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Shanghai Hongsong to distribute Winner medical dressing products
26
Sep '08
Winner Medical Group Inc announced that it has entered into an agreement with Shanghai Hongsong Company, under which Shanghai Hongsong Company will exclusively sell the Company's "Winner" brand products in Shanghai, China for the period of one year, beginning in September 2008 with the focus on marketing the "Winner" brand products to hospitals.

Shanghai Hongsong is one of the top distributors of medical dressing products in Shanghai in terms of revenue. This agreement enables the Company for the first time to enter the lucrative Shanghai hospital market. Shanghai has a population of over 20 million people and is the richest metropolitan in China measured by GDP per capita.

Mr. Jianquan Li, Chairman and Chief Executive Officer said, "We are pleased to establish partnership with Shanghai Hongsong. This first strategic move into the affluent Shanghai market represents an improved step in expanding our footprint and enhancing Winner's brand profile in domestic market."

"The domestic metropolitan markets in China have enormous potential. Our partnerships with distributors in Shanghai, Guangdong, Zhejiang and Hunan Province demonstrate progression of our strategy to expand sales of medical care and homecare products in the domestic market."

"Our domestic market expansion has benefited from continuous economic growth in China, increased expenditure per capita on medical products and devices, increased government expenditure within the medical sector in rural areas, as well as government reforms aimed to build a more stringently regulated healthcare market in China," said Mr. Li.

"Winner Medical's strategy in domestic market is to sell our Winner brand products to OTC drugstore chains, distributors and direct sale to hospitals. We will continue to co-operate with other top OTC drug store chains, while at the same time further developing relationships with regional distributors," Mr. Li concluded.

Currently, Winner Medical has relationships with 15 drugstore chains in China, including Laobaixing Drugstore and Nepstar Chain Drugstore Ltd, which have a combined network of approximately 2,000 stores across the country.

Winner Medical is a leading manufacturer and the largest exporter by volume in the medical dressing industry (medical and wound care products) in China. Headquartered in Shenzhen, the Company has eight wholly-owned manufacturing and distribution facilities, four joint-venture factories and over 5,000 employees. The Company engages in the manufacture, sale, research, and development of medical care products, wound care products, home care products and PurCotton products, a nonwoven fabric made from 100% natural cotton.

Winner Medical Group Inc


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