JOINDER AGREEMENT
 
This Joinder Agreement, made and effective as of June 27, 2007, is entered into
by and among the undersigned individuals or entities identified as the
“Purchasers” below, American Dairy, Inc., a Utah corporation (the “Company”),
the entities identified as the “Group Companies” below, and Leng You-Bin and Liu
Hua (the “Controlling Shareholders”).
 
WHEREAS, each of the Purchasers is a holder of the Company’s 7.75% Convertible
Notes due October 2, 2009 (the “Convertible Notes”), which were issued and sold
pursuant to that certain Subscription Agreement, dated October 2, 2006 (the
“Subscription Agreement”), by and among the Company and each of the Subscribers
named therein;
 
WHEREAS, pursuant to Section 7(m) of the Subscription Agreement, each Purchaser
has a right of first refusal to participate in any subsequent offerings of
securities by the Company, subject to the terms and conditions set forth
therein;
 
WHEREAS, pursuant to an Amended and Restated Notes Purchase Agreement, dated
June 1, 2007 (the “Purchase Agreement”), by and among the Company, the Group
Companies, the Controlling Shareholders and Citadel Equity Fund Ltd.
(“Citadel”), the Company agreed to issue up to $80,000,000 in aggregate
principal amount of Guaranteed Senior Secured Convertible Notes due 2012 (the
“Secured Notes”), of which Citadel has heretofore purchased $60,000,000 in
aggregate principal amount;
 
WHEREAS, the Purchasers have duly exercised their Prior ROFR (as defined in and
contemplated by the Purchase Agreement) pursuant to Section 7(m) of the
Subscription Agreement; and
 
WHEREAS, the parties hereto wish to set forth certain mutual agreements and
understandings with respect to the Purchasers’ purchase of the Secured Notes and
to provide for the Purchasers to be joined as parties to and/or beneficiaries of
the Purchase Agreement and other agreements contemplated thereby.
 
NOW, THEREFORE, in consideration of the foregoing and for other good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto do hereby agree as follows:
 
1. The Purchasers are concurrently herewith purchasing $20,000,000 in aggregate
principal amount of Secured Notes, in accordance with and as contemplated by the
terms of the Purchase Agreement.
 
2. The Company, the Group Companies and the Controlling Shareholders on the one
hand, and the Purchasers on the other hand, do hereby acknowledge and agree that
by purchasing the Secured Notes and entering into this Joinder Agreement, each
Purchaser shall be, and hereby is, (a) entitled to all of the rights, privileges
and benefits, and bound by all of the duties and obligations, of any purchaser
of Secured Notes pursuant to the Purchase Agreement, (b) entitled to all of the
rights, privileges and benefits, and bound by all of the duties and obligations,
applicable to a holder of the Secured Notes pursuant to the Registration Rights
Agreement, dated as of June 1, 2007 and entered into pursuant to the Purchase
Agreement, and all references in the Registration Rights Agreement to the
“Purchaser” shall be deemed to include the Purchasers as defined in this Joinder
Agreement (provided that all obligations thereunder shall be several and not
joint among the beneficiaries thereof), and (c) entitled to all of the rights,
privileges and benefits, and bound by all of the duties and obligations,
applicable to a holder of the Secured Notes pursuant to the Investor Rights
Agreement, dated as of June 1, 2007 and entered into pursuant to the Purchase
Agreement, provided, and the Company hereby acknowledges, that the rights (which
are applicable to all holders of Secured Notes on a pro rata basis in accordance
with their respective holdings thereof) set forth in Section 3 of the Investor
Rights Agreement are in all respects subject to the existing rights of the
Purchasers pursuant to Section 7(m) of the Subscription Agreement for so long as
Convertible Notes remain outstanding.

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3. The Company and Leng You-Bin hereby acknowledge and agree that the
Purchasers, as holders of Secured Notes being issued pursuant to the Other
Indenture (as such term is defined in the Indenture dated June 1, 2007 between
the Company, the Guarantor (as defined therein) and The Bank of New York, as
trustee (the “Citadel Indenture”)), are entitled to all rights, privileges and
benefits granted to the Secured Parties under, and in accordance with, the Share
Pledge Agreement dated as of June 1, 2007, by and among Leng You-Bin, the
Company and the Collateral Agent, as named therein.
 
4. The Company hereby acknowledges and agrees that it will not issue, or take
any action to cause the issuance of, any additional Secured Notes pursuant to
Section 2.11 of the Citadel Indenture.
 
5. This Joinder Agreement shall be governed by, and construed in accordance
with, the laws of the State of New York.
 
This Joinder Agreement may be executed in any number of counterparts, each of
which shall be deemed to be an original, but all of which shall constitute one
and the same agreement.

[Signatures on Following Pages]
 

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IN WITNESS WHEREOF, the undersigned parties have executed this Joinder Agreement
as of the date first above written.
 

       
“PURCHASERS”
     
“COMPANY”
     
AMERICAN DAIRY, INC.
 
   
   
  By:  
/s/ Leng You-Bin
 

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Name: Leng You-Bin
Title: Chief Executive Officer
   

 

       
“GROUP COMPANIES”
      AMERICAN FLYING CRANE CORPORATION  
   
   
  By:  
/s/ Leng You-Bin
 

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Name: Leng You-Bin
Title: Chief Executive Officer
LANGFANG FEIHE DAIRY COMPANY LIMITED
   

 

      By:  
/s/ Leng You-Bin
 

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Name: Leng You-Bin
Title: Legal Representative
   

 

       
GANHAN FEIHE DAIRY COMPANY LIMITED
 
   
   
  By:  
/s/ Leng You-Bin 
 

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Name: Leng You-Bin
Title: Legal Representative
   

 

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SHANXI FEIHESANTAI BIOTECHNOLOGY
SCIENTIFIC AND COMMERCIAL CO.,
 LIMITED
 
   
   
  By:  
/s/ Leng You-Bin 
 

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Name: Leng You-Bin 
Title: Legal Representative
   

 

       
HEILONGJIANG FEIHE DAIRY CO., LIMITED
 
   
   
  By:  
/s/ Leng You-Bin 
 

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Name: Leng You-Bin
Title: Legal Representative
   

 

       
BAIQUAN FEIHEI DAIRY CO., LIMITED
 
   
   
  By:  
/s/ Leng You-Bin 
 

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Name: Leng You-Bin
Title: Legal Representative
 

 

       
BEIJING FEIHE BIOTECHNOLOGY
SCIENTIFIC AND COMMERCIAL CO.,
LIMITED
 
   
   
    By:  
/s/ Leng You-Bin
 

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Name: Leng You-Bin 
Title: Legal Representative
   

       
“CONTROLLING SHAREHOLDERS”
 
   
   
  By:   /s/ Leng You-Bin   

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Leng You-Bin
      /s/ Liu Hua   

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Liu Hua
   

 

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