Kao Corporation Agrees to Acquire John Frieda Professional Hair Care, Inc. through its Subsidiary, Andrew Jergens Company

Business Wire, August 1, 2002

Business Editors

CINCINNATI--(BUSINESS WIRE)--August 1, 2002

Kao Corporation (President: Takuya Goto, headquarters: Tokyo, Japan) has agreed to acquire John Frieda Hair Care companies (Headquarters: Wilton, Connecticut, U.S.A.), an innovative marketer of premium hair care brands including Frizz Ease(R), Sheer Blonde(R), Beach Blonde(R), Ready to Wear(R)and Frizz Ease Relax(R).

This acquisition is made through The Andrew Jergens Company (Headquarters: Cincinnati, Ohio, USA), Kao's wholly owned subsidiary. The acquisition procedure is expected to be completed in September 2002 after approval by the relevant Authorities. John Frieda Salons are not part of the acquisition. John Frieda, Inc. develops, markets and distributes retail hair care products including hair serums, styling products, shampoos, conditioners and hair color products throughout North America, Europe and Australia.

William Gentner, President and Chief Executive Officer of the Andrew Jergens Company, stated, "This acquisition fits with Kao's strategy to become a leading marketer of premium personal care products in North America. The acquisition of the John Frieda brands marks Kao's entry into the mass hair care market in North America. We see strong potential for continued growth with these hair care brands."

Andrew Jergens is one of the leading skin care companies in North America. Brands include Jergens(R) and Curel(R) hand & body moisturizers, Biore(R) facial care and Ban(R) anti-perspirant/deodorant. The synergy sought from the integration of Kao's hair care technology, its Asian and continental European hair care expertise and Andrew Jergens' strong North American sales, marketing and manufacturing capabilities is expected to contribute further to the Kao Group's hair care business.