CH Lighting International Reports First Quarter Results

Fri Feb 12, 2010 8:01am EST

* Reuters is not responsible for the content in this press release.

  JINHUA, CHINA, Feb 12 (MARKET WIRE) -- 
CH Lighting International Corporation (OTCBB: CHHN) today reported
results for its first quarter ended December 31, 2009. The Company, one
of the world's leading designers and manufacturers of a wide variety of
florescent lighting products and a leader in China in the special light
source market, said results in the period continued to be impacted, in
particular, by sluggish domestic sales stemming from the international
financial crisis and higher raw material costs for its power saving lamps.

    As reported by the Company, revenues in the first quarter ended December
31, 2010 decreased to $13,760,000 compared to $15,097,000 in the same
period last year. Net income in the 2009 first quarter declined to
$236,000, compared with net income in last year's first quarter of
$3,911,000, or $ 0.03 per share.

    First quarter domestic sales declined to $6,036,000 from $7,820,000 in the
first quarter last year. One key factor in this result was that the
Company received only one government purchasing project compared to two in
the same period in the previous year. Of note, international sales
increased slightly to $7,724,000 in this year's first quarter from
$7,277,000 in the same period last year.

    Mr. Zhao Guosong, Chairman of the Board, President and CEO of the Company,
stated, "We continue to anticipate improved results when the recent upturn
in the economy translates to improvements in our markets. While we have
managed costs to help offset lower revenues, during the quarter we
increased R&D expenditures to maintain our technology leadership and to
improve our position going forward, particularly in the area of energy
saving lighting. We believe the growth outlook for our power lamps, in
particular, remains strong, with anticipated continuing consumer interest
and government support for energy saving lighting."

    About the Company

    Based in Jinhua, China, CH Lighting International Corporation, founded in
1994, is a diversified designer, manufacturer and exporter of more than
1,000 types of fluorescent lighting and related products. It is the leader
in China in environmentally friendly special lighting products such as Air
Cleaning Lamps, Power Saving Lamps and Plant Growth, Vision Improvement
and Performance Improvement Lighting Products. Additionally, its General
Light Products, which account for approximately 8% of China's linear
fluorescent lamp manufacturing, make it the third largest manufacturer of
these products in the country. While exports of the Company's products
around the world have grown rapidly, it is increasingly focused on
domestic sales, encouraged and supported by government policies aimed at
reducing power consumption and improving the environment. Additional
product information is available at http://chlighting.com.

    "Safe Harbor" Statement under the Private Securities Litigation Reform Act
of 1995:

    This news release contains forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are based on current expectations or beliefs,
including, but not limited to, statements concerning the Company's
operations, financial performance and condition. For this purpose,
statements that are not statements of historical fact may be deemed to be
forward-looking statements. The Company cautions that these statements by
their nature involve risks and uncertainties, and actual results may
differ materially depending on a variety of important factors, including,
but not limited to, the impact of competitive products, pricing and new
technology; changes in consumer preferences and tastes; and effectiveness
of marketing; changes in laws and regulations; fluctuations in costs of
production, and other factors as those discussed in the Company's reports
filed with the U.S. Securities and Exchange Commission from. In addition,
the company disclaims any obligation to update any forward-looking
statements to reflect events or circumstances after the date hereof.

    -SEE ATTACHED TABLES-


                   CH LIGHTING INTERNATIONAL CORPORATION
               (FORMERLY SINO-BIOTICS, INC.) AND SUBSIDIARIES
   CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
     FOR THE THREE MONTHS ENDED DECEMBER 31, 2009 AND 2008 (UNAUDITED)

                                                        Three Months
                                                      Ended December 31,
                                                  ------------------------
                                                      2009         2008
                                                  -----------  -----------
(In thousands except net income per share and
 number of shares)

REVENUES                                          $    13,760  $    15,097
REVENUES FROM GOVERNMENT SUBSIDIES                      1,609        3,092
                                                  -----------  -----------
TOTAL REVENUES                                         15,369       18,189
                                                  -----------  -----------

COST OF SALES                                         (12,116)     (10,987)
                                                  -----------  -----------

GROSS PROFIT                                            3,253        7,202
                                                  -----------  -----------

Selling, marketing and distribution expenses             (618)      (1,854)
General and administrative expenses                    (1,673)      (1,227)
                                                  -----------  -----------
TOTAL OPERATION EXPENSES                               (2,291)      (3,081)
                                                  -----------  -----------

INCOME FROM OPERATIONS                                    962        4,121
                                                  -----------  -----------

Amortization of discount on notes receivable              516            -
Interest income                                           265        1,243
Interest expense                                       (1,461)      (1,088)
Other government subsidies                                 34          193
Other (expenses) income                                    (4)          10
                                                  -----------  -----------

INCOME BEFORE INCOME TAXES                                312        4,479

Income tax expense                                        (76)        (568)
                                                  -----------  -----------

NET INCOME                                                236        3,911
                                                  -----------  -----------

OTHER COMPREHENSIVE INCOME

Foreign currency translation gain, net of tax               -            3
                                                  -----------  -----------

COMPREHENSIVE INCOME                              $       236  $     3,914
                                                  ===========  ===========

NET INCOME PER SHARE ATTRIBUTABLE TO
 CONTROLLING INTEREST, BASIC AND DILUTED          $      0.00  $      0.03
                                                  ===========  ===========

WEIGHTED-AVERAGE SHARES OUTSTANDING,
 BASIC AND DILUTED                                120,000,000  120,000,000
                                                  ===========  ===========

    


CONTACTS:

     Mr. Zhao Guosong
     President, CEO
     Tel: 86 575 8212 7538
     CEO@chlighting.com

     Mr. Eric Huang
     Chief Financial Officer
     erichuang22@hotmail.com

     Ken Donenfeld
     donfgroup@aol.com
     Tel:   212-425-5700
     Fax:  646-381-9727

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