ercian's R&D focuses on its two principal technical strengths-fermentation technology and biotechnology. Our involvement in the antibiotics field began shortly after World War II, when we started producing penicillin. Subsequently, we began to manufacture L-glutamic acid using a fermentation process in cooperation with Ajinomoto Co., Inc. In 1966, we commenced production of our first antibiotic, Kasugamycin, which was developed for agricultural use. We then developed Josamycin, an antibiotic for human use that is effective against pneumonia and bronchitis. This product continues to sell well in Japan and abroad. The most notable results of our R&D efforts are the antibiotics Aclacinon inj. and Pinorubin inj., which are used to combat malignant tumors. Pinorubin inj., an anthracycline that treats cancer by acting directly on and destroying cancerous cells, is attracting considerable interest overseas as well as in Japan. Aivlosin, a new veterinary antibiotic, was developed through the use of bioconversion technologies. Our Bioresource Laboratories screen new anticancer drugs and other chemical compounds produced using microorganisms. Laboratory research teams are also attempting to develop manufacturing processes for chiral compounds utilizing bioconversion, which involves genetic engineering. The Wines &Spirits Institute focuses its research on analysis of fermentation characteristics and aroma and taste, breeding of new yeast genes, study of liquor fermentation mechanisms and examination of the health benefits of wine. For half a century, we have been accumulating knowledge regarding the utilization of microorganisms. Today, this expertise is bringing Mercian increased recognition as a leading developer of advanced biotechnology. At the production level, we have obtained ISO 9002 certification, the international standard for quality management systems, for all of our production facilities and product categories, reflecting the importance we place on the role of R&D in creating products of outstanding quality.