UTStarcom Wins EPON Contract to Support Smart Grid in Ningxia Province
BEIJING, Sept. 22, 2011 /PRNewswire-Asia-FirstCall/ -- UTStarcom Holdings Corp. ("UTStarcom" or "the Company") (NASDAQ: UTSI) a leading provider of interactive, IP-based network solutions in iDTV, IPTV, Internet TV and broadband for cable and telecom operators, today announced that it has won an Ethernet Passive Optical Network ("EPON") contract to strengthen Ningxia Electric Power Company's ("Ningxia Electric") integrated electric distribution system and communication platform.
Since 2010, Ningxia Electric has accelerated the construction of its integrated electric distribution system and communication platform as the Chinese government spurs the development of smart grid networks across the country. By 2012, Ningxia Electric expects the integrated electric distribution system and communication platform to be operational in five cities within Ningxia province.
"Our EPON solution enhances Ningxia Electric's distribution system and communication platform, integrating more functionality at a low cost of entry," said UTStarcom Chief Executive Officer Jack Lu. "We are encouraged by the new contract and are confident we will be able to capitalize on similar opportunities in the future as China's government continues to promote the digitalization and automation of the state grid network."
UTStarcom's EPON solution helps electric companies build high-quality and reliable communication channels. In addition, it collects data and provides optical fiber to end users to meet the various business needs of customers. The Company plans on booking this equipment-based sale in the third quarter of 2011.
About UTStarcom Holdings Corp.
UTStarcom is a leading provider of interactive, IP-based network solutions in iDTV, IPTV, Internet TV and Broadband for cable and telecom operators. The Company sells its solutions to operators in both emerging and established telecommunications and cable markets around the world. UTStarcom enables its customers to rapidly deploy revenue-generating access services using their existing infrastructure, while providing a migration path to cost-efficient, end-to-end IP networks.
Founded in 1991, listed on the NASDAQ in 2000, the Company has its operational headquarters in Beijing, China and research and development operations in China and India. For more information about UTStarcom, visit the Company's Web site at http://www.utstar.com.
About Ningxia Electric Power Company
Ningxia Electric Power Company is a wholly owned subsidiary of the State Grid Corporation. Its main businesses include building, operating and managing the grid network in Ningxia province. Ningxia Electric Power Company has 151 substations each with more than 110kV and transformer volt-ampere capacity of 31.72 million gigabit. In 2010, Ningxia Electric sold 45.5 billion Kwh of electricity.
This release includes forward-looking statements, including statements regarding the customer's intent to deploy UTStarcom's EPON products in new cities; the number of anticipated cities; and the timing of the implementation. These statements are forward-looking in nature and subject to risks and uncertainties that may cause actual results to differ materially. These risks include economic issues in the identified geographic markets; delays in product deployment; actual number of cities of implementation less than anticipated; and changes in government regulation and licensing requirements, as well as risk factors identified in its latest Annual Report on Form 10-K, 10K/A, Quarterly Reports on Form 10-Q, 6-K and Current Reports on Form 8-K, as filed with the Securities and Exchange Commission. The Company is in a period of significant transition and in the conduct of its business is exposed to additional risks as a result. All forward-looking statements included in this release are based upon information available to the Company as of the date of this release, which may change, and we assume no obligation to update any such forward-looking statement.
SOURCE UTStarcom, Inc.