China Kangtai Cactus CEO Responds To Allegation

China Kangtai Cactus Biotech Inc. (OTCBB:CKGT), a vertically integrated grower, developer, manufacturer and marketer of a variety of cactus-based products in China, said today that it stands by its 10-k financial reports with the SEC. The statement was given in response to a bulletin board posting alleging differences between the company’s Chinese SAIC filings and filings with the U.S. Securities and Exchange Commission.

China Kangtai CEO Jinjiang Wang said, “It is a well-known fact that there is rarely consistency between Chinese SAIC filings and U.S. SEC filings. Non-matching PRC and U.S. financial statements do not automatically indicate fraud or understatements of our real financial results. The SAIC reports are not consolidated nor do they use the same accounting standard as our SEC reports. We have three operating subsidiaries in China. It would be misleading to use only one SAIC report to match our SEC financial reports. Our SAIC reports were prepared in accordance with pertinent SAIC rules and policies. We stand by our numbers.”

About China Kangtai Cactus Biotech, Inc.

China Kangtai Cactus Biotech, Inc. is a leading grower, developer, producer, and marketer of cactus-derived products, including nutraceuticals, nutritious food, health and energy drinks, beer, wine and liquor, extracts and powders, and animal feed. China Kangtai controls over 387 acres of plants and maintains an active R&D group that holds 18 product patents and is seeking another 12. China Kangtai's high-quality “green” products are sold throughout China via a distribution network that covers 12 of China's 23 provinces and two of China's four municipalities. More information may be found at http://www.biocactus.com or via e-mail: [e-mail].

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This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and service demand and acceptance, changes in technology, economic conditions, the impact of competition and pricing, government regulation, and other risks contained in reports filed by the company with the Securities and Exchange Commission. All such forward-looking statements, whether written or oral, and whether made by or on behalf of the company, are expressly qualified by the cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, the company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.