Pacific Hospital Supply Co., Ltd.Pacific Hospital Supply Co., Ltd.

CompanyCompany ReportReportPresented by Jacky LeePresented by Jacky Lee

Your Health, Our Mission

2

Our Milestone

1977 PAHSCO formed with a stock Capital $1Million 1980 Started the production & trading of central medical gas equipments

2001 Tong Lo Factories receives ISO134852002 Tong Lo (F1) receives GMP Certification2004 PAHSCO becomes a public listed company in the stock market2005 Tong Lo (F3) formed to expand the production of sterilize medical product

2006 The automatic warehousing system was officially implemented in August

Tong Lo (F2) constructed & expanded the production of gas piping products 1987

2009Expanded 11,997m2 of production capacity

2008

New factory (F4) constructed on 15th January

2008

2010

Obtain 7,085 m2 of land

Issued its second series of secured domestic convertible bonds

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Factory

Miaoli

Taiwan

4

Certificate

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Introduction to the Medical Product Industry and Future

Global Market for Medical Devices and Equipments –Steady growth year by year

Source: Espicom Business Intelligence(2011); IEK(2011/04)

Percentage of Global Market （2010）Prediction of Global Market

Growth rate maintained between 5%-6% in recent years.

Unit

：Million (U

SD

)

6

Introduction to the Medical Product Industry and Future

Prediction of Global Medical Product Market

Source: Espicom Business Intelligence(2011); IEK(2011/04)）

Estimated percentage by categoryEstimated percentage of Global Market by country

7

Medical Device and Equipment Industry in Mainland China

Market Proportion Analysis

Unit

：Million (U

SD

)

China market has maintained 10% of the growth rate in recent years.Resource: IEK（2011/04）

6,695 7,446

8,590 9,748

11,013

0%

5%

10%

15%

20%

0

2,000

4,000

6,000

8,000

10,000

12,000

2009 2010 2011E 2012F 2013F

市場規模 Market Proportion 年均成長率 Avg. Annual Growth Rate

8

Main Geographic Areas of Global Medical Device Market

9

Overall Index of Geographic Areas

Developed Countrieswith Subcontract Manufacturing Focus

Countries with Self-Branding Focus

US Japan Germany China Taiwan

Overall Index

Population (Million) 310 127 81.6 1350 23

Age(0~14:15~64:65up) 20 : 67 : 13 13 : 65 : 22 14 : 66 : 20 17.6：73.6：8.9 16 : 73 : 11

Birth Rate：Death Rate 14 : 8 9 : 9 8 : 10 12 : 7 9 : 7

Fertility Rate 2.1 1.4 1.4 1.8 0.94

GDP (Million USD) 14,582,400 5,497,812 3,309,669 5,878,629 430,096

GDP per Capita(USD) 47,084 43,161 40,542 4,393 17,660

Economic Growth Rate 2.90% 5.10% 3.60% 10.3% 4.21%

Medical Industry Index

Health Expenditure per Capita（USD） 7,410 3,321 4,629 169 1,260

Health Expenditure / GDP（%） 16.20% 8.30% 11.30% 4.6% 6.00%

Change of Health Expenditure per Capita

3~4%Steady Growth

Rate

Adjusting(Negative growth

approx. in every 5 years)

Positive growth(Growth Rate not

steady)

15% and aboveHigh-speed Growth Rate

2~3% Growth Rate

Hospital Beds per 1000 persons (unit) 3.10 13.80 8.20 2.45 6.78 Source: World Bank, Espicom, IEK

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Population Structure of Geographic Areas Low birth rate in Taiwan, hence the

Population Structure is aging.Population of age above 65

CountryPercentage of population above age 65 Period of time expected

7% 10% 14% 20% 30% 7%→14% 10%→20% 20%→30%

Taiwan 1993 2005 2017 2025 2040 24 20 15

Singapore 2000 2010 2016 2023 2034 16 13 11

South Korea 2000 2007 2017 2026 2040 17 19 14

Japan 1970 1985 1994 2005 2024 24 20 19

China 2001 2010 2026 2036 - 25 20 -

United States 1942 1972 2015 2034 - 73 62 -

Germany 1932 1952 1972 2009 2036 40 57 27

UK 1929 1946 1975 2026 - 46 80 -

Italy 1927 1966 1988 2007 2036 61 41 29

Switzerland 1887 1948 1972 2015 - 85 67 -

France 1864 1943 1979 2020 - 115 77 -

Source：1. Council for Economic Planning and Development

2.United Nations, World Population Prospects：The 2006 Revision.

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Major Exporting Countries and Percentage of Product Categories

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Disposable Medical Devices

Close Suction System (CSS)Sales Revenue:332 Million% of Product TR: 27% (1st)

Suction Catheter Sales Revenue:176 Million% of Product TR: 14% (3rd)

RespiratorySales Revenue:24 Million% of Product TR: 2%

Bags Sales Revenue:176 Million% of Product TR: 14% (2nd)

Medical Device Market Revenue

13Source: Frost & Sullivan

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Respiratory Disposable Market Size –Facts And Figures in China

Inpatients % of Respiratory System Diseases

City Hospital

County-level

HospitalAverage

2009 12.23% 16.46% 14.35%

2010 12.41% 16.43% 14.42%

15

50%

13%

38%

Sale Revenue in China

Information about the Leading Firms

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Revenue in Respiratory

Devices(% of TR)

400M** (2%)

752M(6%)

699M(56%)

176M**(5%)

Kimberly Clark Covidien Resmed CareFusion

Headquarter Texas Dublin SD,CA SD,CAStock Exchange NYSE, BMV NYSE NYSE, ASX NYSE

Stock Price(Jun. 29) 83.77 53.50 31.20 25.68

Market Cap 32.85B 26.16B 4.42B 5.70B

EPS(ttm) 4.31 3.82 1.49 1.65Sales Revenue

(million) 20,846 11,574 1,243 3,528

Profit Margin 29.5% 56.83% 59.61% 51.16%Net Profit Margin 7.63% 16.14% 23.90% 6.91%

Source: Yahoo Finance, FR of the companies, ＊Global Data **estimated

Mask and Tubings for NIV

Related Products for Invasive Ventilation

For Delivering Humidified or Warn Gas

Mask ＆

Tubing

Anesthetic

Oxygen Therapy

Aerosol Therapy

Sleep Therapy

Emergency Care

Airw

ay

Laryngeal Mask

Closed Suction Set

ET tube

Tracheostomy tube

Guedel Airway

Laryngoscope

Filter/ Hum

idifer

Filter

Artificial Nose

Nebulizer

Active and Passive humidifier

FMS Market Potential

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FMS Leading Firms:− ConvaTec − Secco− Bard− B Braun

ConvaTec, 80%

*Estimated Amount

Continence &Critical Care(FMS) 15%, Sale Revenue: 242 millon

Total Market Revenue: Over 300 million*

Information about the Leading Firms

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ConvaTec Bard B Braun Secco

HeadquarterNew Jersey New Jersey Melsungen

Stock Exchange Private NYSE Private PrivateStock Price

(Jun. 29) 83.77 107.44 N/A N/A

Market Cap N/A 9.05B N/A N/A

EPS(ttm) N/A 6.40 N/A N/A

Sales Revenue(million) 1,599 2,896 7,239 N/A

Profit Margin 52.68% 62.12% N/A N/ANet Profit Margin -17.85% 11.32% 5.5% N/A

Source: Yahoo Finance, FR of the companies, **estimated

PAHSCO Faecal Management System

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Thanks for your attention&

patience!