Manufacturer of Energy Saving Amorphous Alloy Transformers and Transformer Core's Common Stock Listed On The OTC Bulletin Board, Symbol OTCBB: CPQQ
NEW YORK, May 21 /PRNewswire-Asia-FirstCall/ -- China Power Equipment, Inc. ("China Power") today announced that it has begun trading as a public company under the symbol OTC Bulletin Board: CPQQ.
Through its Xi'an, China-based, wholly-owned subsidiary, Xi'an Amorphous Zhongxi Co., Ltd., the Company has developed a proprietary, patented technology to produce a new generation of energy saving transformers and transformer cores. The Company currently manufactures 55 different models of transformers in four product series which are sold throughout China.
The Company currently has two patents for the production technology of amorphous alloy transformers and one patent for equipment for the production of amorphous alloy cores in China. Leveraging the properties of amorphous alloy materials and its advanced manufacturing process, China Power's transformers reduce up to 80% of the no-load loss generated by transformers with a silicon steel core.
Due to the rapid growth of China's economy, the drain on the nation's existing power grid is substantial. In response to this and the PRC's increasing attempts to reduce its impact on the environment, the Chinese government has issued a series of measures demanding improved efficiency and decreased emissions from its corporations, thus making it a priority to use energy-saving products and equipment. Utilizing its patented technology, China Power's amorphous alloy transformers provide utilities with a highly efficient alternative product line, resulting in utilities being able to increase their capacity while minimizing their impact on the environment. Not only have China Power's amorphous alloy transformers demonstrated an 80% reduction in the no-load loss as compared to the loss generated by comparable steel core products, the Company's proprietary manufacturing process also requires significantly less energy than the production process for silicon steel cores. Amorphous metal can also be recycled, an additional environmental benefit. All of these qualities mean that China Power's products provide substantial energy and monetary savings throughout the life of the transformer.
Yong Xing Song, Chairman of the Board of the Company, stated, "Having our stock trade on the OTC Bulletin Board is a significant step for China Power Equipment. We have been working diligently to contribute to China's efforts to improve the quality and efficiency of its power infrastructure. This endeavor will take considerable resources and China Power is ideally suited to participate in this undertaking. Our amorphous alloy core transformers are highly efficient, energy saving and environmentally friendly, making our products the logical selection for power providers looking to improve the effectiveness of the power grid."
About China Power Equipment, Inc.
China Power Equipment, Inc., through its wholly-owned subsidiary, Xi'an Amorphous Zhongxi Co., Ltd., has developed a proprietary, patented technology to produce a new generation of energy saving transformers and transformer cores. The Company currently manufactures 55 different models of transformers in four product series which are sold throughout China. The Company was formed in 2006 as a U.S. corporation, and in November 2006, formed a Chinese subsidiary which was granted a license as a privately held, Wholly-Owned Foreign Enterprise, or "WOFE," by the Chinese government.
Safe Harbor
Certain statements in this release concerning our future growth prospects are forward-looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding the success of our investments, risks and uncertainties regarding fluctuations in earnings, our ability to sustain our previous levels of profitability including on account of our ability to manage growth, intense competition, wage increases in China, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, our ability to successfully complete and integrate potential acquisitions, withdrawal of governmental fiscal incentives, political instability and regional conflicts and legal restrictions on raising capital or acquiring companies outside China. Additional risks that could affect our future operating results are more fully described in our United States Securities and Exchange Commission filings, including our Prospectus dated November 7, 2008, and 10-K filed on March 31, 2009 and our other recent filings. These filings are available at http://www.sec.gov . We may, from time to time, make additional written and oral forward-looking statements, including statements contained in our filings with the Securities and Exchange Commission and our reports to shareholders. We do not undertake to update any forward-looking statements that may be made from time to time by or on our behalf.
