Kirin Pharma USA, Inc.

Kirin Acquires Remaining Shares of Hematech, LLC and mergers create Hematech, Inc.

Sioux Falls, South Dakota, June 9, 2006 - Hematech, Inc. ("Hematech") announced today that Kirin Brewery Company, Limited ("Kirin") has purchased the remaining shares of Hematech, LLC. In a merger of Hematech, LLC and Aurox, LLC (a patent holding partner company of Hematech), and a simultaneous reverse merger with Kirin SD, Inc., the former holding company of Hematech stock, Hematech, Inc. was created as the surviving entity. Hematech, Inc. maintains the organizational date of the former Hematech, LLC with the state of Delaware of June 3, 1998. The agreement was signed by Toshifumi Mikayama, Vice President of the Planning Department of Kirin Pharmaceutical and James M. Robl, President of Hematech, among other parties, and means that Hematech has become a wholly owned subsidiary of Kirin Brewery Co. Ltd.

Previous to the completion of this transaction, Hematech closed its administrative offices in Westport, CT and consolidated all functions to its headquarters in Sioux Falls, South Dakota.

Kirin Brewery Co. Ltd. of Tokyo, Japan announced in May of this year that by July of 2007 a new holding company will be created and the Pharmaceutical Division of Kirin will become independent from the Brewery and both companies will be held by the new holding company. Hematech will be a wholly owned subsidiary of the newly formed Pharmaceutical company.