Colorado Court of Appeals Affirms 2005 Order for Special Shareholder Meeting Held by Beicang Iron & Steel (Formerly Alpha Spacecom, Inc.)

Colorado Court of Appeals Affirms 2005 Order for Special Shareholder Meeting Held by Beicang Iron & Steel (Formerly Alpha Spacecom, Inc.)

March 19, 2007

    TAIYUAN, China, March 19 /Xinhua-PRNewswire-FirstCall/
-- Beicang Iron & Steel Inc. (OTC Bulletin Board: BEIC)
("BEIC" or the "Company"), announced
today that on February 22, 2007, the Colorado Court of
Appeals issued a decision in the case entitled Alpha
Spacecom, Inc. and Tridon Trust v. Xuedong Hu, Jian Wang,
and Alpha Sky Investment Company Ltd.  The Court decided
that a Colorado District Court order entered in March 2005
requiring that the Company hold a special meeting of
shareholders was valid.  The Company had previously held a
special meeting of shareholders on June 13, 2005 pursuant
to the District Court order. 

    This lawsuit was entitled Alpha Spacecom, Inc. and
Tridon Trust v. Xuedong Hu, Jian Wang, and Alpha Sky
Investment LTD., Case Number 04 CV 9819. On November 29,
2004, Tridon filed a lawsuit in the Colorado District Court
located in Denver, Colorado, that claimed to have the judge
declare that (1) Mr. Xuedong Hu, the former CEO &
Chairman of the Board of Directors of BEIC, and Jian Wang,
a former director of BEIC, resigned their positions as
directors by their conduct effective October 15, 2004; (2)
to have the judge declare that the remaining directors
lawfully removed Xuedong Hu as our Chief Executive Officer,
effective October 15, 2004; (3) to have the judge order the
removal of Hu and Wang under the guidelines of Colorado law
for alleged dishonest and fraudulent conduct; and (4) asking
the judge to rescind the December 2001 Share Exchange
Agreement. 

    After a hearing on March 18, 2005, the District Court
Judge entered a verbal Order dismissing the first two
claims asserted by Tridon and required that the Company
hold a special shareholder meeting pursuant to the request
submitted by Mr. Xuedong Hu.  The District Court also found
that Xuedong Hu was entitled to vote at the special
shareholder meeting since he remained the beneficial owner
of more than 82% of our then outstanding securities.  At
the conclusion of the hearing, the Judge also requested
that the attorney for Mr. Hu, Mr. Wang, and Alpha Sky
prepare a written form of Order and submit it to the Court.
 The written Order was ultimately signed by the Judge on
March 30, 2005.

    On March 25, 2005, Tridon filed a voluntary notice of
dismissal of its claims with the Colorado District Court. 
Subsequent to the Court's March 30, 2005 written Order,
Tridon filed a motion asking the Court to vacate its Order
and declare that it lacked jurisdiction as a result of the
notice of dismissal.  In the filings, Tridon claimed that
the voluntary notice of dismissal removed the Court's
authority to sign the written Order, and that the oral
ruling was not valid until reduced to writing and signed.
On May 11, 2005, the Court issued a second Order stating
that its original Order was entered March 18, 2005, prior
to the dismissal, and that it retained jurisdiction to sign
and enforce its written Order.

    Tridon appealed the ruling of the District Court to the
Colorado Court of Appeals and in its brief with the Court,
argued that the trial court lacked any jurisdiction to sign
the written order of March 30, 2005.  A response brief was
filed on behalf of Mr. Hu asking the appellate court to
affirm the trial court's order.  Tridon also asked the
Court to hear oral argument on the matter.

    Tridon did not request any stay of the existing orders,
so while the appeal was pending, the Colorado District
Court's Orders of March 18, 2005 and May 11, 2005 remained
in effect.  Those Orders provide that the Board meeting
removing Mr. Hu and Mr. Wang was not valid.  As a result
Mr. Hu was not properly or lawfully removed as our CEO or a
member of the Board.  Similarly, Mr. Wang was not properly
or lawfully removed from our Board of Directors.  In
reliance upon these Court Orders, Messrs. Hu and Wang
continued to perform their respective duties owed to us.

    The Appellate Court determined that the portions of the
District Court's order relating to the special meeting of
shareholders was a valid order, and affirmed that portion
of the District Court's ruling.  We interpret this ruling
to mean that the actions we have taken since issuance of
the Order by the District Court, including engaging in the
shareholder meeting and subsequently, the merger between us
and East Glory Investments Group, were validly undertaken.

    On or about March 8, 2007, Tridon filed a Petition for
Rehearing with the Colorado Court of Appeals.

    Mr. Hou Beicang, the CEO & Chairman of the Board of
Directors of Beicang Iron & Steel Inc., thus stated,
"We are pleased to receive the judicial court decision
from the Colorado Court of Appeals. In the past two years,
the litigation always disturbed us and our shareholders, as
this litigation created doubt about us with the investing
public. We believe that the decision by the Colorado Court
of Appeals was a victory for us. In the future, we will
constantly endeavour to conquer any dissensions or
difficulties concerning BEIC in our best efforts, thus
protecting benefits of our shareholders and
investors."

    Safe Harbor Statement 

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release constitute "forward-looking statements."
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Such statements are not guarantees of future performance and
are subject to risks and uncertainties that could cause the
company's actual results and financial position to differ
materially from those included within the forward-looking
statements. Forward-looking statements involve risks and
uncertainties, including those relating to the Company's
ability to grow its business. Actual results may differ
materially from the results predicted and reported results
should not be considered as an indication of future
performance. The potential risks and uncertainties include,
among others, the Company's limited financial resources,
domestic or global economic conditions -- especially those
relating to China, activities of competitors and the
presence of new or additional competition, and changes in
Federal or State laws, restrictions and regulations on
doing business in a foreign country, in particular China,
and conditions of equity markets. More information about
the potential factors that could affect the Company's
business and financial results is included in the Company's
filings, available via the United States Securities and
Exchange Commission.


    For more information, please contact:

     Beicang Iron & Steel Inc.
     Address: 8/F Beicang Building, 76 Jianshebei Road,
Taiyuan City, 
     Shanxi Province, P.R. China 030013
     Tel:   [phone]
     Fax:   [phone]
     Email: [e-mail] 
     Web:   http://www.bcironsteel.com