China Agritech Inc. announced that it has entered into a contract with AL-WAHA KHDRAA CO., a subsidiary of AL Ezz Group. AL Ezz Group began working with China Agritech over a year ago to conduct product testing which was monitored by the Egyptian government. The test results were positive and China Agritech´s Green Vitality liquid fertilizer demonstrated superior quality compared to local brands. As a result, the Egyptian government has authorized test sales of Green Vitality in small quantities. The initial contract is for 10,000 liters of Green Vitality liquid fertilizer worth $75,000. Orders are expected to increase significantly once Green Vitality liquid fertilizer is certified by Egypt´s Ministry of Agriculture and large-scale sales are permitted. China Agritech expects to achieve certification by the end of 2008. All current and future sales will be made in compliance with all applicable U.S. laws and regulations.

China Agritech Inc. announced financial results for the first quarter ended March 31, 2008. For the quarter, revenue was down 15.0% to $7.3 million from $8.6 million in the first quarter of 2007. Revenue declined as a result of a decrease in sales volume, due to the impact of extended cold weather and heavy rains in northeast China. Unfavorable weather conditions resulted in deferred orders and delayed deliveries. Income from operations was $2.1 million, down 38.6% from $3.3 million in the same period of 2007. Net income was $1.2 million, down 36.9% from $1.9 million in the first quarter of 2007. Fully diluted earnings per share were $0.05 compared to fully diluted earnings per share of $0.10 for the same period a year earlier. For the full year 2008, the company is adjusting its previous guidance downward to revenue of $54 million to $56 million, and net income to $8.5 million to $9.0 million, or earnings per share of $0.35 to $0.37.

China Agritech, Inc announced its financial results for the first quarter ended March 31, 2008 with 15% decreased in revenues to $7.3 million. China Agritech stated that is considering options to acquire an existing granular fertilizer factory to expand its production capacity. It plans to acquire a well-run facility with established markets in the Anhui province and has currently initiated the evaluation process.