China Shenghuo Pharmaceutical Holdings, Inc. Opens Showcase 12Ways(R) Chinese Herbal Beauty Salon in October

KUNMING, China, Oct. 16 /Xinhua-PRNewswire-FirstCall/ -- China Shenghuo Pharmaceutical Holdings, Inc. ("China Shenghuo," "the Company") (Amex: KUN), which is engaged in the research, development, manufacture, and marketing of pharmaceutical, nutritional supplement and cosmetic products in the People's Republic of China ("PRC"), today announced its showcase 12Ways(R) Chinese Herbal Beauty Salon ("Salon") debuted in Kunming, China, on October 10, 2007.

Accented with traditional Chinese decor, the Company's first full-service Salon is located in Xiao Xi Men, one of the major commercial districts in Kunming, which attracts more than 400,000 people each day. Unlike China Shenghuo's previous salons, this centerpiece, free-standing store is the first of its salons to offer traditional Chinese medicine services. It is expected to be used as a training center in the future.

The 12Ways Chinese Herbal Beauty Salon features more than 10 traditional Chinese medicine practitioners and beauticians skilled in a variety of services, including acupuncture, body massage, foot massage and other services. In the Salon, every customer has an advisor to track her improvement and give personal suggestions. The solutions provided by advisors include Chinese culture lectures, Chinese medicinal beauty treatment, cosmetics, dietary treatment, health food and proper physical exercises for each patron, who is looking for healthy beauty.

All products used in the salon will be supplied by Shenghuo Cosmetics Company, a subsidiary of China Shenghuo Pharmaceutical. In addition, the professionals will instruct customers in the appropriate dietary supplements to treat any symptoms discovered during a traditional Chinese medical diagnosis.

"We are very excited for the debut of the 12Ways Chinese Herbal Beauty Salon," said Mr. Gui Hua Lan, China Shenghuo's Chairman and Chief Executive Officer. "This new showroom furthers our strategy to fully introduce 12Ways products to our core consumers, women who are seeking healthy beauty."

After the initial Salon opening in Kunming, the Company plans to expand the business into a larger region of China during the next three years by opening retail counters at major pharmacy chains. Management believes this retail counter strategy will allow China Shenghuo to increase its brand recognition, as well as sell and market its newest cosmetics products developed using its expertise in traditional Chinese medicine.

12Ways caters to modern women, who are typically interested in products that are both effective and safe. The name was inspired by Chinese tradition, which says the number 12 connotes harmony and good luck. China Shenghuo has set up three sales and marketing offices in Beijing, Guangzhou and Shanghai to better support sales in local regions.

About China Shenghuo Pharmaceutical Holdings, Inc.

Founded in 1995, China Shenghuo Pharmaceutical Holdings, Inc. ("China Shenghuo" or "the "Company") is a specialty pharmaceutical company that focuses on the research, development, production and marketing of Sanchi-based medicinal products. Through its subsidiary, Kunming Shenghuo Pharmaceutical (Group) Co., Ltd. ("Kunming Shenghuo"), it owns thirty-one SFDA (State Food and Drug Association)-approved medicines, including the flagship product Xuesaitong Soft Capsules, which has already been listed in the Insurance Catalogue. At present, China Shenghuo incorporates a sales network of agencies and representatives throughout China, which markets Sanchi-based traditional Chinese medicine to hospitals and drug stores as prescription and OTC drugs primarily for the treatment of cardiovascular, cerebrovascular and peptic ulcer disease. The Company also exports medicinal products to Asian countries such as Indonesia, Russia and Kyrgyzstan.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: This press release contains certain "forward-looking statements," as defined in the United States Private Securities Litigation Reform Act of 1995, that involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate and the actual results and future events could differ materially from management's current expectations. Such factors include, but are not limited to, the Company's reliance on one supplier for Sanchi, ability to develop and market new products, ability to establish and maintain a strong brand, continued maintenance of certificates, permits and licenses required to conduct business in China, protection of company's intellectual property rights, market acceptance of the company's products, changes in the laws of the People's Republic of China that affect the company's operations, the company's ability to obtain all necessary government certifications and/or licenses to open and operate retail specialty counters to offer its cosmetic products and conduct the company's business, cost of complying with current and future governmental regulations and the impact of any changes in the regulations on the Company's operations and other factors detailed from time to time in the Company's filings with the United States Securities and Exchange Commission and other regulatory authorities. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

For more information, please contact:

Ms. Gao Qionghua, CFO

China Shenghuo Pharmaceutical Holdings, Inc.

Tel: +86-87-1728-2608

Email: qionghua_kmsh@163.com

Crocker Coulson, President

CCG Elite Investor Relations

Tel: +1-646-213-1915 (New York)

Email: crocker.coulson@ccgir.com