HONG KONG, July 12, 2004 (PRIMEZONE) -- Highway Holdings Limited (Nasdaq:HIHO) today announced it has signed a cooperative/manufacturing agreement with Berger Lahr GmbH&Co., KG, a subsidiary of Schneider Electric SA, and has already commenced manufacturing coils for Berger Lahr's induction motors. Terms were not disclosed.
"This contract with Berger Lahr reflects the ongoing success of an overall strategy implemented over the past year designed to generate increased revenues and higher margins by producing more customized and sophisticated components, subassemblies and complete assemblies with multi-production capabilities for large-scale global customers. The contract from Berger Lahr follows contracts received over the past several months from Miele and Katoh Electrical. We look forward to expanding upon this high caliber base of business," said Roland Kohl, chairman and chief executive officer.
Separately, the company said it has received new product development and tooling orders from a major OEM customer for seven new clock products, including three radio-controlled clocks. In addition, the company said it received an order for development and production of a new radio- controlled, LCD- alarm clock from another major OEM customer and has commenced product delivery. Terms were not disclosed.
About Berger Lahr
Berger Lahr offers products, systems and complete solutions for positioning and automation, supported by comprehensive consulting and engineering services - from the development stage through production and commissioning.
About Highway Holdings
Highway Holdings produces a wide variety of high-quality products for blue chip original equipment manufacturers -- from simple parts and components to sub-assemblies and finished products. It also manufactures clocks, clock movements and watches for sale under the company's own Kienzle Uhren brand name, as well as for unaffiliated companies. Additionally, Highway Holdings manufactures or produces other finished products, including single-use and 35mm cameras and certain electronic products. Highway Holdings is headquartered in Hong Kong and operates manufacturing facilities in Shenzhen province of the People's Republic of China.
Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements which involve risks and uncertainties, including but not limited to the ability of Highway Holdings to maintain and expand its relationship with Berger Lahr GmbH & Co., the uncertainty of the amount of orders placed by Braun GmbH for clock products and various economic, competitive, governmental, political and technological factors affecting the company's revenues, operations, markets, products and prices, and other factors discussed in the company's various filings with the Securities and Exchange Commission, including without limitation the Registration Statement on Form F-1, as amended (Registration No. 333-05980), and the company's annual reports on Form 20-F.