Contact Information: Contact: China Crescent Enterprises, Inc. ir@chinacrescent.com 214-722-3060
China Crescent Enterprises, Inc. Achieves $66 Million Milestone in New Outsourcing Business for 2009 With Substantial PPS Increase Potential to $0.30 Suggested Fair Value Target
| Source: China Crescent Enterprises, Inc.
DALLAS, TX--(Marketwire - October 16, 2009) - October 16, 2009 - China Crescent Enterprises,
Inc. (OTCBB : CCTR ) announced yesterday that the Company has signed a letter
of intent to provide outsourcing services to Aoyuan Electronic Co. ltd in
Dalian, China, for $36 million over three years. The Company has been
marketing a new outsourcing service since the beginning of this year and
has already announced an outsourcing contract earlier this year worth $30
million with Beijing Chuangzhitongda Technology Development. The two
agreements together, equaling potentially $66 million in new sales
contracts for 2009, are a milestone achievement for China Crescent and
support the previously announced $0.30 suggested fair value target price
per share.
Additionally, this week, the Company announced that it reviewed the $30
million outsourcing agreement during the outsourcing management summit
meetings in China and received high marks from the client and news that the
total revenue value could exceed the originally anticipated $30 million.
The client's business has been enhanced as a result of the project, and
consequently, the services required from China Crescent could expand as
early as next year. Initial estimates suggest the total contract value
could increase to as high as $50 million over three years.
China Crescent is a systems integration service provider in China that
provides technology outsourcing services and sells and services brand name
technologies such as Microsoft, Oracle, Cisco, IBM, HP and Dell in addition
to selling and servicing innovative new technologies. The Company reported
over $40 million in revenue in both 2007 and 2008 and has forecasted
reporting $50 million in profitable revenue in 2009.
Outsourcing Summit Webcast Available On-Line
China Crescent has been conducting a series of meetings across four cities
in China this week in conjunction with the Company's scheduled outsourcing
management summit, primarily aimed at reviewing and developing the
Company's growing technology outsourcing business. Yesterday, China
Crescent announced the close of the summit and posted a Webcast to review
the week's highlights. A link to the Webcast titled 'China Crescent
Outsourcing Summit Review Webcast' is available at www.chinacrescent.com
under Recent Webcasts.
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Company, please visit www.chinacrescent.com.
About China Crescent Enterprises, Inc. (www.chinacrescent.com)
China Crescent Enterprises, Inc. reported over $40 million in profitable
revenue in 2008. The Company is a technology leader in the rapidly
developing Chinese market specializing today in software engineering, high
quality software development and digital multimedia outsourcing services
delivered to customers globally. At the same time, the firm is a systems
integrator and value added reseller of major global hardware brands in the
Chinese domestic market.
Headquartered in Dallas with operations in Shanghai and Beijing, China
Crescent bridges the gap between Western and Eastern business cultures to
assist Western clients in realizing the advantages of the high quality, low
cost technology products and services available from China. China Crescent
also assists Western clients in localizing products and services to realize
the tremendous growth potential available by expanding into the Chinese
Market.
"SAFE HARBOR STATEMENT" UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT
OF 1995
This press release contains forward-looking statements that involve risks
and uncertainties. The statements in this release are forward-looking
statements that are made pursuant to safe harbor provision of the Private
Securities Litigation Reform Act of 1995. Actual results, events and
performance could vary materially from those contemplated by these
forward-looking statements. These statements involve known and unknown
risks and uncertainties, which may cause China Crescent's actual results in
future periods to differ materially from results expressed or implied by
forward-looking statements. These risks and uncertainties include, among
other things, product demand and market competition. You should
independently investigate and fully understand all risks before making
investment decisions.