Clinical Testing Service Joint Venture Commences Operations

Shionogi Biomedical Laboratories, a joint venture between Shionogi & Co., Ltd. and SRL Co., Ltd., commenced operations on April 1, 2002. Prior to founding the new company, Shionogi transferred its Clinical Testing Services Department business to Shionogi Medical Service Co., Ltd. (consolidated subsidiary of Shionogi & Co., Ltd.), and Shionogi Clinical Laboratories Co., Ltd. (consolidated subsidiary of Shionogi & Co., Ltd.) became a wholly owned subsidiary of Shionogi Medical Service. SRL Co., Ltd. made an equity investment in Shionogi Medical Service Co. Ltd., which changed its corporate name to Shionogi Biomedical Laboratories, Inc.

1．New company name: SHIONOGI BIOMEDICAL LABORATORIES, INC.

2．Head office: 5-1, Mishima 2-Chome, Settsu City, Osaka

3．Business commencement: April 1, 2002

4．Capital: 488 million yen

5．Equity position: 51% by SRL Co., Ltd., and 49% by Shionogi & Co., Ltd.

6．Representative: Katsuya Shimamura, President

7．Business: Clinical testing services

8．Sales: 8,000 million yen (planned)

9．Employees: approximately 520 (including contracted and part-time employees)