China Traditional Chinese Medicine Holdings Co. Limited announced that the Board has received written resignation reports from Mr. CHENG Xueren ("Mr. CHENG") and Mr. YANG Wenming ("Mr. YANG"). As they are reaching the retirement age, Mr. CHENG has applied to resign as the president of the Company (i.e. the general manager), and to re-designate from an executive Director and the managing Director to a non-executive Director; and Mr. YANG has applied to resign as the vice president of the Company, and to re-designate from an executive Director to a non-executive Director.

The Board resolved that Mr. CHENG and Mr. YANG shall cease to serve as members of the senior management of the Company, and shall be re-designated to non-executive Directors, with effect from 21 March 2024, and shall continue to serve as members of the nomination committee and strategic committee of the Board. The Board also resolved that Mr. CHEN Yinglong, an executive Director and the chairman of the Board, shall be appointed as the acting president (i.e. the general manager) with effect from 21 March 2024. Mr. CHEN will be responsible for the implementation of the important policies and development strategies approved by the Board and has direct management responsibility for the daily operations of the Group.

The Board will maintain standardized operation in accordance with the laws and regulations to ensure the continued stability of the Company's operation. Mr. CHEN, aged 52, was appointed to the Board and served as the Chairman of the Board on 12 May 2022. Mr. CHEN graduated from Heilongjiang University with a bachelor degree of English majoring in English Literature in 1993 and completed the master course of Management Science and Engineering in School of Management of Harbin Institute of Technology in 1999.

Mr. CHEN has the professional qualification of senior enterprise information manager and senior economist. Mr. CHEN was the business manager of the first business department of Harbin Metals and Minerals Import and Export Corporation from December 1993 to September 1994; the first representative of Harbin branch of Eisenberg Group United Development Co. Ltd. from September 1994 to October 1999; the general manager of Harbin Runhe Technology Development Co.

Ltd. from October 1999 to April 2004; a director and general manager of Harbin Baida Pharmaceutical Co. Ltd. from April 2004 to November 2009; a manager of the raw material department and successively a manager of the safety and environmental protection department of China National Pharmaceutical Industry Company Limited from November 2009 to August 2010; the deputy general manager, general legal adviser and secretary of the board of directors of China Traditional Chinese Medicine Co. Ltd. (formerly known as China National Corp.

of Traditional & Herbal Medicine) from August 2010 to December 2018. He served as a vice president of the Company from December 2018 to May 2020, during which he was also the standing committee member of the municipal committee and deputy mayor of Baishan City of Jilin Province. He has been director of public affairs department of China National Pharmaceutical Group Co.

Ltd. from May 2020 to June 2022. Mr. CHEN is currently the secretary of the Party Committee of the Company (as the acting president (i.e. the general manager)), and the chairman of the board, general manager and provisional deputy Party secretary of the China Traditional Chinese Medicine Co. Ltd. Mr. CHENG, aged 60, was appointed to the Board on 25 March 2022.

Mr. CHENG was graduated from Anhui Institute of Traditional Chinese Medicine (currently known as Anhui University of Traditional Chinese Medicine) with a bachelor degree in Traditional Chinese Medicine in 1985, and finished master course of Basic Theory of Integrated Chinese and Western Medicine in Guangzhou University of Chinese Medicine in 1992. Mr. CHENG has the professional qualifications of chief pharmacist and attending physician. Mr. CHENG was a physician of Anhui Chuzhou People's Hospital from July 1985 to August 1989; a doctor of Guangdong Second Hospital of Traditional Chinese Medicine from July 1992 to March 1993; a R&D director, a person in charge of quality, a deputy manager of production, the deputy manager of sale, chairman, general manager and secretary of Party committee of Guangdong Yifang Pharmaceutical Co.

Ltd. from March 1993 to September 2021. In which, he was the vice director of Guangdong Institute of Traditional Chinese Medicine from March 1993 to May 2015, a vice president and president of the Company from December 2019 to March 2024. Mr. CHENG has been a director of Chongqing Taiji Industry (Group) Co.

Ltd. since 6 May 2022, and held directorship in multiple subsidiaries of the Company. Mr. YANG, aged 60, was appointed to the Board on 24 December 2018. Mr. YANG graduated from Zhejiang University majoring in Biological and Medical Instruments and obtained a bachelor degree of Engineering in 1985.

Mr. YANG also has the senior engineer professional qualification. He was previously a staff member of the quality standard department, a senior staff member, a principal staff member, the deputy department head of the external cooperation department, the assistant of general manager and the department head of the external cooperation department and the assistant of general manager of China National Medical Equipment Industry Corporation from August 1985 to March 1999 and the assistant of the department head of the Medical Equipment Administration Department and the deputy director of the Medical Equipment Products Examination and Registration Centre of the State Medicine Administrative Bureau of China from January 1997 to January 1998. He was previously an office manager, manager of the information department, manager of the discipline inspection and supervision office, manager of the audit department, deputy secretary of discipline inspection committee, vice president of labour union and the staff supervisor of China National Pharmaceutical Group Corporation, and deputy general manager, deputy secretary of the Party Committee and secretary of discipline inspection committee, president of labour union of China National Pharmaceutical Industry Company Limited from March 1999 to April 2017; the deputy secretary of the Party Committee, secretary of discipline inspection committee and president of labour union of Shanghai Shyndec Pharmaceutical Co.

Ltd. from November 2016 to December 2018; the secretary of the Party Committee and vice president of the Company from December 2018 to March 2024. Mr. YANG has held directorship in multiple subsidiaries of the Company.