October 9, 2009
To whom it may concern
5-2-1 Daizawa, Setagaya Ward, Tokyo
Toho Holdings Co., Ltd.
(Tokyo Stock Exchange Securities Code: 8129)
Norio Hamada, President and CEO
Contact: Mamoru Ishii, Corporate Officer andGeneral Manager of Corporate Planning Office(Tel: 03-5259-9500)

Notice regarding the Commencement of Consultations toward a Business Merger between Toho
Holdings Co., Ltd. and the Seiko Pharmacy GroupTOHO HOLDINGS CO., LTD. is pleased to announce that at the meeting of its Board of Directors held on
October 9, 2009, it was resolved to make an agreement to commence consultations towards a business merger
between the Company, Seiko Pharmacy Co., Ltd. (Head office: Iizuka City, Fukuoka Prefecture) andHimawari Pharmacy Company Limited (Head office: Sawara Ward, Fukuoka City), which are deploying thedispensing pharmacy business mainly in the Kyushu area. An outline is as follows:

1. Purpose of the Commencement of Consultations toward a Business Merger
Toho Holdings Group started up the business group the Kyoso Mirai Group in Pharmacy last year in order tocooperate with and assist pharmacies that are independently contributing to medical services and the support ofpatients in the local community, and has been inviting the participation of dispensing pharmacies that approve
its objectives.
The Seiko Pharmacy Group has approved the objectives and considered that it would be able to further
strengthen its dispensing functions and maximize its corporate value by actively utilizing the management
resources of the Toho Holdings Group while maintaining its community-based business infrastructure.
Consequently, the three companies above have decided to commence consultations towards businessintegration among them.
2. Content of Consultations concerning the Business Merger
Toho Holdings plans to make Seiko Pharmacy and Himawari Pharmacy its wholly owned subsidiaries, withDecember 1, 2009, as the target. Specific details about the method of the business merger and the operation andbusiness expansion after the business merger will be announced immediately after they have been finalized.

13. Outlines of the parties involved(1) Company name(2) Business contents

TOHO HOLDINGS CO., LTD. (as ofSeiko Pharmacy

Himawari Pharmacy

March 31, 2009)(as of March 31, 2009)(as of March 31, 2009)

Holding company’s function, namely

Dispensing pharmacy business

Dispensing pharmacy business

March 25, 1985

March 10, 1994

6-1 Yoshihara-machi,

4-20-11 Momochihama,

Iiduka City, Fukuoka

Sawara Ward, Fukuoka City,

control and management of operatingcompanies(3) Establishment

September 17,1948(4) Principal place ofbusiness

5-2-1 Daizawa, Setagaya Ward, Tokyo

Fukuoka(5) Corporate

Norio Hamada / President and CEO

Masahiro Iwaido/ President

Masahiro Iwaido/ President(6) Capital

10,649 million yen

30 million yen

3 million yen(7) Number of shares

60,766,622 share

3,000 share60 share(8) Net sales

838,903 million yen (consolidated)

1,363 million yen

444 million yen(9) Net assets

77,605 million yen (consolidated)

131 million yen

14 million yen(10) Total assets

397,845 million yen (consolidated)

571 million yen

126 million yen(11) Fiscal year end

March 31

March 31

March 31(12) Major shareholders

Mitsubishi Tanabe Pharma Corporation:

Masayo Iwaido: 40.0％

Masahiro Iwaido: 50.0％

and equity holdings

6.02 ％

Masahiro Iwaido: 30.0％

Norio Deguchi: 50.0％

representative

issuedDAIICHISANKYOCOMPANY,LIMITED: 4.42 ％Japan Trustee Service Bank, Ltd. (trustaccount): 4.24 ％SHIONOGI & CO., LTD: 4.12 ％Japan Trustee Service Bank, Ltd. (trustaccount 4G): 3.64 ％2Norio Deguchi: 30.0％