BEIJING, Aug. 23, 2013 /PRNewswire/ -- Ninetowns Internet
Technology Group Company Limited (Nasdaq: NINE) ("Ninetowns" or the
"Company"), one of China's leading
providers of online solutions for international trade, announced
today that it expects its net revenues and net income to be
adversely affected by recent changes to the Catalogue of Import and
Export Commodities Subject to Inspection and Quarantine by the
Entry-Exit Inspection and Quarantine Authorities (the
"Catalogue").
On August 1, 2013, the General
Administration of Quality Supervision, Inspection and Quarantine of
the PRC announced certain changes to the Catalogue. Beginning on
August 15, 2013, 1,507 categories of
items that were originally contained in the Catalogue are no longer
subject to quality inspection prior to export, although 87
categories will still be subject to animal and plant quarantine
inspection prior to export after the change to the Catalogue.
Mr. Tommy Fork, Chief Financial
Officer of the Company, stated, "We are currently evaluating the
impact these changes could have on our business. We expect our net
revenues from sales of enterprise software and related customer
maintenance services, which represented 62.9%, 81.1% and 66.2% of
our total net revenues for 2010, 2011 and 2012, respectively, to
decrease as the market demand for our products and services, which
facilitate the processing of the required import / export
declarations and approvals for the quality inspection, decreases as
a result of these changes."
Mr. Fork further stated, "We are considering possible steps we
should take in response to these changes; however, there can be no
assurance that any solution that we pursue will be sufficient to
avoid an adverse impact."
About Ninetowns Internet Technology Group Company
Limited
Ninetowns (Nasdaq: NINE) is a leading provider of online
solutions for international trade, with its key services in
automating import / export e-filing. Ninetowns has been listed on
the NASDAQ Stock Exchange since December 2004 under the
symbol "NINE." More information can be found
at ir.ninetowns.com.
Forward-Looking Statements
Certain statements in this press release include forward-looking
statements within the meaning of the U.S. Private Securities
Litigation Reform Act of 1995. Forward-looking statements generally
can be identified by the use of forward-looking terminology, such
as "may," "will," "plan," "expect," "intend," "estimate,"
"anticipate," "believe," "project" or "continue" or the negative
thereof or other similar words. These statements are based upon the
current beliefs and expectations of the Company's management and
involve risks and uncertainties that are subject to changes based
on various factors (many of which are beyond the Company's
control), including, but not limited to, customer acceptance and
market share gains; competition from companies that have greater
financial resources; introduction of new products into the
marketplace by competitors; successful product development;
dependence on significant customers; the ability to recruit and
retain quality employees as the Company grows; and economic and
political conditions globally as well as those detailed in the
Company's filings with the Securities and Exchange Commission.
Actual results may differ materially from those discussed in, or
implied by, the forward-looking statements. The forward-looking
statements speak only as of the date of this release and the
Company assumes no duty to update them to reflect new, changing or
unanticipated events or circumstances.
Contacts:
Investor Relations (Beijing)
Daisy Wang, IR Manager
Ninetowns Internet Technology Group Company Limited
Phone: +86 (10) 6589 9904
Email: daisywang@ninetowns.com
Investor Relations (U.S.)
Mahmoud Siddig, Managing
Director
Taylor Rafferty
Phone: +1 (212) 889 4350
Email: ninetowns@taylor-rafferty.com
SOURCE Ninetowns Internet Technology Group Company Limited