Tianyin Pharmaceutical Co., Inc. Has 23 Medicines Included in China's National Insurance Directory

CHENGDU, China, Jan. 7 /PRNewswire-Asia/ - Tianyin Pharmaceutical Co., Inc., (NYSE Amex: TPI), a manufacturer and supplier of modernized traditional Chinese medicine ("TCM") and Western Pharmaceuticals based in Chengdu, China, today announced that 23 of its medicine compounds will be included in the 2009 Edition of the National Basic Medical Insurance, Industrial Injury Insurance and Maternity Insurance Medicine Directory

The 2009 Edition Directory includes a total of 2,151 medicines and became effective throughout the PRC on December 1, 2009. There are 1,164 Western drugs in the Directory, including 349 Category A medicines, 791 Category B medicines, 20 restricted work injury insurance agents, and four maternity insurance agents. In addition, there are 987 Chinese medicines, including 154 Category A medicines and 833 Category B medicines. Patients will be fully reimbursed for consumption of Category A medicines by the National Basic Medical Insurance.

The 23 medicines treat a variety of common indications and diseases and make up approximately 70% of Tianyin's total revenues for the fiscal year 2009. Among 23 medicines produced by Tianyin, 8 medicines are classified as Category A and 15 medicines are classified as Category B.

"We are very pleased to have such a broad base of our product portfolio included in the 2009 National Insurance Directory. We expect the weighted average price of these medicines will not be affected and sales volume for these products will grow significantly, thus creating positive incremental revenue and earnings growth for 2010 and beyond," Dr. Jiang, Chairman and CEO of Tianyin Pharmaceutical Co., Inc., commented. "Inclusion in this Directory will drive demand as consumers benefit from the government's desire to bring better healthcare to the masses. We believe this will provide another growth conduit for Tianyin as we leverage our expanded production capacity, respected brand name and broad distribution base to capitalize on this significant growth opportunity."

About Tianyin Pharmaceuticals

Tianyin is a manufacturer and supplier of modernized Traditional Chinese Medicine ("TCM") in China. It was established in 1994 and acquired by the current management team in August 2003. It has a comprehensive product portfolio of 39 products, 23 of which are listed in the highly selective National Medicine Catalog of the National Medical Insurance program. Tianyin owns and operates two GMP manufacturing facilities and an R&D platform supported by leading Chinese academic institutions. The Company has a pipeline of 17 pharmaceutical products pending approval. Tianyin has an extensive nationwide distribution network throughout China with a sales force of 720 salespeople. Tianyin is headquartered in Chengdu, Sichuan Province with two manufacturing facilities and a total of 1,365 employees. For more information about Tianyin, please visit http://www.tianyinpharma.com .

Safe Harbor Statement

The Statements which are not historical facts contained in this press release are forward-looking statements that involve certain risks and uncertainties including but not limited to risks associated with the uncertainty of future financial results, additional financing requirements, development of new products, government approval processes, the impact of competitive products or pricing, technological changes, the effect of economic conditions and other uncertainties detailed in the Company's filings with the Securities and Exchange Commission.

For more information, please contact:

For the Company:

Allen Tang, Ph.D., MBA, Assistant to the CEO China

Tel: +86-158-2122-5642

Email: Allen.y.tang@gmail.com

Investors:

Mr. Matthew Hayden, HC International

Tel: +1-561-245-5155

Email: matt.hayden@hcinternational.net