QINGDAO, China and ROCKVILLE, Md., Aug. 16 SynutraInternational, Inc. (Nasdaq: SYUT), a leading infant formula company in Chinaand a producer, marketer and seller of nutritional products for infants,children and adults, today announced that the Ministry of Health ("MOH") hasfound no link between Synutra's infant milk powder and premature developmentin infants.
The MOH announced on August 15th, after investigating claims thatSynutra's infant milk formula was linked to premature development in threeinfants, that no banned hormones were found in the 42 samples of Synutrainfant milk formula, including samples from the affected families' homes and31 samples from 14 other Chinese and foreign infant formula producers. The MOHbelieves that the three claims of premature development cannot be linked toSynutra's infant milk powder.
Mr. Liang Zhang, Chairman and CEO of Synutra stated, "We are very pleasedwith the test results issued by China's top health authority, which supportSynutra's steadfast commitment to product quality and consumer safety. As atrusted provider of infant formula in China, Synutra has always made qualityassurance a top priority. We are devoted to promoting the health of childrenin China and will continue to invest heavily in research, quality control,formulation and ingredients to maintain our industry-leading standards."
About Synutra International, Inc.
Synutra International Inc. (Nasdaq: SYUT) is a leading infant formulacompany in China. It principally produces, markets and sells its productsunder the "Shengyuan" or "Synutra" name, together with other complementarybrands. It focuses on selling premium infant formula products, which aresupplemented by more affordable infant formulas targeting the mass market aswell as other nutritional products and ingredients. It sells its productsthrough an extensive nationwide sales and distribution network covering 30provinces and provincial-level municipalities in China. As of June 30, 2010,this network comprised over 560 independent distributors and over 1,000independent sub-distributors who sell Synutra products in over 74,000 retailoutlets.
This press release contains "forward-looking statements" within themeaning of the Private Securities Litigation Reform Act of 1995 that are basedon our current expectations, assumptions, estimates and projections aboutSynutra International Inc. and its industry. All statements other thanstatements of historical fact in this release are forward-looking statements.In some cases, these forward-looking statements can be identified by words orphrases such as "anticipate," "believe," "continue," "estimate," "expect,""intend," "is/are likely to," "may," "plan," "should," "will," "aim,""potential," "continue," or other similar expressions. The forward-lookingstatements included in this press release relate to, among others, Synutra'sgoals and strategies; its future business development, financial condition andresults of operations; the expected growth of the nutritional products andinfant formula markets in China; market acceptance of the Company's products;adverse effects associated with the melamine contamination incident; Synutra'sexpectations regarding demand for its products; Synutra's ability to stayabreast of market trends and technological advances; competition in the infantformula industry in China; PRC governmental policies and regulations relatingto the nutritional products and infant formula industries, and generaleconomic and business conditions in China. These forward-looking statementsinvolve various risks and uncertainties. Although Synutra believes that theexpectations expressed in these forward-looking statements are reasonable,these expectations may turn out to be incorrect. Synutra's actual resultscould be materially different from the expectations. Important risks andfactors that could cause actual results to be materially different fromexpectations are generally set forth in the "Item 1. Business," "Item 1A. RiskFactors," "Item 7. Management's Discussion and Analysis of Financial Conditionand Results of Operations," and other sections in Synutra's Form 10-K filedwith the Securities and Exchange Commission on June 9, 2010. The forward-looking statements are made as of the date of this press release. SynutraInternational Inc. undertakes no obligation to update any forward-lookingstatements to reflect events or circumstances after the date on which thestatements are made or to reflect the occurrence of unanticipated events.For further information, please contact: Synutra International, Inc. Investor Relations Department Phone: +1-301-840-3881 Email: [email protected]
SOURCE Synutra International, Inc.