China Intelligent Lighting and Electronics, Inc. Signs Agreements With Distributors to Open More Than 300 Distribution Outlets in China

HUIZHOU, China, Feb. 2, 2011 /PRNewswire-Asia-FirstCall/ -- China Intelligent Lighting and Electronics, Inc. ("China Intelligent," "CIL" or "the Company") (NYSE Amex: CIL), a leading provider of lighting solutions that engages in the design, manufacture, sales and marketing of high-quality LED and other lighting products, today announced that it has signed contracts with distributors to open more than 300 exclusive distribution outlets in China in 2011. The agreements are part of CIL's strategic promotional marketing campaign, whereby distributors agree to two-year contracts that grant them the right to sell CIL's Hyundai and CINLE lighting products exclusively in outlets branded with the Hyundai and CINLE names. The Company will invest RMB50,000 (approximately US$7,600) in each store, RMB15 million (approximately US$2.3 million) in total, to assist the distributors to furnish the outlets according to the Company's branding awareness objectives and guidelines; the decoration standards will remain consistent throughout the network of outlets. With the addition of these 300 distribution outlets, CIL will have 2,500 distribution outlets across 30 provinces and cities in China.  

Ms. Li Xuemei, Chairman and CEO of China Intelligent, said, "This investment to strengthen our brand in China is a key component of our growth strategy. We are investing in these outlets in order to increase awareness of the Hyundai brand and our own CINLE brand, and we will leverage this brand equity as we strengthen and expand our sales network. These distribution outlets will contribute to our growth plan by strengthening our competitive positioning in China's largest Tier 1 cities and cultivating our presence in the smaller cities that are demonstrating the rapid growth and urbanization that spur demand for our innovative and high-quality traditional lighting and LED products. The new outlets will exclusively offer Hyundai-brand and our own CINLE-brand lighting products and will be managed by local distributors, who will utilize our investment to ensure that the outlets meet our branding guidelines. Ultimately, our branding strategy is designed to build our higher-margin branded product and LED product sales as a percentage of our total revenue, and we believe that our investment in the distribution network will help us to achieve strong and sustainable growth."

About China Intelligent Lighting and Electronics, Inc.

China Intelligent Lighting and Electronics, Inc. (NYSE Amex: CIL; CUSIP No: 16890G202) is a China-based company that provides a full range of lighting solutions, including the design, manufacture, sales and marketing of high-quality LED and other lighting products for the household, commercial and outdoor lighting industries in China and internationally. The Company currently offers over 1,000 products that include LEDs, long life fluorescent lights, ceiling lights, metal halide lights, super electric transformers, grille spot lights, down lights, and recessed and framed lighting.