DAQING, Heilongjiang, China,
June 22, 2011
/PRNewswire-Asia-FirstCall/ -- China Nutrifruit Group
Limited (NYSE Amex: CNGL) ("China Nutrifruit" or "the
Company"), a leading producer of premium specialty fruit based
products in China ("PRC"), today
announced that the Company is currently making technological
upgrades to its glazed fruit production line in Daqing and
concentrate juice production line in Mudanjiang. The Company
expects to complete the upgrade process by July 2011. The Company also announced plans to
begin production of cherry tomato glazed fruit products and
introduce new golden berry dried fruit products in 2011.
As part of the technological upgrade process, China Nutrifruit
is currently carrying out machine maintenance activities at the
Company's glazed fruit production line in Daqing and installing
additional processing equipment at its concentrate juice production
line in Mudanjiang. The Company expects such upgrades to enhance
operational efficiency and the new processing equipment to enable
production of the Company's new golden berry dried fruit products.
Following technological and maintenance upgrades, the Company's
concentrate juice production line in Mudanjiang will be able to
produces 9,000 tons annually, up 50% from its current annual
capacity of 6,000 tons per year. There will be no change in the
total annual production capacity of the Company's glazed fruit
production line in Daqing. The Company estimates the total capital
expenditure for the technological upgrades of the glazed fruit and
concentrate juice production lines to be approximately RMB32 million (approximately $4.9 million). Management expects the upgrade
process to be completed before the production season starts in
July 2011.
"We are committed to maximizing our operational efficiency to
achieve higher productivity, improve resource and raw material
utilization and expand our product portfolio. We expect to achieve
enhanced margins as a result of the improved operational efficiency
and expanded production capacity. As we enter into the final month
leading up to this year's production season, our team is working
diligently to complete the upgrade process in a timely and
efficient manner. In addition, our marketing and research teams are
working in close coordination on the planned production of our new
cherry tomato glazed fruits and golden berry dried fruit products,
which will be launched in July 2011
with limited quantity. We expect the technological upgrades
combined with the new product introduction to favorably contribute
to our fiscal year 2012 revenue growth and profitability," said Mr.
Changjun Yu, Chairman and CEO of
China Nutrifruit.
About China Nutrifruit Group Limited
Through its subsidiaries Daqing Longheda Food Company Limited
and Daqing Senyang Fruit and Vegetable Food Technology Company
Limited, China Nutrifruit, is engaged in developing, processing,
marketing and distributing a variety of food products processed
primarily from premium specialty fruits grown in Northeast China, including golden berry, crab
apple, blueberry, seabuckthorn, blackcurrant and raspberry. Its
processing facility possesses ISO9001 and HACCP series
qualifications. Currently, the Company has established an extensive
nationwide sales and distribution network throughout 18 provinces
in China. For more information,
please visit http://www.chinanutrifruit.com .
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended (the "Exchange Act"). Such statements include, among
others, those concerning our new products, our new facility and
capacity expansion, and its expected impact on the Company's
business and financial performance, our expectations regarding the
market for our existing products and new products, our expected
financial performance and strategic and operational plans, as well
as all assumptions, expectations, predictions, intentions or
beliefs about future events. You are cautioned that any such
forward-looking statements are not guarantees of future performance
and that a number of risks and uncertainties could cause actual
results of the Company to differ materially from those anticipated,
expressed or implied in the forward-looking statements. The words
"believe," "expect," "anticipate," "project," "targets,"
"optimistic," "intend," "aim," "will" or similar expressions are
intended to identify forward-looking statements. All statements
other than statements of historical fact are statements that could
be deemed forward-looking statements. Risks and uncertainties that
could cause actual results to differ materially from those
anticipated include risks related to new and existing products; any
projections of sales, earnings, revenue, margins or other financial
items; any statements of the plans, strategies and objectives of
management for future operations; any statements regarding future
economic conditions or performance; uncertainties related to
conducting business in China; any
statements of belief or intention; any of the factors mentioned in
the "Risk Factors" section of our Annual Report on Form 10-K for
the year ended March 31, 2011, and
other risks and uncertainties mentioned in our other reports filed
with the Securities and Exchange Commission. The Company assumes no
obligation and does not intend to update any forward-looking
statements, except as required by law.
Company Contact:
|
Investor Relations Contact:
|
|
Mr. Colman Cheng, Chief
Financial Officer
|
Mr. Crocker Coulson,
President
|
|
China Nutrifruit Group
Limited
|
CCG Investor
Relations
|
|
Tel:+852 9039
8111
|
Tel: +1-646-213-1915 (NY
office)
|
|
Email: zsj@chinanutrifruit.com
|
Email: crocker.coulson@ccgir.com
|
|
Website: www.chinanutrifruit.com
|
Website: www.ccgirasia.com
|
|
|
|
|
|
Linda Salo, Account
Manager
|
|
|
Tel: +1- 646-922-0894 (NY
office)
|
|
|
Email: linda.salo@ccgir.com
|
|
|
|
SOURCE China Nutrifruit Group Limited