China Intelligence Signs Virtualization Project Agreement with Shandong Airlines Group

JINAN, China, Aug. 17, 2011 /PRNewswire-Asia-FirstCall/ -- China Intelligence Information Systems, Inc. ("China Intelligence") (OTCBB: IICN), who offers virtualization technology application and cloud computing products in the People's Republic of China, today announced that its wholly-owned subsidiary, Jinan Yinquan Technology Co., Ltd. ("Jinan Yinquan"), has signed a full virtualization project agreement with Shandong Airlines Group.

Jinan Yinquan will implement an integrated datacenter solution for Shandong Airlines. The entire project is expected to be completed within three weeks after which Shandong Airlines will enjoy the benefits of lower operating costs including a reduced number of servers, enhanced datacenter security, higher energy savings and an environmentally friendly solution with reduced carbon emissions. This agreement marks the first within the airline industry for China Intelligence.

Mr. Kunwu Li, President and Chief Executive Officer of China Intelligence, stated, "As we continue to establish our footprint within the virtualization industry of China, our strategy is to build relationships with leading corporations within major vertical markets. To date we have built our client base within the automotive, governmental, power supply and now the airline industries. Our agreement with Shandong Airlines falls in line with this strategy. We look forward to building a lasting relationship with Shandong Airlines and assisting their company to become more operationally efficient."

For more information regarding Shandong Airlines Group please visit, http://www.shandongair.com.cn/web/shair_en/about.

About China Intelligence Information Systems, Inc.

As the leader in China's virtualization and cloud computing market, China Intelligence has developed a suite of offerings, including server consolidation, desktop virtualization and disaster tolerance and backup systems, to high-end clients in China, assisting them in flexible usage of their IT resources. China Intelligence also helps its clients establish a cloud computing platform with lower IT costs and increased computing speed up to a thousand times current capability. Furthermore, we help clients establish their datacenter management and disaster tolerance backup center on the Cloud.

China Intelligence's team of highly qualified management and experienced technical experts provides its clients with a full-range of services including consulting, products and implementation relating to datacenter integration, disaster tolerance and backup, cloud computing as well as desktop virtualization.

China Intelligence also enjoys long-term and close working relationships with partners including VMware Inc., Vizioncore and CA Technologies. As a reflection of our knowledge and expertise, we have gained some of the industry's highest partner recognition. The depth and breadth of these recognitions reflects our commitment to maximizing customers' returns on IT investment while minimizing the risk of implementing new technologies. China Intelligence has been named Infrastructure Virtualization Competency Partner of the Year at the VMware Partner Exchange 2011.

Built with perfection, usability and enterprise level features in mind, today our solutions are used by many Fortune 500 companies including State Grid Corporation of China, China Unicom, China Southern Power Grid, China Life Insurance Group, China Huaneng Group and China Power Investment Corporation

Our government expertise consists of a highly-skilled team, specializing purely in the service and supply of government departments. The team is well-versed in the challenges faced by government organizations of any size. China Intelligence is able to help these clients on virtualization of datacenters, disaster tolerance and backup as well as cloud computing. Some of our governmental clients include, State Administration of Tax and its subordinates, General Administration of Quality Supervision, Inspection and Quarantine of the People's Republic of China and its subordinates, Ministry of Industry and Information Technology of the People's Republic of China and its subordinates, National Bureau of Statistic of China and its subordinates, Ministry of Education of the People's Republic of China and its subordinates, and Ministry of Water Resources of the People's Republic of China and its subordinates.

By taking advantage of China's economic growth, support from the Government in China regarding Green IT and demand from our clients, China Intelligence may experience accelerated growth because of advantages in technology and expertise.

About Virtualization Technology

Virtualization is a method for concealing the physical attributes of computing resources to simplify the way in which other systems, applications, or users interact with them.

Virtualization is a technology that can benefit anyone who uses a computer, from IT professionals and Mac enthusiasts to commercial businesses and government organizations. Millions of people around the world use virtualization to save time, money and energy while achieving more with the computer hardware they already own. Using virtualization will also result in higher energy-savings and lower overall emissions, thereby achieving a more environmentally-friendly computing environment.

Virtualization is the inevitable choice for Green IT, and also the infrastructure software technology for cloud computing.

Virtualization can include:

• Hardware and Server Virtualization
• Network and Storage Virtualization
• Desktop Virtualization

With our virtualization solutions you can:

• Consolidate your data center and servers; reduce direct input on servers, cabinets, air conditioners and UPS powers;
• Optimize your storage system;
• Improve the manageability of your datacenter,  and lower operation and maintenance cost;
• Improve the system safety protection ability and high reliability;
• Reduce carbon emissions;
• Reduce the usage of lead acid batteries in computer rooms, which is more environment-friendly;
• Reduce desktop hosts and IT garbage; improve manageability and security of desktop;
• Improve the deployment and application of software;
• Simplify complex tests;
• Make disaster tolerance easier and simpler.

With our extensive portfolio of virtualization solutions, we can help you build a resilient infrastructure optimized for cost-effectiveness, simplified management and flexibility.

About Cloud Computing

Cloud computing is a general term for anything that involves delivering hosted services over the Internet. These services are broadly divided into three categories: Infrastructure-as-a-Service (IaaS), Platform-as-a-Service (PaaS) and Software-as-a-Service (SaaS). The name cloud computing was inspired by the cloud symbol that is often used to represent the Internet in flowcharts and diagrams.

A cloud service has three distinct characteristics that differentiate it from traditional hosting. It is sold on demand, typically by the minute or the hour; it is elastic -- a user can have as much or as little of a service as they want at any given time; and the service is fully managed by the provider (the consumer needs nothing but a personal computer and Internet access). Significant innovations in virtualization and distributed computing, as well as improved access to high-speed Internet and a weak economy, have accelerated interest in cloud computing.

Safe Harbor Statement

Certain of the statements made in the press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the use of forward-looking terminology such as "believe," "expect," "may," "will," "should," "project," "plan," "seek," "intend," or "anticipate" or the negative thereof or comparable terminology. Such statements typically involve risks and uncertainties and may include financial projections or information regarding our future plans, objectives or performance. Actual results could differ materially from the expectations reflected in such forward-looking statements as a result of a variety of factors, including the risks associated with the effect of changing economic conditions in The People's Republic of China, variations in cash flow, reliance on collaborative retail partners and on new product development, variations in new product development, risks associated with rapid technological change, and the potential of introduced or undetected flaws and defects in products, and other risk factors detailed in reports filed with the Securities and Exchange Commission from time to time.

SOURCE China Intelligence Information Systems, Inc.

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