The Company is taking every effort to develop in breadth and depth. It has founded a joint-venture company with ESI group (Express Script, Inc) to explore PBM (Pharmacy Benefit Management) business in China. This is another endeavor to utilize the value of the Company’s existing resources. The joint-venture will combine ESI’s advanced PBM technology and clinical/prescription standards with SeaRainbow’s e-commerce technology and data advantages to explore new profitable business model in China.
In April 2010, the joint-venture company founded a subsidiary in Beijing and commenced conducting research and preparation in several pilot cities.
(2) Partnership with state-owned enterprise to establish a new model of pharmaceutical distribution
In December 2010, SeaRainbow and China General Technology (Group) Holding, Limited (referred to as GT hereinafter), have together founded a joint venture, which aims to establish a new type of medical business. The long-term goal is to establish a direct channel for pharmaceutical manufactures to link to hospitals, drug retailers, and other end-users, based on a core of e-commerce, in order to: reduce excessive processes in distribution; lower cost; alleviate issues such as market confusion and unreasonable, high-priced marking behaviors; prioritize allocation of resources in medical distribution; and set a good start for future world-class medical and medicine distribution companies.
With the advantages of each partner, the two companies will establish a new distribution model, cooperate with national healthcare system reform, overcome barriers in distribution, prioritize the allocation of medicines, and at the same time achieve further extension in the existing business.    

Furthermore, the Company will keep a close eye on the state’s new medical policy and latest developments and trends in the domestic pharmaceutical market. By utilizing existing technology, operations and resources, it will: introduce new business models; actively seek for new project and investment opportunities; continue to expand and broaden the company’s business growth margin; and maintain healthy sustainable growth.
SeaRainbow’s investment in the field of medical and medicine e-commerce signifies the company’s shifting focus from its project and product investments onto investments in industries and business fields, and highlights the company’s strategy of being visionary and original.