X0203 3 2007-11-16 0 0001087848 China Yongxin Pharmaceuticals Inc. CYXN.OB 0001438586 LIU YONGXIN C-24-2-402 MINGZHU DISTRICT CHANGCHUN, JILIN PROVINCE F4 00000 CHINA 1 1 1 0 CEO and Chairman 0001487107 Misala Holdings Inc. CHINA INSURANCE GROUP BUILDING, UNIT 818 NO.73 CONNAUGHT ROAD, CENTRAL HONG KONG K3 0000000 HONG KONG 0 0 1 0 Common stock 12000000 I (1) By Misala Holdings, Inc. Series A Convertible Preferred Stock Common Stock 1000000 I (3) By Misala Holdings, Inc. Represents shares of common stock held by Misala Holdings Inc., a British Virgin Islands corporation ("Misala Holdings"), over which Mr. Yongxin Liu may be deemed to have voting and investment control. On December 16, 2009, the 12,000,000 shares of common stock were converted from 2,000,000 shares of Series A Convertible Preferred Stock, which were each convertible into 6 shares of common stock, upon the Company meeting certain required net income amounts for conversion for the fiscal years ending 2007 and 2008, held by Misala Holdings. Misala Holdings also holds an additional 1,000,000 shares of Series A Preferred Stock, each share of which is convertible into six shares of common stock upon certian conditions being met pursuant to the Certificate of Incorporation. The Series A Convertible Preferred Stock is convertible upon certain conditions being met pursuant to the Certificate of Incorporation, on a one-for-six basis and has no expiration date. The reported securities are owned directly by Misala Holdings, Inc., and indirectly by Mr. Yongxin Liu, as sole director and sole shareholder of Misala Holdigns, Inc. /s/ Yongxin Liu, Director 2010-03-12 /s/ Yongxin Liu, Individual 2010-03-12