© cognis corporation 2001 now it never hurts to look a little younger. ™

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© Cognis Corporation 2001 Now it never hurts to look a little younger.

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Page 1: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Now it never hurts to look a little younger.™

Page 2: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

• fatty acids• fatty alcohols• glycerine• bulk surfactants• ...

• natural-source vitamin E• specialty surfactants• emollients & emulsifiers• actives• ...

• coatings & inks• textile chemicals• lubricants• agricultural specialties• ...

Page 3: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Actives from Care Chemicals

Advanced Delivery Systems

Next-generation AHA Technology

Innovative Actives

Hydagen® ChitosanGenerol® Phytosterols

Page 4: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

NeoStrata Company, Inc.

Dr. Van Scott and Dr. Yu

Drs. Van Scott and Yu published first paper on skin benefits of AHAs in 1974.

Inventors of amphoteric hydroxy complexes for low-irritation AHA actives.

NeoStrata holds over 100 patents on AHA technology.

Strategic Alliance with Cognis announced in 1999.

NeoStrata’s headquartersin Princeton, NJ.

Page 5: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Known Benefits of AHAs

• Exfoliation

• Moisturization

• Reduction of fine lines and wrinkles

• Collagen synthesis

• Firming

• Skin whitening

Downside: stinging, irritation, ...

Page 6: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

the benefits of AHAs with

significantly reduced sting and irritation.

Page 7: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Amphoteric Hydroxy Complex

Page 8: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

0 2 4 6 8 10 12 14 160.0

0.5

1.0

1.5

2.0

2.5

AHC

AHA

Irritation Threshold

C

on

cen

tra

tion

Time (arb. units)

Model of Controlled Release Concept

Page 9: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Dansyl Chloride Cell Turnover Study(10% lactic acid solution vs 14.7% AHCare™ L 65 solution)*

* the lactic acid concentration is identical in these two solutions

34% increasein cell renewal

rate

pH = 2.4

Page 10: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Results for Facial Sting Study AHC (high arginine) vs.

20% Lactic/NH4OH, neutralized to pH 3.5

0 2 3 5 7 80.0

0.2

0.4

0.6

0.8

AHA (Lactic) AHC (Lactic:Arginine mole ratio = 2.5:1)

Mea

n S

ting

Sco

re

Time (min)

Page 11: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Results for Facial Sting Study AHC (low arginine) vs.

10% Lactic/NH4OH, neutralized to pH 2.2

0 2 4 6 80.0

0.5

1.0

1.5

AHA (Lactic) AHC (Lactic:Arginine mole ratio = 20:1)

Mea

n S

ting

Sco

re

Time (min)

Page 12: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Results for Facial Sting Study AHC (high arginine) vs.

10% Glycolic/NH4OH, neutralized to pH 3.1

0 2 4 6 80.0

0.5

1.0

1.5

AHA (Glycolic) AHC (Glycolic:Arginine mole ratio = 2.5:1)

Mea

n S

ting

Sco

re

Time (min)

Page 13: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Results for Facial Sting Study AHC (low arginine) vs.

10% Glycolic/NH4OH, neutralized to pH 2.3

0 2 4 6 80.0

0.5

1.0

1.5

2.0

AHA (Glycolic) AHC (Glycolic:Arginine mole matio = 15:1)

Mea

n S

ting

Sco

re

Time (min)

Page 14: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Cumulative Irritation Study 20% Glycolic Acid Solutions, pH 3.5

0 2 4 6 8 10 12 14 160.0

0.5

1.0

1.5

2.0

2.5

3.0

AHA (Glycolic) AHC (Glycolic/Arginine mole ratio = 2.8:1)

Me

an Ir

rita

tion

Sco

re

Day

Page 15: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Cognis has exclusively licensed these patents to commercialize AHCare™ technology based on glycolic and/or lactic acid.

AHCare™ is Patented Technology

Key patents:

• R. J. Yu and E. J. Van Scott, “Amphoteric composition and polymeric forms of alpha hydroxy acids and their therapeutic use,” US Patent 5,091,171 (1992).

• R. J. Yu and E. J. Van Scott, “Molecular complex and control-release of hydroxy acids,” US Patent 5,681,853 (1997).

• plus 10 others, issued or pending.

Page 16: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

AHCare™ Products

Two standard products:

• AHCare™ G 60: patented complex of glycolic acid and L-arginine, 74% total actives, glycolic/arginine mole ratio = 15:1

• AHCare™ L 65: patented complex of lactic acid and L-arginine, 75% total actives, lactic/arginine mole ratio = 20:1

Page 17: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Value Proposition for Skin Care Customers

When you buy AHCare™ skin care ingredients from Care Chemicals you get:

• high efficacy with significantly reduced stinging and irritation

• freedom to practice under NeoStrata patents referenced above on a worldwide basis.

• formulation support - including frame formula development to match a market target

• claims substantiation support - including assistance with test methods for both in vitro and in vivo methods.

Page 18: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Dansyl Chloride Cell Turnover StudyAnti-aging Cream containing 10% AHCare™ G 60

21% increasein cell renewal

rate

Page 19: © Cognis Corporation 2001 Now it never hurts to look a little younger. ™

© Cognis Corporation 2001

Summary

• High efficacy

• Significantly reduced stinging and irritation

• Freedom to practice under NeoStrata patents

• Extensive support