Document:

Pharmaceutical Product Development, Inc. Employee Stock Purchase Plan

 EXHIBIT 10.86 
 PHARMACEUTICAL PRODUCT DEVELOPMENT, INC. 
 EMPLOYEE STOCK PURCHASE PLAN 
 Statement of Purpose 
 The Company
sponsors the Pharmaceutical Product Development, Inc. Employee Stock Purchase Plan (the “Plan”) in order to provide eligible employees with the opportunity to purchase shares of the common stock of the Company and to thereby share in the
continued growth and success of the Company. 
 NOW, THEREFORE, for the purposes aforesaid, the Company hereby amends and restates the Plan
effective May 17, 2006 to consist of the following Articles I through VIII: 
 ARTICLE I 
 NAME, PURPOSE, CONSTRUCTION AND DEFINITIONS 
 Section 1.1. Name. The Plan shall be known as the “Pharmaceutical Product Development, Inc. Employee Stock Purchase Plan.” 
 Section 1.2. Purpose. The purpose of the Plan is to provide Participants in the Plan with an opportunity to purchase Common Stock in the
Company through payroll deductions and other contributions, thereby encouraging Participants to share in the economic growth and success of the Company through stock ownership. 
 Section 1.3. Construction. Article, Section and paragraph headings have been inserted in the Plan for convenience of reference only and are
to be ignored in any construction of the provisions hereof. If any provision of the Plan shall be invalid or unenforceable the remaining provisions shall nevertheless be valid, enforceable and fully effective. It is the intent that the Plan shall at
all times constitute an “employee stock purchase plan” within the meaning of 

 Section 423(b) of the Code, and the Plan shall be construed and interpreted to remain such. The Plan shall be
construed, administered, regulated and governed by the laws of the United States to the extent applicable, and to the extent such laws are not applicable, by the laws of the State of North Carolina. 
 Section 1.4. Definitions. Whenever used in the Plan, unless the context clearly indicates otherwise, the following terms shall have the
following meanings: 
 (a) Beneficiary, with respect to a Participant, means such Participant’s
“Beneficiary” under the group term life insurance plan maintained by the Company. 
 (b) Board or
Board of Directors means the Board of Directors of the Company or any Committee or Committees of said Board of Directors of the Company to which, and to the extent, said Board of Directors of the Company has delegated some or all of
its power, authority, duties or responsibilities with respect to the Plan. 
 (c) Code means the Internal Revenue Code
of 1986, as the same may be amended from time to time, and references thereto shall include the valid Treasury regulations issued thereunder. 
 (d) Committee means the “Committee” as defined under the Retirement Savings Plan which is responsible for the administration of the Plan in accordance with Article VI hereof. 
 (e) Common Stock means shares of the $0.05 par value common stock of the Company and any other stock or securities resulting
from the adjustment thereof or substitution therefor as described in Section 3.4. 
 (f) Company means
Pharmaceutical Product Development, Inc., a North Carolina corporation. 
 (g) Compensation means a Participant’s
base salary or wages, and shall not include any bonuses, commissions, overtime or other pay. 
 (h) Effective Date
means July 1, 1997. 
 (i) Employee means a person employed by the Company. In addition, the employees of the
Company’s subsidiaries which the Company designates in its sole and exclusive discretion as participating subsidiaries for purposes of this Plan shall also be considered Employees for purposes of this Plan. 

 (j) Fair Market Value, with respect to a share of Common Stock from time
to time, means (i) if the Common Stock is traded on the National Market System, the closing price of the Common Stock for the applicable date, as published in the NASDAQ National Market Issues report in the Eastern Edition of The Wall Street
Journal, (ii) if the Common Stock is not traded on the National Market System but such Common Stock is listed on a national securities exchange, the mean between the highest price and the lowest price at which the Common Stock shall have
been sold regular way on a national securities exchange on the applicable date during an Offering Period or, if there are no sales on said date, then on the next preceding date on which there were sales of Common Stock, (iii) if the Common
Stock is not traded on the National Market System or listed on a national securities exchange, the mean between the bid and asked prices last reported by the National Association of Securities Dealers, Inc. for the over-the-counter market on the
applicable date during an Offering Period or, if no bid and asked prices are reported on said date, then on the next preceding date on which there were such quotations, or (iv) if the Common Stock is not traded on the National Market System or
listed on a national securities exchange and quotations for the Common Stock are not reported by the National Association of Securities Dealers, Inc., the fair market value determined by the Committee on the basis of available prices for the Common
Stock or in such manner as the Committee shall agree. 
 (k) Offering means the offering of shares of Common Stock to
Participants pursuant to this Plan that occurs on each Offering Date. 
 (l) Offering Date means July 1, 1997
and each succeeding January 1 and July 1. 
 (m) Offering Period means the period from an Offering Date
through the immediately succeeding Offering Date. 
 (n) Participant means an Employee who has become a Participant
pursuant to Section 2.2 of the Plan. 
 (o) Plan means the Pharmaceutical Product Development, Inc. Employee Stock
Purchase Plan, as set forth herein, together with any and all amendments thereto. 

 (p) Retirement Savings Plan means The Pharmaceutical Product Development, Inc.
Retirement Savings Plan as in effect from time to time. 
 (q) Stock Purchase Account, with respect to a
Participant, means the account established on the books and records of the Company for such Participant representing the payroll deductions credited to such account in accordance with the provisions of the Plan. 
 ARTICLE II 
 PARTICIPATION

 Section 2.1. General. No person shall become a Participant unless or until such person is or becomes an Employee and upon or
following satisfaction of the eligibility requirement set forth in the Plan. In addition, in no event shall any person be eligible to participate in the Plan before the Effective Date. 
 Section 2.2. Participation Requirements. 
 (a) Eligibility Requirement. An Employee shall satisfy the eligibility requirement for the Plan on the date the Employee is first employed by the Company, subject to the provisions of Section 2.2(c)
below. 
 (b) Commencement of Participation. Each person who satisfies the eligibility requirement of Section 2.2(a) on
or before the Effective Date shall become a Participant in the Plan: 
 (1) on the Offering Date coinciding with the Effective
Date, if such person is an Employee on such Offering Date; or 
 (2) if such person is not an Employee on such Offering Date,
then on the first Offering Date coinciding with or next following the date (if any) on which such person again becomes an Employee after the Effective Date. 
 Each person who satisfies the eligibility requirement of Section 2.2(a) after the Effective Date shall become a Participant in the Plan: 
 (1) on the first Offering Date after such person satisfies the eligibility requirement, if such person is an Employee on such Offering Date; or 
 (2) if such person is not an Employee on such Offering Date, then on the first Offering Date coinciding with or next following the date
(if any) on which such person again becomes an Employee. 

 (c) Exclusions. Notwithstanding any provision of the Plan to the contrary, in no event shall the
following persons be eligible to participate in the Plan: 
 (1) Any Employee whose customary employment with the Company is
twenty (20) hours or less per week; or 
 (2) Any Employee whose customary employment with the Company is for not more
than five (5) months in any calendar year. 
 In addition, an Employee whose employment with the Company commences on or after the first
day of the calendar month immediately preceding the beginning of an Offering Period shall not be eligible to participate in the Plan with respect to that Offering Period, but shall be eligible to participate in any subsequent Offering Periods so
long as the Employee is not otherwise excluded from participation under this Section 2.2(c). 
 Section 2.3.
Eligibility of Former Participants. If a person terminates employment with the Company after becoming a Participant and subsequently resumes employment with the Company, such person shall again become a Participant on the
Offering Date coinciding with or next following such resumption of employment with the Company without having to satisfy again the eligibility requirement of Section 2.2(a). 
 ARTICLE III 
 OFFERING OF COMMON STOCK 
 Section 3.1. Reservation of Common Stock. The Board of Directors has reserved four million five-hundred thousand
(4,500,000) shares of Common Stock for the Plan, subject to adjustment in accordance with Section 3.4. The aggregate number of shares of Common Stock which may be purchased under the Plan by Participants shall not exceed four million
five-hundred thousand (4,500,000) shares, subject to adjustment in accordance with Section 3.4. 
 Section 3.2.
Offering of Common Stock. 
 (a) General. Subject to Section 3.2(b), each Participant in the Plan on an
Offering Date shall be entitled to purchase shares of Common Stock on the last day of the Offering Period beginning with such Offering Date with the amounts deducted from such Participant’s Compensation pursuant to Article IV. The purchase
price for such shares of Common Stock shall be determined under Section 3.3. 

 (b) Limitations. Notwithstanding Section 3.2(a), the maximum number of shares of Common Stock
a Participant may purchase pursuant to an Offering under Section 3.2(a) shall be subject to the following limitations: 
 (1) If as of the Offering Date for such Offering such Participant owns (including stock which such Participant is considered to own under Section 425(d) of the Code) stock (including the Common Stock such Participant would be entitled
to purchase pursuant to an Offering) possessing five percent (5%) or more of the total combined voting power or value of all classes of stock of the Company, then the maximum number of shares of Common Stock such Participant may purchase
pursuant to such Offering shall be reduced so that the number of shares of Common Stock such Participant may purchase pursuant to such Offering when added to the number of shares of stock of the Company such Participant owns (including stock which
such Participant is considered to own under Section 425(d) of the Code) (excluding the Common Stock such Participant would be entitled to purchase pursuant to such Offering) is less than five percent (5%) of the total combined voting power
or value of all classes of stock of the Company; and 
 (2) If such Participant could acquire within the same calendar year as
an Offering shares of stock of the Company under all “employee stock ownership plans” within the meaning of Section 423(b) of the Code sponsored by the Company (including the Common Stock such Participant would be entitled to purchase
pursuant to such Offering) having a total fair market value (determined as of the date of such Offering) which exceeds Twenty-Five Thousand Dollars ($25,000), then the maximum number of shares such Participant may purchase pursuant to such Offering
shall be reduced so that such total fair market value does not exceed Twenty-Five Thousand Dollars ($25,000); and 
 (3) In no
event may the total number of shares of Common Stock that may be purchased by Participants for any Offering Period exceed the lesser of (A) an amount that the Board of Directors may, in its sole and exclusive discretion, establish from time to
time (expressed as a number of shares or a dollar amount of payroll deductions, as determined by the Board of Directors) or (B) the total remaining shares available pursuant to Section 3.1. In the event that the total number of shares of
Common Stock to be purchased for an Offering Period would otherwise exceed the limit set forth in the preceding sentence, the Committee shall reduce shares to be purchased by payroll deductions for such Offering Period pro rata (based on the
relative levels of payroll deductions) among all Participants who have made such payroll deductions. 
 Section 3.3.
Determination of Purchase Price for Offered Common Stock. The purchase price per share of the shares of Common Stock offered to Participants pursuant to an Offering shall be equal to ninety percent (90%) of
the lesser of: 
 (a) the Fair Market Value of a share of Common Stock as of the first day of the Offering Period for such
Offering; or 

 (b) the Fair Market Value of a share of Common Stock as of the last day of the Offering
Period for such Offering; provided, however, that in no event shall the purchase price be less than the par value of a share of Common Stock. 
 Section 3.4. Effect of Certain Transactions. The number of shares of Common Stock reserved for the Plan pursuant to Section 3.1 and the determination under Section 3.3 of the
purchase price per share of the shares of Common Stock offered to Participants pursuant to an Offering shall be appropriately adjusted to reflect any increase or decrease in the number of issued shares of Common Stock resulting from a stock split, a
consolidation of shares, the payment of a stock dividend or any other capital adjustment affecting the number of issued shares of Common Stock. In the event that the outstanding shares of Common Stock shall be changed into or exchanged for a
different number or kind of shares of stock or other securities of the Company or another corporation, whether through reorganization, recapitalization, merger, consolidation or otherwise, then there shall be substituted for each share of Common
Stock reserved for issuance under the Plan but not yet purchased by Participants, the number and kind of shares of stock or other securities into which each outstanding share of Common Stock shall be so changed or for which each such share shall be
exchanged. 
 ARTICLE IV 
 PAYROLL DEDUCTIONS 
 Section 4.1. Payroll Deduction Elections. A Participant in the Plan (or a
person who will become a Participant in the Plan on the next Offering Date if such person is an Employee on such Offering Date) who wishes to purchase shares of Common Stock to be offered to such Participant on the next Offering Date shall elect to
have the Company deduct from the Compensation payable to such Participant during the Offering Period beginning on such Offering Date an amount expressed as a percentage (between 1% and 15%, as elected by the Participant in whole percentages) of the
Participant’s rate of base salary or wages in effect as of the first day of the second calendar month immediately preceding the Offering Period. Such election shall be made by delivering to the Committee during the enrollment period established
by the Committee prior to such Offering Date a written direction to make such deductions. Such election shall become effective as of the first day of such Participant’s first pay period that begins on or after 

 such Offering Date and shall remain effective for each successive pay period during the Offering Period and during each
successive Offering Period until changed or terminated pursuant to this Article IV; provided, however, that the amount to be deducted for each successive Offering Period shall be re-determined based on the Participant’s rate
of base salary or wages in effect as of the first day of the second calendar month immediately preceding each such Offering Period. 
 Section 4.2. Election to Increase or Decrease Payroll Deductions. A Participant who has a payroll deduction election in effect under Section 4.1 for an Offering Period may not increase such
payroll deduction election during such Offering Period, but may increase such payroll deduction election effective with any subsequent Offering Period. Subject to Section 4.5, a Participant who has a payroll deduction election in effect under
Section 4.1 may prospectively decrease during an Offering Period the dollar amount of the deductions being made by the Company from such Participant’s Compensation (including a decrease to zero (0)) by delivering to the Committee a written
direction to make such change. Such change shall become effective as soon as practical after the Committee’s receipt of such written direction and shall remain in effect until changed or terminated pursuant to this Article IV. 
 Section 4.3. Termination of Election Upon Termination of Employment. The termination of employment of a Participant
with the Company for any reason shall automatically terminate the election (if any) of such Participant to have amounts deducted from such Participant’s Compensation pursuant to this Article IV that is then in effect. Such termination shall be
effective immediately following the pay period during which such termination of employment occurs, but shall not affect the deduction from Compensation for that pay period. 
 Section 4.4. Change or Termination Not Retroactively Effective. Neither the change nor the termination of any election to
have amounts deducted from Compensation under this Article IV shall decrease or otherwise affect the deduction from the Compensation of a Participant for any pay period ending prior to the effective date of such change or termination. 
 Section 4.5. Form, Timing and Frequency of Elections. Any written direction by any Participant with respect to any
deductions from Compensation pursuant to this Article IV shall be on a form furnished by the Committee for such purpose and shall be made by such Participant’s completing, signing and filing such form with the Committee in the manner prescribed
from time to time by the Committee. A Participant shall be permitted to decrease the 

 percentage amount of the deductions being made by the Company from such Participant’s Compensation only once during
an Offering Period; provided, however, a Participant may terminate the deductions being made by the Company from such Participant’s Compensation at any time during an Offering Period notwithstanding any prior change in the amount
of such Participant’s Compensation deductions during such Offering Period. 
 ARTICLE V 
 STOCK PURCHASE ACCOUNTS AND PURCHASE OF COMMON STOCK 
 Section 5.1. Stock Purchase Accounts. A Stock Purchase Account shall be established and maintained on the books and records of the
Company for each Participant. Amounts deducted from a Participant’s Compensation or otherwise contributed by the Participant pursuant to Article IV shall be credited to such Participant’s Stock Purchase Account. No interest or other
increment shall accrue or be payable to any Participant with respect to any amounts credited to such Stock Purchase Accounts. All amounts credited to such Stock Purchase Accounts shall be withdrawn, paid or applied toward the purchase of Common
Stock pursuant to the provisions of this Article V. 
 Section 5.2. Purchase of Common Stock. 
 (a) General. As of the last day of each Offering Period, the amount to the credit of a Participant in such Participant’s Stock Purchase
Account shall be used to purchase from the Company on such Participant’s behalf the largest number of whole and fractional shares of Common Stock which can be purchased at the price determined under Section 3.3 with the amount then
credited to such Participant’s Stock Purchase Account subject to the limitations set forth in Article III on the maximum number of shares of Common Stock such Participant may purchase. As of such date, such Participant’s Stock Purchase
Account shall be charged with the aggregate purchase price of the shares of Common Stock purchased on such Participant’s behalf. 
 (b)
Issuance of Common Stock. The shares of Common Stock purchased for a Participant on the last day of an Offering Period shall be deemed to have been issued by the Company for all purposes as of the close of business on such
date. Prior to such date, none of the rights and privileges of a shareholder of the Company shall exist with respect to such shares of Common Stock. As soon as practicable after such date, the Company shall issue and deliver, or shall cause its
stock transfer agent to issue and deliver, a certificate for the number of shares of Common Stock purchased for a Participant on such date, which such certificate shall be issued in the Participant’s name. 

 (c) Insufficient Common Stock Available. If as of the last day of any Offering
Period, the aggregate Stock Purchase Accounts available for the purchase of shares of Common Stock pursuant to Section 5.2(a) would purchase a number of shares of Common Stock in excess of the number of shares of Common Stock then available for
purchase under the Plan, (i) the number of shares of Common Stock which would otherwise be purchased for each Participant on such date shall be reduced proportionately to the extent necessary to eliminate such excess, (ii) the remaining
balance to the credit of each Participant in each such Participant’s Stock Purchase Account shall be distributed to each such Participant and (iii) the Plan shall terminate automatically upon the distribution of the remaining balance in
such Stock Purchase Accounts. 
 Section 5.3. Withdrawal From Plan Prior to Purchase of
Common Stock. In the event (i) a Participant terminates employment with the Company for any reason during an Offering Period, or (ii) a Participant terminates deductions from such Participant’s Compensation pursuant to
Article IV during an Offering Period and such Participant elects to withdraw in writing from the Plan, then the entire amount to the credit of such Participant in such Participant’s Stock Purchase Account shall be distributed to such
Participant (or if such Participant is deceased, to such Participant’s Beneficiary) as soon as administratively practicable after such termination of employment or withdrawal (as the case may be). If a Participant terminates deductions from
such Participant’s Compensation pursuant to Article IV during an Offering Period but such Participant does not elect to withdraw in writing from the Plan, the amount to the credit of such Participant in such Participant’s Stock Purchase
Account shall be used to purchase shares of Common Stock for such Participant as of the last day of such Offering Period to the extent provided in Section 5.2(a) and the remaining balance in such Participant’s Stock Purchase Account shall
be distributed to such Participant as soon as administratively practicable. Notwithstanding the preceding sentence, if a Participant terminates deductions from such Participant’s Compensation pursuant to Article IV during an Offering Period and
the amount to the credit of such Participant in such Participant’s Stock Purchase Account upon such termination of Compensation deductions does not exceed One Hundred Dollars ($100.00), then such Participant shall be deemed to have withdrawn
from the Plan upon such termination of Compensation deductions for purposes of this Section 5.3. 

 ARTICLE VI 
 COMMITTEE 
 Section 6.1. Organization of Committee. The Committee for purposes
of the Plan shall be the “Committee” as defined under the Retirement Savings Plan. The Committee may appoint such agents, who need not be members of the Committee, as it may deem necessary for the effective performance of its duties, and
may delegate to such agents such powers and duties, whether administerial or discretionary, as the Committee may deem expedient or appropriate. The Committee shall act by majority vote and may adopt such bylaws, rules and regulations as it deems
desirable for the conduct of its affairs. 
 Section 6.2. Powers of Committee. The Committee shall administer the Plan.
The Committee shall have all powers necessary to enable it to carry out its duties under the Plan properly. Not in limitation of the foregoing, the Committee shall have the power to construe and interpret the Plan and to determine all questions that
shall arise thereunder. It shall decide all questions relating to eligibility to participate in the Plan and to purchase Common Stock under the Plan. The Committee shall have such other and further specified duties, powers, authority and discretion
as are elsewhere in the Plan either expressly or by necessary implication conferred upon it. The decision of the Committee upon all matters within the scope of its authority shall be final and conclusive on all persons, except to the extent
otherwise provided by law. 
 Section 6.3. Expenses of Committee. The reasonable expenses of the Committee incurred by
the Committee in the performance of its duties under the Plan, including without limitation reasonable counsel fees and the expenses of other agents, shall be paid by the Company. 
 Section 6.4. Indemnification of Committee. To the extent permitted by applicable law, the Company shall indemnify and hold harmless
each member of the Committee from and against any and all liability, claims, demands, costs and expenses (including the costs and expenses of attorneys incurred in connection with the investigation or defense of claims) in any manner connected with
or arising out of any actions or inactions in connection with the administration of the Plan except for such actions or inactions which are not in good faith or which constitute willful misconduct. 

 ARTICLE VII 
 AMENDMENT AND TERMINATION 
 Section 7.1. Amendment of Plan. The Company expressly
reserves the right, at any time and from time to time, to amend in whole or in part any of the terms and provisions of the Plan for whatever reason(s) the Company may deem appropriate. The Company shall require shareholder approval of any such
amendment to the extent the Company determines that shareholder approval is required by applicable law. 
 Section 7.2. Termination
of Plan. The Company expressly reserves the right, at any time and for whatever reason it deems appropriate, to terminate the Plan. Upon any termination of the Plan, the entire amount credited to the Stock Purchase Account of each Participant
shall be distributed to each such Participant. 
 Section 7.3. Effective Date and Procedure for Amendment or Termination. Any
amendment to the Plan or termination of the Plan may be retroactive to the extent not prohibited by applicable law. Any amendment to the Plan or termination of the Plan shall be made by the Company by resolution of the Board of Directors and shall
not require the approval or consent of any Participant or Beneficiary in order to be effective. 
 ARTICLE VIII 
 MISCELLANEOUS 
 Section 8.1.
Transferability of Rights. To the extent permitted by law, rights to purchase shares of Common Stock are exercisable only by the Participant to whom such rights are granted and are not transferable by such Participant other than by
will or the laws of descent and distribution. 
 Section 8.2. No Employment Rights. Participation in the Plan shall not
give any employee of the Company any right to remain in the employ of the Company or upon termination of employment, any right or interest in the Plan except as expressly provided herein. 
 Section 8.3. Compliance with Law. No shares of Common Stock shall be issued under the Plan prior to compliance by the Company to
the satisfaction of its counsel with any applicable laws. 

 Section 8.4. Repurchase of Common Stock. The Company shall not be required to
repurchase from any Participant any shares of Common Stock which such Participant acquires under this Plan.Genex Pharmaceutical, Inc. - Exhibit 10.1 - Prepared By TNT Filings Inc.

 

Contract for Management Service 

This Contract for Management Services (this "Contract") is made as of June
17, 2004 in Tianjin, China by the following parties: 

TIANJIN ZHONGJIN BIOLOGY DEVELOPMENT CO., LTD. 
(hereinafter referred to as the "Company"), an enterprise formed in accordance
with Chinese Laws, with a registered address of No. 1801 Guangyiun Building,
Youyibeilu, Hexi District, Tianjin, China. 

GENEX PHARMACEUTICAL, INC., formerly known as KS
E-MEDIA HOLDINGS, INC., a corporation formed pursuant to the laws of the
State of Delaware, United States of America (hereinafter referred to as
"Manager"), with a registered address of Corporation Trust Center, 1209 Orange
Street, Wilmington, Delaware, 19801, U.S.A. 

Whereas, the Company is an enterprise engaged in the business of producing
and distributing Reconstituted Bone Xenograft ("RBX") and matters related
thereto. 

Whereas, Manager is a corporation engaged in management, administration and
operation of businesses such as that engaged in by the Company. 

Whereas, the Company desires to engage Manager as the
exclusive provider of all management, administrative, operation, strategic
planning, training, consulting and similar business support services essential
and necessary for the management, administration and operation of the Company
(the "Management Services"), and Manager desires to accept such engagement. 

Now, therefore, through friendly negotiation, in line with the principle of
equality and mutual benefit, the parties agree as follows: 

Article 1. Service 

1-1  
Both parties agree that Manager shall serve as the exclusive provider of all
Management Services required in connection with the management, administration
and operation of the Company, including: 

(a) Providing
administration services to the Company, including comprehensive business
support, accounting and financial services, maintenance of business environment
and office equipment, employee training and administration of all Company
personnel related needs. 

(b) Providing management support of
daily operation of the Company, including 

1

production and distribution of RBX,
the formulation and upgrading of the management systems, provision and
implementation management policies, raw material procurement, equipment
maintenance and repair and all other operational activities. 

(c) Providing management consulting
services to the Company, including developing strategies, direction and scheme
planning, electric market investigation, formulation of long-range objectives,
feasibility analysis and other strategic planning initiatives. 

(d) All other Management Services
agreed to between the parties. 

1-2   The
Company and Manager agree that during the term of this Contract, the parties may
enter into additional specific service or support agreements that amend or
supplement this Contract, in order to further detail the Management Services
that will be provided by Manager to the Company, including identifying specific
management, operational or administrative issues applicable to the Company,
developing solutions for such issues and detailing how Manager will implement
such solutions. 

1-3   The
Company agrees that, during the term of this Contract, Manager will be the
exclusive provider of Management Service to the Company. The Company will not
engage any third party to provide services similar to the Management Services.
Notwithstanding the foregoing, in no event will this Contract restrain or
restrict Manager from entering into similar agreements with or providing
management or other services to any third party, including providing management
or similar services to other power companies. 

Article 2. Term of Service 

2-1   The term of this
Contract is fifty years, valid from the effective date of the Contract. 

2-2  
Except as specifically provided in Article 8, the term of this Contract may not
be shortened, and this Contract may not be terminated prior to the end of the
term, without the prior written consent of Manager. 

2-3   The
term of this Contract may be renewed and extended by Manager, in its sole and
absolute discretion, and such renewal and extension shall be accepted by the
Company unconditionally on the same terms as are then currently agreed to
between the parties. 

Article 3. Service Fee 

3-1   The Company shall
pay the following fees to Manager in consideration for Manager providing the
Management Services according to this Contract. 

2

(a) Base Annual Fees 

The Company shall pay 1,000 yuan (RMB
) to Manager as a base annual fee for the Management Services. The basic annual
fee shall be paid equally in four quarterly installments of 250 yuan (RMB ____)
on or before each April 15th, July 15th, October 15th
and January 15th. The first payment covering the period from 17 June
2004 until the end of the second calendar quarter of 2006, will be made on or
before July 15, 2006. 

(b) Floating Fees 

In addition to the base annual fee
mentioned in clause (a) above, the Company shall pay to Manager a floating
service fee equal to the Company's gross revenues less its
gross expenses for each payment period. This floating fee
shall be determined on a quarterly basis and be paid within 15 days following
each calendar quarter, concurrently with the base annual fee. 

3-2   The
floating fee will be determined by Manager as part of the Management Services
provided to the Company. Concurrently with the payment of the base and floating
fees, Manager will provide to the Company a reasonably detailed schedule setting
forth the calculation of the Company's gross revenues and gross expense used in
calculating the floating fee. 

Article 4. General Obligations 

4-1   The Company shall
provide all information and support reasonably requested by Manager in
connection with providing the Management Services. 

4-2   The
Company shall take any and all actions, and obtain any required consents that
are necessary to approve or authorize this Contract and the payment of the base
and floating fees on a timely basis. 

4-3   The
Company agrees that during the term of this Contract, it will not enter into a
contract with any person or entity, other than Manager, for the provision of any
management, administrative, operational or other services of a nature similar to
the Management Services provided by the Manager under this Contract. 

4-4  
Manager shall provide all Management Services in a professional and workman like
manner and use commercially reasonably efforts to include within the Management
Services all services essential or necessary for management, administration and
operation of the Company. 

3

Article 5. Confidentiality 

5-1    Except as
required by law, each party (the "Receiving Party") shall keep strictly
confidential all information that the other party (the "Disclosing Party")
provides to Receiving Party under this Contract which is related to the
Company's business and/or the Management Services and which is also not
generally known to the public or otherwise required by law, rule or regulation
to be disclosed (hereinafter referred to as "Confidential Information"). Except
as required by law, without Disclosing Party's consent, the Receiving Party will
not disclose any Confidential Information to any third parties, except to the
extent necessary to provide the Management Services, and shall take appropriate
measure to make sure any employee, agent or other person to whom such
Confidential Information is disclosed keeps such Confidential Information
strictly confidential in a manner consistent with this Article 5. This clause
shall not prevent Receiving Party from revealing information known to Receiving
Party prior to the disclosure of such information by Disclosing Party. 

Article 6. Representations and Warranties 

6-1    The Company
represents and warrants to Manager as follows: 

6-1-1 The Company
is an organization that was established and exists legally according to Chinese
law. The Company has the capacity and power to enter into this Contract and
perform its obligations hereunder and has taken the necessary corporate actions
to authorize the execution and performance of this Contract. 

6-1-2  The individual signing this Contract on behalf of the Company has the
irrevocable, legal, intact authorization of the Company to sign this Contract on
its behalf. 

6-1-3 The Company has obtained all required consents, approvals and permits of third
parties and governmental agencies necessary to enter into this Contract and
perform its obligations hereunder. 

6-1-4  This Contract
constitutes the legal, valid and binding agreement of the Company, enforceable
against the Company in accordance with its terms. 

6-2      Manager represents
and warrants to the Company as follows: 

6-2-1 Manager
is an organization that was established and exists legally according to Delaware
law. Manager has the capacity and power to enter into this Contract and perform
its obligations hereunder and has taken the necessary corporate actions to
authorize the execution and performance of this Contract. 

4

6-2-2 The individual signing this
Contract on behalf of Manager has the irrevocable, legal, intact authorization
of Manager to sign this Contract on its behalf. 

6-2-3 Manager has
obtained all required consents, approvals and permits of third parties and
governmental agencies necessary to enter into this Contract and perform its
obligations hereunder. 

6-2-4 This Contract constitutes the
legal, valid and binding agreement of Manager, enforceable against Manager in
accordance with its terms. 

6-3     If either
party's representations or warranties are untrue, and as a result, the validity
or effectiveness of this Contract is challenged, such party shall compensate the
other party for any loss caused thereby. 

Article 7. Liability for Breach of Contract 

7-1   If
the Company has not paid the service charge to Manager on schedule, for each
overdue day, it shall pay penalties to Manager at 2.1/10000 (0.021%) of the
overdue payment. If any payment is more than 30 overdue days, Manager shall have
the right to cancel the Contract. 

Article 8. Termination of Contract 

8-1 This Contract may be amended or
terminated with the mutual written consent of the parties. 

8-2 If Manager
desires to terminate this Contract pursuant to Article 7 above, Manager shall
notify the Company of such termination in writing and such termination shall be
effective from the time of delivery. 

8-3 The termination of this
Contract shall not relieve any party who has breached this Contract from
liability resulting from such breach. 

Article 9. Force Majeure 

9-1  
Neither party shall be deemed to be in default on account of delays or failures
in performing its obligations hereunder due to any of the following causes: Acts
of God or public enemies, civil war, insurrections or riots, fires, floods,
explosions, earthquakes, epidemics or quarantine restrictions, any act of
government, governmental priorities, or due to any other cause to the extent it
is out of such party's control. If a party's performance is impacted by a force
majeure event, such party shall use commercially reasonably efforts to reduce
the impact of such event in a prompt and professional manner. 

5

Article 10. Notification and Service 

10-1 Any notice,
agreement, contract or other communication according to this Contract or sent
out or related to this Contract shall be in written form, and sent to the
following addresses or numbers, or other addresses or the numbers provided by
the parties. 

Company:

Address: 1801 Guangyium Building, Youyibeilu, Hexi District, Tianjin, China

Manager: 1801 Guangyium Building, Youyibeilu,

Address: Hexi District, Tianjin, China 

10-2 Any such
notice shall be effective upon receipt. Each party may change the applicable
address for such communications and notices by giving notice thereof to the
other party as provided herein. 

Article 11. Resolution of Disputes 

11-1 Both parties
shall attempt to solve any disputes arising hereunder through good faith private
negotiations. In the event such negotiations do not resolve such dispute within
30 days following the commencement of such negotiations, either party can submit
the dispute to the China International Economic and Trade Arbitration Commission
for arbitration in accordance with its then applicable arbitration rules. 

Article 12. Contract's Effectiveness and Miscellaneous 

12-1 The parties
agree that this Contract is the complete and exclusive statement of the
agreement between the parties, effective as of 17 June 2004 and which supersedes
all prior agreements, proposals, or understanding, oral or written, and all
other communications between the parties relating to the subject matter of this
Contract. This Contract can only be amended or modified by a written agreement
designated as an amendment hereto duly signed by persons authorized to sign
agreements on behalf of the parties. Any revision or complementary agreements
must be made in written form. 

12-2 Unless
otherwise stipulated in this Contract, the "day" in this Contract refers to
"Calendar day" and "working day" refers to normal business day of Commercial
Bank of China. 

6

12-3 Without the
consent of Manager, the Company may not assign any of its rights or obligations
hereunder to any third party. Manager may assign any or all of its rights or
obligations hereunder to any third party without the consent of the Company. 

12-3 This Contract is made in
quadruplicate and each Party shall hold two copies. This Contract shall be
deemed to have come into force and effect as of 17 June 2004. 

TIANJIN ZHONGJIN BIOLOGY DEVELOPMENT
CO., LTD. 

Signature of Representative: s/ Song Deshun               
 

19 May 2006 

GENEX PHARMACEUTICAL, INC. 

Signature of Representative: s/ Song Fuzhi                

19 May 2006 

7

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