CESV China Energy Savings Technology (MM)

EL DORADO HILLS, Calif., Jan. 4 /Xinhua-PRNewswire/ -- Dutton Associates issued a research note on China Energy Savings (NASDAQ:CESV) on December 22, 2005: The year-ended 9/30/05 results were detailed in their just released SEC Form 10-K. For the year ended 9/05, revenues increased 14% to $48.4 and net income for the year, increased 295% to $22.4 million while EPS were $1.04. The increased revenue and earnings for the fourth quarter and year-ended 9/30/05 are positive for China Energy. However, the Company wish to point out that the revenue increase of 14% to $48.4 million was due to the increase in the sale of profit-sharing energy-savings contracts that was $23.0 million in the year ended 9/30/05, compared with approximately $10.0 million in the year ended 9/30/04. Other aspects of the release have also been reviewed. At this time the Company reiterates its Strong Speculative Buy Rating and price target of $13.25. The Company is in the process of preparing an Update Research Report that will review our rating and income model. For full research note, please refer to http://jmdutton.com/research/CESV/index.html . About Dutton Associates Dutton Associates is one of the largest independent investment research firms in the U.S. Its 26 senior analysts are primarily CFAs and have expertise in many industries. Dutton Associates provides continuing analyst coverage of over 80 enrolled companies, and its research, estimates, and ratings are carried in all the major databases serving institutions and online investors. The cost of enrollment in our one-year continuing research program is US $35,000 prepaid before commencement of our research activities. We received $20,000 from the Company for 2 Research Reports with coverage commencing on 09/29/2005. Our principals and analysts are prohibited from owning or trading in securities of covered companies. The views expressed in this research report accurately reflect the analyst's personal views about the subject securities or issuer. Neither the analyst's compensation nor the compensation received by us is in any way related to the specific ratings or views contained in this research report or note. Please read full disclosures and analyst background at http://www.jmdutton.com/ before investing. For more information, please contact: John M. Dutton Dutton Associates Tel: +1-916-941-8119 DATASOURCE: China Energy Savings Technology, Inc. CONTACT: John M. Dutton of Dutton Associates, +1-916-941-8119, for China Energy Savings Web site: http://www.dicjenhitech.com/

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