BEIJING, April 7 /PRNewswire-Asia/ -- China Agritech, Inc.
(OTC Bulletin Board: CAGC) ("China Agritech", or the "Company"), a leading national organic compound fertilizer manufacturer and distributor in China, today announced that as part of a new cost control plan, the Company is implementing a salary program for its senior management team which will reduce the cash compensation of their base salary levels for the 2009 year. The Company will consider a performance-based option plan to further incentivize the management team to focus on producing greater business and financial results.
As a part of the cost control measures, the Company is also reducing the standard of senior management’s travel expenses, in particular of business class travel and lodging.
Mr. Yu Chang, Chairman and Chief Executive Officer of China Agritech, commented, "Our new program aims to control our expenses, improve business efficiency, and provide greater financial flexibility. We, senior management, will start the changes with ourselves and look forward to setting a role model for all of our employees to concentrate on building a stronger corporate culture and long-term sustainable shareholder value. Salesmen are not affected by the salary reduction and no layoffs are planned for 2009."
About China Agritech, Inc.
China Agritech, Inc. is engaged in the development, manufacturing and distribution of liquid and granular organic compound fertilizers and related products in China. The Company has developed proprietary formulas that provide a continuous supply of high-quality agricultural products while maintaining soil fertility. The Company sells its products to farmers located in 26 provinces of China.
For more information about the Company, please visit http://www.chinaagritechinc.com .
Safe Harbor Statement
This release contains certain "forward-looking statements" relating to the business of China Agritech and its subsidiary companies, which can be identified by the use of forward-looking terminology such as "believes", "expects" or similar expressions regarding statements, including, but not limited to, the continued demand for China Agritech’s products, China Agritech’s ability to sustain growth for the balance of the year and China Agritech’s ability to generally meet all of its objectives. Such forward-looking statements involve known and unknown risks and uncertainties, including all business uncertainties relating to product development, marketing, concentration in a single customer, raw material costs, market acceptance, future capital requirements, and competition in general and other factors that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. Certain of these risks and uncertainties are or will be described in greater detail in our filings with the SEC. Except as required by law, China Agritech is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
For more information, please contact:
In China:
Mr. Kelviz Lim Kok Siak
Investor Relations
China Agritech, Inc.
Tel: +86-10-5962-1220
Email: kelviz@chinaagritech.com
In the U.S.:
Mr. Kevin Theiss / Mr. Valentine Ding
Investor Relations
Grayling
Tel: +1-646-284-9409
Email: ktheiss@hfgcg.com
vding@hfgcg.com