Business & Finance
Business and Finance
Business and Finance
Wed, September 30, 2009
Tue, September 29, 2009 China Infrastructure Investment Corporation: China Infrastructure Investment Corporation Reports Fiscal Year End Results
BEIJING--(Marketwire - September 29, 2009) - China Infrastructure Investment Corporation (
For the year, the Company reported revenues declined 10.9% to $50,270,277 from $56,424,236 in the prior fiscal year, while net income of $2,209,706 for the year decreased 82.4% from $12,534,789 in the prior fiscal year.
The Company said the lower results primarily were due to reduced toll revenue as a consequence of a decrease in traffic volume on the Pinglin Expressway. The Company noted, in particular, a reduction in coal-related commercial traffic in a recessionary period, and the loss of income from vehicles carrying food items, as the government applied a toll free policy to these vehicles. Additionally, in May 2009, the government removed tolls from certain local trunk roads, which led many short-distance drivers to choose these alternatives. As a consequence of a re-evaluation of future revenue, the Company also reported higher depreciation and amortization costs.
Mr. Li Xipeng, Chairman and CEO of the Company, commented, "While 2009 results were disappointing, we continue to believe that Henan, a key transportation destination and crossroad, and the most populated province in China, will see growing auto travel and transportation of goods as China continues to prosper. Further, awareness of the Expressway and the convenience it offers to users will continue to grow. Additionally, the Company plans to invest in the construction and purchase of additional expressways, thermoelectricity, water supply, sewage treatment facilities and other infrastructure assets in the next few years. In doing so, it intends to seize this historic opportunity of rapid development of infrastructure in China and Henan."
About China Infrastructure Investment Corporation:
China Infrastructure Investment Corporation, incorporated in Nevada, USA and headquartered in Henan Province, China, focuses on investing in, constructing, operating and managing infrastructure development projects in China. The Company currently operates the Pinglin Expressway, a 106-kilometer (66 miles) dual carriageway four-lane toll road in the central province of Henan. The Expressway is an important passage from the northwest region to the southeast coastal region of China. The Company is actively pursuing additional development opportunities in infrastructure projects, including expressways, electricity, water supply and bio fuel facilities. For more information, please visit [ www.ciicusa.com ].
"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 alternative new routes and modes of transportation, pricing and new technology; changes in consumer preferences, and effectiveness of marketing; changes in laws and regulations; fluctuations in costs of maintenance and construction, and other factors such as those discussed in the Company's reports filed with the Securities and Exchange Commission. 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.
CHINA INFRASTRUCTURE INVESTMENT CORPORATION (FORMERLY LEARNING QUEST TECHNOLOGIES, INC.) AND SUBSIDIARIES STATEMENTS OF INCOME AND COMPREHENSIVE INCOME YEARS ENDED JUNE 30, -------------- --------------- 2009 2008 -------------- --------------- REVENUES $ 50,270,277 $ 56,424,236 OPERATING COSTS 5,603,843 6,814,079 DEPRECIATION AND AMORTIZATION 12,130,615 6,483,911 -------------- --------------- GROSS PROFIT 32,535,819 43,126,246 General and administrative expenses 5,404,212 3,268,346 -------------- --------------- INCOME FROM OPERATIONS 27,131,607 39,857,900 OTHER INCOME (EXPENSES) Interest expense (34,140,068) (33,745,902) Interest income 9,400,978 9,804,866 Other income, net 676,601 905,832 -------------- --------------- INCOME FROM OPERATIONS BEFORE INCOME TAXES 3,069,118 16,822,696 INCOME TAX EXPENSE (859,412) (4,287,907) -------------- --------------- NET INCOME 2,209,706 12,534,789 -------------- --------------- OTHER COMPREHENSIVE INCOME Foreign currency translation gain 697,568 16,626,051 -------------- --------------- OTHER COMPREHENSIVE INCOME, NET 697,568 16,626,051 -------------- --------------- COMPREHENSIVE INCOME $ 2,907,274 $ 29,160,840 ============== =============== WEIGHTED AVERAGE SHARES OUTSTANDING, BASIC AND DILUTED 80,000,000 64,472,131 ============== =============== NET INCOME PER COMMON SHARE, BASIC AND DILUTED $ 0.03 $ 0.19 ============== ===============
