GUANGZHOU, China, June 5 /Xinhua-PRNewswire/ -- Guangzhou Global Telecom
Inc. (OTC Bulletin Board: GZGT), a mobile phone handset and pre-paid calling
card distributor and mobile handset value-added services provider in the PRC,
announced that it has received its branch business license in Hankou, Wuhan.
Wuhan is the capital of Hubei province. According to the statistics, the
mobile users in Wuhan were approximately 3,549,200 at the end of 2006,
approximately 45.81% of the total population of 7,000,000 in the city. The
mobile users increased by 31.2% in 2006. According to statistics, the coverage
of mobile users in cities of China is 93%, which is higher than that of Wuhan.
As a result, the company believes that it has significant room to develop the
business in Wuhan.
The Company is planning to seek cooperation with main telecom operators in
Wuhan to achieve its quick expansion objective. The company is trying to co-
operate or merge with local distributors or companies to maximize our
distribution network. The company has already targeted several local
retailers as potential partners.
"We are extremely excited about our company's prospects with the entrance
into the Wuhan market. In the past two weeks we have opened two new markets
for the company and we will continue with an aggressive expansion model to
capitalize on our existing industry relationships as well as on the fast
growing market segments that we operate in," stated CEO Li Yankuan.
"Following the establishment of the Zhengzhou Branch, setting up the Wuhan
branch is the second phase of our expansion plan, taking the company into the
other provinces in China. During year 2007, the company expects to set up more
branches and retailer shops in China to bolster our distribution network.
With branches located in different cities around China, the company can
understand, with more precision, the market response for each product and
services so that we may adjust it to satisfy our customers' need. Currently,
most of our revenue is generated from Guangzhou and only one brand is
distributing its products through our network into the whole China region.
With the expanding network, we can persuade more handsets manufacturers to
deliver products through our network. Furthermore, by developing a larger
infrastructure, the company will be able to sell more value added services
which will increase company margins and give us a competitive advantage over
smaller companies in our market," concluded Li Yankuan.
About Guangzhou Global Telecom
Guangzhou Global Telecom Limited Company is a national mobile phone
handset and pre-paid calling card distributor and provider of mobile handset
value-added services. Maintaining cooperative relationships with China
Telecom, China Mobile and China Unicom, the Company seeks to become the
largest sales and distribution center of mobile phones, mobile phone parts and
prepaid mobile phone cards in China. GTL plans to introduce new software and
services through an expanded network of regional and neighborhood service
centers, shops and virtual stores. For details, please visit our website at
www.guangzhouglobaltelecom.com
Safe Harbor Statement
Certain of the statements made in the press release constitute forward-
looking statements within the meaning of the Private Securities Litigation
Reform Act of 1995. These statements can be identified by the use of forward-
looking terminology such as "believe," "expect," "may," "will," "should,"
"project," "plan," "seek," "intend," or "anticipate" or the negative thereof
or comparable terminology. Such statements typically involve risks and
uncertainties and may include financial projections or information regarding
our future plans, objectives or performance. Actual results could differ
materially from the expectations reflected in such forward-looking statements
as a result of a variety of factors, including the risks associated with the
effect of changing economic conditions in The People's Republic of China,
variations in cash flow, reliance on collaborative retail partners and on new
product development, variations in new product development, risks associated
with rapid technological change, and the potential of introduced or undetected
flaws and defects in products, and other risk factors detailed in reports
filed with the Securities and Exchange Commission from time to time.
For more information, please contact:
Steven Bigley
Aero Financial, Inc.
sbigley@aero-financial.com
858-481-8022
SOURCE Guangzhou Global Telecom Inc.
