Current Assets

Contract No.: MR748004090713

Execution Date: July 13, 2009

Guarantor: Shandong Xiangrui Pharmacy Co., Ltd., and Shandong Xinrui Chemical Devices Co., Ltd.

Guarantee: Citibank Shanghai

As guarantor, Shandong Xiangrui Pharmacy Co., Ltd. and Shandong Xinrui Chemical Devices Co., Ltd. undertake to assume joint and several liabilities for Runyin Bio-chemical Co., Ltd’s indebtedness towards Citibank Shanghai under a Uncommitted Short Term Cycling Finance Agreement with Contract No.: FA748004090713.

Guarantee Items: Shandong Xiangrui Pharmacy Co., Ltd. agreed to created mortgage over land use right (Certificate No.: Dong Guo Yong 2008 No. 31; area: 43,249 m²) and the properties (Certificate No.: Dong Guo Yong 2008 No. 10288; area: 12,713 m²) to secure the payment of the debts under the main loan agreement. Shandong Xinrui Chemical Devices Co., Ltd. agreed to created mortgage over land use right (Certificate No.: Dong Guo Yong 2008 No. 513; area: 39,575 m²) and the properties (Certificate No.: Dong Guo Yong 2008 No. 10289; area: 5,897.42 m²) to secure the payment of the debts under the main loan agreement.

The maximum amount of the guarantee is RMB 57,686,231.

The mortgage term is from August 10, 2009 to August 10, 2014.

Secured Items: the loan principal, interest, penalty interest, damages, compensation and all the expenses incurred for Citibank (China) Co., Ltd., Shanghai Branch to realize its creditor’s right under Loan Agreement.

Liabilities of Breach of Contract: Guarantor shall compensate guarantee any loss suffered from Shandong Runyin Bio-chemical Co., Ltd.’s breach of contract.

Commitment of guarantor

Assumption of guarantor’s responsibility

Dispute settlement

Miscellaneous

Effectiveness

Validity

Attention