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NASHAI BIOTECH, LLC GRANTED LICENSE IN CHINA TO MANUFACTURE AND SELL TEAFLAVIN®
FIRST LICENSE OF ITS KIND ISSUED BY CHINESE GOVERNMENT

Nashville, Tenn. -- January 2, 2003 - The Chinese Ministry of Health has issued a health food license to Nashai Biotech in December 2002, representing the first license granted by the Chinese government in this category and the first license issued for theaflavins. This license authorizes Nashai Biotech to manufacture and sell its product, Teaflavin® in China, for the treatment of cardiovascular disease, especially cholesterol reduction, as well as immune support.

"Issuance of this license validates our success in navigating the intricate processes of the Chinese Ministry of Health," says Michael Vaughn, president and CEO of Nashai Biotech, LLC, a product research, development and procurement company for nutritional supplements, over-the-counter medications and active pharmaceutical ingredients (APIs). "Our corporate diligence has resulted in this historic first, and we are gratified by this achievement."

Since 1999, Nashai Biotech scientists have directed their research and development efforts towards the conversion of traditional Chinese Tea Medicines into clinically backed western medicines and health food products.

"I would like to recognize the representatives of the Chinese government and applaud them for their commitment to quality and high standards and to thank them for supporting the work of our scientists, especially Jim Zhao, Ph.D., Nashai's Chief Science Officer, who is an example of the successful cooperation shared between China and the US," continues Vaughn. "Dr. Zhao is a Shanghai native and graduate of the prestigious Chinese University, Fudan University, as well as the University of Illinois-Champaign Urbana, University of Chicago, with post doctoral work at Harvard University."

Vaughn notes that this approval celebrates the opportunity to positively impact the lives of men and women around the globe. "Nashai expects to make a difference in the health status of millions - a noteworthy achievement that is the result of international cooperation and a shared goal to promote the health and well being of the people of China and the world. Through this union of traditional Chinese tea medicine and western medicine, we can have a positive impact on the health status of millions of people."

About Nashai Biotech, LLC

Headquartered in Nashville, Tennessee with offices in Irvine, California and Shanghai, China, Nashai Biotech, LLC (www.nashai.com) produces patented, new generation formulas and ingredients based upon compelling scientific evidence. Nashai researches, develops and produces novel ingredients, converted into dietary supplements, over-the-counter medicines and active pharmaceutical ingredients, for distribution to the consumer by pharmaceutical and natural products companies with well-established marketing and distribution networks.

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