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April 27, 2000

Taisho's Fifth Stage of Remodeling its factories Begins

Taisho Pharmaceutical Co., Ltd. (President, Akira Uehara) commenced fifth stage remodeling its factories this month. Expansion of the tonic and nutrient drink production at our Okayama plant commenced on April 19, and construction of a shipping center and quality control facilities began on April 13 at our factory in Omiya.

These renovation plans go beyond simply renewing current facilities. Our medium- to long-term objectives are to respond to both the demand increases brought about by industry deregulation, and to our customers' changing needs. We also strive to maintain high quality standards as we continue fostering our business internationally.

At the Okayama plant, in order to boost production and meet the needs of our customers, we are adding four new lines to the current production facilities. This will bolster production capacity for our consumer products including both 100ml and 50ml tonic and nutrient drinks. At the same time, we will be introducing equipment with greater energy efficiency. The number of employees will be relatively unchanged in the revamped facility.

In Omiya, a newly constructed distribution center will completely replace the previous structure. The new facility introduces higher levels of automation with cutting edge systems such as automated transport equipment and a piece-sorter system. This new systems contribute to the increases in speed and efficiency - from order-taking through delivery.

Quality control at the Omiya factory will be enhanced with better precision measuring equipment and with an upgraded laboratory environment. We will also continue to pursue high product quality with future quality control improvements. At the completion of this project, our Quality Control Division and Production Technology Division will be combined to further improve efficiency.

Okayama Factory

Name Okayama Factory
Address 33-2, Taiheidai, Shouo-cho, Katsuta-gun, Okayama
TEL 81-868-38-6131
Product Lines Present: 100-ml drinks
After Expansion: 100-ml and 50-ml drinks
Land area 40,000 square meters
Building area Present: 10,820 square meters
After Expansion: 23,480 square meters
Floor space Present: 26,070 square meters
After Expansion: 50,090 square meters
Total construction costs 13.5 billion yen
Production capacity Four new lines adding 1 million bottles/day
Contractors Shibuya Kougyu Co., Ltd. and Kajima Corporation
Beginning date April 2000
Completion date November 2001

Omiya Shipping Center

Name Taisho Pharmaceutical Co., Ltd. Omiya Shipping Center
Address 1-403, Yoshino-cho, Omiya-shi, Saitama
TEL 81-48-663-1111
Business activities Product inventory and physical distribution management
Building area 8,600 square meters
Floor space 38,270 square meters
Automated warehousing 15,000 trellises
Total construction cost 7 billion yen
Contractors Kajima Corporation and Ishikawajima-Harima Heavy Industries Co., Ltd.
Beginning date July 2000
Completion date May 2002

Omiya Factory Quality Control Facility
Name Taisho Pharmaceutical Co., Ltd. Omiya Factory Quality Control Facility
Address 1-403, Yoshino-cho, Omiya-shi, Saitama
TEL 81-48-663-1111
Business activities Quality control and product inspection
Building area 2,000 square meters
Floor space 12,120 square meters
Total construction expenses 3.5 billion yen
Contractors Toda Corporation
Beginning date July 2000
Completion date September 2001