TCL Communication announces third quarter financial results for 2011

The Group, of which ALCATEL ONE TOUCH is a subsidiary, reported sustained sales growth in the first three quarters of 2011.

In the Americas, the Group and ALCATEL ONE TOUCH’s sales figures increased to 14.3 million units during the first nine months of 2011, representing a 14% increase in a year-on-year comparison.

November XX, 2011, City, Country. - TCL Communication Technology Holdings Limited (“TCL Communication” or the “Company”, together with its subsidiaries referred to as the “Group”; HKSE stock code: 02618) today announced its unaudited handsets and other products shipment figures for the third quarter of 2011, to September 30th.

During the period in question, and despite the volatility of the global economy and the crisis which has affected consumer purchasing power in a number of countries, and its subsequent impact on global cellphone demand, the Group has successfully managed to increase its sales volume of cellphones and other products. These excellent results are due to its continued efforts to expand into new, high-potential markets, as well as its product strategy and brand construction efforts.

During the first nine months of 2011, the Group sold a total of 30.5 million handsets and other products, representing a 28% year-on-year increase.

The Group’s invoicing for the third quarter of 2011 rose to HK $2.862 billion (approximately US $367.62 million), and net profit rose by 7%, to HK $215 million (approximately US $27.62 million). During the first nine months of 2011, the Group’s invoice figures rose to HK $7.462 billion (approximately US $958.49 million), and net profit increased by 34%, to HK $606 million (approximately US $77.84 million).

According to Dr. Guo Aiping, Chief Executive Officer of TCL Communication: "During the first nine months of 2011, we have seen advances in product diversification, expansion on the global market and brand construction. Furthermore, we have recorded sustained growth in smartphone sales through the increase and consolidation of our smartphone promotion”.

In the Americas, sales increased to 14.3 million units during the first three quarters of 2011, which represents a year-on-year increase of 14%. This increase is due mostly to the sales figures recorded for Brazil, Argentina and Chile, as well as the expansion into the Pacific Island market, in countries such as Samoa and Tonga. This third-quarter increase was also due in part to the North American and Caribbean market.

Nicolás Zibell, ALCATEL ONE TOUCH’s Pacific and American President, stated that: “this growth has been made possible thanks to both our customers and operators, not to mention our distribution networks throughout the Region, who are now aware of the benefits of our design – supply – price relationship, which is one of the most attractive on the market. ALCATEL ONE TOUCH continues creating and launching innovative new mobile devices which meet the needs of our Latin American and global users”.

During Q3 2011, a total of 22 models were launched, including 3G models running the Android Operating System, such as the ONE TOUCH 910 and the ONE TOUCH 908, among others. All of these new products have received positive feedback from our customers and have been selected by the most important global telecommunications providers, such as Orange, Vodafone, Telefónica and América Móvil. Furthermore, the Group also launched its first tablet, the TCL Pad16 / Alcatel One Touch T60, which was certified by Google last July.

The Group also received a variety of industry awards, including the “China Telecommunication Industry Enterprise Leadership” award at the China Telecommunication Forum 2011; the ALCATEL ONE TOUCH 990A smartphone was the winner of the “China Smartphones Outstanding Award 2011”; and the ALCATEL ONE TOUCH 901 smartphone was awarded the “Rising Star” award in the category of “Smartphone for Home Users” at the PC World Latin America Awards 2011.

For the complete report, please visit: http://tclcom.tcl.com.

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About TCL Communication

TCL Communication Technology Holdings Limited (stock code: 02618), together with its subsidiaries design, manufacture and market an expanding portfolio of mobile and internet products worldwide under two key brands - TCL and ALCATEL ONE TOUCH. The Group’s portfolio of products is currently sold in the PRC and over 120 countries throughout the Americas, Europe, the Middle East, Africa and Asia Pacific. TCL Communication operates its highly efficient manufacturing plants and R&D centers in various provinces of the PRC with headquarters in Shenzhen, China. For more information, please visit its website at http://tclcom.tcl.com.

About ALCATEL ONE TOUCH

ALCATEL ONE TOUCH designs, develops, and markets globally a growing range of mobile and internet products designed to be as individual as the people who use them. Currently the fastest growing of the world’s top ten mobile phone manufacturers, ALCATEL ONE TOUCH makes access to today’s mobile lifestyle simple by offering colorful, easy-to-use devices equipped with the technology people need most at prices they can afford. ALCATEL ONE TOUCH is a brand of TCL Communication, a public company listed on the Hong Kong Stock Exchange (2618.HK) and part of TCL Corporation one of the largest consumer electronics companies in the world. For more information, please visit www.alcatelonetouch.com

Press Contacts:

Brenda Ceballos Noble
ALCATEL ONE TOUCH
5255 59 99 74 70 ext. 7507
Brenda.ceballos@tctmobile.com.mx

Angeles Fuentes
Porter Novelli
5255 50 10 32 72
Angeles.fuentes@porternovelli.com