Beijing Yakult Co., Ltd to be Established

In December 2005, Yakult Honsha Co., Ltd. (President, Sumiya Hori) will establish a marketing company in Beijing under Yakult China*, its sales and management-type umbrella company which oversees the Yakult business in China, and then begin sales in the Beijing metropolitan area from January of 2006.
Yakult Honsha’s business expansion in China began in June of 2002 with the initiation of the manufacture and sales of “Yakult” by Guangzhou Yakult Co., Ltd. At present, Guangzhou Yakult is expanding its operations in the Guangzhou city and Canton province areas, while Shanghai Yakult is expanding operations within the city of Shanghai.
In addition, for a quicker expansion of the Yakult business in China, a sales and management-type umbrella company, Yakult China, was established in April of 2005, and a rapid and agile business expansion in the massive Chinese marketplace is now being realized.

A summary of the marketing company to be established in Beijing is as follows.

*Yakult China
This is the name used in Japan; the official name is Yakult (China) Co., Ltd. The company was established in April 2005 through a 100% investment by Yakult Honsha Co., Ltd. as a sales and management-type umbrella company to manage operations and promote expansion across China.

Summary

1. Company Name:  Beijing Yakult Co., Ltd. (the official name in Chinese is still undecided)
2. Location:  Within the city of Beijing (planned)
3. Representative:   Haruki Anzai
4. Capital:   $2 million US (Approx. 220 million at 112 Yen to $1 [as of Sept. 26])
   100% investment by Yakult China
5. Sales Area:  Beijing and the surrounding area
6. Sales Method:   Store sales in supermarkets and other retail outlets, and home delivery by Yakult Ladies.
7. Product:   “Yakult”
8. Retail Price:  1.8 RMB (27 yen) per bottle (planned)
9. Sales Plan:  First fiscal year: 30,000 bottles per day
   Third fiscal year:  120,000 bottles per day

  [For Reference: Summary of Beijing]

1. Area:   16,800 square kilometers 
2. Population:  14,230,000 (as of 2002)
3. Other:  Most important government agencies, such as China’s central government, are concentrated in Beijing, which is the capital of the People’s Republic of China.

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