Center Of Excellence Manufacturing

An architectural drawing of our new pharmaceutical plant in Shenyang China. Construction began Fall of 2003 and was completed in December 2004.  Shenyang Plant Photos

AXM plans to build on its technological excellence by concentrating on products that have large potential markets but are technically more demanding in their manufacturing process. This strategy will greatly limit the number of potential competitors and help AXM maintain higher profit margins. AXM anticipates attempting to introduce up to eight new products each year, of which at least five will have significant intellectual property protection. The new to-be-built AXM facilities are anticipated to comply with US GMP standards upon completion of the anticipated construction program by the end of 2004. In addition to greatly raising the technological proficiency of the AXM facilities, the production capacity will be increased. Germ-free oral liquid production capacity, freeze dried powder production capacity to be taken after mixing with liquid, will be dramatically increased by early 2004. These production goals are expected to be increased further with the introduction of new products from the AXM research facility and from the acquisition by AXM Pharma of Chinese manufacturing and marketing rights for North American prescription grade drugs, medicines and OTC products that in some cases will utilize the Company's L-Ephedrine and pseudoephedrine raw materials as a key ingredient. This vertical integration of the Company's raw material production and new product offerings is anticipated to increase gross margins in late 2004 and beyond.