Contributes to The Health of Individuals Worldwide

ANNUAL REPORT 2008 Annual Report 2008 Our Contribution to Financial and Social Responsibility

Contributes to The Health of Individuals Worldwide

2 4 10 16 17 20 22 29 30 32 37 38 40 47 54 64 66 70 102 103 104 106 1 2

Highlights

Message

U. S. 1 U.S.operations The restructuring of

1 Message Alan MacKenzie

2 Message

2 Strengthening strategy in Oncology Area

2 Millennium, The Takeda Oncology Company

2 Strengthening strategy in Oncology Area

Corporate Philosophy

Corporate Governance

Corporate Governance

Intellectual Property

E UROPE R&D in Europe

TCB TGRD

TPEU TPEU

Europe Operations in

Marketing in Europe

Stakeholder's Voice CSR in Europe

Contribution to Society through Pharmaceutical Business Based on Takeda-ism 29 30 32 37 38 40

R&D

R&D pipeline

R&D pipeline

R&D alliance Ulf Wiinberg Partner's Voice

P roduction system

Products

Marketing

Marketing

Relationship with Our Stakeholders Based on Takeda-ism 45 46 47 48 50 52 54 56 57 58 60 61 62 63 64 66

Message

Relationship with Society 1 2 3 4 Society Relationship with

2 Stakeholder's Voice

1 2 2 4 Relationship with Society http://www.takeda.co.jp/csr/

3 Stakeholder's Voice

2 Stakeholder's Voice Relationship with Society http://www.takeda.co.jp/csr/

2 Stakeholder's Voice

2 Stakeholder's Voice Relationship with Society http://www.takeda.co.jp/csr/

Relationship with Environment Environment Relationship with

http://www.takeda.co.jp/csr/policies/article_1007.html

Relationship with Environment http://www.takeda.co.jp/csr/

Relationship with Environment http://www.takeda.co.jp/csr/

http://www.takeda.co.jp/csr/

Relationship with Environment http://www.takeda.co.jp/csr/

http://www.takeda.co.jp/csr/

Relationship with Environment Stakeholder's Voice http://www.takeda.co.jp/csr/

Relationship with Supplier Relationship with Supplier

Relationship with Employees Relationship with Relationship with Employees

Relationship with Employees

71 11 80 82 84 85 86 88 102

200832007 DPC 200821 5 20061D OTC 6965.3%13,748 [] 2007 2006 2005 2007/ 2006 2006/ 2005 6,806 6,617 6,751 2.9% (2.0)% 49.5% 50.7% 55.7% 4,634 4,266 3,359 8.6% 27.0 % 33.7% 32.7% 27.7% 2,036 1,920 1,802 6.1% 6.5 % 14.8% 14.7% 14.9% [] 16,000 60 % 50.5% 12,000 45 6,942 8,000 30 6,806 4,000 15 0 0 02 03 04 05 06 07 272 250 210 8.9% 19.1 % 2.0% 1.9% 1.7% 13,748 13,052 12,122 5.3% 7.7 % [] 2007 2006 2005 2007/ 2006 2006/ 2005 1,240 1,275 1,224 (2.7)% 4.2 % 1,487 1,507 1,599 (1.4)% (5.7)% 2,231 2,062 1,909 8.2 % 8.0 % 3,962 3,363 2,438 17.8 % 37.9 %

6936.9%10,798 3547.7%4,231 707 6.9% 10,962 1,06018.7% 82542.7% 4857.8%5,768 9514.3% 567 TAP TAP 92 15.0%518 20074 200710 2366.3% 2007 2006 2005 2007/ 2006 2006/ 2005 3,994 3,825 3,703 4.4 % 3.3% 37.0% 37.9% 41.4% 6,234 5,617 4,644 11.0 % 20.9% 57.7% 55.6% 51.9% 4,219 3,765 2,954 12.0 % 27.5% 39.1% 37.3% 33.0% 1,825 1,680 1,553 8.6 % 8.1% 16.9% 16.6% 17.4% 191 172 137 11.0 % 25.5% 1.8% 1.7% 1.5% 570 662 598 (14.0)% 10.7% 5.3% 6.6% 6.7% 27 16 14 67.4 % 19.2% 0.3% 0.2% 0.2% 542 646 584 (16.0)% 10.5% 5.0% 6.4% 6.5% 10,798 10,104 8,946 6.9 % 13.0% 62.8% 62.0% 58.5% [] 5,000 4,000 3,000 2,000 1,000 0 [] 3,000 2,000 1,000 0 7.7% 10 02 03 04 05 06 07 02 03 04 05 06 07 4,231 40 % 30 20 10 30 % 2,758 22.4% 20.1% 20 10 0 0 [] (

1965.9%3,555 571 1EPS3297 8.5%41897 ROE15.1% 1.0 1 693 5.8%12,721 3698.2%4,113 662 5.8%12,102 1472.9%5,297 5148.2%6,806 [] 4,000 3,000 2,000 1,000 500 20 1,027 1,024 1,377 0.4% (25.6)% [] 0 10 2007 2006 2005 2007/ 2006/ 02 03 04 05 06 07 2006 2005 12,721 12,028 10,745 5.8% 11.9 % 12,102 11,441 10,191 5.8% 12.3 % 5,297 5,149 4,935 2.9% 4.3 % EPSROE [] 6,806 6,291 5,256 8.2% 19.7 % 618 587 554 5.3% 5.9 % 0 117 102 147 14.1 % (30.4)% 0 02 03 04 05 06 07 2.8% 2.2% 3.7% % 418.97 400 16 15.1% 300 12 [] 200 8 2007 2006 2005 2007/ 2006/ 2006 2005 100 4 4,113 4,482 3,881 (8.2)% 15.5 % 97.2% 97.8% 96.3% 3,555 5.9% 30 % 20 10 0 2005

TPNA 2 40.4% 1,0271414.1% 117 418 17.7%2,786 122 171 2 111 22 200711 SN20082 EX31 5.3%618 [] 2007 2006 2005 2007/ 2006 2006/ 2005 13,748 13,052 12,122 5.3 % 7.7 % 8,593 8,546 8,730 0.6 % (2.1)% 3,579 3,078 2,142 16.3 % 43.7 % 1,473 1,325 1,167 11.2 % 13.6 % 103 103 83 (0.1)% 23.1 % 4,231 4,585 4,028 (7.7)% 13.8 % 5,401 5,304 5,173 1.8 % 2.5 % 1,257 894 326 40.7 % 174.2 % 320 327 246 (2.0)% 33.0 % 18 20 16 (9.4)% 23.3 % (2,765) (1,960) (1,733)

2008 1=1001=155 TPNA TAP 1,952 14.2%15,700 1,43133.8%2,800 TAP 1,55543.7% 2,000 TAP 20085~2009311

200728,493 2,232 2007846 5,267 2007 3313 200723,225 78.8%80.0% 1BPS110.3 345 559 3 16,132 389 2,706.0 [] 2007 2006 2005 2007/ 2006 2006/ 2005 22,438 23,577 23,720 (4.8)% (0.6)% 2,361 2,384 2,157 (1.0)% 10.6 % 3,694 4,763 4,547 (22.5)% 4.8 % 28,493 30,725 30,423 (7.3)% 1.0 % 5,267 6,114 6,467 (13.8)% (5.5)% 472 23,225 24,611 23,484 (5.6)% 4.8 % 2006 [] 40,000 30,000 20,000 10,000 0 02 03 04 05 06 07 28,493 [] 2007 2006 2005 2,925 2,093 3,736 1,017 1,164 66 (2,621) (3,159) (893) (1,666) 117 711 (345) 215 3,619 0 0 0 (345) 215 3,619

2007 72415,717 2068,8355186,882 22007 20071 84184 4016840.1% 1 32008 20082 117085 06 10 45% 4 200716,497 1,286 200645,403 3,420 46,329 46 27,9941,578 57,130 6.42%5 62416,990 [] 1 [] 18,000 90 % 200 60 % 12,000 6,882 60 56.2% 150 168.00 45 40.1% 43.8% 100 30 6,000 8,835 30 50 15 02 03 04 05 06 07 0 0 0 02 03 04 05 06 07 0

1 2 3 OTC 4

5 21 1 AWP Average Wholesale Price: AWP TAP : AWP1 TPNA 6 6,942 AWP 50.5% 4,634 33.7%TAP 518 2 2006628 TAP20003200536 TAP 6 1,223571 20067 2006825 12

11 20083 20073 20063 20053.......................................... 1,374,802 1,305,167 1,212,207 1,122,960......................................... 423,123 458,500 402,809 385,278............................. 576,842 625,379 517,957 441,102........................... 218,766 285,844 201,361 160,231..................................... 2,622 3,730 3,347 3,433....................................... 355,454 335,805 313,249 277,438....................................... 38,908 38,510 32,616 49,230....................................... 31,690 28,820 28,728 31,226....................................... 275,788 193,301 169,645 141,453 1 1.................. 418.97 386.00 353.47 313.01 1..................... 168.00 128.00 106.00 88.00......................................... 2,243,792 2,357,713 2,371,970 1,969,915..................................... 236,134 238,446 215,670 220,133.............................. 369,353 476,342 454,654 355,387.......................................... 2,849,279 3,072,501 3,042,294 2,545,435......................................... 428,711 442,407 488,227 365,500......................................... 98,035 168,978 158,444 133,685..................................... 47,194 44,836.......................................... 2,322,533 2,461,116 2,348,429 2,001,414....................................... 149,478 112,113 108,111 118,042..................................... 15,717 14,993 15,069 14,510 20083311100 20003 20073

1 20043 20033 20023 20013 20003 19993 19983 20083 1,086,431 1,046,081 1,005,060 963,480 923,132 844,643 841,816 $13,748,020 371,633 310,686 281,243 226,102 171,443 142,220 132,952 4,231,230 446,144 431,898 373,427 263,076 202,764 182,142 166,649 5,768,420 157,911 157,485 134,892 114,148 81,446 89,019 83,368 2,187,660 2,969 2,651 2,879 2,073 1,693 1,368 1,671 26,220 285,264 271,762 235,656 146,855 119,625 91,755 81,610 3,554,540 62,472 35,888 44,766 27,411 37,893 29,241 34,091 389,080 28,083 29,962 28,430 33,605 33,364 32,651 32,763 316,900 129,652 124,230 100,278 89,846 77,260 80,034 79,039 2,757,880 321.86 307.63 267.02 166.39 135.55 103.52 92.97 $ 4.19 77.00 65.00 60.00 50.00 32.00 29.00 21.25 1.68 1,730,147 1,542,198 1,345,094 1,138,951 938,236 839,702 841,240 $22,437,920 230,538 203,282 213,385 220,356 240,531 224,229 232,092 2,361,340 374,975 313,889 406,737 388,465 252,895 250,114 215,628 3,693,530 2,335,660 2,059,369 1,965,216 1,747,772 1,431,662 1,314,045 1,288,960 28,492,790 370,562 344,705 371,785 345,626 314,747 278,857 323,375 4,287,110 141,628 106,339 134,099 152,065 104,781 111,753 116,010 980,350 42,460 40,593 39,251 37,217 37,220 29,236 27,792 1,781,010 1,567,732 1,420,081 1,212,864 974,914 894,199 821,783 23,225,330 116,343 76,107 53,364 50,921 51,495 54,059 59,008 14,592 14,547 14,511 15,900 16,254 15,776 16,443

200820073 1 20083 20073 20083............................... 1,613,240 1,647,694 $16,132,400 3.................................. 45,453 92,342 454,530........................................ 26,300 59,900 263,000...................................... 15,212 20,695 152,120........................................ 224,537 232,639 2,245,370........................... 8,440 8,641 84,400..................................... (899) (535) (8,990)................................... 247,290 261,440 2,472,900 4.................................. 116,131 105,307 1,161,310 11.............................. 140,962 139,223 1,409,620.................................. 54,416 51,807 544,160................................... 2,243,792 2,357,713 22,437,920 6........................................... 61,835 62,271 618,350.................................. 270,160 256,546 2,701,600............................... 260,473 233,693 2,604,730................................ 43,330 63,191 433,300...................................... 9,804 4,987 98,040................................... 645,602 620,688 6,456,020................................... (409,468) (382,242) (4,094,680)................................ 236,134 238,446 2,361,340 3............................... 263,138 355,806 2,631,380 3.......................... 29,639 38,839 296,390..................................... 21,625 22,401 216,250 11.............................. 4,400 18,582 44,000..................................... 50,551 40,714 505,510......................... 369,353 476,342 3,693,530......................................... 2,849,279 3,072,501 $28,492,790

1 20083 20073 20083 5................................. 2,561 3,561 $ 25,610 5........................... 800 1,400 8,000...................................... 1,220 4,606 12,200........................................ 69,036 55,186 690,360........................... 2,209 17,177 22,090................................... 72,465 76,969 724,650..................................... 90,265 100,734 902,650........................................ 175,186 155,241 1,751,860.................................. 87,434 104,502 874,340................................... 428,711 442,407 4,287,110 5.................................. 1,250 2,050 12,500 7.............................. 19,757 28,583 197,570............................... 4,152 4,315 41,520 11.............................. 59,946 124,689 599,460.................................. 12,930 9,341 129,300................................... 98,035 168,978 980,350 13 8........................................ 63,541 63,541 635,410 3,500,000,000 2008331889,272,395 2007331889,272,395..................................... 49,638 49,638 496,380..................................... 2,523,641 2,297,438 25,236,410....................................... (322,644) (193,932) (3,226,440) 200833146,411,249 200733129,895,405................................ 2,314,176 2,216,685 23,141,760.......................... 130,453 186,045 1,304,530.................................. (118) (398) (1,180)................................ (163,728) 17,913 (1,637,280)............................. (33,393) 203,560 (333,930)..................................... 41,750 40,871 417,500..................................... 2,322,533 2,461,116 23,225,330.................................. 2,849,279 3,072,501 $28,492,790

2008200720063 1 20083 20073 20063 20083 312................... 1,374,802 1,305,167 1,212,207 $13,748,020 3...................... 278,631 279,662 282,102 2,786,310 9............ 673,048 567,005 527,296 6,730,480......................... 951,679 846,667 809,398 9,516,790 12....................... 423,123 458,500 402,809 4,231,230...................... 62,063 56,244 34,211 620,630............................ (333) (247) (365) (3,330) 3.................. 56,711 66,201 54,184 567,110....................... 751 4,321 145 7,510 10.............. 38,645 17,058 12,048 386,450 7............ 20,411.......................... 18,981 7............... 1,031 10,310......................... (5,149) 4,321 (5,486) (51,490)................. 153,719 166,879 115,148 1,537,190................... 576,842 625,379 517,957 5,768,420 11............... 238,549 243,842 240,449 2,385,490....................... 57,080....................... (19,783) (15,078) (39,088) (197,830)......................... 218,766 285,844 201,361 2,187,660.............. 358,076 339,535 316,596 3,580,760.......................... 2,622 3,730 3,347 26,220............................ 355,454 335,805 313,249 $ 3,554,540 1 12 1................... 418.97 386.00 353.47 $ 4.19 1...................... 168.00 128.00 106.00 1.68

2008200720063 20083 20073 20063............................. 859,377 885,199 885,222......................... (16,523) (32,165) (26)......................... 7 6,343 3............................ 842,861 859,377 885,199 1 20083 20073 20063 20083............................ 63,541 63,541 63,541 $ 635,410............................ 63,541 63,541 63,541 $ 635,410............................ 49,638 49,641 49,638 $ 496,380...................... 0 (3) 3 0............................ 49,638 49,638 49,641 $ 496,380............................ 2,297,438 2,062,226 1,834,931 $22,974,380.......................... 355,454 335,805 313,249 3,554,540............................. (129,251) (98,778) (85,561) (1,292,510) 1 20083 152.00 1.52 20073 113.00 20063 97.00....................... (1,495)............................ (320) (393)............................ 2,523,641 2,297,438 2,062,226 $25,236,410 8............................ (193,932) (3,046) (2,908) $ (1,939,320)............................. (128,758) (235,834) (156) (1,287,580)............................. 46 44,948 18 460............................ (322,644) (193,932) (3,046) $ (3,226,440)............................ 2,314,176 2,216,685 2,172,362 $23,141,760............................ 186,045 171,844 125,342 $ 1,860,450............................. (55,592) 14,201 46,502 (555,920)............................ 130,453 186,045 171,844 $ 1,304,530............................ (398) $ (3,980)............................. 280 (398) 2,800............................ (118) (398) $ (1,180)............................ 17,913 4,223 (69,130) $ 179,130............................. (181,641) 13,690 73,353 (1,816,410)............................ (163,728) 17,913 4,223 $ (1,637,280)............................ (33,393) 203,560 176,067 $ (333,930)............................ 40,871 $ 408,710 2................... 47,194............................. 879 (6,323) 8,790............................ 41,750 40,871 $ 417,500............................ 2,322,533 2,461,116 2,348,429 $23,225,330

2008200720063 1 20083 20073 20063 20083................. 576,842 625,379 517,957 $ 5,768,420.................... (263,795) (356,979) (161,843) (2,637,950)......................... 31,690 28,820 28,728 316,900................... (96) (3,413) 2,005 (960).................. (12,192) (8,145) (11,541) (121,920)................... (38,645) (17,058) (12,048) (386,450)................ (20,411)......................... (18,981)................... 6,832 (30,020) (13,156) 68,320................... (14,510) (7,052) (5,647) (145,100)................... (1,033) 1,213 8,789 (10,330)............................ 7,402 (4,484) 40,742 74,020.... (284,347) (416,099) (144,382) (2,843,470)........ 292,495 209,280 373,575 2,924,950................ (252,637) (325,813) (468,274) (2,526,370)......... 308,478 477,009 484,011 3,084,780................ (41,300) (59,900) (29,900) (413,000)................ 64,900 29,900 649,000............. (32,618) (29,151) (32,093) (326,180)............. 2,228 6,211 899 22,280............. (455) (5,210) (1,588) (4,550)............. 57,503 39,968 13,245 575,030.............. 10,772.............. (1,756) (4,724) (17,560)..................... 19,800............................. (2,594) (1,798) (406) (25,940)........ 101,749 116,392 6,566 1,017,490................... (787) 188 (884) (7,870)................... 1,850............... (1,400) (2,076) (3,218) (14,000).................. (128,758) (213,734) (156) (1,287,580)....................... (129,167) (98,757) (85,529) (1,291,670)............................. (1,970) (1,563) (1,353) (19,700)....... (262,082) (315,942) (89,290) (2,620,820) 2.... (166,616) 11,729 71,060 (1,666,160).............. (34,454) 21,459 361,911 (344,540)............. 1,647,694 1,626,235 1,264,324 16,476,940............. 1,613,240 1,647,694 1,626,235 $16,132,400

1 20083 20073 20063 20083............................ 142 252 365 $ 1,420.......................... 10,272.......................... 3,336.......................... (5,237).......................... (1,794)....................... (39).................... 61.............. (89)....................... (585)......................... 6,236...................... 12,161.................. (1,389).................. 10,772 $.......................... 535 695 $ 5,350.......................... 1,824 3,146 18,240............................ 2,711.......................... (286) (501) (2,860).......................... (311) (791) (3,110).................... (180)....................... 1,762 5,080 17,620.................. (6) (356) (60).................. 1,756 4,724 $17,560.......................... 9,056 $.......................... 3,008.......................... (7,568).......................... (3,255)....................... (422)......................... 18,981...................... 19,800................................ 19,800 $............. 43,429 $

2008200720063 1. 20083311=100 2. 2006311 34 20073122 31 2008321 24 TAP1231 20073 200310 200512 7 200512 10 3 i ii iii

199841 1550 415 5 200833,65636,5601,34313,430 5 19961225 2005129 200732007320083

2004 213 a b 1 120082007 20063848,403869,957885,210 20082007200631 1 200832007 20063

3. 20082007331 : 20083...................... 0.......................... 37,912 215,675 490 253,097.......................... 40,463 1 11 40,453.................... 2,507 27 2,480 : 20073...................... 25,088.......................... 39,402 306,809 103 346,108.......................... 62,265 1 12 62,254.................... 2,508 2 44 2,466 : 20083..................... $ $ $ $ 0......................... 379,120 2,156,750 4,900 2,530,970......................... 404,630 10 110 404,530................... 25,070 270 24,800 20082007331 : : 20083 20073 20083........................................... 7,344 7,113 $ 73,440........................................... 5,000 5,000 50,000............................................. 182 1,820 2008331 : : 20083 1......................................................... 45,906 $459,060 15..................................................... 519 5,190 5.......................................................... 2,507 25,070............................................................ 48,932 $489,320 20082007331 : : 20083 20073 20083.............................................. 4,800 25,906 $ 48,000............................... 24,839 12,933 248,390................................................ 29,639 38,839 $296,390

200820073313 : : 20083 20073 20083............................................ 181,075 288,449 $1,810,750......................................... 47,138 79,929 471,380................................................ 228,213 368,378 2,282,130............................................ 134,580 207,614 1,345,800......................................... 14,016 39,567 140,160.............................................. 79,617 121,197 $ 796,170 : : 20083 20073 20063 20083.................................. 436,885 619,180 677,378 $4,368,850............................... 108,670 106,459 105,994 1,086,700 : : 20083 20073 20063 20083.................................. 111,179 144,651 104,522 $1,111,790.................................. 10,144 77,827 72,076 101,440 4. 20082007331 : : 20083 20073 20083............................................ 45,696 36,410 $ 456,960......................................... 33,712 34,167 337,120......................................... 36,723 34,730 367,230................................................ 116,131 105,307 $1,161,310 5. 20082007331 200820073312.4% 2.2% 20082007331 : : : 20083 20073 20083 [:2008~20093 20081.3% 20071.2%].................. 800 2,200 $ 8,000 : [:20113 20082.1% 20072.1%].................. 1,250 1,250 12,500.............................................. 2,050 3,450 20,500 1.......................................... 800 1,400 8,000..................................... 1,250 2,050 $12,500

2008331 : : 20093...................................................... 800 $ 8,000 20103...................................................... 20113...................................................... 1,250 12,500 20123...................................................... 20133................................................................................................................... 2,050 $20,500 2008331 : :...................................... 5,617 $56,170 6. 1. : 20083.......................................... 10,255 3,466 13,721..................................... 5,116 1,791 6,907.......................................... 5,139 1,675 6,814 : 20073.......................................... 10,110 3,292 13,402..................................... 5,145 1,672 6,817.......................................... 4,965 1,620 6,585 : 20083........................................ $102,550 $34,660 $137,210................................... 51,160 17,910 69,070........................................ $ 51,390 $16,750 $ 68,140 : : 20083 20073 20083 1.............................................. 2,541 2,468 $ 25,410 1.............................................. 4,273 4,117 42,730.............................................. 6,814 6,585 $ 68,140

: : 20083 20073 20083.......................................... 2,722 2,646 $ 27,220...................................... 2,722 2,646 27,220 2. : : 20083 20073 20083 1.............................................. 2,031 1,568 $ 20,310 1.............................................. 6,505 5,400 65,050.............................................. 8,536 6,968 $ 85,360 7. 2004326 2005512005913 20,411 13,962 20074 200831,03110,310 20082007331 : : 20083 20073 20083...................................... 240,442 257,554 $ 2,404,420..................................... (262,230) (293,966) (2,622,300).................................. (5,953) 25,681 (59,530)..................................... 10,913 13,623 109,130........................................... (16,828) 2,892 (168,280)......................................... (34,365) (23,750) (343,650)........................................ 17,537 26,642 $ 175,370 : : 20083................................................ (7,423) $ (74,230)............................................. 1,313 13,130.............................................. (6,110) $ (61,100) 5,08050,8004

: : 20083 20073 20083............................................ 4,879 5,124 $ 48,790............................................ 4,913 5,290 49,130......................................... (5,870) (5,776) (58,700)................................ (5,587) (2,541) (55,870)................................... (2,981) (683) (29,810)......................................... (4,646) 1,414 (46,460)......................... (1,031) (10,310)............................... 559 5,590................................................ (5,118) 1,414 $(51,180) 20082007331 20083 20073........................................................................ 1.5%2.0% 2.0%2.3%...................................... 1.5%2.5% 1.5%2.5%................................ 5 5............................. 5 5 20082007331 2,22022,2001,941 8. 21 25% 10% 25% 2005200620072007 20086262007840.84 70,807708,070 9. 2008200720063275,7882,757,880193,301 169,645

10. 20083 20083 38,645 386,450 20073 2007317,058 11. 20083 20073 20063............................................ 40.9% 40.9% 40.9%.................................. 0.9 0.5 0.6..................................... 2.8 0.0 0.1.................................... (3.5) (3.3) (3.3)................................... (0.1) (0.1) (0.1).................................. (3.9) (1.2) (1.6)................................. 9.1......................................... 0.8 (0.2) 2.3............................................ 37.9% 45.7% 38.9% : : 20083 20073 20083......................................... 10,357 10,324 $ 103,570........................................ 63,972 54,289 639,720............................................ 6,639 10,024 66,390........................................... 9,108 6,828 91,080........................................... 31,401 25,380 314,010................................... 8,878 12,835 88,780................................ 28,039 18,951 280,390...................................... 5,816 9,697 58,160............................................ 33,552 16,537 335,520............................................ 14,530 3,133 145,300................................... 18,859 14,927 188,590............................................ 23,956 34,891 239,560..................................... 255,107 217,816 2,551,070........................................ (19,579) (3,443) (195,790)........................................ 235,528 214,373 2,355,280........................................ (14,055) (9,713) (140,550)...................... (31,333) (26,999) (313,330)............................... (84,889) (120,561) (848,890)................................... (11,904) (13,352) (119,040)............................................ (7,975) (10,631) (79,750)........................................ (150,156) (181,256) (1,501,560)..................................... 85,372 33,117 $ 853,720 20073TAP 57,080

12. 2 200820073 20083 : 20073....................................................... 1,272,061 1,202,788...................................................... 102,741 102,379....................................................... 1,374,802 1,305,167 20083 : 20073....................................................... 411,342 448,206...................................................... 11,688 10,247..................................................... 93 47....................................................... 423,123 458,500 20083 : 20083...................................................... $12,720,610 $4,113,420..................................................... 1,027,410 116,880.................................................... 930...................................................... $13,748,020 $4,231,230 20083 : 20073....................................................... 783,906 850,383...................................................... 219,282 241,153..................................................... 1,846,091 1,980,965....................................................... 2,849,279 3,072,501 20083 : 20073....................................................... 24,423 21,453...................................................... 6,396 6,403..................................................... 871 964....................................................... 31,690 28,820

20083 : 20073....................................................... 29,949 32,739...................................................... 8,959 5,771....................................................... 38,908 38,510 : 20083 20083 20083.......................................... $ 7,839,060 $244,230 $299,490......................................... 2,192,820 63,960 89,590........................................ 18,460,910 8,710.......................................... $28,492,790 $316,900 $389,080 1,847,62318,476,230 1,982,815........... : 20083 20073........................................................... 859,329 854,619........................................................... 357,905 307,801........................................................... 147,308 132,478......................................................... 10,260 10,269....................................................... 1,374,802 1,305,167 : 20083 20073........................................................... 540,063 530,412........................................................... 125,701 89,353........................................................... 32,049 32,707......................................................... 1,812 2,000....................................................... (276,502) (195,972)....................................................... 423,123 458,500

20083 : 20073........................................................... 778,388 804,590........................................................... 197,100 205,164........................................................... 111,597 141,712......................................................... 15,153 15,347....................................................... 1,747,041 1,905,688....................................................... 2,849,279 3,072,501 : 20083 20083 20083.............................................. $ 8,593,290 $ 5,400,630 $ 7,783,880.............................................. 3,579,050 1,257,010 1,971,000.............................................. 1,473,080 320,490 1,115,970............................................ 102,600 18,120 151,530.......................................... (2,765,020) 17,470,410.......................................... $13,748,020 $ 4,231,230 $28,492,790 275,7882,757,880 193,301 1,892,93818,929,380 2,055,908 : : 20083 20073 20063 20083.................................... 463,365 426,561 335,922 $4,633,650.................................... 203,632 191,963 180,223 2,036,320.................................. 27,205 24,979 20,979 272,050................................... 694,202 643,503 537,124 $6,942,020 20083 20073 20063................................................ 33.7% 32.7% 27.7%................................................ 14.8 14.7 14.9.............................................. 2.0 1.9 1.7................................................ 50.5% 49.3% 44.3%

13. 2008331 : :......................................................... 2,263 $22,630................................... 18 180 14. 1 AWPAverage Wholesale Price: AWPTAP :AWP1 TPNAAWP 2 2006628TAP20003200536 TAP 61,223 571200672006825 15. 1. 3TAH 50%TAPTAP 430 1 TAP TPNATGRD 2 2008430 TAP TAPTAH100%TAP dexlansoprazoletak-390mr ilaprazoleiy-81149febuxostattmx-67 20087 TAPTPNATAPTGRD 3 TAP Pharmaceutical Products Inc. Takeda Pharmaceuticals North America,Inc. Takeda Global Research & Development Center Inc. 19855 19985 20041 675 North Field Drive Lake Forest, IL 60045,U.S.A. One Takeda Parkway Deerfield, IL 60015, U.S.A. One Takeda Parkway Deerfield, IL 60015, U.S.A. Alan MacKenzie Mark Booth Dave Recker 39.5 1 5

2. 4 TAH100%Mahogany Acquisition Corp. 5 TAH100% 1 2 Millennium Pharmaceuticals, Inc. Deborah Dunsire 1,000 32520071231 324,850,1682008222 NASDAQ 3 2008411513 4 125.00 UBS Investment Bank 5 0% 100% 6 88 7 3. 410411424 1,10057,826 59512620 1,699100,000 4. 4255,713 523 6241,699 718

2008331 200733120073 312 2007628 1200742 17 2008331 115 215 3152008410200859 4152008425 2008624 2008331 1 KPMG AZSA & Co. 2008626 Takeda Pharmaceutical Company Limited Annual Report 2008 Independent Auditors Report 102

2008331 1781612 1925129 63541 149,478 889,272,395 541-00483-6-5 4502 UFJ100-8212 45 10 56,400 6.34% 48,478 5.45% 41,145 4.63% 19,029 2.14% 17,912 2.01% 505103 15,502 1.74% 13,666 1.54% 12,786 1.44% 12,477 1.40% 10,270 1.15% TOPIX 9,000 TOPIX 3,000 7,500 2,500 6,000 2,000 4,500 1,500 3,000 1,000 1,500 500 0 4 8 12 4 8 12 4 8 12 4 8 12 4 8 12 2002 2003 2004 2005 2006 2007 100 4 8 12 2008 0 80 60 40 20 0 4 8 12 4 8 12 4 8 12 4 8 12 4 8 12 4 8 12 2002 2003 2004 2005 2006 2007 2008 TOPIXTOPIX

540-8645 11 Tel: 06-6204-2111 Fax: 06-6204-2880 103-8668 1210 Tel: 03-3278-2111 Fax: 03-3278-2000 http://www.takeda.co.jp/