HANGZHOU, China, March 3 /PRNewswire-Asia-FirstCall/ -- China 3C Group (OTC Bulletin Board: CHCG), a retailer and wholesale distributor of consumer and business products in China, today announced that its GPS products, Kodak digital cameras and TECSUN radios will become exclusively recommended products to the Jinhua Automobile Sports Association (“Jinhua”).
Based in Jinhua City, China, a city of over 4.6 million in the Zhejiang province, Jinhua is a club for car owners. The club, comprised of approximately 300,000 members, organizes a variety of automotive events regularly and provides for communication and social networking opportunities for its members. China 3C sells about 15 models of GPS products, 10 models of Kodak digital cameras and 10 models of TECSUN radios. This agreement will allow Jinhua’s members to purchase products from China 3C at a discounted membership price. Jinhua will advertise this information to club members through its club newsletter, magazine and flyers. This
one-year agreement signed between both parties will benefit China 3C subsidiaries, Hangzhou Wang Da Electronics Company Limited and Yiwu Yong Xin Telecommunication Company Limited.
Mr. Zhenggang Wang, CEO of China 3C, said, "We are excited about our agreement with the Jinhua Auto Sports Association. We believe that Jinhua’s club members and their families have strong consumer spending power, which can benefit some of our products serving the automotive market. This sales channel is a new model for our business that can allow us to expand sales outside of our retail stores and increase our brand value. The cost structure of this initiative provides us with higher gross margin opportunities compared to our retail business even when incorporating the discounted prices for our products offered exclusively to this automotive club. We will continue to evaluate other margin enhancing opportunities in the coming months.”
Mr. Jiqing Chen, President of the Jinhua Automobile Sports Association said, “This is our first business cooperation agreement with any merchandise provider. We chose China 3C because of its strong product portfolio, quality products and excellent service. The cooperation agreement will allow our members to purchase well known, branded auto-related products at affordable prices.”
About China 3C Group
China 3C is a leading wholesale distributor and retailer of 3C merchandise: computers, communication products and consumer electronics. The company specializes in wholesale distribution and retail sales of 3C products in Eastern China, focusing on products that make life more comfortable, convenient and connected. The company’s goal is to become the number one retailer of 3C products in China. For more information, visit http://www.china3cgroup.com .
Forward-looking Statements: Certain statements set forth in this press release constitute "Forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. We have included and from time to time may make in our public filings, press releases or other public statements, certain forward-looking statements, including, without limitation, those under "Management’s Discussion and Analysis of Financial Condition and Results of Operations" in Part II, Item 7 of our Annual Report on Form 10-K. In some cases these statements are identifiable through the use of words such as "anticipate," "believe," "estimate," "expect," "intend," "plan," "project," "target," "can," "could," "may," "should," "will," "would" or words or expressions of similar meaning. You are cautioned not to place undue reliance on these forward- looking statements. In addition, our management may make forward-looking statements to analysts, investors, representatives of the media and others. These forward-looking statements are not historical facts and represent only our beliefs regarding future events, many of which, by their nature, are inherently uncertain and beyond our control. There can be no assurance that such forward-looking statements will prove to be accurate and China 3C Group undertakes no obligation to update any forward-looking statements or to announce revisions to any of the forward-looking statements.
For more information, please contact:
Jason Yuan, Vice President
China 3C Group
Email: ir@china3cgroup.com
Bill Zima
ICR, Inc.
Tel: +1-203-682-8200
