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Defense: Renhuang Pharma Wins Contract

June 20, 2010 (FinancialWire) (Go to http://www.financialwire.net/?s=ftrdnwswnd for all of today’s featured news.) — Renhuang Pharmaceuticals, Inc. (OTC: RHGP), a developer, manufacturer and distributor of botanical products, bio-pharmaceuticals and traditional Chinese medicines, said it has won a one-year contract bid to supply its all-natural products to Guangzhou Military District.

The company said that the deal opens a new sales distribution channel that includes supply to military hospitals and armed forces across many provinces in China.

Renhuang said it expects this new contract to generate additional revenues of around $0.6 million in 2010 and $1.2 million in 2011.

Guangzhou Military District officials informed Renhuang that the Company had been successful in its bid to supply its plant-based Shengmai Granules, a gynecological medication, Tianma headache tablets, and Siberian Ginseng series products to the Guangzhou Military District's medical purchasing department.

The order marks the company's first major sale to a military medical distribution channel.

China-based Renhuang Pharmaceuticals is engaged in the research, development, manufacturing, and distribution of botanical products, bio-pharmaceutical products, and traditional Chinese medicines.

All of the company's products are produced at its three production facilities in Ah City, Dongfanghong and Qingyang.

The company distributes its botanical anti-depression and nerve-regulation products, biopharmaceutical products, and botanical antibiotic and OTC TCMs through its network of over 3,000 distributors and over 70 sales centers across 24 provinces in China.

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