China Nepstar Chain Drugstore Makes Second Acquisition in Beijing

- Strengthens Foothold in Beijing and Continues Penetration into Northern China Market -

SHENZHEN, China, Dec. 10 /PRNewswire-Asia/ -- China Nepstar Chain Drugstore Ltd. (NYSE: NPD) ("China Nepstar" or the "Company"), the largest drugstore chain in China based on the number of directly operated stores, today announced that it has entered into a definitive agreement with Beijing Xiang Yun Kang Drugstore, to acquire all of its six drugstores in Beijing. This acquisition will be China Nepstar's second acquisition in Beijing.

In the first ten months of 2009, the six drugstores being acquired generated unaudited revenues of approximately RMB6 million. These stores have an average store size of 140 square meters, and are located in densely populated residential areas in Beijing. Together with the five stores acquired in July 2009, all Nepstar's Beijing stores will be serviced by the Company's regional logistics center in Tianjin, where Nepstar has over 100 stores. Tianjin is approximately 120km to the southeast of Beijing.

Mr. Ian Wade, Chief Executive Officer of China Nepstar, commented, "In the second half of 2009, we are encouraged by Chinese economic recovery and revived consumer confidence, which support our decision to expand in new markets. Beijing has always been one of the most important markets for China Nepstar given the high consumption power of its local residents. Since our acquisition of Beijing Ze Run Tang to make our inroad to Beijing, we have completed the renovation and re-branding of four acquired stores so far. We are confident that we will be able to improve the profitability of these acquired stores very soon. We will continue to seek good acquisition targets in Beijing and further expand our footprint in this important market."

About China Nepstar Chain Drugstore Ltd.

China Nepstar Chain Drugstore Ltd. (NYSE: NPD) is China's largest retail drugstore chain based on the number of directly operated stores. As of September 30, 2009, the Company had 2,337 stores across 67 cities, one headquarter distribution center and 12 regional distribution centers in China. Nepstar uses directly operated stores, centralized procurement and a network of distribution centers to provide its customers with high-quality, professional and convenient pharmacy services and a wide variety of other merchandise, including OTC drugs, nutritional supplements, herbal products, personal care products, family care products, and convenience products including consumables. Nepstar's strategy of centralized procurement, competitive pricing, customer loyalty programs and private label offerings has enabled it to capitalize on the robust economic growth in China and to take advantage of the demographic trend in China to achieve a strong brand and leading market position. For further information, please go to http://www.nepstar.cn .

Safe Harbor Statement

This press release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Among other things, the quotations from management in this press release and the Company's strategic operational plans and business outlook, contain forward-looking statements. Such statements involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Further information regarding these and other risks is included in the Company's filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F. The Company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.

For more information, please contact:

In China:

Lucia Qian

China Nepstar Chain Drugstore Ltd.

Vice President, IR

Phone: +86-755-2641-4065

Email: qianrt@nepstar.cn

In the United States:

Dixon Chen

Grayling

Investor Relations

Phone: +1-646-284-9403

Email: Dixon.chen@us.grayling.com

Ivette Almeida

Grayling

Media Relations

Phone: +1-646-284-9455

Email: ivette.almeida@us.grayling.com