Eastern Communications Co., Ltd China (Mainland)

Eastern Communications Group Co. Ltd(hereinafter refer to Eastcom) is the largest listed company in the mobile communication industry in China. In 1996, Eastcom issued successfully 40 million A shares and 100 million B shares from IPO.(The company's predecessor was Hangzhou Communications Equipment Factory of Ministry of Posts and Telecommunications, which was established in 1958. In 1996, it was reshuffled into Eastern Communications Group Co. Ltd). The company is mainly engaging in providing integrated solutions of mobile telecommunication network, meanwhile, it also involves in such areas as the operation and maintenance of project network, value-added services of communication system, upstream industry of mobile communications as well as optical industry. Eastcom has successful practice in R&D, especially in mobile terminal and system products. The company possesses a national-level R&D center and mobile phone R&D center in the Silicon Valley. In the fields of R&D and production of domestic mobile phone, the company was on the top of the national industry. In February 1999, Eastcom developed and produced the first domestic GSM mobile phone EC528, which was approved by FTA of Europe. In December 1999, the company developed and produced the dual-band Chinese-language phone EL600. In 2002, the company promoted "Eastern Pearl" EG888 and "Eastern Charming" EG860 mobile phones respectively which are rapidly popularized among consumers, subsequently it promoted 16 different types of GSM/GPRS/CDMA/mobiles of high, middle and low ends in August 2002. Now, it has become the most matured manufacturer of mobile phone in the country. In 2002, Eastcom was appraised as one of the ten largest mobile phone manufacturers in domestic market. The outputs of the color-vision GSM phone and CDMA phone ranked first among all domestic brands. "Eastcom City" is the largest and most advanced manufacturing base of mobile phone in China. Up to now, there are 7 SMT production lines which have an monthly production capacity of 240 thousand mobile phones, and 7 installation& test lines of back-end with an monthly production capacity of 600 thousand GSM/GPRS mobile phones and 200 thousand of CDMA handsets. Targeting the yearly scale of 50 million in 2005, the company's Terminal Manufacturing Dept will further enlarge production scale of mobile phone. Among these, there are 30 million "Eastcom" brand mobile phones and the remainder of 20 million will be produced by it as OEM. Eastcom's marketing is very powerful and its nationwide sales networks are sound, including 13 agencies,33 subsidiaries,250 terminal sales networks and 50 maintenance centers. Its business has extended to most part of China. Nowadays, "Eastcom" has already become a well-known domestic mobile phone brand and the sales volume of "Eastcom" brand mobile phone was ranked the 3rd due to its good occupation ratio over domestic markets. The company has successfully promoted its terminal and system infrastructure into Hongkong and overseas markets, besides China mainland markets. In the early 90's, Eastcom successfully partnered with Motorola and formally signed the contract of technology introduction of initial cell phone with the company, subsequently, the first world-class mobile phone production line in China was set up in Hangzhou in December 1990. In July 1991, Eastcom signed second contract of cell phone. The joint venture, which was set up by the contracting two parties, has exported 2.6 million mobile phones and made profits of USD 3 billion in foreign currency. Eastcom has established strategic cooperation relationship with industrial giants, such as TI, LG, LUCENT, SAMSUNG,3COM, CA and INTERWAVE and MOTORALA, which are engaging in the field of R& D of handset technology,3G new products, data communications, communication network software and integrated BSS.