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Tianyin Pharmaceutical Co., Inc. Adopts New Sales Strategy for Azithromycin Dispersible Tablets
Date:3/17/2009

CHENGDU, China, March 17 /PRNewswire-Asia-FirstCall/ -- Tianyin Pharmaceutical, Co., Inc., (NYSE Alternext: TPI), a manufacturer and supplier of modernized traditional Chinese medicine ("TCM") based in Chengdu, China, today announced it has adopted a new sales strategy for Azithromycin Dispersible Tablets.

On average it takes 6 months for the market of a new drug to mature. Tianyin launched Azithromycin Dispersible Tablets in October 2008 and to date, the Company has met its initial sales targets. This drug is widely recognized and used by a large population of patients in China with collective 2007 annual sales of approximately $350 million. As such, the Company is focusing its sales efforts on the "Cost Preference Strategy." Management expects that by the second half of calendar 2009, monthly revenues generated from the sale of Azithromycin Dispersible Tablets will increase approximately 367% to approximately $430,000 from the current level of $117,000 per month. If successful, this strategy will yield over $3.7 million in incremental revenues on an annual basis with further growth expected in the future.

With such a rapid expansion after the launch of the Azithromycin market penetration, Tianyin seized the opportunity to aggressively seek additional market share, while at the same time driving more sales to current distributors through its "Cost Preference Strategy." Tianyin currently applies the Cost Preference Strategy to its drugs with high market coverage such as Ginkgo Mihuan Oral Liquid and Arpu Shuangxin Granules. This strategy specifically focuses on reducing overall costs for the end customer while maintaining favorable margins through economies of scale in the production process.

Dr. Jiang Guoqing, Tianyin's Chairman and Chief Executive Officer, said, "We make prudent adjustments to our sales strategy based on the changes in the market to maximize the revenue and profit potenti
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