HONG KONG, Dec. 28 /PRNewswire-Asia/ -- Euro Tech Holdings Company Limited (Nasdaq: CLWT) today reported its unaudited financial results for the six months ended June 30, 2009.

The Company's revenues for the six months ended June 30, 2009 were approximately $14,122,000, a 5% increase as compared to approximately $13,389,000 for the six months ended June 30, 2008.

The net income for six months ended June 30, 2009 was approximately $11,000, as compared to $4,000 for the six months ended June 30, 2008. The principal reason for the increase was contribution from Blue Sky and Jia Huan, affiliates of Euro Tech.

Mr. T.C. Leung, Chairman and CEO of the company commented:

"China could not escape the impact of the global financial crisis, 2009 is a tough year for us, as the aftermath of the global financial crisis still affected most of our customers, namely, the multinationals, local small and medium enterprises, to make decision for investments. It was not until late 2009 that small and medium private enterprises could get some benefits from the most talked about stimulus package (about 570 billion US dollars) which until recently, has been focusing mainly on National large infrastructure projects.

During the lull period, we have however been spending more resources with confidence on strengthening our internal control and management to comply with the Sarbanes-Oxley Act requirement, developing more new environmental protection instruments and equipment to reduce the emissions of pollutants in air and water, and taking part in more related exhibitions to actively promote our products both inside and outside China.

In wake of the global financial crisis, and amid the global economy on the verge for recovery, we have also been working on quite a number of engineering projects, and some of them are likely to be materialized in early and mid 2010.

We definitely feel we are now much better prepared, equipped, and focused on environmental protection business than before the global financial crisis to face the challenging 2010 and promising future."

About PACT Engineering

Pact Asia Pacific Ltd. and Yixing Pact Environmental Technology Company Ltd. (collectively known as "PACT Engineering"), based in Shanghai, is a global provider of environmental solutions for industrial and municipal clients, focusing on water and wastewater treatment. Pact's capabilities cover design, manufacturing, sourcing, installation and servicing of water/wastewater treatment, water desalination plants and equipment.

About Blue Sky

Zhejiang Tianlan Environmental Technology Co. Ltd. in Zhejiang, China ("Blue Sky"), found in 2000, is a fast growing company which provides a comprehensive service for design, general contract, equipment manufacturing, installation, testing and operation management of the treatment of waste gases emitted from various boilers and industrial furnaces of power plants, steel works and chemical plants.

About Jia Huan

 Zhejiang Jia Huan Electronic co. Ltd. ("Jia Huan"), an established and profitable company, has been in business since 1969. 95% of Jia Huan's business is related to air pollution control and less than 5% is for water and wastewater treatment. Jia Huan designs and manufactures automatic control systems and electric voltage control equipment for electrostatic precipitators which are major air purification equipment for power plants, cement plants and incinerators to remove and collect dust and pollutants from the exhaust stacks

Certain statements in this news release regarding the Company's expectations, estimates, present view of circumstances or events, and statements containing words such as estimates, anticipates, intends, or expects, or words of similar import, constitute forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements indicate uncertainty and the Company can give no assurance with regard to actual outcomes. Specific risk factors may include, without limitation, having the Company's offices and operations situated in Hong Kong and China, doing business in China, competing with Chinese manufactured products, competing with the Company's own suppliers, dependence on vendors, and lack of long term written agreements with suppliers and customers, development of new products, entering new markets, possible downturns in business conditions, increased competition, loss of significant customers, availability of qualified personnel, negotiating definitive agreements, new marketing efforts and the timely development of resources. See the "Risk Factor" discussions in the Company's filings with the Securities and Exchange Commission, including its Annual Report on Form 20-F for its fiscal year ended December 31, 2008.

 -- Tables to Follow --



 EURO TECH HOLDINGS COMPANY LIMITED
 CONSOLIDATED BALANCE SHEETS


 As of As of
 June 30, December 31,
 2009 2008
 (Unaudited) (Audited)
 US$'000 US$'000

 Assets

 Current assets:
 Cash and cash equivalents 6,605 7,146
 Restricted cash 767 388
 Accounts receivable, net 5,592 6,707
 Prepayments and other current assets 1,634 1,041
 Inventories, net 1,819 2,600

 Total current assets 16,417 17,882


 Property, plant and equipment, net 1,430 1,513

 Investments in affiliates 7,947 7,679

 Goodwill 1,060 1,060

 Deferred tax assets 156 144


 Total assets 27,010 28,278


 Liabilities and shareholders' equity

 Current liabilities:
 Accounts payable 3,911 5,838
 Other payables and accrued expenses 3,797 2,844
 Taxation payable 577 617

 Total current liabilities 8,285 9,299


 Minority interest 1,890 1,986


 Commitments and contingencies -- --


 Shareholders' equity:
 Ordinary share, par value US$0.01 each,
 20,000,000 (As of December 31, 2008:
 20,000,000) shares authorized;
 12,202,031 (As of
 December 31, 2008: 12,202,031) shares
 issued and outstanding 122 122
 Additional paid-in capital 9,495 9,495
 Treasury stock, 598,734 (As of December
 31, 2008: 381,692) shares at cost (454) (281)
 PRC statutory reserve 200 200
 Accumulated other comprehensive income 483 478
 Retained earnings 6,989 6,979

 Total shareholders' equity 16,835 16,993

 Total liabilities and shareholders'
 equity 27,010 28,278



 EURO TECH HOLDINGS COMPANY LIMITED
 CONSOLIDATED STATEMENTS OF INCOME
 FOR THE SIX MONTHS ENDED JUNE 30, 2009 AND 2008


 2009 2008
 (Unaudited) (Unaudited)
 US$'000 US$'000

 Revenue
 Trading and manufacturing 11,067 9,203
 Engineering 3,055 4,186

 Total revenue 14,122 13,389

 Cost of revenue
 Trading and manufacturing (8,863) (7,129)
 Engineering (2,179) (3,073)

 (11,042) (10,202)

 Gross profit 3,080 3,187

 Selling and administrative
 expenses (3,243) (3,330)

 Operating loss (163) (143)
 Interest income 20 20
 Other income, net 14 98

 Loss before income taxes,
 minority interest and equity in
 profit of affiliates (129) (25)

 Income taxes (77) (7)

 Minority interest in profits of
 subsidiaries (51) (127)

 Equity in profit of affiliates 268 163

 Net income 11 4


 Net income per ordinary share
 - Basic US$0.0009 US$0.0003

 - Diluted US$0.0009 US$0.0003

 Weighted average number of
 ordinary shares outstanding
 - Basic 11,707,655 11,788,678

 - Diluted 11,863,865 12,216,740



 CONTACT:

 Euro Tech Holdings Company Limited, Hong Kong
 T.C. Leung, Chairman and CEO, or
 Jerry Wong, CFO
 Tel: +852-2814-0311
 Fax: +852-2873-4887
 Website: http://www.euro-tech.com

 PACT Engineering's Website: http://www.pactchina.com
 PACT Manufacturing's Website: http://www.pact-mfg.com
 Blue Sky's Website: http://www.tianlan.cn