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The History of Kirin Transition to Pure Holding Company System(2006-2007)

Through its NK21 and KG21 strategic initiatives, the Kirin Group transformed its organizational and business structures. To ensure that the transformation would continue to yield positive results, Kirin Brewery announced the New Kirin Declaration in 2001. The declaration demonstrated the Kirin Group's commitment to being focused on customers and quality, to enhancing its alcoholic beverage business in Japan, and to taking greater advantage of intercompany synergies within the Group.

The Kirin Group faced increasingly challenging business environments during the first few years of the 2000s. Anticipating that the traditional and conventional way of doing business would hinder the Group's ability to grow in the future, Kirin Brewery set out to formulate aggressive group-wide growth strategies to proactively go after new business opportunities while adapting flexibly to changing market environments.

As a result, Kirin Brewery unveiled the Kirin Group Vision 2015 (KV2015) long-term business framework in May 2006, which outlined initiatives to achieve quantum-leap growth by 2015 and set quantitative targets for 2015. KV2015 highlighted three pillars of growth strategies to achieve three trillion yen in sales in 2015: (1) to become an integrated beverage group by leveraging the synergy between the alcohol beverage and soft drink businesses while bringing the domestic alcohol beverage business back to growth track; (2) to expand Kirin’s overseas business; and (3) to develop the health food and functional food business into the fourth core after alcohol beverage, soft drink, and pharmaceutical businesses.

In October 2006, after announcing KV2015, Kirin Brewery made Kirin Beverage, a company listed on the first section of the Tokyo Stock Exchange, its wholly owned subsidiary. In December that year, the company made Mercian Corporation, a Japanese wine maker, its consolidated subsidiary to expand the Group's alcoholic beverage business. In July 2007, celebrating its 100th anniversary, Kirin Brewery changed its trade name to Kirin Holdings Co., Ltd., and span off its alcohol beverage and pharmaceutical divisions to create the new Kirin Brewery Co., Ltd. and Kirin Pharma Co., Ltd., respectively—with Kirin Holdings being a pure holding company for the entire Kirin Group.

New Kirin Declaration in 2001
Mercian wines from 2006

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© 2007 Kirin Holdings Company, Limited.

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