Case Studies

Lenovo-AsiaInfo Signs Management Consulting and ERP Implementation Contract with Guangdong Shaogang Iron and Steel Group

This agreement Represents Further Growth Into China's Iron and Steel Industry;Continued Diversification of AsiaInfo's Customer Base.

(BEIJING/SANTA CLARA, Calif. - February 24, 2005) - AsiaInfo Holdings, Inc. (Nasdaq: ASIA), a leading provider of software, solutions and services to telecom operators and enterprises in China, announced today that its Lenovo AsiaInfo division has signed a management consulting and enterprise resource planning (ERP) implementation contract with Guangdong Shaogang Iron and Steel Group Ltd. (Shaogang Group). Under the agreement, Lenovo AsiaInfo's Han Consulting unit will provide Shaogang Group with management consulting and IT planning services.

In order to increase its competitive advantage in China's iron and steel industry, Shaogang Group has charged Lenovo-AsiaInfo with establishing an ERP platform which will integrate efficiency and production management with sales planning, finance control, and product lifecycle management. Shaogang Group's ERP platform is expected to take one year to complete and will form an essential part of the company's overall IT architecture.

Xingsheng Zhang, President and Chief Executive Officer of AsiaInfo said, "This contract with Shaogang Group further demonstrates the value that Lenovo-AsiaInfo is bringing to Chinese enterprises across non-telecom vertical industries including transportation, manufacturing, financial services and government. This agreement also demonstrates the ability of Lenovo-AsiaInfo's Han Consulting division to compete successfully with leading international competition including Accenture and Hewlett-Packard, both of which were under consideration for the contract."

Mr. Bing Yu, President and CEO of Lenovo-AsiaInfo commented that the combination of Lenovo AsiaInfo's leading-edge management consulting techniques and professional IT services, combined with its extensive experience working with Chinese enterprises, allows it to effectively tailor custom solutions for its enterprise customers.

Guangdong Shaogang Iron and Steel Group, located in Guangdong province, is one of China's largest iron and steel companies. According to China's National Bureau of Statistics, in 2003 Shaogang Group ranked 138th among China's 1,588 large scale enterprises, and was the 20th largest company in China's iron and steel industry. Shaogang Group currently has over 13,400 employees.

Han Consulting, a division of Lenovo-AsiaInfo Technologies Inc., is a provider of professional management consulting services. Its headquarters is located in Hong Kong, and it has branches in Beijing, Shanghai and Guangzhou. Han Consulting was the only local company to be named one of the top three IT consulting companies in China by IDC. Han Consulting's iConsulting solutions leverage advanced technologies to help companies implement advanced management techniques to increase competitiveness. Established in 1997, Han Consulting has become one of the largest and most recognized management consulting companies in China and has extensive industry experience as well as strong BPR/ERP capability.

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