Lotus Pharmaceuticals Inc (LTUS)

[Headley Lamar]

They had a significant write down that would have resulted in another $.034 EPS diluted if they didn't take that hit.

In fiscal 2010, we will demolish a portion of a Beijing En Ze Jia Shi building in order to construct our nine-floor new building. The new building will be used for our offices, research and development, production, and modern storage. Therefore, we recognized the break away as impairment loss. We recorded an impairment loss from fixed assets of $1,719,884 during the year ended December 31, 2009 while we did not record any impairment charges during the year ended December 31, 2008.