TCL Communication Sustained Growth in August Handsets and Other Products Shipments and for the First Time Announces the Sales Volume of Smartphones

Expects the growth in sales momentum will continue and achieve a breakthrough in the sales of smartphones in 2012

HONG KONG, Sept. 8, 2011 /PRNewswire-Asia/ -- TCL Communication Technology Holdings Limited ("TCL Communication" or the "Company", together with its subsidiaries referred to as the "Group"; HKSE stock code: 02618) today announced the unaudited shipment figures for its handsets and other products in August and the first eight months of 2011.

In August 2011, the Group's handsets and other products sales totaled 3,602,499 units, up 20% from the corresponding period in 2010. Of the total sales, smartphones accounted for 143,906 units. Meanwhile, 3,299,386 units were sold in overseas markets and 303,113 units were sold in the PRC in August 2011, representing year-on-year increases of 15% and 133%, respectively. For the first eight months in 2011, the cumulative sales volume of handsets and other products rose 32% year-on-year to 26,668,309 units, with 24,177,635 units sold in overseas markets, representing an increase of 30% from the corresponding period of the previous year.

Currently, TCL Communication is undergoing a process to achieve certain scale for the sales of smartphone products. The Group will spend more resources into the research and development of its smartphone business. Coupled with its continuous efforts in launching new smartphone models and market promotions, the Group expects that both the sales volume and the average selling price will be enhanced. The Group is confident that it will sustain growth in smartphone sales momentum in the future and will achieve a breakthrough in the sales of smartphones in 2012.

The Group maintained growth in the sales momentum throughout the past few months. Significant progress in sales and operational performances were mainly attributable to the Group's successful geographical expansion into new and high-potential markets, together with the successes of the Group's "Step-up" product strategy and brand building efforts.

To further enhance the competitiveness of its products, the Group has continued to strengthen its product development and design capabilities. On 28 July 2011, one global mainstream telecommunications operator, Vodafone, collaborated with Facebook to launch the Vodafone 555 Blue, the world's first prepaid handset with Facebook pre-installed, while the Group is the exclusive manufacturer of Vodafone 555 Blue. With its attractive design and competitive price, the Vodafone 555 Blue offers the highest levels of compatibility with the popular social networking site, enabling users to update their status and to share photos anytime, anywhere. Currently, Vodafone has more than 87 million customers around the world, many of whom are avid Facebook users. With its unique and innovative Facebook function, the Vodafone 555 Blue is expected to be well-received in the market, thereby further propelling the Group's sales and revenue growth.

In addition to product development, the Group continued to develop its business and to deepen its market penetration in China. In August 2011, the Group organized an extensive product launch ceremony for the ALCATEL ONE TOUCH smartphones near the National Stadium in Beijing in which a number of new ALCATEL ONE TOUCH 3G Android  smartphones such as the ONE TOUCH 990, ONE TOUCH 908, ONE TOUCH 906,ONE TOUCH 891, were introduced. In China, the Group's ALCATEL ONE TOUCH handsets were sold mainly through e-commerce channels, with 360Buy and TaoBao Mall as its strategic partners. As the Group further penetrates into the Chinese market and launches more new products, it will deepen its cooperation with its strategic partners, paving the way for a new chapter of development in its sales through e-commerce channels.

Handset and Other Products Sales Volume (Unaudited Data)

Sales volume data is also available at the Company's website: http://tclcom.tcl.com.

About TCL Communication

TCL Communication Technology Holdings Limited (stock code: 02618), together with its subsidiaries, design, manufacture and market an expanding portfolio of mobile and internet products worldwide under two key brands - ALCATEL ONE TOUCH and TCL. The Group's portfolio of products is currently sold in the PRC and over 120 countries throughout the Americas, Europe, the Middle East, Africa and Asia Pacific. TCL Communication operates its highly efficient manufacturing plants and R&D centres in various provinces of the PRC with headquarters in Shenzhen, China. For more information, please visit its website at http://tclcom.tcl.com .

For further enquiries, please contact Hill & Knowlton Asia Ltd.:

Email: tclcomm@hillandknowlton.com.hk