China Information Technology, Inc. Terminates Share Repurchase Plan; Chairman & CEO Adopts New $2 Million Purchase Plan, Makes Non-Plan Private Purchase of 1.1 Million Shares

China Information Technology, Inc. CNIT today announced that its Board of Directors has approved the termination of its stock purchase plan. At the same time, the Company's chairman and chief executive officer, Mr. Jiang Huai Lin, entered into a new $2 million purchase plan. Mr. Lin also agreed to purchase 1,084,895 shares in a private transaction outside the purchase plan at a purchase price per share of $1.20. The Company has approximately 27.0 million shares outstanding, approximately 41.0% of which are currently held by Mr. Lin, not including the pending acquisition of approximately 1.1 million shares as described above. Mr. Lin commented, "To reemphasize my commitment to the Company and my belief in its potentially strong future, I have decided to continue the increase in my equity holdings in the Company by reinitiating my purchases under our purchase plan and making a separate private purchase. At the same time, the termination of the Company's share repurchase plan will enable it to devote more resources to other priorities such as marketing and research and development." The purchases under the new purchase plan will be made from time to time on the open market or in privately negotiated transactions at the discretion of Mr. Lin's broker, subject to market conditions and other factors, including black-out periods during which Mr. Lin and others are prohibited from trading in the Company's shares.