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SOKO Fitness & Spa Group Broadens Geographic Expansion Strategy

February 10, 2010

HARBIN, China, Feb. 10 /PRNewswire-Asia-FirstCall/ — SOKO Fitness & Spa
Group, Inc. (OTC Bulletin Board: SOKF) (“SOKO” or the “Company”), an operator
of fitness centers, beauty salons and spas in Northeast China as well as
suburban Beijing, today provided an update on its recently broadened
geographic expansion strategy. In addition to its core strategy of targeting
Tier-2 cities in China, SOKO has extended its geographic expansion strategy to
include targeting facility openings in select under-penetrated, suburban areas
of Tier-1 cities in China where it sees the potential to capture market share
and achieve significant returns on investment.

SOKO defines a Tier-1 city in China as one of the major metropolitan areas
in the country, with a population of a least 10 million. SOKO defines Tier-2
cities as cities with populations between 1 and 7 million.

During its 17 year history, SOKO has maintained operations in Tier-2
markets such has Harbin and Shenyang in Northeast China, where the SOKO has
developed its brand and strategy to cross-sell its fitness center, beauty
salon and spa services in these generally under-served and less competitive
markets. According to its broadened geographic expansion strategy, SOKO will
continue to seek selected Tier-1 center opening initiatives in under-served
areas of these more competitive markets that will target spa and salon
facilities, as well as additional fitness and yoga centers and new services
such as medical beauty centers in order to cross-sell its services between
business segments.

SOKO’s broadened geographic expansion strategy was recently evidenced by
its entry into the suburban Beijing market in December 2009 through the
acquisition of a majority interest in two fitness centers. The acquisition of
these centers is consistent with SOKO’s growth strategy to pursue strategic
geographic expansion through strategic acquisition. SOKO plans to pursue
additional expansion opportunities in the Beijing, primarily targeting under-
penetrated, suburban areas and sections of the city in which SOKO believes it
has the potential to capture significant local market share.

“While we continue to target Tier-2 cities where we believe we have the
most potential for return on investment, we believe a significant opportunity
exists in and around larger markets as well,” said Tong Liu, Chief Executive
Officer of SOKO. “We believe that pursuing strategic growth opportunities in
suburban areas of Tier-1 markets, such as Beijing, is consistent with our core
strategy of opening facilities in areas that feature relatively low
penetration from competitors, and where we believe SOKO can most effectively
compete.

“As we move forward, we will look to broaden the range of services we
offer to include beauty and aesthetics in addition to fitness centers. We
believe this strategy will continue to enable us to cross-market and sell our
full range of SOKO-branded services. We believe that we will be able to
execute on this core strategy in these newer markets in a manner similar to
what we have achieved in our historical markets of Harbin and Shenyang,” Mr.
Liu concluded.

SOKO’s two currently owned Beijing fitness center facilities comprise a
combined membership base of approximately 2,000 and are located in Beijing’s
Huilongguan district, a high-density commercial and middle class residential
district with a population of approximately 300,000. Each club occupies over
3,000 square meters and features state-of-the-art exercise facilities, high-
end equipment and other amenities consistent with SOKO’s existing fitness
center properties.

About SOKO Fitness & Spa Group, Inc.

SOKO Fitness & Spa Group, Inc., an OTCBB listed company (SOKF.OB), is an
operator of fitness centers and beauty salons and spas key cities in
Northeastern China as well as in suburban Beijing. SOKO provides programs,
services, and products combined with exercise, education, and nutrition to
help their members lead a healthy life and achieve their fitness goals. For
further information, please go to http://www.sokofitness.com .

To be added to the Company’s email distribution for future news releases,
please send your request to soko@tpg-ir.com.

Cautionary Note Regarding Forward Looking Statements

This press release and the statements of representatives of SOKO Fitness &
Spa Group, Inc. (the “Company”) related thereto contain, or may contain,
statements that are not historical facts and are therefore “forward-looking
statements” within the meaning of the Private Securities Litigation Reform Act
of 1995. Such forward-looking statements involve significant risks and
uncertainties. Such statements may include, without limitation, statements
with respect to the Company’s plans, objectives, projections, beliefs,
expectations and intentions and other statements identified by words such as
“projects,” “may,” “could,” “would,” “should,” “believe,” “expect,”
“anticipate,” “estimate,” “intend,” “plan,” or similar expressions. These
statements are based upon the current beliefs and expectations of the
Company’s management and are subject to significant risks and uncertainties,
including those detailed in the Company’s filings with the Securities and
Exchange Commission. Actual results, including, without limitation, results
regarding the Company’s expansion strategies, service offerings, client and
customer base, proposed new center openings and prospects and strategies for
growth, may differ significantly from those set forth in the forward-looking
statements. These forward-looking statements involve certain risks and
uncertainties that are subject to change based on various factors (many of
which are beyond the Company’s control). The Company does not undertake any
obligation to update any forward- looking statement, except as required under
applicable law.

    For more information, please contact:

     The Piacente Group, Inc.
     Investor Relations
     Brandi Floberg
     Tel:   +1-212-481-2050
     Email: soko@tpg-ir.com

     Shawn Qu
     SOKO Fitness & Spa Group, Inc.
     Tel:   +1-908-208-8681
     Email: shawnqu@sokofitness.com

     Judy Jiang
     SOKO Fitness & Spa Group, Inc.
     Tel:   +86-451-8770-2280
     Email: judyjiang@sokofitness.com

SOURCE SOKO Fitness & Spa Group, Inc.


Source: newswire



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