FOSTER CITY, CA, United States, via ETELIGIS INC., 03/03/2015 – – Armco Metals Holdings, Inc. ("Armco Metals ") (NYSE MKT: AMCO), a distributor of imported metal ores and a steel recycler in China, provides its trading business update for the first quarter of 2015. In 2015 so far in the trading business section, its Henan Armco & Metawise Trading Co., Ltd. subsidiary ("Armco Henan") has received sales orders amounted to approximately $44 million for several kinds of wood products, and its Armco Metals International, Ltd. Subsidiary ("Armco International") entered into a sales contract valued approximately $3.6 million for certain steel product in late January. The orders in the total amount of approximately $47.6 million were received for its trading business alone and the company has received prepayment of approximately $10 million for the orders which some of them have been executed in the first quarter so far.
As disclosed previously, the company’s trading business team have been working diligently to add wood products to its trading business line by capitalizing on its over a decade experience and expertise in trading business and product sourcing as well as its excellent sales force. After extensive market and industry research and feasibility study, wood product was added to its trading business line in 2014. In 2015 Armco Metals continues to expand its trading business for the wood products. Under the terms of the wood contract described above, Henan Armco would sell several kinds of wood to its client in China with total contract value of approximately $44 million. The shipment of the cargo under the contract is to be made between February and June as per the contracts. As to the contract for certain steel product, Armco International would resell the cargo purchased in China to a client in Vietnam and the contract would be fully executed in March. The orders received and executed reflect a good start for its trading business for 2015 partially as a result of implementing its "platform model" strategy described in its previous SEC filing. In addition to its trading business, Armco metals also made some progresses in its recycling business in 2015 by continuing to implement and develop its “platform model”.
Commenting on the announcement, Kexuan Yao, Chairman and CEO of Armco Metals, stated, “We are excited about a good fresh start in our trading business as well as recycling business in 2015 .We have witnessed quick and significant increases in our wood trading business which the product was only added to our product line in September of 2014. This again demonstrated our capability and core competitive in development of new business and the ability to respond with agility to rapid changes within the marketplace. In additional to the wood business, our business development team also has made significant progresses on the exporting for steel product to overseas which is also a new business line for our trading business and just started in 2014. Management also attributed the good start in 2015 to the implementing our platform strategy in both our trading and recycling business. With the good start, management is confident that we will continue to make progress in our business development and in our recycling business with the platform strategy in 2015.”
ABOUT ARMCO METALS HOLDINGS, INC.
Armco Metals Holdings, Inc. is engaged in the sale and distribution of metal ore and non-ferrous metals throughout China and is in the recycling business in China. Armco Metals’ customers include some of the fastest growing steel producing mills and foundries throughout China. Raw materials are acquired from a global group of suppliers located in various countries, including, but not limited to, Brazil, India, Indonesia, Ukraine and the United States. Armco Metals’ product lines include ferrous and non-ferrous ore, iron ore, chrome ore, nickel ore, magnesium, copper ore, manganese ore, steel billet and recycled scrap metals. For more information about Armco Metals, please visit http://www.armcometals.com.
SAFE HARBOR STATEMENT
In connection with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Armco Metals Holdings, Inc., is hereby providing cautionary statements identifying important factors that could cause our actual results to differ materially from those projected in forward-looking statements (as defined in such act). Any statements that are not historical facts and that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance (often, but not always, indicated through the use of words or phrases such as "will likely result," "are expected to," "will continue," "is anticipated," "estimated," "intends," "plans," "believes" and "projects") are forward-looking and involve estimates and uncertainties which could cause actual results to differ materially from those expressed in the forward-looking statements. These statements include, but are not limited to, our expectations regarding our revenues and production related to our scrap metal recycling operations, pricing and demand for our product lines and the extent of government imposed energy and monetary policy restrictions and resulting blackouts and associated impact on our trading and recycling operations.
We caution that investors should not place undue reliance on any forward-looking statements herein. Further, any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of anticipated or unanticipated events or circumstances. This press release is qualified in its entirety by the following, including, but not limited to, any expectations with respect to the Company’s revenues and operations, institution of governmental regulations relating to our businesses and the international economic climate, and the cautionary statements and risk factor disclosure contained in our Securities and Exchange Commission filings, including our Annual Report on Form 10-K for the year ended December 31, 2013, and our subsequent filing with the Securities and Exchange Commission.
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