ATLANTA, May 26, 2011 /PRNewswire/ -- East Coast Diversified Corporation (OTC.BB: ECDC), through its subsidiary EarthSearch Communications, Inc., announced that it has signed a Letter of Intent with Chinese GPS service company ZST Digital Networks (NasdaqGM: ZSTN) to offer its LogiBoxx integrated GPS and RFID solution in the Greater China market.  

In the agreement executed at ZSTN headquarters on May 25th, the LOI will allow ZSTN exclusive distribution rights to EarthSearch technology. ZSTN will be able to offer services with wireless communication between GPS and RFID interrogators. The technology offers various industry applications including oil tanker and oil pipeline monitoring in addition to real time item level tracking and real-time visibility of numerous logistic operations. Both Companies agree to a six months development period for implementation and training of ZSTN staff before launching operations. EarthSearch engineers will also assist in the development of a new General User Interface (GUI) to fit the local Chinese market as well as training on understanding how the hardware is implemented for different applications.

As part of the agreement, ZSTN will commit to minimum quarterly purchases that should meet an annual delivery of $5ml US dollars worth of products and services from EarthSearch.  

"We are very pleased with our discussions with ZSTN and the direction of the relationship. We are not ready for either a merger or acquisition at this time as we feel our company has yet to reach its full potential valuation, so this agreement gives us what we feel is appropriate at the moment. Access to the fastest growing market in the world and with a partner that has the necessary contact within the government, in a market where having those contacts is critical to success or failure," said ECDC Chairman and CEO, Kayode Aladesuyi,

"I had the opportunity to meet with some Chinese officials in the Henan Province, introduced to us by ZSTN executives. I had the opportunity to describe our technology, how it works and how it can change the way they manage services, operation and staff. The reaction and comments were quite encouraging for our relationship with ZSTN. We expect ZSTN will begin the process of expanding its distribution network beyond the Henan Province," Mr. Aladesuyi further stated.

EarthSearch's CEO continues his visits to other Southeast Asian countries visiting Malaysia and Singapore in an effort to continue expansion of its product and technology sale into the region.

For partners, system analysts, or supply chain managers wishing to see how Logiboxx may assist you in optimizing your supply chain management, or critical infrastructure monitoring, please email us for a brochure at businesssolutions@earthsearch.us

About EarthSearch Communications

EarthSearch Communications, an ECDC Company (OTC.BB: ECDC), is a US-based business whose flagship product, LogiBoxx™, integrates GPS and RFID at the hardware level. When combined with its proprietary Global Asset Tracking and Identification System (GATIS) middleware, LogiBoxx and GATIS become the centerpieces of a LogiBoxx Certified Solution. An unprecedented business decision-making tool, a LogiBoxx Certified Solution offers continuous visibility within the Supply Chain, Logistics, and Asset Management and Control industries. Along with its integrated, patent-pending GPS and RFID technologies, EarthSearch also offers a complete line of innovative RFID solutions. Its expertise with GPS and RFID technologies, combined with exceptional support and service facilities, distinguishes EarthSearch as a leading manufacturer and supplier of real-time location solutions in the marketplace. For more information on East Coast Diversified, visit www.eastcoastdiversified.com or  EarthSearch at: www.earthsearch.us

About ZST Digital Networks, Inc.

ZST Digital Networks, Inc. (Nasdaq:ZSTN) is a China-based company, principally engaged in (1) supplying digital and optical network equipment and providing installation services to cable system operators in China and (2) providing GPS location and tracking services to local logistics and transportation companies in China.  The Company has developed a line of IPTV devices that are used to provide bundled cable television, Internet and telephone services to residential and commercial customers.  The Company has assisted in the installation and construction of over 400 local cable networks in more than 90 municipal districts, counties, townships, and enterprises. The Company has also launched a commercial line of vehicle tracking devices utilizing our GPS tracking technologies and support services for transport-related enterprises to track, monitor and optimize their businesses.  For more information about ZST Digital Networks, Inc., please visit www.zstdigital.com/english.  

"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: The statements contained in this release which are not historical facts are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by forward-looking statements. These risks and uncertainties include the Company's entry into new commercial businesses, the risk of obtaining financing, recruiting and retaining qualified personnel, and other risks described in the Company's Securities and Exchange Commission filings. The forward-looking statements in this press release speak only as of the date hereof, and the Company disclaims any obligation to provide updates, revisions or amendments to any forward-looking statement to reflect changes in the Company's expectations or future events.

Editorial Contacts

Glenn Davis

EarthSearch Communications, an ECDC Company

+1 770-953-4184

+866-503-9316

investorrelations@earthsearch.us

SOURCE East Coast Diversified Corporation

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