RECAP OF REVENUES FROM DEAL WITH 15,000 CHINESE FIRMS (read below):
News June 9, 16:34 Eastern Time
CHINAMALLUSA.COM AND CHINA TOWNSHIP ENTERPRISE INVESTMENT DEVELOPMENT CORP. SIGN AGREEMENT WORTH $1.5 MILLION IN FIRST YEAR - 500 OF 15,000 Firms to Participate Initially, with Number Increasing 20% Per month -
NEW YORK, Jun 9, 1999 /PRNewswire via COMTEX/ -- ChinaMallUSA.com Inc. (OTC Bulletin Board: CHML), an e-commerce company facilitating trade between the United States and China, announced it has signed an agreement today with China Township Enterprise Investment Development Corp. (CTEIDC) specifying that CTEIDC's member firms will participate in the ChinaMallUSA.com onlinenetwork.
Under the agreement, signed today in New York by Jian Chen, president of CTEIDC, 500 member firms will join ChinaMallUSA.com's online services beginning in July 1999, and the number of participating firms will be increased by 20 percent each month. ChinaMallUSA.com will receive an initial membership fee of $500 per participant, and thus anticipates revenues from this agreement to reach more than $1.5 million within the next 12 months.
"This is a particulary important agreement for ChinaMallUSA.com," noted Max Chen, CEO. "China Township Enterprise Investment Development Corp. isa leading Chinese company and we are very excited about helping all of its 15,000 member firms increase business through e-commerce."
China Township Enterprise Investment Development Corp. headquartered in Beijing, is the only company licensed by the Chinese government to conduct investment and development business in township enterprises in China. The company currently has 15,000 member firms and, as the leading Chinese investment and development company, has a potential 30 million township company members throughtout China.
Established in 1997 for the purpose of marketing Chinese and U.S. products through the Internet, ChinaMallUSA.com is one of few companies licensed bythe Chinese Government to conduct business on the web. The company provides Internet marketing, selling, information, and web leasing, and has developed websites for e-commerce between the U.S. and China (chinamallusa.com, chinamall.net, and wholesaleglobal.com) allowing direct access to products and services by companies and consumers in both countries.
ChinaMallUSA.com has established firm relationships with strong business partners such as Beijing Urban-Rural Trade Center Co., Ltd. (BURTC), and Beijing Urban-Rural China Chem Group Co., Ltd. (BURCC), companies which havea combined total of more than 15,000 affiliated merchants and manufacturers in China, Hong Kong, and Taiwan. Both BURTC and BURCC have mandated that their member companies participate in the ChinaMallUSA.com e-commerce program. ChinaMallUSA.com receives an initial fees ranging from $500 to $1,000 and annual renewal fees averaging $500 for participation in its online e-commerce program.
A number of statements contained in this release are forward-looking statements which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve a number of risks and uncertainties, including the timely development and market acceptance of products and technologies, competitive market conditions, successful integration of acquisitions, and the ability to secure additional sources of financing. The actual results that CHML may achieve may differ materially from any forward-looking statements due to such risks anduncertainties. |
