Qiao Xing Universal Resources Inc. (XING) - Description of business
Qiao Xing Universal Resources, Inc. (Qiao Xing), incorporated on December 6, 1994, is principally engaged the sale of telecommunication terminals and equipment, including cord and cordless telephone sets, in the People's Republic of China; the production and sale of mobile phones and accessories in the People's Republic of China, and the production and sale of molybdenum concentrates in the People's Republic of China. It operates in two business segments: mobile phones and mining. The subsidiaries and equity joint ventures of the Company include Qiao Xing Mobile Communication Co., Ltd. (QXMC); China Luxuriance Jade Company Ltd (CLJC); Hui Zhou Qiao Xing Communication Industry Limited (QXCI); Hui Zhou Qiao Xing Property Limited (QXPL); Chifeng Sanchuan Mining Co., Ltd. (CSMC); Huizhou Taiherui Information Technology Co., Ltd (Taiherui); Chifeng Zhongtai Mining Company Ltd (Zhongtai); Chifeng Haozhou Mining Company Ltd (Haozhou) and Beijing VEVA Technology Co., Ltd. As of July 10, 2010, Qiao Xing owned 61.1% of Qiao Xing Mobile Communication Co. Ltd. (QX Mobile), an international business company. QX Mobile owns 96.55% of CEC Telecom Co., Ltd. In addition, it owns 100% of CLJC. On November 30, 2009, the Company sold 100% of its equity interest in QXCH to Dragon Fu Investment Limited (DFIL). On April 6, 2009, the Company acquired a 100% interest in CLJC.
Qiao Xing Mobile Communication Co. Ltd. and CEC Telecom Co., Ltd. (CECT)
QX Mobile is a domestic manufacturer of mobile handsets in China. It manufactures and sells mobile handsets based primarily on the global system for mobile communication (GSM) global cellular technologies. QX Mobile operates its business primarily through CECT, its 96.6% owned subsidiary in China. QX Mobile develops, produces and markets a wide range of mobile handsets. QX Mobile sold approximately 2.12 million handset products during the year ended December 31, 2009. QX Mobile has one main handset manufacturing facility in Huizhou City, Guangdong Province, China. This facility is equipped with three Surface Mount Technology (SMT) lines and seven assembly and testing lines.
Substantially all of its products are sold in China. QX Mobile sells its products primarily to its national distributors, provincial distributors and television direct sales distributors, which resell its products to end customers either directly or through their own distribution networks, which are typically composed of local distributors and retail outlets. As of July 10, 2010, QX Mobile's distribution network included four national distributors, 58 provincial distributors and three television direct sales distributors. In addition, certain of its distributors and other third parties provide repairs and other after-sales services to its end customers through after-sales service centers located throughout China.
China Luxuriance Jade Company, Ltd. and Chifeng Haozhou Mining Co., Ltd.
CLJC, through its wholly owned Chinese subsidiaries, owns the right to receive the expected residual returns from Chifeng Haozhou Mining Company Limited (Haozhou), a Company that owns 100% interest in the Erdaoyingzi molybdenum mining property in China. Haozhou owns the exploration license of a mine covering 53.9 square kilometers (the Mine) in the Inner Mongolia Autonomous Region in the People's Republic of China (PRC) about 745 kilometers northeast of Beijing. Haozhou is located within the administrative area of the Balinzuo Banner of Chifeng City. Haozhou produces molybdenum concentrates and sells to molybdenum smelters.