January 29, 2003

Takeda Chemical Industries, Ltd.

Takeda's Life-Environment business unit to become
a wholly-owned subsidiary

On January 29, 2003, Osaka, Japan --- Takeda Chemical Industries, Ltd. ("Takeda") announced today that its business unit, Life-Environment Company will become a wholly-owned subsidiary of Takeda effective April 1, 2003. Life Environment Company is engaged in manufacture and sales of products such as activated carbon, wood preservatives, industrial preservatives and pollutant test kits.

Life-Environment Company focuses on niche fields and holds the top market share for activated carbon and wood and industrial preservatives. In order to solidify further such competitive position, Takeda judged it indispensable to manage the operations more flexibly and efficiently, in the form of an independent company.

The independence of non-pharmaceutical businesses is one of the most important tasks of Takeda to become a major player in the global pharmaceutical market. The years-passed saw the introduction of new organizations in several of non-pharmaceutical businesses.

This newly established subsidiary will conduct all the possible measures to strengthen its management systems, and will expand its business reviewing to promote a transition to an optimal business structure for the future growth.

Profile of a new subsidiary (plan)

1. Company Name	:	Nihon Enviro Chemicals Ltd.
2. Location of Head Office	:	3-8, Doshomachi 2-chome, Chuo-ku, Osaka, Japan
3. Capital	:	2.1 billion yen (100% investment from Takeda)
4. Sales Estimate	:	Approximately 17.0 billion yen (first fiscal year)
5. President	:	Atsuo Kobayashi (Current President of
		Life-Environment Company)
6. Number of Employees	:	Approximately 140
		(All from Life-Environment Company)
7. Locations	:	Sales & Administration Offices : Tokyo, Osaka
		R&D Facilities : Inside Takeda's Osaka Plant
		Manufacturing Plant : Shimizu, Shizuoka prefecture
8. Scope of Business	:	Same as current Life-Environment Company:
		Research, Development, Manufacturing,
		Import-Export, Distribution and Sale of;
		Activated carbon
		Wood preservatives
		Industrial preservatives
		Water treatment carrier
		Pollutant test kits
		Fluorine and phosphorus absorbent
9. Start of Operation	:	April 1, 2003

For further inquiries, please contact:
Corporate Communications Dept., Takeda Chemical Industries, Ltd.
TEL: +81-6-6204-2038 (Osaka), +81-3-3278-2039 (Tokyo)