Shares of China Direct Trading Corp. (OTC BB: CHDT) closed down $0.001 per share at $0.029 per share on volume of about 581 thousand shares. The company had news yesterday announcing that its wholly owned subsidiary, Capstone Industries, has developed a new product called the Travel Flip-Neck Booklight.
China Direct plans to introduce this product through a major book retailer’s chain-wide 2007 Father’s Day promotion. The company plans to offer its new product to all of Capstone’s existing partners. This Travel Flip-Neck Booklight is lightweight for on-the-go reading and fits easily into briefcases, pocket books and backpacks. It has 2 LED lights with a wide reading area with a clip for all reading materials.
“Capstone intends to continue to develop new and innovative lighting products for our customers in the booklight market,” said Gerry McClinton – president of Capstone Industries – in a press release. “We are exited about all of our new product launches as we continue to grow our market share in this category.”
Other company news includes an announcement earlier this week announcing that it filed a Form 12b-25 with the Securities and Exchange Commission (SEC) to report that it would not file its annual report on form 10-K for the period ended December 31, 2006 by the Monday, April 2, 2007 filing deadline. China Direct stated in a press release, “Its independent registered public accounting firm notified company management that it is unable to complete the final audit by the required filing date because of a delay in verifying and consolidating field audit results from former operations.”
The latest financial information for China Direct comes from its quarterly report ending September 30, 2006. Revenues showed a dramatic jump from the year before posting a 647 percent increase. Third quarter 2006 revenues were approximately $1.92 million compared to revenues of approximately $257 thousand in 2005.
Market News First attempted to contact China Direct to comment on these issues, but calls were not immediately returned.
China Direct Trading Corporation, through its subsidiaries, engages in the trading and distribution of promotional, gift, and souvenir items for corporate customers in North America. China Direct was incorporated in 2002 and is headquartered in Cooper City, Florida.
Capstone Industries (www.capstoneindustries.com) is an innovative designer, manufacturer, importer, distributor and holder of several patents in the consumer booklight and multi-task lighting categories.