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Subject: CHID - Powering China's $2.1 Billion Battery market - February24, 2005



 

  SmallCapReview News  
  February 24, 2005  
 

Congratulations to those subscribers that bought our last profile (NWWV), the stock is up $.27 since our introduction two days ago. Our newest profile is China Digital (CHID).


China Digital (CHID)

Powering China??™s $2.1 Billion Battery Market

'CHID announced that it will move its manufacturing operations to a new location in the Shenzhen region, providing it with 40% more production capacity. The new plant will provide E'Jenie a manufacturing area of nearly 65,000 square feet, up 50% from the 43,000 square feet at the current location.'

For the Full Profile on CHID please visit http://www.smallcapreview.com/chid.htm


CHID Investment Highlights

  • China Digital is one of the fastest growing providers of power supply components for China's large and fast growing markets in mobile phones and other products.

  • CHID has double-digit sales and earnings growth and a solid customer base in China's Shenzhen manufacturing center.

  • CHID's new line of aluminum battery shells offer improved safety, capacity and electric conductivity over older steel models. Three months after the models have been introduced, sales are soaring. 

  • Less than three years after its inception, E'Jenie has now increased its production capacity several times over, starting with one steel battery-shell line and now operating 14, as well as adding two aluminum battery-shell lines, two aluminum cap lines and 115 sets of testing equipment.

  • CHID's subsidiary E'Jenie has been profitable since its May 2002 inception, and is expected to continue being so as the primary unit of CHID. Sales are expected to rise at least 20% in 2005.

  • CHID has a strong balance sheet with $400,000 in cash and no long term debt.

  • Recently announced that it has opened its first office in the United States. The Los Angeles-based office will serve as the new center of its operations in North America. The opening of this new office is part of the Company's overall strategy to begin its penetration of the U.S. market for its battery shells and other products and to increase its exposure to the U.S. investment community.
  • Announced that it will move its manufacturing operations to a new location in the Shenzhen region, providing it with 40% more production capacity. The new plant will provide E'Jenie a manufacturing area of nearly 65,000 square feet, up 50% from the 43,000 square feet at the current location.
  • Announced its preliminary earnings for the fourth quarter and full year ended December 31, 2004. The Company expects to report strong gains in both revenues and earnings for the fourth quarter and full year.
  • The company owns its own research and development arm, which has just recently developed a proprietary technology of preventing air leaks on aluminum battery caps.

Overview 

China Digital (OTC BB: CHID), is a U.S. corporation with its business headquarters in Shenzhen, one of China's key manufacturing centers. Its primary business is the manufacture of components for batteries used in mobile phones, digital cameras, PDAs, laptop computers and other digital devices. The company has set a strategic goal of becoming the largest telecom-equipment producer, marketer and distributor in China, with a significant presence in the U.S. market as well.

With China becoming the world's manufacturing hub for cell phones and other digital mobile devices, CHID's wholly owned subsidiary E'Jenie is strategically positioned to supply vast numbers of battery shells for lithium-Ion batteries, an industry standard in today's digital world. With the E'Jenie acquisition, CHID is now a major presence in Chinese electronics manufacturing, with some 500 employees and potential to serve the worldwide market. U.S. investors are now able to gain a direct stake in a crucial part of the fast-growing market for electronic components in and outside of China.


Subsidiary

Shenzhen based E'Jenie Development Co., Ltd. was formed in May 2002 as a privately held company specializing in manufacturing and distribution of square battery shells (steel and aluminum) and aluminum battery caps for lithium-Ion batteries, the power source of today's ubiquitous digital mobile devices such as camera, MP3 players, cell phones, laptop computers and PDAs.

E'Jenie has continued to expand its operations following its November, 2004, acquisition by CHID. It has recently announced a move to new factory of 6,000 square meters (64,580 square feet), a 50% increase in production space. It now uses over 100 pieces of testing equipment and production machinery, and its highly skilled workforce now numbers over 500. The company owns its own research and development arm, which has just recently developed a proprietary technology of preventing air leaks on aluminum battery caps.


Recent News and Press Releases

China Digital Opens U.S. Headquarters

CHINA DIGITAL COMMUNICATION GROUP Files SEC form 8-K, Results of Operations, Financial Statements and Exhibits

China Digital Communication Group Increases Production Capacity by over 40% with New Plant

China Digital Communication Group Announces Preliminary Revenue and Earnings for Fourth Quarter and Full Year 2004

China Digital Communication Group Retains Investor Relations International for Expanded Shareholder Communications Effort


Disclaimer  

SmallCapReview.com feature stock reports are intended to be stock ideas, NOT recommendations. Please do your own research before investing. It is crucial that you at least look at current SEC filings and read the latest press releases. For continuing coverage of CHID, please sign up for our free newsletter, SmallCapReview.com News. Information contained in this report was extracted from current documents filed with the SEC, the company web site and other publicly available sources deemed reliable. For more information see our disclaimer section, a link of which can be found on our web site. This document contains forward-looking statements, particularly as related to the business plans of the Company, within the meaning of Section 27A of the Securities Act of 1933 and Sections 21E of the Securities Exchange Act of 1934, and are subject to the safe harbor created by these sections. Actual results may differ materially from the Company's expectations and estimates. This is an advertisement for China Digital. The purpose of this advertisement, like any advertising, is to provide coverage and awareness for the company. The information provided in this advertisement is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation or which would subject us to any registration requirement within such jurisdiction or country.

Copyright SmallCapReview.com. All rights reserved. SmallCapReview.com is not a Registered Broker/Dealer or Financial Advisor, nor do we hold ourselves out to be. All materials presented on our web site and individual reports released to the public through this web site, e-mail or any other means of transmission are not to be regarded as investment advice and are only for informative purposes. Before making a purchase or sale of any securities featured on our web site or mentioned in our reports, we strongly encourage and recommend consultation with a registered securities representative. This is not to be construed as a solicitation or recommendation to buy or sell securities. As with any stock, companies we select to profile involve a degree of investment risk and volatility. Particularly Small-Caps and OTC-BB stocks. All investors are cautioned that they may lose all or a portion of their investment if they decide to make a purchase in any of our profiled companies. Past performance of our profiled stocks is not indicative of future results. The accuracy or completeness of the information on our web site or within our reports is only as reliable as the sources they were obtained from. The profile and opinions expressed herein are expressed as of the date the profile is posted on site and are subject to change without notice. No investor should assume that reliance on the views, opinions or recommendations contained herein will produce profitable results. SmallCapReview.com may hold positions in securities mentioned herein, and may make purchases or sales in such securities featured on our web site or within our reports. In order to be in full compliance with the Securities Act  of 1933, Section 17(b), SmallCapReview.com will disclose in it's disclaimer, what, if any compensation was received for our efforts in researching, presenting and disseminating this information to our subscriber database and featuring the report on the SmallCapReview.com web site. SmallCapReview.com has been compensated ten thousand dollars by a third party for its efforts in presenting the China Digital profile on its web site and distributing it to its database of subscribers. SmallCapReview.com may decide to purchase or sell shares on a voluntary basis in the open market before, during or after the profiling period of this report. Information presented on our web site and within our reports contain "forward looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact and may be "forward looking statements." Forward looking statements are based on expectations, estimates and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through the use of words such as ???expects??™???, ???will,??? ???anticipates,??? ???estimates, ???believes,??? or that by statements indicating certain actions ???may,??? ???could,??? or ???might??? occur.

THE READER SHOULD VERIFY ALL CLAIMS AND DO THEIR OWN DUE DILIGENCE BEFORE INVESTING IN ANY SECURITIES MENTIONED. INVESTING IN SMALL CAP SECURITIES IS SPECULATIVE AND CARRIES A HIGH DEGREE OF RISK.

We encourage our readers to invest carefully and read the investor information available at the web sites of the Securities and Exchange Commission (SEC) at: http://www.sec.gov and/or the National Association of Securities Dealers (NASD) at: http://www.nasd.com . Readers can review all public filings by companies at the SEC's EDGAR page. The NASD has published information on how to invest carefully at its web site.


 
 








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