Major Distribution Contract gives China XD access into the Northern Chinese Market
NEW YORK and HARBIN, China, July 13 /PRNewswire-Asia/ -- China XD Plastics Company Ltd. ("China XD" or the "Company"), (OTC Bulletin Board: CXDC), as the largest Chinese manufacturer engaged in the development, manufacturing, and distribution of modified plastics primarily for use in automotive applications, today announced the signing of six-month provisional agreement with Tianjin Huapu Company. Under this agreement, Tianjin Huapu will distribute the Company's specialized modified plastics for automotive applications in Northern China, where Tianjin Huapu is a major plastic resin distributor with extensive network covering all automobile manufacturers in the region, including Beijing Automobile Works Co., Ltd, Tianjin FAW Xiali Automobile Co., Ltd, Great Wall Motor and others. Since March 2009, China XD and Tianjin Huapu have started supplying in small quantity to the customers and currently phase into batch supplying stage.
"This is a very important milestone for China XD. As leaders in our respective market categories, it's fitting that China XD's quality products and competitive prices are available in Northern China as well. The North region accounts for approximately 10% of the total market demand for automotive applications in China," said Jie Han, the Chairman and CEO of China XD.
Mr. Han, declared, "Tianjin Huapu is a prominent distributor of plastic resin in Northern China with a broad network and a long history of providing quality service. Thanks to their professionalism and enthusiasm we can look forward to continuously expanding the reach of our brand into the Northern regions of China. With their help we are delivering on our pledge to penetrate the market place of Northern China."
Mr. Han further commented, "As our Research and Development Institute continues to produce products that will replace imports, our management will continue to build new partnerships and to work with more distributors in order to grow our market share.
About China XD Plastics Company Ltd.
China XD Plastics Company Ltd., through its wholly owned subsidiary Harbin Xinda Macromolecule Material ("Xinda"), develops, manufactures, and distributes modified plastics, primarily for automotive applications. The Company's specialized plastics are used in the exterior and interior trim and in the functional components of more than 30 automobile brands manufactured in China including Audi, Red Flag, Volkswagen and Mazda. The Company's wholly owned research institute is dedicated to the research and development of modified plastics and benefits from technology collaboration with well-known scientists from leading Universities in China. Xinda currently manufactures approximately 150 types of automobile-specific modified plastic products, 122 of which have been certified for use by one or more of the automobile manufacturers in China. For more information please visit http://www.chinaxd.net .
Safe Harbor Statement
This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements, including but not limited to, the Company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; legal and regulatory risks associated with the share exchange; the Company's ability to successfully expand its production capacity; the future trading of the common stock of the company; the Company's ability to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; and other risks detailed in the company's filings with the Securities and Exchange Commission and available on its website at http://www.sec.gov. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about the companies and the industry. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.
For more information, please contact:
China XD Plastics Company Ltd.
Mr. Taylor Zhang, Chief Financial Officer
Phone: +1-212-747-1118 (New York)
Mr. Allan Lao, IR Director
Phone: +86-451-8434-6600 (China)
Email: cxdc@chinaxd.net
Web: http://www.chinaxd.net/
CCG Investor Relations
Mr. Crocker Coulson, President
Phone: +1-646-213-1915 (New York)
Mr. Ed Job, CFA
Phone: +1-646-213-1914 (New York)
Email: ed.job@ccgir.com
Web: http://www.ccgirasia.com
