March 29, 2011
Seikagaku Corporation(Securities Code: 4548)

Seikagaku Announces the Discontinuation ofResearch Reagent Business at Its Subsidiary
Seikagaku Corporation (head office: Chiyoda-ku, Tokyo; hereafter “SKK”) hereby announces thatthe Board of Directors resolved at a meeting held on March 29, 2011 to discontinue the research
reagent business conducted by SKK’s subsidiary Seikagaku Biobusiness Corporation (head office:Chuo-ku, Tokyo; hereafter “SKB”).
1. Reason for discontinuation of the business
SKB succeeded the fine chemical business (research reagents, endotoxin and beta glucan
detecting reagents, and bulk products) following a corporate separation implemented in October2007 and has engaged in global business activities with the objective of becoming a market leader
by developing a product range aligned with market needs.
However, the environment for the research reagent business has become increasingly adverse
because new competitors have entered into the market amid ongoing reorganization andconsolidation of research facilities due to the impact of the economic slowdown, in addition tostructural changes in market. Based on careful consideration of the future direction of the research
reagent business, SKK and SKB judged that increases in revenue and earnings could not be
expected and decided to discontinue research reagent business.
SKB will seek further expansion in the fine chemical field by focusing its resources on businesssectors such as endotoxin and beta glucan detecting reagents and bulk products, taking maximum
advantage of the technologies and expertise developed heretofore.
2. Overview of subsidiary
Company name: Seikagaku Biobusiness Corporation (a wholly owned subsidiary of SeikagakuCorporation)
Address: 17-24, Shinkawa 1-chome, Chuo-ku, TokyoRepresentative: Shinji Harashima, President
Business description: Sale of bulk products, manufacture and sale of research reagents andendotoxin and beta glucan detecting reagents
Capital: ¥100 million
3. Summary of discontinuation of the research reagent business(1) Description of business
The manufacture and sale of research reagents utilizing basic research and applied research
centered on the field of glycoscience(2) Performance of research reagent business (forecast for the fiscal year ending March 31, 2011)

Net sales

Research reagent operations (a)Consolidatedoperations (b)Proportion of total (a/b)

Approx. ¥700 million¥27,200 million

2.6%(3) Disposition of employees and assets engaged in the research reagent business
The Seikagaku Corporation Ten-Year Vision was formulated in March 2009, and under themid-term business plan, SKK has undertaken to strengthen organizational capabilities to enablerealization of the business vision. SKK and SKB will discuss the disposition of employees andassets, considering a merger or other form of business rearrangement with a view to achieving an
optimal business structure. SKK will promptly announce any decisions on matters requiringdisclosure.
4. Schedule for discontinuation of the businessResolution of the Board of Directors: March 29, 2011
Purchase order cutoff date: September 30, 2011 (planned)
Date of discontinuation of business: March 31, 2012 (planned)
Note: Depending on the inventory situation, it may not be possible to supply some products even iforders are placed by September 30, 2011.
5. SKK Business Outlook
The discontinuation of the research reagent business will have a minor impact on both the forecastof consolidated results for the fiscal year ending March 31, 2011 (announced in November 2010)and on the numerical targets for the fiscal year ending March 31, 2012 in the mid-term management
plan.
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