News Releases

Jun. 16, 2000

Information System-Related Functions Transferred to Sumitomo Chemical System Service

Sumitomo Pharmaceuticals Co., Ltd. has decided that as of June 27, 2000, part of its Computer Systemization Department's functions -information system development, operation, and maintenance- will be transferred to Sumitomo Chemical System Service. Along with this transfer, the responsible department staff members will be on loan to Sumitomo Chemical System Service and continue to take charge of the relevant activities there.

Sumitomo Pharmaceuticals has had the Computer Systemization Department perform information-related functions ranging from planning to development, operation, and maintenance. However, to take advantage of the recent advancement of information technology (IT), the Company has judged it more beneficial to transfer and outsource departmental functions other than the corporate-wide information system planning, to Sumitomo Chemical System Service, which has a proven record with the Company's host computer operation.

Sumitomo Chemical System Service, Sumitomo Chemical's wholly-owned information system specialized firm, is involved in providing system development, operation, and maintenance services to Sumitomo Chemical and its group companies.

With more rapidly advanced IT, there has been an increasing number of IT application areas on the business scene, including business support, research support, integration of core operations, and electronic commerce. More advanced, more specialized expertise is not only required in developing and operating information systems, but also applied to a wider range of areas. The Company has to keep pace with this trend and capitalize on IT so that it can operate more efficiently for the pursuit of profit and competitive advantage. In short, how to address the challenge is a key to its future growth.

Under such circumstances, the system sector is required more than ever to speedily provide reasonably-priced, high-quality, effective information systems.

Sumitomo Pharmaceuticals expects that the transfer and outsourcing of information system-related functions will give the Company an opportunity to receive information services of higher quality and cost performance that can serve in carrying out more efficient business operations.