September 4, 2012

Net income for the second quarter ended June 30, 2012 of Tianli Agritech, Inc. was US$300,000, or US$0.03 per share, compared to US$2.5 million, or US$0.24 per share, for the second quarter of 2011.

Sales for the second quarter ended June 30, 2012 were US$6.4 million, compared to US$7.7 million for the second quarter of 2011.

Net income for the first half ended June 30, 2012 was US$1 million, or US$0.10 per share, compared to US$4.3 million, or US$0.43 per share, for the first half of 2011.

Sales for the first half ended June 30, 2012 were US$13.1 million, compared to US$13.6 million for the first half of 2011.

"We are managing our business for the long term," began Tianli's Chairwoman and CEO, Hanying Li. "Despite very challenging market conditions for breeder and market hogs in China, we still generated positive cash flows and remained profitable. Our ability to quickly turn our hog inventory into cash, along with our investments in our Black Hog programme, differentiates Tianli from other hog operators. We remain focused on maintaining a solid financial position in order to capitalise on the on-going industry consolidation."