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THE SCIENCE

OF HEALTH,
naturally
2009

www.arkopharma.com
Introduction

ARKOPHARMA in brief
Key dates in d’Arkopharma’s progress

THE SCIENCE OF HEALTH, NATURALLY 5


Outstanding events in 2009
2009 in figures

NATURE, EFFICIENTLY 9
Arkopharma, European leader in natural medicines
Arkopharma, a healthcare company
Phytotherapy, the science of plants
Nutritherapy
Dermopharmacy
Bio Cosmetics
Homeopathy and Aromatherapy

CREATIVITY, SCIENTIFICALLY 20
Seeking the best in Nature
The latest facilities in the Service of Health
Dynamic marketing at everyone’s service
Graphic design

DEVELOPMENT, SUSTAINABLY 26
The environment’s respect
Our social responsibility: to manage and develop skills

EXPANSION, INTERNATIONALLY 30
International Horizons
Group Organisation Chart
Administration, Management, Control

1
Arkopharma in brief

A comprehensive approach to health


and well-being

By adopting a comprehensive approach to health

and well-being, ARKOPHARMA aims to meet

consumers’ expectations by providing natural

medicines, designed both to cure and to prevent,

and to encourage home medication, while at the

same time making new products available to the

medical profession for prescribing.

ARKOPHARMA
European leader
in Phytotherapy
and Nutritional supplements

An International presence
in more than 60 countries

8 overseas subsidiaries:
Spain, Italy (2), Ireland,
Netherlands, Belgium, Switzerland, Greece

1 202 employees

€ 177.6 million
of consolidated sales

ARKOPHARMA holds
1 724 Product Licences
for medicines.

ARKOPHARMA invests
4 % of net
medicine sales in Research
and Development.

2
Key dates in ARKOPHARMA’s progress

1980 - 1982
Laboratoires ARKOPHARMA, pharmaceutical company, established.
ARKOPHARMA launched Arkocaps, capsules containing whole plant powder.

1985
ARKOPHARMA introduced innovations into plant powder manufacturing procedures and established the industrial use
of freeze-grinding, making it possible to retain the whole of the plant’s active principles, intact, in the finished product.

1986
The Ministry of Health recognised phytotherapy as a medicine and drafted regulations governing Product Licences
for plant-based pharmaceutical products.
ARKOPHARMA obtain its first registration of Arkocaps as a medicine.

1987 - 1988
ARKOPHARMA established four subsidiaries abroad: : in Spain, Italy, the USA and the UK.

1996
Introduction on the Paris Stock Exchange Second Market.

1997
ARKOPHARMA was the first pharmaceutical company to launch the 100% plant-based capsule.
Steep rise in international business (+ 50%).
Sales abroad accounted for 31% of consolidated net sales.

1998
Takeover of Belgian distributor, establishment of a subsidiary in the Netherlands. New factory set up in Ireland.
Transformed into a Company with a Management Board and Supervisory Board.

1999
Takeover of in the USA (net sales € 7 m / FF 46 m in 1998) ); this company is well established at the 6000 points of sale in the
American Health Food Channel and the US leader on the polyunsaturated oils market. Creation of BURGUNDY, firm specialized
in the production of extracts of plants and natural products.

2000
Purchase of NUTRASENSE AUSTRALIA PTY Ltd (Net sales = 2.7 M€).
Success of PHYTO SOYA, expert in treating menopause.

3
2002
Launch of PLANTE SYSTEM Laboratories and the range of 16 phytodermocosmetic products..

2003
Purchase of two new subsidiaries in Switzerland: PAD and Phyto Pharma Medika.
Establishment of ARKOPHARMA Canada. Success in France 4.3.2.1.Minceur, a slimming drink based on 10 plants.

2004
Mrs Colette Robert is awarded the Veuve Cliquot prize for Businesswoman of the Year 2004.
International success for 4.3.2.1 MINCEUR, which becomes No. 1 product.

2005
New production unit in Italy goes on line. OPTIMAL NUTRITION range launched,
a new and original range of food supplements.

2006
Transposition of European Directive No 2002/46/EC relating to food supplements on 20th March 2006.
Launch of 4.3.2.1 SLIM CHRONO, Day and Night in capsules, providing RTC, advantages, a major pharmaceutical innovation
for 12-hour action. Launch of a new and original range “Plante System Bio Care”, free from chemical preservatives, free from
petroleum derivatives and certified by Ecocert.

2007
Arkopharma delisted in July 17, 2007.
Continuation of the action plan to improve the Group’s operating margin, with, in particular, a decrease in the product
portfolio and ambitious advertising campaigns for the Group’s flagship products.

2008
Doctor Max Rombi, founder of the Arkopharma Laboratories, appointed one of his sons, Philippe 47, as the Group’s new
Chairman of the Board.

2009
Our french sales networks have merged: a strategic choice for developing customer satisfaction and building strong relations.

4
The science of health, naturally

Our values, our strategy,


our strength

For more than 25 years, ARKOPHARMA Laboratories

have been developing new "health medicines" based

on natural products.

In an era distinguished by a search for a healthier

life and a quest for essential values, phytotherapy

and food supplements are gaining ever-increasing

support from consumers worldwide.

5
Outstanding events in 2009...
And, what’s new in 2010
In France, our sales networks have merged: New products have been added to the different product lines, which are
a strategic choice for developing customer satisfaction already widely known and recognized for their high quality and leading
and building strong relations. position on their respective markets, such as:
In 2009, the ARKOPHARMA and ARKOMÉDIKA sales networks merged
into one single ARKOPHARMA network, comprised of 90 sales
representatives..
This merger was implemented in order to optimize the sales
performance of the Arkopharma Group, with the following goals:
- To boost the effectiveness of future product launches and secure
a foothold for the Group’s leading product lines in pharmacies,
- To increase the number of client pharmacies,
- To reduce the sales representatives’ sectors and thus increase the
number of pharmacy visits, - In the ARKOCAPS line: ARKOLUTEINE (helps fight against eye strain),
- To lower management expenses and delivery charges, ARKOLEVURE (helps restore balance to the intestinal flora), MACA
- To establish the Group’s position as European leader in the field of (physical and intellectual stimulation), SERENOA REPENS (urinary
Phytotherapeutic remedies and dietary supplements. comfort),
On a Commercial level, this merger brought together 90 sales
representatives in the same network to create an increasingly dynamic
sales force. The sales sectors were divided up in a new manner for more
effective client follow-up.
On a Marketing level, this operation has consolidated the ARKOPHARMA
and ARKOMÉDIKA product portfolios and will help redefine the strategic
choices for the Group’s leading brands.
This merger has enabled us to improve the quality of the services we
offer our pharmacy clients and thus consolidate customer relations,
which were already optimized, thanks to the deployment of the CRM
(Customer Relationship Management) tool that was finalized in 2009.
And, with the goals of developing lasting relations with our pharmacy
clients, the sales promoter network expanded this year with a view to
better meeting pharmacists’ needs in terms of product training and
merchandising support.

Product development that meets consumers’ needs.


The new product lines that were launched in 2009 proved to be highly
successful both with pharmacists and consumers. This was the case for the
ARKOBIO TABLETS and ARKOBIO HERBAL tea lines, which combine 100%
Organic and Ecocert certified plants that offer all of the benefits of nature - In the ARKO ROYAL line: tablets combining Royal Jelly and Vitamins,

in different dosage forms, and the ARKOLÉOL line that helps burn and a SYRUP FOR RESPIRATORY COMFORT, a combination of Royal Jelly

eliminate fat. and probiotics,

6
- In the CHONDRO-AID line: RESTRUCTURING CHONDRO-AID with a
collagen base (to regenerate and strengthen the articular cartilage),

In 2010 , we will launch a new ARKOPROBIOTICS


line on the probiotics market, which is a rapidly
growing sector (+30%) . This line will include
three products packaged in innovative small
bottles and will be highlighted in pharmacies
inside refrigerated display units, furnished by
ARKOPHARMA, which will help optimize the
- In the CYS-CONTROL line: new dosage forms (capsules, effervescent quality and conservation of the probiotic-based
tablets), products..

- In the PLANTE SYSTEM COSMETIC line: Organic lip balm, eye contour Other new products will be launched throughout
gel, creams that protect the skin from cold weather… the year on different buoyant segments in order
to continue to best meet consumer needs.
And many more...

7
A dynamic Internet policy for both consumers On an international level, a restructuration
and clients. that has been successful since 2009.
The Group’s Internet site (www.arkopharma.com) enables users to view the The closure of our non-strategic subsidiaries (Germany, Canada, England),
main product lines manufactured by the ARKOPHARMA laboratories in which were often in deficit, combined with a disposal of assets policy (USA,
France and abroad as well as access the websites of the Group’s different Australia) have allowed us to significantly improve the contribution and
subsidiaries. performance of the Group’s international activities. This strategy of
refocusing the subsidiaries’ business activities on Europe will be continued
The French web site (www.arkopharma.fr) has been entirely redesigned and
throughout the following years.
now boasts a new, more attractive and modern ergonomy. Moreover, the
pharmacists can now rapidly and easily place their replenishment orders
on-line. At the same time, a “Commercial Development” unit was set up to
manage the Internet orders and challenges in pharmacies..

8
Nature, efficiently

A philosophy

Phytotherapy and nutrition therapy, those

natural medicines, provide a particularly

good solution to the “ills of civilisation”

brought on by stress, poor diet and an

unhealthy lifestyle. They meet the need to

“feel good” and to keep in shape, one of the

aspirations most strongly felt in our

developed societies.

9
ARKOPHARMA, European leader
in natural medicines
Preventing and curing, naturally, efficiently and safely.

For more than 20 years, the Arkopharma Group has demonstrated its These “health products” developed by the Arkopharma Group meet two
creativity and innovatory flair, directing its research and development requirements: prevention and cure while maintaining the body’s
entirely towards humans, their health and their well-being. equilibrium and treating the root cause rather than the symptom. They
Nowadays, French enthusiasm for natural treatments is equalled in all enable consumers to take charge of their own health, with all the
developed countries, where there is increasing mistrust of chemical product quality and safety guarantees that can be provided by a
medicines. This is more than a fashion, it reflects a deep desire for a pharmaceutical company.
return to nature, intensified by the disclosure of side-effects, perhaps The launch, in 1997, of 100% plant-based capsules provided an additional
even toxic, caused by some chemical medicines. guarantee and reassured consumers concerned for their health.
This situation explains the success enjoyed by phytotherapy, dietetics, The constant advances made in phytotherapy, particularly the
nutritherapy and homeopathy, which satisfy the lasting need felt by identification of new active principles, new pharmacological properties
consumers seeking balanced, natural and healthy living. and the performance of numerous clinical trials validating the efficacy of
the treatments, have contributed to the success of this “other
medicine”..

45,000 DOCTORS IN FRANCE


say they prescribe natural medicines
(Source ICOMED datas)

WHAT DOES ARKOPHARMA REPRESENT


IN FIGURES?
With a catalogue of more than 1000 non-reimbursable
products, ARKOPHARMA covers every sphere of self-
medication. On the nutritional supplements market, (without
product licences for medicine and non-reimbursable self-
medication), representing € 46.9 m, ARKOPHARMA has a
leading place, holding a 15.7 % market share.
(Source: IMS nutritional supplements, sell out- dec. 2008)

10
ARKOPHARMA, a healthcare company
A diversified range comprising more than 1000 lines makes it possible to cover all self-medication areas.

The market for sun protection in capsules The 12 main markets per indication
(Source: year 2009 Nutritional Supplements in pharmacy) (Sales pharmacy units 43,2 m/year)
(Source: base IMS Nutritional Supplements in pharmacy,
PM volume - CMA december 2009)

Arkopharma 17.6 % Slimming 22.4 %


Œnobiol 34.4 % Tonic 21.3 %
Naturactive 17.6 % Immune systems 9.5 %
Forte Pharma 5.3 % Stress 9.0 %
Noreva Pharma 4.3 % Hair care 5.8 %
Others 20.8 % Bone remineralizer 5.2 %
Ophtalmology 5.0 %
Gyneco and urinary problems 4.9 %
Sun protector 3.5 %
Menopause 2.9 %
The market for slimming Circulation (range) 2.8 %
(Volume: year 2009) Skin 2.8 %
(Source: Nutritional Supplements IMS) Others 4.9 %

The market for tonics in pharmacy


(Share market in pharmacy - Year 2009)
(Source: IMS base Nutritional Supplements)

Arkopharma 13.5 %
Phythea 14.5 %
Forte Pharma 12.9 %
Œnobiol 10.3 %
Omega Pharma Franc 5.8 %
Others 43.0 % Arkopharma 24.2 %
Bayer Sante Famil 14.9 %
Urgo Soins & Santé 8.0 %
Menarini 7.3 %
Merck MF 6.4 %
The market for hair case Others 39.2 %
(Share market in pharmacy - Year 2009)
(Source: IMS base Nutritional Supplements)
The market for menopause in pharmacy
(Volume: december 2009)

Arkopharma 20.9 %
Œnobiol 21.7 %
Phyto Soya/Arkopharma 13.9 %
Furterer 9.5 %
Theramex 9.2 %
Ducray 9.6 %
Omega Pharma 12.0 %
Naturactive 4.3 %
Noreva Pharma 14.1 %
Others 34.0 %
Nutrisante 10.0 % 11
Others 40.8 %
Phytotherapy, the science of plants

The Group ARKOPHARMA always used the most modern technology to allow the phytotherapy
to stand out as a full medicine.

Freeze grinding.

Medicinal plants contain thousands of constituents, all potentially active


and acting synergetically. In order to make the best use of them,
ARKOPHARMA has developed the use of the whole powder of the active
part of the plant.
After strict, rigorous selection of plants and performing numerous
botanical, bacteriological and physico-chemical controls ensuring
perfect quality and optimum efficacy, the plants are freeze ground in a
nitrogen atmosphere at –196°.
Using this efficient technique, ARKOPHARMA has been able to ensure
total efficacy. Freeze grinding makes it possible to retain the whole of
the plant, to ensure a high active principle content and to obtain a The 100% plant-based capsule.
particularly fine particle size, making assimilation easier and improving
In 1997, ARKOPHARMA made news by offering the first range of 100%
bioavailability.
plant-based products, thus confirming its status as phytotherapy leader:
indeed, in that year, the gelatin traditionally used for the capsule shell
was replaced by a natural substitute of vegetable origin, a cellulose
derivative. Cellulose surrounds and protects the cells of all plants.
It is ARKOPHARMA’s incessant innovative thrust and its
quest for ever-better quality that enabled it quickly to The 100% plant-based capsule is entirely natural and contains no gluten
or preservatives.
become No. 1 in phytotherapy in France.
The scientific value of its products is officially recognised,
since ARKOPHARMA holds more than

213 Product Licences for


phytotherapy medicines, issued by the Agence
Française de Sécurité Sanitaire des Produits de Santé
(French Health Product Safety Agency).

More than
120 DIFFERENT KINDS OF ARKOCAPS,
that’s what ARKOPHARMA offers in phytotherapy

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ARKOBIO TABLETS…
4 ORGANIC plants in one tablet.
A line made up of 6 ORGANIC products, which offers a well-adapted
solution for all needs:
- ARKOBIO JOINTS: White Willow, Black Currant, Nettle and
Meadowsweet for greater articular flexibility.
- ARKOBIO DIGESTION: Anise, Fennel, Rosemary and Angelica for
improved digestion.
- ARKOBIO DETOX: Black Radish, Artichoke, Dandelion and Linden
Bark to purify the body.
- ARKOBIO FOR TIRED HEAVY LEGS: Red Vine, Cypress, Horse
Chestnut and Ruscus for energize tired, heavy legs.
- ARKOBIO WEIGHT LOSS: Green Tea, Grape Pomace, Birch and
The ARKOCAPS range. Cherry Stem to slim down the figure.
With more than 120 products covering the principal indications for self- - ARKOBIO REST/SLEEP: Passion Flower, Lavender, Bitter Orange and
medication, this line, which has been the leader of its market for many Hawthorn to help you rest and relax.
years, is one of the ARKOPHARMA Group’s flagship lines. Its concept: one
plant/one capsule. ARKOBIO HERBAL TEAS
Thanks to ARKOCAPS and informed advice from pharmacists, everyone 100% environmentally-friendly, the plants used in the ARKOBIO herbal
is now able to naturally treat his or her minor ailments. teas are entirely ORGANIC and ECOCERT certified. These naturally
New highly promising plants have been added to the line, such as: effective herbal teas offer you all the benefits of nature.

- MACA ARKOCAPS, help stimulate physical and intellectual This line includes the following 4 products:
strength and capacity in men and women - ARKOBIO INFUSION Sleep and Relaxation
- ARKOLUTEINE ARKOCAPS combine natural ingredients, such as - ARKOBIO INFUSION Detox
lutein and xanthophylls to help protect the eyes and improve visual - ARKOBIO INFUSION Digestion
acuity.
- ARKOBIO INFUSION Elimination
- CARBON YEAST ARKOCAPS, a complete combination of botanical
carbon, revivifiable yeast Saccharomyces boulardii and Inulin, which THE 4.3.2.1 SLIM LINE
are beneficial for digestion and intestinal comfort. The Arkopharma Laboratories have created new, highly innovative
- SERENOA REPENS ARKOCAPS which improve urinary elimination products:
and thus help restore urinary comfort. - 4.3.2.1 SLIM CALORIATTACK: thanks to satioappetil®, an exclusive
complex comprised of 4 natural active ingredients, this new “all in
one” weight loss sachet helps you resist overeating by diminishing
hunger pangs.
- 4.3.2.1 SLIM TEACTIVE: a delicious herbal weight loss tea, which is
comprised of 9 certified organic plants.
4.3.2.1 SLIM DIETPERFECT: a line of low calorie snacks with plant
proteins that offers 7 original and delicious flavors.
And of course, the essentials from the 4.3.2.1 SLIM line:
- 4.3.2.1 SLIM ULTIMATE: the most highly concentrated formula on
the market in active botanical slimming ingredients, which comes
in the form of a triple layer tablet.
- 4.3.2.1 SLIM DRAINEUR: a solution comprised of 99% botanical
aqueous extracts, which have been clinically proven effective.
- 4.3.2.1 SLIM DRAINEUR BIO: the expertise and effectiveness of
4.3.2.1 Slim, in an ORGANIC version.
- 4.3.2.1 STARTER SLIM: a complete formula that comes in a small
bottle, which is ideal for active women who want to maintain their
shapely figure.
- 4.3.2.1 SLIM FOR MEN: a composition that is specially adapted to
individuals who wish to burn fat, yet retain their muscle.

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CYS-CONTROL
Cranberry’s anti-adhesion properties, recognized by the French
Authorities, are at the heart of CYS-CONTROL’s action. To better meet
the needs of all consumers, CYS-CONTROL now comes in two different
forms.
CYS-CONTROL capsules, which provide 36 mg of proanthocyanidins, the
effective dose recommended to combat fixation by bacteria to the walls
of the urinary tract and thus control urinary discomfort and its
recurrence.
Three dosage forms are available: capsules, sachets and effervescent
tablets.
ARKOFLUIDS
Created by the ARKOPHARMA Laboratories’ research department, this ACEROLA 1000 CHEWABLE TABLETS
line of Certified Organic oral ampoules, formulated without
preservatives, alcohol, artificial colors or flavors, is made with natural
active ingredients.
There are currently eleven products available: Joints; Urinary Comfort;
Relaxation; Detox; Digestion; Tired Heavy Legs; Memory; Weight Loss
Program; Black Radish; Stimulant; Weight Loss Synergy.

BAKOL FORT
BAKOL FORT, is a formula to combat
cholesterol both of dietary origin and
produced by the body. This combination of
phytosterols and policosanols is one of the Acerola is the fruit of a small shrub found in Central America that can
most effective natural alternatives for contain 20 to 80 times more vitamin C than citrus fruits. ACEROLA 1000,
statin intolerant individuals. a delicious chewable tablet with a fresh taste containing 1000 mg of
concentrated ACEROLA extract, offers an exceptionally high
ARTROPHYTUM concentration of natural vitamin C. Two dosage forms are available:
This is a Harpagophytum-based remedy, chewable tablets or effervescent tablets, both of which contain a
which relieves articular pain and offers a concentrated extract of Acerola, i.e. 180 mg of natural vitamin C.
genuine alternative to classic anti-inflammatory drugs, without the side
effects. PHYTO SOYA THE EXPERT IN TREATING MENOPAUSE,
NATURALLY
The ACTIVOX LINE The PHYTO SOYA line provides women with a natural solution for
This line provides a pharmaceutical solution suited to each type of ORL treating unpleasant menopausal symptoms: PHYTO SOYA “Standard
disorder, thanks to a wide range of capsules, gums, pastilles, syrups, Formula” 17.5 mg, PHYTO SOYA “Intensive Formula” 35 mg, Phyto Soya
mouth-washes, inhalers, tablets for inhalation and pomades. “Expert Formula”, PHYTO SOYA Age Minimizing Cream and PHYTO SOYA
The new products added to the line in 2009 are: Vaginal Gel.
- ACTIVOX PASTILLES ACEROLA, that contain Erysimum, which is The effectiveness of the line’s dietary supplements (which offers a
known for its soothing action on the throat. significant decrease in hot flashes) as well as the safety of the extract
- ACTIVOX SPRAY which soothes the throat and is formulated with used in terms of the breasts and endometrium has been clinically proven.
Erysimum, Chamomile, Honey, Thyme and Propolis. These studies were published in international publications.

14
Nutritherapy

AZINC RANGE
There are times in life when our body shows a deficiency in vitamins and
minerals, nutrients that are essential for the body to function properly.
The AZINC range was specially designed to remedy such deficiencies and
comes in several pharmaceutical forms (capsules, chewable tablets,
effervescent tablets and syrup).
New products: AZINC PROBIOTICS FOR ADULTS, which is formulated with
Propolis extract, 3 probiotics, 12 vitamins, 7 minerals and trace elements,
stimulates our body’s natural defenses. AZINC PROBIOTICS FOR SENIORS,
What’s new? RESTRUCTURING CHONDRO-AID, which is formulated with
which is formulated with plant extracts, lutein, CO-E Q10, 2 probiotics,
collagen hydrolysat and hyaluronic acid, helps strengthen the articular
12 vitamins, 7 minerals and trace elements, helps men and women over
cartilage.
the age of 50 stay healthy, boosts vitality and improves memory.
1 : Clegg & al. Glucosamine, chondroitin sulfate, and the two in combination for
painful knee osteoarthritis, N Engl J Med. 2006 Feb 23; 354 (8): 795-808

ARKO ROYAL HIVE


Honey, Royal Jelly and Propolis: these natural substances have
exceptional properties. Discover all of their healthcare benefits, thanks
to the Royal Hive line from the ARKOMEDIKA Laboratories. This line
offers a wide choice of products that meet the needs of the entire
family: ROYAL JELLY Ampoules, DYNERGIE, Propolis, 100% ROYAL JELLY,
PASTILLES and Propolis spray, syrups for children…
Two new products:
- ARKOROYAL ROYAL JELLY + PROBIOTICS, a combination of
lyophilized royal jelly and probiotics packaged in a small bottle that
boosts energy, stimulates the body’s natural defenses and restores
THE ARKOLEOL LINE balance to the intestinal flora.
The NEW GENERATION of fat burners This product comes in 2 versions: a program for adults and a
ARKOLEOL is a triglyceride-free product line that is rich in unsaturated program for juniors
free fatty acids, which helps break down and eliminate stored fat, by: - ARKOROYAL ROYAL JELLY + GINSENG: This energizing formula
- supplying energy that may be directly used by the body combines 2 sources of energy for extensive healthcare action.
- targeting the heart of the cell in order to burn and eliminate stored fat
The ARKOLEOL program: SEROXYL
- To get your day off to a great start: ARKOLEOL SACHETS SEROXYL, developed by the Arkopharma Laboratories, is ideal for
- To continue the program all day long: ARKOLEOL CAPSULES fighting against anxiety, stress and mental fatigue. This composition
includes an optimal dose of L-Tryptophan, which naturally plays a role in
- To enhance your meals: ARKOLEOL DIETETIC AND HEALTHY OIL
the production of serotonin, an element that is essential to emotional
balance and well-being. It is combined with vitamin B6, which promotes
CHONDRO-AID FORT
relaxation, particularly during moments of overwork.
A natural solution with a glucosamine and chondroitin base that helps
fight against the deterioration of cartilage and restore articular mobility.
The development of this formula and choice of specific doses were based
on the results of the GAIT1study, which proves the level of effectiveness
of this specifically dosed active ingredient combination that helps
restore comfort and articular mobility.

15
BETASELEN
A combination of vitamin C, vitamin E, beta-carotene, zinc and selenium
to fight against free radicals, which are responsible for cell and tissue
ageing, in the case of fatigue.

ARKOVISION
A combination of nutrients with antioxidant properties, LUTEIN AND
XANTHOPHYLLS, which help protect the retina and crystalline lens from
oxidative reactions that may be triggered by cigarette smoke, exposure
to the sun, pollution, aging…

ARKOPROBIOTICS
A brand new product line of probiotics that restores balance to the body
and stimulates its natural defenses:
- ARKOPROBIOTICS DEFENSES Adults, packaged in small bottles,
which contain 10 billion probiotics,
- ARKOPROBIOTICS DEFENSES + Adults packaged in Sachets, which
contain 50 billion probiotics,
- ARKOPROBIOTICS DEFENSES JUNIOR, packaged in small bottles,
which contain 5 billion probiotics.

SLIMEXCELL
Three new slimming products that meet the needs of women:
- SLIMEXCELL PROBIOTIC BALANCE WEIGHT LOSS and SLIMEXCELL
PROBIOTIC BALANCE WEIGHT LOSS 45+: These 2 formulas contain
grape pomace extract combined with balance-restoring probiotics,
to restore intestinal comfort, burn fat and drain toxins from the
body.
- SLIMEXCELL CONCENTRATE ANTIOXIDANT TISSUE DRAINER is a
highly concentrated product that comes in an innovative dosage
form, with a practical dropper that releases a body contouring plant
concentrate and antioxidant pomegranate juice.

ARKOLEVURE
A dual active formula (Probiotics and a Prebiotic) that helps the body
maintain balance in the intestinal flora and stimulates the body’s natural
defenses. Comes in capsules and sachets.

16
Dermopharmacy

SUN PROTECTION: THE PHYTOBRONZ LINE Primrose and Argan oils as well as carotenoids and vitamin E), this capsule
helps the skin maintain a natural radiant golden glow all year round.
To take full advantage of the sun’s benefits without suffering its
drawbacks, the skin must be prepared for exposure to sunrays.
PHYTOBRONZ thus offers: PHYTOBRONZ for fair, sensitive skin: this
formula, created for the most delicate skin types, helps activate the
skin’s natural tanning process and protects it from cellular ageing.
PHYTOBRONZ for dark, sensitive skin: this exclusive and complete
formula, with a natural carotenoid base (carotene and lutein), wheat
berry oil (rich in ceramides), natural silica and vitamin A, helps activate
the skin’s natural tanning process, replenish moisture and protect dark,
sensitive skin.For complementary action, use PHYTOBRONZ Sublime Oil,
which triggers, intensifies and prolongs a natural tan, leaving the skin
with a beautiful satiny golden glow.

HAIR CARE: FORCAPIL


FORCAPIL Capsules are not only market leader, they provide the most
And, SKIN PEARL HYALURONIC ACID, which contains 120 mg of
complete combination of active principles on the market: this formula
hyaluronic acid and helps the skin improve its level of moisture, elasticity
combines sulfurated amino acids, zinc and vitamin D3 with the vitamin
and firmness from within.
B complex to remedy problems affecting hair and nails.
“All in one” action: anti-hair loss, fortifying and volume-enhancing, with
LICE CONTROL
clinically proven* effectiveness. Test results show a 66.5% decrease in
ALTOPOU is a complete line of products to prevent and eliminate nits
hair loss after 6 months of product use.
and lice: ALTOPOU DIMETICONE LOTION, ALTOPOU REPELLENT,
The most recent new product: FORCAPIL FOR MEN. This formula,
ALTOPOU CLOTHING, ALTOPOU ENVIRONMENT and ALTOPOU
formulated with cystine, methionine, biotin, vitamins B5 and B6, Serenoa
SHAMPOO with 100% pure and natural essential oils to alleviate itching
repens and zinc, directly target the hair roots and helps prevent hair loss.
and repel parasites.
It increases the hair’s level of resistance and density and helps regulate
the excess production of sebum
* Clinical study 2008 – ref 4757-77-E3 STICKS
TRAVELLER, a combination of essential oils to soothe and refresh in the
case of motion sickness, sea sickness and mountain sickness without
causing drowsiness.
VERRUSTICK, an effective formula containing essential oils, to eliminate
common warts.
MIGRASTICK, clinically-proven effectiveness
in relieving headaches.
FITACNOL, the “anti-spot” product
containing essential oils to heal and cleanse.
ASIA-STICK, a thousand-year-old formula to
relieve pain.
MOSQUITOX STICK, a roll-on stick for the
immediate relief of mosquito bites.
X-ERPASTICK, to soothe burning sensations in
BEAUTIFUL SKIN: THE SKIN PEARL LINE
cold sores.
To nourish your skin from within and prevent premature signs of
cutaneous ageing: MOISTURIZING SKIN PEARLS, for women who wish to
BACTISEPTIC
maintain radiant skin. .
An antiseptic hand gel, which combines
Two new products have been added to the SKIN PEARL line: SKIN PEARL
disinfectant properties with Aloe Vera to
SUN-KISSED RADIANCE, for a healthy golden glow all year round. Thanks
maintain moisture.
to its concentration of natural active ingredients (Borage, Evening

17
Bio Cosmetics

In 2009, PLANTE SYSTEM tripled the number of its points of sale, which - TINTED MOISTURIZING EMULSION received a "BEAUTY AWARD" in 2009,
confirmed the brand’s buoyant growth and the success of its new after having been tested and approved by a jury of independent
products: consumers.
- LIP CARE STICKS, This skincare emulsion, which is lightly tinted, thanks to natural
These genuine lip care treatments, in the form of sticks, contain no Vaseline pigments, restores moisture to the skin, helps diminish our first wrinkles
or paraffin. Day after day, they nourish and soften the lips, thanks to bee’s and adds an instant natural golden glow to the skin, without leaving
wax and plant oils. Four active ingredients, four fragrances: nourishing lip streaks. .
care with Argan oil, Anti-age lip care with Orchid, Regenerating lip care
with Gold of Pleasure and Colorful lip care with Lotus.

- MOISTURIZING PRODUCTS WITH EDELWEISS,


This precious skincare, which is rich in rare and precious active
ingredients, such as Edelweiss and Antarticine, protects the skin and
provides it with long-lasting moisturization. Two products are available:
Light Moisturizing Cream with Edelweiss for dry skin and Moisturizing
Fluid with Edelweiss for normal skin..

- ANTI-WRINKLE AND ANTI-DARK CIRCLE EYE CONTOUR PRODUCTS


These products use the very best of nature to treat the eye contour
(Formulated without fragrance and essential oils, hypoallergenic and
tested on contact lens wearers):
• Formulated with Arnica, cornflower water and hyaluronic acid, the
anti-dark circle gel diminishes dark under eye circles and reduces
signs of fatigue.
On an international level, Plante System has proven to be successful in
• Formulated with Acacia Senegal (also called Acacia collagen),
China, the Netherlands and Spain. In the very near future, it will be
Wheat and Ruscus glucosides, the lifting anti-wrinkle balm
launched on new major markets, such as Russia, Brazil and Germany.
diminishes wrinkles and crow’s feet as well as softens the skin.

18
Homeopathy and Aromatherapy

HOMEOPATHY - A line of the most widely prescribed and recommended


polychrests, granules and doses, such as Arnica montana, Nux
The ARKOPHARMA Group has been present on the homeopathy market
vomica, Ignatia amara, Gelsemium, Rhus toxicodendron,
since 1991 (the year when it took over LABORATOIRES HOMEOPATHIE
Chamomilla… as well as Influenzinum, which is used for preventing
FERRIER) with:
influenza states and influenza syndromes, has been hugely
- A range of FERRIER mother tinctures (reimbursed medication), successful with over 2 million doses sold in 2009.
comprised of 30 products, manufactured from strictly controlled
- The 30 ABBE CHAUPITRE formulae, homeopathic drops, cover many
raw materials.
indications and arouse lively interest in consumers, particularly
- A range of OTC homeopathic products including the new TABAPASS, formula 6 (vertigo-migraines) and 7 (Minor sleep disorders –
a real alternative for helping individuals break the nicotine addiction temporary periods of anxiety)..

AROMATHERAPY
In line with its natural healthcare approach, the Arkomedika Laboratories
chose to develop an aromatherapy range, launching 100% pure and
natural ARKENTIAL essential oils that are non-deterpenated and
manufactured in compliance with the most rigorous specifications in
effect.
In order to meet growing consumer demands, 6 new Organic essential
oils will be added to the ARKENTIAL line in 2009: lemon, eucalyptus,
lavender, mint, tea tree, thyme, and a new derivative products will be
launced in 2010 (sprays, capsules,…).

and CONTUSIUM, a stick comprised of botanical ingredients (Arnica,


Melilotus and Hypericum) to relieve knocks, bumps and bruises, which
has just been added to the line of topical remedies.

- This line also includes: ANXIETUM sublingual tablets against stress


and anxiety, AFTOSIUM to treat ailments of the buccal cavity,
SLIMUM as an adjuvant to weight loss diets, NAUSETUM against
travel sickness and nauseous states, VEINOSIUM, to treat
hemorrhoids and soothe tired, heavy legs (...) and NOCTIUM for the
management of sleep disorders in children.

19
Creativity, scientifically

the many fruits


of effective research

With strict selection of starting materials, clinical

trials and the development of new manufacturing

technologies, ARKOPHARMA introduces something

new every year and offers products of impeccable

quality.

They are backed by efficient marketing, alert to

what consumers, pharmacists and doctors are

saying.

20
Seeking the best in nature

NEW REGISTRATIONS DIETARY PRODUCTS / DIETARY SUPPLEMENTS /


OTHER PRODUCTS
PHYTOTHERAPY PRODUCTS
337 international applications for registration were filed.
NEW INTERNATIONAL PRODUCT LICENSES
The registration program for medicine continued on an International
level, where a product license for ARKOCAPS HARPADOL was obtained
COSMETICS
for the United Kingdom, Portugal, Greece and Serbia. A product license The notification/registration policy for the PLANTE SYSTEM line
was registered in Turkey for PROCALMIL. and other cosmetic products was continued in numerous
Product licenses were obtained for different products in several South countries throughout the world.
American countries: PHYTOSOYA 17.5mg in Ecuador, PHYTOSOYA 35 mg
in Chili, ARTROFITUM in Colombia and the CYS-CONTROL sachet in Peru. NEW PRODUCT LAUNCHES
In Madagascar, product licenses were obtained for the following
DIETARY PRODUCTS AND DIETARY SUPPLEMENTS
medicine: ARKOCAPS CAMILINE, ARKOCAPS VALERIAN AND ARKOCAPS
RED VINE. THE ARKOLEOL® PROGRAM
ARKOLEOL® SACHETS: a powder that is very rich in unsaturated fatty
A FOCUS ON THE 2011 PRODUCT LICENSES AND EUROPEAN LICENSES acids (20%), which comes in the form of ethyl esters without glycerol
PROGRAMS and is dispersible in water.
The European Directive 2004/24/CE for traditional herbal medicinal This product promotes the regulation of lipidic and glucidic metabolism,
products had major consequences on ARKOPHARMA. It requires that our breakdown of fatty deposits and elimination of stored fat, made up of
company respect the European standards and that all of our MAN triglycerides.
phytotherapy applications for registration be refiled before January
A special milk protein absorption procedure was developed for this
2011 in France. It is a matter of protecting and, in particular, developing
the product licenses for the ARKOCAPS line, which is an important part formulation.
of our company’s portfolio. ARKOLEOL® DIETETIC AND HEALTHY OIL: this excellent seasoning oil,
Within the framework of this program, 23 ARKOCAPS applications for which is comprised of fatty acids from olive oil in the form of ethyl
registration were filed in 2009. The rest of the applications will be filed esters, allows you to delectably season your dishes without using
before January 2011, including the ACTIVOX line, amongst others. triglycerides. Having the same properties as the ARKOLEOL powder
ARKOPHARMA is by far the Laboratory that has filed the highest number sachet, this Dietetic and Healthy Oil allows to you effectively fight
of this type of updated applications at the AFSSAPS (French agency for against the metabolic syndrome.
the sanitary security for health products)..
A well-adapted industrial filtration system is used to manufacture this
Spain: 25 ARKOCAPS applications for registration were updated for the oil, which separates the pieces of olive leaves and fruit that are in contact
Spanish subsidiary, the Group’s leading subsidiary in terms of turnover. with the fatty acids in order to improve its organoleptic characteristics.
7 applications for registration were sent to the main subsidiaries and
EXPERIMENTAL STUDY
most important distributors, beginning with the most promising
ARKOCAPS products in terms of sales. 16 new applications for The ARKOPHARMA Laboratories have conducted an experimental study
registration were budgeted for the European zone in 2010. on rats in order to compare the impact on the level of blood triglycerides

These applications were also filed for overseas export. in the oils used for the ARKOLÉOL® sachets (ethyl oleate) and
Phytotherapy has always represented the foundation of our business ARKOLÉOL® capsules (omega-3 fatty acid esters), as compared to
activity and Laboratory expertise. ordinary olive oil (fatty acids in the form of triglycerides).
As expected, the use of classic olive oil causes the level of plasmatic
HOMEOPATHIC PRODUCTS triglycerides to increase between the beginning and end of the study,
NEW APPLICATION FOR REGISTRATION IN FRANCE whereas the unsaturated free fatty acids, used in the ARKOLÉOL®
products, does not lead to a rise in the level of triglycerides. This
In homeopathy, a new preparation has been registered: Alfalfa.
experimental study confirms the advantages of using free fatty acids,
Thanks to the success that the Ferrier homeopathic units line showed in 2009
which inhibit the rise in the level of blood triglycerides and thus their
and with a goal to always optimally respond to our clients’ needs, 3 new
applications for registration were filed (pulsatilla, influenzinum and ginseng) storage in the adipose tissue.
and a dozen new developments were continued or initiated during 2009.

21
PROBIOTICS ARKOVISION is also formulated with numerous antioxidants that protect
the crystalline lens (B vitamins, including folic acid, vitamins PP and E)
The ARKOPHARMA Laboratories have completed their probiotics offer
and reduce the effects of ocular aging (Zinc, Copper, Manganese,
by launching a new line with 3 products: ARKOPROBIOTICS DEFENSE,
Selenium and Glutathione).
which are fresh and healthy dietary supplements that contain 5 to 50
billion active lactic ferments. This has made big news, thanks to the
exceptional and specially adapted refrigerated shipment containers used
to transport the products and thus ensuring the quality and integrity of
the probiotics.
For each product, the line offers several strains of probiotics that have
been specially chosen for their specific action on our immune system
and intestinal flora: ARKOPROBIOTICS JUNIOR DEFENSES and
ARKOPROBIOTICS ADULT DEFENSES, with a concentration of 5 to 10
billion probiotics + zinc and selenium, which come in small bottles as well
as ARKOPROBIOTICS DEFENSES+ FOR ADULTS, with an exceptional dose
of 50 billion probiotics* and selenium, in the form of sachets.

OTHER NEW PRODUCTS


A genuinely innovative weight loss program by ARKOPHARMA: The ARKOPHARMA Laboratories have launched a new product to
SLIMEXCELL BODY CONTOURING ELIXIR. 25μg of chrome per day (i.e. 63% complete the Chondro-aid line: RESTRUCTURING CHONDRO-AID, which is
of the recommended daily allowances RDA) stimulates fat and sugar mainly comprised of collagen (10 grams per sachet). Collagen is a fibrous
metabolism, thus preventing the storage of excess fat and reducing the structural protein that constitutes the protein of the skin, tendons,
desire for sweets. Toxin-eliminating fennel seed improves digestive bones and especially the cartilage. It gives the different organs and
comfort. Maté leaf burns fat and slows down digestion, thus eliminating tissue their strength and elastic properties.
sensations of hunger throughout the day. Grape Pomace, which is rich in Over time, the production of collagen in the body slows down, which
polyphenols, drains and eliminates toxins from adipose cells as well as affects the cartilage. This results in articular friction, which leads to pain.
improves microcirculation. Pomegranate juice (330 mg of Pomegranate
This is why it is important to take large quantities of collagen as soon as
powder per day) is a powerful antioxidant.
the first signs of arthrosis or arthritis appear.
Product advantages: a highly practical and innovative dosage form that
This product also contains ascorbic acid, which has a powerful effect on
can fit into even the smallest handbags: 30ml bottle with dropper; the
stimulating the collagen production process. In addition, it contains
product with the highest concentration in active ingredients on the
vitamin D3, which promotes bone recalcification, due to the more
market: 2 grams per day of active ingredients from titrated plant
effective assimilation of calcium and hyaluronic acid that helps protect
extracts (2.3% Polyphenols), at only 6 kcal per day, i.e. 3 tic-tacs
joints by increasing the viscosity of synovial fluid and adding greater
Thanks to the launch of ARKOVISION, the ARKOPHARMA Laboratories elasticity to the cartilage.
now offer a dietary supplement to help fight against damage done to
the retina cells.
Although AMD (age-related macular degeneration) is the main cause of
poor vision in older individuals, it can be prevented through micro-
nutritional supplementation. AMD develops after the age of 50 and
results in the progressive loss of central vision, leaving peripheral or 4 % the share of net sales
lateral vision intact.
devoted to research
ARKOVISION is a dietary supplement that contains lutein and
xanthophylls, which our body is unable to produce. They are natural 1724 : the number of product licences
pigments that are found in green leafy vegetables, certain fruit and corn. held by ARKOPHARMA
They are known for the important role they play in protecting the eyes
from the harmful effects of light (oxidation) by filtering blue light, which
75 : the number of scientists working
is particularly harmful to the retina and crystalline lens and by in Research and Development
neutralizing free radicals, thanks to their antioxidant activity.

22
The latest facilities in the Service of Health

Suitable industrial premises Production, a few figures

One main site (Carros, 15 km from Nice), a site in Ireland opened in July
1998 and an another in Italy opened in march 2005, provide more than Type of production Volumes 2009
105,000 m2 of industrial premises. Plants used in manufacture 300 tonnes
The Group has modern, well-diversified equipment comprising about 90 Capsules,
(Plant powder, mineral
machines or production lines making it possible to deal with most and vitamin, oil and antioxidant) 1.4 billion
pharmaceutically manufactured galenic forms (powder and oil capsules, Tablets 168 tonnes
tablets, liquid and cosmetic forms). Number of units packed
ARKOPHARMA’s know-how has enabled it to introduce innovations using Containers (capsules and tablets) 21 million
an original manufacturing procedure applied to phytotherapy: freeze- Blisters and miscellaneous 23 million
grinding. Vials and bottles 2.7 million
Little vials 2.6 million
Freeze-grinding Ampoules 48 million
Bags 12.2 million
This industrial technology was used for the first tine by ARKOPHARMA Tubes (tablets, liquids, homeopatics) 9.5 million
for medicinal plants in 1985. Freeze-grinding or grinding in liquid
nitrogen at-196oC preserves the whole of the plants’ active principles,
intact. It provides a powder with optimum particle size and thus
promotes the active principles’ bioavailability. It also improves
productivity by making grinding easier. The production unit, operated by
computer-aided production management software “SAP”, meets the
firm’s growth requirements by providing a very large production
1,4 billion
the number of capsules packed by ARKOPHARMA
capacity.
in 2009

2009, industrial development...

The industrial structure of the ARKOPHARMA Group is principally


comprised of 3 production plants that are located in Carros (France),
Waterford (Ireland) and Vintimille (Italy).
These 3 plants, which are completely complementary, provide the Group
with industrial resources that are in full compliance with the strict
pharmaceutical, food and cosmetic regulations. The corresponding
production capacity is large enough to enable the plants to keep up with
the Group’s projects and rate of development.
The industrial changes were based on the improved performance of our
current installations.
In terms of performance, our production workshops have been organised
using participatory working methods that aim at improving industrial
effectiveness. This has enabled us to increase productivity of certain
major processes (bottles, blisters, vials ...)
This approach to continued improvement is one of the strong points
behind our industrial management and will contribute in both the short
and medium term to increase the ARKOPHARMA Group’s general
performance.

23
Dynamic marketing at everyone’s service

The marketing teams endeavor to boost product sales on the Pharmacy and Parapharmacy networks

● A network of medical representatives keeps gynecologists and general


practitioners regularly informed about a selection of the Group’s
products that meet medical needs.

● A special division dedicated to Marketing and communication with:


- A Press Department, whose task is to publicize the Group’s
products in the Press, compile Press files and releases as well as
regularly visit the major editorial offices in Paris. In 2008, there were
over 800 write ups in both the professional and general public press,
thanks to press relations.
- A Direct Marketing Department, whose task is to boost
communication operations targeting the ultimate consumers
● A team of Product Managers with dual training in Marketing and
(Arkonews, informative newsletter...).
Science, devises new products in cooperation with the Research &
Development Department, boosts existing lines and promotes them
● Part of the Global Marketing Department, the Multimedia Unit is in
through Press and TV campaigns and the provision of all promotional
charge of the Arkopharma Group’s web projects, with a focus on two
aids (counter and free-standing display units, showcards, maxi-boxes,
main priorities: creating web sites and multimedia projects for all of the
booklets, brochures, etc.).
Group’s units and subsidiaries (web-design, web-publishing, web-
development, server management, domain name management, e-
● A team of sales promoters travels throughout France: its mission is to
learning and the creation of eBooks for the sales representatives) and
support, train and guide the pharmacy teams in showcasing the product
web-marketing (web ranking, sponsored links and media buying
lines, advising and selling Group products.
campaigns, e-mailing campaign management, visitation analysis,
In 2008, these sales promoters assisted over 4,200 clients, via training
competitive intelligence and follow-up on our e-reputation,…).
programs (5,600 training sessions were given in pharmacies) and well-
And, since July 2009, Arkopharma has offered an e-Commerce solution to
adapted merchandising advise.
its pharmacy clients, who can now place their orders by Internet.

24
Graphic design and communication

2009: the year of standardized packaging

Application of the European directive on product licenses


Packaging for medicine has been changed, due to the 2008 European
directive. All of our products were updated prior to the directive
PRINTING
IMPRIMEURHOUSE
application date on May 7, 2009.
The DTP team has added new coding and labeling, which must be placed
on both the packaging and the insert, such as the systematic use of
Braille to indicate the product name and dosage for the visually impaired
as well as the new generation CIP 13 bar codes.

Packaging, a joint effort between the Visual Design


& Communication Department and the plant team
Arkopharma
The Visual Design & Communication Department works hand in hand
with the teams at the manufacturing plant to standardize the
packaging.
The goal is to improve workflow fluidity, reduce the time required for
In 2009, 1178 files were sent out to printers and
the machine manufacturing phase and thus focus on creating high
magazines via FTP
quality products
The Visual Design & Communication Department has had a steady
The Packaging Design and Methods divisions work together to resolve
workload.
their manufacturing constraints and create their technical
communication materials. The 1178 files that were sent out included all of the different types of
files that the Department manages: packaging components, POS
This collaboration is not new, simply the reflection of a new policy within
advertising materials, press campaigns, the Arkonews magazine for the
the company.
general public, informative documents for pharmacists...
- March was the most active month with 160 files completed
- The most frequent packaging components were the boxes, with
400 new creations
- 25 files were sent out per graphic artist and per month in 2009.
The work is entirely done on-line: from the creation of the text that will
be placed on the product (Marketing) to sending the file to the printer
via FTP.
CDs are used less and less frequently and there are no more paper files
used in the Visual Design & Communication Department: our company
is committed to protecting the environment.

25
Development, sustainably

Respect of nature

True to its philosophy, ARKOPHARMA views its

mission as a pharmaceutical company with the

greatest respect for Nature and basic ethical

principles.

Strict scientific rules and measures to ensure

quality help to produce natural, novel, safe and

effective medicines.

26
The environment’s respect:

Our Environment and Safety Commitment Atmospheric waste control


ARKOPHARMA has developed industrial processes in which atmospheric
As manufacturers of medicine, dietary products and cosmetics made
waste is minimal and therefore controlled.
from natural raw ingredients, the ARKOPHARMA Laboratories are
The atmospheric pollutants include dust and greenhouse gas.
committed to producing their entire product line, while ensuring
optimal safety and health at work and protection of our environment. Dust that is emitted due to the industrial processes is
systematically captured by efficient filtration installations.
Our policy in terms of safety and the environment includes risk control,
pollution prevention and managing our business activities in the spirit of Combustion gas emissions are also permanently controlled in our
a socially responsible company with regards to our employees and installations.
nature. Over the years, the reduction of pollutants in the air has become
Fully conscious of the responsibility that the pharmaceutical industry increasingly significant.
bears in terms of the outer world, our Safety and Environment
Protection of water resources
commitment is a factor in internal progress and a trump card in our
relations with our partners. Control of water consumption is also an important part of this water
resources protection policy. Water is of prime importance to our
production, being one of our raw materials as well as a utility. . We have
For Sustainable Production
noted a decrease in water consumption, which demonstrates, in part, a
In the framework of its strategic business plan, ARKOPHARMA continues rationalization of its use.
to be extremely involved in controlling our environmental impact,
maintaining the safety conditions of our installations and equipment, Aqueous waste control
promoting accident prevention and improving working conditions.
The control of aqueous waste is part of the strategy to improveour
The Group’s Management ensures that these policies are implemented, environmental impact. Our self-monitoring program enables us to
and daily put into practice by all the firm’s departments. Here, they are clearly determine our goals in terms of quantity and quality.
backed by the Safety / Environment Department which contributes its
By regularly communicating these goals to our production personnel,
expertise, with support from team members in the operational services
we have been able to continually and increasingly raise their awareness.
and help from the CHSCT and the occupational physician.
Over the past several years, we have observed a decrease in our annual
Monthly committees were moreover established in every sector to
volume of aqueous waste.
answer closer in the continuous improvement.
The organizational measures and technical developments that we have
implemented allow us to continue to significantly reduce the degree of
The Environment: the factors involved
pollution in the aqueous effluents discharged from the production sites.
Protection of energy resources
Our energy policy is focused on rationalising energy consumption. Our
technical teams are busy studying how to best optimise techniques for
managing air conditioning stations, lighting, steam generation as well as
stopping and restarting units.

27
Efficient waste control We also have regulatory standards that are mainly taken from the
Managing waste disposal is a major challenge for our company. Over the Environmental Code and in particular, the legislation on Classified
past few years, we have placed emphasis on updating our waste Installations for Environmental Protection (ICPE) as well as the Labor Code.
management program by striving to reduce waste and recycle waste This is why our classified production sites are regularly and thoroughly
materials. inspected by the public authorities.
Given the fact that the cost of eliminating industrial waste is very
This is not only due to the installations and equipment required for them
expensive, more efficient waste control will allow us to bring together
to operate, but also given the nature of certain products that are used
economic development and environmental concerns.
to produce our products.
The waste production indicator for our activity is in constant decline,
The Safety/Environment Department is also in a position to rapidly
due to more efficient waste control.
integrate regulatory changes, thanks to a monthly regulational watch.
The Safety/Environment Department is permanently striving to ensure
We strive to take, whenever possible, a proactive approach in order to be
that the waste sorting process is increasingly efficient. In 2009, a waste
in full compliance with the legal obligations within the stated deadlines.
sorting program for paper was implemented on all of the Group’s sites.
The increasing number of in-house audits on safety and the environment
Depending on the waste’s physicochemical nature, the Safety/Environment
Department sends it to authorized waste recovery, recycling and disposal has helped our employees become more involved and allowed us to reach

treatment and processing plants. a more competitive level of conformity.

Investments in Environmental Protection and Safety


Safety / Occupational Health
As part of our continual improvement policy, ARKOPHARMA continues to
Occupational accidents make investments to improve its installations, tools and production
The prevention of occupational accidents and professional diseases is a processes. These significant efforts help endow us with a more efficient
priority in our policy of protecting Group staff members and partners. working tool and include environmental protection dimensions as well as
It is preceded by risk studies prior to making investments and the health and safety of people outside and inside the firm.
arrangements, in order to be able to integrate inherent safety principles In 2009, investments were made due to new regulatory measures or, in
in plant, equipment and processes as early as possible, right from the
particular, to cover certain areas of safety in our installations. Efforts
design stage.
were also made to control the potential impact on the environment and
All of these actions will help us continually reduce the number of work- use of energy resources.
related accidents. The results highlight a significant drop in the number
Needless to say, this has to be compared with the operating budgets,
of these accidents.
which include these important areas of Group management.
Industrial risk As we remain convinced that the success of our policy on safety and the
Our installations are regularly monitored and maintained, and regulatory environment lies in each individual’s involvement and wiliness to take
periodic checks are made. responsibility, we also invest in training programs to enhance all of our
Given our numerous storage and distribution activities as well as our employees’ skills. In addition to the compulsory training programs, we
processes that include flammable materials, fire is one of our major risks. have developed a training plan that takes into consideration the
High performance operational and organisational security systems prevention improvement goals as well as the previously stated changes
ensure that our employees are permanently up to date on the measures in legislation. Moreover, practical summaries that describe good
to be taken for fire risk prevention and emergency responsiveness. practices for prevention are included in our information system, such as
safety data sheets for each work station, safety booklets per activity
Regulatory factors sector as well as specific operating procedures.

Given the diversity of our activities, we are subject to numerous In addition to this, responsible behavior audits in each sector will enable
regulations, which we use as a basis for the construction of our us to regularly evaluate whether or not our employees have adopted this
Environment & Safety measures. responsible behavior.

28
Our social responsibility

Managing and Developing Skills Dialogue: giving preference to nearness

Constantly endeavouring to increase its level of competitiveness, thanks Verbalisation meetings are held regularly in each Department. The aim
to the continually improved skills of its personnel, the ARKOPHARMA is to enable staff members to express their feelings to their superiors
Laboratories are focusing on the development of expertise. Today, concerning matters that are of importance to them. This contact,
priority is placed on developing loyalty and motivating the company’s regarded as a special time for exchanging views, is a definite driving
staff members in order to ensure the Group’s sustainability. force in the development of the Group’s Human Resources policy.
For the past several years, a management policy has been implemented Social dialogue also takes form in the quality of the relationships
using the predictive management of jobs and skills approach. Tools such maintained between labour and management; several significant
as an ARKOPHARMA trades reference guide as well as job and description agreements are negotiated concerning various themes that boost the
definitions for each staff member are used. quality of the social context, in a common approach to the company’s
The goals behind this process are: success as well as the success of those who work in the company.
- Better clarification of job limits, thanks to a comparison that
measures the job requirements for a specific position and the Protecting Human Health
capability and skills of the employees;
- Better clarification of the link between the various components In an industrial environment, ARKOPHARMA has chosen to monitor its
in the organisation in order to ensure a transversal dimension and staff to ensure their safety at work. Significant means (training,
improve communication; information, alerting, etc.) are devoted to human safety in order to
- A more coherent remuneration system; reduce the incidence of accidents at work and their seriousness. Similarly,
- Increased internal mobility thanks to an intranet that enables each to mitigate the risk of occupational illness, ergonomists regularly work in
staff member to apply for a job on line and thus be the prime mover close cooperation with employees, departmental heads and occupational
in his/her advancement within the firm. medicine.

Social Protection: a Priority

Social protection has always been one of the ARKOPHARMA Group’s


main concerns.
A new contract was negotiated in this aim with the managing
organisations enabling us to once again and in a socially positive manner
develop this component of compensation.
The Group is constantly looking to improve its employees’ conditions
concerning healthcare coverage.
For that purpose, the Group was equipped with services of a social
worker who helps the employees in their personal problems.
Besides, the retirements, more and more numerous, and the
modifications of the Law, motivated the Group to set up a service of
personalized assistant.

29
Expansion, internationally

ARKOPHARMA
makes no secret of its powerful international

ambitions, via the 8 subsidiaries.

A worldwide presence in more than 60 countries

thanks to high-powered distribution contract

policy.

30
International horizons

In 2009, the ARKOPHARMA Group showed excellent results in its international business activities, despite the decrease
in sales of its seasonal products, such as weight loss and sun care products

In a difficult international economic situation, which is due to the


general decline of the world economy, the International Department’s
global activity in 2009 has remained stable, on a like for like basis.
On the other hand, the Export Distributors structure (+7%) has shown
excellent progress as they benefitted from the opening of new markets
as well as the transfer of its subsidiaries’ activities to new distributors
(i.e. England, Australia).
This winning strategy (closing non-strategic subsidiaries and focusing
the subsidiaries’ business activities on Europe) has enabled us to make
major savings and consolidate the largest distribution structures’ sales
(Portugal, Germany and Saudi Arabia).
Moreover, and thanks to new European regulatory opportunities categories. This policy has finally proved to be successful and has allowed
(phytotherapy remedies and dietary supplements), the Arkopharma us to achieve 2 figure growth as compared to 2008 during the last four-
Group has been able to refocus its product mix/markets and increase month period of 2009.
product development in order to stay a cut ahead of its European
All of these categories are showing buoyant growth and should reach
competitors.
their full potential in the years to come.
The international product portfolio not only focuses on the main OTC
indications (Phytotherapy, articular pain, tonics) but also on the new
therapeutic classes where self-medication is rapidly developing, such as
treatments for recurring bladder infections using Cranberry extract and
the prevention of winter colds and flu, with Echinacea, which stimulates
the immune system.

Distributors

The Business Unit Export Distributor confirmed the strategy


implemented by the ARKOPHARMA Group for its international
development, outside of its subsidiaries, showing a global growth of 7%
in sales to distributors as compared to 2008. The future looks very bright,
due to the fact that our company shows overall growth in all regions and
our active product portfolio is rapidly renewed.
Moreover, the Latin American zone displayed buoyant growth with
numerous countries showing a major expansion on the purely OTC
Product Mix pharmaceutical markets.

Phytotherapy has played a major role and thus enabled us to compensate


for a lack of sales in the Weight loss and Menopause categories, as
mature markets have become more difficult and highly competitive.
Moreover, and given today’s unfavorable economic environment, there
is a change in the behavior of consumers, who have made the decision to
discontinue using certain intensive treatments / remedies.
Nonetheless, new product categories, such as hair loss treatments
(FORCAPIL®) and chronic bladder infection treatments (CYS-CONTROL®)
have continued to grow and consolidate their market share.
We have continued to deseasonalize our sales by reinforcing our position
on the winter product lines: Royal jelly, cough and cold medicine, hair
loss capsules as well as other products in the Vitamin and Mineral

AKOPHARMA Spain 31
Outlook for 2010 Lastly, we must highlight the fact that our Russian partner has stabilized
sales and successfully confronted the significant economic recession in
The food supplement and plant-based product market (medicine or this region at the beginning of 2009.
dietary supplements) in Europe has become the Arkopharma Group’s
priority area of development on an international level, thus confirming
the company’s new focus on its core business: Phytotherapy, Plant-based
medicine and Specialties with a plant and vitamin-mineral base.
New marketing operations have been planned for 2010 to relaunch our
Weight Loss, Phytotherapy and Tone/Vitality lines as well as promoting
different promotional operations in the various points of sale with a
view to developing long-term customer loyalty.
Priority will be placed on the Phytotherapy lines (ARKOCAPS and Plant
Ampoules) in order to develop our core business, which proves to be
highly solid and stable in relation to sales and the economic situation..
As for the Distributors, 2010 has gotten off to a good start with
numerous new distribution agreements (Germany, Colombia, and Russia)
as well as the export of our PLANTE SYSTEM line. This development policy
should allow the Group to make a name for itself in the organic
cosmetics sector.
It is also important to note the imminent launch in numerous European
countries of phytotherapeutic medicine for treating arthrosis, called
HARPADOL®. It is a specialty that is made from cryoground
Harpagophytum powder and is part of the ARKOCAPS line, which is the
ARKOPHARMA Group’s Core Business line.

AKOPHARMA Belgium AKOPHARMA Ireland

AKOPHARMA Netherlands AKOPHARMA Italy

32
Subsidiaries Distributors

Specific sales and marketing follow-up in each country


have again proved successful in Europe.
Our international development except Europe has to
lean on solid partnerships to penetrate into new
markets.

60 : the number of countries where ARKOPHARMA


has a presence through its subsidiaries or distributors

33
Group Organisation Chart at 31st December 2009

French subsidiaries

100% • FERRIER Laboratories Sarl. Pharmaceutical Laboratory

100% • L H S S.A.

International subsidiaries

100% • ARKOCHIM ESPANA S.A. Spain

100% • ARKOFARM Srl Italy

100% • CIPRIANI Srl Italy

100% • ARKOPHARMA UK Ltd. United Kingdom

52% • ARKOPHARMA Nederland B.V. Netherlands

96% • ARKOPHARMA BELUX Belgium

100% • ARKOPHARMA Ireland Ireland

100% • ARKO DIFFUSION SA Switzerland

55% • ARKOPHARMA HELLAS Greece

34
Administration, Management, Control

SUPERVISORY BOARD

Dr Max ROMBI
Chairman of the Supervisory Board (Terms of office: june 2004 – june 2010)
Monique ROMBI
Vice Chairman of the Supervisory Board (Terms of office: june 2004 – june 2010)
Bernard ROMBI
Member of the Supervisory Board (Terms of office: june 2004 – june 2010)
Janine ARON
Member of the Supervisory Board (Terms of office: may 2009 – june 2015)

MANAGEMENT BOARD

Philippe ROMBI
Chairman of the Management Board (Terms of office: june 2008 – november 2010)
Olivier ROMBI
Chief executive Officer (Terms of office: november 2004 – november 2010)
Bénédicte FOURNET
Chief executive Officer - Head Pharmacist (Terms of office: november 2004 – november 2010)
Brigitte ANDORRA
Member of the Management Board (Terms of office: november 2004 – november 2010)

FINANCE

Jean-Jacques ROBERT
Finance Director

STATUTORY AUDITORS CONTROL

CABINET TRINTIGNAC ET ASSOCIÉS KPMG SA (Terms of office: may 2009 – june 2015)
27, boulevard Général Vautrin Philippe LEVERT
06000 CANNES 80 route des lucioles
06560 SOPHIA ANTIPOLIS

LABORATOIRES ARKOPHARMA
Limited Company with a Management Board and Supervisory Board with a capital of € 22 501 736
Registered Office: Zone industrielle de Carros - Premiere avenue 2709m – 06511 Carros (Alpes-Maritimes) - FRANCE
Company Registration Number: Grasse B 307 378 489
Telephone: (33) 4 93 29 11 28 - Fax: (33) 4 93 29 11 62
Web Site: www.arkopharma.com – e-mail: info@arkopharma.com

35
Arkopharma group company addresses

FRANCE SPAIN IRELAND


ARKOPHARMA Laboratories ARKOCHIM ESPANA SA ARKOPHARMA IRELAND
LID de Carros-le-Broc C/de Almatea, n°9 Unit 507 Western Estate
1re Avenue - 2709 m - BP 28 28045 MADRID Waterford Industrial Estate, Ballynaneashagh
06511 CARROS CEDEX Tél. : (34) 91 527 15 12 WATERFORD
Tél. : (33) 04 93 29 11 28 Fax : (34) 91 527 99 91 Tél. : (353) 51 351 776 / 777
Fax : (33) 04 93 29 11 62 E-mail : marketing@arkochim.es Fax : (353) 51 351 782
E-mail : info@arkopharma.com www.arkochim.es
www.arkopharma.com NETHERLANDS
GREECE
ARKOPHARMA NEDERLAND B.V.
LHS ARKOPHARMA HELLAS Josephine Bakerstraat 43
LID de Carros-le-Broc 85 lavriou ave. 1311 GB ALMERE
1re Avenue - 6008 m - BP 646 19002 PEANIA ATHENS Tél. : (31) 36 54 69 747
06511 CARROS CEDEX Tél. : (30) 210 66 83 000 Fax : (31) 36 54 68 216
Tél. : (33) 04 93 29 11 28 Fax : (30) 210 66 83 250 E-mail : arkoph47@XS4all.nl
Fax : (33) 04 93 29 11 62 E-mail : arriani@arriani.gr
E-mail : adv-lhs@arkopharma.com SWITZERLAND
ITALY
ARKO DIFFUSION
ARKOFARM Srl 5D route des Jeunes
FERRIER Laboratories Via Maneira n 17/c rosso - Frazione Bevera
LID de Carros-le-Broc 1211 GENEVE 26
18039 VENTIMIGLIA IM Tél. : (41) 22 300 1381
1re Avenue - 2709 m - BP 47 Tél. : (39) 0184 211 72 00
06511 CARROS CEDEX Fax : (41) 22 300 1396
Fax : (39) 0184 211 74 00 E-mail : info@arkodiffusion.ch
Tél. : (33) 04 93 29 11 28 E-mail : info@arkopharma-italia.com
Fax : (33) 04 93 29 11 62 www.arkopharma.it
E-mail : adv-ferrier@arkopharma.com
CIPRIANI Srl
BELGIUM Via Maneira n 17/c rosso - Frazione Bevera
18039 VENTIMIGLIA IM
ARKOPHARMA BELUX Tél. : (39) 0184 211 72 00
Avenue Edison 13, Parc de la noire épine
Fax : (39) 0184 211 74 00
Zoning Nord
E-mail : cipriani@arkopharma.com
1300 WAVRE
www.ciprianilab.com
Tél. : (32) 2 10 233 600
Fax : (32) 2 10 233 610
E-mail : info@arkopharma.be

36
B.P. 28 - 06511 Carros cedex - France - Tel. : + 33 (0) 4 93 29 11 28 - Fax : + 33 (0) 4 93 29 11 62
Web Site: www.arkopharma.com – e-mail: info@arkopharma.com

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