China Auto Logistics 2012 First Quarter Revenues Climbed Past $100 Million on 33% Year Over Year Growth in Luxury Auto Sales

TIANJIN, CHINA, May 15, 2012 (MARKETWIRE via COMTEX) -- China Auto Logistics Inc. (the "Company" or "CALI")

/quotes/zigman/88983/quotes/nls/cali CALI +1.45% , one of China's leading developers of websites for buyers and

sellers of imported and domestic automobiles, a top seller in China of imported luxury cars, and a leading provider

of auto-related services, reported today that first quarter revenues in 2012, benefitting from the continuing strong

demand in China for luxury vehicles, rose 31.7% to $107.45 million compared with $81.57 million a year earlier. At

the same time, the Company continued to shift its focus from web-based advertising sales to further reshaping its

online platforms into springboards for increased auto sales and high margin auto related services growth.

Consequently, despite continued growth in the Company's other auto-related services businesses, including a 186%

increase in finance services revenues, lower results in web-based advertising sales led to an approximately 24%

decline in net income to $1,581,477, or $0.07 per share in this year's first quarter, from $2,077,134 or $0.11 per

share in the first quarter of 2011.

The per share figures also reflect a year over year increase in diluted weighted average shares outstanding from

19,163,427 shares in last year's first quarter to 22,163,427 shares in 2012.

Regrouping At a High Level of Achievement

Mr. Tong Shiping, CEO and Chairman of the Company, stated, "While I would have liked to continue the long string of

quarterly profit gains we achieved in recent years, we have paused to regroup at a very high level of achievement

with an aim to grow more strongly and steadily in the future, utilizing our web platforms." He added, "Of particular

note, our quarterly revenues now exceed the annual revenues we had when we went public in November 2008. We also

have dramatically expanded our web presence from a sole focus on auto importers, in a single city, to the full

spectrum of China's auto buying public, with a presence in 50 cities across the country. Additionally, we have

developed very strong banking relationships that should serve us well in future expansion efforts, while continuing

to make strides in developing new high margin on-line services."