These latest negotiations follow closely after the recent announcement from the company that it booked its largest ever order of $12.9 million in October, 2006 with the Liao Ning Water Reservoir and Water Supply. Pending what the company hopes will be a successful resolution to these latest negotiations, TTCM China anticipates adding to its backlog of orders that at the beginning of the year were in excess of $24.5 million, and has grown substantially in 2006.
The Company is advancing its business model, expanding into new regions, cultivating new relationships, and developing new markets for its products, particularly in the southern and southeastern regions of China where economic growth is on an even more rapid pace than the rest of the country. The current negotiations are with companies in the GwangXi province, with a population of 49 million, across from HaiNan Island, and in the FuJian Province, with a population of 35 million across from Taiwan. The tremendous population pressures, exacerbated by sustained economic growth and industrialization, have strained the infrastructure of the country, and these conditions are even more pronounced in the southern and southeastern provinces.
Mr. Jiqun Wang, Founder and Chairman of TTCM China, said, "The strategy of the Company is to move forward, expanding business in the southern and southeastern regions where the economic growth is even faster than the rest of the country. Once again it demonstrates clearly that there is growing demand for our high technology pipes in China, particularly to provide water to rapidly growing areas as well as the flood control systems. Because our pipes are more lightweight and cost efficient, they are suitable for large-scale project such as those in the GwangXI and FuJian Provinces. We expect to see growing momentum in 2007 and into 2008 to meet the tremendous demand for clean water delivery and flood control systems in China."