China Cable and Communication Announces First Consolidated Financials BEIJING, June 1 /PRNewswire-FirstCall/ -- China Cable and Communication, Inc. (OTC:CCCI) (BULLETIN BOARD: CCCI) today announced its financial results for the first quarter of 2004, which beginning on January 1, 2004 have included consolidation with results of the Baoding Joint Venture. The Company recorded net revenues of US$933,751, as compared with net revenues of US$ Nil for the first quarter of 2003. For the first quarter of 2004, China Cable and Communication recorded a net loss of US$1,681,382, corresponding to a loss of $.02 per share based on 72,412,936 shares outstanding. Since the end of the fourth quarter of 2003, the Company has accounted for the Baoding Joint Venture as a subsidiary. For the first quarter of 2003, the Company had a net loss of $3,215,661 corresponding to $0.06 per share, based on 53,286,289 shares outstanding. Gareth Tang, President of China Cable and Communication stated, "We are very pleased with our quarterly results as well as our efforts to consolidate the Company's financial statements with those of the Baoding Joint Venture. This avoided China Cable and Communication having to increase its equity ownership in the joint venture by acquiring additional equity from the other Baoding Joint Venture partners, which would have resulted in an estimated cash expenditure to China Cable and Communication of at least US$1.5 million. As a result of the ability to consolidate the Company's financial statements with those of the Baoding Joint Venture, the Company has suspended its negotiations to acquire an additional 2 percent interest in the Baoding Joint Venture, which the Company anticipates would have required a cash purchase price of at least $1.5 million. We believe that our being able to consolidate the financials without the expenditure of cash is very positive for the Company and for our shareholders." China Cable and Communication has previously announced that it had successfully negotiated to have its representatives hold a majority of the Board of Director seats of the Baoding Joint Venture, as well as being able to appoint key management of the joint venture. Mr. Tang also stated, "Not having to expend approximately US$1.5 million to increase the Company's ownership in the Joint Venture will enable us to look for other synergistic opportunities. We believe that the most important factor in all of this is that consolidated financials should enable China Cable and Communication to accelerate its change in its listing from the OTC Bulletin Board to the American Stock Exchange in the United States, as the consolidated financial statements are a key step in meeting the Exchange's listing requirements." About China Cable and Communication Inc., China Cable and Communication, Inc. is a China-based cable TV company. Through its British Virgin Island subsidiary, the Company is the first foreign company to own and operate a cable television network in China. Located 85 miles south of Beijing, the network currently offers 39 channels within the Baoding city limits and eight additional channels to outer areas in the Baoding metropolitan area. It transmits in both analog and digital over its fiber optic network and through 22 substations. With its fiber optic network, Baoding network is capable of transmitting 37 analog television programs, six digital signals and one FM music program. In addition to its cable television transmission services, Baoding network offers Internet access and value added services, such as broadband Internet access and on- demand services through our proprietary set-top boxes. China Cable and Communication is well positioned as a foreign investor approved by The State Administration of Radio, Film and Television ("SARFT"), China's national regulatory authority for the broadcasting industry, to own interests in and provide operational management support to cable television networks in the People's Republic of China (PRC). The SARFT approval, together with the trading of CCCI's common stock in the US, provides CCCI with a favorable advantage in access to foreign capital. China Cable and Communication, Inc. trades in the United States, under the ticker symbol CCCI, in order to provide U.S. investors with the opportunity to invest in a company that own interests in a PRC cable television network. For more information, please visit http://www.chinacable.us/. Forward Looking Statement The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's analysis only as of the date hereof. The company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date thereof. Readers should carefully review the risks described in other documents the company files from time to time with the Securities and Exchange Commission, including the Annual Report on Form 10-KSB for the fiscal year ended December 31, 2003, as well as the Quarterly Reports on Form 10-QSB and Current Reports on Form 8-K. CONTACTS: George Raney Executive Director of China Cable & Communication, Inc. Tel. 1-310-301-0082 Dara Podber Managing Director of Friedland Capital Inc. Tel. 1-201-420-7437. (Friedland Capital Inc. is the US Corporate Finance Advisor to China Cable and Communication, Inc.) DATASOURCE: China Cable and Communication, Inc. CONTACT: George Raney, Executive Director of China Cable & Communication, Inc., +1-310-301-0082; or Dara Podber, Managing Director of Friedland Capital Inc., +1-201-420-7437, (Friedland Capital Inc. is the US Corporate Finance Advisor to China Cable and Communication, Inc.) Web site: http://www.chinacable.us/

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