February 20, 2006

Fuji Photo Film Co., Ltd. (President and CEO: Shigetaka Komori; hereafter, Fujifilm) has announced that it purchased the 22% equity stake in Perseus Proteomics, Inc. (President and CEO: Kazuyuki Matsuda; hereafter, Perseus), a Tokyo-based novel biopharmaceutical venture firm, through a third-party allocation of new shares. It has made Fujifilm the majority shareholder of Perseus. The deal, worth 998 million yen, marks Fujifilm's full-fledged entry into the antibody-based therapeutics*1 business. Fujifilm will initially start the business with diagnostic agents and systems using diagnostic biomarkers for cancer and other lifestyle-related diseases developed by Perseus.

Fujifilm is now making further headway toward new growth strategies a key part of its VISION75 medium-term management plan. The life sciences has clearly been one of the most prospective fields. Last May, Fujifilm joined the Cosmos Alliance, an international membership organization established to encourage technology exchange for promotion of the commercialization of leading-edge technologies. It also invested in a number of member companies of the alliance. The following September, it jointly formed Fujifilm CMIC Healthcare, Ltd., with CMIC Co., Ltd., a pioneer in the clinical testing support field. Fujifilm has made significant strides in developing opportunities in the medical and pharmaceutical fields in addition to its established businesses of bio-imaging and in vitro diagnosis.

Perseus is a biopharmaceutical venture established on the basis of technologies developed by the Research Center for Advanced Science and Technology at the University of Tokyo. Perseus holds an exclusive license to Budded Baculovirus Expression Technology*2, which enables the display of large amounts of target proteins that are directly available as antigens without having to go through a complicated protein purification process. Also, the venture promotes the development of novel therapeutic and diagnostic agents for cancer and other lifestyle-related diseases through the use of advanced technology to produce Monoclonal Antibodies*3 , which can recognize and bond to a specific target antigen. Perseus is the only company in the world in possession of nuclear hormone receptors*4, holding licenses for all 48 types of intracellular receptor antibodies, which hold the key to the development of therapeutic agents for lifestyle-related diseases.

By forming a cooperative strategy with Perseus, Fujifilm plans to market a diagnostic system that utilizes diagnostic biomarkers for lifestyle-related diseases such as cancer and arteriosclerosis in 2008. Fujifilm will proceed with the development of new advanced medical materials combining Peruseus' technologies with its molecular imaging technology which enables visualization of in vivo molecules using its proprietary materials. Fujifilm will also search for novel medical compounds by applying Perseus' technologies to the 200,000 types of chemical compounds developed during its long history of advancing photographic technologies. By creating unique and cutting-edge products and services Fujifilm aims to contribute to further advancements in the life sciences, medical and pharmaceutical fields.

*1 Antibody-based Therapeutics:
A pharmaceutical agent that utilizes both antibodies that bond target proteins and the built-in immune functions of living organisms. Because the antibodies act only to the target cells or substances, antibody-based therapeutics are expected to increase its effectiveness and reduce side effects.

*2 Budded Baculovirus (BV) Expression Technology:
Technology used to produce large amounts of target protein on the surface of Budded Baculoviruses, which propagate efficiently within insect cells, by placing genes that can create proteins that form antigens.

*3 Monoclonal Antibody Technology:
A technology used to form monoclonal antibodies that bind onto target antigens in a stable manner by utilizing a cell fusing method.

*4 Nuclear Hormone Receptor:
This is a protein found in the nuclei that controls various gene expressions relating to vital organ functions such as carbohydrate/lipid metabolism, bone metabolism, anti-inflammatory effects and immunosuppressive effects. 48 human intracellular receptors have been identified to date and currently, treatment drugs such as those that activate the specific intracellular receptor relating to carbohydrate/lipid metabolism to treat diabetes (a common lifestyle-related disease) are being developed.

[Summary of Fujifilm's Investment]
Acquired Shares:  9,980 common stock
Issue Price: 100,000 yen per share
Issuance Amount: 998 million yen
Acquired Stakes: 22.0% of equity stakes after the capital increase

[Profile of Perseus Proteomics, Inc.]
Company Name:  Perseus Proteomics, Inc.
President and CEO:  Kazuyuki Matsuda
Address: 7-6 Komaba 4-Chome, Meguro-ku, Tokyo
Established: February 1, 2001
Capital: JPY637,750,000 (as of September 2005)
Operations: Development of antibody-based therapeutics, in vitro diagnostics, research reagents, and nuclear hormone receptor drugs

Media Contact:
Fuji Photo Film Co., Ltd.
Corporate Communications Division, Public Relations Division
Tel: 81-3-3406-2490
Fujifilm website:
Japanese :http://fujifilm.jp/
English :http://www.fujifilm.com/