SOURCE: China 3C Group

September 19, 2006 08:30 ET

China 3C Group Opens New Retail Store in Taizhou City

ZHEJIANG, CHINA, -- (MARKET WIRE) -- September 19, 2006 -- China 3C Group (OTCBB: CHCG), the parent company of Zhejiang Yong Xin Digital Technology Co., Ltd., today announced that the Company has signed a joint venture agreement with Taizhou Modern Shopping Center in Taizhou City in the southeastern Zhejiang Province.

Under the terms of the agreement, China 3C Group will establish an independent 3,000 square foot retail store in Taizhou Modern Shopping Center to sell 3C products. Taizhou City has a total population of approximately 900,000 people and per capita consumption level of US$1,500. Taizhou Modern Shopping Center has a total business area of 500,000 square feet and a daily visitor flow of 80,000 people. It is the largest shopping mall in Taizhou City and includes shopping, leisure, entertainment and restaurants.

Mr. Zhenggang Wang, Chief Executive Officer of China 3C, stated, "Our expansion to Taizhou City will further strengthen our sales network in Zhejiang Province and improve our competitive edge. This new retail store is expected to provide China 3C Group with annual revenues of approximately $1.25 million. We expect to continue our retail store expansion through the acquisition of retail stores with strong core competencies."

About China 3C Group

China 3C Group is a leading retail chain operating over 600 independent stores in Eastern China. The Company specializes in selling 3C products (communication products, information technology products, and digital products) in China through its subsidiary Zhejiang Yong Xin Digital Technology Co., Ltd. Among China 3C's primary attributes is its efficient distribution network and rapid logistics system. The Company's goal is to become the number one retailer of 3C products in China.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995.

This news release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. Our actual results may differ materially and adversely from those expressed in any forward-looking statements as a result of various factors and uncertainties, including the recent economic slow down affecting technology companies, our ability to successfully develop products, rapid technological change in our markets, changes in demand for our future products, legislative, regulatory and competitive developments and general economic conditions. Our Annual Report on Form 10-KSB, recent and forthcoming Quarterly Reports on Form 10-QSB, recent Current Reports on Forms 8-K and 8-K/A, and other SEC filings discuss some of the important risk factors that may affect our business, results of operations and financial condition. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.

Contact Information

  • At Company
    Jincheng (Jason) Yuan
    Vice President
    Tel: 201-963-6764
    Fax: 201-963-6794
    Email: Email Contact

    At Financial Relations Board
    Marilynn Meek

    Julie Tu