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

umber five to ten minutes prior to the scheduled conference call time: 800-688-0796. International callers should dial 617-614-4070. The Conference ID for this call is 615 756 86. If you are unable to participate in the call at this time, a replay will be available for fourteen days starting on Thursday, April 17, 2008 at 11:00 a.m. Eastern Time. To access the replay, dial 888-286-8010, international callers dial 617-801-6888, conference ID 35016441.

Use of Non-GAAP Financial Information

GAAP results for the three and twelve month periods ended December 31, 2007 and December 21, 2006 include certain non-cash debt financing expenses related to the Company's convertible notes, a $2.2 million one-time reversal of a sales allowance in 2007 that was originally recorded in the fourth quarter of 2006 and a one-time tax relief of $2.2 million recorded in the fourth quarter of 2007. To supplement the Company's condensed consolidated financial statements presented on a GAAP basis, the Company has provided non-GAAP financial information, which are adjusted net income and adjusted earnings per share, excluding the impact of these items in this release. The Company's management believes that these non-GAAP measures provide investors with a better understanding of how the results relate to the Company's historical performance. A reconciliation of adjustments to GAAP results appears below. This additional non-GAAP information is not meant to be considered in isolation or as a substitute for GAAP financials. The non-GAAP financial information that the Company provides also may differ from the non-GAAP information provided by other companies.

About Lotus Pharmaceuticals, Inc.

Lotus Pharmaceuticals, Inc. (''Lotus'') controls and operates Liangfang Pharmaceutical, Ltd. (''Liangfang'') and Enzhe Jiashi Pharmaceutical, Ltd. (''En zhe''), two Chinese pharmaceutical companies located in Beijing (together ''Lotus East''). Lotus East is a comprehensive enterprise
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SOURCE Lotus Pharmaceuticals, Inc.
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