WEIFANG, China, Dec. 22 /PRNewswire-Asia/ -- Yuhe International Inc. (Nasdaq: YUII) ("Yuhe" or "the Company"), a leading supplier of day-old chickens raised for meat production, or broilers, in the People's Republic of China ("PRC"), today announced that the Company completed the construction of a new breeder farm, bringing Yuhe's total number of breeder farms to fourteen.
The new breeder farm covers an area of 142 acres. From the local government, Yuhe acquired the land use rights for 50 years for a total of RMB 14.2 million (USD $2.1 million). Yuhe intends to add approximately 55,000 sets of parent breeders to the new breeder farm on or before December 30, 2009, which will increase the company's total capacity of parent breeders to 1,205,000 sets.
There are three additional new breeder farms under construction, one of which is expected to start operation after mid January 2010, with the other two to be completed by March 2010. In addition, Yuhe plans to introduce a new hatchery with 40 sets of hatchers by February 2010.
"Our new breeder farms will allow us to further expand production of day-old broilers in order to meet China's growing demand for chicken," said Mr. Zhentao Gao, CEO of Yuhe. "As with our existing facilities, these farms will use sophisticated imported equipment and employ our high-quality production methods. We are confident that these facilities will come online as planned and enable us to achieve our 2010 production target of 150 million day-old broilers."
About Yuhe International, Inc.
Founded in 1996, Yuhe is the second largest day-old broiler breeder in China. The Company's main operations involve breeding, as all broilers are sold within a day of hatching. With headquarters in Weifang, Shandong province, the Company has modern facilities and is led by an experienced team which includes experts in chicken breeding, disease prevention and animal husbandry science. Yuhe has two operational subsidiaries, Weifang Yuhe Poultry Co. Ltd. and Weifang Taihong Feed Co. Ltd. which largely supplies the Company's internal demand for chicken feed. Currently, 90% of the Company's sales of day-old broilers are in Shandong province through 28 local agents there. There are 10 other sales agents in adjacent provinces. The Company has imported state-of-the-art equipment from the United States, Germany and Japan and has passed ISO9001 certification, allowing it to adhere to international standards of operation. For more information on the Company and its products, please visit http://www.yuhepoultry.com .
Cautionary Statement
This press release contains forward-looking statements concerning the Company's business, products and financial results. The Company's actual results may differ materially from those anticipated in the forward-looking statements depending on a number of risk factors including, but not limited to, the following: general economic and business conditions, development, shipment, market acceptance, additional competition from existing and new competitors, changes in technology, and various other factors beyond the Company's control. All forward-looking statements are expressly qualified in their entirety by this Cautionary Statement and the risk factors detailed in the Company's reports filed with the Securities and Exchange Commission. The Company undertakes no duty to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.
For more information, please contact:
Yuhe International, Inc.
Mr. Vincent Hu, CFO
Phone: +86-536-7300-667
Email: vincent.hu@yuhepoultry.com
Mr. Jason Wang, Director of Investor Relations
Phone: +1-765-409-1844
Email: jason.wang@yuhepoultry.com
Web: http://www.yuhepoultry.com
CCG Investor Relations Inc.
Mr. Crocker Coulson, President
Phone: +1-646-213-1915 (New York)
Email: crocker.coulson@ccgir.com
Web: http://www.ccgirasia.com
