Chai-Na-Ta Corp.: Court Approves Financial Restructuring Plan; Chai-Na-Ta's Debt Reduced by $28 Million.

Business Editors

LANGLEY, B.C.--(BUSINESS WIRE)--April 28, 2000

Chai-Na-Ta Corp. (TSE:CC.) (OTCBB:CCCFF) (the "Company") is pleased to announce that the Court has approved the financial restructuring plan that was previously approved by the creditors on April 20, 2000 and the Company's shareholders on April 25, 2000.

Under the financial restructuring proposal, all creditors with an investment of $1,500 or less are guaranteed a 100 per cent return. All other creditors, up to $25,000, are to receive 10 per cent of their investment in cash to a maximum of $2,500 and 15% of the balance of monies owing in excess of $25,000 in common shares issued at book value, at the Company's last fiscal year end of November 30, 1999, of CDN$.6804 per share. These common shares will have a one-year hold period from trading.

The restructuring plan reduces the Company's debt by more than CDN$28 million. Road King Infrastructure Limited, Chai-Na-Ta's new major investor, who invested CDN$5 in equity also purchased the positions of the Company's two major creditors after the restructuring plan was accepted. Road King has also forgiven the remaining $10 million in debt by $5 million, reduced the interest rate from 10.6% to 0% and extended the loan to a five year term. The Company requires final approval by the TSE and securities commission, which it expects shortly.

Gill said, "We are delighted at the speed by which we were able to save the Company from receivership. We have achieved a very complicated restructuring program in just over three months. The Company is in the best financial position of its history. We will now have the financial stability to take advantage of an industry turnaround, which we anticipate within the next two years."

We are very grateful to all our lenders, creditors, shareholders, employees and our new investor who have worked extremely hard and have made many concessions to allow us to reach our goal.

Chai-Na-Ta Corp., based in Langley, British Columbia, is the world's largest supplier of North American ginseng. The Company farms, processes and distributes North American ginseng as bulk root, and supplies processed extract powder for the manufacture of value-added ginseng based products.

Except for historical information contained herein, the matters discussed in this press release are forward looking-statements that involve risks and uncertainty, including but not limited to general business conditions and other risks as outlined in the Company's periodic filings, annual report, and Form 20-F. Such risks and uncertainties may cause actual results to differ materially from those projected.