New contracts total approximately $40 million in revenue
CHANGSHU, China, March 10 /PRNewswire-Asia-FirstCall/ -- Sutor Technology Group Limited (the "Company", "Sutor") (Nasdaq: SUTR), a leading China-based manufacturer and distributor of high-end fine finished steel products and welded steel pipes used by a variety of down-stream applications today announced that it has signed four annual contracts totaling approximately 52,000 metric tons of processed steel products for an aggregate contract amount of approximately US$40 million based on current market prices. The contracts are for one year beginning from March and the products sold through the contracts will be priced at the market at the time of shipment.
The new order contracts are with long term customers Shandong Sangle, a leading solar water heater manufacturer in China, and three steel distributors located in Eastern and Southern China. Under the contracts, Sutor will supply approximately 10,000 metric tons of pre-painted galvanized steel (PPGI) to Shandong Sangle and 42,000 metric tons of hot dipped galvanized steel (HDGI) to the three steel distributors.
"We are pleased with today's new contract announcements with our long-term partners. We believe these annual agreements demonstrate our commitment to superior product quality and customer service. In addition, we continue to use our proactive research and development efforts to design new products with green energy uses and applications. Further, these new contracts demonstrate how Sutor is successfully building closer relationships with professional steel distributors who understand their local markets and have a wide customer base," stated Ms. Lifang Chen, Chairwoman and CEO of Sutor Technology Group.
About Sutor Technology Group Limited
Sutor (Nasdaq: SUTR) is one of the leading private manufacturers of fine finished steel products used by steel fabricators and other applications in China. Sutor utilizes a variety of processes and technologies to convert steel manufactured by third parties into fine finished steel products, including hot-dipped galvanized steel, pre-painted galvanized steel, acid-pickled steel, cold-rolled steel and welded steel pipe products. The company's diversified lines of products are extensively used for solar energy, household appliances, medical instruments, IT, building & construction, and automobiles. The company benefits directly from the increasing and sustainable demand for its products due to urbanization and industrial upgrading in China. To learn more about the Company, please visit http://www.sutorcn.com .
Forward-Looking Statements
This press release includes certain statements that are not descriptions of historical facts, but are forward-looking statements. Such statements include, among others, those concerning the four new contracts, our expected financial performance and strategic and operational plans, our future operating results, our expectations regarding the market for our steel finishing fabrication products, our expectations regarding the continued growth of the steel market, as well as all assumptions, expectations, predictions, intentions or beliefs about our relative strength and about future events. You are cautioned that any such forward-looking statements are not guarantees of future performance and that a number of risks and uncertainties, including developments in the world economy and in our industry, could cause our actual results to differ materially from those anticipated, expressed or implied in the forward-looking statements. These risks and uncertainties include, but not limited to, the factors mentioned in the "Risk Factors" section of our Annual Report on Form 10-K for the year ended June 30, 2009, and other risks mentioned in our other reports filed with the Securities Exchange Commission, or SEC. Copies of filings made with the SEC are available through the SEC's electronic data gathering analysis retrieval system (EDGAR) at http://www.sec.gov . The words "believe," "expect," "anticipate," "project," "targets," "optimistic," "intend," "aim," "will" or similar expressions are intended to identify forward-looking statements. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. The Company assumes no obligation and does not intend to update any forward- looking statements, except as required by law.
For more information, please contact:
Sutor Technology Group Limited
Mr. Jason Wang, Director of IR
Tel: +86-512-5268-0988
Web: http://www.sutorcn.com
ICR, Inc.
Mr. Brian M. Prenoveau, CFA
Tel: +1-203-682-8200
