China Shoe Holdings Inc. (OTC Bulletin Board: CHSH) ("the Company"), an independent shoe manufacturer in China, this week announced that the execution of it's previously announced plan of opening retail stores has commenced. The Company will be opening five retail stores in December 2007 as a pilot program. All of these stores will be located in the rapidly growing Shanghai region, will be Company owned and will concentrate on promoting the Company's own "Kangies" brand of footwear.

    "The commencement of these retail stores is only the first step of our plan of entering the China retail footwear market.
Our strong financial performance offers us the perfect backing to carry out our retail strategy of having a nation-wide retail network in 2008," said Mr. Gu XianZhong, President and CEO of the Company. "We feel fully confident that the successful execution of our retail strategy will drive our growth in the future."

    About China Shoe Holdings, Inc.

    Based in Shanghai, China, China Shoe manufactures, designs and sells private label and its own branded footwear throughout China and in overseas markets, principally Japan. China Shoe has its own manufacturing facilities located in China. China Shoe has built a diversified customer base throughout China and overseas.

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