SHANGPHARMA (NYSE:SHP)

We are a leading China-based pharmaceutical and biotechnology research and development, or R&D, outsourcing company. We provide a broad range of high-quality, integrated services across the drug discovery and development process to international and Chinese pharmaceutical and biotechnology companies. Our services consist of discovery chemistry, discovery biology and preclinical development, pharmaceutical development and biologics services. We offer our services on a full-time-equivalent, or FTE, basis or a fee-for-service basis. Capitalizing on our broad service offerings, the experience and expertise of our skilled scientists and our state-of-the-art facilities and equipment, we help our customers discover and develop novel drug candidates efficiently. We have a diversified and loyal global customer base. We provide services to over 100 customers, including all of the top ten pharmaceutical and biotechnology companies in the world in terms of 2009 revenues ranked by Frost & Sullivan and a number of fast-growing biotechnology and specialty pharmaceutical companies, as well as renowned academic and research institutions in the U.S. and China. Most of our customers return to us for additional and often larger projects, and all of our top ten customers in each of 2008 and 2009 remain our customers in 2010.