SOURCE: Kandi Technologies, Corp
November 12, 2009 08:00 ET
Kandi Technologies, Corp. Announces First Electric Car Sales in China; Ships 30 Modified Electric COCO Super Mini Cars to Jinhua City, China Postal Service
Company Estimates More Than 300,000 Postal Services Vehicles May Be Replaced by High Mileage, Non Polluting Electric Vehicles Under Government Program
JINHUA, CHINA--(Marketwire - November 12, 2009) - Kandi Technologies, Corp. (NASDAQ: KNDI), an
established China-based leader in the design and manufacture of all terrain
recreational vehicles and developer of the Kandi "COCO," a battery powered
two-seater low-speed vehicle for casual driving, announced today that
pursuant to the previously announced letter of intent it signed in July
with China Post in Jinhua City, it has completed the sale of 30 modified,
electric COCO hardtops to the Postal Service there. These are the
Company's first sales of its all-electric COCO super mini car in China.
A Milestone Event
"This is a milestone event for Kandi," stated Mr. Xiaoming Hu, Kandi's
Chairman and CEO, "representing the start of what we see could be a
significant ramping up of COCO electric car sales in China to the Postal
Service nationwide. They as well as other public services such as
sanitation and taxis are being strongly encouraged by government programs
to update their fleets to reduce oil and gas consumption and help clean up
Template For Future Electric China Postal Services Sales
The Company said the COCOs sold to Jinhua City China Post, with a selling
price of 51,800 RMB (US$7,587.63) per vehicle, were modified to meet the
particular needs and specifications of the Postal Service. Specifically,
the Company pointed to changes in the interior of the vehicle such as a
larger trunk and elimination of the passenger seat to permit increased
storage space. Otherwise, the vehicle is a "standard" all-electric COCO
hardtop, running on two twelve volt batteries that are fully rechargeable
in six hours and permit the super mini to travel distances up to 80 miles
at speeds up to 25 miles per hour.
Significant Market Opportunity For Kandi
The Company said it believes that with these modifications the electric
COCO will meet and exceed the needs of the China Postal Services throughout
the country which it estimates currently at more than 300,000 outdated gas
powered small trucks and bicycles that will be eligible for replacement
under direct purchase grants being developed by the government to encourage
the use of "new energy" vehicles.
"We are actively pursuing Postal Service sales with a particular focus
initially in our home province of Zhejiang and neighboring cities where we
believe we have a leg up on potential competition," Mr. Hu said, adding,
"in any case, the very substantial national public service opportunity
provides lots of room for growth for Kandi as well as other potential
manufacturers of electric or other alternative fuel cars."
About the Company
In 2008, Kandi Technologies, Corp. (NASDAQ: KNDI) generated nearly $41
million in sales and profits of about $5 million, principally from its core
All Terrain Recreational Vehicle (ATRV) businesses. The Company ranks as
one of the largest manufacturers and exporters of go-karts in China, making
it a world leader in the production of this popular recreational vehicle.
It also ranks among the leading manufacturers in China of all terrain
vehicles (ATVs), and specialized utility vehicles (UTVs), especially for
agricultural purposes. Recently, it introduced a second generation high
mileage, two seater three-wheeled motorcycle. A major company focus also
has been on the manufacture and sales of a highly economical, beautifully
designed, all-electric super mini car -- the COCO -- for neighborhood
driving and commuting. Kandi believes that battery powered, electric super
minis will become the Company's largest revenue and profit generator.
While nearly all Kandi products have been exported, including more than 65%
to the U.S., the Company is intensifying efforts to shift 50% of its sales
to China where markets have continued to be strong.
The Company's products can be viewed at http://www.kandivehicle.com. Its
corporate/ir website is http://www.chinakandi.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 Securities and Exchange Commission.