-3x Short China Regulatory News (CHNS)

1 Jun 2007 07:01

China Shoto plc01 June 2007 Press Release 1 June 2007 China Shoto plc ("China Shoto" or "the Group") PTB manufacturing facility extension commences commercial production Further to the announcement made on 29 March 2007, China Shoto plc (AIM:CHNS), aleading Chinese producer of industrial batteries and power supply systems, ispleased to announce that 15,768 square metre extension to the Group's currentpower type battery ("PTB") manufacturing facility at its wholly owned subsidiaryJiangsu Best Power Supply Co. has commenced production ahead of schedule. Construction for the extension to the PTB manufacturing facility was due to becompleted in June with production commencing in September 2007, however due toan accelerated programme of works, the construction has been completed earlierthan anticipated. Cao Guifa, Executive Chairman of China Shoto plc, said: "We are delighted toreport that this extension to the PTB manufacturing facility has completed aheadof schedule and we believe that the increased capacity that it now providesChina Shoto will allow the Group to generate an additional 40% in revenuesrelating to the PTB product. "The extension to the facility was necessary to meet the increased demand forour power type VRLA batteries which are used for powering electric bicycles andit has increased our production levels to 24,000 units per day from 18,000." China Shoto expects the electric bicycle market in China will continue to grow.According to the latest statistics from the Jiangsu Bicycle Association, theproduction volume of the electric bicycle manufacturers in 2006 increased bymore than 78% compared to that of 2005. The Group believes that this growingdemand is generated both by the need for cheap and efficient transportation andthe desire to switch to greener alternatives. - Ends - For further information:China Shoto plcCao Guifa, Executive Chairman Tel: +44 (0) 20 7398 7700 www.chinashoto.com Seymour Pierce LimitedStuart Lane / John Depasquale Tel: +44 (0) 20 7107 8000jdp@seymourpierce.com www.seymourpierce.com Media enquiries:AbchurchHenry Harrison-Topham / Ariane Comstive Tel: +44 (0) 20 7398 7702henry.ht@abchurch-group.com www.abchurch-group.com This information is provided by RNS The company news service from the London Stock Exchange