First China Pharma Continues Sales Growth and Territorial Expansion With 2 New Hospital Distributor Agreements in Anhui Province, China

December 16, 2010 |

4 min read

HONG KONG--(Marketwire - December 16, 2010) - First China Pharmaceutical Group, Inc. (OTCBB: FCPG) (“First China” or the “Company”), a rapidly growing pharmaceutical distribution company headquartered in Yunnan, China, is pleased to announce the signing of two new distribution agreements which significantly increases the Company’s profile and strategic expansion goals currently focused on Anhui Province (pop. 61,350,000) and also brings the number of recently signed hospital contracts to 15 in just under 60 days.

First China welcomes Anhui’s 1,200 citizens and staff of the General Hospital of Wan Bei Coal and Electricity Group, also known as the Third Hospital Subsidiary Of Bengbu Medical College, located in Bengbu City, (pop. 3,469,700 ), along with the nearly 1,000 employees of the Peoples Hospital of Huangshan City (pop. 1,470,000).

This announcement brings the current total to 3 important hospitals in Anhui province. Anhui is centrally located in eastern China across the basins of the Yangtze and Huaihe Rivers and is bordered on all sides by a number of very economically active and highly populated neighbors. The province boasts several major special economic development zones and has a large and growing workforce. The capital of the province is Hefei and First China believes the region will play a strategic role in the national growth and expansion aims of the Company.

First China Pharmaceutical Group is very pleased to report the initial success of plans to expand market share well beyond its current list of over 4,700 pharmacies, hospitals and clinics. At the same time, the Company continues its initiatives to blend proprietary software-based internet ordering with high speed fulfillment and to deliver on expanded inventory targets aimed at increasing the current inventory of 5,000 products to approximately 30,000 items.

Recent government mandates are spurring major growth initiatives in the healthcare sector across China. These programs are turning into real business opportunities for those companies able to keep pace and capitalize upon this environment of progress and change. First China is making every effort to assume a leadership role that will fully exploit these new market driven developments and is confident that 2011 will prove to be a very busy year ahead.

Details of the company’s business, finances, appointments and agreements can be found as part of the Company’s continuous public disclosure as a reporting issuer under the Securities Exchange Act of 1934 filed with the Securities and Exchange Commission’s (“SEC”) EDGAR database.

About First China Pharmaceutical Group, Inc. (OTCBB: FCPG)
First China Pharmaceutical Group, Inc. aims to develop a high growth pharmaceutical distribution company generating significant revenue from the sale of healthcare products in China. As part of its business strategy, the Company has acquired the assets of Kun Ming Xin Yuan Tang Pharmacies Co. Ltd. (XYT), which includes a strategic advantage over its competitors as it is believed to be one of a limited number of pharmaceutical distribution companies in Yunnan Province that has obtained government approval to fulfill orders over the internet. First China Pharmaceutical Group plans to continue the rapid growth of the company from its current position as a provider of approximately 5,000 drugs to more than 4,700 pharmacies, hospitals and clinics in China’s Yunnan Province. For more information visit: www.firstchinapharma.com

Notice Regarding Forward-Looking Statements
This news release contains “forward-looking statements” as that term is defined in Section 27A of the United States Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, regulatory incentives, the development of new business opportunities, and projected costs, revenue, profits and results operations. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with new projects and development stage companies. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K for the most recent fiscal year, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission.

ON BEHALF OF THE BOARD
First China Pharmaceutical Group, Inc.
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Zhen Jiang Wang
Chairman and CEO