CHANGSHA, China, Nov. 3 /PRNewswire-Asia-FirstCall/ -- Tongxin International Ltd. , a China-based manufacturer of engineered vehicle body structures ("EVBS") and stamped parts for the commercial automotive industry, today announced it has received provisional approval for a reduction in the Company's tax rate from the city of Changsha and the Hunan Province as a New and High Technology Enterprise in China.
As a condition of the approval, Tongxin International has entered into a 15-day waiting day period before formal recognition as a New and High Technology Enterprise in the Hunan Province. Tongxin received notification of their conditional status on October 29, 2009. So as long as their application is not challenged during the waiting period, Tongxin's enterprise tax rate will reduce to 15% from its current 25% tax rate for a three-year period beginning January 1, 2009 and ending December 31, 2011.
About Tongxin International Ltd.
Tongxin International Ltd., the largest independent supplier of EVBS in China, is capable of providing EVBS for both the commercial truck and light vehicle market segments. The Company also designs, fabricates and tests dies used in the vehicle body structure manufacturing process. EVBS consists of exterior body panels including doors, floor pans, hoods, side panels and fenders. Tongxin maintains a network of 130 customers throughout 20 provinces in China. Headquartered in Changsha, Tongxin also maintains regional manufacturing in Dali, Ziyang and Zhucheng.
FORWARD LOOKING STATEMENTS
Statements contained in this press release, which are not historical fact, constitute "Forward-Looking Statements." Actual results may differ materially due to numerous important factors that are described in Tongxin International's most recent report to the SEC on Form 6-K, which may be revised or supplemented in subsequent reports to the SEC. Such factors include, among others, the cost and timing of implementing restructuring actions, the Company's ability to generate cost savings or manufacturing efficiencies to offset or exceed contractually or competitively required price reductions or price reductions to obtain new business, conditions in the automotive industry, and certain global and regional economic conditions. Tongxin International does not intend or assume any obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.
For more information, please contact:
COMPANY:
Mr. Rudy Wilson, CEO
Tel: +1-248-593-8330
Email: rudy@txicint.com
Ms. Jackie Chang, CFO
Tel: +1-626-660-7117
China: +86-134-6755-3808
Email: jackie@txicint.com
Web: http://www.txicint.com
INVESTOR RELATIONS:
John Mattio, SVP
HC International, Inc.
Tel: +1-203-616-5144 (U.S.)
Email: john.mattio@hcinternational.net
Web: http://www.hcinternational.net
Tongxin International Ltd.
CONTACT: Mr. Rudy Wilson, CEO, +1-248-593-8330, or rudy@txicint.com, orMs. Jackie Chang, CFO, +1-626-660-7117, or China cell, +86-134-6755-3808,or jackie@txicint.com, both of Tongxin; or John Mattio, SVP of HCInternational, Inc., +1-203-616-5144 (U.S.), orjohn.mattio@hcinternational.net, for Tongxin
