SEATTLE, Dec. 16 /PRNewswire-FirstCall/ -- L&L International Holdings, Inc. (OTC Bulletin Board: LLFH) ("L&L"), a U.S. company operating coal businesses in China, announced financial results for the quarter ended October 31, 2009. Earnings in the second quarter of fiscal year 2010 totaled $6.94 million, or $0.29 per diluted share, exceeding the prior-year period of $2.35 million, or $0.10 per diluted share.

Highlights for Second Quarter Fiscal 2010 Financial Results:

• Revenues increased approximately 139% year-over-year to $24.48 million.
• Net income increased by 195% year-over-year to $6.94 million.
• Acquired 93% controlling interest in Hon Shen coking operations and an additional 28% of Hon Shen coal-washing facilities located in Yunnan Province.

"Strong results from our coal mining and coal-washing facilities will continue to add to our top and bottom lines in the second half of fiscal 2010," said Dickson Lee, Chairman and CEO of L&L. "With the acquisition of Hon Shen coking, we completed vertical integration for our coal businesses. We will continue to expand production at our coal mines and pursue strategic joint ventures. With revenues generated by Hon Shen and the expansion at our DaPuAn and SuTsong coal mines, we expect continued growth for fiscal year 2010."

Results of Operations

Coal revenues for Q2-2010 were derived entirely in China, from coal mining, coal washing, coking and coal wholesale operations. The Company conducted all its coal (energy) operations in Yunnan province. As of October 31, 2009, L&L owned 100% of KMC coal wholesale operations, and majority equity controlling interest of the DaPuAn Coal Mine and SuTsong Mine under the provisional name of L&L Coal Partners (the "2 Mines"), and Hon Shen Coal Co. Ltd. (coal washing operation and coking operation) ("HSC").

On July 16, 2009, the Company acquired 65% equity interest of coal washing facilities of Hon Shen. On October 23, 2009, L&L increased its interest from 65% to 93%. Additionally, L&L acquired 93% equity interest in Hon Shen's coking facilities, thus reaching an overall 93% equity interest of HSC's coal washing and coking operations.

Total Revenue and Gross Profit

During Q2-2010, L&L sales increased approximately 139% to $24.48 million from $10.24 million in Q2-2009. Mining contributed sales of $12.4 million, HSC contributed sales of $8.3 million, and KMC contributed sales of $3.7 million to the Company. Gross profit in Q2-2010 was $12.67 million, 122% higher than $5.7 million in Q2-2009.

Net Income and Earnings Per Share

Net income totaled $6.94 million in Q2-2010, 195% higher than $2.35 million in Q2-2009. The increase was mainly due to the acquisition of HSC and increased efficiencies of mining operations.

Operating Expenses

Operating expenses totaled $3.52 million in Q2-2010, increasing 207% from $1.15 million, for Q2-2009. The increase was due to the Company's rapid growth and new acquisitions which led to higher personnel, legal and professional expenses.

Business Objectives for Fiscal Year 2010

L&L plans continued expansion in its mining operations, including its DaPuAn mine from 150,000 tons to 300,000 tons and its SuTsong mine from 90,000 tons to 150,000 tons. L&L also plans additional acquisitions to increase coal sales and gain access to higher margin markets. Additionally, through its wholesale KMC subsidiary, L&L expects to process 300,000 tons of coal supported by five other strategic mining partners for the new fiscal year 2010.

About L & L International Holdings

Founded in 1995 and headquartered in Seattle, Washington, L&L serves the vast energy market in China through the operation and acquisition of coal mining, consolidation and distribution facilities. Led by an experienced, multi-lingual management team, the Company owns and operates coal mines and coal wholesaler networks in China. For further information, please visit the Company's website at http://www.lnlinternational.com.

Forward-Looking Statements

The statements contained in this press release that are not statements of historical fact, including, but not limited to, statements identified by the use of terms such as "anticipate," "appear," "believe," "could," "estimate," "expect," "intend," "may," "might," "plan" "should," and other variations of these terms, including statements related to expected market trends and L & L International Holdings' performance. All such statements are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and involve a number of risks and uncertainties. For example, there are material cultural, legal, political, and language differences between China and the United States which make business negotiations and doing business more difficult in China than that in the United States. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, the Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors. Recipients of this document are cautioned to consider these risks and uncertainties and to not place undue reliance on these forward-looking statements. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

This information is intended to be reviewed in conjunction with the Company's filings with the Securities and Exchange Commission.

    Contact:

    Investor Relations:
    Dave Gentry, RedChip Companies, Inc.
    (800) 733-2447, Ext. 104
    info@redchip.com

{FINANCIAL CHARTS FOLLOW}

                        L & L INTERNATIONAL HOLDINGS, INC.
                      CONDENSED CONSOLIDATED BALANCE SHEETS
                    AS OF OCTOBER 31, 2009 and APRIL 30, 2009
                                 (UNAUDITED)

                                          October 31, 2009  April 30, 2009
    ASSETS
       CURRENT ASSETS:
       Cash and cash equivalents            $11,345,517        $5,098,711
       Accounts receivable                   19,518,573        16,906,010
       Prepaid and other current assets       5,429,122         3,611,371
       Other Receivables                      7,666,357         9,360,881
       Inventories                            3,200,571         1,524,493
       Loan to business associates            1,866,917         5,983,636
          Total current assets               49,027,057        42,485,102

       Property and equipment, net           12,694,855         5,243,142
       Construction-in-progress              10,061,162         2,085,134
       Intangible assets, net                 2,557,303         2,507,331
       Investments                            1,539,792         1,275,660
       Investment held in a subsidiary
        disposed of                             573,677           573,677
       Deferred tax assets                      105,175           105,329
          Total non-current assets           27,531,964        11,790,273

    TOTAL ASSETS                            $76,559,021       $54,275,375
    LIABILITIES AND STOCKHOLDERS' EQUITY
    CURRENT LIABILITIES:
       Accounts payable                      $1,601,893        $4,930,866
       Accrued and other liabilities          1,881,479           953,395
       Current portion of long-term payable   3,795,360         3,000,000
       Taxes payable                          6,371,517         6,014,922
       Customer deposits                      2,303,770           300,435
       Bank loan                              1,742,313                 -
       Due to shareholder                             -           910,791
          Total current liabilities          17,696,332        16,110,409

    LONG-TERM LIABILITIES
       Long-term payable                      3,250,366         3,000,000
          Total long-term liabilities         3,250,366         3,000,000
          Total Liabilities                  20,946,698        19,110,409
    EQUITY:
    STOCKHOLDERS' EQUITY:
       Preferred stock, no par value,
        2,500,000 shares authorized, none
        issued and outstanding                        -                 -
       Common stock, $0.001 par value,
        120,000,000 shares authorized,
        24,712,720 and 21,202,200 shares
        issued for October 31, 2009 and
        April 30, 2009, respectively             24,713            21,201
       Paid-in Capital                       29,602,451         9,604,694
       Service cost being amortized          (5,037,453)                -
       Deferred stock compensation              (44,667)          (63,667)
       Accumulated other comprehensive
        income                                  631,808           669,913
       Retained Earnings                     21,841,748        12,200,838
          Total stockholders' equity         47,018,600        22,432,979
       Non-controlling interest               8,593,723        12,731,987
          Total Equity                       55,612,323        35,164,966
    TOTAL LIABILITIES AND  EQUITY           $76,559,021       $54,275,375

                       L & L INTERNATIONAL HOLDINGS, INC.
      CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
      FOR THE THREE MONTHS AND NINE MONTHS ENDED OCTOBER 31, 2009 AND 2008
                                  (UNAUDITED)

                              For the Three Months      For the Six Months
                                Ended October 31          Ended October 31
                               2009         2008         2009         2008

    NET REVENUES           $24,482,676  $10,244,949  $37,227,726  $20,910,930
    COST OF REVENUES        11,809,412    4,541,646   18,494,051    9,465,941
    GROSS PROFIT            12,673,264    5,703,303   18,733,675   11,444,989

    OPERATING COSTS
     AND EXPENSES:
    Salaries & wages         1,592,617      533,686    1,920,565      874,386
    Selling, general
     and administrative
     expenses                1,930,986      612,938    2,756,924    1,326,627
       Total operating
        expenses             3,523,603    1,146,624    4,677,489    2,201,013

    INCOME FROM OPERATIONS   9,149,661    4,556,679   14,056,186    9,243,976
    OTHER EXPENSES (INCOME):
    Interest expense            29,704       34,836       33,302       95,221
    Other expenses
     (income), net            (528,697)      76,272     (629,055)      85,003
       Total other
        expenses (income)     (498,993)     111,108     (595,753)     180,224

    INCOME FROM CONTINUED
     OPERATION BEFORE
     PROVISION FOR INCOME
     TAXES, DISCONTINUED
     OPERATIONS AND
     NON-CONTROLLING
     INTEREST                9,648,654    4,445,571   14,651,939    9,063,752
    LESS PROVISION FOR
     INCOME TAXES              814,764      269,484    1,167,398      572,157
    INCOME FROM CONTINUED
     OPERATION BEFORE
     DISCONTINUED
     OPERATIONS
     AND NON-CONTROLLING
     INTEREST                8,833,890    4,176,087   13,484,541    8,491,595
    DISCONTINUED
     OPERATIONS,
     Net of tax                      -       27,097            -       69,138
    NET INCOME               8,833,890    4,203,184   13,484,541    8,560,733
    LESS NET INCOME
     ATTRIBUTABLE TO
     NON-CONTROLLING
     INTERESTS               1,887,109    1,849,312    3,843,631    3,626,497
    NET INCOME
     ATTRIBUTABLE
     TO THE COMPANY          6,946,781    2,353,872    9,640,910    4,934,236

    OTHER COMPREHENSIVE
     INCOME:
    Foreign currency
     translation
     income (loss)                   -          434      (38,105)     570,244
    COMPREHENSIVE INCOME    $6,946,781   $2,354,306   $9,602,805   $5,504,480

    INCOME PER COMMON
     SHARE - basic from
     continued operation         $0.31        $0.11        $0.44        $0.22
    INCOME PER COMMON
     SHARE - basic from
     discontinued operation      $0.00        $0.00        $0.00        $0.01
    INCOME PER COMMON
     SHARE - basic               $0.31        $0.11        $0.44        $0.23

    INCOME PER COMMON
     SHARE - diluted from
     continued operation         $0.29        $0.10        $0.41        $0.22
    INCOME PER COMMON
     SHARE - diluted from
     discontinued operation      $0.00        $0.00        $0.00        $0.00
    INCOME PER COMMON
     SHARE - diluted             $0.29        $0.10        $0.41        $0.22

    WEIGHTED AVERAGE
     COMMON SHARES
     OUTSTANDING - basic    22,726,935   21,987,912   21,964,044   21,671,211
    WEIGHTED AVERAGE
     COMMON SHARES
     OUTSTANDING - diluted  24,397,083   22,386,910   23,634,192   22,070,209

SOURCE L & L International Holdings, Inc.

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RELATED LINKS
http://www.lnlinternational.com