Newspaper and Periodical Distribution

In 1999, Newspaper & Periodical Distribution witnessed a stable growth. The accumulated distribution volume amounted to Y 20.832 bn cash flow from subscriphon and sales reached Y 12.681 bn. Compared with last year, the business tllmover fulfilled Y4.422 bn, up 9.34% over last year. The yearly retail cash flow was Y 3.022 bn, up 26.8% over last yeal generating Y 1.044 bn in revenue and accounting for 23.62% of the total revenue of Newspaper and Periodical Distribution. The yearly revenue brought by Postal Audio-visual Products Leasing across China was Y67.84 m.

In 1999, Newspaper and Periodical Distribution consistently strengthened its competence and further broadened its achvities: Newspaper & Periodical Retail Campaign focused on "development, service and profitability" was launched nationwide and one-shaping newspaper and periordical kiosks were built extensively in China. Thanks to all these actions, retail segment enjoyed a substantial growth. According to statishcs, in 1999, 5,842 newly-built retail ouets run by post added the total number of post-running and franchised ouhets up to 35,667. In 1999, Postal Audio-visual Products Leasing saw a vital growth. With Guangdong province at the heart, an operating system featured with centralized data, centralized import and mass production took shape. More than 4,000 service outlets operated in 20 provinces (regions) providing audio-visual products and publications. Kunming, Haikou and Naming have cultivated relatively large audio-visual product supermarkets. A special post route for Newspaper & Periodical Distribution was opened and special transposition routes were developed successively in 15 provinces in China, which served as a robust backup to enhance the delivery efficiency of newspaper and periodical and to consolidate the service presence la the market.

Newspaper & Periodical Collechng aam Delivering system was built up and greatly improved the service level. Post offices at venous levels actively Pfomoted Collection & Distribution Combination reform. In view of the time requirement for delivery, Newspaper and Periodical Distribution practised early distribution for Dailys, combined collection with distribution and provided home delivery in high-rises. Consequendy, early distribution served an ever-growing area and 97% of post offices at the provincial level employed early distribution for Dailys. In addition to consolidating annual subscription, intensified effor'ts were input to strengthening such services as regular subscription, renewal subscription and supplemental subscription. Taking advantage of the extensive post network and the distinctive industry strength, Collective Subscription and Separate Delivery program went live in Newspaper and Periodical Distribution sectors at all levels. Endeavors were invested to explore individual subscription, contributing to "no downturn in off season". What's more, post offices throughout China abolished non-distribution and non-collechon on weekends, shortened internal processing cycle and won good remarks from readers and newspaper agencies.

In 1999, Newspaper and Periodical Distribuhon adopted a series of new methods in operation and distribuhon such as, exclusive sales and subscription intermediary service, simplified distribution, collechve and subscriphon and separate distribuhon, etc which injected vitality in business development. Distribuhon volume of many kinds of newspapers and periodicals enjoyed a steady growth this year. In 2000, post is to distribute 6,653 kinds of newspapers and periodicals, 512 kinds more than 1999.