SOURCE: Winland Online Shipping Holdings Corp.

November 10, 2010 08:00 ET

Winland Online Shipping Reports a 62.7% Increase in Third Quarter Revenues Coupled With a Strong Profit Improvement

HONG KONG--(Marketwire - November 10, 2010) - Winland Online Shipping Holdings Corporation (OTCBB: WLOL), a global shipping Company which also owns and operates China's largest shipping portal "Shipping Online" (www.sol.com.cn), announced today that the strong performance of its dry bulk shipping operations was the key contributor to a 62.7% year over year increase in revenues in its third quarter ended September 30, 2010.

The Company reported revenues in the 2010 third quarter increased $7,424,627 to $19,266,245 compared with $11,841,798 in the same period in the prior year. Net income in the 2010 third quarter rose to $1,583,484 compared to a loss of ($1,169,993) in the same quarter last year.

In the first nine months of 2010, revenues grew 52% to $55,266,164 compared with $36,368,521 in the same period a year ago. Net income in the 2010 nine month period increased to $6,205,294, compared with a loss of ($5,326,597) in the same period in 2009.

According to the Company, the increase in its dry bulk shipping segment in the third quarter was driven by the acquisition of a new vessel on September 25, 2009, and the utilization of a new vessel the Company chartered from a third party in May, 2010. The Company also reported continuing growth of its online portal in the period, as global shipping activity continued to improve.

Ms. Xue Ying, CEO of Winland, stated, "The Company is pleased to report another strong quarter, benefitting from our decisions in prior periods to increase shipping capacity. Looking ahead, we believe the acquisitions we made in the previous quarter of two vessels currently under construction will provide further opportunity for future revenue increases as the world economy continues to recover."

She added, "As we continue to focus on ways to improve and develop our business through the opportune acquisitions of vessels to increase our capacity, we also remain focused on further development of our 'Shipping Online' portal, which we continue to see as a key element in our future success."

Description of Winland Online Shipping Holdings Corporation

Winland Online Shipping Holdings Corporation is a global shipping company with a fleet of Company-owned vessels, mainly in the handysize and MPP (Multi-Purpose Vessel) category, engaged in international bulk cargo transportation. The Company also owns and operates "Shipping Online" -- www.sol.com.cn -- which is China's largest shipping industry portal. Helping to transform the shipping industry in China, the site functions as not just an information provider, but as a business platform, providing on-line and off-line international shipping and logistics services, such as bulk cargo chartering, container booking, shipping agents, ship trading and building, spare parts supplies, crew recruitment as well as shipping news and data.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995:

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current expectations or beliefs, including, but not limited to, statements concerning the Company's operations, financial performance and condition. For this purpose, statements that are not statements of historical fact may be deemed to be forward-looking statements. The Company cautions that these statements by their nature involve risks and uncertainties, and actual results may differ materially depending on a variety of important factors, including, but not limited to, the impact of competitive services and products, pricing and new technology; changes in customer preferences and effectiveness of marketing; changes in laws and regulations; fluctuations in costs of doing business, and other factors as those discussed in the Company's reports filed with the Securities and Exchange Commission from time to time. In addition, the company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.

No securities regulatory authority has either approved or disapproved the contents of this news release.

SEE TABLE BELOW

               WINLAND ONLINE SHIPPING HOLDINGS CORPORATION
                             AND SUBSIDIARIES
                   CONDENSED CONSOLIDATED STATEMENTS OF
              INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS)
                                (UNAUDITED)

                           Three Months Ended         Nine Months Ended
                              September 30,             September 30,
                        ------------------------  ------------------------
                            2010         2009         2010         2009
                        -----------  -----------  -----------  -----------
REVENUES                $19,266,425  $11,841,798  $55,266,164  $36,368,521

COSTS AND EXPENSES
Vessel operating costs   14,249,245    9,586,920   38,276,906   30,757,559
Service costs               810,878      505,173    2,363,173    2,488,842
Depreciation and
 amortization             1,538,447    1,770,878    4,955,766    5,513,270
General and
 administrative
 expenses                   784,194      748,348    2,279,115    2,057,126
Selling expenses             81,219       88,907      262,553      253,064
                        -----------  -----------  -----------  -----------
TOTAL COSTS AND
 EXPENSES                17,463,983   12,700,226   48,137,513   41,069,861

OTHER EXPENSES

Interest expense, net      (336,148)     (43,478)    (998,546)    (131,978)
Other income (expense),
 net                        125,577     (149,229)     100,720     (218,667)
                        -----------  -----------  -----------  -----------

INCOME (LOSS) FROM
 OPERATIONS BEFORE
 INCOME TAXES             1,591,871   (1,051,135)   6,230,825   (5,051,985)

INCOME TAX EXPENSE           (8,387)     (16,049)     (25,531)     (49,060)
                        -----------  -----------  -----------  -----------

INCOME (LOSS) FROM
 CONTINUING OPERATIONS    1,583,484   (1,067,184)   6,205,294   (5,101,045)
                        -----------  -----------  -----------  -----------

DISCONTINUED OPERATION

Gain from disposition
 of discontinued
 operation                        -        5,195            -        5,195
Loss from discontinued
 operation                        -     (108,004)           -     (230,747)
                        -----------  -----------  -----------  -----------

NET LOSS FROM DISCONTINUED
 OPERATION                        -     (102,809)           -     (225,552)
                        -----------  -----------  -----------  -----------

NET INCOME (LOSS)         1,583,484   (1,169,993)   6,205,294   (5,326,597)
                        -----------  -----------  -----------  -----------

OTHER COMPREHENSIVE
 INCOME

Foreign currency
 translation gain
 (loss)                      49,310        3,863       68,349      (41,635)
                        -----------  -----------  -----------  -----------

COMPREHENSIVE INCOME
 (LOSS)                 $ 1,632,794  $(1,166,130) $ 6,273,643  $(5,368,232)

WEIGHTED AVERAGE SHARES
 OUTSTANDING, BASIC AND
 DILUTED                130,000,000  130,000,000  130,000,000  130,000,000

NET INCOME (LOSS) PER
 SHARE, BASIC AND
 DILUTED                $      0.01  $     (0.01) $      0.05  $     (0.04)
                        ===========  ===========  ===========  ===========

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