G&E Herbal Biotechnology Co., Ltd. (Taiwan, China)

1. Established in Aug. 2002, G&E Herbal Biotechnology Co., Ltd. is mainly engaged in the herbal drug development. Their operating condition is that the company was highly at losses from 2003 to 2007). The gross margin fell from 98% in 2003 to 29% in 2007. The R&D expense is higher than the gross margin leading to the debit of the company since 2003. Herbal industry: Eastern and Western plant materials which have the effect of treatment and prevention are mainly applied in the health food in the food industry by extraction or by use of herbal prescriptions. 2. Successful development of health food and cosmetics: Alfalfa Health SR-100，used primarily for cancer supplements，sold since Jun. 2003. b. Hulitong, mainly used for urination smooth capsule, sold since Jul. 2007. c. SR-100 ointment, mainly used for the maintenance and moisture of skin under sun damage, sold since Nov. 2007. 3. Directors and Supervisors: a. There are 5 directors and 3 supervisors (Base date: 2007/12/31) ,holding 35% of the stock. b. The main controllers are Mr. Guo Guo Hua and Mrs. Guo Guo Hua and their family members, who take 3 seats of directors and 1 seat of supervisor, totally holding 36% of the stock. 4. R&D development: primarily by the leadership of the company's chairman Guo Guohua, who has high up to 23 years of experience in Medical University biochemistry institute, a former Postgraduate researcher in American Tulane University and who has rich experience and deep research in the regulation of cell suicide of Chinese herbal.