BEIJING, Nov. 26 /Xinhua-PRNewswire-FirstCall/ -- China TransInfo Technology Corp., (OTC Bulletin Board: CTFO) (“China TransInfo” or “the Company”), a leading provider of public transportation information systems technology and comprehensive solutions in the People’s Republic of China ("PRC"), today announced it has entered into a framework agreement with the City of Chengdu Department of Transportation for comprehensive cooperation to provide an integrated real time transportation information service to the city’s public sector.
Under the agreement, the Company will construct and operate a real time transportation information platform which obtains raw, real-time traffic data from existing Global Positioning Systems control terminals in 3,500 taxis and 1,000 buses. To date, the Company is the only partner of Chengdu’s Department of Transportation commissioned to collect, process and integrate all transportation related information into one intelligent platform. This is expected to bring the Department of Transportation’s abilities to a new level, allowing the city to monitor, control and manage traffic flow using real-time data.
The platform, which is expected to be launched in June 2008, will leverage the Company’s core competencies and promote brand awareness for China TransInfo.
Furthermore, China TransInfo has the rights to commercialize the transportation information it gathers in order to compensate for expenses and costs related to the development, testing and installation of the platform. For example, China TransInfo has the right to manufacture and market an in-vehicle intelligent information service terminal as a major channel to deliver integrated traffic information to the currently untapped private car market. Mobile phones are also being evaluated by the Company as a possible distribution portal.
“I am very pleased to announce this milestone in the company’s growth in the transportation information services segment,” stated Mr. Shudong Xia, Chief Executive Officer of China TransInfo. “The framework agreement we entered into with the City of Chengdu is the latest in a succession of agreements we have signed to provide comprehensive transportation information services across China. It provides us with flexible conditions to find the best application for the integrated traffic data we process. We are confident that we can apply this model to other cities, creating a win-win situation for China TransInfo and other local city governments.”
About China TransInfo
China TransInfo, through its subsidiary Beijing PKU ChinaFront High Technology Co., Ltd. (“PKU”), is primarily focused on providing transportation information services. The Company aims to become the largest transportation information product and comprehensive solutions provider, as well as the largest integrated transportation information platform and commuter traffic media platform builder and operator in China. China TransInfo is involved in developing multiple applications in transportation, digital city, and land and resource systems based on Geographic Information System technologies. Its products are primarily aimed at the public sector. In addition, the Company is also developing its transportation system to include Electronic Toll Collection technology. The Company is the co-formulator of several national transportation technology standards and has copyrights over 13 software products. China TransInfo has won 3 of 4 prototype cases sponsored by the PRC Ministry of Communications. Also, the Company’s affiliation with Peking University, which currently owns 5% of PKU, provides access to the University’s GeoGIS Research Laboratory, including 30 Ph.D. researchers. As a result, the Company is currently playing a key role in setting the standards for electronic transportation information solutions in the PRC.
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.
This press release does not constitute an offer to sell or the solicitation of an offer to buy any security.
For more information, please contact:
Company Contact:
Mr. Shudong Xia, Chief Executive Officer
China TransInfo Technology Corp.
Tel: +86-10-8267-1299
Investor Relations Contact:
Mr. Crocker Coulson, President
CCG Investor Relations
Tel: +1-646-213-1915 (NY office)
Email: crocker.coulson@ccgir.com
