Tokyo, November 2, 2021 – CMIC HOLDINGS Co., Ltd. (the “Company”) today announced the extraordinary loss (impairment loss) as follows in the fiscal year ended September 2021.


Notes
1.Recording of Extraordinary Loss (Impairment Loss)
During the fourth quarter of the fiscal year ended September 2021, we expect to record an extraordinary loss of ¥2,102 million due to the impact of the fixed assets of the Ashikaga Plant (excluding the new sterile injectable production facility) owned by CMIC CMO Co., Ltd. CMIC CMO operates a domestic CDMO business, and a drop in the production volume of our mainstay products and the degradation of facilities led to the start of a fundamental improvement plan aiming at establishing a more stable manufacturing base for the future.

2.Recording of Extraordinary Loss (Impairment Loss)
The impact of the above extraordinary losses on business results is reflected in the “Notice Regarding Revisions to Earnings Forecasts” announced today.