In January, 2000, the first subsidiary of the Group – Hubei Jointown Pharmaceutical Co., Ltd had been set up. Then based on the Middle China market, the Group has established pharmaceutical business enterprise as Beijing Fengkecheng, Henan Jointown, Xinjiang Jointown, Shanghai Jointown, Guangdong Jointown, Shandong Yaoshan, Fujian Jointown and more than 20 supporting subsidiaries which have covered the pharmaceutical wholesale, retail, e-commerce, manufacturer, R&D and other relevant fields.

    The Group has formed initially an effective marketing network in China and secured excellent market resources. It has entered into close partnership with nearly 3500 suppliers, nearly 36000 customers and more than 700 chain drugstores. The number of varieties and specifications now in the Group’s business scope exceeds 10000. Its eight subsidiaries and pharmaceutical logistics centers have covered over two thirds of municipalities, or autonomous regions of China and the marketing network has consisted more than 70% of Chinese markets.

    The information management system of the Group has led ahead. It has firstly built the pharmaceutical e-commerce website – www.jzteyao.com.cn and realized a coordinated process of “supply- sale- clients- bank accounting”. Now, the registered customers of the website have exceeded 15000 and the daily visit number exceeded 10000 . The website has totaled

a cumulative sale of nearly RMB 1.5 billion, topping its Chinese peers. In the 9th China International E-commerce Conference, Jointown gains two great awards:“the successful application of e-commerce model enterprises in China,”“the outstanding enterprises of China International E-commerce Conference organizing committee accreditation.”

    To integrate industry resources, regulate the market and to build a harmonious business environment, Jointown is about to build an e-commerce platform base on supply chain management. This platform integrates R&D, production, wholesale, agent, retail which complete information flow, business flow and capital flow to form a good business cycle system of pharmaceutical and using advanced IT technology, optimize the supply chain. The platform base on the service channel, it realizes the change from a traditional business website to the third party platform website so as to provide services for the entire pharmaceutical industry.

    Jointown’s pharmaceutical logistics development at the forefront of the same industry in China. Jointown dedicates to raising the holistic level of pharmaceutical logistics management and reducing logistics operating cost. Jointown has the extensive cooperation with the domestic and foreign logistics equipment suppliers, logistics integrators from its inception. In 2003, Jointown began to invest a tremendous amount of money into Wuhan and Shanghai automatic storage, and it cooperated with OKAMURA CORPORATION into logistics center with high automatic level in Zhengzhou. Jointown is actively searching for the modernization and automation of pharmaceutical logistics. Through self-developed WMS (Warehouse Management System), learn domestic and foreign advanced logistics management experiences to constantly improve the levels of logistics development, operation and management.

    According to the plan, in 2007, the Group will build the modern logistics centers in Beijing, Shenyang, Shandong, Chongqing, Lanzhou, Nanchang and Huhehot. And build the regional distribution center in the secondary cities to cover the Middle China (Wuhan, Zhengzhou), North China (Beijing), North East (Shenyang), East China (Shanghai, Nanjing, Wenzhou, Jinan, Fuzhou), South China (Guangdong, Guangxi), South West (Chongqing), North West (Xinjiang) so as to form a pharmaceutical logistics network. And through integrated resources, further improve the logistics efficiency.

    Health care industry is human’s sunrise industry. Focused on China’s pharmaceutical business and logistics, the Group will make it become the large-scale modern pharmaceutical enterprise and the pilot of China’ s pharmaceutical business so as to devote great effort to people’s health care.