Dragon Pharmaceutical Inc.
OTC Bulletin Board : DRUG

Dragon Pharmaceutical Inc.

October 14, 2009 17:00 ET

Dragon Pharma Announces Change in Auditors

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 14, 2009) - Dragon Pharmaceutical Inc. ("Dragon Pharma" or the "Company") (TSX:DDD)(OTCBB:DRUG)(BBSE:DRP), a leading international pharmaceutical company, today announced the appointment of Chang Lee LLP ("Chang Lee") to serve as the Company's independent registered public accounting firm, effective October 14, 2009. Chang Lee replaces the Company's previous independent registered public accountants, Ernst & Young LLP ("E&Y").

"We have had a very positive relationship with E&Y and appreciate their dedicated services over the past years," said Garry Wong, the Chief Financial Officer of the Company. "This was a difficult decision, but given the significantly lower audit fees to be charged by Chang Lee, the Board determined that Chang Lee offers our shareholders the best combination of quality services and cost-efficiency. We look forward to working with their team."

During the most recent fiscal years ended December 31, 2008 and 2007, through the subsequent interim periods ended March 31, 2009, June 30, 2009 and September 30, 2009, and further through October 9, 2009, there have been no disagreements with E&Y on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedures, which disagreement, if not resolved to the satisfaction of E&Y, would have caused it to make reference to the subject matter of the disagreement(s) in connection with its report on the Company's consolidated financial statements.

The appointment of Chang Lee as the new auditor has been approved by the Company's Audit Committee. The Company reported its decision to change accounting firms to the Securities and Exchange Commission on October 14, 2009, in a Form 8-K filing.

About Dragon Pharmaceutical Inc.

Dragon Pharmaceutical, incorporated in Florida and headquartered in Vancouver, Canada, is a leading manufacturer and distributor of a broad line of high-quality antibiotic products including Clavulanic Acid and 7-ACA, a key intermediate to produce cephalosporin antibiotics and formulated drugs. Dragon Pharma is the third largest 7-ACA producer and the dominant manufacturer and market leader of Clavulanic Acid products in China. Dragon Pharma utilizes its nationwide sales distribution network, close customer relationships, understanding of local markets and customer needs and low cost structure to outperform its international and domestic peers. With an annual capacity of 780 tons, Dragon Pharma is the largest exporter of 7-ACA in China. To learn more about Dragon Pharmaceutical Inc., please visit www.dragonpharma.com.

Contact Information

  • Dragon Pharmaceutical Inc.
    Maggie Deng
    Chief Operating Officer
    +1(604)-669-8817 or North America Toll Free: 1-877-388-3784
    Dragon Pharmaceutical Inc.
    Karen Huang
    Manager, Business Research & Development
    +1(604)-669-8817 or North America Toll Free: 1-877-388-3784