- Company Expects $2 Million in Revenue from Appliance Recycling Program -
DALIAN, China, Oct. 4 /PRNewswire-Asia/ -- China Industrial Waste Management, Inc. (OTC Bulletin Board: CIWT) ("China Industrial Waste Management" or the "Company"), a leading environmental services and solutions provider in China, today announced that its 90% owned subsidiary, Dalian Dongtai Industrial Waste Treatment, Co., Ltd. ("Dalian Dongtai") was designated as the sole provider of dismantling, processing and recycling services for discarded domestic appliances for Dalian City, and one of four licensed providers of these services in Liaoning Province under the Discarded Domestic Appliance Recycling Program (the "Appliance Recycling Program"), which is sponsored by the PRC ministries of Commerce, Treasury, and Environmental Protection.
The Appliance Recycling Program began in August 2010 in Dalian and runs through the end of December 2011. Domestic appliances covered under this program include televisions, refrigerators, washing machines, air conditioners, personal computers and mobile phones. These appliances contain recyclable materials, such as metal, glass, and plastic. They also contain hazardous materials that can pollute the soil, water and atmosphere if they are not properly treated before disposal.
Given the lack of a national legal framework and integrated collection system, currently, many of the discarded domestic appliances in China are collected by unlicensed small-scale dismantling plants that extract the valuable metals and dump the remaining electronic waste in wild, which causes environment pollution. Because they are unregulated, these facilities can operate at a lower cost structure compared to licensed providers like Dalian Dongtai. As a consequence, typically only a small portion of electronic waste in China is collected by licensed, professional companies.
As a result of its designation and participation in this program, the Company expects to generate $2 million in revenues over the program's 17-month duration. The revenue generated from electronic waste recycling under this program consists of two components: (i) fees received from the government for processing the electronic waste and (ii) revenues generated from sales of recycled materials.
"We are pleased to have received this designation as the sole provider of recycling services for the Appliance Recycling Program in Dalian City," stated Mr. Jun Li, Chief Operating Officer. "We believe this program will help reduce environmental pollution and promote recycling and energy efficiency in Liaoning province. We also expect to benefit as our participation in this program is establishing a new channel of electronic waste collection to spur further consolidation of e-waste processing around our Dalian Dongtai facility, and we estimate will provide us with $2 million in revenues over the program's 17-month duration."
About China Industrial Waste Management
China Industrial Waste Management, Inc. is engaged in the collection, treatment, disposal and recycling of industrial wastes principally in Dalian and surrounding areas in Liaoning Province, People's Republic of China through its 90%-owned subsidiary Dalian Dongtai Industrial Waste Treatment Co., Ltd. ("Dalian Dongtai") and other indirect subsidiaries. Dalian Dongtai treats, disposes of and/or recycles many types of industrial wastes, and recycled waste products used by customers as raw material to produce chemical and metallurgy products. In addition, Dalian Dongtai treats or disposes of industrial waste through incineration, burial or water treatment, and provides environmental protection services, technology consultation, pollution treatment services, waste management design processing services, waste disposal solutions, waste transportation services, onsite waste management services, and environmental pollution remediation services. For more information, please visit the Company's website (www.chinaciwt.com).
Cautionary Statement Regarding Forward-Looking Information
This release may include "forward-looking statements." You can identify these statements by the fact that they do not relate strictly to historical or current facts. These statements contain such words as "may," "project," "might," "expect," "believe," "anticipate," "intend," "could," "would," "estimate," or the negative or other variations thereof or comparable terminology. These forward-looking statements are based on current expectations and projections about future events. Investors are cautioned that forward-looking statements are not guarantees of future performance or results and involve risks and uncertainties that cannot be predicted or quantified and, consequently, our actual performance may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, but are not limited to, the following factors, as well as other factors described from time to time in our reports filed with the Securities and Exchange Commission: the timing and magnitude of technological advances; the prospects for future acquisitions; the effects of political, economic and social uncertainties regarding the governmental, economic and political circumstances in the People's Republic of China, the possibility that a current customer could be acquired or otherwise be affected by a future event that would diminish their waste management requirements; the competition in the waste management industry and the impact of such competition on pricing, revenues and margins; uncertainties surrounding budget reductions or changes in funding priorities of existing government programs and the cost of attracting and retaining highly skilled personnel; our projected sales, profitability, and cash flows; our growth strategies; anticipated trends in our industries; our future financing plans; and our anticipated needs for working capital. Forward-looking statements speak only as of the date on which they are made, and, except to the extent required by federal securities laws, we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events.
For more information, please contact:
Company Contact:
Mr. Darcy Zhang, Director of Investor Relations
Tel: +86-411-8259-5339
Email: darcy.zhang@chinaciwt.com
Website: http://www.chinaciwt.com
CCG Investor Relations:
Mr. Athan Dounis, Account Manager
Phone: +1-646-213-1916
Email: athan.dounis@ccgir.com
Website: http://www.ccgirasia.com
