China Green Material Technologies, Inc. Wins a Supply Contract for up to $6.0 Million with Zhengzhou Synear Food Co., Ltd.

USA - English

• USA - English
• USA - English

HARBIN, China, Feb. 11 /PRNewswire-Asia/ -- China Green Material Technologies, Inc. (OTC Bulletin Board: CAGM; "CAGM" or "the Company"), a Chinese leader in developing and manufacturing starch-based biodegradable fast-moving consumer goods packaging, today announced that the Company was awarded a contract by Zhengzhou Synear Food Co., Ltd. to supply Synear with packaging containers for its frozen food products. Under the terms of the agreement, Synear will source up to US$6.0 million of products from CAGM during 2010. Gross margins associated with this contract are expected to be similar to the Company's existing margins.

Established in 1997, Zhengzhou Synear Food Co., Ltd. is one of the leading producers of frozen food products in China, with extensive sales and distribution networks in more than 20 provinces. The Company's products, including dumplings, buns, noodles, and pies, etc., are sold in retail stores, convenience shops and supermarket chains all over China. Synear brand was voted as one of "China's Top 500 Most Valuable Brands" for five consecutive years from 2004 to 2008. Synear was also ranked No. 27 out of 50 companies listed in the 2008 "China's Top Brands Awards" by World Brand Lab in December 2008 and was selected as the exclusive supplier of frozen food products to the Beijing 2008 Olympic Games. Synear is listed on the Singapore Exchange Main Board under SYNF SP.

Mr. Su Zhonghao, CEO of CAGM, commented, "We are pleased to have been chosen as the winner of this large Synear contract. Last year, we supplied only $73,000 worth of goods to the Company and this year, we are pleased to have secured one of the largest orders since inception. Our starch-based biodegradable tableware products have passed rigorous food safety inspections at Synear and meet its stringent quality standards. Our ability to secure a contract of this size further exemplifies our position as a trusted provider of environmentally sound products to a rapidly growing market."

About China Green Material Technologies, Inc.

Website: http://www.21cgmt.com

China Green Material Technologies, Inc. (OTCBB: CAGM) is a China-based manufacturer of starch-based biodegradable fast-moving consumer goods packaging. The Company offers various disposable tableware consumer goods, including cups, plates, bowls, knives, forks, and spoons, as well as food package and containers used at groceries and home. Headquartered in Harbin city of China, the Company currently has 128 employees. The Company has developed proprietary biodegradable food packaging materials technologies and applied for two patents.

Safe Harbor Statement

This press release contains certain statements that may include 'forward-looking statements' as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are often identified by the use of forward-looking terminology such as "believes, expects, anticipate, optimistic, intend, will" or similar expressions. Such forward-looking statements involve known and unknown risks and uncertainties that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with and available from the Securities and Exchange Commission. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

    For more information, please contact:

     Howard Gostfrand
     American Capital Ventures
     Tel:   +1-305-918-7000
     Email: [email protected]
     Web:   http://www.amcapventures.com

     Matthew Hayden
     HC International, Inc.
     Tel:   +1-760-613-3695
     Email: [email protected]
     Web:   http://www.hcinternational.net

SOURCE China Green Material Technologies, Inc.