-- New Contracts Value Total $4.1 Million --
BEIJING, July 12 /PRNewswire-Asia/ -- China Fire & Security Group, Inc. (Nasdaq: CFSG) ("China Fire" or "the Company"), a leading industrial fire protection product and solution provider in China, today announced that the Company has won two total solution retrofitting contracts with Anshan Iron & Steel Group Corporation ("Ansteel") for a total value of approximately US$4.1 million.
Ansteel is headquartered in Anshan City, Liaoning Province, China. With an annual production capacity of 32 million tons of iron and steel, Anshan is one of the top three large-scale, state-owned iron and steel companies in China. Ansteel's Bayuquan Steel Project ("Bayuquan Base"), located in Yingkou City, Liaoning Province, is a modern production base for Ansteel's higher-quality products. Since its operations commenced in 2008, Bayuquan Base has been one of Ansteel's top three production bases with an annual production capacity of 15 million tons.
Under the first contract, valued at approximately $3.4 million, China Fire will provide fire protection services for a retrofitted medium-heavy plate mill at Ansteel's Bayuquan Base. China Fire will provide a turn-key fire protection system featuring the Company's Fire Security Information Management System, which facilitates real-time network monitoring, an Automatic Fire Alarm and Control System, a Fire Emergency Communication System, and a Water Mist Fire Extinguishing System. This turn-key solution will ensure that fire-hazard locations in the mill's main production areas, such as underground cable tunnels, hydraulic stations, oil depots, underground electrical rooms and step-down transformers, are protected from potential fire risks and are fully compliant with the new fire codes for China's iron and steel industry. This project is expected to be completed within the next six months.
Under the second contract, valued at approximately $0.7 million, China Fire will provide total solution retrofitting service for ANSC-TKS Galvanizing Inc. ("TAGAL"), a joint venture company formed by ThyssenKrupp Stahl and Ansteel. Previously, in 2005, China Fire was contracted to implement a supporting fire protection system for TAGAL's Phases I and II projects. This time, China Fire has been commissioned to employ its proprietary products, such as linear heat detectors and a fire-alarm monitoring and control system, to make TAGAL's plant fully compliant with the new fire codes for iron and steel industry. This project is expected to be completed within the next three months.
"We are very excited about the opportunity to provide our turn-key fire protection system to Ansteel, a long-time customer of ours," commented Mr. Brian Lin, chief executive officer of China Fire. "We feel this win once again proves our customers' trust and satisfaction with our solid industry experience, leading brand and comprehensive fire protection solutions. We are also encouraged by the strong sponsorship by the Chinese government for the technological renovation and upgrades in the production capacity among the large iron and steel groups, as indicated by the contract wins with Ansteel. We are very confident that our expanding portfolio of total solution projects will further help China Fire to secure more retrofitting contracts in the iron and steel industry in the near future," concluded Mr. Lin.
About China Fire & Security Group, Inc.
China Fire & Security Group, Inc. (NASDAQ: CFSG), through its wholly owned subsidiary, Sureland Industrial Fire Safety Limited ("Sureland"), is a leading total solution provider of industrial fire protection systems in China. Leveraging on its proprietary technologies, China Fire is engaged primarily in the design, manufacturing, sales and maintenance services of a broad product portfolio including detectors, controllers, and fire extinguishers. Via its nationwide direct sales force, China Fire has built a solid client base including major companies in iron and steel, power, petrochemical and transportation industries throughout China. China Fire has a seasoned management team with strong focus on standards and technologies. Currently, China Fire has a comprehensive portfolio of patents covering fire detection, system control and fire extinguishing technologies. Founded in 1995, China Fire is headquartered in Beijing with about 430 employees in more than 30 sales and project offices throughout China. For more information about the Company, please go to http://www.chinafiresecurity.com .
Cautionary Statement Regarding Forward Looking Information
This presentation may contain forward-looking information about China Fire & Security Group, Inc. and its wholly owned subsidiary Sureland which are intended to be covered by the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as "believe," "expect," "may," "will," "should," "project," "plan," "seek," "intend," or "anticipate" or the negative thereof or comparable terminology, and include discussions of strategy, statements about industry trends and China Fire & Security Groups' future performance, operations and products. This and other "Risk Factors" are contained in China Fire & Security Groups' public filings with the SEC.
For more information, please contact:
China Fire & Security Group, Inc.
Amy Gao, Investor Relations
Tel: +86-10-8441-7400
Email: ir@chinafiresecurity.com
ICR, Inc.
In China:
Michael Tieu
Tel: +86-10-6599-7960
Email: michael.tieu@icrinc.com
In the U.S.:
Bill Zima
Tel: +1-203-682-8200
Email: bill.zima@icrinc.com
