Ciba Forms Joint Venture With Virchow

Switzerland-based Ciba Specialty
Chemicals Inc. has agreed to form a joint venture with Virchow Group, a Hyderabad, India-based
pharmaceutical company whose Virchow Drugs Pvt. Ltd. business manufactures Triclosan, an
antimicrobial originally developed by Ciba and used in products ranging from deoderants, soaps and
toothpaste to shower curtains and technical textiles.

Under the agreement, Virchow Drugs will use Ciba technology to upgrade its Triclosan
manufacturing operation, enabling it to produce the antimicrobial ingredient to meet United States
Pharmacopeia quality specifications and international environmental standards. The joint venture
also will allow Ciba to improve its market position in Asia and expand its interest in Asian
cosmetic markets.

“This cooperation allows Ciba to further increase its position by expanding the offer of
quality antimicrobial products in the Asian region, where Ciba has a well-established presence,”
said Leonardo Harsch, global head of Ciba’s Detergent & Hygiene business. “The high-quality
production facilities of Virchow and Ciba’s leading position in the Triclosan business fit together
very well.”

July/August 2006