<PAGE>
Exhibit 99.1
Mr. Jeff J.F. Feng Dan Matsui/Eugene Heller
Assistant to Chairman Silverman Heller Associates
Qiao Xing Universal Telephone, Inc. 1100 Glendon Avenue, PH-1
Huizhou, Guangdong, P.R.C. Los Angeles, CA 90024-3503
http:\\www.qiaoxing.com Tel: (310) 208-2550
E-mail: [email protected] Fax: (310) 208-0931
Tel: (011) 86-752-2808-188 E-mail: [email protected]
Fax: (011) 86-752-2803-101
QIAO XING UNIVERSAL TELEPHONE, INC. SIGNS
ZHAORUI TO $4.5 MILLION DISTRIBUTION AGREEMENT,
SEES WEST CHINA POTENTIAL
HUIZHOU, CHINA (May 3, 2000) - Qiao Xing Universal Telephone, Inc. ("the
Company") NASDAQ NMS: XING) today announced a sales agreement with Zhaorui
Science Ltd., a West China electronics wholesaler, in which Zhaorui will become
the West China distributor for the Company's telephones with a first-year sales
objective of $4.5 million.
"Zhaorui Science Ltd. has an established reputation in West China, including an
excellent sales network throughout that area," Mr. Riu Lin Wu, Chairman of the
Board of Qiao Xing, commented. "During the coming years we expect to see
significant business and economic development in the western part of China and
feel those changes will create a market with very attractive growth potential.
This agreement with Zhaorui represents the first step of our West China entry
strategy."
In August 1995, Qiao Xing Universal Telephone, Inc. became the first telephone
manufacturer in China to receive the ISO 9001 Quality System Accreditation
award. The Company currently produces 165 models of corded telephones and 25
cordless models. Its sales network is extensive with 1,350 retail store
locations throughout China. Ranked #2 in telephone sales in China for 1997 and
1998, the Company achieved the #1 sales ranking for 1999.
This news release contains "forward-looking statements'' regarding future
revenues and operating information and their impact on future results. Such
forward-looking information involves import11ant risks and uncertainties that
could significantly affect anticipated results in the future and, accordingly,
actual results may differ materially from those expressed in any forward-looking
statements made by or on behalf of the company. These risks and uncertainties
include, but are not limited to, those relating to economic, political, legal
and social conditions in the People's Republic of China, dependence upon key
management personnel, competition, material factors relating to the operations
of the business, and domestic and global general economic conditions.
