Trunkbow International Partners with China UnionPay to Launch Online-to-Offline Payment System in Shandong Province

BEIJING, March 28, 2012 /PRNewswire-Asia/ -- Trunkbow International Holdings Limited (NASDAQ: TBOW) ("Trunkbow" or the "Company"), a leading provider of Mobile Payment Solutions ("MPS") and Mobile Value Added Solutions ("MVAS") in the PRC, today announced that it has entered into a partnership agreement with the Shandong branch of China UnionPay ("UnionPay"), China's leading bankcard association, for the development and deployment of a new online-to-offline payment system. This system will launch in Shandong Province, one of the country's most popular tourist destinations in the second quarter of 2012, and will be deployed with the Shandong Tourist Administration to enable the purchase of admission tickets to various points of interest throughout the province.

"We are delighted to further expand our relationship with China UnionPay to include this new mobile payment solution, which provides further evidence of our technological leadership and important first-mover advantage in the market. The convergence of online and offline transactions represents an exciting breakthrough in MPS technology, and one that we believe will significantly increase end-user adoption of the technology," said Mr. Qiang Li, CEO of Trunkbow. "In addition to prepayment and redemption functionality, we believe that the potential exists for additional applications to enhance the value proposition for merchants by enabling new customer engagement tools. With approximately 150,000 UnionPay POS terminals deployed in Shandong Province, this represents a sizeable launch market for the technology, particularly given Shandong's popularity as a tourist destination. We believe that this new application will be well-received by brick-and-mortar retailers and consumers and look forward to further collaboration with China UnionPay in other regions and other segments of the market."

Under the agreement, Trunkbow and China UnionPay will jointly deploy this new payment system, which supports the purchase of event and attraction tickets, as well as physical goods in a variety of retail locations. The application will enable consumers to purchase products or services via a smartphone browser or dedicated app, with proof of purchase delivered to a customer's handset in the form of a digital voucher or scannable code. The purchase is verified and completed when the subscriber inputs or scans this code on a China UnionPay Point-of-Sale terminal at the merchant location, and payment is processed through the China UnionPay clearing system at the time of redemption. Trunkbow will receive sales commission, transaction fees, as well as advertising revenue from this system and related apps.

About Trunkbow

Trunkbow International Holdings (NASDAQ: TBOW) is a leading provider of Mobile Payment Solutions ("MPS") and Mobile Value Added Solutions ("MVAS") in PRC. Trunkbow's solutions enable the telecom operators to offer their subscribers access to unique mobile applications, innovative tools, value-added services that create a superior mobile experience, and as a result generate higher average revenue per user and reduce subscriber churn. Since its inception in 2001, Trunkbow has established a proven track record of innovation, and has developed a significant market presence in both the Mobile Value Added and Mobile Payment solutions markets. Trunkbow supplies to all three Chinese mobile telecom operators, as well as re-sellers, in several provinces of China. For additional information please visit http://www.trunkbow.com

Safe Harbor Statement

This press release contains forward-looking statements that reflect the Company's current expectations and views of future events that involve known and unknown risks, uncertainties and other factors that may cause its actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such forward looking statements involve known and unknown risks and uncertainties, including but not limited to uncertainties relating to the Company's relationship with China's major telecom carriers and its resellers, competition from domestic and international companies, changes in technology, contributions from revenue sharing plans and general economic conditions. The Company has based these forward-looking statements largely on its current expectations and projections about future events and financial trends that it believes may affect its financial condition, results of operations, business strategy and financial needs. You should understand that the Company's actual future results may be materially different from and worse than what the Company expects. Information regarding these risks, uncertainties and other factors is included in the Company's annual report on Form 10-K and other filings with the SEC.