A NEW PLANT IN NORTH AMERICA

WE ARE PLEASED TO ANNOUNCE THAT WE ARE BUILDING A NEW GELATIN PLANT IN NORTH CAROLINA.

1. BACKGROUND

   We are expanding our capacity of pig skin gelatin at our existing plant in Canada to meet increasing demand for edible and pharmaceutical use.
   In addition, we have decided to establish another pig skin gelatin plant in North Carolina, U.S.A..

2. OUTLINE OF A NEW COMPANY

   1. Products produced
      Pig skin gelatin and bi-products
   2. Capacity
      3,000 metric tons a year
   3. Address
      Production Drive and Tom Starling Road, Cumberland Industrial Park, NC
   4. Company name
      Nitta Gelatin USA, Inc.
   5. CEO ; Norimichi Soga
      COO ; Raymond Merz
   6. Establishment
      Dec. 2004
   7. Capital
      US$26 million
   8. Investment
      100% by Nitta Gelatin, Inc.

3. SCHEDULE

   Commence the construction in spring 2005. Launch production summer in 2006.