August 1, 2003

Kirin Brewery Company, Limited
Takeda Chemical Industries, Ltd.

Kirin Licenses Human Antibody Technology To Takeda

Tokyo/Osaka August 1, 2003 --- Kirin Brewery Company, Limited (Kirin) and Takeda Chemical Industries, Limited (Takeda) announced today that they have entered into a license agreement in connection with Kirin's TC Mouse Technology for the development of fully human antibodies.

Under the terms of this agreement, Takeda will utilize Kirin's TC Mouse TM technology to generate fully human antibodiesto antigens selected by Takeda, who will also develop, manufacture and sell the antibody products worldwide for therapeutic and diagnostic purposes. In return, Kirin will receive payments from Takeda when certain milestones are achieved as well as royalty payments from the sales of the antibody products.

In 1997, using its proprietary technology to introduce large human chromosomal fragments into mice, Kirin developed a mouse that produces fully human antibodies. Kirin formed a strategic alliance with Medarex, Inc., a US based company, in 1999. Through its collaboration with Medarex, Kirin has developed the KM Mouse, and has been providing TC Mouse Technology to partners worldwide. Kirin's TC Mouse Technology is a powerful tool capable of generating a highly diverse panel of fully human antibodies with high affinities to antigens. Kirin has entered into agreements to develop fully human antibodies with other US companies such as Corixa Corporation and Genzyme Corporation. Kirin's agreement with Takeda marks the first time that Kirin has entered into a licensing agreement with a major Japanese pharmaceutical company.

Kirin is also using its proprietary chromosome transfer technology in collaboration with Hematech LLC of the U.S. to develop a TC Bovine for the production of fully human antibodies.

Takeda has been focusing on the identification of drug-discovery targets through the use of genegenome information, and is already achieving a number of results. In recent years, a combination of technologies from various specialized fields is necessary for pharmaceutical research and development. While improving continuously in-house R&D capabilities, Takeda actively is pursuing all the possibilities of utilizing outside resources, such as alliances with other pharmaceutical companies, biotechnology companies, universities, and research institutions to complement research activities for drug-discovery.

Under the alliance with Kirin, Takeda will start R&D activities for human  antibody therapeutics ofagainst target-proteins discovered by Takeda.

Notes:

1.	KM Mouse is the trade name of a mouse jointly developed by Kirin and Medarex, Inc.
	The name derives from the initials of the two companies. The mouse was developed using technology from both companies and is one of the world's most advanced human antibody producing mice.
2.	The ability of antibodies to bind on to antigens. Antibodies with a high affinity can effectively bind onto antigens.

Further information about Kirin and Takeda is available at their websites:

	Kirin Brewery Company, Ltd.,	http://www.kirin.co.jp
	Takeda Chemical Industries, Ltd.	http://www.takeda.com/