Message #17 From:
Stock News Bot Date: December 1, 2006 10:00:00 AM
CNCN News CinTel Revises Accounting Deferred Tax Credits to Reflect Shift in Business Direction
LOUISVILLE, Ky.--(BUSINESS WIRE)--CinTel Corp. (CinTel) (OTCBB: CNCN),
Korea's top Internet traffic management (ITM) solution provider,
announces that on December 1, 2006, due to the recent acquisition of
Phoenix Semiconductor and Telecommunication Suzhou (PSTS) in China, the
company, while still maintaining its support of the Internet Traffic
Management market, has refocused its core business to the Semiconductor
sector. With this switch our Board of Directors determined it prudent to
restate deferred tax accounts and refine our MD&As from the past year.
In order to present a more accurate profit picture in the future, which
will reflect the result of change in business activities not obscured by
the past operations, the Board of Directors determined to write off the
accounting tax benefits on books from Korean losses carried forward from
prior years. The adjustments resulted in increases in net losses after
taxes of $1,203,899 for the year ended December 31, 2005, $78,473 for
the three month period ended March 31, 2006, and $244,667 for the six
month period ended June 30, 2006.
Management believes this will have virtually no effect on our current
operations and will simply allow us to show an improved stature with our
anticipated net profit in the new year. Management believes we are
transforming into a player on the international semiconductor, flash
memory and LCD packaging sector that will bring improved strength to our
share holder’s positions.
CinTel’s CEO and President, Sang Don Kim says, “With
CinTel’s new acquisitions and projected income
for the coming year, we are ready to show significantly improved
financials in the coming year. With our new direction we are insuring
that our investors and the market are shown a strong and accurate
reflection of our progress.”
CinTel’s independent auditors and internal
accounting staff have reviewed and accepted these changes and recognize
that it should bring an improved picture of the company to the public
and should satisfy any concerns of those investors who review our
projections and past performance.
About Phoenix Semiconductor and Telecommunication Suzhou (PSTS) (www.psts.com.cn)
Phoenix Semiconductor and Telecom became a majority-owned subsidiary of
CinTel Corp. in October 2006. It was founded by STS Semiconductor and
Telecommunication in China in 2004 by acquiring certain parts of the
packaging production lines from Samsung Electronics Corporation's China
plant (SESS). It began mass production in 2005, and its main customer is
Samsung Electronics Corporation, the largest semiconductor manufacturer
in the world. PSTS's main products are semiconductor packaging, NAND
flash memory and LCD assembly.
While CinTel maintains its position as a leader in Internet Traffic
Management (ITM) systems it has also begun expansion into creative new
markets and worldwide distribution of Korean based technologies. With
its main headquarters in North American CinTel Corp. provides a range of
enterprise technology solutions. Founded in 1997, CinTel introduced
Korea's first dynamic server load balancer, which has now evolved into a
world-class product line. With its ever expanding solutions with key
partners and internal development has created a conglomerate of
technology products to include NAND flash memory and LCD assembly,
semiconductor packaging and testing specialists, as well as, a total
solution provider for memory application for home appliances,
semiconductor, TFT-LCD application products. CinTel's award-winning ITM
solutions are marketed to customers worldwide, enabling customers to
improve Internet and network traffic management, service levels, secure
content, user experience, and reduce server loads and bandwidth demands.
For additional information, please visit CinTel Corp’s
website.
Safe-Harbor Statement
This press release may contain statements (such as projections regarding
future performance) that are forward-looking statements as defined in
the Private Securities Litigation Reform Act of 1995. Actual results may
differ materially from those projected as a result of certain risks and
uncertainties, including but not limited to those detailed from time to
time in the Company's filings with the Securities and Exchange
Commission.
