Polaris Pharma-KY Announces Intercompany Loans to Subsidiaries

1. Date of Event: 07/01/115

2. Details of Recipient Companies:

(1) Company Name: DiRui Pharma (Chengdu) Co., Ltd. (2) Relationship to Lending Company: Subsidiary directly or indirectly 100% owned by the company (3) Loan Limit (in thousand NT$): 480,000 (4) Previous Loan Balance (in thousand NT$): 0 (5) Amount of New Loan (in thousand NT$): 414,050 (6) Is this a loan authorized by the board for the chairman to disburse in installments or on a revolving basis to the same recipient?: Yes (7) Loan Balance as of Event Date (in thousand NT$): 414,050 (8) Reason for New Loan: To meet the short-term funding needs of the subsidiary

(1) Company Name: LinYang Biotech Pharmaceutical Co., Ltd. (2) Relationship to Lending Company: Subsidiary directly or indirectly 100% owned by the company (3) Loan Limit (in thousand NT$): 480,000 (4) Previous Loan Balance (in thousand NT$): 0 (5) Amount of New Loan (in thousand NT$): 414,050 (6) Is this a loan authorized by the board for the chairman to disburse in installments or on a revolving basis to the same recipient?: Yes (7) Loan Balance as of Event Date (in thousand NT$): 414,050 (8) Reason for New Loan: To meet the short-term funding needs of the subsidiary

3. Collateral Provided by Recipient Companies:

(1) Description: None (2) Value (in thousand NT$): 0

4. Latest Financial Statements of Recipient Companies:

(1) Capital (in thousand NT$): 3,775,491 (2) Accumulated Deficit (in thousand NT$): -3,121,537

5. Interest Calculation Method: To be determined based on prevailing interest rates at the time of actual borrowing.

6. Repayment Terms:

(1) Conditions: Full repayment upon maturity (2) Due Date: Repayment within one year from the borrowing date

7. Total Loan Balance as of Event Date (in thousand NT$): 923,650

8. Ratio of Total Loan Balance to Net Equity of the Publicly Listed Company (Latest Financials): 19.24%

9. Source of Loan Funds: Parent Company

10. Other Matters to be Disclosed: None