AXJ Axm Pharma

AXM Pharma, Inc. (AMEX:AXJ), a manufacturer of proprietary and generic pharmaceutical and nutraceutical products for the Chinese and other Asian markets, announced today that it received notification from the Shenyang Municipal Government that it has been approved for a 10 million RMB grant, worth approximately $1.2 million. The proceeds are expected to be available to the Company in three to five months. The proceeds are expected to be used to expand existing operations as well as for working capital and other general corporate purposes. "We are pleased that the Shenyang Municipal Government has recognized the important role that our operations play in the local economy by granting us this funding," said Wang Weishi, CEO of the Company. "This funding will be useful in allowing us to secure additional capital and will allow us to meet near-term capital requirements. We believe that the market opportunity for our innovative pharmaceutical products is substantial. We are working diligently to ensure that the Company is able to realize this potential." About AXM Pharma, Inc. AXM Pharma, Inc., through its wholly owned subsidiary, AXM Pharma Shenyang, Inc. ("AXM Shenyang"), is a manufacturer of proprietary and generic pharmaceutical products, which include injectables, capsules, tablets, liquids and medicated skin products for export and domestic Chinese sales. AXM Shenyang is located in the City of Shenyang, in the Province of Liaoning, China. AXM Shenyang has an operating history of approximately 10 years. For additional information on AXM Pharma Inc., please visit http://www.axmpharma.com Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this news release include certain predictions and projections that may be considered forward-looking statements under securities law, including the statements regarding the Company's opportunities for future growth. These statements involve a number of important risks and uncertainties that could cause actual results to differ materially including, but not limited to, the performance of joint venture partners, obtaining regulatory approvals to market the Company's products, the uncertainties associated with distributing products in a developing country such as China, the availability of cash to meet near term requirements as well as other economic, competitive and technological factors involving the Company's operations, markets, services, products and prices. With respect to AXM, except for the historical information contained herein, the matters discussed in this news release are forward-looking statements involving risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. Potential risks and uncertainties include, but are not limited to, AXM's extremely limited operating history, uncertainties related to the Company's access to additional capital, competition and dependence on key management.