Our basic policies are to forge consistently stable expansion in core businesses and to accelerate growth in new business fields now being nurtured to elevate corporate value by investing in growth and through return for shareholders.

［ Alcoholic Beverages and Seasonings ］
Plans call for generating stable profits on an ongoing basis, underpinned by solid cash flow. At the same time, in growth fields, we will clarify strategies for success in growth businesses and pinpoint the paths for creating future cash flow.

［ Biomedical ］
We aim to speed up the commercialization of genetic therapies and use these for further reinforcing our earnings framework, in turn increasing cash flow in the future.

［ Health Foods ］
We are positioning operations here as a key growth business for generating profits in the Takara Group and will focus resources on building solid earnings platforms.

We will maintain investment at normal levels in existing businesses, extend capital for investments geared toward growth and actively work to generate returns for investors.

［ Growth investments ］
Cumulative outlays exceeding
¥10 billion over the three years

［ Total shareholder return ］
Generate aggregate returns of more than
¥10 billion over the three years, doubling the previous plan's level

［ Shareholder return payout ］
Minimum of
50%  *1

*1	Calculated as follows: Total shareholder return = (Total dividends + Amount of share buybacks) / Deemed consolidated net income*2 ≧ 50%
*2	Deemed consolidated net income = (Consolidated ordinary income – Interest income and dividends + Interest payments) x (1 – Effective tax rate)

The Group has set targets for net sales exceeding ¥200 billion and ordinary income surpassing ¥10 billion in fiscal 2011. In addition to its profit goals, the Group intends to improve its shareholders’ equity ratio by controlling equity capital levels.

［ Takara Shuzo Group ］
The Group targets net sales surpassing ¥175.0 billion and ordinary
income exceeding ¥8.0 billion in fiscal 2011.

［ Takara Bio Group ］
The Group plans net sales amounting to ¥19.3 billion and ordinary
income of　¥10.0 billion in fiscal 2011.

［ Takara Healthcare ］
This company’s strategic priority is to attract mail-order customers through products developed through technological expertise honed by Takara Bio.

*3

To reflect the prevailing operating environment, the Takara Bio group makes rolling updates of its medium-term management plans each year. In the latest plan announced in May 2010, the Takara Bio group set numerical targets for net sales of ¥21.5 billion and ordinary income of ¥1.2 billion for the fiscal year ending March 31, 2013, the final year of this medium-term management plan.