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I. Company Brief :

I. Company Brief :. i) History & Business field. Foundation: March 2003 Business category: i) R&D networks: Product development, Outsourcing ii) PET –CARE : Marketing/Sales & Distribution - Channel : Animal Hospital nationwide - Dog&Cat Shampoo/Rinse/Medicated Shampoo

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I. Company Brief :

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  1. I. Company Brief : i) History & Business field • Foundation: March 2003 • Business category: • i) R&D networks: Product development, Outsourcing • ii) PET –CARE : Marketing/Sales & Distribution • - Channel : Animal Hospital nationwide • - Dog&Cat Shampoo/Rinse/Medicated Shampoo • ii) Oriental HerbCosmetics : • - Anti-acne products/Hair-care items/ • In Cosmetics ( Edible Skin care cosmetics) etc. • 3) Collaboration partners: • - Amway(Korea) & Aekyung Ind. Co., Ltd./ • Somang cosmetics company / Hi-living Company etc.

  2. Top-Ranking PET-CARE Company Local Market Leader ( R& D Networks) • CHD MEDICS • Market Leading company • Top Quality Products • Strong Brand Power • Top quality Human Resources: • Mutual collaboration with • 10(ten) Doctorship engineers & Technicians • including Doctor of Veterinary (3) • Engineer(1) • Ph.D of Dermatology(1) • Ph.D of Chemical Engineering(1) • Ph.D of Pharmacy (1) • Ph.D of Biz. Administration(1) • Ph.D of Agriculture(1) • Former KFDA General manager (1) Top Quality Product Global Expansion • Technical Know-How • Patent registered: • Antimicrobial Effect formula, • Micro-capusulation technology, • PIC(Perfect Idean Cleansing)system • Safety Test ( on dog’s skin & eye )/ • Stability Test CO-WORK: W/ Multi Labs & Universities Customer Satisfaction (Reliabilty)

  3. ii) R&D collaboration network & outsourcing Relationships: Domestic Research Relationships: Collaborations with : -Seoul National University (College of Veterinary ) -Sookmyung Women’s University -Chungbuk National University -Dr. H.D. Shin Laboratory -Chungnam National University (College of Medicine) SOMETHING-NEW DIFFERENTIATED PRODUCT . Uniqueness Patent registered: -Antimicrobial effect -Special complexes of Key Ingredients Know How accumulated: Multi careersrelated to develop many famous Korean cosmetics brands and hair - care items.

  4. Why should PRUNUS be? “The skin of dogs is weaker than that of people!” 1) Use of the minimized materials to reduce stimuli and reactions to the skin of dogs: • Important to choose an appropriate shampoo given that the skin of dogs is weaker than that of people • The main component of shampoo: Anion Detergent ( approximately 40%-50%), varying from cheap materials to expensive living –ingredient amino acid derivatives • PRUNUS Products: : Use natural plants and living –ingredient amino acid derivatives Surfactants 2) Trustable Quality of Products • PRUNUS developed through collaboration with the prestigious universities: Seoul National University (College of Veterinary Medicine)/ Sookmyung Women’s University ( Pharmaceutical Institution)/ Chungbuk National University(College of Veterinary Medicine) 3) Safety /Stability Test: - Skin irritation test - Eye irritation test → Proved Safety (near zero)

  5. Features of PRUNUS (Comparison with domestic and foreign products)

  6. PRUNUS Product LINE - UP

  7. PRUNUS Skin Clinic Shampoo (Chlohexidine Gluconate 4%, Natural antimicrobial material included) I. Product Concept For the first time, CHD Medics developed a clinic shampoo which is made from the main component, Chlohexidine Gluconate ( 1%, 2%, 4%), pomegranate bark extract, and natural herb components , through collaboration with Seoul National University (College of Veterinary Medicine) and Sookmyung Women’s University ( Pharmaceutical Institution). In addition, its effect and efficacy of antimicrobial activity was laboratory- tested by Gyungbuk National University (College of Veterinary Medicine). The clinical efficacy was tested by Seoul National University (College of Veterinary) with the clients (dogs) who get frequent skin infection. The safety test for dogs’ skin and eye mucous membrane was conducted by Chungbuk National University (College of Veterinary), as well as the safety test for the skin of people who cleanse dogs with the clinical shampoo. The test for the skin and eye mucous membrane of dogs and rabbits proved that this clinical shampoo is safe, indicating the result was near zero. Such a shampoo with a high concentration of Chlohexidine Gluconate (4%) and an exceptional safety enables to cleanse the even wrinkled mucous membrane, due to PIC System developed by CHD Medics, of which mild ingredients in formula make it possible. Also, this high quality shampoo is ideally composed of amino acid derivative surfactant as a component of living human skin, edible non-ionic surfactant, and natural herb extracts.

  8. Anion surfactant as the main component of shampoo, (40~50% of anion surfactant is contained), varies from cheap materials from petroleum to natural plants and amino acid derivative surfactant as a component of living human skin, which are several dozen times as expensive as cheap ones. Skin irritability and side effects are closely related to which anion surfactant is utilized. Especially, the main efficacy component, Chlohexidine Gluconate, is very unstable, so the degree of activity might drastically decrease depending on shampoo components, which cause to reduce the efficacy and effect of Chlohexidine Gluconate. Accordingly, the technique of stabilizing Chlohexidine Gluconate in other shampoo components decides the quality of a shampoo in terms of efficacy and effect. In general, shampoos with a high concentration of Chlohexidine Gluconate are likely to need 100-1000 times as much Chlohexidine Gluconate as necessary, because Chlohexidine Gluconate inhibitors change Chlohexidine Gluconate to liquid precipitation. Namely, the effect of Chlohexidine Gluconate rapidly reduces. The PRUNUS Skin Clinical Shampoo made by CHD Medics is stabilized through a specialized formula. According to the clinical test results from the Veterinary Institution at Seoul National University, the efficacy and effect tests of The PRUNUS Skin Clinical Shampoo showed that the product with a high concentration of Chlohexidine Gluconate (4%) needs the shortest time to treat and it takes a week for the clinical symptoms to be improved more than 50%, compared with other products (1% and 2 % concentration ) Moreover, the product with a high concentration of Chlohexidine Gluconate (4%) is superior for removing keratine and dandruff, as well as it does not show skin dryness and keratosis. Consequently, the increase in the times of applying does no harm. In particular, it is proven as a safe product which does not affect of the skin of people.

  9. Features of Product • 1. The product with a high concentration of Chlohexidine Gluconate (4%) showed significant clinical effect, and with this product, it takes shorter to be treated. • 2. PIC SYSTEM (Perfect Ideal Cleansing Effect) : demonstrates the superior effect of cleansing with a mild clinical shampoo. • 3. Natural antimicrobial ingredients and herb extracts enables this shampoo to be effective for moisturizing, softness/ glossiness, and strength. • 4. Safety Guaranteed : Test of the skin and eye irritation of dogs and rabbits ( the result is near zero) • 5. Protection of human skin • 6. Possible to adjust the shampoo usage times : Mild ingredients in formula enable to increase the usage times

  10. III. Stability and Safety of Product • 1. Stability of Product • Chlohexidine Gluconate, is very unstable, so the degree of activity might drastically decrease depending on shampoo components, which cause to reduce the efficacy and effect of Chlohexidine Gluconate. In other words, the decreased effect and efficacy reduces the capability to treat. However, the PRUNUS Skin Clinical Shampoo of CHD Medics is stabilized through a specialized formula. • 2. Safety of Product • The dog’s skin is weaker than that of people, so ordinary shampoos with cheap synthetic detergents might do huge damages to the skin of dogs. Especially, Safety is the most important for a product with • a high concentration of Chlohexidine Gluconate (4%). Thus, it is noteworthy that the safety of the PRUNUS Skin Clinical Shampoo is proven through the test • regarding skin and eye irritations of dogs and rabbits conducted by Chungbuk National University (College of Veterinary), which indicates the result was near zero. In addition, the safety test result manifested that the shampoo is safe for the skin of people.

  11. (CHLORHEXIDINE 4%) PIC SYSTEM (Patent) -mild ingredients in formula enables to clean mucous membrane amino acid derivative surfactant Stabilization technique of high concentration of Chlohexidine Gluconate Efficacy and Effect Test by Seoul Natioanl University 1. Excellent efficacy and effect for a variety of skin diseases except chronic atopy 2. No skin dryness and keratosis 3. Improved hair cuticles 4. Safe to people’s skin 5. Can increase usage times More than 50 % full recovery within 10 days Safety test for dogs’ skin and eye mucous membrane by Chungbuk National University Proved Safety Near zero Natural antimicrobial material(Patent) Sookmyung Women’s University ( Pharmaceutical Institution). More effective pomegranate bark extract than Benjoperoxide Antimicrobialb activity laboratory- tested by Gyungbuk National University www.chdmedics.com

  12. Safety/Stability Test for the Active Ingredients; Chlorhexidine Digluconate & Antimicrobial Extracts (Patent registered) By Seoul National University ( College of Vet.) 1. Excellent efficacy and effect for a variety of skin diseases except chronic atopy 2. No skin dryness and keratosis which are usually seen in ordinary clinical shampoos 3. Improved hair cuticles 4. Safe to people’s skin 5. Possible to increase usage times due to no side effect such as dryness or keratosis

  13. Safety Test : Rabbit’s skin & Eye  Safety approved ( non- irritation )

  14. [Eye Test] Safety Test : Dog’s skin & Eye [skin Test ]

  15. PRUNUS Product Line - Up

  16. ACTIVE INGREDIENT : Chlorhexidine Digluconate Solution 20% (Chlorhexidine 4%) • INDICATIONS : For mild to severe dermatologic conditions where a full-strength antimicrobial, cleansing and deodorizing shampoo may be of benefit. • DIRECTIONS : Wet coat thoroughly with water. Apply and lather medicated skin clinic shampoo over the entire body, allowing for 5 to 10 minutes of contact time. Rinse completely with water. Repeat if necessary or as directed by your veterinarian. • CAUTIONS : For topical use only on dogs, cats and horses. Avoid contact with eyes. Not for otic use. If irritation develops, discontinue use and consult your veterinarian. • STORAGE : Store at room temperature. Protect from freezing.

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