Rocky Mountain Ginseng, Inc. Corporate Update
November 2, 1999
Vancouver, Canada - Rocky Mountain Ginseng, Inc. (NASD OTCBB: RMGG).
Business Summary - RMGG was incorporated in the State of Colorado on the
26th of July, 1996.
RMGG's head office is located in British Columbia, Canada, one of three
major growing regions in North America producing panax quinquefolium,
better known as "American Ginseng'. Of the more than 5 million plus pounds
of ginseng grown annually in North America, it is estimated that
approximately 95% of this production is consumed in China. The Chinese
market consider American ginseng, a plant species native to North America,
to be one of the highest quality ginseng in the world.
RMGG is in the business of exporting American ginseng to China as well as
processing American ginseng products in China. The Company holds exclusive
world processing and distribution rights to several innovative value added
ginseng products developed in North America.
Rocky Mountain Ginseng, Inc. completed the purchase of Fuzhou Fujian Drug
Company in China in February, 1999. This acquisition includes all the
necessary drug and hygiene licenses allowing the company to import, export,
manufacture and distribute ginseng products in all the provinces of China.
Ginseng is classified as a drug in China. The Company has completed the
construction of its new office and manufacturing facility in the city of
Fuzhou and is currently producing traditional ginseng products for the
Chinese market. The new factory conforms the Good Manufacturing Practice
standards which qualify the Company's products to be exported
internationally.
The Chinese factory employs 27 people in processing, sales, accounting and
management. RMGG is currently completing the second stage of their
production line with the installation of American manufactured processing
equipment for the production of Ginseng in Honey and Heavenly Slices.
Projected production startup is November 1999. RMGG has signed contracts
with 49 distributors which include supermarkets, department stores,
medicine and drugs supply agencies. RMGG is negotiating additional
distribution agreements with several of the largest supermarket chains in
China.
Projected sales of RMGG's traditional products for the fourth quarter of
1999 are 281,640 U.S. with a net profit of 65,350 U.S.
Rocky Mountain (Fuzhou) Drug Co. Ltd. is the first wholly owned American
company in Fujian province.
Opportunity - Ownership of a Chinese drug company and its special licenses
give RMGG the opportunity to import pharmaceutical and neutraceutical
products in China. The Company will undertake to establish relationships
with companies manufacturing targeted products.
Trademark - China - RMGG has received official government approval for the
exclusive use of the name "Rocky Mountain" and the Rocky Mountain logo in
China. The Chinese recognize the Rocky Mountain name and logo as a Western
entity and its association with high quality products.
The Company has the "Gold Root" trademark approved in North America and
several European countries.
Management -
Robert L. Bell - President, Director
Mr. Bell is the President of Bell Financial Services Inc. and, for 25
years, has been involved in the administration of a number of private and
public companies. Since 1992 Mr. Bell has been the Director of a British
Columbia venture capital corporation. A founding Director of Kettle
Mountain Ginseng Company Ltd, Mr. Bell is actively involved in the ongoing
business of the company.
Paul Winstanley - Secretary, Director
Mr. Winstanley received his B. Comm (Hon.) in 1972 and received his CA
designation in 1977. Currently self employed as a Certified Accountant
since 1991, Mr. Winstanley is President and Director of Kettle Mountain
Ginseng (VCC) Corp. since 1993. He is also a Director of one of the
largest aquaculture farms in British Columbia since 1991.
Brian A. Hodge - Managing Director of China Operations
Mr. Hodge is a graduate of North Dakota State University. He has vast
experience in international marketing including positions as International
Marketing Director for the Alberta Export Agency and International Trade
Director for B.C. Ministry of Economic Development. Mr. Hodge has been
involved in business in China since 1992 and has managed RMGG's China
operation since 1995. He is a full time resident of China. In an official
ceremony Mr. Hodge was recently awarded the highest honor a foreigner may
receive in the province by Cao De Gan, Vice Governor of Fujian province and
a similar award from the Fuzhou People's Government presented by Mr. Zhao
Shou Zhen, Chairman of the People's Congress in Fuzhou.
Contact Information: PMR & Associates, LLC Mr. Patrick Rost, e-mail:
PMRandCo@aol.com
Telephone: (760) 942-0015
Rocky Mountain Ginseng, Inc., Mr. Robert L. Bell, e-mail: rlbell@direct.ca
Website: www.direct.ca/ginseng Telephone: (604) 420-0095
This press release contains forward-looking statements made pursuant to the
safe harbor provisions of the Private Securities Litigation Act of 1995.
Expression of future goals and similar expressions reflecting something
other than historical fact involve risks and uncertainties. The actual
results the company achieves may differ materially from any forward-looking
statements due to such risks and uncertainties.
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