ZHEJIANG, CHINA -- (Marketwire) -- 08/16/10 -- Chisen Electric Corporation (OTCBB: CIEC) (the "Company"), a leading lead-acid motive battery producer for the electric bicycle market in the People's Republic of China, announced today first quarter results for the period ended June 30, 2010. In the quarter the Company saw continued strong growth in sales of its lead acid battery products, given the sustained demand for electric bicycles in China. This produced a sharp increase in first quarter revenues compared to the same period in 2009.

In the first quarter of 2010, revenues increased 71.1% to $50,429,000 from $29,475,000 in the same period the prior year. Units sold in this year's first quarter increased 61% to 4,017,000, compared to 2,498,000 units in the same period the prior year. Net income for the quarter decreased 24.9%, however, to $1,506,000 compared to $2,005,000 in the first quarter of 2009. In order to maintain competitiveness, the Company explained that it carried out promotional activities and offered sales discounts and rebates to its customers, which increased the cost of sales to 90% of revenues for the quarter compared to 81.78% in the same period the prior year.

Mr. Xu Kecheng, President and CEO, stated, "We are extremely pleased that Chisen has been able to continue to benefit from the growth in popularity of electrical bicycles in China -- an extremely energy efficient and environmentally friendly form of transportation. We will remain competitive to maintain and expand market share, but also will look for new sales channels and distributors as well as ways to lower production costs. We also continue to seek an appropriate acquisition to expand market share and optimize production capacity."

SEE TABLE BELOW

Description of Chisen Electric Corporation

Chisen Electric Corporation, incorporated in Nevada, USA, and headquartered in Zhejiang Province, the People's Republic of China, is a leading lead-acid motive battery producer for China's personal transportation device market. The Company's battery products are sold under its own brand names and are predominantly used in electric bicycles. Among all types of batteries for electric bicycles, the lead-acid motive battery is the preferred choice for electric bicycle manufacturers in China because of its cost efficiency. In the fiscal year ended March 31, 2010, the Company manufactured more than 14.48 million batteries and achieved a market share of approximately 11.84% for its Lead Acid Motive Batteries for electric bicycles in China.

"Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995:

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current expectations or beliefs, including, statements concerning the Company's operations, financial performance and condition. For this purpose, statements that are not statements of historical fact may be deemed to be forward-looking statements. The Company cautions that these statements by their nature involve risks and uncertainties, and actual results my differ materially depending on a variety important factors, including, but not limited to, the impact of competitive conditions and effectiveness of marketing; changes in laws and regulations; fluctuations in costs of production, financing and other factors as discussed in the Company's reports filed with the Securities and Exchange Commission from time to time, In addition, the Company disclaims any obligation to update any forward-looking statement to reflect events or circumstances after the date hereof. No securities regulatory authority has either approved or disapproved the contents of this new release. The Company filings with the US Securities and Exchange Commission, including the annual report for the fiscal year ended March 31, 2009 on Form 10-K, can be viewed on EDGAR Online or at www.sec.gov.

Chisen Electric Corporation Unaudited Condensed Consolidated Statements of
Operations and Other Comprehensive Income
For the three months ended June 30, 2010 and 2009


                                                      Three months ended
                                                           June 30,
                                                   ------------------------
                                                          2010         2009
                                              Note     US$'000      US$'000
Operating revenues:
  Net sales to third parties                            50,429       29,475

Cost of sales                                          (45,392)     (24,105)
                                                   -----------  -----------

Gross income                                             5,037        5,370

Operating expenses:
  Sales, marketing and distribution                     (2,512)      (1,787)
  General and administrative                              (684)      (1,056)
                                                   -----------  -----------

Operating income                                         1,841        2,527

Other income, net                                          503          147
Interest income                                             96           55
Interest expense                                          (685)        (369)
                                                   -----------  -----------

Income before income taxes                               1,755        2,360

Income taxes expenses                           4         (249)        (355)
                                                   -----------  -----------

Net income                                               1,506        2,005

Other comprehensive income
Foreign currency translation adjustment                    121            1
                                                   -----------  -----------

Comprehensive income                                     1,627        2,006
                                                   ===========  ===========


                                                        Shares       Shares

Earnings per share                              3
Weighted average number of common stock
 outstanding - basic and diluted                    50,000,000   50,000,000
                                                   ===========  ===========

                                                           US$          US$

Net income per share of common stock - basic
 and diluted                                              0.03         0.04
                                                   ===========  ===========