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China Nepstar Chain Drugstore Reports First Quarter 2011 Financial Results
Date:5/25/2011

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Business Outlook"We expect that Chinese healthcare sector reform will be prolonged, as government policy initiatives take time to be thoroughly implemented," stated Mr. Wu.  "While the overall drugstore sector continues to experience revenue erosion and smaller chains and generic drug makers struggle, our shift to a hybrid model of pharmacy and convenience enables us to broaden our revenue stream and compensate for lost drug sales.  Moreover, the growth in sales of our household consumables enhances our chance of private labeling in this product category. We believe Nepstar is on its way to providing for even more consumers' healthcare and quality life needs. However, it may take some time to see an impact on our bottom line from the introduction of new products. We are still developing our product mix strategy, as we continue to assess the contribution of new product categories to our sales revenue and profitability."

Conference Call InformationThe Company will host a conference call, to be simultaneously Web cast, on Wednesday, May 25, 2011 at 8:00 a.m. Eastern Time / 8:00 p.m. Beijing Time. Interested parties may participate in the conference call by dialing +1-877-407-9210 (North America) or +1-201-689-8049 (International) approximately five to ten minutes before the call start time. A live Web cast of the conference call will be available on the Nepstar Web site at http://www.nepstar.cn.

A replay of the call will be available shortly after the conclusion of the conference call through June 1, 2011 at 11:59 p.m. Eastern Time or June 2, 2011 at 11:59 a.m. Beijing Time. An archived Web cast of the conference call will be available on the Nepstar website at http://www.nepstar.cn. Interested parties may access the replay by dialing +1-877-660-6853 (North America) or +1-201-678-7415 (International) and entering account number 286 and c
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SOURCE China Nepstar Chain Drugstore Ltd.
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