News Release

Yamanouchi Pharmaceutical Co., Ltd.

Yamanouchi Terminates Marketing Agreement on the Penem-Type Antibiotic Farom

February 17, 2005

Tokyo, Japan - February 17, 2005 -Yamanouchi Pharmaceutical Co., Ltd. (president: Toichi Takenaka) agreed with Daiichi Suntory Pharma Co., Ltd. (president: George Nakayama) to terminate the marketing agreement between the two companies regarding the penem-type antibiotic Farom (faropenem sodium) on March 31, 2005. After April 1, 2005, all marketing and detailing activities will be conducted by Maruho Co., Ltd.

Following termination of the agreement, Yamanouchi will transfer the marketing of the products listed below. In the fiscal year ended in March 2004, Yamanouchi posted sales of about 3.4 billion yen with these products.

Farom Tablets 150mg and 200mg
Farom Dry syrup for pediatric