CHRI signs new sales LOI with Pengxi Huitong Pharmaceutical

China Health Resource, Inc. (OTCBB: CHRI.OB News), announced today that it has signed a new sales letter of intent (LOI) for this year for its proprietary Yishen Capsule valued at 25 million RMB; approximately $4 million USD. The LOI was signed with Pengxi Huitong Pharmaceutical Ltd. for the purchase of a total of 2,200,000 packs for delivery thru 2012.

YiShen Capsules are a proprietary product of CHRI used to treat fatigue by improving blood circulation. It increases oxygen levels in regions of the body that do not get an adequate supply. The proven beneficial effects of Yinsen has earned it the nickname "Wonder Capsule". Fatigue in the workplace costs $136 billion per year in health-related lost productivity according to a report in the Journal of Occupational and Environmental Medicine.

"We are very pleased with this significant order and we continue to focus on sales growth in our proprietary products line in addition to our traditional lines of TCM herbs, especially our GAP standards products. We anticipate continuing growing demand for Yishen Capsules. Awareness is building of our 'Wonder Capsule' based on its ability to provide a solution to recover workers' productivity losses in the $100's of billions, not to mention the potential to reduce the incidence of accident created by fatigue," stated Jiayin Wang, Chairman and CEO of CHRI.

A federal government inquiry also reported fatigue-related road accidents alone cost around $3 billion every year. ("Beyond the Midnight Oil, Managing Fatigue in Transport" - House of Representatives Standing Committee on Communications, Transport and the Arts, October 2000)

About 30% of severe single vehicle crashes in rural areas involve the driver being fatigued. ("VicRoads Road Accident Facts" - Victoria). SmartMotorist.com claims that around 40 percent of semi-truck accidents are caused by driving fatigue. The Insurance Institute of Highway Safety (IIHS) reports that 21 percent of truck drivers in Oregon say that they have fallen asleep while driving.

"The company is committed to the development and commercialization of effective, innovative and natural health solutions. Our increasing orders for Yishen Capsules validates this strategy and is further proof that CHRI is a leader in the innovation of products that the market needs. Another CHRI proprietary product is Bailing Capsule, which is used in the treatment of many head related issues including migraine and vascular headaches. The company is also close to completing its research and development of a revolutionary migraine prevention and cure product," adds Mr. Wang.