August 20, 2019
MEDIPAL HOLDINGS CORPORATION
Mitsubishi Logistics Corporation

Notice of Business Alliance between MEDIPAL HOLDINGS and Mitsubishi Logistics andInvestment in DP Network by MEDIPAL HOLDINGSMEDIPAL HOLDINGS CORPORATION (“MEDIPAL”) and Mitsubishi Logistics Corporation(“Mitsubishi Logistics”) entered into a business alliance agreement (the “Alliance”) on August 20, 2019.
Details of the Alliance follow below.
In conjunction with this, MEDIPAL acquired an equity stake in DP Network Co., Ltd. (“DP Network”),
a subsidiary of Mitsubishi Logistics that specializes in the shipping of pharmaceuticals. MEDIPAL will
collaborate with DP Network to establish an advanced, optimal platform for pharmaceutical distribution.

1. Background and Purpose of the Alliance
In recent years, consistent quality control from the manufacturer to the end user has become aprerequisite in the distribution of pharmaceuticals. Furthermore, Good Distribution Practice (GDP)guidelines for pharmaceuticals came into effect in December 2018, creating strong calls for maintaining
the integrity* of pharmaceutical products, from the time products are released into the market untildelivery to the medical facility, based on the effective management of purchasing, storage, supply andother processes in distribution channels. For temperature control in particular, it is necessary to ensure
quality through measures such as continual monitoring of temperature changes in all processes, andsystems will need to be created for that purpose.
In these circumstances, Mitsubishi Logistics, which handles distribution from manufacturers to drug
wholesalers, and MEDIPAL, a wholesaler responsible for distribution to medical facilities, are aiming torealize a new, seamless supply chain with better quality and efficiency by sharing their respective
technologies and expertise in logistics. The two companies formed the Alliance to facilitate that commongoal.
*Integrity of pharmaceutical products means that the pharmaceutical products are manufactured inaccordance with the manufacturing and marketing authorization, and are maintained in the condition inwhich they are released into the market, with no degradation of quality, tampering or destruction.

2. Details of the Alliance
MEDIPAL and Mitsubishi Logistics will conduct studies with the aim of building a pharmaceutical
distribution system that is optimized in all processes from when they are released into the market todelivery to the end user. In addition, the two companies will work to establish a more efficient
distribution platform by using the DP-Cool* service of DP Network to enable strict temperature control.
*DP-Cool: A new Good Distribution Practice (GDP:)-compliant pharmaceutical refrigerated shipping
service developed by Mitsubishi Logistics and DP Network. GDP is a quality standard in distribution
processes for pharmaceuticals.

About MEDIPAL HOLDINGS CORPORATION:
Representative:
Head office:Business:

Capital:Established:

Shuichi Watanabe, Representative Director, President and Chief ExecutiveOfficer7-15, Yaesu 2-chome, Chuo-ku, Tokyo
As a holding company, MEDIPAL controls, administers and supports theoperating activities of companies in which it holds shares in the prescription
Pharmaceutical Wholesale Business; the Cosmetics, Daily Necessities and OTC
Pharmaceutical Wholesale Business; and the Animal Health Products and Food
Processing Raw Materials Wholesale Business, and conducts businessdevelopment for the MEDIPAL Group.
¥22,398 million (as of March 31, 2019)
May 1923

About Mitsubishi Logistics Corporation:
Representative:
Head office:Business:

Capital:Established:

Masao Fujikura, President and Representative Director
19-1, Nihonbashi 1-chome, Chuo-ku, Tokyo
Warehousing; harbor transportation; international transportation; landtransportation; marine transportation; customs clearance; developing, selling andoperational management of the logistics information systems; buying, selling andleasing of transportation and cargo handling equipment.
Buying, selling, leasing, intermediary business and management of real estate;contracting, design and supervision of construction work; operation of parking
lots, etc.
¥22,393 million (As of March 31, 2019)
April 1887

CONTACTS:
For MEDIPAL HOLDINGS CORPORATION:
Corporate Planning and Public Relations Department
Tel: +81-3-3517-5171
For Mitsubishi Logistics Corporation:
Corporate Communications Chamber
Tel: +81-3-3278-6652

The English version of this document is a translation of the Japanese original and is provided for information purposes only.
While reasonable efforts have been made to provide an accurate translation, no liability is assumed by Mitsubishi Logistics
Corporation for any errors, omissions, or ambiguities in the translation. In the event of any inconsistency or conflict between
the English version and the Japanese original, the Japanese original shall prevail.