HARBIN, China, Oct. 15, 2008 (GLOBE NEWSWIRE) -- China Forestry Inc. (OTCBB:CHFY), a timber investment group in the People's Republic of China, today announced a revised business strategy to focus on acquiring forest user right certificates instead of its previously announced plans to build manufacturing facilities for wood and paper production. In conjunction with this new acquisition focus, the company has also decided to implement a more conservative timber harvesting strategy to reflect its decision to delay building timber consuming manufacturing capacity.
Commenting on the Company's revised focus on acquiring additional forest user right certificates, Mr. Yuan Tian, CEO of China Forestry Inc., stated, "Our Board of Directors has unanimously agreed that the current economic conditions create a unique opportunity for our company to grow through acquisition. Long-term, we are confident that demand for timber in China will create manufacturing opportunities for our Company."
"But given the uncertainty in the global markets for construction and furniture, the Chinese Government's emphasis on promoting sustainable forest management through land tenure reforms, and China's urbanization trends that indicate an increasing migration of owners of forest user right certificates into the cities, we feel that now is the time to focus on timber aggregation through acquisition of forest user right certificates."
"Our near-term strategy going forward will also include implementing a timber harvesting strategy to fund internal operations, namely our marketing program to acquire forest user right certificates and to utilize our U.S. listing as a vehicle to fund our acquisition strategy," said Tian.
About China Forestry Inc.:
China Forestry, Inc. (OTCBB:CHFY) is a timber investment group formed in the People's Republic of China to conform to State laws that prohibit non-PRC ownership of forest lands. The Company's strategy is to capitalize on the Central Government's decision to promote sustainable forest management through land tenure reforms that include the transferability of forest user right certificates to PRC entities. The Company's current holdings include ownership of four user right certificates representing 1,561 hectares of State forest assets in China's northeastern Heilongjiang Province, home to China's most valuable timber and one of the most distinctive temperate forests in the world due to its rare biodiversity. For more information, please visit the Company's website at: http://www.chinaforestryinc.com.
Safe Harbor Statement:
Except for historical information contained herein, the matters set forth above may be forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ from those in the forward-looking statements. Words such as ``anticipate,'' ``believe,'' ``estimate,'' ``expect,'' ``intend'' and similar expressions, as they relate to the Company or its management, identify forward-looking statements. Such forward-looking statements are based on the current beliefs of management, as well as assumptions made by and information currently available to management. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors such as the level of business and consumer spending, the amount of sales of the Company's products, the competitive environment within the industry, the ability of the Company to continue to expand its operations, the level of costs incurred in connection with the Company's expansion efforts, economic conditions in the industry and the financial strength of the Company's customers and suppliers. The Company does not undertake any obligation to update such forward-looking statements. Investors are also directed to consider all other risks and uncertainties.