CHENGDU, China, June 17, 2011 /PRNewswire-Asia-FirstCall/ -- Tianyin Pharmaceutical Co., Inc. (NYSE Amex: TPI, the "Company"), a pharmaceutical company that specializes in patented biopharmaceutical medicine, modernized traditional Chinese medicine, branded generics and active pharmaceutical ingredients (API) today discussed the non-cash, non-operational financial impact from the warrants issued in January 2008 under the ASC 815-40-15 (formerly EITF 07-05).
In the financial report of Third quarter fiscal year 2011 ending March 31, 2011, the Company has disclosed that under ASC 815-40-15, the Company's accounting treatment of the Series A and B warrants from July 1, 2009 until December 31, 2010 is subject to revisions. Due to the presence of certain anti-dilutive (down round protection) clauses in both warrants during the above period, these financial instruments have been re-categorized as liabilities while they were previously treated as equity.
On January 14, 2011, these anti-dilutive clauses in both series of warrants were removed therefore the warrants were re-categorized as equity in the third quarter of fiscal year 2011 while the accounting issues related to the warrants ceased to exist.
Based on the warrants' exercise data and weighted valuation, the Company has calculated the non-cash impact for the fiscal year 2010 and the first two quarters of fiscal year 2011. The analysis indicated that
Management and the Board of Directors of the Company discussed this matter with the Company's principal accountants and decided to amend the Company's Form 10-Qs for the quarters ended September 30, 2010, December 31, 2010 and March 31, 2011 reporting periods including the comparative prior year period in these filings to reflect the non-cash, non-operational financial impact from the reclassification of the Warrants. The Company will also make corresponding revisions to its financial statements for the fiscal year ended June 30, 2010 in the Form 10-K for the fiscal year ended June 30, 2011.
About TPIHeadquartered at Chengdu, China, TPI is a pharmaceutical company that specializes in the development, manufacturing, marketing and sales of patented biopharmaceutical, modernized traditional Chinese medicines, branded generics and active pharmaceutical ingredients (API). TPI currently manufactures a comprehensive portfolio of 58 products, 24 of which are listed in the highly selective national medicine reimbursement list, 7 are included in the essential drug list of China. TPI's pipeline targets various high incidence healthcare indications. TPI has an extensive nationwide distribution network with a sales force of 730 sales representatives out of totaled 1,365 employees.
For more information about TPI, please visit: http://www.tianyinpharma.com.
Safe Harbor StatementThe 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 visit: http://www.tianyinpharma.com, or email email@example.com Tel:
+86-28-8551-6696 (Chengdu, China)+86-134-3655-0011 (China)Address: Tianyin Pharmaceutical23rd Floor, Unionsun Yangkuo PlazaNo. 2, Block 3, South Renmin RoadChengdu, 610041China
|SOURCE Tianyin Pharmaceutical Co., Inc.|
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