China Traditional Chinese Med Hldg CoLtd : APPOINTMENT OF NON-EXECUTIVE DIRECTOR AND CHANGE OF COMPANY SECRETARY AND APPOINTMENT OF MEMBERS OF AUDIT COMMITTEE

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

CHINA TRADITIONAL CHINESE MEDICINE HOLDINGS CO. LIMITED

中國中藥控股有限公司

(Incorporated in Hong Kong with limited liability)

(Stock Code: 570) APPOINTMENT OF NON-EXECUTIVE DIRECTOR AND CHANGE OF COMPANY SECRETARY AND APPOINTMENT OF MEMBERS OF AUDIT COMMITTEE Appointment of Non-executive Director

The board of directors (the "Board") of China Traditional Chinese Medicine Holdings Co. Limited (the "Company") wishes to announce that Ms. Tang Hua ("Ms. TANG") has been appointed as a non- executive director of the Company with effect from 20 October 2016.

Ms. TANG, aged 49, graduated from Beijing Union University with a major in accounting and an EMBA of Renmin University of China in 1990 and 2007 respectively. Ms. TANG graduated from the school of business in Renmin University of China with a master degree in Accounting. She is a senior accountant and a Chinese certified public accountant. Ms. TANG was the manager of finance department of Beijing GRINM Semiconductor Materials Co., Ltd, the vice director of finance department of China National Pharmaceutical (Group) Company, the vice director of finance department of China National Medicines Corporation Ltd., the manager of finance department of Reed Sinopharm Exhibitions Co. Ltd. and the financial controller of China National Pharmaceutical Industry Corporation, one after another, from July 1990 to June 2011. She is currently the financial controller and the manager of finance department of China National Traditional Chinese Medicine Corporation.

Save as disclosed above, Ms. TANG has not held any directorships in other listed companies in the past three years or any other positions within the Company and other members of the Company and its subsidiaries.

As at the date of this announcement, Ms. TANG has no interest in the shares, relevant shares or debentures of the Company and/or its associates within the meaning of Part XV of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong). Save as disclosed above, she has no relationship with any other directors, senior management, substantial shareholders or controlling shareholders of the Company (as defined under the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules")).

Ms. TANG has entered into an appointment letter with the Company in relation to her appointment for an initial term of two years. She is also subject to retirement and re-election at the next following annual general meeting of the Company and thereafter is subject to retirement by rotation and re- election in accordance with the articles of association of the Company. The director's fee of Ms. TANG was determined with reference to her duties and responsibilities with the Company, the Company's performance and the prevailing market condition. For the year ending 31 December 2016, it is expected that Ms. TANG will not receive any director's fee.

Save as disclosed above, there is no other matter that need to be brought to the attention of the shareholders of the Company in relation to her appointment and any other information required to be disclosed pursuant to any of the requirements of rule 13.51(2) of the Listing Rules.

The Board would like to warmly welcome Ms. TANG to join the Company.

Change of Company Secretary

The Board announces that due to reaching the retirement age, Mr. Huen Po Wah ("Mr. HUEN") has tendered his resignation as company secretary of the Company with effect from 20 October 2016. Mr. HUEN confirmed that he has no disagreement with the Board and that there are no other matters relating to his resignation that need to be brought to the attention of the shareholders of the Company.

The Board is also pleased to announce Ms. Leung Suet Lun ("Ms. LEUNG") has been appointed as the company secretary of the Company with effect from 20 October 2016.

Ms. LEUNG, a manager of the Listing Services Department of TMF Hong Kong Limited, has approximately 8 years of professional experience in the legal, company secretarial and tax consulting fields. She is a member of the Hong Kong Institute of Certified Public Accountants and a solicitor of Hong Kong.

The Board would like to express its gratitude to Mr. HUEN for his invaluable contribution to the Company during his tenure of office, and would like to extend its welcome to Ms. LEUNG for her new appointment.

Appointment of Members of Audit Committee

The Board announces that Ms. HUANG He, a non-executive director of the Company, and Ms. TANG have been appointed as members of the audit committee of the Company with effect from 20 October 2016.

By Order of the Board

China Traditional Chinese Medicine Holdings Co. Limited WU Xian

Chairman

Hong Kong, 20 October 2016

As at the date of this announcement, the Board comprises twelve directors, of which Mr. WU Xian, Mr. YANG Bin and Mr. WANG Xiaochun are executive directors; Mr. LIU Cunzhou, Mr. DONG Zenghe, Mr. ZHAO Dongji, Ms. HUANG He and Ms. TANG Hua are non-executive directors; and Mr. ZHOU Bajun, Mr. XIE Rong, Mr. YU Tze Shan Hailson and Mr. LO Wing Yat are independent non-executive directors.