News Release

LETTER OF INTENT SIGNED

Date: 1997/08/15

The Research and Detoxification Center, which is affiliated to the Chinese Coordination Office of Law, Economics & Technologies (hereinafter referred as "R-D Center") has come to an agreement of cooperation with Nanning Maple Leaf Pharmaceuticals Co., Ltd. (hereinafter referred as "MLP"). The Chief of R-D Center is Mr. Zhang Yun Sheng. He has been involved in clinical practice investigations for three years. After comparison of more than ten drugs for the treatment of addiction with about 200 clinical trials, he holds that Tetrodin (HT), developed by Nanning Maple Leaf Pharmaceutical Co., Ltd. (MLP) has the following advantages:

• It does not belong to the category of paralytic or psychotropic drug, and is non-addictive
• The effect of detoxification is fast;
• The reaction to detoxification is without withdrawal symptoms and the addicts are not in pain;
• The pharmacology of Tetrodin is scientifically advanced. It is comparatively mature in order to apply for the New Drug License Number;
• The cost of using Tetrodin is low. Therefore, R-D Center has decided to cooperate with MLP, in expediting the New Drug License Number process for Tetrodin(HT).

Per: Donna Shum, Corporate Secretary