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3SBio Inc. Announces Second Quarter 2008 Results
Date:8/12/2008

o 50.4% for the first six months in 2007. The decrease in net margin was mainly due to lower interest income and higher income tax expense resulting from the increase in the enterprise income tax rate for a major operating subsidiary in China from 15% to 18% effective from January 1, 2008. Net income per ADS for the first half of 2008 decreased to RMB1.80 (US$0.26) from RMB1.96 in the corresponding period in 2007.

Statement Regarding Unaudited Financial Information

The unaudited financial information set forth above is subject to adjustments that may be identified when audit work is performed on our year- end financial statements, which could result in significant differences from this unaudited financial information.

Currency Convenience Translation

For the convenience of readers, certain RMB amounts have been translated into US dollars at the rate of RMB6.8591 to US$1.00, the noon buying rate for US dollars in effect on June 30, 2008 for cable transfers of RMB per US dollar as certified for customs purposes by the Federal Reserve Bank of New York.

Business Highlights

Business Development

AMAG Partnership - In May 2008, we announced the signing of a strategic partnership with Boston-based AMAG Pharmaceuticals, Inc. to develop and commercialize ferumoxytol, a new generation intravenous iron replacement therapeutic agent to treat iron deficiency anemia in chronic kidney disease ("CKD") patients and potential other indications outside the nephrology segment. We believe this partnership demonstrates our ability to formulate and execute our business development strategy, and represents a validation of our commercial infrastructure and leading position in the nephrology therapeutic market in China. This partnership is a significant step towards achieving our goal of becoming the partner of choice in China for biotechnology companies worldwide, and, as a result, is expected to enhance the long term growth prospects of the c
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