Chairman/CEO Message

From Mr. Guozhu Wang, Chairman and CEO:

"We are delighted to report a strong finish to fiscal 2010, with revenues, operating income, and cash flow exceeding our expectations for the year. We believe that the factors that contributed to this performance were strong sales from our new products and the successful restructuring of our nation-wide sales and marketing network. We are focused on continuing to expand our portfolio of high margin products that address major disease categories and on continuing to build sustainable growth in revenues and profits. We are also confident that our exceptionally strong working capital position will provide us with the flexibility to both continue our current organic growth as well as capitalize on potential acquisition opportunities that may be available in 2011”, stated Mr. Guozhu Wang, Chairman and Chief Executive Officer of China Pharmaceuticals, Inc.