Document:

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                                                                   EXHIBIT 10.12

                                  CONFIDENTIAL

***PORTIONS OF THE EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT UNDER RULE 406 OF THE SECURITIES ACT OF 1933, AS AMENDED.
THE COMPLETE EXHIBIT, INCLUDING THE PORTIONS FOR WHICH CONFIDENTIAL TREATMENT
HAS BEEN REQUESTED, HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE
COMMISSION.

                         TECHNOLOGY TRANSFER AGREEMENT

        This Agreement is effective June 30, 2000, between GENENCOR
INTERNATIONAL, INC. (together with its Affiliates, "GCOR"), a Delaware
corporation with offices at 200 Meridian Centre Boulevard, Rochester, New York
14618, and THE PROCTER & GAMBLE COMPANY, (together with its Affiliates, "P&G"),
an Ohio corporation with offices at One Procter & Gamble Plaza, Cincinnati, Ohio
45202.

        WHEREAS, P&G has unique skills and technology specific to the
development and use of laundry and cleaning product formulations desired by
consumers and institutional users, and has the ability to manufacture and sell
such products globally;

        WHEREAS, GCOR has unique skills and technology specific to the
development of enzymes and other materials obtainable from biological systems,
and has the ability to commercially supply such enzymes and other materials in
industrial quantities;

        WHEREAS, the Parties have concurrent with this Agreement entered into a
Research Agreement to cooperate in an iterative program of specific research
projects, which utilize each Party's unique abilities, based upon mutually
agreed specific Success Criteria for each specific Research or Development
Project with the challenging goal of identifying new materials which can be
formulated into Laundry and Cleaning Products sold by P&G to provide Observable
Benefits;

        WHEREAS, the Parties recognize the highly uncertain nature of the
Research or Development Projects to be conducted, including the uncertainty
regarding whether one or both Parties may develop new technologies or skills of
value to one or both of the Parties; and

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        WHEREAS, the Parties contemplate that their research or development
efforts may yield patents which the Parties desire to license to each other
consistent with the Research Agreement, the Parties hereby enter into this
Agreement relating to licensing of current Patent Rights (set out in SCHEDULE 1
and incorporated herein by reference) and future Patent Rights (to be set out in
SCHEDULE 2, and incorporated herein by reference) to technology developed
through Approved Projects under the Research Agreement;

        WHEREAS, in order for the Parties to obtain a reasonable return on their
investment of money and development efforts exerted to develop Materials under
the Research Agreement, and to be able to exploit any Patent Rights under this
Agreement, it is necessary for P&G to be exclusively supplied by GCOR with the
Materials developed under the Research Agreement, the essential terms of this
supply being defined by the attached "Heads of Supply Agreement" (APPENDIX A,
incorporated herein by reference in its entirety);

        THEREFORE, in consideration of the mutual promises herein, the Parties
agree as follows.

1.      DEFINITIONS

1.1     Capitalized Terms.

        Capitalized Terms used throughout this Agreement and not otherwise
        defined herein shall bear the meanings set out in definitions in the
        Research Agreement.

1.2     Additional Definitions.

        "Patent Rights" means patent applications and patents issuing therefrom
        (both foreign and domestic) which claim an invention conceived and/or
        reduced to practice pursuant to an Approved Project. Patent Rights shall
        include those inventions presently listed in SCHEDULE 1 and subsequently
        listed in SCHEDULE 2.

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        "Territory" means the World;

1.3     Contents and Headings.

        The contents page and headings are included for convenience only and
        shall not affect the interpretation or construction of this Agreement.

1.4     References.

        In this Agreement, unless the context requires otherwise, any reference
        to:

        (a)  a Party or the Parties is to a party or the parties (as the case
             may be) to this Agreement;

        (b)  a person includes a firm, corporation and unincorporated
             associations, government, state, or agency of state, any
             association or partnership or joint venture (whether or not having
             a separate legal personality);

2.      LICENSES

2.1     Grant of Licenses.

        In consideration of the payment by P&G of certain sums of money for
        portions of the research under the Research Agreement, as well as the
        expending by GCOR of certain sums for portions of such research, and the
        mutual obligations of independent research undertaken by each Party
        under the terms of the Research Agreement, as well as other promises and
        supply commitments accompanying this Agreement, the Parties hereby grant
        the following licenses under relevant Patent Rights;

                  (i) P&G grants to GCOR for use in the Territory an exclusive
                  license to make, have made, use and sell Materials per se,
                  Material stock preparations

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                  supplied by GCOR (including formulations and granulations),
                  and any other Materials and formulations to be supplied by
                  GCOR developed under an Approved Project, as well as methods
                  for manufacturing said Materials, stock preparations, raw
                  Materials and/or formulations, under any applicable Patent
                  Rights owned solely by P&G or jointly by P&G and GCOR;

                  (ii) GCOR grants to P&G for use in the Territory an exclusive
                  license to make, have made, use and sell Laundry and Cleaning
                  Products within the Field of Agreement, and to use such
                  Laundry and Cleaning Products within the Field of Agreement,
                  under any applicable Patent Rights owned solely by GCOR or
                  jointly by GCOR and P&G;

                  (iii) P&G grants to GCOR for use in the Territory an exclusive
                  license to make, have made, use and sell all other
                  compositions other than Laundry and Cleaning Products, and to
                  use such other compositions outside the Field of Agreement
                  under any applicable Patent Rights owned solely by P&G, or
                  jointly by P&G and GCOR; and

                  (iv) GCOR grants to P&G a *** license to Bench Top Assay
                  Patent Rights for use internally within P&G. Outside the Field
                  of Agreement P&G is free to exercise these rights with the
                  limitation that only Isolated Samples may be screened. Within
                  the Field of Agreement P&G will, during the Agreement period,
                  only exercise these rights for the benefit of the joint
                  research performed under an Approved Project.

        The licenses granted here by P&G and GCOR shall continue for the life of
        the applicable Patent Rights, unless otherwise determined pursuant to
        terms under the Research Agreement or Heads of Supply Agreement.

2.2     Exclusivity.

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        The exclusive licenses granted pursuant to SUBSECTION 2.1 (i-iii) shall
        mean that the licensor shall not have the right to grant within the
        Field of Agreement third parties licenses under any of the licensed
        Patent Rights to make, have made, use or sell the licensed products or
        processes as specified in SUBSECTION 2.1 (i-iii) and that the licensor
        shall retain for itself only the right to use the licensed Patent Rights
        for its internal research, development and other non-commercial
        purposes.

2.3     Obligations in Lieu of Royalties.

        P&G shall negotiate the terms of a supply agreement for P&G's exclusive
        purchase and GCOR's exclusive supply of Materials in the Field of
        Agreement on terms which include those agreed to in the attached Heads
        of Supply Agreement (APPENDIX A).

2.4     Discontinuance of Patent Prosecution.

        For any Patent Right licensed hereunder, the prosecuting Party (as
        determined in accordance with the Research Agreement) may discontinue
        its obligation to prepare, file, prosecute and maintain particular
        Patent Right(s) by providing the other Party (the "Assuming Party") with
        thirty (30) days advance written notice (the "Discontinuance Election")
        of any decision to cease preparation, filing, prosecution or maintenance
        of that Patent Rights (a "Discontinued Patent"). In such case, the
        Assuming Party may, at its sole discretion, continue preparation, filing
        or prosecution or maintenance of the Discontinued Patent at its sole
        expense. In such case, the Assuming Party shall own exclusively any such
        Discontinued Patent; and the Party discontinuing its obligation to
        prosecute and maintain such Discontinued Patent shall execute such
        documents and perform such acts as may be reasonably necessary for the
        Assuming Party to file or to continue prosecution or maintenance,
        including assigning ownership of such patents and/or patent applications
        to the Assuming Party and maintaining such patents and/or

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        patent applications until such assignment of ownership is completed.
        Discontinuance may be on a country-by-country basis or for a patent
        application or patent series in total.

2.5     Subsequent Licensed Technology

        The Parties expect that under their Research Agreement, additional
        Patent Rights shall be developed or acquired and herewith agree that
        such Patent Rights shall be added periodically by written mutual
        agreement as a part of SCHEDULE 2. The license to all such subsequently
        developed or acquired Patent Rights shall be the same as that set out in
        SECTION 2.1 above.

2.6     Infringement

        In the event that the Parties become aware of infringement within the
        Field of Agreement of Patent Rights exclusively licensed to one Party,
        the Parties agree to discuss whether and on what terms the assignee
        and/or exclusive licensee will take action to abate such infringement.
        Regardless of whether assignee and/or exclusive licensee takes such
        action to abate infringement, it is agreed that neither Party shall
        settle or abate such infringement by granting any right to the Patent
        Rights in the Field of Agreement without the prior written consent of
        the other. In the event that only one Party takes the action to abate
        such infringement, the amount of cooperation rendered by the
        non-enforcing Party to the other Party shall be left to the business
        judgment of the non-enforcing Party.

2.7     Further Assurances

        Each party shall, promptly on the other's request and at the other's
        cost, execute any further documents or take any steps in relation to the
        license referenced under SECTION 2.1 above in order to give full effect
        to this Agreement, including by registering the same at any patent
        office or offices within the Territory. Any such further documents shall
        operate subject to the terms of this Agreement.

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3.      INTERPRETATION

        A.     Captions - Captions are for convenience only and not to be used
               in construing this Agreement.

        B.     Partial Invalidity - Any provision of this Agreement held invalid
               or illegal shall be severed from this Agreement and shall not
               impair or invalidate any other provision. Any severed provision
               shall be replaced by the valid, legal one which comes closest to
               such severed provision.

        C.     Conflict with Other Agreements - This Agreement shall prevail in
               any conflict between its provisions and any CDA, sales
               literature, order, acceptance, invoice, shipping document,
               correspondence, or other document.

D.      Choice of Law - This Agreement shall be interpreted under the laws of
        Ohio, USA.

4.      GENERAL

        A.     Notices - All notices under this Agreement shall be in writing
               and effective either when served by personal delivery or
               deposited, postage prepaid in registered or certified mail and
               addressed to the respective Contract Administrators.

        B.     Term and Termination - Unless otherwise agreed by the Parties,
               this Agreement shall continue until the termination of the
               Research Agreement, on June 30, 2003 or earlier pursuant to
               SUBSECTION 7.B of the Research Agreement. All licenses,
               ownership rights and all obligations relating to information
               about inventions, including CDA terms, which become effective
               prior to effective termination or expiration of an Approved
               Project, this Agreement, or the Research Agreement (including
               SECTION 8, "Rights Upon Termination"), shall survive.

        C.     Non-assignment - Neither Party shall assign any rights and
               obligations under this

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               Agreement without the other Party's prior written consent.

        D.     Independent Contractors - Nothing in this Agreement shall be
               deemed to create an agency, employer-employee, partnership or
               joint venture relationship between the parties. The parties are
               independent contractors. Neither party has the right to control
               the work of the other's employees.

        E.     Force Majeure - Neither Party shall be responsible for delay or
               failure to perform caused by events beyond its control. Each
               Party shall mitigate any damage caused by such events.

5.      WAIVER AND MODIFICATION

        No omission or delay in enforcing any right shall be a waiver of any
        such right nor shall it affect a Party's ability to enforce such right
        thereafter. This Agreement may be modified only by a writing executed by
        P&G and GCOR.

This Agreement is duly executed below by the Parties duly authorized officers.

GENENCOR INTERNATIONAL, INC.        THE PROCTER & GAMBLE COMPANY

By:   /s/  Carole Cobb              By:   /s/ W.C. Berndt
   ----------------------------        -----------------------------------------
                                           President
                                           Fabric & Home Care Business Unit
                                           Procter & Gamble Worldwide
Title:  Sr. Vice President
      ------------------------

Date:   June 30, 2000               Date:     June 30, 2000

                              APPROVED AS TO FORM         APPROVED FOR EXECUTION

                              -------------------         ----------------------

                              Date                        Date
                                  ---------------             ------------------

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                                   APPENDIX A

                            HEADS OF SUPPLY AGREEMENT

        ***

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                                                                   EXHIBIT 10.13

                                  CONFIDENTIAL

***PORTIONS OF THE EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT UNDER RULE 406 OF THE SECURITIES ACT OF 1933, AS AMENDED.
THE COMPLETE EXHIBIT, INCLUDING THE PORTIONS FOR WHICH CONFIDENTIAL TREATMENT
HAS BEEN REQUESTED, HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE
COMMISSION.

                           COMMERCIALIZATION AGREEMENT
                                     BETWEEN
          THE PROCTER & GAMBLE COMPANY AND GENENCOR INTERNATIONAL, INC.

        This AGREEMENT, effective April 25, 2000 by and between Genencor
International, Inc. ("GCI"), a Delaware corporation with offices at 925 Page
Mill Road, Palo Alto, California 94304-1013 and The Procter and Gamble Company
("P&G"), an Ohio corporation with offices at One Procter & Gamble Plaza,
Cincinnati, Ohio 45202-3393.

        WHEREAS P&G has unique skills and technology specific to the development
and use of skin care product formulations desired by consumers, including skin
care products containing enzymes, and has the ability to manufacture and sell
such products globally; and

        WHEREAS GCI has unique skills and technology specific to the selection
and development of enzymes and other materials obtainable from biological
systems and desired by manufacturers of products for consumer use, and has the
ability to commercially supply such enzymes and other materials in industrial
quantities; and

        WHEREAS GCI and P&G previously executed TERM SHEET on January 25, 2000
concerning the commercialization of a protease enzyme with a low allergenicity
to *** ("LAP ENZYME") for use in P&G proprietary skin care product(s) for
certain SKIN CARE BENEFITS ("SKIN CARE PRODUCTS"), which TERM SHEET requires the
prompt negotiation and execution of this Commercialization Agreement (the
"AGREEMENT"); and

        WHEREAS GCI has previously developed or acquired various technologies
and expertise with applications for proteases having skin care ***
allergenicity; and

        WHEREAS GCI and P&G wish to collaborate in efforts to commercialize,
including any necessary development and testing, a GCI produced LAP ENZYME in
one or more P&G produced SKIN CARE PRODUCTS; and

        WHEREAS P&G and GCI desire and intend to cooperate exclusively on a
worldwide basis in this commercialization endeavor, on terms set out below, and
P&G desires to compensate GCI for a portion of its prior investment in proteases
having skin care *** allergenicity and in return for the PARTIES' exclusive
dealing; and

        WHEREAS the PARTIES' intended outcome is that GCI will manufacture and
sell to P&G, and P&G will purchase from GCI, LAP ENZYME for incorporation into
one or more SKIN CARE PRODUCTS, all consistent with terms agreed between the
PARTIES concerning supply and commercialization.

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        NOW, THEREFORE, the PARTIES hereby agree as follows:

1.      DEFINITIONS

        For purposes of this AGREEMENT, terms shall be defined and construed as
follows:

        a. "EFFECTIVE DATE" shall mean the date first written above.

        b. "PARTY" or "PARTIES" shall mean P&G and/or GCI.

        c. "AFFILIATES" shall mean any person or corporate entity that directly
or indirectly controls, or is controlled by, or is under common control with The
Procter & Gamble Company or Genencor International, Inc. The term control shall
mean the possession of more than fifty percent (50%) of the voting stock of the
controlled PARTY.

        d. "TERM SHEET" shall mean the Agreement between GCI and P&G dated
January 25, 2000. The PARTIES agree that the TERM SHEET shall automatically
terminate on the EFFECTIVE DATE.

        e. "LAP ENZYME(S)" shall mean one or more protease enzymes that achieve
mutually agreed technical criteria, including a defined ***, and are useful in
one or more SKIN CARE PRODUCTS.

        f. "SKIN CARE BENEFITS" shall mean benefits through cleaning or
conditioning the human face, hands or body to achieve one or more of the
following: skin softness, skin smoothness, tactile and visual reduction in dry
skin, ***, measurable increases in skin hydration and moisturization, reduction
in lines and wrinkles, ***, and acne treatment. For clarity, SKIN CARE BENEFITS
excludes, inter alia, uses for: ***.

        g. "SKIN CARE PRODUCT(S)" shall mean topical products that provide or
are intended to provide SKIN CARE BENEFITS and which include LAP ENZYME(S). SKIN
CARE PRODUCT(S) shall be LEAVE-ON SKIN CARE PRODUCT(S) or RINSE-OFF SKIN CARE
PRODUCT(S). RINSE-OFF SKIN CARE PRODUCT(S) shall mean SKIN CARE PRODUCT(S)
wherein the intended application process includes the step of washing the
product off the skin. LEAVE-ON SKIN CARE PRODUCT(S) shall mean all other SKIN
CARE PRODUCT(S).

        h. "OTHER PRODUCT FIELDS" shall mean products, other than SKIN CARE
PRODUCTS, that provide or are intended to provide SKIN CARE BENEFITS and
containing LAP ENZYME, selected from one or more of the following list: ***. In
any event, OTHER PRODUCT FIELDS shall exclude any area where GCI has a
pre-existing relationship covering such field.

        i. "DEVELOPMENT PLAN" shall mean the development tasks undertaken by the
PARTIES pursuant to SECTION 8 below.

        j. "STEERING COMMITTEE" shall mean a committee consisting of four (4)
persons, with two (2) chosen by each PARTY, whose duties are more specifically
set out in SECTION 11 below.

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        k. "INVENTION(S)" shall mean any discovery, whether or not patentable,
first conceived or reduced to practice during the period of, and discovered
during the course of specific tasks in the performance of work under the
DEVELOPMENT PLAN and any patent right granted or pending, now or in the future,
filed in any country, which cover such discovery.

        l. "GCI INVENTION(S)" shall mean INVENTION(S), whether invented solely
and independently by staff of either PARTY or jointly by staff of both PARTIES,
the subject matter of which relates to a biomaterial (enzymes and
microorganisms), related processing, purification or manufacture thereof,
including fermentation systems, microorganism expression systems, gene cloning,
and biomaterial selection.

        m. "P&G INVENTION(S)" shall mean INVENTION(S) whether invented solely
and independently by staff of either PARTY or jointly by staff of both PARTIES,
the subject matter of which relates to the formulation of a biomaterial in a
SKIN CARE PRODUCT, related processing or manufacture thereof, or methods of
using a biomaterial for SKIN CARE BENEFITS.

        n. "NET SALES" shall mean gross receipts from the sales of "relevant
products" by a PARTY, including its AFFILIATES, less only deductions for:

               i)     ***
               ii)    ***
               iii)   ***
               iv)    ***

               For P&G, "relevant products" shall mean RINSE OFF SKIN CARE
PRODUCTS and LEAVE ON SKIN CARE PRODUCTS and for GCI, "relevant products" shall
mean LAP ENZYME, which is sold to third parties under a license provided for in
SECTION 10 (vi) (2).

        o. "MAJOR MARKET LAUNCH" shall mean the date P&G first offers to sell
SKIN CARE PRODUCTS nationally to any member of the ***. MAJOR MARKET LAUNCH
shall not include P&G test markets.

2.      PAYMENTS AND ROYALTIES

        Amounts actually paid under this SECTION are non-refundable once made.
Amounts payable under this SECTION are separate from and not related to purchase
prices mutually agreed for LAP ENZYME.

        a. P&G has paid ***, on or about the date of execution of the TERM
SHEET.

        b. P&G shall pay to GCI *** upon the earlier of EFFECTIVE DATE, or April
25, 2000.

        c. Contingent only upon the PARTIES' mutual agreement to proceed with
large scale clinical qualification studies, P&G shall pay to GCI an additional
sum of ***.

        d. P&G shall thereafter make a payment of ***, conditioned upon
completion of the first successful P&G test marketing of the first SKIN CARE
PRODUCT. "Completion of the

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first successful P&G test marketing" occurs upon date of decision to do any
MAJOR MARKET LAUNCH for the first SKIN CARE PRODUCT.

        e. In addition to the above one-time payments, beginning upon MAJOR
MARKET LAUNCH for each SKIN CARE PRODUCT, P&G shall pay the following running
royalties:

               i) P&G shall pay running royalties of *** of NET SALES of LEAVE
        ON SKIN CARE PRODUCT(S) and *** of NET SALES of RINSE OFF SKIN CARE
        PRODUCTS up to a maximum amount of ***. Such running royalties shall be
        payable on relevant RINSE-OFF SKIN CARE PRODUCT(S) and LEAVE-ON SKIN
        CARE PRODUCT(S); provided however, that running royalties shall be
        capped so that no more than *** is paid for RINSE-OFF SKIN CARE
        PRODUCT(S) and/or no more than *** is paid for LEAVE-ON SKIN CARE
        PRODUCT(S).

               ii) Notwithstanding SECTION 2(e)(i), if P&G does not proceed with
        MAJOR MARKET LAUNCH for any LEAVE-ON SKIN CARE PRODUCT prior to either
        the fifth anniversary after the EFFECTIVE DATE or the running royalties
        reaching *** for RINSE-OFF SKIN CARE PRODUCTS, then running royalties
        will continue to be paid on all SKIN CARE PRODUCT(S) until the entire
        *** cap is reached.

        f. P&G shall within ninety (90) days after the end of each P&G fiscal
year provide GCI with an annual running royalty payment due for the preceding
fiscal year. Such payments shall be accompanied by the statement detailed in
SECTION 3(b), below.

3.      ACCOUNTING AND REPORTING

        a. Each PARTY, including its AFFILIATES, shall keep records in
connection with this AGREEMENT consistent with the standard practices of such
PARTY's accounting conventions which shall be adequate for confirming royalty
calculations consistent with provisions of this AGREEMENT, and shall be closed
and balanced as of the end of each such PARTY's fiscal year, and as soon as
practicable after the end of such fiscal year.

        b. Each PARTY shall annually supply to the other PARTY a statement
reporting such reporting PARTY's worldwide aggregate NET SALES total for all
"relevant products". Such statement shall be reported in United States Dollars,
and to the extent monies are received/incurred in foreign currency, such amounts
shall be converted to United States Dollars using the currency rate(s) of each
PARTY's standard consolidation procedures as applicable to the reporting period.

        c. At the request of either PARTY, made no more often than annually, the
independent accountant of the reporting PARTY, if reasonably acceptable to the
requesting PARTY, or any other independent certified public accountant
acceptable to both PARTIES, shall have the right to review and audit the
relevant books and records of the reporting PARTY for a period of not more than
three (3) years, during normal business hours at the cost of the requesting
PARTY; provided however, that if the audit reveals a discrepancy of Ten Percent
(10%) or greater in favor of the requesting PARTY for such audited period, then
the audit cost shall be borne by the reporting PARTY. Such review and audit
shall occur at the United States corporate headquarters of the reporting PARTY
and the accountant's report to the requesting PARTY shall only state the
aggregate NET SALES for all "relevant products". The accountant shall be
obligated to treat all other information as confidential.

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4.      MARKETING RIGHTS

        As detailed elsewhere in this AGREEMENT, P&G, including its AFFILIATES,
shall have exclusive worldwide rights in its sole discretion to launch and
market SKIN CARE PRODUCT(S) to third parties. All decisions related to such
marketing shall be determined solely by P&G or its AFFILIATES.

5.      MANUFACTURING RIGHTS

        GCI, including its AFFILIATES shall have exclusive worldwide rights to
manufacture the LAP ENZYME for inclusion in SKIN CARE PRODUCT(S), as detailed
elsewhere in this AGREEMENT and under terms to be mutually agreed in a LAP
ENZYME supply agreement.

6.      EXCLUSIVITY

        GCI shall not sell any LAP ENZYME for SKIN CARE PRODUCTS to third
parties during the persistence of contrary exclusivity provisions below. As part
of any LAP ENZYME(S) sales documentation, GCI will for the period of P&G's
exclusivity use reasonable efforts to contractually restrict buyers of any LAP
ENZYME from using such LAP ENZYME(S) for SKIN CARE PRODUCT(S).

        a. Before Launch: GCI, including its AFFILIATES, shall not provide any
LAP ENZYME to third parties for SKIN CARE PRODUCT(S) for a pre-launch period of
up to *** years commencing on the EFFECTIVE DATE. If P&G has not initiated a
MAJOR MARKET LAUNCH for a SKIN CARE PRODUCT within *** years from the EFFECTIVE
DATE, but demonstrates to the reasonable satisfaction of GCI that P&G has made a
firm commitment to launch one or more SKIN CARE PRODUCT(S), then such
exclusivity shall be extended for an additional year. Factors to consider in
demonstrating such firm commitment shall include a major financial commitment,
internal project commitment document approval, and/or notice to the trade of
planned launch. If such reasonable satisfaction is not demonstrated or if no
SKIN CARE PRODUCT has been launched by the *** of the EFFECTIVE DATE, the
PARTIES shall meet to discuss exclusivity term revisions, accelerated launch or
appropriate amendments to this AGREEMENT, including additional payments to GCI.
If the PARTIES fail to agree on exclusivity extensions within six (6) months
after such *** of the EFFECTIVE DATE, GCI's exclusivity commitment shall expire.

        b. After first MAJOR MARKET LAUNCH of any LEAVE-ON SKIN CARE PRODUCT and
agreement upon mutually acceptable supply terms: GCI, including its AFFILIATES,
shall not sell any LAP ENZYME for SKIN CARE PRODUCT(S) to third parties for
LEAVE-ON SKIN CARE PRODUCT(S) worldwide for a period of *** years commencing
upon the first MAJOR MARKET LAUNCH of a LEAVE-ON SKIN CARE PRODUCT. Any
subsequently launched LEAVE-ON SKIN CARE PRODUCT shall enjoy exclusivity for the
remainder of such *** year term. By the *** anniversary of the above MAJOR
MARKET LAUNCH of such LEAVE-ON SKIN CARE PRODUCT, P&G shall have paid to GCI ***
in cumulative purchases for the LAP ENZYME used in LEAVE-ON SKIN CARE PRODUCTS.
If revenues from said LAP ENZYME purchases have not reached ***, then P&G shall
pay to GCI *** of the difference between the actual cumulative purchase amounts
paid to GCI and ***. If

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P&G declines to pay this differential amount within ninety (90) days after such
*** anniversary date mentioned above, then such exclusivity shall expire as to
LEAVE-ON SKIN CARE PRODUCT(S).

        c. After first MAJOR MARKET LAUNCH of any RINSE-OFF SKIN CARE PRODUCT
and agreement upon mutually acceptable supply terms: GCI, including its
AFFILIATES, shall not sell any LAP ENZYME for SKIN CARE PRODUCT(S) to third
parties for RINSE-OFF SKIN CARE PRODUCT(S) worldwide for a period of *** years
commencing upon the first MAJOR MARKET LAUNCH of a RINSE-OFF SKIN CARE PRODUCT.
Any subsequently launched RINSE-OFF SKIN CARE PRODUCT shall enjoy exclusivity
for the remainder of such *** year term. By the *** anniversary of the above
MAJOR MARKET LAUNCH of such RINSE-OFF SKIN CARE PRODUCT, P&G shall have paid ***
in cumulative purchases for the LAP ENZYME used in RINSE-OFF SKIN CARE PRODUCTS.
If revenues from said LAP ENZYME purchases have not reached *** , then P&G shall
pay to GCI *** of the difference between the actual cumulative purchase amounts
paid to GCI and ***. If P&G declines to pay this differential amount within
ninety (90) days after such *** anniversary date mentioned above, then such
exclusivity shall expire as to RINSE-OFF SKIN CARE PRODUCT(S).

        d. No exclusivity or other commitment in this AGREEMENT shall prohibit
either PARTY from receiving, evaluating, or sampling protease or other enzymes,
including low allergenic protease enzymes, from or to any third party. Each
PARTY is free to develop and/or commercialize technologies other than LAP ENZYME
independently with third parties.

7.      OTHER PRODUCT FIELD

        Each PARTY shall have the right of first negotiation regarding use of
any LAP ENZYME in any one of OTHER PRODUCT FIELD(S).

        a. Either PARTY may initiate discussions for such use by forwarding two
copies of a completed Project Form (EXHIBIT A), signed by the initiating PARTY,
to the Primary Contact appointed in accordance with SECTION 8(b), a legal
contact, and a commercial contact. Any Project Form will be treated as
confidential information pursuant to SECTION 12.

        b. The PARTY receiving a completed Project Form shall consider in good
faith the Project proposed in the Project Form and, within 14 (fourteen) working
days of receipt of the completed Project Form, shall give written notice:

                (i) that the PARTY agrees to negotiate in good faith for an
        agreement regarding the proposed Project, by returning a duly executed
        copy of the Project Form; or

                (ii) that the PARTY declines to negotiate an agreement regarding
        the proposed Project; or

                (iii) that the receiving PARTY wishes to pursue the proposed
        Project, but under a modified Project Form provided with said written
        notice; or

                (iv) If the receiving PARTY provides said modified Project Form,
        the initiating PARTY shall consider in good faith the Project proposed
        in the modified Project Form and, within fourteen (14) working days of
        receipt of the modified Project Form, shall give written notice of
        agreement to negotiate an agreement, decline to

                                       6
<PAGE>   7

        negotiate an agreement, or desire to pursue the proposed Project under a
        second modified Project Form in accordance with (b)(i), (b)(ii) or
        (b)(iii). The receiving PARTY shall then consider in good faith the
        Project proposed in the second modified Project Form and, within
        fourteen (14) working days of receipt of the modified Project Form,
        shall give written notice of agreement to negotiate an agreement or
        decline to negotiate an agreement.

        c. If both PARTIES agree to negotiate an agreement regarding said
Project, the PARTIES shall then work diligently and in good faith, during the
thirty (30) days following receipt of notice of acceptance of a Project Form, to
determine whether they have basic agreement upon the principal terms for such
LAP ENZYME for use in the OTHER PRODUCT FIELD. If the PARTIES cannot reach
mutual understanding upon the terms of such an agreement within thirty (30)
days, then each PARTY is free to proceed with third parties, or not, in its sole
discretion, subject to the other PARTIES' patent rights and confidentiality
provisions under SECTION 12.

        d. Until both PARTIES have executed the applicable Project Form, no
PARTY is obligated under any proposed Project, except for the confidentiality
provisions of SECTION 12.

8.      DEVELOPMENT PLAN

        a. The PARTIES shall, with the assistance of the STEERING COMMITTEE,
create, execute and if necessary, modify DEVELOPMENT PLAN to provide for the
tasks necessary for the development of LAP ENZYME(S) for use in SKIN CARE
PRODUCT(S) by P&G, with certain tasks conducted by GCI and other tasks conducted
by P&G, according to their respective skills. The DEVELOPMENT PLAN contains
detailed plans for specific projects to be undertaken by each PARTY under terms
consistent with those set out in this SECTION. Unless otherwise mutually agreed,
each PARTY shall bear the costs for development tasks which it undertakes. The
DEVELOPMENT PLAN is annexed hereto as EXHIBIT B.

        b. All decisions concerning any proposal or task under the DEVELOPMENT
PLAN, falling within the scope of authority set out in SECTION 11 below, and not
requiring an expenditure in excess of ***, shall be undertaken by approval of
the STEERING COMMITTEE. Each PARTY shall appoint a Primary Contact who will be
responsible for the day-to-day activities of the DEVELOPMENT PLAN and reporting
of activities to the STEERING COMMITTEE.

        c. Each PARTY agrees to make its employees and non-employee consultants
reasonably available at their respective places of employment to keep the other
PARTY informed of the progress of tasks in the DEVELOPMENT PLAN and of issues
arising from work performed under the DEVELOPMENT PLAN through the other PARTY's
Primary Contact and/or the STEERING COMMITTEE.

        d. All work on tasks in the DEVELOPMENT PLAN shall end no later than ***
years from the EFFECTIVE DATE, subject only to agreed extensions consistent with
the provisions of SUBSECTION 6(a).

                                       7
<PAGE>   8

9.      INVENTIONS AND OWNERSHIP

        a. INVENTION(S), shall be owned as follows: P&G shall own all P&G
INVENTIONS and GCI shall own all GCI INVENTIONS. Any INVENTION(S), other than
P&G INVENTION(S) or GCI INVENTION(S), if invented solely and independently by
staff of one PARTY, shall be owned by the inventing PARTY. Any INVENTION(S),
other than P&G INVENTION(S) or GCI INVENTION(S), if invented jointly by staff of
both PARTIES, shall be jointly owned by both PARTIES.

        b. Patent procurement activity in regard to INVENTION(S) shall be
pursued at the discretion and expense of the owner(s) set forth in this SECTION.
Each PARTY further agrees to sign documents to vest or maintain title to patents
in the owner(s) designated in this SECTION and to provide reasonable assistance
to the other with respect to preparation and prosecution of such patents.

        c. As to INVENTION(S) to be owned by P&G or GCI in accordance with this
SECTION, the other PARTY agrees to furnish all information and data in its
possession reasonably necessary to file and obtain patents on such INVENTION(S)
and, upon request agrees to review applications for such patents.

        d. Each PARTY agrees to work in good faith, to provide the other's
Primary Contact with timely notification of any patent application relating to
INVENTIONS before the filing of the patent application. The other PARTY will be
given at least ten (10) working days in which to review and comment on such
patent application, unless the other PARTY agrees on a term which is shorter.

        e. In the event an owner of any INVENTION elects not to obtain or
maintain patents on such INVENTION(S) in any country, the owner will promptly
notify the other PARTY who may obtain or maintain such patents at its own
expense. In such circumstances, such owner agrees to have executed by its
appropriate staff such documents as may be tendered to it by the other PARTY to
obtain, maintain, or perfect owner's title to such patents and to furnish
information and data in its possession reasonably necessary to obtain such
patents.

10.     LICENSES

        GCI LICENSED INVENTION(S) under SECTION 10 LICENSES shall mean: (1) GCI
INVENTION(S) owned by GCI hereunder; (2) any patent right granted or pending,
now or in the future, filed in any country by GCI, which GCI owns or has the
legal right to license based on work done by GCI before commencement of work
under the DEVELOPMENT PLAN, and only insofar as is necessary for P&G to make,
have made, use or sell LAP ENZYME in SKIN CARE PRODUCT(S).

        P&G LICENSED INVENTION(S) under SECTION 10 LICENSES shall mean: (1) P&G
INVENTION(S) owned by P&G hereunder; provided however, such P&G INVENTION is
directed to a method for utilizing a LAP ENZYME to provide SKIN CARE BENEFITS
and not dependent upon a specific combination of ingredients, including, for
example, formulations; (2) any patent right granted or pending, now or in the
future, filed in any country by P&G, which P&G owns or has the legal right to
license based on work done by P&G before commencement of work under the

                                       8
<PAGE>   9

DEVELOPMENT PLAN, and only insofar as is necessary for GCI and its third party
purchasers to, make, have made, use or sell any and all SKIN CARE PRODUCTS
including LAP ENZYME.

        Before GCI operates under the definition of P&G LICENSED INVENTIONS,
SUBSECTION (2) and before P&G under the definition of GCI LICENSED INVENTIONS,
SUBECTION (2), such PARTY shall notify the licensing PARTY of the applicable
patent(s) under which the operating PARTY believes itself licensed.

        a. Licenses during purchase by P&G of LAP ENZYME from GCI for
commercialization of SKIN CARE PRODUCT(S):

               (i) GCI, including its AFFILIATES, hereby grants to P&G and its
        AFFILIATES a worldwide license, under GCI LICENSED INVENTIONS, all
        insofar as necessary for P&G to make, have made, use or sell SKIN CARE
        PRODUCT(S), provided that this grant does not include the right for P&G
        to make or have made the LAP ENZYME except as provided in SECTION
        10(b)(v). The license shall be exclusive during the periods of
        exclusivity as detailed in SECTION 6, and royalty bearing in that P&G is
        obligated to make payments under SECTION 2(e). Effective upon
        termination of exclusivity under SECTION 6, GCI, including its
        AFFILIATES, hereby grants to P&G and its AFFILIATES a worldwide,
        royalty-free, nonexclusive, license under GCI LICENSED INVENTIONS, all
        insofar as necessary for P&G to make, have made, use or sell SKIN CARE
        PRODUCT(S).

               (ii) P&G, including its AFFILIATES, hereby grants to GCI and its
        AFFILIATES a worldwide, royalty-free license, under, P&G LICENSED
        INVENTIONS, all insofar as necessary for GCI to make, have made, use or
        sell to P&G any LAP ENZYME for SKIN CARE PRODUCT(S). The license shall
        be sole and royalty-free during the periods of exclusivity in SECTION 6.
        Effective upon termination of exclusivity under SECTION 6, P&G,
        including its AFFILIATES, hereby grants to GCI and its AFFILIATES, a
        worldwide nonexclusive, royalty-free license under P&G LICENSED
        INVENTIONS, all insofar as necessary to make, have made, use or sell any
        LAP ENZYME for SKIN CARE PRODUCTS.

        b. Post Termination Licenses:

        (i) UPON TERMINATION BY MUTUAL AGREEMENT, INCLUDING FAILURE TO AGREE ON
SUPPLY TERMS EVEN AFTER MEETING SUCCESS CRITERIA:

        1. The PARTIES shall not work with third parties to further develop or
commercialize any LAP ENZYME actively worked on by PARTIES under the DEVELOPMENT
PLAN for a period of *** years following said termination.

        2. Effective upon the expiration of said *** year period, GCI hereby
grants to P&G and its AFFILIATES, a nonexclusive, worldwide, royalty-bearing
license under GCI LICENSED INVENTIONS as necessary to allow P&G to make, have
made, use and sell SKIN CARE PRODUCT(S) containing any LAP ENZYME actively
worked on by PARTIES under the DEVELOPMENT PLAN. Royalties under this license
will be negotiated as necessary, and a "reasonable royalty" rate shall be
utilized.

                                       9
<PAGE>   10

        3. Effective upon the expiration of said *** year period, P&G hereby
grants to GCI and its AFFILIATES, a nonexclusive, worldwide, royalty-bearing
license under P&G LICENSED INVENTIONS as necessary to allow GCI to make, have
made, use and sell any LAP ENZYME actively worked on by PARTIES under the
DEVELOPMENT PLAN. Royalties under this license will be negotiated as necessary,
and a "reasonable royalty" rate shall be utilized.

        (ii)   UPON TERMINATION BY P&G THROUGH NO FAULT OF GCI

        1. P&G shall transfer all available human trial and safety testing and
technical data related to LAP ENZYME to GCI.

        2. Effective upon such termination, P&G hereby grants to GCI and its
AFFILIATES a sole, worldwide, royalty-free license, under P&G LICENSED
INVENTIONS, as necessary to allow GCI to make, have made, use and sell any LAP
ENZYME actively worked on by PARTIES under the DEVELOPMENT PLAN

        (iii) UPON TERMINATION BY P&G AS A RESULT OF GCI'S FAILURE TO USE GOOD
FAITH EFFORTS TO PERFORM UNDER THE DEVELOPMENT PLAN

        1. GCI shall not work with third parties to further develop or
commercialize any LAP ENZYME actively worked on by PARTIES under the DEVELOPMENT
PLAN for a period of *** years following said termination.

        2. GCI hereby grants to P&G and its AFFILIATES a sole, royalty-free,
worldwide license under GCI LICENSED INVENTIONS as necessary to allow P&G to
make, have made, use and sell any LAP ENZYME actively worked on by PARTIES under
the DEVELOPMENT PLAN.

        (iv) UPON TERMINATION BY GCI AS A RESULT OF P&G'S FAILURE TO USE GOOD
FAITH EFFORTS TO PERFORM UNDER THE DEVELOPMENT PLAN

        1. P&G shall transfer all available human trial and safety testing and
technical data related to LAP ENZYME to GCI.

        2. P&G shall not work with third parties to further develop or
commercialize any LAP ENZYME actively worked on by PARTIES under the DEVELOPMENT
PLAN for SKIN CARE PRODUCT(S) for a period of *** years following said
termination.

        3. P&G hereby grants to GCI and its AFFILIATES a sole, royalty-free,
worldwide license under P&G LICENSED INVENTIONS as necessary to allow GCI to
make, have made, use and sell SKIN CARE PRODUCT(S) containing any LAP ENZYME
actively worked on by PARTIES under the DEVELOPMENT PLAN.

        (v) UPON SUSPENSION BY P&G AS A RESULT OF GCI'S FAILURE TO COMMERCIALLY
SUPPLY

        1. GCI will arrange for supply to be reestablished over the shortest
period of time possible, whether this is at a GCI facility or through an
arrangement with an alternative supplier

                                       10
<PAGE>   11

(such other supplier to be approved by P&G). In the event that GCI cannot
supply, P&G shall have the right to arrange for an alternative supplier,
provided however that GCI's proprietary information shall be safeguarded by an
appropriate confidential non-disclosure agreement and non-use other than for the
purpose of its supply agreement with P&G. GCI shall aid in the reestablishment
of supply over the shortest period of time possible, and shall grant a
non-exclusive, worldwide, royalty-free license to such alternative supplier
procured by P&G covering the technology and know-how required to produce LAP
ENZYME, including but not limited to samples of LAP ENZYME and/or the process
conditions used to produce LAP ENZYME, as well as GCI paying any expenses for
any up charges associated with P&G obtaining the alternate supplied LAP ENZYME.
Such third party license shall expire at the conclusion of such P&G suspension.

        2. Upon such suspension, GCI hereby grants to P&G and its AFFILIATES a
non-exclusive, worldwide, license under GCI LICENSED INVENTIONS as necessary to
allow P&G to buy this LAP ENZYME from third parties for the duration of the
suspension and for SKIN CARE PRODUCT(S); the license shall be royalty-bearing in
that P&G is obligated to make payments under SECTION 2(e) above.

        3. Moreover, GCI shall not collaborate with third parties or sell this
LAP ENZYME for SKIN CARE PRODUCT(S) for any time during such P&G suspension up
to the *** anniversary of such suspension. Effective upon the expiration of said
*** year period, P&G hereby grants to GCI and its AFFILIATES a non-exclusive,
worldwide, royalty-bearing license under P&G LICENSED INVENTIONS as necessary to
allow GCI to collaborate with third parties and sell any LAP ENZYME actively
worked on by PARTIES under the DEVELOPMENT PLAN. Royalties under this license
will be negotiated as necessary, and a "reasonable royalty" rate shall be
utilized.

        4. If at any time in the future, GCI is able to resume supply of such
LAP ENZYME, GCI and P&G shall agree on terms for GCI to resume such supply. GCI
shall not offer this LAP ENZYME to any third party at a price lower than that
which is already offered to P&G.

        (vi) UPON TERMINATION BY GCI AS A RESULT OF P&G'S FINAL DECISION NOT TO
LAUNCH A SKIN CARE PRODUCT AFTER THE DEFINED SUCCESS CRITERIA, AS SHOWN IN
EXHIBIT C, HAVE BEEN MET.

        1. P&G shall transfer all available human trial and safety testing and
technical data related to LAP ENZYME to GCI.

        2. P&G shall not work with third parties to further develop or
commercialize any LAP ENZYME actively worked on by PARTIES under the DEVELOPMENT
PLAN for a period of *** years following said termination.

        3. P&G hereby grants to GCI and its Affiliates a nonexclusive,
worldwide, royalty-bearing license under P&G LICENSED INVENTIONS as necessary to
allow GCI to make, have made, use and sell any LAP ENZYME actively worked on by
PARTIES under the DEVELOPMENT PLAN. Royalties under this license will be
negotiated as necessary, and a reasonable royalty rate shall be utilized, up to
a maximum amount of ***.

                                       11
<PAGE>   12

        c. Expiration of Licenses

        In SUBSECTIONS 10 (b) (i) through (vi) above, the expiration of such
licenses shall occur upon the date of expiration of the last to expire of P&G
LICENSED INVENTIONS or GCI LICENSED INVENTIONS, as the case may be, unless
otherwise noted.

        d. Third Party License, Sale, or Transfer

        Each PARTY agrees not to license, sell, or transfer to third parties any
P&G LICENSED INVENTIONS or GCI LICENSED INVENTIONS without first reserving or
providing for the grant of the licenses to the other PARTY as set forth in this
AGREEMENT. Any successor in interest of all or any portion of a PARTY or the
business sector of the PARTY corresponding to the field of LAP ENZYME or SKIN
CARE PRODUCT(S) shall take such interest subject to the grants and obligations
set forth in this AGREEMENT.

11.     STEERING COMMITTEE

        a. Each PARTY shall appoint up to two (2) representatives to serve as
members of the STEERING COMMITTEE to direct the overall course of activities
under this AGREEMENT. Decisions of the STEERING COMMITTEE shall require a
unanimous vote. Chairmanship of the STEERING COMMITTEE shall rotate, beginning
with a P&G representative, for twelve- (12) month periods.

        b. Subject to the oversight and approval of the PARTIES, the STEERING
COMMITTEE shall be responsible for the following:

                (i) Overall direction of the DEVELOPMENT PLAN and each
        individual project thereof, including safety testing, staffing and other
        requirements for the DEVELOPMENT PLAN;

                (ii) Monitoring, updating and modifying, if necessary, the
        overall DEVELOPMENT PLAN;

                (iii) Scheduling and conducting biannual reviews, or such more
        frequent reviews as the STEERING COMMITTEE determines necessary;

                (iv) Recommending to the PARTIES the licensing of technology
        and/or intellectual property, if any, from third parties to enhance the
        DEVELOPMENT PLAN projects as needed;

                (v) Preparation and approval of the Success Criteria, consistent
        with the terms of this AGREEMENT; and

                (vi) Reviewing INVENTIONS made pursuant to this AGREEMENT with
        patent counsel, facilitating patent filings by the appropriate PARTY,
        and tracking of patent activities.

                                       12
<PAGE>   13

        c. Each PARTY shall notify the other within thirty (30) days after the
EFFECTIVE DATE of the names of its STEERING COMMITTEE members. The STEERING
COMMITTEE shall have no authority to modify or amend the terms of this
AGREEMENT. Any dispute or issue that cannot be resolved by the STEERING
COMMITTEE shall be referred to senior management of the PARTIES to be resolved
by them, if possible. For purposes of this SECTION, "senior management" for P&G
shall be Vice President, Research & Development, Global Beauty Care and
President, Global Cosmetics & Skin Care and for GCI shall be Vice President,
Research and Vice President, Enzyme Cleaning Products

12.     CONFIDENTIALITY

        a. Disclosure of confidential and proprietary information hereunder by
either PARTY to the other will be made in writing or other tangible form, or
confirmed in writing within thirty (30) days of disclosure if made in
nontangible form, will be clearly marked confidential and will include any
confidential information provided to GCI, or P&G under the Non-Disclosure
Agreement dated February 3, 2000.

        b. Such confidential information will be safeguarded by the receiving
PARTY. The receiving PARTY shall protect the disclosing PARTY's confidential
information against unauthorized disclosure using the same degree of care, but
no less than a reasonable degree of care, as the receiving PARTY uses to protect
its own confidential information of a like nature. Such confidential information
will be used by the receiving PARTY only for the purpose of this AGREEMENT and
will not be otherwise utilized or disclosed to third parties without first
having obtained written consent of the disclosing PARTY, which consent will not
be unreasonably withheld. Disclosing PARTY's confidential information will be
made available only to such receiving PARTY's employees and AFFILIATES who have
a need to know such information. Subject to the provisions of this SECTION these
obligations of confidentiality will apply until the expiration of exclusivity or
three (3) years from the termination of the AGREEMENT, whichever is later.

        c. Obligations regarding confidential information received by either
PARTY under the provisions of SUBSECTION (b) above shall not apply to any such
information that:

                i) becomes publicly available without default hereunder by the
        receiving PARTY; or

                ii) is lawfully acquired by the receiving PARTY from a source
        not under any obligation of confidentiality to the disclosing PARTY
        regarding disclosure of such information; or

                iii) is in the possession of the receiving PARTY in written or
        other recorded form at the time of its disclosure hereunder; or

                iv) is nonconfidentially disclosed to any third party by or with
        the permission of the disclosing PARTY hereunder; or

                v) is developed by or on behalf of the receiving PARTY by
        individuals who have not received confidential information hereunder.

                                       13
<PAGE>   14

        d. The obligations of confidentiality set forth herein further shall not
apply to any information to the extent that such information:

               i) is required to be disclosed by order of a court of law,
        provided that the receiving PARTY provides reasonable prior notice of
        such required disclosure to the disclosing PARTY;

               ii) is used with the prior written consent of the disclosing
        PARTY which consent shall not be unreasonably withheld in applications
        for patents on INVENTIONS or in financial information in the usual
        conduct of business; or

                iii) has been approved in writing for publication by both of the
        PARTIES; or

               iv) is submitted to governmental agencies to facilitate the
        issuance of marketing approvals for materials and products, consistent
        with the DEVELOPMENT PLAN hereunder provided that reasonable measures
        shall be taken to assure confidential treatment of such information; or

                v) is product-related information which is reasonably required
        to be disclosed by either PARTY in connection with its testing or
        marketing of "relevant products", in such PARTY's discretion.

13.     PUBLICITY

        The PARTIES will not publicly release any statement for a period of nine
months from the EFFECTIVE DATE, with the exceptions that:

        a. GCI is free at any time to release information necessary for, or in
support of, a GCI initial public offering; and

        b. either PARTY may disclose the existence of a relationship without
naming the other PARTY in business-to-business meetings or discussions.

14.     SAFETY INFORMATION AND TESTING

        a. GCI shall use best reasonable efforts to promptly provide to P&G
relevant safety and allergenicity assessment information in the possession of
GCI and relating to the LAP ENZYME prior to the EFFECTIVE DATE, and under a
separate confidentiality agreement. Any additional or new relevant safety and
allergenicity assessment information which has not been provided prior to the
EFFECTIVE DATE, shall be provided by GCI promptly after the EFFECTIVE DATE or
acquisition by GCI, including any revisions or additions to such earlier
provided information. GCI further agrees to report to P&G as soon as practicable
any known hazards or operational difficulties in handling the LAP ENZYME.

        b. The PARTIES will follow the mutually agreed upon principles for
appropriate safety testing, as shown in EXHIBIT D.

                                       14
<PAGE>   15

15.     FORCE MAJEURE

        Neither PARTY shall be responsible or liable for any delay or failure to
perform its obligations hereunder if such delay or failure is caused by an act
of God; fire; flood; embargo; explosion; accident; shortage of or inability to
obtain fuel, energy, raw materials, equipment or transportation; good faith
compliance of any law, regulations, standard, order, rule or recommendation made
by any governmental authority; strike or labor controversy (neither PARTY shall
be required to settle any labor matter against its own best judgment); riot or
civil unrest or any cause or circumstances whether similar or dissimilar to the
foregoing beyond the reasonable control of the affected PARTY which makes
impracticable the production, transportation, delivery or sale of LAP ENZYME(S)
or SKIN CARE PRODUCTS. Each PARTY agrees to promptly notify the other PARTY of
any such circumstance. The initial term of this AGREEMENT and any affected time
period as set forth in SECTION 20(a) herein shall be extended by the period of
time during which performance is suspended under this SECTION.

16.     DEFAULT

        If either PARTY hereto shall fail to perform or fulfill, at the time or
in the manner herein provided, any material obligation or condition required to
be performed or fulfilled by such PARTY hereunder and (i) if such PARTY fails to
remedy any such default, other than a default in a monetary payment which shall
be entitled to a ten (10) day period for remedy, within sixty (60) days after
written notice thereof has been given to it by the other PARTY, or (ii) if such
failure consists of a default of a monetary payment and the defaulting PARTY
fails to make such a payment within thirty (30) days after written notice
thereof has been given to it by the other PARTY, such other PARTY thereafter
shall have the right to terminate this AGREEMENT. Nothing contained in this
article shall be construed to exclude any other remedy for legal or equitable
relief otherwise provided by law.

17.     INDEPENDENT CONTRACTORS

        Nothing in this AGREEMENT shall be deemed to create an agency,
employer-employee, partnership, or joint venture relationship between the
PARTIES. The PARTIES are independent contractors. Neither PARTY has the right to
control the work of the other's employees.

18.     NO CONFLICTS

        a. GCI warrants to P&G that this AGREEMENT does not conflict with GCI's
obligations, or those of its AFFILIATES, under any other agreement to which GCI
is a party and that GCI is free to fulfill all obligations stated herein.

        b. P&G warrants to GCI that this AGREEMENT does not conflict with P&G's
obligations, or those of its AFFILIATES, under any other agreement to which P&G
is a party and that P&G is free to fulfill all obligations stated herein.

19.     SEVERABILITY

        If any provision of this AGREEMENT is held by a court of competent
jurisdiction to be contrary to law or public policy or otherwise unenforceable,
the remaining provisions of this

                                       15
<PAGE>   16

AGREEMENT shall remain in full force and effect. To the extent possible, a
substitute, valid and enforceable provision which most nearly reflects the
PARTIES' stated intention as set forth in the original affected provision shall
be given effect by the court.

20.     TERM AND TERMINATION

        a. This AGREEMENT shall continue from the EFFECTIVE DATE until the
earlier of the date of execution of an applicable supply agreement, expiration
of the PARTIES exclusive cooperation under SECTION 6 above or their
non-exclusive cooperation under SUBSECTION 20 (e) below; provided however that
the following provisions shall survive termination hereof consistent with their
terms and including any definitions from SECTION 1 as they are utilized in such
surviving sections: SECTIONS 9(b), 9(c), 9(d), 10(b), 10(c), 10(d), 12, 15, 16,
17, 18, 19, 21, and 22, 23, 24, 25, 26, and 27.

        b. GCI shall have the right to terminate the AGREEMENT in the event that
P&G fails to perform in good faith under the Development Plan or fails to launch
after the defined Success Criteria have been met, in accordance with SECTION
10(b)(iv) or (vi) above.

        c. P&G shall have the right, in its sole discretion, to terminate or
suspend the AGREEMENT at any time, for any commercial or technical reason in
accordance with SECTION 10(b)(ii), (iii), or (v).

        d. If the PARTIES mutually agree to terminate the AGREEMENT, each PARTY
will retain its rights in the technology and know-how related to the LAP ENZYME
and the P&G SKIN CARE PRODUCTS, subject to the provisions of SECTION 10(b)(i)
above.

        e. If the PARTIES mutually agree to continue development work on a
non-exclusive basis after expiration of the pre-commercialization exclusivity
term as provided in SUBSECTION 6 (a) above, then the PARTIES shall operate under
the terms of this AGREEMENT as it may be modified by mutual agreement.

21.     GOVERNING LAW

        This AGREEMENT shall without regard to its conflict of law rules, be
construed in accordance with the laws of the State of Ohio.

22.     NOTICES

        All notices and other communications permitted or required under this
AGREEMENT shall be in writing and shall be deemed given when delivered
personally against receipt or three days after being mailed by registered or
certified mail return receipt requested. The recipients listed below may be
changed by providing notice to the other PARTY.

If to GCI at:                Genencor International, Inc.
                             925 Page Mill Road
                             Palo Alto, California 94304-1013
                             Attention: Senior Vice President, Commercial and
                              Legal Affairs

                                       16
<PAGE>   17

                             Telephone:   650-846-6500

        With a copy to:      Genencor International, Inc.
                             200 Meridian Centre Boulevard
                             Rochester, New York  14618
                             Attention:   Senior Corporate Counsel
                             Telephone: (716) 256-5200

        With second copy to: Genencor International, Inc.
                             925 Page Mill Road
                             Palo Alto California 94304-1013
                             Attention:  Vice President, Enzyme Cleaning
                                         Products
                             Telephone:  (650) 846-7550

        If to P&G:           The Procter & Gamble Company
                             11511 Reed Hartman Highway
                             Box 325 HB3C02
                             Cincinnati, OH  45241-9974
                             Attention:  Associate General Counsel - Patent
                                         Division, Beauty Care
                             Telephone:  (513) 626-5877

        With a copy to:      The Procter & Gamble Company
                             Ivorydale Technical Center
                             5299 Spring Grove Avenue Room 5S17
                             Cincinnati, OH  45217
                             Attention:  Purchasing Manager-Enzymes
                             Telephone:  (513) 627-4872

        With second copy to: The Procter & Gamble Company
                             Miami Valley Labs
                             11810 E. Miami River Road
                             Lab 0N060
                             Ross, OH  45061
                             Attention:  Principal Scientist
                             Telephone: (513) 627-0018

23.     WAIVER

        The failure of either PARTY to insist upon strict compliance with the
terms of this AGREEMENT shall not at any time be considered a waiver or
condonation by such PARTY. Consequently, any delay or failure of a PARTY to
require strict performance shall have no impact on the PARTY's rights.

24.     ASSIGNMENT

        Neither PARTY shall assign any rights or obligations under this
AGREEMENT without the prior written consent of the other PARTY, except insofar
as the assignment is a part of the assigning

                                       17
<PAGE>   18

PARTY's entire line of business related to the subject matter of the AGREEMENT.
Any purported assignment which does not meet the terms of this SECTION shall be
null and void.

25.     EXPORT OF TECHNICAL DATA

        Notwithstanding any other provision of this AGREEMENT, neither PARTY
shall export, directly or indirectly, any U.S. Source technical data acquired
from the other PARTY or its AFFILIATES under this AGREEMENT or any commodities
using such data to any country to which the United States Government or any
agency thereof forbids export or for which the United States Government or any
agency thereof at the time of export requires an export license or other
Government approval, without first obtaining such license or approval.

26.     CAPTIONS

        The captions of this AGREEMENT are illustrative only and shall not be
used in the construction and/or interpretation of this AGREEMENT.

27.     ENTIRE AGREEMENT

        This AGREEMENT supersedes all prior agreements or understandings, oral
or written, covering the subject matter contained herein and, together with its
exhibits, constitutes the entire understanding between the PARTIES with respect
to such subject matter. No modification hereof shall be effected by the use of a
purchase order, a purchase order acknowledgment, acceptance, confirmation or any
other form at variance with or in addition to the terms and conditions contained
herein. This AGREEMENT may only be modified by a writing duly executed by both
PARTIES.

                                       18
<PAGE>   19

        IN WITNESS WHEREOF, the PARTIES hereto have caused this AGREEMENT to be
executed by their duly authorized representatives effective as of the day and
year first above written.

<TABLE>
<CAPTION>

<S>                                          <C>
THE PROCTER & GAMBLE COMPANY                 GENENCOR INTERNATIONAL, INC.

By:    /s/ Susan E. Arnold                   By:    /s/ W. Thomas Mitchell
   -------------------------------------        ---------------------------------------

Name:   Susan E. Arnold                      Name:      W. Thomas Mitchell
     -----------------------------------          -------------------------------------

Title:  President, Cosmetics & Skin Care     Title: President & Chief Executive Officer
      ----------------------------------           ------------------------------------

Date:   4/24/00                              Date:  4/24/00
    ------------------------------------          -------------------------------------
</TABLE>

                                       19
<PAGE>   20

Confidential Info : P&G / GCI, April 7                                EXHIBIT B

                 P&G / GCI LAP DEVELOPMENT PLAN - CALENDAR 2000
                           `FASTEST POSSIBLE TIMELINE'

TIMELINE         MILESTONE                  P&G ACTIVITIES       GCI ACTIVITIES
--------         ---------                  --------------       --------------

***

                                       20
<PAGE>   21

Confidential Info : P&G / GCI, April 7 '00                             EXHIBIT B

                   GCI / P&G LAP DEVELOPMENT PLAN - 2001-2003
                           `FASTEST POSSIBLE TIMINGS'

TIMELINE         MILESTONE                P&G ACTIVITIES          GCI ACTIVITIES
--------         ---------                --------------          --------------

***

                                       21
<PAGE>   22

Confidential Info : P&G / GCI, April 17 '00                           Exhibit C

                                   P&G AND GCI
              LOW ALLERGENIC PROTEASE (LAP) FOR SKIN CARE BENEFITS
                     PROJECT : DEVELOPMENT SUCCESS CRITERIA

Strategic Objective:    Increase P&G's share of the global Skin Care market
                        (leave-on and/or rinse-off applications for face, hands
                        & body) via significant skin benefits.

                        Grow Genencor's business in Skin Care through
                        incorporation of LAP into one or more P&G Skin Care
                        products. P&G and GCI should have patented protection
                        for making & use.

Project Objective:      Revolutionize the global Skin Care market as measured by
                        incorporation of LAP enzyme into at least one leave on
                        and/or rinse off skin care product that delivers one or
                        more consumer noticeable SKIN CARE BENEFITS in an acute
                        time frame (e.g. ***).

Action to be taken:     If the success criteria are met P&G and GCI will enter a
                        mutually agreed upon Supply Agreement.

<TABLE>
<CAPTION>

--------------------------------------------------------------------------------
<S>                       <C>                       <C>
ATTRIBUTE                 SUCCESS CRITERIA          MEASURE
--------------------------------------------------------------------------------
Consumer Recognition      ***                       ***
--------------------------------------------------------------------------------
Technical Performance     ***                       ***
--------------------------------------------------------------------------------
ATTRIBUTE                 SUCCESS CRITERIA          MEASURE
--------------------------------------------------------------------------------
Safety                    ***                       ***
--------------------------------------------------------------------------------
Financial Assessment      ***                       ***
--------------------------------------------------------------------------------
Proprietary               ***                       ***
--------------------------------------------------------------------------------
Industrial Hygiene        ***                       ***

Regulatory
--------------------------------------------------------------------------------
</TABLE>

Timings : as per Development Plan, Exhibit B in the Commercialization Agreement.

                                       22
<PAGE>   23

<TABLE>
<CAPTION>

--------------------------------------------------------------------------------------------------------------------
<S>                    <C>                   <C>                 <C>               <C>                  <C>
C Kuzma                C Steuri              B Lindenschmidt     D Innis           J Thompson           For P&G

--------------------------------------------------------------------------------------------------------------------

D Estell               K Herfert             D Krueger           A Caddow          P Lavielle           For GCI

--------------------------------------------------------------------------------------------------------------------
</TABLE>

Submitted by:          J A D Wright (P&G)

                       E Lippay (GCI)

                                       23

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