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Consumer product leader to distribute PurCotton raw materials

02
Jul '09
Winner Medical Group Inc announced that it signed an agreement with a leading consumer products company in China to provide PurCotton rolls. Pursuant to the terms of the agreement, among others, Winner Medical will provide PurCotton raw materials, which will be processed into feminine products and then distributed throughout China by the consumer product company.

Including this deal, the PurCotton sales to customers in China, Japan, the United States, and other countries are expected to reach approximately $700,000 per month or approximately 150 tonnes per month. The first two PurCotton manufacturing lines are producing in full capacity, and the third manufacturing line is running smoothly, which is expected to gradually increase to normal production capacity in the near future. The Company is planning to purchase the fourth manufacturing line to meet the growing demand.

Mr. Jianquan Li, Chief Executive Officer, commented, "We are delighted to announce the signing of the contract as it proved the recognition of top-tier clients to the premium quality of our PurCotton products."

"This innovative, technologically-enhanced fabric offers significant advantages to synthetic nonwoven products, including eco-friendly, greater absorbency, and higher tensile strength. Furthermore, our patented advanced automation and design process reduces the average cycle time for production of the finished cloth from raw materials. We consider that this confirms the demand for PurCotton, and we believe PurCotton will give Winner Medical a strong competitive edge in the global marketplace," Mr. Li concluded.

There are signs of market demand recovery from the economic crisis. During the second quarter of fiscal 2009, PurCotton sales of the Company grew steadily. The Company has $1,108,000 in raw material sales in the second quarter of fiscal 2009, an increase of 31.43% compared with last quarter, and the management of the Company is confident about a larger increase in the coming quarters.

Winner Medical Group Inc


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