Telestone Announces Latest Business Progress in Russia and Middle East

BEIJING, June 19 /Xinhua-PRNewswire-FirstCall/ -- Telestone Technologies
Corporation Ltd. ("Telestone" or the "Company") (Nasdaq: TSTC), a leading
developer and provider of wireless communication coverage solutions based in
the People's Republic of China, today announced it had participated in two
international Telecom exhibitions in Russia and the Middle East in May and
made business progress in these areas.
SVYAZ-EXPOCOM exhibition held in Moscow is the most famous and important
exhibition in Russia. Through attending this exhibition, Telestone improved
brand popularity in Russia and the Commonwealth of Independent States.
Telestone not only developed a closer relationship with current clients but
also explored a bunch of partners, as well as obtained contacts with several
large local carriers, which has provided a good foundation for cooperation
with local carriers.
During the exhibition, Wang Jianjun, President of Beijing Telestone
Communication Technology Corp. Ltd, accepted an interview with IKS, the most
famous local communication magazine. IKS released this interview on their
website right after the exhibition.
Since 2005, Telestone has started to expand its business into
international markets, and has established its first representative office in
Vietnam. After that, overseas offices were gradually built in Latin America,
South Africa and Russia, and there are plans to establish the European office
by the end of 2008.
Mr. Wang commented, "The business from these representative offices
account for 10% now, and we believe that the proportion can reach up to 30% in
the end of 2008 and 50% in the same time of 2009. I am sure the revenue from
the international market will be more than that from the domestic market, and
international business will be the most important support to Telestone one
day."
Telestone intended to promote the Base Station to the Russian market
during this exhibition. Base stations of Telestone are applied to various
telecom systems such as GSM, WCDMA, CDMA1X, CDMA-EVDO. In addition, Telestone
is also promoting its Passive Products including all types of antennas, power
splitters, couplers, filters and so on.
Mr. Wang talked about the promotion plan in the Russian market, "Before
entering the market, we had delineated two directions to move forward in.
Firstly, through close cooperation with business partners, we gained a large
market share in the Russian market, and we also spent lots of effort promoting
our wireless coverage solutions; Secondly, we tried to build good and close
relationships with main carriers in Russia, providing advanced products and
solutions. For more information please refer to:
http://www.svyazexpo-online.ru/news/2197739s465887.html

MECOM 2008
After the exhibition in Moscow, on 26th May Telestone attended the second
Middle East telecom exhibition in Abuzabi (MECOM 2008), which is one of the
most influential professional exhibitions in the Middle East. Many
international companies as well as two of the biggest mobile carriers,
Etisalat and Du, attended this exhibition.
Lots of companies started to know Telestone through this exhibition. WFDS-
TM, which is one of the most advanced products and solutions, had particularly
attracted local companies' attention and positive remarks from them. Through
this exhibition, Telestone investigated the Middle East Telecom markets,
especially in the United Arab Emirates.
Telestone had already built initial cooperation intentions with many local
companies, which cleared the road of expanding to the markets of the United
Arab Emirates. In addition to the United Arab Emirates, Telestone has built a
partnership with Iranian companies and companies from other countries to
explore the local telecom markets. In particular, Iranian companies and
Telestone had already progressed to the essential bidding to get started on
the bidding together phase.
About Telestone Technologies Corporation
Telestone provides wireless communications coverage solutions primarily in
the PRC. These solutions include products such as repeaters, antennas and
radio accessories. Telestone also provides services that include project
design, project management, installation, maintenance and other after-sales
services. Telestone currently has approximately 800 employees. For more
information please visit http://www.telestone.com .
Safe Harbor Statement
Statements about the Company's future expectations, including future
revenue and earnings and all other statements in this press release, other
than historical facts, are "forward-looking" statements and are made pursuant
to the safe harbor provisions of the Private Securities Litigation Reform Act
of 1995. Such forward-looking statements involve risks and uncertainties and
are subject to change at any time. The Company's actual results could differ
materially from expected results. In reflecting subsequent events or
circumstances, the Company undertakes no obligation to update forward-looking
statements.
For further information please contact:

Telestone Technologies Corporation Ltd.
Fang Cui
Tel: +86-10-8367-0088 x1202
Email: cuifang@telestone.com

Nick Lee
Secretary of The Board
Tel: +86-10-8367-0088 x1002
Email: nickl@telestone.com

SOURCE Telestone Technologies Corporation Ltd.

Telestone Technologies Corporation Ltd. - Fang Cui, +86-10- 8367-0088 x1202,
or cuifang@telestone.com; Nick Lee, Secretary of The Board, +86-10-8367-0088
x1002, or nickl@telestone.com