Feihe Intl (NYSE:ADY)

On February 1, 2011, Feihe International, Inc. entered into a redemption agreement with Sequoia Capital China Growth Fund I, L.P. and certain of its affiliates pursuant to which the Company agreed to redeem and purchase from Sequoia an aggregate of 2,625,000 shares  of the Company’s common stock. The Shares were originally issued to Sequoia pursuant to a subscription agreement with the Company entered into in August 2009, which, among other things, granted Sequoia a right to have the Shares redeemed if the average of closing prices of the Company’s common stock for the fifteen trading days commencing on the third anniversary of the closing date is less than $39.00 per share. Pursuant to the Redemption Agreement, the Shares will be redeemed in four equal installments on or around March 31, 2011, September 30, 2011, December 31, 2011 and March 31, 2012, for an aggregate payment on each Closing Date of $15,750,000, together with interest accruing at the rate of 1.5% per annum, compounded annually from August 27, 2009 until such Closing Date