Beijing SL Pharmaceutical Co., Ltd. announced that it plans to establish a joint venture, a Liaoning-based biotechnology company, with Li Wenxin and Zhang Jianxia. The registered capital of the new company will be RMB 20 million, in which the Company will hold a 51% stake, while Li Wenxin and Zhang Jianxia will hold a 39% stake and a 10% stake respectively. The Company also announced that it and its controlled subsidiary have received confirmation as the high-tech enterprise from Science and Technology Department of Beijing, Beijing Department of Finance, Beijing Office of SAT and Beijing Local Taxation Bureau, thus will enjoy the 15% corporate income tax rate for three years (including 2008).