0001019687-12-001115.txt : 20120517 0001019687-12-001115.hdr.sgml : 20120517 20120329142138 ACCESSION NUMBER: 0001019687-12-001115 CONFORMED SUBMISSION TYPE: CORRESP PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20120329 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AMERICAN ORIENTAL BIOENGINEERING INC CENTRAL INDEX KEY: 0001090514 STANDARD INDUSTRIAL CLASSIFICATION: PHARMACEUTICAL PREPARATIONS [2834] IRS NUMBER: 911948329 STATE OF INCORPORATION: CO FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: CORRESP BUSINESS ADDRESS: STREET 1: NO, 4018 JINTIAN ROAD, ANLIAN PLAZA STREET 2: 12F SUITE B02 CITY: FUTIAN, DISTRICT SHENZHEN STATE: F4 ZIP: 518026 BUSINESS PHONE: 86-451-8666-6601 MAIL ADDRESS: STREET 1: NO, 4018 JINTIAN ROAD, ANLIAN PLAZA STREET 2: 12F SUITE B02 CITY: FUTIAN, DISTRICT SHENZHEN STATE: F4 ZIP: 518026 FORMER COMPANY: FORMER CONFORMED NAME: ORIENTAL BIOENGINEERING INC DATE OF NAME CHANGE: 19990824 CORRESP 1 filename1.htm aobo_corresp-032812.htm
 
AMERICAN ORIENTAL BIOENGINEERING, INC.
 
1 Liangshuihe First Ave.
 
Beijing E-Town Economic and Technology Development Area, E-Town
Beijing 100176, People’s Republic of China
 
 
March 29, 2012
 
 

Securities and Exchange Commission
Division of Corporation Finance
100 F Street, N.E.
Washington, D.C. 20549-4628
Attn: Tabatha Aikin, Senior Assistant Chief Accountant

 
Re: American Oriental Bioengineering, Inc. Form 10-K for the Fiscal Year Ended December 31, 2010 Filed March 15, 2011 and Amended November 14, 2011 Form 10-Q for the Quarterly Period Ended September 30, 2011 Filed November 14, 2011 File No.

 
Dear Ms. Aikin:

We are responding to your comments over the phone as described by Hong Zhu, an employee of American Oriental Bioengineering, Inc. (“Company”), and the written version of the comments received on March 28, 2012.  The numbered paragraphs set forth below correspond to the Staff’s comments in the previous round of written communications with Staff dated February 9, 2012.
 
Form 10-Q for the Period Ended September 30, 2011
Notes to Condensed Consolidated Financial Statements
Note 11 – Receivable for Disposal of Investment, page 19
 
1. Please refer to your response to our comment two.  If such amount is not received by the date you file the Form 10-K for the fiscal year ended December 31, 2011, please confirm that you will disclose the $5m in cash consideration and the equity interest received, as well as the date you expect to receive the remaining amount from the buyer as well as a statement indicating why you believe the balance is still collectible.
 
Response:
 
As of the date of this response letter, the Company has received the full consideration for the transaction, consisting of $22.5 million cash consideration and the equity interests of another company owned by the third party buyer.


 
 
 
 
 
Note 17 – Convertible Notes, page 20
 
2.  Please refer to your response to our comment three.  Please confirm that you will also disclose in future filings beginning with your Form 10-K for the fiscal year ended December 31, 2011 the fair market value of the notes as required by ASC 825-10-50-10.
 
Response:
 
We respectfully advise the Staff that we (the Company) will disclose the fair market value of the convertible notes in future filings according to ASC 825-10-50-10.
 
The Company acknowledges that:
 
·  
The Company is responsible for the adequacy and accuracy of the disclosure in the filing;
·  
Staff comments or changes to disclosure in response to staff comments do not foreclose the Commission from taking any action with respect to the filing; and
·  
The Company may not assert staff comments as a defense in any proceeding initiated by the commission or any person under the federal securities laws of the United States.
 
We trust that you will find the foregoing responsive to the comments of the Staff.  Comments or questions regarding this letter may be directed to the undersigned or Hong Zhu, Vice President of Investor Relations of the Company, at (973) 622-4500, or email to zhuh@email.bioaobo.com.
 
 

 
 
Sincerely,
 
 
/s/ Yanchun Li
Yanchun Li
Chief Financial Officer
American Oriental Bioengineering, Inc.