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

(1,110,151)

Advances to suppliers (662,079) (761,889)

Other current assets (79,904) (44,544)

Change in operating liabilities

Accounts payable, trade (30,774) 46,475

Other payables and accrued liabilities (49,957) (5,688)

Customer deposits (54,499) 54,531

Taxes payable (142,540) 36,802

Net cash used in operating

activities (1,142,167) (871,460)

CASH FLOWS FROM INVESTING ACTIVITIES:

Purchase of equipment (4,490) (35,399)

Purchase of intangible asset - (129,010)

Net cash used in investing

activities (4,490) (164,409)

CASH FLOWS FROM FINANCING ACTIVITIES:

Proceeds from exercise of warrants

and options 362,500 2,838,062

Net cash provided by financing

activities 362,500 2,838,062

EFFECT OF EXCHANGE RATE ON CASH 193,444 138,282

INCREASE (DECREASE) IN CASH (590,713) 1,940,475

CASH, beginning of period 5,767,774 371,480

CASH, end of period $5,177,061 $2,311,955

Company Contact: Investor Relations Contact:

Ms. Huizhen Yu Mr. Crocker Coulson

Chief Financial Officer President

China Medicine Corp CCG Elite Investor Relations

Tel: +86-20-8739-1718 Tel: +1-646-213-1915 (NY Office)

E-mail: konzern08@163.com
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SOURCE China Medicine Corporation
Copyright©2008 PR Newswire.
All rights reserved

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