Industry Notes:

A. Kärcher. The Largest Contract in the History of Kärcher Futuretech: The Federal German Armed Forces Will Receive 73 TEP 90 Full Decontamination Systems; Winnenden, September 2006. In their battle gainst the threat of an attack involving NBC weapons, the Federal German Armed Forces (Bundeswehr) will soon rely on 73 highly mobile containerised compact decontamination systems from Kärcher Futuretech. This decontamination equipment, which will be delivered to the NBC units together with carrier vehicles from Iveco-Magirus AG from 2007 to 2010, represents a new milestone in the history of Kärcher Futuretech GmbH. The total volume of the TEP 90 (site for the radioactive decontamination, disinfection and detoxification of the troops) is 86.6 million Euro.

          While the ink on the signed contract has not yet dried completely, the hot preparation phase is already underway. "This can be seen in the new state of the art. The TEP 90 sets a new worldwide standard", states Markus Kostron, responsible for the "NBC protective systems" development department, to explain the far-reaching consequences of this mega project. The Kärcher Futuretech development division is working at full load in order to carry out the last modifications within schedule and to be able to present a completely mature product in technical terms. After the hand-over of the first TEP 90 decontamination system at the beginning of 2005, the Bundeswehr will receive two further systems by the middle of next year, prior to the delivery of a further 70 systems to the NBC defence troops over the following three years.

          At present, the TEP 90 is the most modern and powerful system in this class, and is equipped with outstanding, leading technologies. The system distinguishes itself due to a chemical-free decontamination procedure. In addition, the driver's cabin, which offers enough space for four persons, meets the latest requirements with regard to ballistic protection and mine protection. "This joint project of the Federal Office of Defense Technology and Procurement, Iveco-Magirus AG and Kärcher Futuretech GmbH is an important contribution to the conservation of the defence-technological core capabilities in Germany", states Kärcher Futuretech Managing Director Helmut Stelzmüller. With this large contract, Kärcher Futuretech extends its worldwide leading position in the area of NBC protection systems.

          Note: Kärcher Futuretech GmbH has now been operating from its new business premises in Max-Eyth-Str. 35 in Winnenden since August 2006. For the first time, the technical department, R&D, sales and marketing have been placed under the same roof on a single site. Now the two Kärcher Futuretech Managing Directors, Helmut StelzmŸller and Eberhard Kornas, are really optimistic about the efforts and results of "Kärcher Futuretech".

B. The China National Biotec Corporation (CNBC). CNBC is the Chinese Sponsor of our first International China Biopharmaceutical Symposium (ICBPS) which will be held in Beijing from 7-11 December 2006. This meeting has already attracted professionals from 18 countries. The CNBC is a research-driven biotech company that discovers, develops, manufactures and markets a broad range of human health products, including vaccines, blood derivatives, biopharmaceuticals, diagnostic reagents and others. The company is also a major player in China for the import and export of scientific and medical equipment and materials.

          The CNBC is a state-owned company that works under the State-owned Assets Supervision and Administration Commission of State Council SASAC of People's Republic of China. The company consists of 6 Institutes of Biological Products, which were formerly under the Ministry of Health, in Beijing National Vaccine and Serum Institute (NVSI) and, Changchun CIBP, Chengdu CDIBP, Lanzhou LIBP, Shanghai SIBP, Wuhan WIBP, and 2 international trading companies in Beijing CSIMC and CNMC.

          Headquartered in Beijing, CNBC's operation has been mainly focused in China while in the recent years has been expanded into the international markets through its trading subsidiaries and business partners. With nearly 10,000 employees and worldwide revenues of 372 million USD in 2005, CNBC is the largest producer of vaccines and blood derivatives in China, enjoying more than 80% and 30% market share respectively. CNBC produced over 800 million doses of vaccines in 2005 and is among top 10 vaccine companies in the world.

          CNBC has 12 principal manufacturing sites strategically located in 6 cities around China. All manufacturing lines of CNBC have been granted with cGMP certificates from State Food and Drug Administration (SFDA) of China. The state-of-the-arts manufacturing facilities enable CNBC to expand into international markets as well as to be a ideal contracted manufacturer for business partners around the world.

          CNBC's R&D is based in 6 Institutes of Biological Products, among them NVSI is the oldest institute and was founded in 1919. The corporate R&D Center was established in Beijing on 18 January 2004 with the aim to maximize the synergies of all 6 Institutes. With more than 4,000 scientists and technicians in house, the company has also established a collaboration network with academic institutes and biotech companies through out China, Japan, Europe, and North American.

          Since the foundation of its oldest Institute, NVSI, CNBC has been playing an essential role in disease control in China. Since the introduction of National Immunization Program (NPI) in China, it is estimated that CNBC's vaccines have prevented over 300 million cases of measles, diphtheria, tetanus, pertussis, poliomyelitis and tuberculosis and thus saved more than 4 million lives.