JERSEY CITY, N.J. and JINJIANG CITY, China, Feb. 8, 2011 (GLOBE NEWSWIRE) -- Pacific Bepure Industry Inc. (OTCBB:PBEP), one of China's leading domestic casual and sports footwear manufacturers with products sold under the brand name "Baopiao," a.k.a. "Bepure," announced today that it has completed the construction phase for its modernized, new production manufacturing facility in Quanzhou, Fujian Province.
The construction of the new manufacturing facility began in 2008 and cost approximately RMB 100 million (US$ 15.2 million). The facility is located in the Huinan Industrial Zone, Quanzhou, Fujian Province and has a total area of approximately 60,000 square meters (646,000 sq. feet) and floorage of approximately 30,000 square meters (323,000 sq. feet). To date, the physical plant and worker dormitories have been completed, and two new production lines have been constructed and assembled into the new facility. The new manufacturing facility, expected to commence operations on February 10, 2011, expands the Company's annual production capacity by more than 70%, or 1.5 million additional pairs of footwear.
Construction of the new facility creates an opportunity for Pacific Bepure to further expand its production capacity, support its R&D commitment, ensure the high quality of its products and meet the growing needs of its customers. Prior to the construction of this new facility in Quanzhou, Pacific Bepure had three production lines in operation with total annual capacity of about 2.1 million pairs. With the Company's domestic market expansion and increasing export demand, its existing production capacity was insufficient to meet growing world-wide aggregate demand.
"We are confident that the new manufacturing facility in Quanzhou will help drive and sustain expansion of our business while creating economies of scale and enhancing our operating efficiency that will strengthen both our top and bottom line," commented Mr. Haiting Li, President and CEO of Pacific Bepure. "Previously, we had outsourced a portion of our production to keep up with demand. This impressive and modernized facility will allow us to improve margins through over 90% internal production, maintain strict quality control, and shorten new product introduction time to further enhance our competitive market position. With China as the largest women's footwear market in the world and our strong brand recognition, we are well positioned to further accelerate our organic growth and generate significant value for shareholders."
About Pacific Bepure Industry Inc.
Pacific Bepure footwear, sold under the brand name "Baopiao" a.k.a. "Bepure," is one of the most well- known footwear manufacturers in China. The Company's four lines of "Travel Time" casual and sports shoes are targeted primarily at people aged 15 to 50 years old in China's second- and third-tier cities who appreciate comfort, style and value. The brand is especially known for its hidden height shoe technology, which makes the wearer appear taller. The products are primarily manufactured internally and sold to all provinces and autonomous regions in China except Xinjiang Autonomous Region, as well as on the Internet, through an expanding network of distributors in retail stores and other outlets and through a distributor in South America.
For more information, please visit the Company's website at .
Safe Harbor Statement
This press release may contain forward-looking statements which are based upon the current beliefs and expectations of our management, but are subject to risks and uncertainties which could cause actual results and/or the timing of events to differ materially from those set forth in the forward-looking statements, including, among others: changes in the level of consumer spending or preferences or demand for our products; disruptions in the global financial markets; increasing competition; our ability to hire and retain key personnel and our relationship with our employees; our control of competent distributors; effectively carrying out and managing our growth strategy; failure to maintain the value and image of our brand and protect our intellectual property rights; declines in comparable store sales; seasonality; costs of materials and labor; location of our facilities in the same geographic area; manufacturing, supply or distribution difficulties or disruptions; compliance with or changes in laws and regulations; costs as a result of operating as a public company; material weaknesses in internal controls; interest rate and foreign currency risks; general economic and industry conditions, and other risks as more fully detailed in our filings with the Securities and Exchange Commission ("SEC"). Our filings with the SEC are available at www.sec.gov. You are urged to consider these factors carefully in evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements which are qualified in their entirety by this cautionary statement. The forward-looking statements speak only as of the date on which they are made, and the company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances unless as required by applicable laws or regulations.
CONTACT: Company: Vicky Wu, Assistant to President Pacific Bepure Industry Inc. email@example.com Tel: 86 595 22553028 ext 804 In the U.S.: Mr. Ren Hu, Vice President Pacific Bepure Industry Inc. firstname.lastname@example.org Tel: (201) 887-0415 Investor Relations Firm: David Waldman, Vivian Huo or John Quirk Crescendo Communications, LLC PBEP@crescendo-ir.com Tel: (212) 671-1020