PINGCHUAN CLARIFIES TERMS OF 4 RECENTLY ANNOUNCED CONTRACTS

Pingchuan Pharmaceutical Inc. (OTC Bulletin Board: PGCN; "PGCN") today clarified the terms of four recently announced contracts, and updated the description of its business which had been announced in the 4 earlier press releases. On June 14, PGCN announced that it had signed a regional distribution contract with Beijing Pingchuan Tianzhi Medical Technology Development Center ("Tianzhi"). The Tianzhi contract was signed by Harbin Pingchuan Yao Ye Gu Fen You Xian Gong Si ("Gu Fen"), for whom PGCN provides operational management services through its wholly owned subsidiary in China, named Heilongjiang Pingchuan Yi Liao Qi Xie You Xian Gong Si ("Pingchuan Yi Liao").

Yahoo News (http://biz.yahoo.com/prnews/050812/cnf009.html?.v=1)