Lingrui Pharma.: To Give Back to the Society with a Gratitude Heart

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The predecessor of Henan Lingrui Pharmaceutical Co., Ltd (hereafter referred as “Lingrui Pharma.”) is Antelope Mountain Pharmaceutical Factory of Xinyang City, Henan Province, which was a poverty alleviation enterprise through science and technology. It was founded in 1988 by the Poverty Alleviation and Development Team of the National Science and Technology Commission to support Xin County. In June 1992, the factory, with the Hong Kong Ruixing Enterprise Company, established the joint venture Lingrui Pharma. In 1999, the company completed joint-stock reform. In October 2000, it commenced official trading on the Shanghai Stock Exchange, thus becoming the first listed company of external plaster patches of the country.  

The headquarter of Lingrui Pharma. is located in the Xin County in the hinterlands of the Dabie Mountains, at the juncture of Hubei, Hunan, and Anhui Provinces. Over the past 20 years, the company has been committed to the mission of revitalizing the economy of this area. When the state launched its support and preferential policies, Lingrui seized the opportunity, through pioneering, innovative and pragmatic development, to expand from a workshop-style small factory deep in the mountains to a high-tech key enterprise in the “National Torch Program.” Now the company has more than ten sharing and holding subsidiaries located in Beijing, Changzhou, Zhengzhou, Xinyang etc., with a number of scientific research and production bases. With total assets equivalent to 1 billion RMB and annual profits exceeding 100 million RMB, the company has become the pillar of economic development in Xin County and even to an extent Xinyang, and ranked among the “Top 50 Traditional Chinese Medicine Enterprises.” The trademark “Lingrui” has been recognized as a “Famous Brand of China” by the State Administration of Industry and Commerce, thus becoming the first well-known trademark in the pharmaceutical plaster manufacturing industry of China. 

It is Lingrui’s creed that “the favor of a drop of water shall be returned with the gratitude of a burst from a spring.” Looking back at the past and into the future, its history has always been the inexhaustible motive for Lingrui to steadily take social responsibilities and actively participate in social welfare activities. The word “gratitude” has always been inseparable from the innovation and development process of Lingrui to create a pharmaceutical economy and promote local economic prosperity, integrate deeply with the blood of the Lingrui family, and become the unique cultural genes and spiritual traits that embody Lingrui Pharma. 

As Lingrui Pharma. continues to grow, it began to place more emphasis on the social attributes of enterprises, such as supporting local economic construction, promoting development of related industries, etc. The company moved its sales headquarters to Beijing, set up Import and Export Co., Ltd., holding or sharing more than 10 companies through equity participation, including Beijing Lingrui Hygiene Materials Co., Ltd., Wuhan Jianmin Pharmaceutical Group Co., Ltd., Henan Lingrui Health Supplements Co., Ltd., Henan Lingrui Biopharmaceutical Group Co., Ltd., Henan Lvda Camellia Oil Co., Ltd., etc. At the same time, Lingrui fully utilized local natural resources such as ginkgo, camellia, tea, etc., to develop a series of health supplements, guiding farmers to plant Chinese herbal medicines, cash trees, focusing on developing lucrative industries, to accelerate the transformation and evolution of its industrial structure, to establish complementary and extensive business structure, promoting new regional industrial construction, and drive other related industries such as local urban construction, real estate, postal services, telecommunications, tourism, catering, etc. Lingrui thus helped a large number of laid-off workers; migrant workers and other surplus labor forces were able to find new jobs and careers. “One new worker in the factory lifts an entire family out of poverty.” Lingrui thus indirectly provided tens of thousands of surplus laborers with employment opportunities, thus promoting local social stability.  

Public welfare is the first priority. Over the years, Lingrui has adhered to this creed by combining economic, political, as well as social responsibility together. While accelerating its own development at the same time, Lingrui has actively participated in social welfare undertakings, and promoted the harmonious development of enterprise and society hand in hand. 

Lingrui never forgets its roots; we constantly give back to the community and vigorously support the development of education. Due to various factors, Xin County of Henan Province, where the company’s headquarters are located, has always been a key county in the national poverty alleviation and development program. Zhouhe Township of Xin County is located in the Dabie Mountains. It's basic education conditions are quite dismal. In the “1+1 poverty alleviation project” of Xin County, Zhouhe Township is the unit-to-unit assistance-counterpart of Lingrui Pharma. to “Join, Help and Promote.” In 2011, Lingrui Pharma. along with its staff contributed more than 110 million RMB to build Lingrui Hope Primary School in Xiongwan Village to improve the learning conditions of poor students. 

The Lingrui Hope Primary School which has already completed and put into use covers an area of 7.5 acres, with the building area of more than 1, 500 square meters, a three-story teaching building, a two-story dormitory, 6 classes; ancillary facilities such as computer room, laboratory, reading room, sports field, green space, garden, the gate and fence are also completed all at once. The investment scale, the building design, the construction quality are all first class level in Xin County. The completion of this primary school not only provides an ideal and comfortable learning environment for the children in Xiongwan and surrounding villages, but also creates favorable conditions for Zhouhe Township to adjust the layout of its primaries school in the deep mountain area. The chairman of the board of Lingrui Pharma. Weizheng Xiong also set up a “Weizheng Scholarship” of 100, 000 RMB in the school. 

“It is our bound obligation to build Lingrui Hope Primary School, to improve the learning conditions of the children in the mountain area, and broaden their horizons. “ Weizheng Xiong said. 

Lingrui Pharma. also established a long-term contract with Lingrui Hope Primary School, and formulated a concrete subsidy plan, especially to those students with good grades but difficult family conditions. Although the students have already enjoyed the national subsidies for the impoverished, the tuition and other fees have been reduced, but there are still cases of dropping school due to the lack of school supplies and living expenses. The company regularly organizes the staff to learn about the teaching condition regularly, sends the school supplies to the children, and awards scholarships for the students with good grades, and organizes the employees of the company to instruct the students as young volunteer tutors from time to time. 

In recent years, Lingrui Pharma. established the “Lingrui Scholarship” in Guanghua School of Management of Peking University, School of Pharmacy of Henan University, School of Pharmacy of Zhengzhou University and Xinyang High School, Xin County High school,  and the Xin County Vocational High School. Through setting up "Lingrui scholarship", Lingrui carried out series of poverty alleviation and educational aid programs such as “Educational Aid in the Golden Autumn" and “Fulfilling the Dream of the Golden Autumn", providing millions of RMB to help outstanding students complete their studies. In June 2007, the company also donated 300,000 RMB to support the construction of Ganluo area in Sichuan to build Ganluo Ling Hope Primary School. 

Promoting regional poverty alleviation projects are another way that the Lingrui family gives back to society. Mass migration of lower-class workers are a unique phenomenon in China, an abnormal effect of the urban and rural divisions of the household registration system and employment system. A large group of migrant workers support the city’s production and construction; they take the grueling, painstaking and tiring jobs in the city’s operation in order to promote the prosperity of the city’s economy. China’s rapid economic and social development over the past 30 years has greatly benefited from the rural labor force. They entered the city, stepping into the factories, building skyscrapers, and providing a vast array of services. To maintain social stability, and in order to show compassion towards people’s livelihood from a humanitarian perspective, enterprises have the responsibility on them to show further concern for migrant workers. 

Give a man a fish and you feed him for a day; teach a man to fish and you feed him for a lifetime. With more than 830 million people, Xinyang is a large, agriculture-oriented city in Henan Province which took advantage of human resources to develop a labor-intensive economy. As the first listed company in Xinyang, Lingrui Pharma. pays special attention to the problems of the “three rural” (agriculture, rural areas, farmers), and vigorously supports the technical training of migrant workers, provide employment guidance and tracking services, and emphasizing the development of the labor-intensive economy. Employment is the livelihood of the country. For the migrant workers, employment is the realization of their self-worth, an important way to strive towards a better life and a fundamental way to improve it. In 2005, the company invested 300,000 RMB to support the local government of Xinyang to establish a Xinyang City Migrant Workers Poverty Alleviation Training School, to improve the skills of migrant workers and promote the cross-regional transfer of industry. 

In 1998, the biggest flood disaster of the century occurred in the Yangtze River Basin. Lingrui Pharma. wasted no time in committing medications worth 1.1 million RMB along with 6 million RMB in donations from employees to Huanggang of Hubei, an area severely affected by the disaster. Employee representatives were also hastily organized to go to Jingjiang Levee of Hubei to deliver condolences to the army officers and soldiers who combatted the flood on the front line. In May 2003, in the outbreak of “SARS”, Lingrui Pharma. donated medications worth more than 700, 000 RMB to the anti-SARS headquarters of Xin County and Xinyang City, the faculty and students of Xin County High School, Xin County Vocational High School and No. 1, No. 2 Secondary School of Xin County.  

In 2007, Lingrui Pharma. donated medications totaling more than 1,200, 000 RMB, to support “the road of heaven • love • infinite” event co-authored by the Chinese Patriotic Engineering Association, Tibet Ali Regional Administrative Office and the Beijing Ruomu Yu Charity Foundation. Tibet has been called “the ridge of the world”; “the road of heaven” means the road of Tibet, the highest altitude road in the world. “Love” represents charitable projects to contribute to the co-wellbeing of humans and the environment. Such love is “Infinite.”  In September of that year, Chairman of the Board Weizheng Xiong, despite his busy schedule, personally led Lingrui volunteers to go to Lhasa of Tibet to participate in the “feel for Tibet, Love for Ali: Lingrui Free Medical Treatment for Villagers” program, as part of “the road of heaven • love • infinite” series of events. The theme of the program was to “care for health, convey the love of the world, build a charity bridge, and create a harmonious society” and “let the world understand Tibet, let Tibet understand the Olympics.” The mission was to help improve the medical conditions in the Ali region, promote regional development and build a harmonious Ali. The activity has alleviated the difficulty of Ali farmers and herdsmen finding proper medical treatment and improved health en masse. 

Lingrui Pharma. showed great compassion in the place which is at the highest altitude, and a harsh environment for human beings to live. Since 2007, Lingrui Pharma. has actively participated in the annual “the road of heaven • love • infinite” event, to improve medical conditions for farmers and herdsmen of Ali in the Tibetan region, and has cumulatively donated nearly 2 million RMB.  

Charity brings out the sincerity and kindness in people. In January 2000, Lingrui Pharma. held the “Sending Warmth, Condolences to the Old Cadres,  Medical Treatment and Donations” event for more than 1,500 veterans, retired cadres and teachers, donating medications and health supplements of 500, 000 RMB. In October 2001, employees of the company donated 516, 000 RMB to support the local road construction of Xin County. From 2001 to 2004, the company has invested 700, 000 RMB to support the development of Henan women’s football. 

On May 12, 2008, the Sichuan Wenchuan Great Earthquake devastated the country. On May 14, the third day of Wenchuan Earthquake, when the full extent of rescue efforts had not yet been reached, Weizheng Xiong, Chairman of the Board of Lingrui Pharma. did not wait for The Red Cross of Henan Province to start disaster relief efforts, and instead hurried from Xin County to Zhengzhou, then went to Beijing on behalf of the enterprises in the Dabie Mountains to donate 500, 000 RMB through the Red Cross of China, to be directly used in the disaster relief work as a show of support from the Lingrui family. The company then started emergency mobilization protocols and allocated more than 1 million RMB for the treatment of rheumatoid arthritis, analgesic plaster, and anti-inflammatory medications and antibiotics. They also sent vehicles to the Deyang area in Sichuan which suffered the most from the quake. At the same time, the company also initiated a proposal to more than 4,000 employees from sharing and holding enterprises, held fund-raising activities to help the victims of the crisis. The company has organized two fundraisers among employees and collected more than 200 million for earthquake-affected areas. What is particularly unforgettable is: On May 20, the second night of the national mourning day, the company held an assembly called “Memorial in Candlelight, Blessings for Wenchuan” in the courtyard of the enterprise building. A charity fund-raising activity called “one RMB, one day salary, one share of love” was held, and raised a total of 263, 750 RMB in just two hours. Driven by example, citizens and students also donated. There were children from kindergarten who gave out all their collected allowance. Streams of love gathered into a warm current…… 

 

After the Wenchuan Earthquake, the reconstruction of the disaster affected areas was the number one concern in the hearts of the Lingrui Family. In November 2009, during the “1+1 hearts-connected” activity co-sponsored by China Charity Federation, the Chinese Education Association and other associations, Lingrui pharma. once again funded the reconstruction of the earthquake-stricken areas for children's psychological counseling in “hearts-connected huts” in 17 primary and secondary schools. Vice presidents of Lingrui Pharma. Weiping Xiong and Zhenxi Wu entered the disaster affected areas with their sincerity, responsibility, concern and thoughtfulness. On the night of November 27, at the "1 + 1 hearts-connected huts" unveiling ceremony, they gave a speech and expressed their hope for the community to continue to pay attention to the people's health and post-disaster reconstruction, and actively participate in public welfare undertakings, dedicated to build a harmonious and compassionate society. Danyang Li, the military singer who led the song the company song "Wish You Health,” also affectionately sang songs for children suffering from the disaster, sending his blessings and condolences. 

As the leader in domestic and overseas external plaster pharmaceutical industry, Lingrui Pharma. always stresses ecological protection. In 2007, Lingrui Pharma. donated 1 million RMB to the China Green Foundation, China Great Wall Green Promotion Association in the first term, contributing to the national “South-North Water Diversion” green system project in a timely and smooth start. At the launching ceremony of the project at the Great Hall of the People in Beijing on June 8, 2007, Zhibao Wang, chairman of China Green Foundation, awarded the company’s chairman Weizheng Xiong “Contribution Award for Promoting Ecological Development.” 

In January 2008, the Xin County government awarded Lingrui Pharma. 2 million RMB for its outstanding contributions to the local economy and social structure. At the initiative of chairman of the board Weizheng Xiong, the company organized employee fundraisers adding up to 2.6 million RMB, establishing the first charity institution initiated by enterprise – Henan Lingrui Poverty Alleviation Foundation. Based on this platform, the Lingrui People was more widely involved in social charity activities. In April 2010, after the Qinghai Yushu Earthquake, Lingrui Pharma. quickly rallied and donated more than 1 million RMB to the disaster-stricken areas.  

In modern society, the business of work, the neglect of children, and the lack of social concern rendered many elderly people spending their old age in solitude. In April 2010, Lingrui Pharma. donated 1 million RMB in Xinyang to participate in the launching ceremony of “Care for Empty-Nest Elderly Volunteer Service” organized by the Central Civilization Office, Ministry of Civil Affairs and the National Women’s Federation in the national scale, and played an active role for the event to launch timely and smoothly. In May 2012, the General Establishment Assembly of Respecting and Helping Elderly Association of Henan Province was held in the Veteran Activity Center of Zhengzhou, Henan Province. On the spot, Weizheng Xiong, chairman of the board of Lingrui Pharma. donated medications worth 1 million RMB on behalf of the enterprise. 

It is the call of the heart. It is the dedication of love. From these inspiring examples, we can see the consistency and perseverance of the Lingrui family to join the public welfare enterprise, and the investments keep increasing. 

Entrepreneurial awareness and experience are essential for the smooth development of social welfare activities. In recent years, chairman of the board of Lingrui Pharma. Weizheng Xiong took the lead and set the example for others. Through participation in poverty alleviation, Hope Project, Spring Bud Plan and building poverty alleviation charity organizations, he individually donated more than 500, 000 RMB, showing an outstanding entrepreneur's generosity.  

“The man who dies rich dies disgraced.” This is the saying of American steel tycoon Carnegie. The wealth of Weizheng Xiong and the Lingrui Family is far from comparable to his, but they agree with the words. According to incomplete statistics, Lingrui Pharma. and its employees have been involved in the construction of a harmonious community, disaster relief, poverty alleviation, just causes, health care, educational donation, legal aid, aiding of orphans and widowed elderlies, the development of national sports, and other social welfare activities, with accumulated donations reaching more than 30 million, reflecting the fulfillment of social responsibility as an enterprise and as global citizens.  

Lingrui Pharma.'s public welfare activities have been widely praised and highly recognized by society. The company in both 1999 and 2005 won the title "National Advanced Work Unit of Spiritual Civilization Construction"; in 2006, the company was inducted into the "50 Outstanding Enterprises in corporate Social Responsibility Survey of China"; in August 2008, the company was awarded the honorary title “National Leading Enterprise in Poverty Alleviation”; in September 2009, as one of the “Exemplary Figures in National Poverty Alleviation and Development", Weizheng Xiong met Qinlin Jia, Chairman of Chinese People's Political Consultative Conference at China Poverty Alleviation and Development Association; in December 2010, the company was jointly awarded by Beijing Municipal Civil Affairs Bureau and the Capital Charitable Organization the "Business Rainbow Heart" Honorary Enterprise"; in November 2011, the Beijing Municipal People's Political Consultative Conference, the company was awarded the "Advanced Collectives of National Poverty Alleviation and Development" by the State Council Poverty Alleviation Office; In May 2012, the company has been awarded the "Charity Business" and "Respecting and Helping the Elderly Charity Business" by Xinyang Municipal Government and Henan Province Government.