China Fire & Security Group to upgrade 32 Wuhan Iron and Steel plants
Industrial fire protection systems provider, China Fire & Security Group (Nasdaq: CFSG)(“CFS”)
has won a total solution contract worth approximately US$92 million
with Wuhan Iron and Steel, China’s third largest steel company.
The contract will see CFS undertake retrofitting of fire
protection equipment including heat detectors, metallic coating,
infrared flame detectors and fire extinguishing systems across 32
plants in Hubei Province. The work is due to be completed by the end
of 2011.
Last year the Chinese government implemented a revised Fire
Prevention Law to encourage the iron and steel industry to upgrade
their fire safety facilities.
“WISCO's Fire Protection Retrofitting Project is a pioneering
endeavor that aims to comprehensively upgrade, without disrupting
ongoing operations, 32 plants to become up to code with the latest
Chinese fire safety standards detailed in the "Code of Design for Fire
Protection and Prevention for Iron & Steel Metallurgy Enterprises."
CFS stated this morning.
“Upon completion of the Retrofitting Project, the majority of
WISCO's Qingshan plants' fire protection facilities will be fully
compliant with China's latest fire safety codes for the iron &
steel industry.”
Wuhan Iron and Steel is a longstanding client of CFS.
"We're very delighted about our record contract win for WISCO's
Retrofitting Project, as this pioneering contract win highlights our
excellent value proposition, unparalleled competitive advantages and
the trust of our customer in the total solution approach we have
provided them throughout the years. With this large win, we have
further increased the gap between us and our closest competitors in the
iron and steel industry," commented Mr. Gangjin Li, Chairman and
Executive Officer of China Fire.
In a separate announcement this morning, CFS upwardly revised
its full year earnings guidance for 2010 to $135 to $145 million, net
income to $47 to 49 million and earnings per share (EPS) to $1.65 to
$1.70.
