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China Medicine Announces Solid First Quarter 2008 Results
Date:5/12/2008

thorized,

15,164,887 and 14,821,641 shares

issued and outstanding at March 31,

2008 and December 31, 2007,

respectively 1,516 1,482

Paid-in capital 12,948,706 12,560,078

Statutory reserves 2,191,230 2,191,230

Retained earnings 15,184,400 14,008,587

Accumulated other comprehensive

income 3,449,961 2,122,795

Total shareholders' equity 33,775,819 30,884,183

Total liabilities and

shareholders' equity $35,254,439 $32,640,238

CHINA MEDICINE CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THREE MONTHS ENDED MARCH 31, 2008 AND 2007

(Unaudited)

2008 2007

CASH FLOWS FROM OPERATING ACTIVITIES:

Net income $1,175,813 $763,721

Adjustments to reconcile net income

to cash used in operating activities:

Minority interest (27,477) (23,032)

Depreciation and amortization 96,745 55,946

Bad debt expense - 345

Amortization of stock option and

warrant compensation 26,157 21,279

Amortization of deferred expenses 86,431 -

Change in operating assets

Accounts receivable, trade 959,968 94,745

Notes receivables (1,646,491) -

Inventories (793,559)
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SOURCE China Medicine Corporation
Copyright©2008 PR Newswire.
All rights reserved

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