BEIJING and SANTA CLARA, Calif., July 28 /PRNewswire-Asia-FirstCall/ -- AsiaInfo-Linkage, Inc. (Nasdaq:ASIA - News), ("AsiaInfo-Linkage" or the "Company") a leading provider of telecom software solutions and IT security products and services in China, today announced financial results for the second quarter of 2010.

AsiaInfo-Linkage's Chief Executive Officer, Steve Zhang, commented, "We are pleased with our strong financial results this quarter, achieving a record high operating margin and year-over-year non-GAAP EPS growth of 35 percent. In the second quarter, we worked to close our merger with Linkage, which was successfully completed on July 1st. We have already witnessed positive momentum resulting from our merger. Specifically, we recently won new market share in our China Telecom account in Yunnan and Guizhou provinces and successfully started to cross-sell Internet data center operation management products for Jiangsu Mobile. Overall, the integration process has moved along rather smoothly and we are starting to realize the synergies. Besides our core revenue drivers, we are pleased that our cable BSS business has started to contribute more meaningful revenue as our overseas business development team explores opportunities to grow in Southeast Asia."

    (1) Net revenue (non-GAAP), a non-GAAP measure, represents total revenue
        net of third-party hardware costs. A reconciliation of net revenue
       (non-GAAP) to GAAP revenue is provided at the end of this press release.
    (2) Operating margin of net revenue (non-GAAP) is operating income divided
        by net revenue (non-GAAP).

Second Quarter 2010 Financial Results

On July 1, 2010, AsiaInfo Holdings, Inc. ("AsiaInfo") completed its merger with IT software and solutions provider Linkage Technologies International Holdings Limited ("Linkage") and was renamed AsiaInfo-Linkage. Starting in the third quarter of 2010, AsiaInfo-Linkage will consolidate Linkage's operating results and financial position.

Total revenue for the second quarter of 2010 was US$66.9 million, an increase of 14.2% year-over-year and 5.4% sequentially. Meeting guidance, net revenue (non-GAAP) for the second quarter of 2010 was US$65.6 million, an increase of 22.9% year-over-year and 6.2% sequentially. The year-over-year and sequential increases were driven by strong demand from China's major telecom carriers.

During the quarter, gross margin was 59.4%, compared to 49.1% in the year-ago period and 61.5% in the previous quarter. The slight sequential decrease in gross margin is in line with historical gross margin levels and the year-over-year increase was primarily due to a strong contribution from higher-margin software solutions and services projects during the second quarter. Gross margin as a percentage of net revenue (non-GAAP) was 60.6% in the second quarter of 2010, compared to 53.9% in the year-ago period and 63.2% in the previous quarter.

In the second quarter of 2010, the AsiaInfo Technologies business unit, which focuses on telecommunications software and services, contributed 88.7% to both total revenue and net revenue (non-GAAP). Total revenue for the AsiaInfo Technologies business unit increased 12.5% year-over-year and 0.1% sequentially to US$59.3 million. Net revenue (non-GAAP) for the AsiaInfo Technologies business unit increased 21.3% year-over-year and 0.8% sequentially to US$58.1 million. The year-over-year increase in net revenue (non-GAAP) mainly reflects demand from telecom carriers in China and a steady inflow of contract tenders to upgrade and maintain existing installations.

In the second quarter of 2010, the Lenovo-AsiaInfo business unit, which focuses on IT security products and services, contributed 11.3% both to total revenue and net revenue (non-GAAP). Total revenue for the Lenovo-AsiaInfo business unit increased 28.9% year-over-year and 79.2% sequentially to US$7.6 million. Net revenue (non-GAAP) for the Lenovo-AsiaInfo business unit increased 36.6% year-over-year and 82.9% sequentially to US$7.4 million. The year-over-year increase reflects customers' demand for professional consultants to assist in the installation and maintenance of IT solutions. Sequentially, the notable increase is primarily due to seasonality, as sales in the Lenovo-AsiaInfo business unit are typically the weakest in the first quarter. Please refer to the end of this press release for condensed segmented financial results for AsiaInfo-Linkage's two business units.

Total operating expenses increased 12.6% year-over-year and decreased 10.0% sequentially to US$25.2 million. The sequential decrease was primarily due to non-recurring merger-related expenses as well as a bad debt provision in the first quarter. Sales and marketing expenses increased 8.8% year-over-year and 4.8% sequentially to US$10.8 million. The year-over-year increase was mainly due to higher sales commission expenses incurred upon signing new contracts. General and administrative expenses increased 25.9% year-over-year and decreased 46.9% sequentially to US$4.6 million. The year-over-year increase was largely the result of merger-related expenses and the sequential decrease was primarily due to US$3.5 million in merger-related expenses incurred in the first quarter. Research and development expenses increased 11.2% year-over- year and 8.7% sequentially to US$9.8 million, which mainly reflect the Company's need to continue to develop best-of-class products and upgrades to meet the demand of customers.

Income from operations for the second quarter of 2010 was US$14.5 million, an increase of 126.9% year-over-year and a 31.6% sequentially. Operating margin of total revenue(3) was 21.7% for the second quarter of 2010, compared to 10.9% in the year-ago period and 17.4% in the previous quarter. Operating margin of net revenue (non-GAAP) was 22.2% for the second quarter of 2010, compared to 12.0% in the year-ago period and 17.9% in the previous quarter. The year-over-year and sequential margin improvement were mainly the result of improved operational efficiency and reduced sales costs.

Other income for the second quarter of 2010 was US$1.4 million, a decrease of 19.5% from US$1.8 million in the year-ago period and an increase of 112.5% from US$665,000 in the previous quarter.

In the second quarter of 2010, AsiaInfo-Linkage recorded net income attributable to AsiaInfo-Linkage, Inc. of US$13.9 million, or US$0.29 per basic share, compared to US$7.2 million, or US$0.16 per basic share, in the year-ago period and US$10.3 million, or US$0.22 per basic share, in the previous quarter.

Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP)(4) was US$16.7 million in the second quarter of 2010, or US$0.35 per basic share. Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) in the year-ago period was US$11.4 million, or US$0.26 per basic share. Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) in the previous quarter was US$16.2 million, or US$0.34 per basic share. Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) increased 46.9% year-over-year and 3.1% sequentially.

As of June 30, 2010, AsiaInfo-Linkage had cash and cash equivalents and restricted cash totaling US$230.0 million and short-term investments totaling US$44.2 million. Operating cash flow in the second quarter of 2010 was a net outflow of approximately US$15.6 million. The negative operating cash flow was primarily the result of annual bonus payouts and a seasonal collection slowdown.

    (3) Operating margin of total revenue is operating income divided by total
        revenue.
    (4) Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) and net
        income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) per share
        measures exclude share-based compensation expenses, amortization of
        acquired intangible assets, after-tax dividend income, and non-
        recurring merger related expenses. A reconciliation of these non-GAAP
        measures to the most directly comparable GAAP measures is provided at
        the end of the press release.

First Half 2010 Financial Results

Total revenue for the first half of 2010 was US$130.3 million, an increase of 19.0% year-over-year. Net revenue (non-GAAP) for the first half of 2010 was US$127.3 million, an increase of 26.0% year-over-year.

In the first half of 2010, gross margin was 60.4%, compared to 51.4% in the year-ago period. Gross profit as a percentage of net revenue (non-GAAP) was 61.9% in the first half of 2010, compared to 55.7% in the year-ago period.

Income from operations for the first half of 2010 was US$25.6 million, an increase of 103.0% year-over-year.

In the first half of 2010, AsiaInfo-Linkage recorded net income attributable to AsiaInfo-Linkage, Inc. of US$24.3 million, or US$0.51 per basic share, compared to US$13.0 million, or US$0.30 per basic share, in the year-ago period, an increase of 86.6% year-over-year.

Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) was US$32.9 million or US$0.69 per basic share in the first half of 2010, an increase of 78.1% year-over-year.

Business Outlook

Starting in the third quarter of 2010, AsiaInfo-Linkage will consolidate Linkage's operating results and financial position.

The Company noted that its third quarter 2010 net revenue (non-GAAP) guidance accounts for temporary project delays in its China Unicom and China Telecom accounts.

AsiaInfo-Linkage expects third quarter 2010 net revenue (non-GAAP) to be in the range of US$109 million to US$114 million. AsiaInfo-Linkage expects third quarter 2010 net income attributable to AsiaInfo-Linkage, Inc. per basic share (non-GAAP) to be in the range of US$0.34 to US$0.37.

Second Quarter 2010 Conference Call Details

AsiaInfo-Linkage management will hold an earnings conference call at 5:00 p.m. Pacific Time / 8:00 p.m. Eastern Time on July 28, 2010 (8:00 a.m. Beijing/Hong Kong Time on July 29, 2010). Management will discuss results and highlights of the quarter and answer questions from investors.

    The dial-in numbers for the conference call are as follows:

    U.S. Toll Free: +1-866-549-1292
    China Local Number: 400-681-6949
    Hong Kong and International: +852-3005-2050

    The passcode for the call is 195436#.

A replay of the call will be available until 8:00 p.m. Eastern Time on August 28, 2010 by dialing one of the following numbers:

    U.S. Toll Free: +1-866-753-0743
    China Toll Free: 800-876-8594
    Hong Kong and International: +852-3005-2020

    The passcode for the replay is 149938#.

Additionally, a live and archived web cast of this call will be available on the Investor Relations section of the AsiaInfo-Linkage web site at http://www.asiainfo-link... .

About AsiaInfo-Linkage, Inc.

AsiaInfo-Linkage, Inc. (NASDAQ:ASIA - News) is a leading provider of high-quality software solutions and IT services in China's telecommunications industry. Following the merger between AsiaInfo and Linkage on July 1, 2010, AsiaInfo-Linkage leverages both AsiaInfo's and Linkage's leading market positions and complementary customer bases to provide a robust, comprehensive service offering primarily to China's telecom operators. AsiaInfo-Linkage's world-class R&D capabilities and extensive base of highly skilled engineers provide best-of-class solutions to help customers differentiate themselves from their competitors.

For more information about AsiaInfo-Linkage, please visit http://www.asiainfo-link... .

                              ASIAINFO-LINKAGE, INC.
           CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

        (Amounts in thousands of US$, except share and per share amounts)

                                      Three Months            Six Months
                                     Ended June 30,          Ended June 30,
                                    2010        2009        2010        2009
    Revenues:
     Software products and
      solutions                   $59,120     $47,151    $116,871     $89,588
     Service                        6,385       5,931      10,289      10,930
     Third party hardware           1,359       5,486       3,169       9,026
    Total revenues                 66,864      58,568     130,329     109,544

    Cost of revenues:
     Software products and
      solutions                    23,082      22,609      43,851      40,823
     Service                        2,757       1,967       4,712       3,897
     Third party hardware           1,304       5,210       3,030       8,526
    Total cost of revenues         27,143      29,786      51,593      53,246
     Gross profit                  39,721      28,782      78,736      56,298

    Operating expenses:
     Sales and marketing           10,807       9,929      21,120      20,466
     General and administrative     4,598       3,652      13,258       7,218
     Research and development       9,776       8,792      18,772      16,007
    Total operating expenses       25,181      22,373      53,150      43,691
    Income from operations         14,540       6,409      25,586      12,607

    Other income:
     Interest income                  741         534       1,402       1,158
     Dividend income                  250           3         254         174
     Gain on sale of short-term
      investment                      472       1,210         472       1,210
     Other (expenses) income, net     (50)          9         (50)        (14)
    Total other income, net         1,413       1,756       2,078       2,528

    Income before provision
     for income taxes              15,953       8,165      27,664      15,135
    Provision for income taxes      2,482         962       4,271       2,147
    Net income                     13,471       7,203      23,393      12,988
     Less: Net loss
      attributable to
      noncontrolling interest        (435)         (2)       (858)         (7)
    Net income attributable to
     AsiaInfo-Linkage, Inc.       $13,906      $7,205     $24,251     $12,995

    Earnings per share:
    Net income attributable to
     AsiaInfo-Linkage, Inc.
     common stockholders:
      Basic                         $0.29       $0.16       $0.51       $0.30
      Diluted                       $0.29       $0.16       $0.50       $0.29

    Weighted average shares
     used in computation:
      Basic                    47,328,078  44,586,996  47,277,978  44,048,268
      Diluted                  48,325,405  45,917,056  48,264,122  45,554,547



                             ASIAINFO-LINKAGE, INC.
                CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
        (Amounts in thousands of US$, except share and per share amounts)

                                                            As of
                                              Jun 30, 2010      Dec 31, 2009
    ASSETS:
    Current Assets:
     Cash and cash equivalents                    $224,040          $238,553
     Restricted cash                                 5,924             5,540
     Short term investments - hold to
      maturity securities                           14,726            13,716
     Short term investments - available
      for sale securities                           29,433            27,674
     Accounts receivable (net of
      allowances of $4,794 and $2,619 as
      of June 30, 2010 and December 31, 2009,
      respectively)                                120,861           129,646
     Inventories                                     8,496             9,535
     Other receivable                                3,326             2,841
     Deferred income taxes - current                 2,968             2,968
     Prepaid expenses and other current
      assets                                         6,860             5,679
    Total current assets                          $416,634          $436,152

     Long term investment                            4,696             4,696
     Property and equipment, net                     2,991             2,989
     Other acquired intangible assets, net           4,788             3,818
     Deferred income tax assets - non-current        2,161             2,161
     Goodwill                                       29,139            22,262
     Prepaid land use right and other long
      term prepayment                               10,189             9,699
    Total Assets                                  $470,598          $481,777

    LIABILITIES AND STOCKHOLDERS' EQUITY
    Current Liabilities:
     Accounts payable                               51,379            76,019
     Accrued expenses                               25,552            21,793
     Deferred revenue                               31,448            45,547
     Accrued employee benefits                      29,797            39,403
     Other payables                                  6,552             6,187
     Income taxes payable                            1,955             2,862
     Other taxes payable                             7,678             7,620
     Deferred income tax liability - current         1,818             1,340
    Total current liabilities                     $156,179          $200,771

    Unrecognized tax benefits - non-current          3,205             3,052
    Other long term liabilities                        163               163
    Total Liabilities                             $159,547          $203,986

    Redeemable noncontrolling interest               2,180             1,122

    Stockholders' Equity:
    Common stock                                      $503              $501
    Additional paid-in capital                     252,377           244,838
    Treasury stock, at cost                        (27,749)          (27,749)
    Statutory reserve                               22,306            22,306
    Retained earnings                               39,450            15,199
    Accumulated other comprehensive income          21,184            20,212
    Total AsiaInfo-Linkage, Inc.
     stockholders' equity                         $308,071          $275,307
    Noncontrolling interest                            800             1,362
    Total stockholders' equity                     308,871           276,669
    Total Liabilities and Stockholders'
     Equity                                       $470,598          $481,777



                            ASIAINFO-LINKAGE, INC.
           CONDENSED INFORMATION FOR REPORTABLE SEGMENTS (UNAUDITED)

                          (Amounts in thousands of US$)

                                                  Three Months Ended
                                                     Jun 30, 2010
                                            AsiaInfo     Lenovo-
                                          Technologies  AsiaInfo     Total

    Revenues:
    Software products and solutions          $51,773     $7,347     $59,120
    Service                                    6,288         97       6,385
    Third party hardware                       1,237        122       1,359
    Total revenues                            59,298      7,566      66,864

    Cost of revenues:
    Software products and solutions           21,015      2,067      23,082
    Service                                    2,668         89       2,757
    Third party hardware                       1,175        129       1,304
    Total cost of revenues                    24,858      2,285      27,143

    Gross profit                              34,440      5,281      39,721

    Business unit expenses:
    Sales and marketing                        7,300      3,507      10,807
    General and administrative                   722        140         862
    Research and development                   8,384      1,392       9,776
    Total business unit expenses              16,406      5,039      21,445
    Contribution profit (loss)               $18,034       $242     $18,276
    Corporate general and administrative
     expenses                                                         3,736

    Operating profit                                                $14,540


                          (Amounts in thousands of US$)

                                                 Three Months Ended
                                                    Jun 30, 2009
                                            AsiaInfo     Lenovo-
                                          Technologies  AsiaInfo     Total
    Revenues:
    Software products and solutions          $41,776     $5,375     $47,151
    Service                                    5,883         48       5,931
    Third party hardware                       5,039        447       5,486
    Total revenues                            52,698      5,870      58,568

    Cost of revenues:
    Software products and solutions           20,275      2,334      22,609
    Service                                    1,892         75       1,967
    Third party hardware                       4,786        424       5,210
    Total cost of revenues                    26,953      2,833      29,786

    Gross profit                              25,745      3,037      28,782

    Business unit expenses:
    Sales and marketing                        7,569      2,360       9,929
    General and administrative                   727        (78)        649
    Research and development                   7,787      1,005       8,792
    Total business unit expenses              16,083      3,287      19,370
    Contribution profit (loss)                $9,662      ($250)     $9,412
    Corporate general and administrative
     expenses                                                         3,003

    Operating profit                                                 $6,409


                          (Amounts in thousands of US$)

                                                  Three Months Ended
                                                      Mar 31, 2010
                                            AsiaInfo     Lenovo-
                                          Technologies  AsiaInfo     Total
    Revenues:
    Software products and solutions          $53,755      $3,996     $57,751
    Service                                    3,834          70       3,904
    Third party hardware                       1,654         156       1,810
    Total revenues                            59,243       4,222      63,465

    Cost of revenues:
    Software products and solutions           19,645       1,124      20,769
    Service                                    1,911          44       1,955
    Third party hardware                       1,571         155       1,726
    Total cost of revenues                    23,127       1,323      24,450

    Gross profit                              36,116       2,899      39,015

    Business unit expenses:
    Sales and marketing                        7,614       2,699      10,313
    General and administrative                 2,255          13       2,268
    Research and development                   7,588       1,408       8,996
    Total business unit expenses              17,457       4,120      21,577
    Contribution profit (loss)               $18,659     ($1,221)    $17,438
    Corporate general and administrative
     expenses                                                          6,392

    Operating profit                                                 $11,046

Reconciliation of non-GAAP Measures

This earnings release presents the following "non-GAAP financial measures" as defined by applicable U.S. securities regulations. The presentation of these non-GAAP financial measures is not meant to be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP. The non-GAAP financial measures are provided as additional information to help both management and investors compare business trends among different reporting periods on a consistent and more meaningful basis and enhance investors' overall understanding of the Company's current financial performance and prospects for the future. These non-GAAP measures have limitations, however, because they do not include all items of income and expenses that impact the Company's operations. Management compensates for these limitations by also considering the Company's GAAP results. The non- GAAP financial measures the Company uses are not prepared in accordance with, and should not be considered an alternative to measurements required by GAAP and should not be considered measures of the Company's liquidity. Pursuant to relevant regulatory requirements, we are providing the following reconciliations of the non-GAAP financial measures to the most directly comparable GAAP measures.

(1) Net revenue (non-GAAP)

AsiaInfo-Linkage's net revenue (non-GAAP) represents total revenue net of hardware costs that are passed through to our customers. We believe total revenues net of hardware costs more accurately reflects our core business, which is the provision of software solutions and services, and provides transparency to our investors. It is also the same measure used by our management to evaluate the competitiveness and development of our business.

        Reconciliation of net revenues (non-GAAP) to GAAP total revenues

                                                       2010Q2
                                             AsiaInfo     Lenovo-
                                           Technologies  AsiaInfo     Total
                                            (in thousands of US dollars)

    Net Revenue (Non-GAAP)                    58,123      7,437      65,560
    Third Party Hardware Costs                 1,175        129       1,304
    Total Revenues                            59,298      7,566      66,864


                                                       2009Q2
                                             AsiaInfo     Lenovo-
                                           Technologies  AsiaInfo     Total

    Net Revenue (Non-GAAP)                    47,912      5,446      53,358
    Third Party Hardware Costs                 4,786        424       5,210
    Total Revenues                            52,698      5,870      58,568


                                                       2010Q1
                                             AsiaInfo     Lenovo-
                                           Technologies  AsiaInfo     Total

    Net Revenue (Non-GAAP)                    57,672      4,067      61,739
    Third Party Hardware Costs                 1,571        155       1,726
    Total Revenues                            59,243      4,222      63,465



    (2) Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP)

Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) excludes share-based compensation expenses, amortization of acquired intangible assets, after-tax dividend income, and non-recurring merger related expenses. We believe that this non-GAAP financial measure provides meaningful supplemental information regarding our performance by excluding certain expenses and income that may not be indicative of our operating performance. Management uses the net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) measure to gain a better understanding of the Company's comparative operating performance from period-to-period and as a basis of planning and forecasting future periods. Management believes the Company's net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) measure, when read in conjunction with the Company's GAAP net income measure and other GAAP financial metrics, provides useful information to investors by offering: a) the ability to make more meaningful period-to- period comparisons of the Company's on-going operating results; b) the ability to better identify trends in the Company's underlying business and perform related trend analysis; c) a better understanding of how management plans and measures the Company's underlying business; and d) an easier way to compare the Company's most recent results of operations against investor and analyst financial models.

        Reconciliation of net income attributable to AsiaInfo-Linkage, Inc.
       (non-GAAP) to GAAP net income attributable to AsiaInfo-Linkage, Inc.

                                        Three Months    Six Months
                                       Ended Jun. 30   Ended Jun. 30
                                        2010    2009    2010    2009  2010 Q1
                                            (in thousands of US dollars)
    GAAP net income attributable to
     AsiaInfo-Linkage, Inc.            13,906   7,205  24,251  12,995  10,345
    Adjustments:
     - Share-based compensation
        expenses                        1,935   3,858   3,906   5,040   1,971
     - Amortization of acquired
        intangible assets                 468     316     872     628     404
     - Dividend income, net of tax       (250)     (3)   (254)   (174)     (4)
     - Non-recurring merger related
        expenses                          658      --   4,158      --   3,500
    Non-GAAP net income attributable
     to AsiaInfo-Linkage, Inc.         16,717  11,376  32,933  18,489  16,216

(3) Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) per basic share

Net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) per basic share is calculated by dividing net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) by the same weighted average shares outstanding used in the computation of GAAP net income attributable to AsiaInfo-Linkage, Inc. per basic share. Management believes that net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) per basic share, when used in conjunction with the Company's GAAP net income attributable to AsiaInfo-Linkage, Inc. per basic share, provides useful information to investors for the same reasons discussed above regarding net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP). In addition, net income attributable to AsiaInfo-Linkage, Inc. (non-GAAP) per basic share allows investors to evaluate the Company's operating performance from period to period on a per share basis, thus providing a useful basis for assessing the Company's value on a per share basis.

        Reconciliation of net income attributable to AsiaInfo-Linkage, Inc.
           (non-GAAP) per basic share to GAAP net income attributable to
                     AsiaInfo-Linkage, Inc. per basic share

                                          Three Months    Six Months
                                          Ended Jun. 30  Ended Jun. 30
                                           2010   2009    2010   2009  2010 Q1
                                             (in thousands of US dollars)
    GAAP net income attributable to
     AsiaInfo-Linkage, Inc. per basic
     share                                  0.29   0.16    0.51   0.30   0.22
    Adjustments:
     - Share-based compensation expenses    0.04   0.09    0.08   0.11   0.04
     - Amortization of acquired
        intangible assets                   0.01   0.01    0.02   0.01   0.01
     - Dividend income, net of tax         (0.01)    --   (0.01)    --     --
     - Non-recurring merger related
        expenses                            0.02     --    0.09     --   0.07
    Non-GAAP net income attributable to
     AsiaInfo-Linkage, Inc. per basic
     share                                  0.35   0.26    0.69   0.42   0.34

Cautionary Note Regarding Forward-Looking Statements

The information contained in this document is as of July 29, 2010. AsiaInfo-Linkage assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo-Linkage's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; our ability to successfully integrate the business of Linkage into ours; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; and political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2009, and in our reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at www.sec.gov.

For more information about AsiaInfo-Linkage, please visit http://www.asiainfo-link... .

    For investor and media inquiries, please contact:

    In China:

     Ms. Jane Wang
     AsiaInfo-Linkage, Inc.
     Tel:   +86-10-8216-6038
     Email: ir@asiainfo-linkage.com

     Mr. Justin Knapp
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-6556
     Email: asia@ogilvy.com

    In the United States:

     Ms. Jessica Barist Cohen
     Ogilvy Financial, New York
     Tel:   +1-646-460-9989
     Email: asia@ogilvy.com

"AsiaInfo's Phase-II NG-BASS upgrade will provide China Mobile with a stronger and more flexible data collection, storage and analysis service," said AsiaInfo President and Chief Executive Officer Steve Zhang. "This is especially important as competition among operators intensifies and the advent of 3G is heralding the need for sophisticated IT solutions to support operators' latest product offerings. This upgrade also includes a more scalable data warehousing platform with user-friendly data mining and online analytical applications that give the operator access to highly organized, real-time subscriber data."

Phase-II NG-BASS is being built to optimize data analysis capability and support China Mobile's fully bundled service offering of fixed, broadband and wireless services. The system will also include expanded data storage capacity, enable more detailed internal management of data and help China Mobile design more effective and targeted sales and marketing campaigns.

AsiaInfo currently has BI systems installed at 15 of 31 China Mobile subsidiaries.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (NASDAQ: ASIA) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises, as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile and China Unicom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

The information contained in this document is as of February 10, 2010. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at http://www.sec.gov .

 For investor and media inquiries, please contact:

 In China:
 Sheryl Zhang
 AsiaInfo Holdings, Inc.
 Tel: +86-10-8216-6039
 Email: ir@asiainfo.com

 Justin Knapp
 Ogilvy Financial, Beijing
 Tel: +86-10-8520-6556
 Email: asia@ogilvy.com

 In the United States:
 Ms. Jessica Barist Cohen
 Ogilvy Financial, New York
 Tel: +1-646-460-9989
 Email: asia@ogilvy.com

-- Fourth quarter and full-year 2009 total revenues grow 42% year-over-year
-- Exceeding guidance, fourth quarter net revenue (non-GAAP)(1) grows 42% year-over-year; full-year net revenue (non-GAAP) grows 47% year-over-year
-- Meeting guidance, income from continuing operations per basic share is US$0.29

BEIJING and SANTA CLARA, Calif., Jan. 28 /PRNewswire-Asia-FirstCall/ -- AsiaInfo Holdings, Inc. (Nasdaq: ASIA) ("AsiaInfo" or the "Company"), a leading provider of telecom software solutions and IT security products and services in China, today announced financial results for the fourth quarter and full-year ended December 31, 2009.

"It was both a historic year and fourth quarter for AsiaInfo," remarked AsiaInfo President and Chief Executive Officer Steve Zhang. "We recorded 42% year-over-year non-GAAP net revenue growth in the fourth quarter and 47% year-over-year non-GAAP net revenue growth for the year. This is especially noteworthy as it comes on top of nearly 40% full-year non-GAAP net revenue growth in 2008. Additionally, in the fourth quarter we announced a merger agreement with Linkage that upon closing will create a market leader in the IT software and solutions space in China, providing a more comprehensive product and service offering to the telecom operators."

Mr. Zhang continued, "During the quarter, we announced a contract with China Unicom to build a centralized 3G business management platform which will enable the operator to efficiently coordinate and manage its 3G sales and services nationwide. We also recently announced a contract win to develop a cost-effective IT system for China Mobile's centralized IT center in Guangzhou and tenders to develop Mobile Number Portability hub platforms for China Mobile and China Unicom to support the trial testing of the government's MNP Policy in Tianjin and Hainan."

Fourth Quarter 2009 Financial Results

Total revenues for the fourth quarter of 2009 were US$76.3 million, an increase of 42.1% year-over-year and 20.0% sequentially. Exceeding guidance, net revenue (non-GAAP) for the fourth quarter of 2009 was US$72.3 million, an increase of 41.8% year-over-year and 18.7% sequentially. The year-over-year and sequential increases were primarily driven by the strong demand from all three of China's major telecom carriers.

Gross margin for the quarter was 57.7%, compared to 53.5% in the year-ago period and 54.6% in the previous quarter. The year-over-year and sequential increases in gross margin were primarily due to a strong contribution from higher-margin software solutions and services. Gross profit as a percentage of net revenue (non-GAAP) was 60.9% in the fourth quarter of 2009, compared to 56.4% in the year-ago period and 57.0% in the previous quarter.

In the fourth quarter of 2009, the AsiaInfo Technologies business unit, which focuses on telecommunications software and services, contributed 80.4% and 80.0% to total revenue and net revenue (non-GAAP), respectively. Total revenues for the AsiaInfo Technologies business unit increased 46.9% year-over-year and 16.7% sequentially to US$61.3 million. Net revenue (non-GAAP) for the AsiaInfo Technologies business unit increased 42.5% year-over-year and 12.4% sequentially to US$57.8 million. The increases in net revenue (non-GAAP) primarily reflect the steady demand from all three major telecom carriers as well as the steady inflow of contract tenders to upgrade and maintain existing installations.

In the fourth quarter of 2009, the Lenovo-AsiaInfo business unit, which focuses on IT security products and services, contributed 19.6% to total revenues and 20.0% to net revenue (non-GAAP). Total revenues for the Lenovo-AsiaInfo business unit increased 25.1% year-over-year and 35.9% sequentially to US$14.9 million. Net revenue (non-GAAP) for the Lenovo-AsiaInfo business unit increased 38.7% year-over-year and 53.1% sequentially to US$14.4 million. The year-over-year increase was mainly due to a high-margin contract signed with a government agency and the sequential increase was partially due to seasonality, as sales in the Lenovo-AsiaInfo business unit are typically strongest in the fourth quarter of each year. Please refer to the end of this press release for condensed segmented financial results for AsiaInfo's two business units.

Total operating expenses for the fourth quarter of 2009 increased 41.5% year-over-year and 21.1% sequentially to US$29.7 million. Sales and marketing expenses for the fourth quarter of 2009 increased 18.2% year-over-year and 11.2% sequentially to US$12.5 million. The year-over-year and sequential increases were mainly due to higher sales commission expenses incurred upon signing new contracts. General and administrative expenses for the fourth quarter of 2009 increased 25.4% year-over-year and 21.8% sequentially to US$4.6 million. The year-over-year increase was largely the result of increases in share-based compensation related to the performance stock unit awards granted to key employees on March 16, 2009 and the non-recurring merger transaction related fee of US$2.1 million. Research and development expenses increased 86.5% year-over-year and 16.2% sequentially to US$12.6 million. This increase primarily reflects a US$3.3 million R&D expense in the fourth quarter related to a government contract from the Company's Lenovo-AsiaInfo business unit and R&D expenses related to the development of Next Generation Business Operation Support Systems and Next Generation Business Intelligence systems.

Income from operations for the fourth quarter of 2009 was US$14.3 million, an increase of 84.5% year-over-year and 40.4% sequentially. Operating margin of total revenue(2) was 18.8% for the fourth quarter of 2009, compared to 14.5% in the year-ago period and 16.0% in the previous quarter. Operating margin of net revenue (non-GAAP)(3) for the fourth quarter of 2009 was 19.8%, compared to 15.2% in the year-ago period and 16.8% in the previous quarter. The year-over-year and sequential margin improvements were mainly the result of improving economies of scale and the Company's continued efforts to improve operational efficiency.

Other income for the fourth quarter of 2009 was US$0.5 million compared to a loss of US$5.1 million in the year-ago period and remained relatively unchanged from the previous quarter. The year-over-year increase was largely due to a non-cash impairment charge of US$6.6 million related to certain short-term investments in stock funds and long-term investments in the fourth quarter of 2008.

In the fourth quarter of 2009, AsiaInfo recorded net income attributable to AsiaInfo Holdings, Inc. of US$13.8 million, or US$0.29 per basic share, compared to US$2.2 million, or US$0.05 per basic share in the year-ago period and US$9.1 million, or US$0.20 per basic share in the previous quarter.

In the fourth quarter of 2009, net income attributable to AsiaInfo Holdings, Inc. (non-GAAP)(4) was US$18.4 million or US$0.38 per basic share. Net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) in the year-ago period was US$10.2 million or US$0.23 per basic share. Net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) in the previous quarter was US$13.0 million or US$0.29 per basic share. Net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) increased 80.4% year-over-year and 41.5% sequentially.

As of December 31, 2009, AsiaInfo had cash and cash equivalents and restricted cash totaling US$244.1 million and short-term investments totaling US$41.4 million. Operating cash flow in the fourth quarter of 2009 was a net inflow of US$43.5 million.

Full-year 2009 Financial Results

Full-year 2009 total revenues increased 42.0% year-over-year to US$249.3 million. Full-year 2009 net revenue (non-GAAP) increased 47.4% year-over-year to US$234.1 million. The strong increases were primarily driven by the Company's ability to capitalize on the telecom sectors 3G rollout in China and subsequent demand for best-of-class IT solutions and services.

Gross margin for full-year 2009 was 54.1%, compared to 50.6% in the year-ago period. The improvement in gross margin reflects a strong execution of the Company's long-term strategy of providing high-quality IT software and services to their customers, the improving operating results of the Company's Lenovo-AsiaInfo business unit and a decrease in revenue derived from the sale of third-party hardware. Gross profit as a percentage of net revenue (non-GAAP) for full-year 2009 was 57.7% compared to 55.9% in the year-ago period.

The AsiaInfo Technologies business unit contributed 85.7% and 86.1% to full-year 2009 total revenues and net revenue (non-GAAP), respectively. Total revenues and net revenue (non-GAAP) for the AsiaInfo Technologies business unit increased 45.5% and 50.6% year-over-year to US$213.8 million and US$201.5 million, respectively.

The Lenovo-AsiaInfo business unit contributed 14.3% and 13.9% to full-year 2009 total revenues and net revenue (non-GAAP) respectively. Total revenues and net revenue (non-GAAP) for the Lenovo-AsiaInfo business unit increased 24.1% and 30.2% year-over-year to US$35.6 million and US$32.6 million, respectively. Please refer to the end of this press release for condensed segmented financial results for AsiaInfo's two business units.

Total operating expenses for full-year 2009 increased 40.8% year-over-year to US$97.9 million, reflecting the Company's efforts to expand its customer base and open new market opportunities through continual investment in research and development, and sales and marketing initiatives.

Operating margin of total revenues was 14.9% for full-year 2009, compared to 11.0% in the year-ago period. Operating margin of net revenue (non-GAAP) for full-year 2009 was 15.9%, compared to 12.1% in the year-ago period.

AsiaInfo recorded net income attributable to AsiaInfo Holdings, Inc. of US$35.9 million, or US$0.79 per basic share, for full-year 2009, compared to US$18.8 million, or US$0.42 per basic share, in full-year 2008. Net income attributable to AsiaInfo Holdings, Inc. excluding share-based compensation expense, amortization of acquired intangible assets, impairment loss on investment, dividend income, gain on discontinued operations and non-recurring merger related expenses (net income attributable to AsiaInfo Holdings, Inc. (non-GAAP)) for full-year 2009 was US$49.8 million, or US$1.10 per basic share. Net income (non-GAAP) for full-year 2008 wasUS$29.1 million or US$0.66 per basic share.

Operating cash flow for the full-year 2009 was a net inflow of US$52.5 million.

First Quarter 2010 Guidance

AsiaInfo expects first quarter 2010 net income from continuing operations per basic share to be in the range ofUS$0.19 to US$0.20, an increase of 46% to 54% year-over-year. The Company expects first quarter 2010 net revenue (non-GAAP) to be in the range of US$61 million to US$63 million, an increase of 28% to 32% year-over-year. The Company noted that this guidance includes an estimated US$2.7 million merger-related expense.

    (1)  Net revenue (non-GAAP), a non-GAAP measure, represents total revenue
         net of third-party hardware costs. A reconciliation of net revenue
         (non-GAAP) to GAAP revenue is provided at the end of this press
         release.
    (2)  Operating margin of total revenue is operating income divided by
         total revenue.
    (3)  Operating margin of net revenue (non-GAAP) is operating income
         divided by net revenue (non-GAAP).
    (4)  Net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) and net
         income attributable to AsiaInfo Holdings, Inc. (non-GAAP) per share
         measures exclude share-based compensation expenses, amortization of
         acquired intangible assets, impairment loss on investment, dividend
         income, gain on discontinued operations and non-recurring merger
         related expenses. A reconciliation of these non-GAAP measures to the
         most directly comparable GAAP measures is provided at the end of the
         press release.



                             ASIAINFO HOLDINGS, INC.
           CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
       (Amounts in thousands of US$, except shares and per share amounts)

                                          Three Months        Twelve Months
                                       Ended December 31,   Ended December 31,
                                        2009       2008       2009       2008
    Revenues:
      Software products and
       solutions                      $66,675    $45,556   $211,145   $140,187
      Service                           5,385      5,169     22,163     17,473
      Third party hardware              4,202      2,959     16,031     17,883
    Total revenues                     76,262     53,684    249,339    175,543

    Cost of revenues:
      Software products and
       solutions                       24,586     20,038     89,415     62,744
      Service                           3,683      2,200      9,741      7,285
      Third party hardware              3,999      2,709     15,198     16,701
    Total cost of revenues             32,268     24,947    114,354     86,730
      Gross profit                     43,994     28,737    134,985     88,813

    Operating expenses:
      Sales and marketing              12,480     10,557     44,169     36,220
      General and administrative        4,597      3,665     15,588     10,606
      Research and development         12,597      6,755     39,446     22,695
      Government grant                     --         --     (1,342)        --
    Total operating expenses           29,674     20,977     97,861     69,521

    Income from operations             14,320      7,760     37,124     19,292

    Other income:
      Interest income                     517      1,237      2,215      4,670
      Dividend income                      --         12        178        545
      Gain from sales of short-term
       investments                         --        329      1,210      4,866
      Impairment loss on short-term
       investments                         --     (4,634)        --     (4,684)
      Impairment loss on long-term
       investments                         --     (2,042)        --     (2,042)
      Other income (expenses), net         (5)        14        (36)      (559)
    Total other income, net               512     (5,084)     3,567      2,796
    Income before provision for
     income taxes and discontinued
     operations                        14,832      2,676     40,691     22,088
    Provision for income taxes          1,468        476      5,261      4,293
    Income from continuing
     operations                        13,364      2,200     35,430     17,795
    Income from discontinued
     operations                            --         --         --        980
    Net income                         13,364      2,200     35,430     18,775
      Net loss attributable to
       noncontrolling interest            435         11        429         15
    Net income attributable to
     AsiaInfo Holdings, Inc.          $13,799     $2,211    $35,859    $18,790

    Earnings Per Share:
    Net income from continuing
     operations attributable to
     AsiaInfo Holdings, Inc. common
     stockholders:
      Basic                             $0.29      $0.05      $0.79      $0.40
      Diluted                           $0.29      $0.05      $0.77      $0.38

    Net income from discontinued
     operations attributable to
     AsiaInfo Holdings, Inc. common
     stockholders:
      Basic                                --         --         --      $0.02
      Diluted                              --         --         --      $0.02

    Net income attributable to
     AsiaInfo Holdings, Inc.
     common stockholders
      Basic                             $0.29      $0.05      $0.79      $0.42
      Diluted                           $0.29      $0.05      $0.77      $0.40

    Weighted average shares
     used in computation:
      Basic                        46,825,099 43,698,583 45,182,831 44,828,915
      Diluted                      47,771,540 45,424,511 46,386,278 46,675,694



                             ASIAINFO HOLDINGS, INC.
                CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
        (Amounts in thousands of US$, except share and per share amounts)
                                                               As of
                                                   December 31,   December 31,
                                                       2009          2008(1)
    ASSETS:
    Current Assets:
      Cash and cash equivalents                      $238,553       $172,119
      Restricted cash                                   5,540         12,510
      Short term investments-available
       for sale securities                             27,674         28,633
      Short term investments-held to
       maturity securities                             13,716             --
      Accounts receivable, net (net of
       allowances of $2,619 and $2,605 as
       of December 31, 2009 and December
       31, 2008, respectively)                        129,646         52,011
      Inventories, net                                  9,535         12,322
      Other receivable                                  2,841          2,813
      Deferred income taxes - current                   2,968          3,334
      Prepaid expenses and other current assets         5,679          5,425
    Total current assets                             $436,152       $289,167

      Long term investments                             4,696          4,696
      Property and equipment, net                       2,989          2,887
      Other acquired intangible assets, net             3,818          3,008
      Deferred income tax assets - non-current          2,161          2,671
      Goodwill                                         22,262         20,725
      Prepaid land use right                            9,699             --
    Total Assets                                     $481,777       $323,154

    LIABILITY AND EQUITY
    Current Liabilities:
      Accounts payable                                 76,019         13,835
      Accrued expenses                                 21,793         14,235
      Deferred revenue                                 45,547         44,414
      Accrued employee benefits                        39,403         27,570
      Other payables                                    6,187          5,288
      Income taxes payable                              2,862            646
      Other taxes payable                               7,620          6,311
      Deferred income tax liability                     1,340            934
    Total current liabilities                        $200,771       $113,233

    Unrecognized tax benefits                           3,080          1,326
    Other long term liabilities                           135            135
    Total liabilities                                $203,986       $114,694
    Redeemable noncontrolling interest                  1,122             --

    Equity:
    Common stock                                          501            464
    Additional paid-in capital                        244,838        215,948
    Treasury stock, at cost                           (27,749)       (27,749)
    Accumulated deficit                                15,199        (15,566)
    Statutory reserve                                  22,306         17,212
    Accumulated other comprehensive income             20,212         18,093
    Total AsiaInfo Holdings stockholders'
     equity                                          $275,307       $208,402
    Noncontrolling interest(2)                          1,362             58
    Total equity                                      276,669        208,460
    Total Liabilities and Equity                     $481,777       $323,154

    (1)  December 31, 2008 balances were derived from audited financial
         statements.
    (2)  Amount in relation to noncontrolling interest (formerly minority
         interest), as of December 31, 2008 is reclassified in accordance with
         authoritative accounting guidance adopted by the Company on January 1,
         2009.


                             ASIAINFO HOLDINGS, INC.
            CONDENSED INFORMATION FOR OPERATING SEGMENTS (UNAUDITED)
                         (Amounts in thousands of US$)

                                                   December 31, 2009
                                             AsiaInfo     Lenovo      Total
                                          Technologies  -AsiaInfo
    Revenues:
    Software products and solutions            $52,359    $14,316    $66,675
    Service                                      5,271        114      5,385
    Third party hardware                         3,719        483      4,202
    Total revenues                              61,349     14,913     76,262

    Cost of revenues:
    Software products and solutions             20,374      4,212     24,586
    Service                                      3,625         58      3,683
    Third party hardware                         3,534        465      3,999
    Total cost of revenues                      27,533      4,735     32,268

    Gross profit                                33,816     10,178     43,994

    Business unit expenses:
    Sales and marketing                          8,352      4,128     12,480
    General and administrative                     781       (895)      (114)
    Research and development                     8,171      4,426     12,597
    Government grant                                --         --         --
    Total business unit expenses                17,304      7,659     24,963

    Contribution profit                        $16,512     $2,519    $19,031
    Corporate general and administration                               4,711
    Operating profit                                                 $14,320


                                                   December 31, 2008
                                              AsiaInfo      Lenovo     Total
                                            Technologies  -AsiaInfo
    Revenues:
    Software products and solutions            $35,634      $9,922   $45,556
    Service                                      4,864         305     5,169
    Third party hardware                         1,265       1,694     2,959
    Total revenues                              41,763      11,921    53,684

    Cost of revenues:
    Software products and solutions             16,814       3,224    20,038
    Service                                      2,073         127     2,200
    Third party hardware                         1,202       1,507     2,709
    Total cost of revenues                      20,089       4,858    24,947

    Gross profit                                21,674       7,063    28,737

    Business unit expenses:
    Sales and marketing                          6,641       3,916    10,557
    General and administrative                     684         353     1,037
    Research and development                     5,948         807     6,755
    Government grant                                --          --        --
    Total business unit expenses                13,273       5,076    18,349

    Contribution profit                         $8,401      $1,987   $10,388
    Corporate general and administration                               2,628
    Operating profit                                                  $7,760


                                                  September 30, 2009
                                              AsiaInfo     Lenovo      Total
                                            Technologies  -AsiaInfo
    Revenues:
    Software products and solutions            $45,660     $9,222    $54,882
    Service                                      5,703        145      5,848
    Third party hardware                         1,193      1,610      2,803
    Total revenues                              52,556     10,977     63,533

    Cost of revenues:
    Software products and solutions             21,217      2,789     24,006
    Service                                      2,074         87      2,161
    Third party hardware                         1,133      1,540      2,673
    Total cost of revenues                      24,424      4,416     28,840

    Gross profit                                28,132      6,561     34,693

    Business unit expenses:
    Sales and marketing                          8,531      2,692     11,223
    General and administrative                     614       (143)       471
    Research and development                     8,162      2,680     10,842
    Government grant                            (1,342)        --     (1,342)
    Total business unit expenses                15,965      5,229     21,194

    Contribution profit                        $12,167     $1,332    $13,499
    Corporate general and administration                               3,302
    Operating profit                                                 $10,197

Fourth Quarter and Full-Year 2009 Conference Call Details

AsiaInfo management will hold an earnings conference call at 4:00 p.m. Pacific Time / 7:00 p.m. Eastern Timeon January 28, 2010 (8:00 a.m. Beijing/Hong Kong Time on January 29, 2010). Management will discuss results and highlights of the quarter and answer questions from investors.

    The dial-in numbers for the conference call are as follows:

    U.S. Toll Free: +1-877-538-6619
    China Local Number: 400-681-6949
    Hong Kong and International: +852-3005-2050

    The passcode for the call is 408313#.

A replay of the call will be available until 7:00 p.m. Eastern Time on February 28, 2010 by dialing one of the following numbers:

    U.S. Toll Free: +1-866-753-0743
    China Toll Free: 800-876-8594
    Hong Kong and International: +852-3005-2020

    The passcode for the replay is 134936#.

Additionally, a live and archived webcast of this call will be available on the Investor Relations section of the AsiaInfo website at http://www.asiainfo.com .

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA) is a leading provider of high-quality software and customer solutions to many of China's largest enterprises. In addition to providing software and customer solutions to China's telecom carriers, the Company also offers a wide range of security products and services to small, medium and large sized Chinese enterprises across multiple vertical industries.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national Internet backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued to diversify its product offerings and is now a major provider of enterprise software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

Reconciliation of non-GAAP Measures

This earnings release presents the following "non-GAAP financial measures" as defined by applicable U.S. securities regulations. The presentation of these non-GAAP financial measures is not meant to be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP. The non-GAAP financial measures are provided as additional information to help both management and investors compare business trends among different reporting periods on a consistent and more meaningful basis and enhance investors' overall understanding of the Company's current financial performance and prospects for the future. These non-GAAP measures have limitations, however, because they do not include all items of income and expenses that impact the Company's operations. Management compensates for these limitations by also considering the Company's GAAP results. The non-GAAP financial measures the Company uses are not prepared in accordance with, and should not be considered an alternative to measurements required by GAAP and should not be considered measures of the Company's liquidity. Pursuant to relevant regulatory requirements, we are providing the following reconciliations of the non-GAAP financial measures to the most directly comparable GAAP measures.

(1) Net revenue (non-GAAP)

AsiaInfo's net revenue (non-GAAP) represents total revenue net of hardware costs that are passed through to our customers. We believe total revenues net of hardware costs more accurately reflects our core business, which is the provision of software solutions and services, and provides transparency to our investors. It is also the same measure used by our management to evaluate the competitiveness and development of our business.

       Reconciliation of net revenues (non-GAAP) to GAAP total revenues

                                                        2009 Q4
                                        AsiaInfo         Lenovo
                                      Technologies      AsiaInfo       Total
                                             (in thousands of US dollars)
    Net Revenue (Non-GAAP)               57,815          14,448        72,263
    Third Party Hardware Costs            3,534             465         3,999
    Total Revenues                       61,349          14,913        76,262

                                                        2008 Q4
                                        AsiaInfo         Lenovo
                                      Technologies      AsiaInfo       Total
                                             (in thousands of US dollars)
    Net Revenue (Non-GAAP)               40,561          10,414        50,975
    Third Party Hardware Costs            1,202           1,507         2,709
    Total Revenues                       41,763          11,921        53,684

                                                        2009 Q3
                                         AsiaInfo        Lenovo
                                       Technologies     AsiaInfo       Total
                                              (in thousands of US dollars)
    Net Revenue (Non-GAAP)                51,423          9,437        60,860
    Third Party Hardware Costs             1,133          1,540         2,673
    Total Revenues                        52,556         10,977        63,533



                                  2009                        2008
                       AsiaInfo                   AsiaInfo
                        Techno-  Lenovo            Techno-   Lenovo
                         logies AsiaInfo   Total    logies  AsiaInfo  Total
                                    (in thousands of US dollars)
    Net Revenue
     (Non-GAAP)         201,525   32,616  234,141  133,782   25,060  158,842
    Third Party
     Hardware Costs      12,231    2,967   15,198   13,099    3,602   16,701
    Total Revenues      213,756   35,583  249,339  146,881   28,662  175,543


    (2) Net income attributable to AsiaInfo Holdings, Inc. (non-GAAP)

Net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) excludes share-based compensation expenses, amortization of acquired intangible assets, impairment loss on investment, dividend income, gain on discontinued operations and non-recurring merger related expenses. We believe that this non-GAAP financial measure provides meaningful supplemental information regarding our performance by excluding certain expenses and income that may not be indicative of our operating performance. Management uses the net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) measure to gain a better understanding of the Company's comparative operating performance from period-to-period and as a basis of planning and forecasting future periods. Management believes the Company's net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) measure, when read in conjunction with the Company's GAAP net income measure and other GAAP financial metrics, provides useful information to investors by offering: a) the ability to make more meaningful period-to-period comparisons of the Company's on-going operating results; b) the ability to better identify trends in the Company's underlying business and perform related trend analysis; c) a better understanding of how management plans and measures the Company's underlying business; and d) an easier way to compare the Company's most recent results of operations against investor and analyst financial models.

       Reconciliation of net income attributable to AsiaInfo Holdings, Inc.
       (non-GAAP) to GAAP net income attributable to AsiaInfo Holdings, Inc.

                              Three Months Ended  Twelve Months Ended
                                     Dec. 31             Dec. 31      2009 Q3
                                  2009     2008      2009      2008
                                          (in US dollar thousands)
    GAAP net income              13,799    2,211    35,859    18,790   9,065
    Adjustments:
     - Share based compensation   2,033      919    10,665     3,562   3,593
     - Amortization of acquired
       intangible assets            441      359     1,386     1,589     316
     - Impairment loss of
       investment                    --    6,676        --     6,726      --
     - Gain on discontinued
       operations                    --       --        --      (980)     --
     - Gain on settlement of
       escrow                        --       --        --        --      --
     - Non-recurring merger
       related expenses           2,100       --     2,100        --      --
     - Dividend income               --      (12)     (178)     (545)     (4)
    Non-GAAP net income          18,373   10,153    49,832    29,142  12,970

(3) Net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) per basic share

Net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) per share is calculated by dividing net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) by the same weighted average shares used in the computation of GAAP net income attributable to AsiaInfo Holdings, Inc. per share. Management believes that net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) per share, when used in conjunction with the Company's GAAP net income attributable to AsiaInfo Holdings, Inc. per share, provides useful information to investors for the same reasons discussed above regarding net income attributable to AsiaInfo Holdings, Inc (non-GAAP). In addition, net income attributable to AsiaInfo Holdings, Inc. (non-GAAP) per share allows investors to evaluate the Company's operating performance from period to period on a per share basis, thus providing a useful basis for assessing the Company's value on a per share basis.

      Reconciliation of net income attributable to AsiaInfo Holdings, Inc.
        (non-GAAP) per share to GAAP net income attributable to AsiaInfo
                            Holdings, Inc. per share

                                     Three Months      Twelve Months
                                    Ended Dec. 31      Ended Dec. 31   2009 Q3
                                    2009     2008      2009     2008
                                          (in US dollar thousands)
    GAAP net income Per Basic
     Share                          0.29     0.05      0.79     0.42    0.20
    Adjustments:
     - Share based compensation     0.04     0.02      0.24     0.08    0.08
     - Amortization of acquired
       intangible assets            0.01     0.01      0.03     0.04    0.01
     - Impairment loss of
       investment                     --     0.15        --     0.15      --
     - Gain on discontinued
       operations                     --       --        --    (0.02)     --
     - Gain on settlement of
       escrow                         --       --        --       --      --
     - Non-recurring merger
       related expenses             0.04       --      0.04       --
     - Dividend income                --       --        --    (0.01)     --
    Non-GAAP net income Per
     Basic Share                    0.38     0.23      1.10     0.66    0.29

Cautionary Note Regarding Forward-Looking Statements

The information contained in this document is as of January 28, 2010. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; our ability to consummate a business combination with Linkage and successfully integrate its business into ours; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; and political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at www.sec.gov.

    For more information about AsiaInfo, please visit http://www.asiainfo.com .

    For investor and media inquiries, please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Phone: +86-10-8216-6039
     Email: ir@asiainfo.com

     Justin Knapp
     Ogilvy Financial, Beijing
     Phone: +86-10-8520-6556
     Email: asia@ogilvy.com

    In the United States:

     Ms. Jessica Barist Cohen
     Ogilvy Financial, New York
     Phone: +1-646-460-9989
     Email: asia@ogilvy.com

In order to successfully support the trial testing, AsiaInfo will upgrade China Mobile's and China Unicom's existing billing, CRM and BI systems at the headquarter level. The MNP hub platform is being developed in response to subscriber demand for retaining mobile phone numbers when switching between telecom operators. The MNP hub platforms will have the capacity to collect and manage user information such as payment and charging activities on a nationwide basis. Once user information is collected by the hub platforms, it will be sent to the Ministry of Industry and Information Technology's (MIIT) database for centralized management.

AsiaInfo's President and Chief Executive Officer Steve Zhang, commented, "If implemented nationwide, this will be a significant development for mobile subscribers in China and is bound to increase competition amongst the carriers as users were not able to switch telephone numbers prior. This repository of user information will collect data from all provinces in China and can be used to match a user's mobile number with the telecom operator hosting their mobile service. Most importantly, this solution speaks to our ability to evolve and deliver best-of-class products to China's rapidly evolving telecom industry."

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (NASDAQ: ASIA) is a leading provider of high- quality telecom software solutions and IT security products and services to some of China's largest enterprises, as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile and China Unicom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

The information contained in this document is as of January 26, 2010. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at http://www.sec.gov .

    For investor and media inquiries, please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Justin Knapp
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-6556
     Email: asia@ogilvy.com

    In the United States:

     Jessica Barist Cohen
     Ogilvy Financial, New York
     Tel:   +1-646-460-9989
     Email: asia@ogilvy.com

In order to decrease infrastructure costs and improve the efficiency in which China Mobile is able to monitor and maintain the IT systems of its provincial subsidiaries, the operator has embarked on a long-term strategy to centralize the IT-related systems of its western provincial subsidiaries into a southern-based IT center in Guangzhou. In the next three to five years, the carrier is expected to centralize its provincial BOSS, Operational Support Systems ("OSS") and BI systems, research and development, training and communications and additional IT data, into these two centers.

"We are excited to support this strategic initiative and play an integral role in the development of China Mobile's southern-based IT center," said Steve Zhang, AsiaInfo's president and chief executive officer. "It is a significant contract win as we are in the early stages of development and laying a strong foundation for future collaboration on additional projects. By leveraging our nationwide network and extensive experience in developing China Mobile's IT systems, I'm confident that we are well-positioned to assist additional provinces in their effort to migrate and integrate with the centralized IT centers."

Under the terms of the contract, AsiaInfo will also migrate Tibet Mobile's BOSS and BI systems and integrate China Mobile Peoples Telephone Company's BOSS and BI systems into the southern-based IT center.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (NASDAQ: ASIA) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

Safe Harbor Statement

The information contained in this document is as of January 14, 2010. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our reports on Forms 10-Q and 8-K (if any) filed with the United States Securities and Exchange Commission and available at www.sec.gov.

    For investor and media inquiries, please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Phone: +86-10-8216-6039
     Email: ir@asiainfo.com

     Justin Knapp
     Ogilvy Financial, Beijing
     Phone: +86-10-8520-6556
     Email: asia@ogilvy.com

    In the United States:

     Ms. Jessica Barist Cohen
     Ogilvy Financial, New York
     Phone: +1-646-460-9989
     Email: asia@ogilvy.com

Utilizing the 3G Business Management Platform, China Unicom will have the means to coordinate its nationwide 3G sales and services. After retail outlets enter customer orders through its internal intranet system, the operator's headquarters will be able to analyze customer data, quantify subscriber numbers as well as provide a standardized charging mechanism.

AsiaInfo's President and Chief Executive Officer Steve Zhang commented, "The platform will enable China Unicom to efficiently manage 3G sales and services nationwide in order to provide a standardized offering and charging process. With heated competition in the telecom sector, operators are constantly searching for new ways to gain a competitive edge. Our world-class products and solutions will allow them to manage resources more effectively as well as provide a unified customer experience."

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (NASDAQ: ASIA) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises, as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile and China Unicom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

The information contained in this document is as of January 7, 2010. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at http://www.sec.gov .

    For investor and media inquiries, please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Justin Knapp
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-6556
     Email: asia@ogilvy.com

    In the United States:
     Jessica Barist Cohen
     Ogilvy Financial, New York
     Tel:   +1-646-460-9989
     Email: asia@ogilvy.com

BEIJING, Oct. 29, 2009 (Xinhua News Agency) -- AsiaInfo Holdings, Inc. (NASDAQ:ASIA) (ASIA.NASDAQ) announced Thursday that its total turnovers reached 63.5 million U.S. dollars in the third quarter of this year, up 41.8 percent year on year and 8.5 percent quarter on quarter.

The telecom software solutions provider's net turnover for the third quarter was 60.9 million dollars, representing an increase of 42.4 percent on year and 14.1 percent on quarter, and was in accord with its previous expectation.

The firm reported a net profit of 9.1 million dollars in the third quarter, vs. 6.1 million dollars in the same period a year ago and 7.2 million dollars in the second quarter. Its gross profit rate was 54.6 percent in July-September, while that of the third quarter of 2008 and previous quarter were respectively 51.8 percent and 49.1 percent.

AsiaInfo expects the net turnover in the final quarter to be in the range of 70 million dollars and 72 million dollars, up 37 percent to 40 percent, and it will count in the investment impairment loss of the earnings per share of 0.15 dollar in the financial report for October-December.

Source: Xinhua (October 29, 2009 - 4:18 AM EDT)

BEIJING and SANTA CLARA, Calif., Oct. 2 /PRNewswire-Asia-FirstCall/ -- AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News; "AsiaInfo" or the "Company"), a leading provider of telecom software solutions and IT security products and services in China, today announced that Bonson Information Technology Ltd. ("Bonson"), a wholly-owned subsidiary of AsiaInfo, has entered into a Stock Purchase Agreement (the "Purchase Agreement") with Call Center International Limited ("Call Center") to purchase a 60% ownership stake in SmartCall Holding Limited ("SmartCall"), a wholly owned subsidiary of Call Center.

SmartCall is a Cayman Islands registered company which, through its subsidiaries in China, provides outbound call services on behalf of telecommunications operators in China. SmartCall aims to obtain high-quality, real-time subscriber feedback and help carriers successfully promote and sell products and services.

Under the terms of the Purchase Agreement, Bonson acquired a 60% ownership stake in SmartCall for an aggregate consideration of up to $2.21 million; the payment is subject to the achievement of certain business goals by SmartCall.

"As competition among carriers intensifies, they are increasingly seeking new ways to proactively reach out to their customer base to obtain first-hand feedback, understand customers' needs and promote new products and services," said Mr. Steve Zhang, AsiaInfo's president and chief executive officer. "Utilizing SmartCall's first-class outbound call service will expand our existing data collection, data analysis and target marketing consultation services, and provide us with the resources and expertise to fully execute end-to-end target marketing campaigns. In addition to gaining the expertise and physical platform to assist China Mobile in executing their sales and marketing strategy, this acquisition highlights our ability to leverage relationships with existing customers in order to rollout new, innovative solutions to China's rapidly evolving telecom industry."

AsiaInfo began deploying Business Intelligence ("BI") solutions for China Mobile in early 2000. Seizing opportunities sparked by the industry's restructuring in 2008, AsiaInfo has evolved to offer new innovative solutions such as reassigning its engineers to work onsite for operators such as China Mobile to analyze data collected by its BI solutions and design targeted sales and marketing campaigns.

Mr. Mingquan Gu, Call Center's founder, stated, "We are very pleased to reach this agreement and are confident that AsiaInfo's Business Intelligence installation base in 15 out of 31 China Mobile subsidiaries provides an ideal platform to further enhance the efficiency of carriers' outbound call operations and achieve higher success rates. Going forward, we are optimistic that AsiaInfo's established, national sales network will transform SmartCall from a regional service provider to a full-scale, nationwide service provider."

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (NASDAQ: ASIA - News) is a leading provider of high- quality telecom software solutions and IT security products and services to some of China's largest enterprises as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

Safe Harbor Statement

The information contained in this document is as of October 2, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our reports on Forms 10-Q and 8-K (if any) filed with the United States Securities and Exchange Commission and available at http://www.sec.gov .

    For investor and media inquiries, please contact:

    In China:
     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86...
     Email: ir@asiainfo.com

     Justin Knapp
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-6556
     Email: asia@ogilvy.com

    In the United States:
     Ms. Jessica Barist Cohen
     Ogilvy Financial, New York
     Tel:   +1-646-460-9989
     Email: asia@ogilvy.com

"Increased competition is fueling demand for high-quality software solutions that allow China's telecom operators to better understand, service and promote new products to their end-users," said Steve Zhang, AsiaInfo's president and chief executive office. "Our efficient and flexible IT solutions have enabled us to build a BI installation base with 15 of China Mobile's provincial subsidiaries and its headquarters, which represents approximately 50% market share. Our success stems from the fact that our BI products provide a scalable data warehousing platform with user-friendly data mining and online analytical applications that give operators access to highly organized, real-time subscriber data. In addition, we are leveraging our extensive BI system installation base to grow our business operation consulting team which helps carriers analyze subscriber data in order to run more effective sales and marketing campaigns."

The system is being built in response to China Mobile's latest requirements for data collection and analysis capabilities. NG-BASS will include expanded data storage capacity, enable more detailed internal management of data and help China Mobile design more effective targeted marketing campaigns.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (NASDAQ: ASIA - News) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises, as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile and China Unicom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

The information contained in this document is as of September 23, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at http://www.sec.gov .

    For investor and media inquiries, please contact:

    In China:
     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Justin Knapp
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-6556
     Email: asia@ogilvy.com

    In the United States:
     Ms. Jessica Barist Cohen
     Ogilvy Financial, New York
     Tel:   +1-646-460-9989
     Email: asia@ogilvy.com

"Consistent with our previously stated goals, we are pleased to announce contract wins with Henan and Jiangxi Mobile, which brings the total number of provinces that we will upgrade from BOSS to NG-BOSS to 11," said Steve Zhang, AsiaInfo's president and chief executive officer. "These 11 provinces give us approximately 33% market share of China Mobile's BOSS solutions, including one in Zhejiang and one in Henan province that each boasts a user-base of more than 45 million customers. In addition to these 11 upgrades which are a part of China Mobile's phase-I NG-BOSS rollout, we are currently developing the technical specifications for China Mobile's phase-II NG-BOSS system. With a strong foundation laid, I am confident that our experience growing alongside China Mobile will continue to transpire into sustainable, long-term growth opportunities."

The system is being built in response to China Mobile's transformation into a fully integrated service provider and its effort to evolve its service from traditional network-oriented to customer-driven. The NG-BOSS is expandable to meet future capacity and business-line additions, employs state-of-the-art security features and uses advanced technology to ensure a user-friendly interface.

The Company expects its phase-I NG-BOSS upgrades to be completed by the end of first quarter of 2010.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (NASDAQ: ASIA - News) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises, as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile and China Unicom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

The information contained in this document is as of September 15, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at http://www.sec.gov .

    For investor and media inquiries, please contact:

    In China:
     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Justin Knapp
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-6556
     Email: asia@ogilvy.com

    In the United States:
     Ms. Jessica Barist Cohen
     Ogilvy Financial, New York
     Tel:   +1-646-460-9989
     Email: asia@ogilvy.com

Pursuant to the JV Agreement, AsiaInfo and AGI will form a joint venture (the "JV") in Singapore. The JV will have total issued and paid-up share capital of US$4.0 million. AsiaInfo will contribute US$2.8 million to the JV in cash, which represents 70% of the JV's share capital. AGI will contribute US$1.2 million to the JV in cash, which represents 30% of the JV's share capital.

"I'm proud of the achievements we have accomplished in China's telecommunications software industry and am excited about our future collaboration abroad with AGI," said Steve Zhang, AsiaInfo's President and Chief Executive Officer. "This partnership is in line with our disciplined growth strategy as it complements our core software and IT solutions service offering and long-term vision to increase market share outside of China, particularly in Southeast Asia. Going forward, we will continue to leverage the leading market share we have garnered in China's telecommunications software industry, to explore new ways to expand our service offering, grow our business both domestically and abroad, and deliver long-term shareholder value."

Pursuant to the JV Agreement, AsiaInfo has the right to elect a majority of the JV's board of directors. In connection with the JV Agreement, the Company and the JV have also entered into certain ancillary agreements pursuant to which the JV will serve as an exclusive agent of the Company to market and distribute AsiaInfo's telecommunications software and service solutions in certain countries in Southeast Asia.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (NASDAQ: ASIA - News) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

Safe Harbor Statement

The information contained in this document is as of September 10, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our reports on Forms 10-Q and 8-K (if any) filed with the United States Securities and Exchange Commission and available at http://www.sec.gov .

    For investor and media inquiries, please contact:

    In China:
     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Justin Knapp
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-6556
     Email: asia@ogilvy.com

    In the United States:
     Ms. Jessica Barist Cohen
     Ogilvy Financial, New York
     Tel:   +1-646-460-9989
     Email: asia@ogilvy.com

'Increasing competition in China telecommunications industry brings with it an imperative for carriers to modernize their billing and operational support systems to accommodate a multitude of services across fixed-line, broadband and mobile businesses and to improve the customer experience,' said Steve Zhang, AsiaInfo's president and chief executive officer. 'Our world-class products make this possible and enable real-time data collection, fee calculation and payment in a stable and user-friendly environment while supporting all features of the existing system.'

Designed to accommodate real-time billing functions, the system will support Beijing Mobile's pre-paid business, including voice, data, content and other businesses. The system will be built to comply with China Mobile's Next Generation Business Operation Support System 1.0 ('NG-BOSS 1.0') standard.

Prior to this agreement, AsiaInfo partnered with Beijing Mobile to develop their Customer Relationship Management ('CRM') and Business Intelligence ('BI') systems.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (NASDAQ: ASIA) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises, as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile and China Unicom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

The information contained in this document is as of June 23, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as 'anticipate,' 'estimate,' 'expect,' 'project,' 'intend,' 'plan,' 'believe,' and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at www.sec.gov.

    For investor and media inquiries, please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Andrew Keller
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-3112
     Email: andrew.keller@ogilvy.com

    In the United States:

     Ms. Jessica Barist Cohen
     Ogilvy Financial, New York
     Tel:   +1-646-460-9989
     Email: jessica.cohen@ogilvypr.com

SOURCE AsiaInfo Holdings, Inc.

Source: PR Newswire (June 23, 2009 - 8:00 AM EDT)

BEIJING and SANTA CLARA, Calif., May 12 /PRNewswire-Asia-FirstCall/ -- AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News), a leading provider of telecom software solutions and IT security products and services in China, today announced that it will attend Oppenheimer's 3rd Annual China Dragon Call Conference in New York City from May 19-21, 2009.

Mr. Steve Zhang, AsiaInfo's president and chief executive officer, Ms. Wei Li, AsiaInfo's chief financial officer, and Ms. Sheryl Zhang, AsiaInfo's director of investor relations, will attend the conference. Details for the company's presentation are as follow:

    Date:      Wednesday, May 20, 2009
    Time:      10:20 a.m. to 11:00 a.m. U.S. Eastern Time
    Presenter: Steve Zhang, president and chief executive officer
    Location:  3rd Floor, 300 Madison Avenue, New York City

At the conference, AsiaInfo management will discuss its business model and strategy and will hold one-on-one meetings with institutional investors.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

    For more information about AsiaInfo, please visit http://www.asiainfo.com .

    For investor and media inquiries please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Andrew Keller
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-3112
     Email: andrew.keller@ogilvy.com

    In the United States:

     Ms. Jessica Barist Cohen
     Ogilvy Financial, New York
     Tel:   +1-646-460-9989
     Email: jessica.cohen@ogilvypr.com

"Industry restructuring and the issuance of 3G licenses have recently created numerous opportunities for AsiaInfo to leverage our core competency in billing, customer relationship management and business intelligence software into important market share gains. At the same time, ongoing maintenance and regular upgrades like these continue to be a long-term and dependable driver of growth for our business," said Steve Zhang, AsiaInfo's president and chief executive officer. "Besides system upgrades, our team of highly knowledgeable consultants is increasingly working with China Mobile to better utilize the data collected by our BI systems to design innovative and targeted sales and marketing campaigns that help the carrier maintain its leading market position and increase average revenue per customer. With our increasingly close relationships with all three of China's telecom carriers and a growing consensus that advanced IT software is essential to remaining competitive in today's telecom market, I'm confident that we can leverage our success with China Mobile in the BI space into new market share in the future."

AsiaInfo first developed its BI system for China Mobile in 2003. The upgrade will add TD data analysis capabilities to existing systems at the seven China Mobile subsidiaries, allowing them to perform detailed data analysis on voice and value-added service usage by TD customers. The BI systems will also link the subsidiary-level BI systems with the data analysis system at China Mobile headquarters. By interfacing with the subsidiary-level BI systems, the headquarters system collects customer data and provides high- level analytical capabilities for decision making.

AsiaInfo currently provides BI systems for 15 of 31 China Mobile subsidiaries.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises, as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile and China Unicom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

The information contained in this document is as of May 8, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at www.sec.gov.

    For investor and media inquiries, please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Andrew Keller
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-3112
     Email: andrew.keller@ogilvy.com

    In the United States:

     Mr. Thomas Smith
     Ogilvy Financial, New York
     Tel:   +1-212-880-5269
     Email: thomas.smith@ogilvypr.com

BEIJING and SANTA CLARA, Calif., April 30 /PRNewswire-Asia-FirstCall/ -- AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News; the "Company"), a leading provider of telecom software solutions and IT security products and services in China, today announced that it has signed a contract with China Unicom to build out a nationwide mobile email system (the "system") with a capacity of 14 million users to support email functions on mobile phones. The system will integrate mobile phone and email functionalities, allowing users to send and receive emails from their mobile phones and send and receive text messages ("SMS") and multimedia messages ("MMS") from their email systems, which can be accessed by mobile phone or computer.

"AsiaInfo is a world-class software provider with extensive experience rolling out nationwide mobile email systems for Chinese telecom operators, which puts us in an excellent competitive position as operators begin to roll out value-added services associated with high-speed data access from new 3G networks," said Steve Zhang, AsiaInfo's president and chief executive officer. "China Unicom hopes to leverage its WCDMA 3G network and related value-added services to attract and retain high-value customers. This advanced mobile email system will help China Unicom increase user loyalty and average revenue per user by allowing users to access and manage emails as well as other functionalities such as monthly phone bills, mobile community features, blogs, photo albums and others, through their mobile phones."

China Unicom users will be able to order and cancel the mobile email service via SMS, WAP and over the Web. Users will have access to all basic email functionalities through their cell phones, including composing, responding, sending, receiving, deleting and archiving emails. The system will also support more advanced features, such as push email, email signatures, filters, search functionality, as well as allowing users to send and receive SMS and MMS messages through the email system. Users can choose to be notified of new email via SMS, WAP push email and MMS.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

Safe Harbor Statement

The information contained in this document is as of April 30, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K (if any) filed with the United States Securities and Exchange Commission and available at www.sec.gov.

    For investor and media inquiries, please contact:

    In China:

     Ms. Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Mr. Andrew Keller
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-3112
     Email: andrew.keller@ogilvy.com

    In the United States:

     Mr. Thomas Smith
     Ogilvy Financial, New York
     Tel:   +1-212-880-5269
     Email: thomas.smith@ogilvypr.com

BEIJING and SANTA CLARA, Calif., April 22 /PRNewswire-Asia-FirstCall/ -- AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News), ("AsiaInfo" or the "Company") a leading provider of telecom software solutions and IT security products and services in China, today announced financial results for the first quarter of 2009.

"I'm pleased to report another quarter of solid growth that exceeded top-line and met bottom-line guidance," said Mr. Steve Zhang, AsiaInfo's president and chief executive officer. "During the quarter, we posted important market share gains in our China Unicom account with new BSS contracts in Shanghai and Hainan and in our China Telecom account with a BSS tender win in Jilin province, once again demonstrating the competitiveness of our software solutions. As we move beyond industry restructuring in the quarters and years to come, we are seeing more opportunities as carriers shift focus from building out their networks to leveraging IT software and services that will enable them to attract, retain and monetize subscribers in an increasingly competitive environment."

First Quarter 2009 Financial Results

Total revenues for the first quarter of 2009 were US$51.0 million, an increase of 45.6% year over year and a decrease of 5.0% sequentially. Exceeding guidance, net revenue (Non-GAAP) for the first quarter of 2009 was US$47.7 million, an increase of 55.2% year over year and a decrease of 6.5% sequentially. The year-over-year increase was primarily driven by strong performance among all three major accounts in the telecom business while the sequential decrease was mainly the result of seasonal effects on the Lenovo-AsiaInfo business unit, which generally performs stronger in the second half of the year.

In the first quarter, AsiaInfo announced contracts with China Mobile to upgrade Business Operation Support Systems ("BOSS") in 11 subsidiaries to support China Mobile's TD-SCDMA launch, contracts with China Unicom to roll out new Business Support Systems ("BSS") in nine subsidiaries, including new market share gains in Shanghai and Hainan, and a tender win with China Telecom to develop a BSS solution for Jilin province, also representing a gain in market share.

In the first quarter of 2009, gross margin was 54.0%, compared to 51.0% in the year-ago period and 53.5% in the previous quarter. The year-over-year increase in gross margin was primarily due to a strong contribution from higher-margin software solutions and a decrease in lower-margin third-party hardware sales. Gross profit as a percentage of net revenue (Non-GAAP) was 57.7% in the first quarter of 2009, compared to 58.1% in the year-ago period and 56.4% in the previous quarter. The Company noted that gross profit as a percentage of net revenue (non-GAAP) has remained relatively stable at around 55% for the last several quarters.

In the first quarter of 2009, the AsiaInfo Technologies business unit, which focuses on telecommunications software and services, contributed 92.5% to total revenue and 93.1% to net revenue (Non-GAAP). Total revenue for the AsiaInfo Technologies business unit increased 47.0% year over year and 12.9% sequentially to US$47.2 million. Net revenue (Non-GAAP) for the AsiaInfo Technologies business unit increased 58.6% year over year and 9.4% sequentially to US$44.4 million. The increases in net revenue (Non-GAAP) mainly reflect strong uptake for the Company's software and service solutions among all three major telecom customers, especially in the form of upgrades to their existing IT systems to support 3G products and services.

In the first quarter of 2009, the Lenovo-AsiaInfo business unit, which focuses on IT security products and services, contributed 7.5% to total revenue and 6.9% to net revenue (Non-GAAP). Total revenue for the Lenovo-AsiaInfo business unit increased 30.6% year over year and decreased 67.9% sequentially to US$3.8 million. Net revenue (Non-GAAP) for the Lenovo-AsiaInfo business unit increased 20.0% year over year and decreased 68.5% sequentially to US$3.3 million. The year-over-year increase reflects a concerted effort to improve operations in this division. Sequentially, the decrease is mainly due to seasonality, as sales in the Lenovo-AsiaInfo business unit are typically strongest in the fourth quarter. Please refer to the end of this press release for condensed segmented financial results for AsiaInfo's two business units.

Total operating expenses increased 40.6% year over year and 1.6% sequentially to US$21.3 million. Sales and marketing expenses increased 33.5% year over year and decreased 0.2% sequentially to US$10.5 million. The year-over-year increase was mainly due to higher sales commission expenses incurred upon signing new contracts. General and administrative expenses increased 36.7% year over year and decreased 2.7% sequentially to US$3.6 million. The year-over-year increase was largely the result of personnel increases over the year-ago period and increased share-based compensation expenses, while the sequential decrease was largely due to non-recurring professional fees incurred in the fourth quarter of 2008. Research and development expenses increased 54.9% year over year and 6.8% sequentially to US$7.2 million, mainly reflecting an increase in headcount in line with the Company's strategy of continuing to invest in research and development of world-class products to take advantage of current and future market opportunities.

Income from operations for the first quarter of 2009 was US$6.2 million, an increase of 131.4% year over year and a decrease of 20.1% sequentially. Operating margin of total revenue(2) was 12.2% for the first quarter of 2009, compared to 7.7% in the year-ago period and 14.5% in the previous quarter. Operating margin of net revenue (Non-GAAP)(3) was 13.0% for the first quarter of 2009, compared to 8.7% in the year-ago period and 15.2% in the previous quarter. The year-over-year improvement was mainly the result of improving economies of scale and the Company's continued efforts to improve operational efficiency, while the sequential decline is consistent with normal seasonal fluctuations.

Other income for the first quarter of 2009 was US$0.8 million, compared to US$2.3 million in the previous year and a loss of US$5.1 million in the previous quarter. The year-over-year decrease was largely the result of investment gains in the first quarter of 2008 as well as lower interest rates in the first quarter of 2009, which resulted in lower interest income. The loss in the fourth quarter of 2008 was mainly the result of US$6.7 million in non-cash impairment charges related to certain short-term investments in stock funds and a long-term investment.

In the first quarter of 2009, AsiaInfo recorded net income attributable to AsiaInfo Holdings, Inc. of US$5.8 million or US$0.13 per basic share, compared to US$5.3 million or US$0.10 per basic share in the year-ago period and US$2.2 million or US$0.05 per basic share in the previous quarter.

Net income attributable to AsiaInfo Holdings, Inc. excluding share-based compensation expense, amortization of acquired intangible assets, impairment loss on investment, after-tax dividend income and gain on discontinued operations (net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP)(4)) was US$7.1 million in the first quarter of 2009 or US$0.17 per basic share. Net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) in the year-ago period was US$5.2 million or US$0.12 per basic share. Net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) in the previous quarter was US$10.2 million or US$0.23 per basic share. Net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) increased 36.9% year over year and decreased 29.9% sequentially.

As of March 31, 2009, AsiaInfo had cash and cash equivalents and restricted cash totaling US$185.6 million and short-term investments totaling US$30.3 million. Operating cash flow in the first quarter of 2009 was a net outflow of approximately US$0.24 million.

    (1) Net revenue (Non-GAAP), a non-GAAP measure, represents total revenue
        net of third-party hardware costs. A reconciliation of net revenue
        (Non-GAAP) to GAAP revenue is provided at the end of this press
        release.
    (2) Operating margin of total revenue is operating income divided by total
        revenue
    (3) Operating margin of net revenue (Non-GAAP) is operating income divided
        by net revenue (Non-GAAP)
    (4) Net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) and net
        income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) per share
        measures exclude acquired intangible assets, impairment loss on
        investment, after-tax dividend income and gain on discontinued
        operations. A reconciliation of these non-GAAP measures to the most
        comparable GAAP measures is provided at the end of the press release.


    Second Quarter 2009 Guidance
    AsiaInfo expects second quarter 2009 net income attributable to AsiaInfo
Holdings, Inc. per basic share to be in the range of US$0.14 to US$0.15,
representing an increase of 17% to 25% compared to net income attributable to
AsiaInfo Holdings, Inc. from continuing operations per basic share in the
first quarter of 2009. The Company expects net revenue (Non-GAAP) to be in the
range of US$52 million to US$53 million, an increase of 51% to 54% year over
year.



                             ASIAINFO HOLDINGS, INC.
            CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
        (Amounts in thousands of US$, except shares and per share amounts)

                                                                  Three Months
                                                  Three Months        Ended
                                                 Ended March 31,   December 31,
                                                2009        2008       2008
    Revenues:
     Software products and solutions          $42,437     $27,139     $45,556
     Service                                    4,999       3,341       5,169
     Third party hardware                       3,540       4,526       2,959
    Total revenues                             50,976      35,006      53,684

    Cost of revenues:
     Software products and solutions           18,214      11,156      20,038
     Service                                    1,930       1,714       2,200
     Third party hardware                       3,316       4,296       2,709
    Total cost of revenues                     23,460      17,166      24,947
     Gross profit                              27,516      17,840      28,737

    Operating expenses:
     Sales and marketing                       10,537       7,895      10,557
     General and administrative                 3,566       2,609       3,665
     Research and development                   7,215       4,658       6,755
    Total operating expenses                   21,318      15,162      20,977
    Income from operations                      6,198       2,678       7,760

    Other income:
     Interest income                              624       1,215       1,237
     Dividend income                              171         219          12
     Gain on sale of short-term investments        --       1,174         329
     Impairment loss on investments                --          --      (6,676)
     Other (expenses) income, net                 (23)       (274)         14
    Total other income, net                       772       2,334      (5,084)

    Income before provision for income
     taxes and discontinued operations          6,970       5,012       2,676
    Income taxes expense                        1,185         733         476
    Income from continuing operations           5,785       4,279       2,200
    Income from discontinued operations            --         980          --
    Net income                                  5,785       5,259       2,200
     Less: Net loss attributable to the
      noncontrolling interest(1)                    5          --          11
    Net income attributable to AsiaInfo
     Holdings, Inc.                            $5,790       5,259       2,211

    Income from continuing operations
     per share:
     Basic                                      $0.13       $0.10       $0.05
     Diluted                                    $0.13       $0.09       $0.05

    Income from discontinued operations
     per share:
     Basic                                         --       $0.02          --
     Diluted                                       --       $0.02          --

    Net income per share
     Basic                                      $0.13       $0.12       $0.05
     Diluted                                    $0.13       $0.11       $0.05

    Weighted average shares used in
     computation:
     Basic                                 43,503,560  44,793,694  43,698,583
     Diluted                               45,186,058  46,386,208  45,424,511

    (1) Amount in relation to noncontrolling interest, formerly named minority
        interest, for the three-month periods ended March 31, 2008 and
        December 31, 2008 is reclassified in accordance with FASB Statement No.
        160, Noncontrolling Interest, which was adopted by the Company on
        January 1, 2009.



                             ASIAINFO HOLDINGS, INC.
                CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
        (Amounts in thousands of US$, except share and per share amounts)

                                                                As at
                                                         Mar 31,     Dec 31,
                                                          2009       2008(1)
    ASSETS:
    Current Assets:
     Cash and cash equivalents                          $173,390    $172,119
     Restricted cash                                      12,259      12,510
     Short term investments                               30,316      28,633
     Accounts receivable, net (net of allowances
      of $3,084 and $2,605 as of March 31, 2009
      and December 31, 2008, respectively)                79,739      52,011
     Inventories                                          63,056      12,322
     Other receivable                                      4,014       2,813
     Deferred income taxes-current                         3,334       3,334
     Prepaid expenses and other current assets             5,084       5,425
    Total current assets                                $371,192    $289,167

     Long term investment                                  4,696       4,696
     Property and equipment, net                           2,803       2,887
     Other acquired intangible assets, net                 2,695       3,008
     Deferred income tax assets- non-current               2,671       2,671
     Goodwill                                             20,723      20,725
    Total Assets                                        $404,780    $323,154

    LIABILITIES AND STOCKHOLDERS EQUITY
    Current Liabilities:
     Accounts payable                                     73,840      13,835
     Accrued expenses                                     15,218      14,235
     Deferred revenue                                     47,853      44,414
     Accrued employee benefits                            30,312      27,570
     Other payables                                        7,472       5,288
     Income taxes payable                                  1,020         646
     Other taxes payable                                   7,937       6,311
     Deferred income tax liability-current                 1,512         934
    Total current liabilities                           $185,164    $113,233

    Unrecognized tax benefits - non-current                1,347       1,326
    Other long term liabilities                              135         135
    Total liabilities                                   $186,646    $114,694

    Stockholders' equity:
    Common stock                                            $469        $464
    Additional paid-in capital                           218,749     215,948
    Treasury stock, at cost                              (27,749)    (27,749)
    Statutory reserve                                     17,212      17,212
    Accumulated deficit                                   (9,776)    (15,566)
    Accumulated other comprehensive income                19,176      18,093
    Total AsiaInfo holdings, Inc.
     stockholders' equity                               $218,081    $208,402
    Non controlling interest(2)                               53          58
    Total stockholders' equity                           218,134     208,460
    Total Liabilities and Stockholders' Equity          $404,780    $323,154

    (1) December 31, 2008 balances were extracted from audited financial
        statements.
    (2) Amount in relation to noncontrolling interest, formerly named minority
        interest, as of December 31, 2008 is reclassified in accordance with
        FASB Statement No. 160, Noncontrolling Interest, which was adopted by
        the Company on January 1, 2009.



                            ASIAINFO HOLDINGS, INC.
            CONDENSED INFORMATION FOR REPORTABLE SEGMENTS (UNAUDITED)
                         (Amounts in thousands of US$)

                                                  Three Months Ended
                                                    March 31, 2009
                                             AsiaInfo     Lenovo
                                          Technologies  -AsiaInfo     Total
    Revenues:
    Software products and solutions          $39,382      $3,055     $42,437
    Service                                    4,847         152       4,999
    Third party hardware                       2,924         616       3,540
    Total revenues                            47,153       3,823      50,976

    Cost of revenues:
    Software products and solutions           16,914       1,300      18,214
    Service                                    1,848          82       1,930
    Third party hardware                       2,778         538       3,316
    Total cost of revenues                    21,540       1,920      23,460

    Gross profit                              25,613       1,903      27,516

    Business unit expenses:
    Sales and marketing                        8,416       2,121      10,537
    General and administrative                   726         122         848
    Research and development                   6,295         920       7,215
    Total business unit expenses              15,437       3,163      18,600
    Gain on settlement of escrow                  --          --          --
    Contribution profit (loss)               $10,176     ($1,260)     $8,916
    Corporate general and administration                               2,718
    Operating profit                                                  $6,198


                                                  Three Months Ended
                                                    March 31, 2008
                                            AsiaInfo     Lenovo
                                          Technologies  -AsiaInfo     Total
    Revenues:
    Software products and solutions          $24,452     $2,687     $27,139
    Service                                    3,304         37       3,341
    Third party hardware                       4,323        203       4,526
    Total revenues                            32,079      2,927      35,006

    Cost of revenues:
    Software products and solutions           10,281        875      11,156
    Service                                    1,674         40       1,714
    Third party hardware                       4,107        189       4,296
    Total cost of revenues                    16,062      1,104      17,166

    Gross profit                              16,017      1,823      17,840

    Business unit expenses:
    Sales and marketing                        5,885      2,010       7,895
    General and administrative                   577         13         590
    Research and development                   4,110        548       4,658
    Total business unit expenses              10,572      2,571      13,143
    Gain on settlement of escrow                  --         --          --
    Contribution profit (loss)                $5,445      ($748)     $4,697
    Corporate general and administration                              2,019
    Operating profit                                                 $2,678


                                                  Three Months Ended
                                                   December 31, 2008
                                             AsiaInfo    Lenovo
                                          Technologies -AsiaInfo     Total
    Revenues:
    Software products and solutions          $35,634     $9,922     $45,556
    Service                                    4,864        305       5,169
    Third party hardware                       1,265      1,694       2,959
    Total revenues                            41,763     11,921      53,684

    Cost of revenues:
    Software products and solutions           16,814      3,224      20,038
    Service                                    2,073        127       2,200
    Third party hardware                       1,202      1,507       2,709
    Total cost of revenues                    20,089      4,858      24,947

    Gross profit                              21,674      7,063      28,737

    Business unit expenses:
    Sales and marketing                        6,641      3,916      10,557
    General and administrative                   684        353       1,037
    Research and development                   5,948        807       6,755
    Total business unit expenses              13,273      5,076      18,349
    Gain on settlement of escrow                  --         --          --
    Contribution profit (loss)                $8,401     $1,987     $10,388
    Corporate general and administration                              2,628
    Operating profit                                                 $7,760

First Quarter 2009 Conference Call Details

AsiaInfo management will hold an earnings conference call at 5:00 p.m. Pacific Time / 8:00 p.m. Eastern Time on April 22, 2009 (8:00 a.m. Beijing/Hong Kong Time on April 23, 2009). Management will discuss results and highlights of the quarter and answer questions from investors. The dial-in numbers for the conference call are as follows:

    U.S. Toll Free: +1-...
    China Toll Free: 800-701-1223
    Hong Kong and International: +852-3005-2050

The passcode for the call is 878859#.

A replay of the call will be available until 8:00 p.m. Eastern Time on May 22, 2009 by dialing one of the following numbers:

    U.S. Toll Free: +1-...
    China Toll Free: 800-869-7680
    Hong Kong and International: +852-3005-2020

The passcode for the replay is 134123#.

Additionally, a live and archived web cast of this call will be available on the Investor Relations section of the AsiaInfo web site at http://www.asiainfo.com .

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News) is a leading provider of high-quality software and customer solutions to many of China's largest enterprises. In addition to providing software and customer solutions to China's telecom carriers, the Company also offers a wide range of security products and services to small, medium and large sized Chinese enterprises across multiple vertical industries.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national Internet backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued to diversify its product offerings and is now a major provider of enterprise software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

Reconciliation of Non-GAAP Measures

This earnings release contains presentations of the following "Non-GAAP financial measures" as defined by applicable U.S. securities regulations. The presentation of these non-GAAP financial measures is not meant to be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP. The Non-GAAP financial measures are provided as additional information to help both management and investors compare business trends among different reporting periods on a consistent and more meaningful basis and enhance investors' overall understanding of the Company's current financial performance and prospects for the future. These non-GAAP measures have limitations, however, because they do not include all items of income and expenses that impact the Company's operations. Management compensates for these limitations by also considering the Company's GAAP results. The non-GAAP financial measures the Company uses are not prepared in accordance with, and should not be considered an alternative to, measurement required by GAAP and should not be considered measures of the Company's liquidity. Pursuant to relevant regulatory requirements, we are providing the following reconciliations of the Non-GAAP financial measures to the nearest comparable GAAP measures.

(1) Net revenue (Non-GAAP)

AsiaInfo's net revenue (Non-GAAP) represents total revenue net of hardware costs that are passed through to our customers. We believe total revenues net of hardware costs more accurately reflects our core business, which is the provision of software solutions and services, and provides transparency to our investors. It is also the same measure used by our management to evaluate the competitiveness and development of our business.

        Reconciliation of net revenues (Non-GAAP) to GAAP total revenues

                                                       2009 Q1
                                         AsiaInfo        Lenovo
                                       Technologies     AsiaInfo       Total
                                            (in thousands of US dollars)
    Net Revenue (Non-GAAP)                 44,375         3,285       47,660
    Third Party Hardware Costs              2,778           538        3,316
    Total Revenues                         47,153         3,823       50,976


                                                       2008 Q1
                                         AsiaInfo        Lenovo
                                       Technologies     AsiaInfo       Total
                                            (in thousands of US dollars)
    Net Revenue (Non-GAAP)                 27,972         2,738       30,710
    Third Party Hardware Costs              4,107           189        4,296
    Total Revenues                         32,079         2,927       35,006


                                                       2008 Q4
                                         AsiaInfo        Lenovo
                                       Technologies     AsiaInfo       Total
                                            (in thousands of US dollars)
    Net Revenue (Non-GAAP)                 40,561        10,414       50,975
    Third Party Hardware Costs              1,202         1,507        2,709
    Total Revenues                         41,763        11,921       53,684


    (2) Net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP)

Net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) excludes share-based compensation expenses, amortization of acquired intangible assets, impairment loss on investment, after-tax dividend income, gain on discontinued operations, and gain on settlement of escrow. We believe that this non-GAAP financial measure provides meaningful supplemental information regarding our performance by excluding certain expenses and income that may not be indicative of our operating performance. Management uses the net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) measure to gain a better understanding of the Company's comparative operating performance from period-to-period and as a basis of planning and forecasting future periods. Management believes the Company's net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) measure, when read in conjunction with the Company's GAAP net income attributable to AsiaInfo Holdings, Inc. measure and other GAAP financials, provides useful information to investors by offering: a) the ability to make more meaningful period-to-period comparisons of the Company's on-going operating results; b) the ability to better identify trends in the Company's underlying business and perform related trend analysis; c) a better understanding of how management plans and measures the Company's underlying business; and d) an easier way to compare the Company's most recent results of operations against investor and analyst financial models.

      Reconciliation of net income attributable to AsiaInfo Holdings, Inc.
      (Non-GAAP) to GAAP net income attributable to AsiaInfo Holdings, Inc.

                                          Three Months Ended Mar. 30
                                                                       2008 Q4
                                               2009        2008
                                                   (in US dollar thousands)
    GAAP net income                            5,790       5,259        2,211
    Adjustments:
     - Share based compensation                1,182         690          919
     - Amortization of acquired
       intangible assets                         312         446          359
     - Impairment loss on investment              --          --        6,676
     - Gain on discontinued operations            --        (980)          --
     - Gain on settlement of escrow               --          --           --
     - Dividend income, net of tax              (171)       (219)         (12)
    Non-GAAP net income                        7,113       5,196       10,153

(3) Net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) Per Basic Share

Net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) per share is calculated based on net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP). Like net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP), net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) per share excludes share-based compensation expenses, amortization of acquired intangible assets, impairment loss on investment, after-tax dividend income, gain on discontinued operations, and gain on settlement of escrow. Shares outstanding used in the computation of net income attributable to AsiaInfo Holdings, Inc. per share were the same as those used in the computation of net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) per share. Management believes that net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) per share, when used in conjunction with the Company's GAAP net income attributable to AsiaInfo Holdings, Inc. per share, provides useful information to investors for the same reasons discussed above regarding net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP). In addition, net income attributable to AsiaInfo Holdings, Inc. (Non-GAAP) per share allows investors to evaluate the Company's operating performance from period to period on a per share basis, thus providing a useful basis for assessing the Company's value on a per share basis.

      Reconciliation of net income attributable to AsiaInfo Holdings, Inc.
       (Non-GAAP) per share to GAAP net income attributable to AsiaInfo
                          Holdings, Inc. per share

                                            Three Months Ended Mar. 30
                                                                       2008 Q4
                                                2009         2008
                                                   (in US dollar thousands)
    GAAP net income                             0.13         0.12        0.05
    Adjustments:
     - Share based compensation                 0.03         0.02        0.02
     - Amortization of acquired
       intangible assets                        0.01         0.01        0.01
     - Impairment loss on investment              --           --        0.15
     - Gain on discontinued operations            --        (0.02)         --
     - Gain on settlement of escrow               --           --          --
     - Dividend income, net of tax                --        (0.01)         --
    Non-GAAP net income                         0.17         0.12        0.23

Cautionary Note Regarding Forward-Looking Statements

The information contained in this document is as of April 22, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; and political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at www.sec.gov.

    For investor and media inquiries, please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86...
     Email: ir@asiainfo.com

     Andrew Keller
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-3112
     Email: andrew.keller@ogilvy.com

    In the United States:

     Mr. Thomas Smith
     Ogilvy Financial, New York
     Tel:   +1-212-880-5269
     Email: thomas.smith@ogilvypr.com

"I'm happy to take another step forward in our relationship with China Telecom, which has been on the fast track since telecom industry restructuring was announced in May of last year," said Steve Zhang, AsiaInfo's president and chief executive officer. "From a policy perspective, China's telecom restructuring is now basically complete, but we expect to continue benefiting from processes like building out integrated solutions and migrating user data to new systems for some time. This new BSS solution will integrate Jilin Telecom's fixed-line and mobile services, increasing efficiency and flexibility for the company and providing users with a unified customer experience."

As part of China's telecommunications industry restructuring, China Telecom acquired China Unicom's CDMA wireless business in 2008. AsiaInfo will build out a BSS solution that is able to integrate the acquired wireless billing system with Jilin Telecom's existing fixed-line system. AsiaInfo will also provide migration services to move user data over to the new system. After AsiaInfo installs the solution, Jilin Telecom subscribers will be able to subscribe to bundled fixed-line, mobile and broadband services and enjoy a unified customer experience including billing and other services.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

Safe Harbor Statement

The information contained in this document is as of April 20, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K (if any) filed with the United States Securities and Exchange Commission and available at www.sec.gov.

    For investor and media inquiries, please contact:

    In China:

     Ms. Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86...
     Email: ir@asiainfo.com

     Mr. Andrew Keller
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-3112
     Email: andrew.keller@ogilvy.com

    In the United States:

     Mr. Thomas Smith
     Ogilvy Financial, New York
     Tel:   +1-212-880-5269
     Email: thomas.smith@ogilvypr.com

"China Unicom's value proposition no longer rests solely in the quality of its network, but is increasingly a factor of the ability of the software behind the network to manage resources and optimize the user experience," said Steve Zhang, AsiaInfo's president and chief executive officer. "Our BSS solutions are designed to allow operators to utilize their networks more efficiently and thus realize quicker returns on investment, which is an important consideration given the spending plans of all three carriers as they roll out 3G networks. The AsiaInfo BSS solution will also enable China Unicom to offer tailor-made services that are critical in retaining high-value customers in an increasingly competitive environment."

In addition to the new BSS installations in Shanghai and Hainan, AsiaInfo will install the solution in China Unicom subsidiaries in Beijing, Fujian, Hunan, Qinghai, Tibet, Yunnan and Zhejiang where the Company already has existing BSS installations. The solution includes enhancements to Customer Relationship Management, Billing and Partner Relationship Management and is expected to support China Unicom's value-added services to increase the Company's competitiveness. The solution will also assist in managing operations and monitoring the performance of China Unicom's business partners to ensure efficient and cohesive cooperation.

After the completion of the Shanghai and Hainan BSS, AsiaInfo will have BSS installations in 9 out of 31 China Unicom subsidiaries.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

Safe Harbor Statement

The information contained in this document is as of April 16, 2008. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K (if any) filed with the United States Securities and Exchange Commission and available at www.sec.gov.

    For investor and media inquiries, please contact:

    In China:

     Ms. Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86...
     Email: ir@asiainfo.com

     Mr. Andrew Keller
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-3112
     Email: andrew.keller@ogilvy.com

    In the United States:

     Mr. Thomas Smith
     Ogilvy Financial, New York
     Tel:   +1-212-880-5269
     Email: thomas.smith@ogilvypr.com

China Mobile's Phase II TD-SCDMA rollout will extend TD-SCDMA coverage to all 31 provincial capitals and municipality-level cities in mainland China. The new system will support wireless broadband service, data card service, mobile video and other 3G-related services. In 2007, AsiaInfo provided BOSS software for Phase I of China Mobile's TD-SCDMA network construction, thus becoming the first vendor to develop billing and customer relationship management software to accommodate China's 3G rollout. For the second phase, AsiaInfo will upgrade China Mobile's Phase I TD-SCDMA BOSS installations and integrate them into existing provincial-level systems.

"Pushing forward the construction and operation of the TD-SCDMA network is one of China Mobile's key goals for 2009, and our longstanding relationship with the carrier brings us a number of opportunities in the 3G realm," said Steve Zhang, AsiaInfo's president and chief executive officer. "This year's rollout of 3G services in China will create demand for a multitude of new data services that carriers' billing systems will need to support. After completing billing systems for the first phase of China Mobile's TD-SCDMA commercial pilot, which we began in early 2007, we will now help China Mobile to add a number of new functionalities to support their ongoing TD-SCDMA requirements. These contracts demonstrate both the flexibility of our software solutions and the stickiness of our products."

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises, as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved its major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for all of China's major national telecom carriers, including China Telecom, China Mobile and China Unicom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

For more information about AsiaInfo, please visit http://www.asiainfo.com .

The information contained in this document is as of April 14, 2009. AsiaInfo assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This document contains forward-looking information about AsiaInfo's operating results and business prospects that involve substantial risks and uncertainties. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: government telecommunications infrastructure and budgetary policy in China; our ability to maintain our concentrated customer base; the long and variable billing cycles for our products and services that can cause our revenues and operating results to vary significantly from period to period; our ability to meet our working capital requirements; our ability to retain our executive officers; our ability to attract and retain skilled personnel; potential liabilities we are exposed to because we extend warranties to our customers; risks associated with cost overruns and delays; our ability to develop or acquire new products or enhancements to our software products that are marketable on a timely and cost-effective basis; our ability to adequately protect our proprietary rights; the competitive nature of the markets we operate in; political and economic policies of the Chinese government. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and in our periodic reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at www.sec.gov.

    For investor and media inquiries, please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86...
     Email: ir@asiainfo.com

     Andrew Keller
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-3112
     Email: andrew.keller@ogilvy.com

    In the United States:

     Mr. Thomas Smith
     Ogilvy Financial, New York
     Tel:   +1-212-880-5269
     Email: thomas.smith@ogilvypr.com

AsiaInfo management will hold an earnings conference call at 5:00 p.m. Pacific Time / 8:00 p.m. Eastern Time on April 22, 2009 (8:00 a.m. Beijing/Hong Kong Time on April 23, 2009). Management will discuss results and highlights of the quarter and answer questions from investors. The dial-in numbers for the conference call are as follows:

    U.S. Toll Free: +1-866-549-1292
    China Toll Free: 800-701-1223
    Hong Kong and International: +852-3005-2050

The passcode for the call is 878859#. To participate on the call, please R.S.V.P. to Andrew Keller by email at andrew.keller@ogilvy.com or by phone at +86-10-8520-3112.

A replay of the call will be available until 8:00 p.m. Eastern Time on May 22, 2009 by dialing one of the following numbers:

    U.S. Toll Free: +1-866-753-0743
    China Toll Free: 800-869-7680
    Hong Kong and International: +852-3005-2020

The passcode for the replay is 134123#.

Additionally, a live and archived web cast of this call will be available on the Investor Relations section of the AsiaInfo web site at http://www.asiainfo.com .

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA - News) is a leading provider of high-quality telecom software solutions and IT security products and services to some of China's largest enterprises as well as many small and medium sized companies in China. An established leader in the Chinese telecommunications industry, AsiaInfo became a prominent supplier of IT security products and services in China with the acquisition of Lenovo's non-telecom related IT services business in 2004.

Organized as a Delaware corporation, AsiaInfo began operations in the United States in 1993. The Company moved major operations to China in 1995 and played a significant role in the construction of the national backbones and provincial access networks for each of China's major national telecom carriers, including China Telecom, China Mobile, China Unicom and China Netcom. Since 1998, AsiaInfo has continued diversifying its product offerings and is now a major provider of telecom software solutions in China.

    For more information about AsiaInfo, please visit http://www.asiainfo.com .

    For investor and media inquiries, please contact:

    In China:

     Sheryl Zhang
     AsiaInfo Holdings, Inc.
     Tel:   +86-10-8216-6039
     Email: ir@asiainfo.com

     Andrew Keller
     Ogilvy Financial, Beijing
     Tel:   +86-10-8520-3112
     Email: andrew.keller@ogilvy.com

    In the United States:

     Mr. Thomas Smith
     Ogilvy Financial, New York
     Tel:   +1-212-880-5269
     Email: thomas.smith@ogilvypr.com