BEIJING, Aug. 30 /PRNewswire-Asia-FirstCall/ -- China TransInfo Technology Corp. (Nasdaq: CTFO), ("China TransInfo" or the "Company"), a leading provider of intelligent transportation systems for highway and urban transportation management in China, announced today that the Company was recently awarded electronic toll collection ("ETC") contracts totaling RMB 44.6 million (approximately $6.7 million) in Shanxi Province, Shandong Province and Sichuan Province.
According to the contracts, China TransInfo will provide ETC electronics engineering machinery systems, ETC application system development and upgrading services, and 10,000 onboard electronic tags for highway authorities in Shanxi Province. The Company will also provide 10,000 onboard electronic tags and 120 readers for highway authorities in Shandong Province and Sichuan Province. Of the RMB 44.6 million total revenue contribution from the contracts, RMB 12.0 million is expected to be recognized through the balance of 2010, with the remaining RMB 32.6 million expected to be recognized in 2011 and 2012.
China TransInfo has become one of the top three players in the ETC sector and has the highest annual growth rate in market share. In 2007, China rolled out domestic ETC standards. In 2008, the government started to promote ETC, first with pilot projects in several provinces and regions and then expanded them to build a national ETC network. As one of only eight companies with a track record of successfully selling related products, China TransInfo won its first ETC project in Zhejiang Province in 2009, and then went on to win bids in Jiangsu, Shandong, Shaanxi and Shanxi provinces and Tianjin Municipality.
"We are excited about the significant progress we have made in the ETC market," commented Mr. Shudong Xia, Chairman and Chief Executive Officer. "This year, with one exception, we have won projects in every province and municipality in China that solicited new bids. Our recent success in Shanxi, Shandong and Sichuan provinces further demonstrates strong market recognition for our products and technology and increases our market penetration in different regions, paving a solid foundation for us to continue to expand nationally. We expect strong growth in the ETC market as regulatory authorities continue to push implementation and car owners increasingly purchase and install onboard electronic tags. Based on our advanced technology, product advantage, brand equity and solid customer relations, we are confident that we will continue to benefit from the growth of the ETC market."
About China TransInfo
China TransInfo, through its affiliate, China TransInfo Technology Group Co., Ltd., (the "Group Company") and the Group Company's PRC operating subsidiaries, is primarily focused on providing transportation information services and comprehensive solutions based on Geographic Information System (GIS) technologies. The Company aims to become the largest transportation information products and comprehensive solutions provider, as well as the largest real time transportation information platform operator and provider in China. In addition, the Company is developing its transportation system to include Electronic Toll Collection technology. As the co-formulator of several transportation technology national standards, the Company owns software copyrights for 89 software products and has won 5 of the 10 model cases sponsored by the PRC Ministry of Communications. The Company's affiliation with Peking University provides the Company access to the University's GeoGIS Research Laboratory, including over 30 Ph.D. researchers. As a result, the Company is playing a key role in setting the standards for electronic transportation information solutions. For more information, please visit the Company's website at http://www.chinatransinfo.com .
Safe Harbor Statement
This press release contains certain statements that may include "forward looking statements". All statements other than statements of historical fact included herein are "forward-looking statements". These forward looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involve known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.
For more information, please contact:
Company Contact:
Ms. Fan Zhou, Investor Relations Director
China TransInfo Technology Corp.
Email: ir@ctfo.com
Tel： +86-10-5169-1657
Investor Relations Contact:
Mr. Athan Dounis, Account Manager
Email: athan.dounis@ccgir.com
Tel: +1-646-213-1916
Mr. Crocker Coulson, President
Email: crocker.coulson@ccgir.com
Tel: +1-646-213-1915
CCG Investor Relations
