Qin Jia Yuan Achieves Business Turnaround in FY2010 -- Turnover Up by 87% Net Profit Exceeds HK$80,000,000

Qin Jia Yuan Achieves Business Turnaround in FY2010 -- Turnover Up by 87% Net Profit Exceeds HK$80,000,000

Benefits from Successfully Developing Cross-media Business Platform and Supportive National Policies

HONG KONG, Nov. 29 /PRNewswire-Asia/ --

Highlights

-- Annual turnover surged 87% year-on-year to HK$424,610,000
-- Turnaround in business with net profit exceeds HK$80,000,000, after
difficult 2009
-- Final dividend of HK 1.28 cents per share, annual dividend payout ratio
of 24%
-- Greater synergies from cross-media business platform which is set to
generate higher income and profit in future
Qin Jia Yuan Media Services Company Limited (Stock code: 2366, hereafter
referred to as "QJY" or "the Group") announced its 2010 annual results
demonstrating a significant turnaround in its business. The Group has
delivered strong growth with a net profit exceeds HK$80,000,000. During the
review period, QJY has successfully expanded its cross-media business
platform. As QJY's cross-media business matures and generates greater
synergies, the Group expects to bring higher income and net profits to the
Group going forward.

The Group's annual turnover surged by 87% year-on-year to HK$424,610,000.
Its net profit after taxation exceeded HK$80,000,000 (2009: loss of
HK$390,374,000). Earnings per share were HK10.64 cents (2009: loss of HK55.96
cents).

The Board of Directors proposed a final dividend of HK1.28 cents per share
(2009: HK0.88 cent). Together with the interim dividend of HK1.28 cents paid
during the year under review, the annual dividend for the year under review
was HK2.56 cents (2009: HK1.38 cents). The annual dividend payout ratio was
24%. Shareholders may elect to receive shares in lieu of cash dividend.

Dr. LEUNG Anita Fung Yee Maria, Chief Executive Officer of QJY, said,
"With the launch of the "Cultural Industry Promotion Program" announced by the
Chinese premier Wen Jiabao last July, which was also re-affirmed in the Fifth
Plenum of the 17th Central Committee Session, the highest authority in policy
making in China, held in October 2010, the Group's cross-media business
platform has covered more than 80% of the business in the top eight cultural
and art enterprises supported, encouraged and nurtured by the country. This
base provides major assistance to the Group in boosting our future
development".

"Since establishment 15 years ago, QJY has set up an unique cross-media
business platform in China riding on our broad business network and
outstanding media experts. The platform covers a wide spectrum from the
mainstream TV program production, TV advertising to outdoor media, online
media, marketing services, advertising planning and creative business which
were developed during the review period. All of our business segments are
becoming more stable and mature, enabling cross-selling, thus we can offer a
comprehensive one-stop media advertising solution with wide demographic
coverage to customers. Looking ahead, the cross-media business platform is set
to enhance the existing customer base of the Group and attract new customers,
generate greater synergies and improve the Group's income and profit."

QJY's First Core Business - TV Program Production

The TV drama series production market in China, which is the largest
contributor to advertisement among all TV programs, began to recover from the
financial turmoil at the end of 2009. With the new cooperative arrangement
with and the strong support of the Group's TV drama series production partners
from the nine major domestic TV stations and TV production houses, the risk in
future production write-off in the event of any unpredictable financial crisis
has been minimized.

TV drama series is still a great growth opportunity in the China TV
program market. New TV programs can capture 18% of the total TV program market
in China today. As a result, any successful TV drama can command a high
profit and with a long broadcasting cycle generate greater medium and long-
term profit. This makes the China TV drama market a unique opportunity on
which QJY, with 18+ years of production history and track record, well
positioned to capitalize. In 2010, the Group continued its successful
production track record by delivering strong turnover and profits. The Group
will continue leveraging its large drama library and production track record
to meet this high demand going forward.

QJY's Second Core Business - TV Advertising

TV continues to be the dominant market for advertising capturing more than
70% share of the entire advertising market with a strong annual growth rate of
15%. In a bid to accelerate the expansion of its established TV advertising
agency business, the Group is actively acquiring small to medium size local
media advertising agents with high sales performance in city TV channels. This
strategy is bearing fruit and is expected to provide a solid foundation for
the future development of this business.

New Business Segments in the QJY's Cross-Media Business Platform

-- Outdoor Advertising

In the non-TV part of China's media sector, outdoor advertising medium and
digital media are becoming key drivers of future growth. We expect these two
areas will outperform the rest of the non-TV media sectors in the next 5
years.

During the period, the Group has scored significant success in its outdoor
advertising business, including the winning the exclusive advertising rights
for the LED boards dedicated to Xinhua News Agency. It has begun operating six
large outdoor LED boards used for news and advertising in the major cities of
Beijing, Shanghai, Chengdu and Guangzhou. It has also added three similar LED
boards in Shenzhen and Shanghai.

Additionally, the Group became the largest shareholder of CBS Outdoor
(Beijing), with 22.95% effective equity interest, which engages primarily in
the business of bus advertising for over 6,000 buses in the metropolitan area
of Beijing. It also completed the 100% equity interest acquisition of Mega
Faith Asia Outdoor Marketing limited, expanding QJY's dedicated outdoor sales
team. The Group plans to proactively increase its market share and profit by
expanding this line of business from Beijing to other major cities and
continue focusing on expanding its transport and outdoor advertising assets
together with its two unique outdoor advertising partners.

-- Marketing Services

During the review period, Triangle Marketing Services Company Limited
which is 90% owned by the Group has been advising clients who show great
interests in entering into the China consumer market. This includes Hong Kong
Trade Development Council, a large domestic real estate developer and consumer
brands with strong presence in China. QJY's focus is to open up new
opportunities in China for Triangle.

-- Artist Management and Concert Production

Looking forward, the Group will further expand into artists training and
artist agenting adding to current business with the Group's cooperation with
Impact Entertainment (International) Ltd on concert production. This
compliments the TV program production and commercial production for
advertising business by providing talented artists to participate.

-- New Media

Within the review period, the Group has successfully completed the
acquisition of Green Team Culture Asset Limited, which owns the copyrights to
more than 500 books and more than 1,200 original works of renowned authors,
including some which were written by Dr Leung Anita Fung Yee Maria, CEO of the
Group. An electronic book store "Anita Leung's Book Shop" has also been
launched in China in order to synergize with new e-reading trends. In the
coming year, the Group will develop the online publishing, electronic
publishing and new digital media business such as online gaming. The Group's
online gaming strategy is to leverage off its extensive library of IP and
adaptation rights. At the same time, the Group's plans of adapting original
works by renowned writers will create additional synergies by encompassing TV
production, online games, electronic bookstores, traditional publishing and
advertising businesses.

QJY's Professional Management

Dr. LEUNG Anita Fung Yee Maria, Chief Executive Officer of QJY, said, "QJY
has turned to adopt the corporate management model and has re-employed and
renewed contracts with 20 senior management professionals during the period.
They have accumulated more than 10 years of experience from the senior
management positions in domestic media industry. They managed the Group's
businesses effectively and have achieved satisfactory performance in growing
the Company and improving the Company's operations."

About Qin Jia Yuan Media Services Company Limited (Stock code: 2366)

Founded in 1995 and listed on the Hong Kong Stock Exchange in 2004, Qin
Jia Yuan is one of the leading enterprises engaged in a diversified, foreign-
owned media business in China with leading capabilities in cross-media
advertising sales, content production and marketing services.

For enquiries, please contact:

Trimaran Corporate Communications
Agnes Yeung
Account Executive
Tel: +852-3101-4680
SOURCE Qin Jia Yuan Media Services Company Limited

Qin Jia Yuan Media Services Company Limited

CONTACT: Agnes Yeung of Trimaran Corporate Communications for Qin Jia Yuan Media Services Company Limited, +852-3101-4680

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