HOUSTON--(BUSINESS WIRE)--Eternal Technologies Group, Inc. (OTCBB:ETLT) held its annual
shareholder meeting in Houston, TX on October 12, 2006. The meeting was
called for the purpose of the election of directors, the ratification of
the auditors and the approval of the 2006 Stock Option Plan.
The shareholders elected the following seven directors to hold office
until the next annual meeting of shareholders or until their successors
are elected and qualified. Jijun Wu, Jiansheng Wei, Shien Zhu, Mr.
Genchang Li, Shicheng Fu, Yuguo Chang, Mika Zhang.
In addition to the election of directors, the shareholders also ratified
the appointment of Ham Langston & Brezina L.L.P as its certifying
accountants for the year ended December 31, 2006 and approved the 2006
Stock Option Plan.
In the Chairman’s presentation to the
shareholders Mr. Jijun Wu informed the audience that the results for the
3rd quarter exceeded both those of the second
quarter of 2006 as well as the third quarter of 2005. He also informed
the shareholders that because the company has been so successful in the
transfer of embryo’s in the PRC, that the
business is now declining as numerous farmers are using their own stock
(which had previously been implanted with foreign embryos) for breeding
purposes. Accordingly, the demand for embryo transfers and the pricing
is declining. As a result, the company is seeking new opportunities in
its agricultural division. These opportunities include the purchase of a
mango farm in Hainan Province as well as the purchase and development of
a turtle breeding farm. Based on preliminary projection, the company
believes that both acquisitions will be accretive to earnings.
In the technology division, Mr. Wu reported that E-Sea continues to do
well with the sale and leasing of its mammory examination equipment. He
also stated that the company is working to procure an export license to
bring this machine to the U.S. for certification by the FDA. However, as
of the date of the annual meeting the Chinese government still has not
approved the export of this technology.
Mr. Wu further stated that the Company is negotiating the acquisition of
another hi-tech company, this entity being in the streaming video
technology industry. This company is already selling its streaming video
technology in the People’s Republic of China.
Using a cellular device, the video streams onto special glasses which
display the video the on the inside frame on the glasses. This company
is located in Shenzhen, where E-Sea is also located.
Based on input from the shareholders attending the meeting, the company
has agreed to place greater emphasis on the development of its website
and to post more information on the sole on current developments in the
company. In addition, it will keep its shareholders more informed
through quarterly letters from the Chairman as well as additional
releases on the progress of the company. The company has also agreed to
examine additional ways to improve the Company’s
share price, as it does not believe that the current market place is
reflective of the true value of the company or its stock. As of
September 30, 2006, the company had approximately $1.00 per share in
cash and short-term investments and had a book value per share of $1.31.
About Eternal Technologies
Eternal is a major agricultural genetics and biopharmaceutical R&D firm
operating in China with the support of the Chinese Government. Eternal's
animal breeding division has a strong asset base, cash position and net
income. Eternal has become one of China's leading institutions for
biopharmaceutical and biotech research, pure breed cultivation and breed
stock production. The Company has secured a key market niche by
commercializing gene engineering technologies and providing superior
breeding stock, allowing China's citizens the ability to improve their
living standards. With the world's largest population, a double-digit
national growth rate and entry into the WTO, Eternal Technologies has a
playing field set for tremendous opportunity. As a prominent player in
the agricultural genetics industry, cash in the bank and an untapped
market, Eternal has the potential to become a major player in China's
national growth.
