ZHUHAI, China and NEW YORK, Sept. 8 /PRNewswire-Asia/ -- China Architectural Engineering, Inc. ("CAE" or the "Company") (Nasdaq: CAEI), a provider of design, engineering, fabrication and installation services of high-end building envelope systems, today announced it has been awarded a new contract valued at approximately US$3.2 million and provided business updates on previous contract wins announced on August 16, 2010.
CAE has been awarded a new contract by the Overseas Chinese Town ("OCT") Group for their Joy Coast project, with a total value of approximately US$3.2 million. The Joy Coast project is the first large-scale, high-end integrated urban ecotourism project in China. CAE had previously been contracted to provide design and consulting services to this project and will now be responsible for implementing their design and construction of the Innovation Exhibition Center, one of the regional landmarks within Joy Coast. The structure uses the highly advanced technique of space arbitrarily curved surfaces with stainless steel plates. The contract is estimated to be completed within five months.
Mr. Jun Tang, Chairman of the Board of China Architectural Engineering, commented, "We are very excited about this new Joy Coast contract with OCT. We feel this contract win highlights OCT's confidence and satisfaction with our previous work with them as consultants as well as with our technical expertise, a high level of which is required to complete such a complex project. We welcome the challenge as an opportunity to further demonstrate our advanced capabilities within a lasting, publicly viewed structure."
The Company has also provided the following business updates contract wins previously announced by the Company on August 16, 2010:
The Terrace Garden Project in Beijing, awarded by COSCO Real Estate and Swire Group and valued at approximately $10.4 million, is expected to be completed by the end of the first quarter of 2011. CAE is responsible for the entire process of design, manufacturing and construction of the structural steel and building envelope of the exhibition hall within the terrace garden of Jiangtai Commercial Center. The glass roof uses irregular-shaped and free curved surfaces that add to the difficulties in design and construction of the glass roof.
The two projects in Liuzhou, the capital of Guangxi province, were awarded by the Guangxi Municipal Government, with a total value of approximately US$3.3 million. CAE is responsible for the metal roofs and wall construction of both Li Ning Sports Stadium and Li Ning Aquatics Center. These have been named two of the top ten construction projects of Liuzhou City that together cover an area of over 30,000 square meters and are set to become major landmarks within the town.
The Xinhai Revolution Museum project is a government contract in Wuhan, the capital of Hubei, and is valued at approximately US$5.2 million. CAE is responsible for the construction of the full curtain wall, including a GRC exterior panel roof system, glass curtain wall system, and stone cladding curtain wall system. The overall building scheme of this memorial museum fuses traditional Chinese and modern architectural technologies.
Mr. Tang concluded, "We're greatly pleased with the variety of important contracts we have recently won, most of which rely on our state-of-the-art design capabilities and technological expertise. The Terrace Garden Project, for example, is the first project of its kind in the world with a notable level of technical difficulty due to the hybrid structure of space
single-layer rectangle bar shells with single-layer cable-net of vertical glass curtain walls. Furthermore, several of these contract wins were from local governments, which we believe once again demonstrates their trust in our solid industry experience and successful execution record completing other important public landmark projects. In the future, we aim to further drive our business growth by pushing our technical capabilities and focusing on more large-scale design projects that ultimately create more shareholder value."
About China Architectural Engineering
China Architectural Engineering, Inc. (NASDAQ: CAEI) is a provider of design, engineering, fabrication and installation services of high-end curtain wall systems, roofing systems, steel construction systems, and eco-energy systems. Founded in 1992, CAEI has maintained its market leadership by providing timely, high-quality, reliable, fully integrated, and cost-effective solutions. Collaborating with world-renowned architects and building engineers, the Company has successfully completed over one hundred large, complex and unique projects worldwide, including numerous award-winning landmarks across Asia's major cities.
For further information on China Architectural Engineering, Inc., please visit http://www.caebuilding.com
Forward-Looking Statements
In addition to historical information, the statements set forth above may include forward-looking statements that may involve risk and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Actual results could differ materially from the expectations contained in forward-looking statements as a result of risks and uncertainties, including, but not limited to, difficulties in moving into the online gaming market; the Company's ability to accurately estimate and control contract costs and timelines; the Company's ability to timely complete and meet performance standards; the Company's ability to integrate the management, personnel and operations of the Company and ConnGame; required Company payments under the waiver agreement and ability to maintain the conditions of the bondholder waiver and dilution from the potential adjustment to the conversion price of the bonds for non-compliance with the waiver; identification and remediation of the Company's deficiencies and weaknesses in its internal controls over financial reporting, potential claims or litigation that may result from the occurrence of restatements, ability to identify and secure debt, equity, and/or other financing required to continue the operations of the Company; reduction or reversal of the Company's recorded revenue or profits due to "percentage of completion" method of accounting and expenses; increasing provisions for bad debt related to the Company's accounts receivable; fluctuation and unpredictability of costs related to our products and services; adverse capital and credit market conditions; expenses and costs associated with its convertible bonds, regulatory approval requirements and competitive conditions; and various other matters, many of which are beyond our control. These and other factors that may result in differences are discussed in greater detail in the Company's reports and other filings with the Securities and Exchange Commission.
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