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AutoChina International Leases 2,505 Trucks in the First Quarter of 2010; Opens 180th Branch Location

SHIJIAZHUANG, China--AutoChina International Limited (“AutoChina�?? or the “Company�??) , China’s largest commercial vehicle sales, servicing, leasing, and support network, today announced that the Company leased 2,505 commercial vehicles in the first quarter of 2010, compared to 251 in the first quarter of 2009. Since launching its commercial sales and leasing business in March 2008, the Company has leased over 11,000 trucks. The Company opened two new locations in late March and, as of March 31, 2010, operated 180 branches compared to 105 in the first quarter of 2009. The Company expects to lease over 12,000 commercial vehicles during 2010 and operate at least 275 stores in total by the end of the year.

Mr. Yong Hui Li, Chairman and CEO of AutoChina, stated, “We were very pleased with the growth in our financing, leasing and support operations during the first quarter, which is historically the Company’s slowest period due to the Chinese New Year. As a result of this growth, we are ahead of our projections of leasing approximately 12,000 vehicles in 2010, and continue to benefit from a robust heavy truck market. According to the China Economic Information Service, sales of heavy-duty trucks, like the units that AutoChina leases, increased 140.1% year-over-year in February 2010 to 71,200 units. We believe that demand for heavy-duty trucks is increasing due to larger scale commercial construction and local infrastructure projects being initiated. We feel that AutoChina is properly positioned to capitalize on this opportunity, as we have created a commercial vehicle leasing business model that is scalable, capital efficient and simple to manage.�??

The Company leases and finances its trucks through a network of branch offices, linked to its central headquarters, each of which serves as a base for local grass roots marketing. AutoChina holds no inventory, instead relying on numerous dealers of different manufacturers to supply the commercial vehicles it leases to customers.

About AutoChina International Limited:

AutoChina International Limited is China’s largest commercial vehicle sales, servicing, leasing, and support network. AutoChina’s operating subsidiary was founded in 2005 by nationally recognized Chairman and CEO, Yong Hui Li. The Company owns and operates 180 commercial vehicle financing centers in Northern China regions; and primarily provides sales-type leasing and support services for local customers. The Company’s website is http://www.autochinaintl.com.

Safe Harbor Statement:

This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 about the Company. Forward-looking statements are statements that are not historical facts. Such forward-looking statements, based upon the current beliefs and expectations of the Company's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward-looking statements. The following factors, among others, could cause actual results to meaningfully differ from those set forth in the forward-looking statements:

  • Continued compliance with government regulations;
  • Changing legislation or regulatory environments;
  • Requirements or changes affecting the businesses in which the Company is engaged;
  • Industry trends, including factors affecting supply and demand;
  • Labor and personnel relations;
  • Credit risks affecting the Company's revenue and profitability;
  • Changes in the automobile industry;
  • The Company’s ability to effectively manage its growth, including implementing effective controls and procedures and attracting and retaining key management and personnel;
  • Changing interpretations of generally accepted accounting principles;
  • General economic conditions; and
  • Other relevant risks detailed in the Company’s filings with the Securities and Exchange Commission.

The information set forth herein should be read in light of such risks. The Company does not assume any obligation to update the information contained in this press release.