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Lotus Pharmaceuticals, Inc. Announces Fourth Quarter and Fiscal Year 2007 Results
Date:4/17/2008

(restated)

CASH FLOWS FROM OPERATING

ACTIVITIES:

Net income $11,217,128 $4,143,020

Adjustments to reconcile net income

from operations to net cash provided

by (used in) operating activities:

Depreciation and amortization 564,607 581,564

Amortization of deferred debt

issuance costs 205,379 --

Amortization of debt discount 1,458,484 --

Stock issued for compensation 284,200 --

(Decrease) increase in allowance

for doubtful accounts and sales

returns (2,385,354) 2,732,889

Forgiveness of income and

value-added taxes (2,160,795) --

Changes in assets and liabilities:

Accounts receivable (9,764,076) (8,922,247)

Inventories (58,942) 3,928,236

Prepaid and other current assets (714,013) (75,155)

Other payable -- --

Accounts payable and accrued expenses 27,266 206,516

Value-added and service taxes payable 608,526 1,999,675

Unearned revenue 71,402 200,811

Advances from customers (204,267) 39,333

NET CASH (USED IN) PROVIDED BY

OPERATING ACTIVITIES (850,455) 4,834,642

CASH FLOWS FROM INVESTING

ACTIVITIES:

Collections from related party

advances 1,061,009 1,243,742

Purchase of property and equipment (381,772) (1,480)

NET CASH PROVIDED BY INV
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SOURCE Lotus Pharmaceuticals, Inc.
Copyright©2008 PR Newswire.
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