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Executive Summary

SHISEIDO IS NOT INTERESTED IN U.S. MASS MARKET, the firm declared in a March 27 letter to "The Pink Sheet." Commenting on a story in the March 26 issue of "The Pink Sheet," Shiseido Technical Liaison Representative Koji Yoshino asserted: "Shiseido is NOT looking for entry into the U.S. mass market. It is not our intention to diverge from our status as a prestigious cosmetic company." [EDITORS' NOTE: Emphasis was added by Yoshino.] The article in "The Pink Sheet" incorrectly combined recent indications of interest in U.S. OTC products by Shiseido with a blind ad in a trade assn. publication. Shiseido declares that the ad was not placed by the firm. The March 27 letter from Shiseido to "The Pink Sheet" states: "Neither Shiseido Cosmetics (America) Ltd. nor our parent company, Shiseido Co., Ltd., are responsible for the placement of a blind ad that appeared in the Proprietary Assn. Executive Newsletter. It was erroneous for you to conjecture that it was this company, and, based on that presumption, to build an entire scenario on that premise." The ad cited a "Japanese pharmaceutical company" which was interested in "novel, fast-moving products." "The Pink Sheet" article further identified Koji Yoshino as the "point man" in the licensing search. Yoshino described his responsibilities in his letter as "solely to conduct research and development of cosmetic products produced by Shiseido and for Shiseido products only." He added that he "has not the responsibility, nor has he the authority for such a licensing search on behalf" of the Shiseido home office.

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