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       We are a specialty pharmaceutical group principally engaged in the development,production and sale of specialty prescription western pharmaceuticals for the treatment of rheumatic diseases in the PRC. Our Core Business currently comprised five rheumatic specialty prescription western pharmaceuticals. During the past three years, the Group recorded strong and rapid growth. We are also engaged in the production and sale of Other Pharmaceuticals in the PRC.
       Our leading product exclusively manufactured and sold by us, Pafulin, launched in 2002, is ranked No. 1 in terms of sales in the DMARDs market with approximately 15.9% market share in the PRC in 2008. Tuoshu,our second leading product, launched in 2006 under an agency distribution agreement,ranked No. 4 in terms of sales in the DMARDs market with approximately 6.9% market share in the PRC in 2008.
      As at 31 December 2009, our current sales and distribution network covers over 1,000 hospitals in 25 provinces and four municipal cities which are serviced by approximately 260 sales representatives of the Group across PRC. We have dedicated brand management, market research and sales support teams to further enhance the effectiveness of these marketing efforts. In addition, we are involved in raising public awareness of rheumatology by educating doctors and patients at medical institutions and hospitals.
      We currently own and operate two modern manufacturing facilities occupying approximately 64,000 square meters of land with total gross floor area of approximately 19,400 square meters located in Ningbo, PRC. Our operating facilities are GMP certified by the SFDA and adhere to stringent and closely monitored quality assurance and safety control processes. We have three production lines of bulk pharmaceuticals, one modern Chinese medicine extraction line, one solid formulation workshop, one liquid formulation workshop and one cream workshop. We have also obtained GSP certificate in respect of our  distribution and marketing operations.

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