China Auto Logistics · OTC:CALIQ
China Auto Logistics — Investor Presentation (September 2010)
25 slides from China Auto Logistics's investor presentation, Sep 14, 2010
Slide 1: China Auto Logistics Inc.
CHINA AUTO LOGISTICS INC. NasdaqGM: CALI i] Modernizing China’s Rapidly Expanding Auto Industry With Web-based Services and Leading Automobile Portal www.cali.com.cn
Slide 2: Safe Harbor Statement
e Harbor Sta tement Information in this presentation may contain statements about future expectations, plans, prospects or performance of China Auto Logistics Inc. (the “Company”) that constitute forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litig
Slide 3: Automobile Portal and High Margin Auto-Related Services
Automobile Portal and High Margin Auto-Related Ser Who We Are . An established leader in China in imported high-end auto sales + China's leading ground-breaker in developing auto-related websites and services for domestic and imported car buyers, dealers, and owners Our Sites and Services + www.cali
Slide 4: Founded in 1995, Public November 2008
Founded in 1995 Public November, 2008 = Based in Tianjin City-China’s leading port for imported cars 2009 Revenues: $215MM Net Income: 5.54 MM EPS. $0.31 2010 First Half Revenues: $108.9MM (+20.7%) 2010 First Half Net Income: $3.38MM (+36%) 2010 First Half EPS: $0.19 2010 Q2 Revenues up 21.5%, Net I
Slide 5: Recent developments: goodcar.com.cn MOU and new portal launch
April 22, 2010- CALI Executes MOU to Purchase Fast Growin; Automotive Consumer Website: www.goodcar.com.cn For $2Million in Cash and 1 million shares of common stock = Currently selling 1200 discount cards a week at prices up to $57.00 each annually = Customers obtain discounts on gas purchases, par
Slide 6: Growth Drivers
y Growth Drivers Rapid Auto Market Growth in China = China has become the world’s #1 auto market--13.6 million unit auto sales in 2009 (+46%)--(+3.52MM units sold in Qu [+76%]).. Growth rate slowed in July to approximately 14% YOY. China’s auto penetration rate is 41.5 autos/1000 people vs. 800/1000
Slide 7: Imported autos, domestic autos and services in China
. oak all imports are luxury cars. In 2009 SUV led imports and were 55% of total +43%). = For growing wealthy class, cars are significant status symbols. Domestic Autos = Confusing array of more than 120 domestic makes and models. = 4S Shops don’t sell full ines of makes and models-website shopping
Slide 8: Web-based services modernizing the market for domestic and imported cars
ased services which modernize the market for domestic and imported cars and related value-added services consumers: “Wide vehicle access © One destination for auto-related needs © Local real-time pricing & inventory information © After sale promotions and services © Advertising platform for agents a
Slide 9: China Auto Logistics: www.att88.com
ot < “¢.% China Auto Logistics, Inc. Strong Bank Relationships » Serene C) u uno u The only national website in China devoted to imported cars, www.ati88.com provides real-time auto trading, marketing & advertising information.
Slide 10: Potential CALI fees
Potential CALI fees: = FINANCING INSURANCE “RESALES EXTENDED WARRANTY
Slide 11: Auto Mall Management
Auto iat Management = $1million agreement to manage Tianjin FTZ International Automobile Exhibition and Sales Center (March 3, 2010) = Utilizes CALI’s auto logistics skills and national network of auto dealers to attract new customers and tenants = In 2009, Tianjin Mall accounted for 12% of all impo
Slide 12: Customer Purchasing Process
Customer Ca: Customer Purchasing Process 1 2. OPTIONS Local Dealers ~ 45 HINA AUTO LOGISTICS )) Shops* Auto Malls Variety of | -Limited choices of Variety of Dealers imported/domestic makes and models «Limited Selection manufacturers -Limited Financing -All makes and models Customized search feature
Slide 13: Auto Dealer Clients and CALI Dealer Solution
Auto Dealer Clients with = Approximately 20,000 4S dealers nationwide - 16,000 additional licenses issued. = Fragmented auxiliary services (insurance, maintenance, parts/service, and Current financing). EAL UUG IAM Expensive overhead: restocking, inventory, advertising. = Taxes, tariffs and transact
Slide 14: Second Quarter Revenues and Net Income
‘Net Income Revenues ‘Second Quarter Ended June 30 ‘Second Quarter Ended June 30 in mtions uso wae PEEEE ‘Website Sales Grew 64%; ‘Financing Services Grew 27% Luxury Imported Auto Sales Grew 20.32%; Contributed 36.9% of Operating Income 4
Slide 15: Six Months Revenues and Net Income
Revenues Net Income Six Months Ended June 30 Six Months Ended June 30 (inntions ((nnttons) $110.00 $3.50 $103.00 anges | $300 $100.00 cae $2.00 $95.00 : $150 $9000 $1.00 $85.00 $0.50 $80.00 $0.00 2010
Slide 16: Website Revenues Increase 66%
3 24534 4,819,128, Total % operating profits from website and auto-related services: 61.3% Website Revenues Increase 66%
Slide 17: Improving revenues, margins, and profitability
Piimroving revenues, margins, and profitability. L. High margin website revenues Extensive client base provides the Company a strong platform for continued expansion; new consumer base being added with discount card sales. ‘CALI is positioned to capitalize on the exploding auto market in China throu
Slide 18: Management
Auto Industry Founder of Company in 1995. Increased business from startup to over $190M annual sales in less than to years. Strong IT and auto industry experience. Company honored as a “Top Hundred Enterprises” by The Ministry of ‘Commerce in 2005 under Shiping’s management. ‘Ms. Wang Xinwei- CFO.VP
Slide 19: Strong banking relationships in the PRC
= Strong banking relationships in the PRC Agricultural Bank of China, China Merchants Bank and Pudong Development Bank + $38 milion line of credit (as of 12/31/09)- up 23% from year end 2008 ~ Forauto dealer financing and growth needs - Credit can be expanded as needed (source: CALI press release -
Slide 20: Always on at Business.com
Always on at X Business.com
Slide 21: Contact information
No. 87 No- Coastal Way Floor 2, Construction Bank. FT2, Tianjin, China Tel: 86 (22) 25762771 Fax: 86 (22) 66271509 2 Mark Miller East West Network Group S. Ken Donenfeld 75 Maiden Lane New York, NY 10038 Dt Investor Relations/Focus Asia Partners Tel: 212-425-5700 Fax: 6463819727 = don Stonefield Jos
Slide 22: Back-up Slides
Back-up Slides
Slide 23: CALI websites provide service to 4S Shops as well as consumers
CALI websites provide service to 4S Shops as well as consumers. Most 4S shops generate only 25% of profit from car sales and 15% from selling of spare parts. Around 60% of the profit is generated by providing maintenance and after-sale services. Rapid growth: the number of 4S shops showed a steady i
Slide 24: www.att88.com overview
www.ati88.com began operating in October 2000, with a focus on the Chinese imported automobile market. The biggest website specializing in imported automobiles, provides first hand trading and quotation information. The two biggest web Portals, www.sohu.com and www.sina.com, both utilize data and in
Slide 25: Slide 25
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