Open EC Technologies, Inc.

Open EC Technologies, Inc.

February 29, 2008 09:00 ET

Open EC Technologies, Inc. Reports Record Second Quarter, Fiscal 2008 Results With 435% Revenue Increase

NORTH VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 29, 2008) - Open EC Technologies, Inc. (the "Company") (TSX VENTURE:OCE)(PINK SHEETS:OCEIF) announced today a new sales record with sales for the second fiscal quarter, increasing 435% to $1,380,391 with EBITDA earnings, excluding non-cash stock based compensation and 2007 audit fees, of $45,920 for the period ended December 31, 2007.

Highlights of the performance during the three months ended December 31, 2007 are as follows:

- The revenues for the quarter were $1,380,391 with an EBITDA of ($90,300). Excluding the non cash stock based compensation charge of $96,220 and the audit fees of $40,000 related to fiscal year 2007, the EBITDA for the quarter was $45,920. The revenues for the six months ended December 31, 2007 were $2,666,975 with an EBITDA of $90,134. Excluding the non-cash stock based compensation and 2007 audit fees, the EBITDA for the first six months were $231,042.

- The Company's Chinese subsidiaries Headware and Jinhuaye had a record quarter with combined revenues of $1,193,492 and EBITDA of $253,350.

- Headware earned the top 3 Software Vendor Supplier Award from its major customer, Huawei Technologies ("Huawei") which leader in providing next generation telecommunications networks, and now serves 31 of the world's top 50 operators, along with over one billion users worldwide, with revenues of approximately US$ 12 billion in 2007. With this award, the Company will receive an additional 20% bonus on the contracts signed from the period of July 1, 2007 through to June 30, 2008.

- The Company closed a non-brokered private placement for 875,000 Units at $0.20 per unit for gross proceeds of $175,000. Each unit consists of one common share of the Company and one share purchase warrant.

- Headware signed a new cooperation contract with Huawei Technology and Software Company Ltd, a newly established wholly owned subsidiary of the Huawei. Huawei established this wholly owned software company as a full service software supplier to market industry specific software solutions to their world wide customer base of Telecom companies.

"We are pleased with the progress we've achieved since the Fine High acquisition." commented Mr. Martyn Armstrong, president and CEO, "This is the second consecutive quarter of record revenue growth and positive financial indicators for the company, clearly highlighting the year to date business development, revenue growth and profitable (EBIDTA) execution goals are on solidly on track for this fiscal year"

"We are excited about the rapid growth we are experiencing at the Chinese subsidiaries. Over the past quarter, we've strengthened our relationship with Huawei, one of our key customers. We expect to grow together with Huawei as it transforms the company into a full service software supplier." Added Mr. Zhongdong Zhou, Co-CEO and President of Headware.

The comparative financial statements for the three months ended December 31, 2007, along with other information, may be obtained through the Company's website at or on SEDAR at

This press release is available on the Company's official on-line Investor Relations HUB at for investor questions, answers and monitored commentary. Alternatively, investors are able to e-mail all questions and correspondence to where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.

About Open EC Technologies Inc.

Open EC Technologies, Inc. ("OCE") is a TSX Venture Exchange listed holding company specializing in the acquisition of software companies in e-business, mobile business and business to business (b2b) commerce. Our subsidiaries, SoftCare EC Solutions Inc.,, and Shenzhen Headware Software System Ltd., provide software solutions to customers throughout North America and Asia. With over 400 employees in the OpenEC Group of companies we deliver global innovative software solutions to mid market through fortune 100 companies.


Martyn A. Armstrong, President & CEO

Further information about the Company can be found on SEDAR ( or by contacting either, Mr. Martyn A. Armstrong, President & CEO of the Company or Mr. Michael (Gong) Chen, CFO and a Director of the Company.

Trading in the securities of Open EC should be considered speculative. The Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this news release.

This news release may contain forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information