Kaneka Expands CoQ10 Facilities at Takasago Plant.

Tokyo, Japan, Dec 28, 2006 - (JCN) - Kaneka announced on December 22 that it has completed the planned expansion of its CoQ10 facilities in Takasago, Japan, and has begun commercial shipment of KanekaQ10 to customers after meeting the required pharmaceutical validations and safety confirmation of its production facility.

The expansion brings Kaneka's annual CoQ10 production capacity in Japan from 150 metric tons to 180 metric tons, an expansion needed in order to meet steadily increasing CoQ10 demand worldwide.

Meanwhile, in the United States, Kaneka Nutrients L.P., in Pasadena, Texas, a fully owned subsidiary of Kaneka Corporation of Japan, is currently building a new CoQ10 plant with an annual production capacity of 100 metric tons.

This Phase I construction, although affected by two recent hurricanes, is expected to be completed by the summer of

2006, thus enabling Kaneka to better meet the strong increase in CoQ10 consumption both in the United States market and in the Japanese and other worldwide markets.

Kaneka is planning further expansion of its CoQ10 production capacity in both of its U.S. and Japanese facilities.

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