SOURCE: Guanwei Recycling Corp.

October 14, 2010 12:35 ET

Guanwei Recycling Reports Sales Gain in Third Quarter on Pace With Expectations; Reiterates Confidence in Full Year Growth Outlook

Company Also Announces New German Supplier

FUQING CITY, CHINA--(Marketwire - October 14, 2010) -   Guanwei Recycling Corp. (NASDAQ: GPRC), China's leading clean tech manufacturer of recycled low density polyethylene (LDPE), announced today that in its third quarter ended September 30, 2010, the Company sold more than 12,000 tons of recycled LDPE, up strongly from the 8501 tons produced and sold in the second quarter this year. The Company noted that third quarter production was achieved with approximately 15,000 tons of imported plastic waste.

"With sales through the first nine months of 2010 of approximately 30,000 tons of recycled LDPE and continuing favorable market conditions," stated Mr. Chen Min, Chairman and CEO of the Company, "we are quite confident we will reach or exceed full year sales of 42,000 tons, the high end of our prior growth forecast." 

The Company anticipates reporting 2010 third quarter and nine month results on or prior to November 15th.

New German Supplier

The Company also announced it recently signed a 6000 ton plastic waste supply agreement with OTTO Dormer in Germany, which it anticipates is the first step in the development of a long term procurement arrangement with this supplier.

"The development and expansion of our imported raw material supply chain remains a major focus of our efforts," stated Mr. Chen, "and we are very pleased to add the new relationship with OTTO Dormer."

Description of Guanwei Recycling Corp.

Guanwei Recycling Corp. is China's largest manufacturer of recycled low density polyethylene (LDPE). Adhering to the highest "green" standards, it has generated rapid growth producing LDPE from plastic waste procured mostly in Europe for sales to more than 300 customers in ten different industries in China. Guanwei Recycling Corp. is one of the few plastic recyclers in China that has been audited by TÜV Rheinland Cert GmbH for compliance with German pollution and environmental standards, which allows the company to procure high quality plastic waste directly from Germany and other European countries (Spain and Holland), with no middlemen, and permits highly economic production of the highest grades of LDPE. Additional information regarding Guanwei Recycling Corp. is available at www.guanweirecycling.com.

Information Regarding Forward-Looking Statements

Except for historical information contained herein, the statements in this press release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause our actual results in future periods to differ materially from forecasted results. These risks and uncertainties include, among other things, product demand, market competition, and risks inherent in our operations. These and other risks are described in our filings with the U.S. Securities and Exchange Commission.

Contact Information