Kingtone Wirelessinfo Solution Holding Ltd Receives Engineering Awards from its Wireless System Development Work for Hualu

 Kingtone Wirelessinfo Solution Holding Ltd Receives Engineering Awards from
                its Wireless System Development Work for Hualu

PR Newswire

XI'AN, China, Jan. 23, 2014

XI'AN, China, Jan. 23, 2014 /PRNewswire-FirstCall/ -- Kingtone Wirelessinfo
Solution Holding Ltd (KONE) ("Kingtone", "we" or the "Company"), a China-based
developer and provider of mobile enterprise solutions, today announced that
the Company and its employees received five awards from its wireless system
development work for the Company's largest client, Hualu Engineering &
Technology Co., Ltd. ("Hualu").The awards were issued by Hualu to recognize
the excellent work accomplished by Kingtone and its employees.

Together with other two rival contractors, the Company got recognized as
Hualu's"2013 outstanding contractor" and "2013 best practitioner of quality
control", out of numerous vendors and contractors, who participated in the
construction and development of Jingbian Industrial Park where Hualu is
currently building one of the few largest coal chemicals production facilities
in China. Among the five awards, the Company's wireless project team also
received separate three awards in recognizing their excellence in project
management, quality control, and providing wireless solutions in the coal
facility's enterprise management.

Hualu, a state-owned enterprise in China, is one of the country's largest
construction companies in providing all-around engineering construction
services mainly in thechemical industry. Formerly known as the Sixth Design
Institute of the Ministry of Chemical Industry, Hualu is an engineering firm
with Class A Comprehensive Design Qualification for all industries and
specialized Class A certificates in specific sectors.

More information about Hualu is available at Hualu's official corporate
website of the following address:
http://www.chinahualueng.com/index.php?m=content&c=index&a=lists&catid=51

During the last 40 years since it was established, Hualu has successfully
completed over one thousand large and medium-sized projects, designed more
than 200 products and over 100 new technologies. Hualu got the State Council,
Orders of the central military commission and national, provincial awards many
times for its major contribution to the construction of the nation's chemical
defense industry, large chemical industry base and large-scale chemical
fertilizer.

On September 15, 2012, the Company entered into an agreement with Hualu to
provide wireless system service to Hualu's coal chemical factory in Jingbian
Energy and Chemical Projects and Comprehensive Utilization of Industrial Park
in Shaanxi, China ("Jingbian Industrial Park"). Pursuant to the agreement, the
Company shall provide engineering services to Hualu's coal chemical factory in
Jingbian Industrial Park, including installation, debugging and initial
training of the staff operating the tank, engineering instruments and
telecommunications

The contract with Hualu contributed RMB63.6 million, or approximately $10.2
million revenue to the Company in the fiscal year of 2013, accounted for
approximately 88.2% of our total sales during this period.

It is known that the market for software products and IT services, including
wireless IT application products and solutions, is highly competitive and
subject to rapid changes in technology. As we demonstrated in our FY2013
financial report on January 17, 2013, (the Company has gone through a
difficult time from FY2011 to FY2013. In fiscal year 2013, the company
incurred a net loss of $5.1 million, compared to net loss of $9.0 million and
$1.0 million in fiscal year 2012 and 2011 respectively. Given the competitive
circumstances, we devoted more resources into communicating with some major
customers.

"The company noticed that the company's share price has been volatile
significantly recently," said Mr. Peng Zhang, Chief Executive Officer of the
Company, "thanks for investors' support and confidence in the company's
performance. However, the company is involved in a very competitive market and
is still working on strengthening our business model to achieve sustainable
growth. We hope our investors are still with the company's business and invest
in the company on the long-term perspective."

About Kingtone Wirelessinfo Solution Holding Ltd

Kingtone Wirelessinfo Solution Holding Ltd (KONE) is a China-based developer
and provider of mobile enterprise solutions. The Company's products, known as
mobile enterprise solutions, extend a company's or enterprise's information
technology systems to include mobile participants. The Company develops and
implements mobile enterprise solutions for customers in a broad variety of
sectors and industries, to improve efficiencies by enabling information
management in wireless environments. At the core of its many diverse packaged
solutions is proprietary middleware that enables wireless interactivity across
many protocols, devices and platforms.

For more information, please visit Kingtone's website at http:
www.kingtoneinfo.com.The Company routinely posts important information on its
website.

For investor and media inquiries, please contact:

Yao Ti:
Tel:+86-29-8826-6500
Email: tiyao@kingtoneinfo.com

SOURCE Kingtone Wirelessinfo Solution Holding Ltd

Website: http://www.kingtoneinfo.com
 
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