Zhongpin to Receive RMB 37.8 million in Subsidies from China and is Awarded the 'Most Valuable Brand in China's Meat Industry 20
22 Septiembre 2009 - 6:00AM
PR Newswire (US)
New Plants in Tianjin and Changge under Construction Will Begin
Production as Scheduled CHANGGE and BEIJING, China, Sept. 22
/PRNewswire-Asia-FirstCall/ -- Zhongpin Inc. ("Zhongpin" or the
"Company", Nasdaq: HOGS), a leading meat and food processing
company in the People's Republic of China, today announced that its
pork processing plants under construction in Tianjin and Changge
have been promised subsidies by the Chinese government. China's
policies in 2009 have been encouraging meat processing companies to
further modernize and improve their products and processes. Earlier
this year, Zhongpin applied for subsidies which were approved by
China's National Development and Reform Commission for its three
new pork processing facilities. Zhongpin's two plants in Tianjin,
which are currently under construction and are scheduled to begin
initial production in the first and third quarters of 2010,
together have been promised a subsidy of RMB 20 million (about US$
2.9 million) to help support the development of the plants. Upon
the completion of all construction, the two plants will have a
total annual capacity of 136,000 metric tons for chilled, frozen,
and prepared pork products. The Chinese government also promised a
subsidy of RMB 13.8 million (about US$ 2.03 million) for Zhongpin's
new Changge plant, located in the Henan province. This plant,
currently under construction and scheduled to begin production in
the fourth quarter of 2009, will have an annual capacity of 36,000
metric tons for prepared pork products. Zhongpin was also awarded a
subsidy of RMB 4 million (about US$ 0.6 million) to support the
expansion and further improvement of its integrated production,
cold-chain logistics, and information system. In addition to being
granted these subsidies, the Company won two awards at the Fifth
International Meat Conference in Qingdao in September, 2009. At the
conference, Mr. Zhu Xianfu, Chairman of Zhongpin, spoke on the
subject of "The Application of Modern Technology to Further Upgrade
the Meat Industry." During the conference, Zhongpin received the
award as the "Most Valuable Brand in China's Meat Industry 2009."
In addition, Ms. Guo Gengrui, Director of Zhongpin's Technical
Center, won the award for "Science and Technology Innovation in
China's Meat Industry 2009." About Zhongpin Zhongpin Inc. is a meat
and food processing company that specializes in pork, pork
products, vegetables, and fruits in China. Its distribution network
in China covers 20 provinces plus Beijing, Shanghai, Tianjin, and
Chongqing and includes more than 3,000 retail outlets. Zhongpin's
export markets include the European Union and Southeast Asia. For
more information about Zhongpin, please visit Zhongpin's website at
http://www.zpfood.com/ . Safe harbor statement Certain statements
in this news release may be forward-looking statements made under
the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. Zhongpin has based its forward-looking
statements largely on its current expectations and projections
about future events and trends that it believes may affect its
business strategy, results of operations, financial condition, and
financing needs. These projections involve risks and uncertainties
that could cause actual results to differ materially from those in
the forward-looking statements, which may include but are not
limited to such factors as downturns in the Chinese economy,
unanticipated changes in product demand, any effect from the
A(H1N1) virus on Zhongpin's market or sales, interruptions in the
supply of live pigs and or raw pork, poor performance of the retail
distribution network, delivery delays, freezer facility
malfunctions, Zhongpin's ability to build and commence new
production facilities according to intended timelines, the ability
to prepare Zhongpin for growth, the ability to predict Zhongpin's
future financial performance and financing ability, changes in
regulations, and other information detailed in Zhongpin's filings
with the United States Securities and Exchange Commission. You are
urged to consider these factors carefully in evaluating Zhongpin's
forward-looking statements and are cautioned not to place undue
reliance on those forward-looking statements, which are qualified
in their entirety by this cautionary statement. All information
provided in this news release is as of the date of this release.
Zhongpin does not undertake any obligation to update any
forward-looking statement as a result of new information, future
events, or otherwise, except as required by law. For more
information, please contact: Zhongpin Inc. Mr. Sterling Song
(English and Chinese) Investor Relations Manager Tel:
+86-10-8286-1788 x101 in Beijing Email: Mr. Warren (Feng) Wang
(English and Chinese) Chief Financial Officer Tel: +86-10-8286-1788
x104 in Beijing Email: Christensen Mr. Yuanyuan Chen (English and
Chinese) Tel: +86-10-5971-2001 in Beijing Cell: +86-139-2337-7882
in Beijing Email: Mr. Tom Myers (English) Cell: +86-139-1141-3520
in Beijing Email: Ms. Kathy Li (English and Chinese) Tel:
+1-212-618-1978 in the US Email: DATASOURCE: Zhongpin Inc. CONTACT:
Zhongpin Inc. - Mr. Sterling Song (English and Chinese), Investor
Relations Manager, +86-10-8286-1788 x101 in Beijing, or ; Mr.
Warren (Feng) Wang (English and Chinese), Chief Financial Officer,
+86-10-8286-1788 x104 in Beijing, or ; Christensen - Mr. Yuanyuan
Chen (English and Chinese), +86-10-5971-2001 in Beijing, mobile,
+86-139-2337-7882 in Beijing, or ; Mr. Tom Myers (English), mobile,
+86-139-1141-3520 in Beijing, or ; Ms. Kathy Li (English and
Chinese), +1-212-618-1978 in the US, or Web Site:
http://www.zpfood.com/
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