GUANGZHOU, China, July 12 /Xinhua-PRNewswire/ -- Guangzhou Global Telecom, Inc. (OTC Bulletin Board: GZGT), a wholesale distributor of mobile phone handsets, pre-paid calling cards and mobile handset value-added services in The People’s Republic of China (PRC), announced today that Guangzhou Global Telecom’s Zhengzhou Branch has signed an agreement with China Unicom’s Zhengzhou Branch.
Pursuant to the agreement, the company will become the principal agent to distribute China Unicom business in Zhengzhou. The Company can make transactions including:
-- Cell phone card charged through the Internet;
-- Charging procedure assistance;
-- Selling phones, calling cards and mobile phone cards; and
-- Integrated business related to the mobile phone.
According to published statistics, the mobile users in Zhengzhou were approximately 4,527,000 at the end of September 2006, which is 63% of the total population of the city. The number of mobile users was 4,851,000 at the end of 2006, which is 1,334,000 more than that of 2005. According to statistics, the coverage of mobile users in major cities of China is 93%, which is higher than that of Zhengzhou. As a result, we believed that we have significant room to develop business in Zhengzhou.
"We are delighted to become the principal agent to distribute China Unicom’s business in Jinshui District of Zhengzhou City," said Ms. Yankuan Li, Chairman and CEO of Guangzhou Global Telecom. "We are confident that our strong distribution experience and sales network will help China Unicom to expand its client base in the Zhengzhou region, as well as improve the mobile telecom service quality and standards. Within 1 month of setting up our branch in Zhengzhou, we were able to sign-off on a contract with China Unicom’s Zhengzhou Branch, which shows our quick expansion and integration capability. Accordingly, we expect to set up more retail stores in Zhengzhou to facilitate our expansion plan in this area," concluded Li.
About Guangzhou Global Telecom
Guangzhou Global Telecom, Inc. 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 web site at http://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.
