At a company board of directors meeting held on November 5, 2010, Kenko.com adopted a board resolution for the startup of new operations as described below.
１．Overview of the new business operations and the reason for their start
With the objective of entering health-related-product distribution business in the Chinese market, Kenko.com has been carrying out marketing studies for some time. Judging that a certain level of need exists in China for high-quality Japanese health-related products, we have decided to start operations for wholesale sales to China.
LBX Pharmacy Chain Co., Ltd. (Chinese name: 老百姓大药房连锁有限公司) is China’s largest drugstore chain, operating over 400 drugstores in China.
LBX Pharmacy Chain Co., Ltd., and Kenko.com Inc. have agreed to consider the sales in LBX Pharmacy Chain stores of the Japanese health-related products handled by Kenko.com. The goal is to start business operations at an early date.
２．Overview of LBX Pharmacy Chain Co., Ltd.
Name: LBX Pharmacy Chain Co., Ltd.
(Chinese name: 老百姓大药房连锁有限公司)
Representative: Xie Zilong, Board Chairman
Location: Hunan, China
Business content: Drugstore chain in China (over 400 stores)
Capital: RMB 120 million
Date established: October 2001
The impact of this matter upon the consolidated performance of the Kenko.com Group is considered negligible at this time. If an impact on performance comes to be anticipated as a result of future developments, notification will be given in a timely manner.
Started in May 2000, Kenko.com is an EC site for health-related products (nutritional supplements, pharmaceutical products, healthcare equipment, etc.). The number of products handled is approximately 120,000 (as of November 2010). Listed on the Tokyo Stock Exchange Mothers section under the stock code 3325 in June 2004.
Kenko.com, Inc.／Public Relations Office (Rena Takasuga)