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HRCT (OTCBB) THE HARTCOURT COMPANIES, INC.
HRCTE HARTCOURT COMPANIES, INC. (THE)

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Sinobull Information, a Hartcourt Subsidiary, Merges With Genius Technology Inc.

WEDNESDAY, MAY 21, 2003 02:50 AM

LOS ANGELES, May 21, 2003 /PRNewswire-FirstCall via COMTEX/ -- The Hartcourt
Companies, Inc. (OTC Bulletin Board: HRCT, Frankfurt: 900009), www.hartcourt.com
, today announced that one of its subsidiaries, Sinobull Information Ltd, has
signed a definitive merger agreement with Genius Technology Inc, a subsidiary of
First Shanghai Group. After the merger, Sinobull shareholders will own
approximately 17 percent of the combined entity. The objective of the merger is
to create a first-tier financial information provider in China for domestic as
well as international investors. Considered as the two best operations in this
sector, the merged Sinobull and GTI will naturally become the leader in its
field, offering a wide range of financial data and resources from Equis
Metastock (a Reuters software product) to CSRC Securities and Futures Index
(China's official index).



By merging assets, revenue and resources, the two companies will maintain a
sizable market share of the fast-growing financial information sector; making an
IPO and access to capital markets more feasible in the near future. Details on
Genius could be found via Web site, www.chinaef.com ; on First Shanghai Group,
www.firstshanghai.com.hk ; and on Sinobull, www.sinobull.biz .



Mr. David Chen, President and CEO of Hartcourt, comments, "We would like to
concentrate our resources on the coming acquisitions of other PC companies to
increase our revenue and profit further. The unique platform provided by
HuaQing, NewHuaSun and GuoWei will allow us to move faster on new acquisitions.
As such, we believe that it's better for Sinobull to merge with a much bigger
company whose focus is in the financial information industry. The combined
entity will be able to compete with the best global players who are coming to
China starting 2005 as planned in the WTO implementation. We look forward to a
successful GTI-Sinobull IPO so we would be able to declare another dividend to
our shareholders, as we had done with Elephant Talk last year."



Recently, Hartcourt has acquired 3 PC marketers, HuaQing, NewHuaSun and GuoWei,
that recorded sales of $145 Million and net profit of $2.5 Million in 2002.



About Genius Technology Inc



Genius is the first specialized securities information provider in China.
Uniquely positioned in the industry, it is capable of providing financial
information of companies listed in the Shanghai and Shenzhen stock exchanges. In
addition, Genius' main product, the CSRC Securities and Futures Publications
Index System was patronized by the Chinese Securities Regulatory Commission
("CSRC") and is exclusively developed by Genius for the CSRC. This system has a
huge databank containing all publications concerning the securities and futures
industry in China. Another key product, the Integrated Securities Information
System, provides comprehensive information on all major enterprises and
institutions in China including listed companies. SecureStockTrade is also an
effective online trading product that allows real time stock trading and
analysis. Analysis, trading and settlement can thus be performed inclusively.
All information content is provided in a multi-media format such as in written
words, pictures and voices carried online or through point-to-point terminals.
Target customers include listed companies, securities companies, market
watchdogs, corporate and individual investors, research houses as well as the
news media. www.chinaef.com



About Hartcourt



The Hartcourt Companies, Inc. is an investment holding and developing company
specializing in the acquisition and development of private companies within
high-growth industries in China. Hartcourt's business strategy is to add
substantial value in terms of financial restructuring and corporate governance
to enable these subsidiaries goes public via IPO or reverse merger. Detailed
information on Hartcourt can be obtained via the company's Web site:
www.hartcourt.com .



Forward-looking statements



The statements made in this press release, which are not historical facts,
contain certain forward-looking statements concerning potential developments
affecting the business, prospects, financial condition and other aspects of the
company to which this release pertains. The actual results of the specific items
described in this release, and the company's operations generally, may differ
materially from what is projected in such forward- looking statements. Although
such statements are based upon the best judgments of management of the company
as of the date of this release, significant deviations in magnitude, timing and
other factors may result from business risks and uncertainties including,
without limitation, the company's dependence on third parties, general market
and economic conditions, technical factors, the availability of outside capital,
receipt of revenues and other factors, many of which are beyond the control of
the company. The company disclaims any obligation to update information
contained in any forward- looking statement.



SOURCE The Hartcourt Companies, Inc.




CONTACT: Mr. Raymond Liu of The Hartcourt Companies, Inc., [phone]
0673, ext. 204, or fax, [phone], [e-mail]

URL: http://www.chinaef.com