Arbitration result between Asahi Kasei and CoTherix, Inc. of the US

A final ruling has been issued in arbitration proceedings between Asahi Kasei Pharma and CoTherix regarding a license agreement for CoTherix to develop fasudil, a rho-kinase inhibitor discovered and owned by Asahi Kasei Pharma. In June 2006 the two parties concluded a license agreement whereby Asahi Kasei Pharma granted CoTherix rights for the development and commercialization of fasudil. In January 2007 CoTherix discontinued the development of fasudil, and in October 2007 Asahi Kasei Pharma initiated arbitration proceedings with the International Chamber of Commerce in California seeking compensation for breach of the terms of the license agreement. In its final ruling, the arbitration panel has ordered CoTherix to pay Asahi Kasei Pharma approximately US$91 million. Asahi Kasei Pharma is now examining the details of this ruling and the effect the ruling will have on its financial results. The financial effect of the ruling will be disclosed upon final confirmation.