China YouTV Corporation
OTC Bulletin Board : CYTV

March 12, 2008 13:18 ET

China YouTv JV Partner Signs Agreement to Jointly Promote '2007 MusicRadio' Through CnBoo

BEIJING, CHINA--(Marketwire - March 12, 2008) - China YouTV Corp. (OTCBB:CYTV), a publicly traded company that provides online video viewing services through its CnBoo web site in China, reports that its Chinese Joint Venture Partner HuaJu has signed an agreement with Beijing Global Qifu Advertising Company to jointly promote "Mengniu Suansuanru 2007 MusicRadio", the national music awards ceremony held by China national radio, on www.cnboo.com.

Per the agreement, HuaJu will provide technical services and launch a designated video webzone which will include all of the videos, pictures, posters, and photos for the event. Meanwhile, the HuaJu Net logo will be showcased on the event's exclusive official site and in related promotional materials such as posters, magazine ads, ceremony tickets, newspaper ads, etc.

As the only music event approved and organized by Chinese national media, "MusicRadio" is the number one radio show with fans all over the country. In its five-year run, "MusicRadio" has become the most successful music program in China.

"Coming on the heels of numerous agreements last year which successfully introduced our company to video audiences across China, this exciting collaboration will introduce CnBoo to another huge market - radio," stated James Wei, CEO of China YouTV Corp. "We are very pleased to design a special webzone for this event and extend our online business into a new market. All of these efforts combined will enable us to achieve our corporate strategy of becoming the top online video site in the world."

About China YouTV Corporation:

The Company signed a Definitive Agreement with HuaJu to set up a Joint Venture in China on March 16, 2007. According to the Agreement, the China YouTV Corp. owns 51% of the joint venture company and will provide the required working capital for the Joint Venture. HuaJu will be in charge of the daily operation of the Joint Venture. HuaJu has agreed to conduct its video sharing business only through the Joint Venture, and has agreed to contribute its web site, www.CnBoo.com and customer contracts to the Joint Venture.

www.CnBoo.com ("CnBoo") is the online video site belonging to the Joint Venture established by China YouTV Corp. and HuaJu. It is a video viewing site and social networking site that allows users to create their own profiles, post videos, and comment on each other's posts.

The CnBoo web site is similar to YouTube (www.YouTube.com), the No. 1 online video site in operation. Within less than 2 years, CnBoo already has over 1.2 million members and over 2 million pieces of original digital video (DV) shorts.

In order to increase membership and brand name awareness as well as moving the company towards sustained profitability, we have worked both on-line and off-line.

On-line:

1. HuaJu has signed a series of agreements to enhance its on-line content for raising brand awareness and membership.

- Travel

- launched a video site of CCTV's TV program "Exploring High and Low".

- launched value-added travel services together with ManGocity.com.

- Entertainment & Events

- Sulake Corporation Ltd. (HABBO) to host "HABBO Original DV Shorts Contest" on CnBoo;

- VVSky Broadband Media Group to acquire short video programs to feature on CnBoo;

- Beijing TaiDe Interactive Technology Co. Ltd. to cooperate on video sharing contents;

- BeiJing SiHaiDongXing Culture and Media Ltd. to develop online videos for high-speed internet users;

- Youyi Chunqiu Network Technology Ltd. Co. to promote online game "Pick" on CnBoo;

- Asia Media Group to promote "Creative Tube"-Global Awards of Chinese New Media Creative Tube Contest on CnBoo;

- Music

- Music Nation Records Company Ltd. to use its audio and video files on CnBoo;

- Shanghai Yue Sheng Information Technology Co. Ltd. to launch an exclusive music shopping channel on CnBoo;

- Beijing Da Sheng Chang Xiang Culture Broadcasting Co. Ltd. to promote an album of Chinese pop star Zhang Bo Hong on CnBoo;

- Beijing Baiyi Xingtu Culture Co. Ltd. and Beijing Bermu Culture Development Co. Ltd. to launch online streaming service on CnBoo;

- Beijing Tianyu Brothers Information Technology Co. Ltd. to enhance the online content of CnBoo's new music channel;

- Beijing Feixingzhe Records Co. Ltd. and Beijing Dasheng Xianzhi Culture Co. Ltd. to legally broadcast new songs on CnBoo's Music Channel;

- Comedy

- Bejing Megadia Company to host Humor channel on CnBoo;

- Advertising

- Unlimited Chance Technology Development Co. Ltd. to share and exchange advertising resources;

- Shen Zhou Yipin Advertising Co. Ltd. to promote CnBoo on trains.

2. The Company has signed several revenue-based contracts to move towards sustained profitability.

- 21Century Network Co.: signed a cooperation and revenue sharing agreement for "Special DV Shorts" channel on Vnet;

- TianWeiYuanChang Co.: HuaJu is entitled to 70% of the profit from online advertisements with TianWei content;

- Beijing Jiahe Interactive Network Technology Co. Ltd.: Both parties work together to launch a new category "Video House" on CnBoo. HuaJu will be entitled to 40% of revenue generated from the advertisements;

- Shanghai Vekee Advertising Co. Ltd.: signed a long-term revenue based contract to distribute advertisements on CnBoo;

Off-line:

HuaJu has signed several agreements to promote its 3G space cards as well as to increase the brand name awareness.

1. Cooperation with Gome: The Company signed a contract with Gome to use its publicizing platform to promote CnBoo and 3G digital space cards, meanwhile the Original DV contest will be hosted in Gome's selected stores during major Chinese holiday.

2. Cooperation with Z-CARD UK: The Company has been officially appointed as the first agent for Z-CARD's advertisements of major consumer sectors in Greater China.

3. Cooperation with APEPCY (AIDS Prevention Education Project for Chinese Youth): The Company was exclusively authorized by APEPCY to negotiate with media operators using LED displays with respect to the cooperation issues concerned. If the Company successfully locates media operators, all LED displays will have CnBoo's logo on them.

4. Cooperation with Cai Hua Media AD Ltd. (Cai Hua): Cai Hua authorized HuaJu to use all LED Screens located in central regions of Hangzhou, Wuhan and Shanghai to broadcast advertisements. HuaJu has made a quotation of 4 RMB per second on average to re-sell the time slot to other customers.

Recent Ranking:

The Company has shown increasing popularity as its CnBoo web sites have been ranked No.1 on Microsoft Live, No.1 on Google China, No.7 on BaiDu, No.11 on Yahoo China and No.12 on Google China when searching for keywords: "on-line video", and "on-line video sharing web sites" recently. The Company has also launched its new version for enhanced functionality.

The Company has changed its name to China YouTV this year to reflect its new business operations: the fast growing video sharing web site market in China.

Forward-looking statements

This report contains "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical facts included in this report are forward-looking statements. Forward-looking statements involve risks and uncertainties including, but not limited to, economic and political factors; developments of the Chinese and North American markets and changes in regulatory matters; our business strategies and future plans of operations; the market acceptance and amount of sales of our products and services; our historical losses; the competitive environment within the industries in which we compete; and our ability to raise additional capital, currently needed for expansion.

The Company cautions that forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements due to several important factors.

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