going to make a big counterattack. The short sellers will surely bleed. If we don't bet now, when will we bet?"

Wang Fuxiang thought it made sense.

Well...I won't mortgage my own house. How about mortgaging some of the company's stocks?

Let's have a taste of being a short seller?
Wang Fuxiang made up his mind that if he wanted to play, he would play a big one!
……

The third quarter is coming to an end, and the countdown on the "KILL YIKE" website has been changed to a blood-red color to suit the occasion. Although it is not known who did this, it has always been one of the materials reported by the media.

Even when communicating between institutions, people often talk about this website and the news on it.

On September 9, an exchange meeting on Wall Street was turned into a special session for YiKe. Senior executives from institutions that have recently spoken out, including Knicks United Fund, Greenlight Capital, and Citadel Investments, attended the meeting and everyone discussed their views on YiKe.

In the evening, they held another cocktail party. Basically, all the people who shorted YiKe attended the party. In addition to those who shorted YiKe recently, those who were defeated by YiKe in the previous two times also came.

For example, John Paulson, who was awarded many shining titles such as "King of Short Selling", "Wall Street Short God", and "No. 1 Hedge Funder" due to the financial crisis.

He had to close his fund due to shorting YiKe, and since then he has no longer been involved in this business. Instead, he focused on giving speeches and writing books, and has made a lot of money.

YiKe suffered a blow from the BIS this time. Paulson has been paying close attention to this matter and thinking about the changes and future in the market. It was not until May that he finally decided to come back. He secretly established a new hedge fund and started shorting YiKe.

However, Paulson was extremely cautious. He withdrew immediately upon hearing the news about the China Wafer Manufacturing Alliance. He withdrew again after observing Mr. Fang's abnormal behavior, and withdrew for the third time after hearing the news of the Ice Core photoresist breakthrough at the end of August.

Three advances and three retreats.

This is the fourth time I have shorted YiKe.

Regardless of market performance or professional judgment, Paulson believed that Yike was no longer able to maintain its stock price, so he made a public appearance at this time and announced his return.

John Paulson was very popular back then, and they did have a lot in common when attending the cocktail party this time.

"YiKe's Q3 must be its worst quarterly financial report ever." Paulson held a glass of wine and talked to Russell, the pioneer of short selling. "No matter what news comes from Huaxia, the market has become numb. The previous news about photoresist and production capacity recovery are now confirmed to be false news."

"I told the media at the time that it must be fake. Many people still hold out hope for Bingxin and Yi Ke." Russell said disapprovingly, "BIS decided to use photoresist to target Yi Ke. This was very secret and very sudden. Yi Ke definitely could not solve it in a short time."

Photoresist involves foreign manufacturers, and BIS long-arm jurisdiction requires effort.

Paulson agrees.

Russell looked at this short-selling senior, took a sip of red wine, and asked with a smile: "Paulson, you have fought with Fang Zhuo, what do you think of him?"

This question has aroused the interest of many people, and they are willing to listen to the opinions of the former "King of Short Selling" quietly.

Paulson's expression was a little gloomy. After a few seconds of silence, he said, "Fang Zhuo is still very powerful."

When everyone heard such comments, a shadow seemed to flash through their hearts.

"But there is a saying in China." Paulson held the wine glass tightly and said slowly, "The hero is not free when he is lucky. Fang Zhuo is indeed very powerful, but this time is different."

Russell was very pleased with this and raised his glass: "Cheers to 'This Time Is Different'!"

The market is gone, the photoresist is gone, the financial report is not good, the production line is not running, but this time it’s different!

Everyone raised their glasses.

Chanos, the "short-selling master" of the Knicks United Fund, was having a great time tonight. After drinking several glasses of wine, he said loudly: "What is Yi Ke, what is Fang Zhuo, come and listen!"

He attracted everyone's attention, making the place quiet, and then he used his cup to touch the glass of the person next to him, making a "bang" sound.

The wine glass broke and the red wine spilled all over the floor.

Chanos laughed: "Listen, this is the sound of Yiko breaking!"

Everyone laughed, and more sounds of Yi Ke breaking were heard in the arena.

Paulson hadn't communicated with so many colleagues for a long time. He was in a particularly good mood as he was shorting his previous opponent again. He toasted with the fund managers who had spoken out against Yike one by one, and finally returned to Russell.

"Russell, when do you think Yike's Q3 financial report will be out?" Paulson chatted at the last moment.

"If it doesn't come out by the 31st of next month, then at the latest it will be November 11th." Russell said about the process and speculated, "I think it will come out in the early part of next month. Yi Ke has no chance anymore, so what's the point of dragging it out?"

According to regulations, Yike's Q3 should be announced before the 31st, but there are special circumstances. It can submit Form 12b-25 to the SEC, which is the "form for notifying of inability to submit periodic reports on time", which will result in a short grace period, usually 15 calendar days.

Paulson nodded and murmured, "I think Fang Zhuo will wait until the last minute."

"Why?" Russell asked.

Paulson thought of the fierce Mr. Fang and shook his head: "It's just a feeling."

Russell smiled: "The longer he delays, the more negative sentiment in the market will be. I hope Fang Zhuo is someone who can accept failure."

Paulson thought about the current market sentiment and smiled: "He will. He can give lectures and sell books like me."

The two smiled at each other, clinked their glasses again, and listened to the sound of Yi Ke's wine breaking.

The cocktail party was lively. Russell, who had recently been playing TikTok, took photos of his colleagues who were in high spirits and annotated them with text.

——My colleagues who agreed with me all agreed that the only shortcoming of Yike is that it is very weak.

……

On September 9, Kong Yu, head of the MIGA Fund, arrived in Luzhou late at night.

The first time he met the boss, he showed off the grand scene of his friends outside.

Fang Zhuo looked at it carefully and said with a smile: "The Last Supper."

"Hehe, this was my first reaction as well." Kong Yu made a cup of coffee by herself. "Mr. Fang, they have reached a consensus, but I think their conclusion is wrong."

Fang Zhuo wanted to hear what the gasoline man was saying.

Kong Yu announced his opinion: "I think the only shortcoming of Yike is that it looks weak."

Fang Zhuo laughed dumbly.

He threw the documents in his hand to the gasoline man opposite.

Kong Yu took it and read it. He first looked at the title and immediately realized that he couldn't understand the middle part. He turned to the conclusion and sighed, "Dr. Liang is really unparalleled!"

On September 9, there was a breakthrough in photoresist.

After 12 days, SMIC's 10nm process risk trial production was successful.

Fang Zhuo had already gotten over the joy of hearing the news for the first time, and nodded, "Indeed, Dr. Liang is unparalleled in the world. If Bingxin had not been restricted, we would have been able to complete small-scale mass production of 10nm by the middle of the year, and we would have been able to launch a new flagship now."

That meant that Bingxin and Yike could completely consolidate their lead over other manufacturers. Unfortunately, this cycle that was hard-earned was interrupted.

"Dr. Liang is a sharp weapon, and Bingxin is also a sharp weapon." Kong Yu looked over and over the documents of the risk trial production, and couldn't help but sigh, "Mr. Fang, when you team up with someone like Dr. Liang, who else can rival you?"

Fang Zhuo said calmly: "You are too kind. There are still many problems to come, but at least we can solve them one by one, and we will not let you down."

Kong Yu digested the latest good news for a while, and then reconsidered the current situation in his mind.

After a moment, he asked, "Mr. Fang, how long can the news about SMIC's 10nm be kept secret?"

Generally speaking, equipment and raw material manufacturers will be ahead of manufacturers in adapting to advanced processes, and manufacturers are also conducting research and development of multiple processes simultaneously. However, there are still clues about SMIC's breakthrough in 10nm.

"The Q3 financial report will be pushed to November." Fang Zhuo did not answer immediately, but talked about the timing of the financial report that the outside world is concerned about. "It will not be released before the 11st. We will apply for an extension. In November, around the second week, the results of the US election will be released. If there is no problem, we will present a gift to the newcomers at that time."

Kong Yu looked at Mr. Fang in surprise, and then understood some additional meanings that might be contained in it.

He asked: "This time, regarding the short squeeze, the Austrian currency..."

"Don't call us in advance. This is our own breakthrough. It's just a matter of how much we make." Fang Zhuo said, "When the time comes, we can make a final call. They can make as much as they want. It doesn't matter."

Kong Yu was almost certain that his friends still wanted to make more money, and he was about to step down, and if he didn't use it anymore, it would become useless.

Fang Zhuo thought for a moment and continued to talk about the key work arrangements: "Yike's autumn press conference will be held in the second week of November. There will be no live release. Well, we will hold a press conference with two lines of text to pre-sell the new generation Mars11 equipped with a 10nm chip."

As everyone wished, the new generation of Mars 10 cannot use the Bingxin process, so this time the switch to SMIC's process is still considered a half-generation lead.

Kong Yu thought about all the information and arrangements, thought about Yi Ke's unprecedented press conference, thought about the situation and the bloodshed at that time, and sighed: "Okay, a gift for the newcomers."

Then, he said in a sonorous voice: "A gift for Mr. Fang!" (End of this chapter)