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China Shenghuo Announces Additional Roll-Out of '12 Ways' Cosmetics Products to Watsons Stores
Date:12/9/2008

KUNMING, China, Dec. 9 /PRNewswire-Asia-FirstCall/ -- China Shenghuo Pharmaceutical Holdings, Inc. (NYSE Alternext US: KUN) ("China Shenghuo" or the "Company"), today announced that the Company is expanding its herbal-based "12 Ways" cosmetics products into additional Watsons Personal Stores in strategic markets in Mainland China.

The Company has already launched its "12 Ways" brand of cosmetics products to eleven stores of the Watsons Your Personal Store ("Watsons Stores") in seven cities in China. Watsons Stores is the largest health and beauty retailer in China and Asia. By the end of December, the Company expects to enter an additional eleven Watsons stores in eight different cities including Shenzhen and Guangzhou. Furthermore, the Company is planning to add an additional eleven stores by early 2009 to include cities such as Shanghai and Kunming.

"Watsons Stores is an excellent entry point for China Shenghuo to introduce our high-end '12 Ways' cosmetics products," Mr. Gui Hua Lan, Chief Executive Officer of China Shenghuo, said. "We believe our partnership with Watsons and our anticipated success will give us a greater marketing platform to continue our expansion into other markets."

"12 Ways" cosmetics contain natural ingredients including herbal anti- irritants and anti-oxidants as well as Sanchi, which is the key ingredient for the Company's pharmaceutical products. Introduced in September of 2007, "12 Ways" is the Company's Sanchi-based cosmetics product lines that feature products varying from eye, face and skin creams to shampoos. The Company has already launched a total of 37 different cosmetics products for sale. The "12 Ways" products that are being rolled out to Watsons include Panax Notoginseng Moisture Series, Danshen Spots Fade Series, Yunnan Bamboo Anti-Acne Series, Snow Poria Whitening Series, Sunscreen Series and Eye Care Series.

About Watsons Your Personal Store

Watsons Your Personal Store ("Watsons Stores") is one of the largest health and beauty retail chains in Asia. Currently, Watsons Stores operates in thirteen different markets include Hong Kong, Mainland China, Taiwan, Singapore, Malaysia, Thailand, Indonesia, Macau, Korea, the Philippines, Turkey, Estonia and Slovenia and offers more than 25,000 products in over 1,600 outlets. For additional detail regarding Watsons and its corporate parent A.S. Watson Group, please see http://www.aswatson.com .

About China Shenghuo

Founded in 1995, China Shenghuo is a specialty pharmaceutical company that focuses on the research, development, manufacture and marketing of Sanchi- based medicinal and pharmaceutical, nutritional supplement and cosmetic products. Through its subsidiary, Kunming Shenghuo Pharmaceutical (Group) Co., Ltd., it owns thirty SFDA (State Food and Drug Administration) approved medicines, including the flagship product Xuesaitong Soft Capsules, which has already been listed in the Insurance Catalogue. At present, China Shenghuo incorporates a sales network of agencies and representatives throughout China, which markets Sanchi-based traditional Chinese medicine to hospitals and drug stores as prescription and OTC drugs primarily for the treatment of cardiovascular, cerebrovascular and peptic ulcer disease. The Company also exports medicinal products to Asian countries such as Indonesia, Russia and Kyrgyzstan. For more information, please visit http://www.shenghuo.com.cn .

Safe Harbor Statement

This press release may contain certain "forward-looking statements," as defined in the United States Private Securities Litigation Reform Act of 1995, that involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and the actual results and future events could differ materially from management's current expectations. Such factors include, but are not limited to, risks of litigation and governmental or other regulatory inquiry or proceedings arising out of or related to any of the matters described in recent press releases, including arising out of the restatement of the Company's financial statements; the Company's continuing ability to satisfy any requirements which may be prescribed by the Exchange for continued listing on the Exchange; potential adverse effects to the Company's financial condition, results of operations or prospects as a result of possible changes to or restatements of prior period financial statements; risks arising from potential weaknesses or deficiencies in the Company's internal control over financial reporting; the Company's reliance on one supplier for Sanchi; the possible effect of adverse publicity on the Company's business, including possible contract cancellation; the Company's ability to develop and market new products; the Company's ability to establish and maintain a strong brand; the Company's continued ability to obtain and maintain all certificates, permits and licenses required to open and operate retail specialty counters to offer its cosmetic products and conduct business in China; protection of the Company's intellectual property rights; market acceptance of the Company's products; changes in the laws of the People's Republic of China that affect the Company's operations; cost to the Company of complying with current and future governmental regulations; the impact of any changes in governmental regulations on the Company's operations; general economic conditions; and other factors detailed from time to time in the Company's filings with the United States Securities and Exchange Commission and other regulatory authorities. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

    For more information, please contact:

    China Shenghuo Pharmaceutical Holdings, Inc.
     Mr. Changhua Mu
     Securities Affairs Representative
     Tel:   +86-871-728-2698
     Email: c.mu@chinashenghuo.net

    Grayling Global
     Eddie Cheung
     Investor Relations
     Tel:   +1-646-284-9414
     Email: echeung@hfgcg.com

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SOURCE China Shenghuo Pharmaceutical Holdings, Inc.
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