National Press Release

HARBIN, China, March 23 /PRNewswire-Asia-FirstCall/ -- China XD Plastics Company Ltd. ("China XD Plastics" or the "Company"), (OTC Bulletin Board: CXDC), as the largest Chinese manufacturer of modified plastics for automotive applications, is engaged in the development, manufacturing, and distribution of modified plastics primarily for use in automotive applications, today reported financial results for the fourth quarter and year ended December 31, 2008.

    Fourth Quarter 2008 Highlights
    -- Net revenue was $20.0 million, an increase of 41.8% from the fourth
       quarter of 2007
    -- Gross profit was $3.4 million, an increase of 56.9% from the fourth
       quarter of 2007
    -- Gross profit margin was 17.1%, compared to 15.4% in the fourth quarter
       of 2007
    -- Income from operations was $2.5 million, an increase of 39.2% from the
       fourth quarter of
    -- Net income was $2.2 million, up 40.2% from $1.6 million in the fourth
       quarter of 2007
    -- Diluted earnings per share is 0.06 compare to 0.04 in the fourth
       quarter of 2007

    Full Year 2008 Highlights
    -- Net revenue was $75.8 million, an increase of 121.7% from 2007
    -- Gross profit was $17.3 million, an increase of 173.1% from 2007
    -- Gross profit margin was 22.9%, compared to 18.6% in 2007
    -- Income from operations was $14.5 million, an increase of 157.6% from
       2007
    -- Net income was $13.7 million, an increase of 159.6% from 2007
    -- Diluted earnings per share were $0.35, compare to $0.14 in 2007

"We are excited to report a year of strong financial performance. Amid the global economic downturn in 2008, we still successfully realized our annual sale target to over 40,000 tons by broadening our customer base, expanding our product offering, increasing spending on research and development and reducing costs by streamlining operation," said Mr. Jie Han, Chairman and Chief Executive Officer of China XD Plastics. "We were also very pleased to become a publicly listed company in the US markets, which we believe, will provide us with access to capital to grow our business profitably and deliver lasting value to our shareholders."

Fourth Quarter 2008 Results

Revenues for the fourth quarter of 2008 were $20.0 million, up 41.8% compared to $14.1 million for the same period of 2007. The increase in revenue is primarily attributable to the increase in sales volume to 13,402 tons compared to 9,868 tons during fourth quarter of 2007. In addition, the Company benefited from a general increase in prices of modified plastics as well as from foreign exchange translation benefits, and a higher sales volume from high value-added products.

Gross profit for the fourth quarter of 2008 was $3.4 million, up 56.9% from $2.2 million in the fourth quarter 2007. Gross margin during the quarter increased to 17.1% from 15.4% in the same period last year, driven by a higher portion of revenue contributed from higher margin products. The average selling price for the fourth quarter of 2008 is $1,490 compared to $1,427 in the same period of last year.

Selling expenses for the fourth quarter of 2008 were $0.08 million or 0.4% of revenue, down from $0.1 million, or 0.7% of revenue, in the same period last year due to cost control measures adopted by the Company during the worldwide economic downturn. General and administrative (G&A) expenses were $0.6 million, or 3.2% of revenue, up from $0.2 million, or 1.4% of revenue for the same period last year. The increase in G&A expenses was due to the increase in personnel cost, auditing, and legal fees and costs associated with listing as a public company in the US. Research and Development ("R&D") expenses increased 128.3% to $0.22 million, or 1.1% of revenue compared to 0.7% of revenue in the same period last year. The increase in R&D expenses was primarily due to the establishment of the Company's wholly owned research and development center in 2007 and spending on research and development of new products during the fourth quarter of 2008.

Operating income for the fourth quarter of 2008 was $2.5 million, up 39.2% from $1.8 million in the same period a year ago. Operating margin was 12.3% compared to 12.6% in the fourth quarter of 2007 due to the increase in operating expenses.

Fourth quarter interest expense of $0.2 million was directly associated with the Company's short term debts. An interest expense of $0.03 million was recorded in the fourth quarter of 2007.

Net income in the fourth quarter of 2008 was $2.2 million, up 40.2% from $1.6 million in the same period last year. Fully diluted earnings per share for the fourth quarter of 2008 were$0.06, compared with fully diluted earnings per share of $0.04 in the fourth quarter of 2007.

Full Year 2008 Results

Revenue for the full year 2008 increased 121.7% to a record $75.8 million compared with $34.2 million in 2007. Total production volume in 2008 was 47,863 tons, with the capacity utilization rate of 92%. Gross profit was $17.3 million, up 173.1% from $6.3 million for the full year 2007. Gross margin was 22.9% in 2008 compared to 18.6% in 2007. The average selling price was $1,843 per ton in 2008 compare to $1,423 per ton in 2007. Income from operations was $14.5 million in 2008, up 157.6% from $5.6 million in 2007. Net income increased 159.6% to $13.7 million from $5.3 million in 2007. Fully diluted earnings per share for 2008 were $0.35 compared to $0.14 for the full year 2007.

Financial Condition

As of December 31, 2008, China XD plastics had $3.9 million in cash and cash equivalents, $4.1 million in working capital and a current ratio of 1.10. Shareholder's equity at the end of 2008 stood at $24.1 million compared to $9.5 million at the end of 2007.

Recent Events

On February 5 2009, China XD Plastics announced to the completion of a 1-for-124.1 reverse split of its Common Stock that took effect with the opening of the stock market on February 6, 2009 and its trading symbol changed to "CXDC" (OTC Bulletin Board: CXDC) on the OTC Bulletin Board from "NBTE".

On February 17, 2009, China XD Plastics announced that the Company's wholly owned subsidiary, Harbin Xinda Macromolecule Material Co., Ltd. ("Xinda"), was recognized as the Enterprise with the highest growth potential by the China Engineering Plastics Industry Association ("CEPIA"), which also honored Mr. Jie Han, Chairman and Chief Executive Officer of China XD Plastics, with the outstanding entrepreneur.

On March 11, 2009, China XD Plastics announced that the Company's US office representative, Mr. Kirby Zhao, was interviewed by the Wall Street Transcript and ICIS News to discuss the Company's leading position in the industry of modified plastics in China and management's expectation for the continued growth of the Chinese auto industry.

Business Outlook

According to industry analysts, auto sales in China are estimated to hit 10.7 million in 2009, compared to 9.4 million in 2008. The Company expects to see continued growth of the auto industry in China, which is expected to contribute to a further increase in the demand for the Company's products.

For the full year 2009, the Company expects revenues between the range of $110 million to $130 million, and net income in the range of $17 million to $20 million.

"Despite the slowdown of the global economy, Chinese auto sales volume are projected to increase 10% compared to the sales volume in 2008 due to the implementation of the stimulus plan to increase domestic demand and revitalize the automobile industry. The auto industry in China is expected to keep its upward trend. We believe that we will be able to further leverage our integrated business model including state-of-art R&D institute, experienced marketing and management team to steadily increase our offering of high value added products," said Mr. Jie Han, Chairman and Chief Executive Officer of China XD Plastics. "We also continue to be optimistic about the near term and long term health of the Chinese automotive industry."

About China XD Plastics Company Ltd.

China XD Plastics Company Ltd., through its wholly owned subsidiary Harbin Xinda Macromolecule Material ("Xinda"), develops, manufactures, and distributes modified plastics, primarily for automotive applications. The Company's specialized plastics are used in the exterior and interior trim and in the functional components of more than 30 automobile brands manufactured in China including Audi, Red Flag, Volkswagen and Mazda. The Company's wholly owned research institute is dedicated to the research and development of modified plastics and benefits from technology collaboration with well-known scientists from leading Universities in China. At present, Xinda manufactures approximately 145 types of automobile-specific modified plastic products, 117 of which have been certified for use by one or more of the automobile manufacturers in China. For more information please visit http://www.chinaxd.net .

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements, including but not limited to, the Company's ability to raise additional capital to finance the Company's activities; the effectiveness, profitability, and the marketability of its products; legal and regulatory risks associated with the share exchange; the Company's ability to successfully expand its production capacity; the future trading of the common stock of the Company; the Company's ability to operate as a public company; the period of time for which its current liquidity will enable the Company to fund its operations; the Company's ability to protect its proprietary information; general economic and business conditions; the volatility of the Company's operating results and financial condition; the Company's ability to attract or retain qualified senior management personnel and research and development staff; and other risks detailed in the Company's filings with the Securities and Exchange Commission and available on its website at http://www.sec.gov . These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about the companies and the industry. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

                          -Financial Tables Follow-



                       CHINA XD PLASTICS COMPANY LIMITED
                           (FORMERLY NB TELECOM, INC.)
      CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME
                FOR THE YEARS ENDED DECEMBER 31, 2008 AND 2007

                                                  For Three Months Ended
                                                        December 31,
                                                   2008              2007
                                               (Unaudited)       (Unaudited)
    Sales                                      $19,963,425       $14,078,703
    Cost of sales                               16,551,030        11,904,489
    Gross profit                                $3,412,395        $2,174,213

    Operating Expenses
    Research and development expenses              221,248            96,890
    Selling expenses                                80,827           102,732
    General and administrative expenses            645,388           204,003
    Total Operating Expenses                       947,461           403,625

    Total Operating Income                      $2,464,932        $1,770,589

    Other Income (expenses)
    Interest Income (expenses)                    (205,784)          (34,745)
    Other Income/Subsidy Income                      2,618             3,836
    Other expenses                                  (1,258)         (135,542)
    Total Other income (expense)                  (204,424)         (166,451)

    Income before income taxes                  $2,260,507        $1,604,137

    Provision for income taxes                      10,921                 0

    Net Income                                  $2,249,587        $1,604,137

    Other Comprehensive Income
    Foreign Currency Translation
     Adjustment                                   (123,011)          245,733

    Comprehensive Income                        $2,126,576        $1,849,871

    Basic and Diluted Income per common
     share
       Basic                                         $5.11             $3.95
       Diluted                                       $0.06             $0.04

    Weighted average common share
     outstanding
       Basic                                       440,585           405,802
       Diluted                                  38,634,657        38,599,874


                                                         Years Ended
                                                         December 31,
                                                   2008              2007

    Sales                                      $75,765,428       $34,177,415
    Cost of sales                               58,431,799        27,829,973
    Gross profit                               $17,333,629        $6,347,440

    Operating Expenses
    Research and development expenses              778,994           189,329
    Selling expenses                               322,650           131,772
    General and administrative expenses          1,747,648           403,834
    Total Operating Expenses                     2,849,292           724,935

    Total Operating Income                     $14,484,337        $5,622,507

    Other Income (expenses)
    Interest Income (expenses)                    (687,659)         (152,684)
    Other Income/Subsidy Income                     28,283            10,434
    Other expenses                                (102,139)         (207,687)
    Total Other income (expense)                  (761,515)         (349,937)

    Income before income taxes                 $13,722,822        $5,272,569

    Provision for income taxes                      35,332                 0

    Net Income                                 $13,687,490        $5,272,569

    Other Comprehensive Income
    Foreign Currency Translation
     Adjustment                                    908,069           482,932

    Comprehensive Income                       $14,595,559        $5,755,502

    Basic and Diluted Income per common
     share
       Basic                                        $33.02            $12.99
       Diluted                                       $0.35             $0.14

    Weighted average common share
     outstanding
       Basic                                       414,569           405,802
       Diluted                                  38,608,641        38,599,874



                      CHINA XD PLASTICS COMPANY LIMITED
                        CONSOLIDATED BALANCE SHEETS
                  FOR THE YEARS ENDED DECEMBER 31, 2008 AND 2007

                                                   2008              2007
    ASSETS
    Current assets:
    Cash and cash equivalents                   $3,869,035           $87,455
    Restricted Cash                              3,664,346         5,428,673
    Notes Receivable                               303,437                --
    Accounts receivable -- net of
     allowance for bad debts of                         --                --
     $100,148 and $93,219, respectively         11,234,507         5,117,840
    Other receivables                               21,917             6,360
    Inventory                                   12,438,782         5,587,862
    Prepaid expenses                                    --            21,393
    Due from related parties                            --           105,537
    Advance to employees                            92,329           122,298
    Advances to suppliers                       13,131,074         1,746,063

    TOTAL CURRENT LIABILITIES                  $44,755,427       $18,223,481

    Property, plant and equipment, net          19,332,712         7,533,619

    Other Assets:
    Deferred Charges                               378,073                --
    Intangible assets, net                         247,681           236,867
    Total other assets                            $625,754          $236,867

    TOTAL ASSETS                               $64,713,893       $25,993,967

    LIABILITIES AND SHAREHOLDERS' EQUITY
    Current liabilities:
    Short Term Loan                            $20,520,337        $1,370,877
    Notes Payable                               $8,061,561       $12,886,245
    Accounts payable                              $113,232          $647,436
    Other payable                                 $106,232           $31,861
    Accrued expenses                              $820,625           $43,940
    Tax payable                                    $17,777        $1,454,745
    Due to related parties                      $7,542,950                $0
    Deferred revenue                            $3,469,796           $93,040

    TOTAL CURRENT LIABILITIES                  $40,652,510       $16,528,144

    Stockholders' equity

    Common Stock, $0.0001 par value,
     100,000,000 shares authorized,
     805,802 and 405,402
     shares issued and outstanding as of
     December 31, 2008 & December 31,
     2007, respectively                                 81                41
    Series A Preferred Stock, $0.0001 par
     value, 10,000,000 shares authorized,
     1,000,000 shared issued and
     outstanding as of December 31, 2008
     and 2007, respectively                            100               100
    Series B Preferred Stock, $0.0001 par
     value, 10,000,000 shares authorized,
     1,000,000 shared issued and
     outstanding as of December 31, 2008
     and 2007, respectively                            100               100

    Additional Paid-in-Capital                   2,482,786         2,482,826
    Retained earnings                           20,051,141         6,363,651
    Accumulated other comprehensive
     income                                      1,527,175           619,106

    TOTAL STOCKHOLDERS' EQUITY                 $24,061,383        $9,465,824

    Total LIABILIBY AND STOCKHOLDERS'
     EQUITY                                    $64,713,893       $25,993,967



                             CHINA XD PLASTICS COMPANY LIMITED
                           CONSOLIDATED STATEMENTS OF CASH FLOWS
                      FOR THE YEARS ENDED DECEMBER 31, 2008 AND 2007

                                                    2008              2007

    Cash flows from operating activities
    Net income                                  $13,687,490        $5,272,570
    Adjustments to reconcile net income
     to net cash provided by
     (used in) operating activities:
    Depreciation & amortization                     967,105           280,925
    Bad debt expense                                     --            89,424
    Gain on disposal of fixed assets                     --            (3,774)
    Changes in assets and liabilities:
    (Increase) decrease in -
    Restricted cash                               2,101,449          (559,438)
    Accounts receivable and other
     receivables                                 (5,677,947)         (183,301)
    Tax Receivable                                       --             4,255
    Inventories                                  (6,347,868)         (987,411)
    Prepaid expenses                                 22,462                --
    Notes receivables                              (293,656)               --
    Advance to employees                             37,740           297,060
    Advances to suppliers                       (11,061,383)       (1,577,433)
    Deferred charge                                (371,266)               --
    Increase (decrease) in -
    Accounts payable and other payable             (497,713)       (2,187,580)
    Accrued expenses                                759,716            21,778
    Tax payable                                  (1,509,948)        1,454,745
    Deferred revenue                              3,309,634            (7,176)

    Net cash provided by (used in)
     operating activities                        (4,874,185)        1,914,643

    Cash flows from investing activities
    Purchase of fixed assets                    (12,037,135)       (4,393,949)
    Proceeds from sale of fixed assets                   --           144,657
    Collection on due from related party            110,808                --

    Net cash used in investing activities       (11,926,327)       (4,249,292)

    Cash flows from financing activities
    Proceeds (Repayment) from Short Term
     Loan                                        18,711,534        (1,315,063)
    Proceeds from bank acceptance notes
     payable                                     20,582,687         1,354,858
    Repayment of bank acceptance notes
     payable                                    (26,196,147)               --
    Proceeds from related party Loan              7,411,175         1,850,861

    Net cash provided by financing
     activities                                  20,509,249         1,890,656

    Effect of exchange rate changes on
     cash and cash equivalents                       72,843           202,956

    Net increase(decrease) in cash and
     cash equivalents                             3,781,580          (241,037)

    Cash and cash equivalents, beginning
     of year                                         87,455           328,492

    Cash and cash equivalents, end of
     year                                        $3,869,035           $87,455

    Supplemental disclosures of cash flow
     information:

           Interest paid                           $700,260          $212,926
           Income taxes paid                         $7,600              $ --



    For more information, please contact:

    China XD Plastics Company Ltd.
     Mr. Kirby Zhao, US Representative
     Phone: +1-212-747-1118 (New York)

     Mr. Allan Lao, IR Director
     Phone: +86-451-8434-6600 (China)

     Email: ir@chinaxd.net
     Web:   http://www.chinaxd.net/

    CCG Investor Relations
     Mr. Crocker Coulson, President
     Phone: +1-646-213-1915 (New York)

     Mr. Ed Job, CFA
     Phone: +1-646-213-1914 (New York)
     Email: ed.job@ccgir.com
     Web:   http://www.ccgirasia.com

SOURCE China XD Plastics Company Ltd.