Comprehensive Business Ties among Liaoning Chengda, ITOCHU, and Alfresa Holdings.

In March 2011, ITOCHU Corporation concluded a basic agreement for comprehensive business ties with Liaoning Chenda Co., Ltd. and Alfresa Holdings Corporation in the three business areas of retail, wholesale distribution, and the Chinese government’s new healthcare reform.

Liaoning Chengda is a Chinese conglomerate, whose subsidiary CDFY Pharmacy Chain Investment Co., Ltd. operates the largest chain of pharmacies in northeastern China, with roughly 828 stores.

We are taking this opportunity to actively expand its business in the rapidly growing pharmaceutical market and health and beauty (H&B) market in China.

Through Remeje Pharmaceuticals (China) Co., Ltd., which owns the license to deal in pharmaceuticals in China, we will strengthen sales of safe, secure Japan-made pharmaceuticals and healthcare-related products in China. We will also partner with BEIJING ITOCHU COMPREHENSIVE PROCESSING CO., LTD. (BIC), which has established its position as China's largest scale general wholesaler of cosmetics, daily commodities, and sundries, to source new products in pharmaceuticals and cosmetics, H&B commodities, and sundries, and to support the entry of Japanese manufacturers into the Chinese market.

• [News Releases] Conclusion of Basic Agreement for Comprehensive Business Ties among Liaoning Chengda, ITOCHU, and Alfresa Holdings (March 10, 2011)