SOURCE: CinTel Corp.

May 16, 2008 10:07 ET

CinTel Corporation Reports First Quarter Results

LOUISVILLE, KY--(Marketwire - May 16, 2008) - Cintel Corp. (OTCBB: CNCN), a leading semiconductor and LCD assembly manufacturer, today reported its financial results for the first quarter ended March 31, 2008.

Revenues for the quarter ended March 31, 2008 were $52,646,919, an increase of $35,949,578, or 215%, compared to $16,697,341 for the three months ended March 31, 2007. Gross Profit for the quarter was $2,140,802, an increase of $1,812,010, or 551%, compared to $328,792 for the same period last year. Net loss for the quarter was $2,595,721, an increase of $2,254,484, or 661% compared to $341,237 for the same period last year.

CinTel's President and CEO, Sang Don Kim, stated, "We are executing well on our revenue growth strategy. The increase, as compared to the first quarter of last year, represents the consolidation of revenue from Bluecomm Co., Phoenix Digital Tech Co., and our new subsidiaries acquired in May and August of 2007. We continue to invest in our manufacturing operations which should improve our operating results. We are excited about our plant expansions and production line extensions of subsidiaries which provide us not only with a new set of products and services, but are expected to allow us to enter into new markets where Cintel's market leadership offers a competitive advantage."

"With the significant strategic moves and acquisitions made in 2007 and continuing in 2008 to both add production capabilities and business opportunities, we believe Cintel is well prepared for continued growth. Our subsidiaries are led by strong and experienced management teams that focus on growing the core business which can build and maximize stockholder value," concluded Mr. Kim.

About CinTel Corp. (www.cintelcorp.com)

CinTel Corp., a technology consolidating company, is an emerging global leader in the area of semiconductors and LCD displays. CinTel has created a conglomeration of technology products to include NAND flash memory packaging, LCD assembly, semiconductor packaging and testing specialists, as well as a total solution provider for memory applications for home appliances, semiconductor and TFT-LCD application products. CinTel serves major markets especially in China, Korea and the US. Typical customers include Samsung Electronics, Hynix and Fairchild.


BALANCE SHEET:

                                                                March 31,
                                                                  2008
                                                              -------------
Assets
Current assets:
Cash                                                          $  32,839,823
Accounts receivable                                              31,150,805
Other assets                                                     79,996,989
                                                              -------------
Total current assets                                            143,987,617
Long term assets                                                190,670,014
                                                              -------------

Total assets                                                  $ 334,657,631
                                                              =============

Liabilities and Stockholders' Equity
Total liabilities                                             $ 288,047,739
Non-controlling interest                                         44,158,345
Stockholders' equity                                              2,451,547
                                                              -------------
Total liabilities and stockholders' equity                    $ 334,657,631
                                                              =============




RESULTS OF OPERATIONS:

                                                      Three months
                                                     ended March 31,
                                                --------------------------
                                                    2008          2007
                                                ------------  ------------

Sales                                           $ 52,646,919  $ 16,697,341
Cost of goods sold                                50,506,117    16,368,549
                                                ------------  ------------
Gross profit                                       2,140,802       328,792
Operating expenses
Selling, general and administrative costs          4,149,116       426,738
Depreciation and amortization expense                286,286       100,397
                                                ------------  ------------
Total operating expenses                           4,435,402       527,135
Other expenses                                    (1,503,016)     (209,803)
Income tax                                              (330)            -
Non-controlling interest                           1,202,225        66,909
                                                ------------  ------------
Net loss                                        $ (2,595,721) $   (341,237)
                                                ============  ============
Basic and diluted loss per common stock
Net loss per share - basic and diluted          $      (0.03) $      (0.00)
Weighted average common
stock outstanding                                 97,824,896    87,846,563

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