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Lotus Pharmaceuticals, Inc. Reports Second Quarter 2009 Financial Results
Date:8/14/2009

946,083 Inventories 1,017,856 (3,358,488) Prepaid expenses and other current assets 2,101,008 986,132 Accounts payable and accrued expenses (22,506) 224,627 Other current payables (169,743) -- Taxes payable (863,589) 1,381,155 Unearned revenue 541,327 39,086 Due to related parties 118,685 -- NET CASH PROVIDED BY OPERATING ACTIVITIES 16,337,799 4,742,275 CASH FLOWS FROM INVESTING ACTIVITIES: Deposit on patent right -- (2,827,814) Payment on intangible assets (8,621,660) (5,862,059) Purchase of property and equipment (7,166,057) (217,982) NET CASH (USED IN) INVESTING ACTIVITIES (15,787,717) (8,907,855) CASH FLOWS FROM FINANCING ACTIVITIES: Repayment of convertible debt -- (2,520,000) Proceeds from sale of convertible redeemable preferred stocks -- 5,000,000 Payment of debt issuance costs -- (468,568) Proceeds from related party advances -- 774,571 NET CASH PROVIDED BY FINANCING ACTIVITIES -- 2,786,003 EFFECT OF EXCHANGE RATE ON CASH 1,476 223,064 NET (DECREASE) INCREASE IN CASH 551,558 (1,156,513) CASH - beginning of period 1,278,808 4,557,957 CASH - end of period $1,830,366 $3,401,444 SUPPLEMENTAL DISCLOSURE
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