Bohai Pharmaceuticals Group, Inc. (OTCBB/OTCQB: BOPH), a China-based pharmaceutical company engaged in the production, manufacturing and distribution of Traditional Chinese Medicine (TCM) in China, today announced the release of an in-depth research update by Patrick Murphy, CFA, principal of fee-based, independent research firm Murphy Analytics.

As part of his detailed analysis of the company, Mr. Murphy raises his 12-month price target on Bohai Pharmaceuticals to $7.50 per share.

?Through our recently expanded TCM portfolio and proactive sales initiatives, Bohai is addressing the demand of China's rising middle class and elderly populations for pharmaceuticals and healthcare products, including TCM,? said Mr. Hongwei Qu, President and Chief Executive Officer of Bohai Pharmaceuticals. ?This research report update provides investors with an in-depth analysis of Bohai's particular strengths in the TCM market in China and delivers a comprehensive overview of our revenue and earnings potential as we seek to drive growth in 2011.?

In his updated report, Mr. Murphy states, ?BOPH is delivering recurring revenue and earnings growth in the rapidly expanding TCM segment of the emerging Chinese healthcare market. The Company benefits from key protection status for its core products and very positive preliminary results on the launching of 5 new products, which bring the total number of manufactured medicines to 15 prescription and over the counter products. The Company has a strategy to capitalize on growth opportunities in urban and rural markets and seems to be well positioned to monetize these opportunities.?

The report details the significant growth projected in China's pharmaceutical market, which benefits from a growing elderly population, a PRC government that is increasing government healthcare spending to $125 billion by 2011, and direct health care subsidies for urban and rural residents that cover up to 90% of the cost for certain pharmaceuticals and 100% of Essential Drug List products.

?Whether analyzing the trends in the general Chinese healthcare market, or solely within the segment known as Traditional Chinese Medicine (TCM), the near and long term trends seem highly favorable, with significant continued growth expected for the foreseeable future,? adds Mr. Murphy. ?Based on the market opportunity before the Company and the results delivered to date, Murphy Analytics is raising the price target on BOPH from $6.45 to $7.50.?

The complete report is available in Acrobat format, free of charge: http://www.murphyanalytics.com/uploads/BOPH_Update

About Bohai Pharmaceuticals Group, Inc.

Based in the city of Yantai, Shandong Province, China, Bohai Pharmaceuticals Group, Inc. (OTCBB/OTCQB: BOPH) is engaged in the production, manufacturing and distribution of herbal pharmaceuticals based on Traditional Chinese Medicine in China. Bohai's medicines address common health problems such as rheumatoid arthritis, viral infections, gynecological diseases, cardio vascular issues and respiratory diseases. Bohai's products are sold either by prescription through hospitals or over-the-counter through local pharmacies and retail drug store chains. Bohai has approximately 600 employees, including approximately 300 sales representatives, operating from 20 offices throughout China. Bohai's three lead products, Tongbi Capsules, Tongbi Tablets and Lung Nourishing Cream, are eligible for reimbursement under China's National Medical Insurance Program.

For comprehensive investor relations material, including fact sheets, research reports, presentations and video, please follow the appropriate link: Investor Relations Portal, Investor Fact Sheet and Overview Video.

For additional information, please visit Bohai's corporate website: www.bohaipharma.com.

Information Regarding the Murphy Analytics Report

Although the Murphy Analytics report described herein was commissioned and paid for by Bohai Pharmaceuticals Group, Inc., the company notes that the report was generated independently by Mr. Murphy, and statements by Mr. Murphy are his own and not attributable to Bohai Pharmaceuticals Group, Inc. Readers are advised to review the report in its entirety, including the disclosures and disclaimers noted therein.

Additional Information Relating to Bohai's Trading Data

Due to certain recent disruptions in the marketplace relating to quotations on the OTC Bulletin Board operated by FINRA (OTCBB), incomplete trading data may exist for certain companies like Bohai. Real-time trading data for Bohai on the OTCQB market is available through the below link. Readers are advised that OTCQB market is operated by the owner of otcmarkets.com, and Bohai Pharmaceuticals Group, Inc. makes no representation or warranty regarding the OTCQB market.

For real-time trading data for Bohai on the OTCQB market, including Level 2 quotes, please visit: www.otcmarkets.com/stock/boph/quote.

Cautionary Note Regarding Forward Looking Statements

This press release, the research report referred to herein and the statements of representatives of Bohai Pharmaceuticals Group, Inc. (the ?Company?) related thereto contain, or may contain, among other things, ?forward-looking statements? within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact included herein are ?forward-looking statements,? including any other statements of non-historical information. These forward-looking statements are subject to significant known and unknown risks and uncertainties and are often identified by the use of forward-looking terminology such as ?guidance,? ?projects,? ?may,? ?could,? ?would,? ?should,? ?believes,? ?expects,? ?anticipates,? ?estimates,? ?intends,? ?plans,? ?ultimately? or similar expressions. All forward-looking statements involve material assumptions, risks and uncertainties, and the expectations contained in such statements may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including factors and risks discussed in the periodic reports that the Company files with the Securities and Exchange Commission (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. The Company undertakes no duty to update these forward-looking statements except as required by law.

Company Contact:
Bohai Pharmaceuticals Group, Inc.
Gene Hsiao, Chief Financial Officer
856-499-4475
or
Investor Relations Contacts:
The Trout Group
Danielle Spangler
646-378-2924
or
Trilogy Capital Partners - Asia
Darren Minton, President
Toll-free: 800-592-6067
info@trilogy-capital.com