Tengtu International Corp. announced today that CBERC (known domestically as Beijing Huaxia Boxing Educational Software Corp.), Tengtu's joint venture in China with the National Center for Educational Technology (NCET), has successfully completed a broadband portal installation for the Education Bureau of Shenyang City, the capital of Liaoning province in northeast China. By 2005, the Shenyang portal is to be connected to more than 1,600 schools, which together have more than 900,000 students. In addition to the installation contract valued at CNY950 thousand, CBERC will earn annual license fees for providing these schools with daily access to its updated educational resources.

Miss Wang Zhuzhu, deputy director of the National Center for Education Technology (NCET) of the Ministry of Education, P.R. China and chairman of CBERC stated that "CBERC is a joint venture established by Tengtu and NCET, and has built up rich, systematic and authoritative educational resources of all the subjects and grades of k-12 schools, which is a main reason why the Shenyang education bureau has chosen CBERC."

Established in 1996, Tengtu International Corp. is a developer, marketer, distributor, and integrator of distance learning solutions and e-education software. Tengtu International Corp. controls 57 percent of the joint venture that has been chosen by China's Ministry of Education to be the operating partner in the deployment of China's national education portal and distance learning network (CBERC). The objective of this system is to make computerized education available to 250 million students in China's approximately 800,000 primary and secondary schools over the next 10 years. Tengtu International and its joint venture partner, Tengtu China, employ more than 400 people in offices in Asia and North America. Tengtu has more than 35,000 schools and 17.5 million students connected to its information network in China.

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