SOURCE: SORL Auto Parts, Inc.

November 22, 2005 16:17 ET

SORL Auto Parts, Inc. Signs 21 Letters of Intent to Supply Truck Brake Components Generating Revenue of $2 Million

SORL Signs a Total of 49 Letters of Intent in the Past Month

ZHEJIANG, CHINA -- (MARKET WIRE) -- November 22, 2005 -- SORL Auto Parts, Inc. (OTC BB: SAUP), a manufacturer and distributor of automotive air brake valves and hydraulic brake valves primarily for the commercial vehicle market, announced today that it has signed 21 letters of intent with new European customers. Under the terms of the letters of intent, SORL will supply truck brake products to its new European customers from December 2005 through March 2006, and anticipates generating $2 million in revenue.

The 21 letters of intent were signed during SORL's attendance at the Equip Auto 2005 trade show in Paris, France, from October 13 through October 18, 2005, bringing the total number of letters of intent signed in October 2005 to 49. Pursuant to the terms of these additional 21 letters of intent, SORL will supply various truck brake components made up of more than 500 SORL manufactured products to many new aftermarket customers located in Europe.

"We are very pleased with the execution of the 49 letters of intent signed in October 2005. In total, we anticipate that these letters of intent will generate approximately $25 million in revenue over the next five years and significantly increase our worldwide market share," stated Xiaoping Zhang, Chairman and Chief Executive Officer of SORL.

About SORL Auto Parts, Inc.

As China's leading manufacturer and distributor of automotive air brake valves and hydraulic brake valves, SORL Auto Parts ranks first in market share in the market for commercial vehicles weighing more than three tons, such as trucks, vans and buses. The Company distributes products both in China and internationally under SORL trademarks. SORL is rated as one of the top 100 auto component suppliers in China, with a product range that includes 36 types of brake valves with over 800 different specifications. The Company has three international sales centers in Australia, UAE, and the United States, with additional offices slated for opening in other locations in the near future.

FORWARD-LOOKING STATEMENTS

The information contained herein includes forward-looking statements. These statements relate to future events or to our future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects our current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. The safe harbor for forward-looking statements contained in the Securities Litigation Reform Act of 1995 protects companies from liability for their forward-looking statements if they comply with the requirements of the Act.

Contact Information

  • Contact:
    Pamela A. Solly
    Keating After Market Support, LLC
    Greenwood Village, CO
    Toll Free Number: +1 (800) 959-SORL
    ps@keatinginvestments.com