THE YEAR ENDING 31 MARCH 2010

We refer to the announcements released by China Milk Products Group Limited (the

"Company")

Company’s Convertible Bonds.on 5 January 2009 and 12 February in relation to the early redemption of the

Unaudited third quarter and nine months financial statements and dividend

announcement for the year ending 31 march 2010

In view of the current circumstances, the Board of Directors (the "

update Shareholders that the Company may not be able to release its unaudited third quarter

and nine months financial statements and dividend announcement for the year ending 31

march 2010 (“

announcement of interim financial results as stated in the Listing Manual of the Singapore

Exchange Securities Trading Limited (“

Accordingly, the Company has applied to the SGX-ST for an extension of time (up to an

additional 30 days) for the release of the Q3 Financial Statements, on the following grounds:

1. Board") would like toQ3 Financial Statements”) before 15 February 2010, being the deadline forSGX-ST”).Absence of a Chief Financial Officer

1.1 As announced on 1 February 2010, the former Chief Financial Officer ("

the Company, Mr. Martin Choi, had resigned from the Company with effect from 31

January 2010. While the Chief Executive Officer of the Company, Mr. Liu Hai Long,

has assured the Audit Committee that the Finance Department of the Company is

functioning as usual and has accordingly prepared the Q3 Financial Results for

release, the Audit Committee notes that the same has not been previously reviewed

by the former CFO or someone familiar with the international financial reporting

standards. The rather abrupt departure of the former CFO and at a time when it is so

close to the Q3 Financial Results announcement deadline did not allow the Company

to have sufficient time to engage a replacement CFO or to arrange for alternative

reviews of the Q3 Financial Results.

2. CFO") ofReconstituted Audit Committee requires additional time to review

2.1 As announced earlier, Mr Sum Yee Loong (“

the Company and Chairman of the Audit Committee, had also resigned from the

Company. The Board of Directors of the Company has since, on the recommendation

of the Nominating Committee, appointed Mr Lai Seng Kwoon (“

Board of Directors as an Independent Director. Following this, the Audit Committee,

Nominating Committee and Remuneration Committee have each been reconstituted,

with Mr Lai taking over the positions vacated by Mr Sum.

2.2 In view of the reconstitution of the Audit Committee and the Board and in the light of

the current circumstances of the Company (including the absence of a CFO and the

Company's inability to meet its obligations arising from the early redemption of its

Convertible Bonds), the reconstituted Audit Committee would require more time to

fully understand the financial affairs of the Company to enable the Board to provide

the necessary negative assurance on the Q3 Financial Results.

2.3 The Independent Directors have further noted that the Management of the Company

could not now give an unequivocal confirmation as to whether, when and how the

Company will be meeting its payment obligations under the Convertible Bonds when

the earlier impressions given to the Board was that the Company is in a position to do

so save for some procedural matters. This fortifies the Audit Committee's resolve to

approach the Management's representations on the Company's financial position with

more caution to ensure that the Q3 Financial Results when announced are not

inaccurate or misleading in any way.Mr Sum”), an Independent Director ofMr Lai”) to the

On-going Discussions with Management

The Independent Directors of the Company wish to state that they are extremely concerned

over the state of affairs and the unexpected developments. They are and have been in

discussions with the Management to be apprised of the latest developments and affairs of the

Company, with a view to updating Shareholders as and when appropriate. However, given the

Chinese New Year holidays, some delay in response is expected.

Suspension of Trading

In view of the current circumstances, including the Company’s delay in the release of the Q3

Financial Statements, the Board of Directors is of the view that it would be prudent not to

request for a lifting of the trading halt and instead to suspend trading of the Company's shares

for the time being.

We will provide further updates via announcements, as and when appropriate.

Shareholders and potential investors are strongly advised to exercise caution when

dealing with the shares of the Company, particularly, in view of the default by the

Company in meeting its payment obligations under the Convertible Bonds on time.

When in doubt, Shareholders and potential investors are advised to seek independent

advice from their bankers, stockbrokers, solicitors or other professional advisers.

CHINA MILK PRODUCTS GROUP LIMITED

LIU HAILONG

CHIEF EXECUTIVE OFFICER

12 February 2010