October 17, 2011

PRESS RELEASE
Mitsubishi Tanabe Pharma Corporation

Formulation of Medium-Term Management Plan 11-15 -New Value CreationOsaka, Japan, October 17, 2011---Mitsubishi Tanabe Pharma Corporation (President &Representative Director Michihiro Tsuchiya) announced today the Company has formulated
the “Medium-term Management Plan 11-15 -New Value Creation-,” which covers the period tofiscal 2015.
1. Overview of Medium-Term Management Plan 11-15
The key concept of the Medium-term Management Plan 08-10, which was formulated in 2008,
was "Dynamic Synergy -focusing the expertise and energy-." Guided by that concept, theCompany generated steady results linked to future growth.
Based on those results, the Company has formulated "Medium-Term Management Plan 11-15-New Value Creation-" as the road map to the next new growth stage.
To build a foundation for future growth, the Company is working to discover new drugs that
respond to unmet medical needs and to establish a foundation for the provision of those drugs
on a global basis. The Company is targeting sustained growth by aggressively investing profits.
In addition to priority products, centered on Remicade®, the Company will also strive to achieve
steady results in promoting appropriate usage of new products that are nearing their launchdate, and to nurture those drugs.
The new plan contains four strategic challenges: (1) Bolstering Our Ability to Discover NewDrugs; (2) Advancing Domestic Operations, Centered on New Products, (3) Building aFoundation for the Expansion of Overseas Operations, and (4) Accelerating Operational andStructural Reforms. Through the steady implementation of these issues, we will become a“Company that Can Continue to Create New Value.”(1) Name and period
Name: Medium-Term Management Plan 11-15 -New Value CreationBecoming a “Company that Can Continue to Create New Value”
Period: April 2011 to March 2016 (five years)

1/4

(2) Key Concept

2. Strategic Challenges(1) Bolstering Our Ability to Discover New Drugs
・During the period of the plan, our targets are to launch 10 new products, advance 8 products
to late-stage development, and commence clinical trials for 3 development products. We will
strive to continually strengthen our pipeline.
・ Throughout the process extending from the discovery of targets to the discovery ofdevelopment compounds, we will utilize our strengths in compound optimization to enhance
our ability to discover compounds that respond to unmet medical needs. To that end, we will
work in cooperation with external resources, such as academic institutions in clinicaldevelopment and venture companies.
・ The Company has established marketing and R&D foundations in such areas as
autoimmune diseases, diabetes, and kidney diseases. We have positioned our areas ofstrength―in which we have accumulated a variety of evidence data, and know-how―as“marketing franchise areas.” In addition, in conjunction with new disease areas that pose ahigh level of unmet medical needs, we will take on the challenge of drug discovery and work
to continually bolster our pipeline from the research stage.

2/4

(2) Advancing Domestic Operations, Centered on New Products
・In addition to priority products, we will also provide accurate information based on global
evidence for products newly launched during the period of the plan, and provide them to as
many patients as possible.
・In our marketing organization, we will establish a “T-shaped” marketing system in which
specialized MRs will backup generalist MRs. In addition, we will establish an information
provision system that can provide on-demand responses to customer needs in a wide rangeof fields.
(3) Building a Foundation for the Expansion of Overseas Operations
・In the U.S. and Europe, which are industrially developed markets, we will conduct in-housepromotion focused on specialist doctors for products in the kidney disease field, such as
MCI-196 and MP-146. We will also establish new focus areas in addition to kidney diseases.
We will take steps to aggressively secure management resources and products in order tobolster and expand our operating base.
・In China and Asia, which are emerging markets, we will work to rapidly launch products thathave been approved in industrially developed markets and we will aggressively promote
products that match market characteristics and needs.
(4) Accelerating Operational and Structural Reforms
・ The Company will accelerate the consolidation and reorganization of the research,
production, and head office functions, thereby establishing an organization with both
improved functions / productivity and lower costs. In addition, through operational
restructuring measures, the Company will strive to maximize enterprise value and achieve
overall optimization of the Mitsubishi Tanabe Pharma Group. Furthermore, by strengthening
human resources / organizations that can contribute to global business development, we will
become a company that can continue to create new value.
・In generic drug operations, the Company will make full use of the production functions ofChoseido Pharmaceutical. We will also work to maximize sales of large-scale new products
through cooperative initiatives within the Group, centered on Tanabe Seiyaku Hanbai. Withconsideration for further strategic cooperation, the Company is targeting generic drug salesof ¥50.0 billion in fiscal 2015.

3/4

3. Numerical Targets
Net sales
Operating income

Fiscal 2015 objectives¥500.0 billion¥100.0 billion

Note: Fiscal 2011 (forecast)¥405.0 billion¥68.0 billion

R&D expenses¥80.0 billion¥69.0 billion
Overseas sales ratio:
15%+6%* On an operating income basis, we are aiming for an overseas sales ratio of 40% in fiscal 2015.

4. Dividend policy
The Company’s basic policy calls for providing a stable return to shareholders while striving tomaximize enterprise value by aggressively investing in future growth.
Under this plan, in addition to profit growth, we will steadily raise the consolidated dividend
payout ratio (prior to amortization of goodwill) to 40% and expand shareholder return.

5. Contributing to KAITEKI Society
As the core health care company in the Mitsubishi Chemical Holdings Group, we will contributeto realization of KAITEKI society by providing pharmaceuticals that contribute to raisingpatients’ QOL.
Moreover, we will contribute to the provision of the Mitsubishi Chemical Holdings Group’s“Health Care Solutions” through orchestrating with other members of that group.

6. Striving to be a Company That is Trusted by Communities
By steadily implementing the business improvement plans related to the Medway problem andthe quality control problem, we will strive to strengthen the management foundation and on-site
capabilities of the entire Mitsubishi Tanabe Pharma Group, reform our organizational culture,
prevent a recurrence, and regain the trust of society. We have had outside committees conduct
investigations and provide advice in regard to this situation in an objective, appropriate manner.
In this way, we are working to raise the effectiveness of our improvement plans, and, byreleasing that advice the public, to ensure transparency.
We will reinforce our foundation of “regaining the trust of society” and “securing quality andsafety” and be a company that fulfills its social mission―contributing to improvements inpatients’ QOL by “manufacturing and providing pharmaceuticals.”<<Contacts>>Corporate Communications Department

4/4

Tel +81-6+6205-5211