November 4, 2004

Mitsubishi Pharma Corporation
Takeda Pharmaceutical Company Limited

Mitsubishi Pharma and Takeda to Terminate License Agreement
on an Agent for Cardiac Diseases

Mitsubishi Pharma Corporation, Osaka, Japan ("Mitsubishi", President: Takeshi Komine) and Takeda Pharmaceutical Company Limited, Osaka, Japan ("Takeda", President and COO: Yasuchika Hasegawa) jointly announced that they terminated the license agreement on oral formulation of MCC-135, an agent for cardiac diseases.

MCC-135 is an agent for cardiac diseases including heart failure or myocardial infarction, which demonstrates improving effects for cardiac diastolic dysfunction and protective effects for cardiac necrosis by enhancing Ca2⁺ uptake by the sarcoplasmic reticulum and inhibiting the sarcolemmal Na+/Ca2⁺ exchange. The license agreement was concluded on July 31, 2001 between Mitsubishi and Takeda which granted rights to Takeda for development and marketing of oral formulation of this compound worldwide except Japan and several Asian countries.

The results of phase 2 clinical studies conducted by Mitsubishi and Takeda in patients with chronic heart failure showed that the safety was well established and the efficacy which may be related to its pharmacological properties was observed in some endpoints. As a result, Takeda judged that the overall efficacy results did not meet its pre-specified go/no go decision criteria for phase 3 study, and both parties agreed to terminate the license agreement.

Mitsubishi will be working on the development strategies for oral formulation of MCC-135 including the possibility of having a new partner, while will continue clinical development for injectable formulation of this compound for the indication of myocardial infarction in US and European countries.

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