We hereby inform you that TRANS GENIC INC. (Head Office: Mashiki-machi, Kamimashiki-gun, Kumamoto, CEO: Masahiro Koreishi) concluded the agreement on q‡non-exclusive information disclosure regarding gene functions obtained from Knockout miceqˆ on April 19, 2004 with Santen Pharmaceutical Co., Ltd. (Headquarters: Higashiyodogawa-ku, Osaka, President and CEO: Takakazu Morita ).

We produce Knockout mice and provide information on gene functions as our core business. We have formulated two frameworks of disclosure regarding gene functions obtained from Knockout mice that we produce; one is exclusive, and the other is non-exclusive. TRANS GENIC INC. concluded the exclusive agreements with Yamanouchi Pharmaceutical Co., Ltd. and Sumitomo Chemical Co., Ltd. in December 2003. Our business has been making good progress toward disclose of gene structure information, and also phenotype analysis information. Further, we have achieved positive results toward the license of consecutive right of use of each strain of the mice. TRANS GENIC INC. started to disclose the information non-exclusively since October 2003, and we have concluded the agreement with Santen Pharmaceutical Co., Ltd. this time.

We believe that this latest conclusion of the agreement will improve our business performance, as we can now make more effective use of the information data obtained from our Knockout mice. In addition, we are considering the conclusion of the non-exclusive rights of use with additional companies.

At the present moment, any effect that this agreement may bring is negligible.