BURLINGTON, ON, Aug. 13 /CNW/ - IPICO Inc. (TSX-V: RFD) ("IPICO" or "the
Company") is pleased to announce that it has received the first order from its
joint-venture partner, CATS LUHAI (Beijing) Investment Co., Ltd. (CATS LUHAI)
of the People's Republic of China (see IPICO release dated April 29, 2009).
This initial order is for 2,000,000 of IPICO's newly developed secure chips
for use in the implementation and management of an integrated, RFID motor
vehicle identification and registration, route identification and toll
collection program. Driven by the impacts of China's expanding transportation
infrastructure and rapidly increasing car production, this program supports
extensive plans to upgrade and automate the 63,000 kilometer-long patchwork of
manual toll collection concessions that make up the country's existing network
of national, provincial and local highways.
IPICO's equity partner, CATS LUHAI, is a subsidiary of the China Academy
of Transportation Sciences (CATS), an agency of the Chinese national Ministry
of Transport with general responsibility for transportation planning,
transportation finance, traffic information, traffic and security,
environmental protection, transportation standards and measurement,
transportation of new technologies, new materials development and application
of modern scientific research in the fields of logistics.
The IPICO - CATS LUHAI joint venture followed a three-year long
competitive evaluation process run by CATS. The academy selected IPICO's UHF
RFID Electronic Vehicle Identification (EVI) technology over a number of
competitive offerings. IPICO's automated RFID tolling solution is being used
as the platform for the development of advanced vehicle identification and
routing solutions for China's estimated 56 million motor vehicles. The
implementation program is projected to sharply reduce operating costs, improve
revenue efficiencies, and significantly reduce the high levels of traffic
congestion and resulting pollution experienced in the country's most densely
IPICO expects to be shipping the bulk of this first order over the coming
months to enable CATS LUHAI to manufacture the specific EVI solutions needed
in China. A province-by-province rollout is scheduled to take place across the
country over the next four to five years.
Said Gord Westwater, President and CEO of IPICO, "While it has taken
three years to get here, we have developed a deep technical and functional
understanding of China's broad and complex motor vehicle RFID requirements.
Just as important, we have been extremely fortunate to have found an
exceptional JV partner committed to adopting IPICO's technology as its own
long term EVI and traffic control solution."
ABOUT IPICO Inc.: IPICO Inc. is an RFID solution supplier with operations
in Canada, USA, South Africa, Europe, Asia and Australia. IPICO produces smart
labels and tags based on the IP-X communication protocol. IPICO's low
interference readers are designed to meet regulatory requirements in many
major markets, and allow for multi-reader rollout in close proximity. IPICO's
low cost RFID products excel at long read range, fast multi-read
anti-collision and high thru-beam read-speeds of dynamic tag populations.
These products are used to optimize the management of items, people,
animals and processes within the logistic supply chain and other value chains.
For further information, go to www.ipico.com.
This news release contains certain forward-looking statements pertaining
to future anticipated projected plans, performance and developments, as well
as other statements relating to future operations and results, including,
without limitation, statements as to sales forecasts and required minimum
future revenues. Any statements in this news release that are not statements
of historical fact may be considered to be forward-looking statements. Written
words such as "may", "will", "expect", "believe", "anticipate", "estimate",
"intends", "goal", "objective", "seek", "attempt", "suggest" or variations of
these or similar words, identify forward-looking statements. These statements
by their nature are estimates of future results only. Actual results could
differ materially from those contained in the forward-looking statements and
are based on current expectations that involve substantial risks and
uncertainties, including but not limited to the failure to meet market growth,
order volume, delivery commitment or minimum revenue expectations, political
intervention, and those other risks and uncertainties detailed from time to
time in IPICO's periodic reports filed on SEDAR (www.sedar.com).
THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY
OR THE ACCURACY OF THIS RELEASE.
For further information:
For further information: Gordon Westwater, President & CEO, IPICO Inc.,
Tel: (905) 631-6310, E: firstname.lastname@example.org; Jiann Hsieh, Vice
President, IPICO North Asia, Tel. +86-13585856108, E: email@example.com