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BEAUTY

Who
Are we?
Cosmax’s Philosophy
Company that prides itself in creating beauty through goodness
& strong R&D

Apple of Ethics Apple of Beauty Apple of Science that


that enlightens us that the prince of led to discovery of
on good and evil Troy had awarded law of gravity
to Aphrodite
Cosmax is pursuing…
Strong R&D, Globalization and Total Beauty

Globalization Commitment to increase and


strengthen overseas operation

Total Beauty R&D Extremely aggressive &


Providing total solution from
company dedicated R&D
skin care, make-up, hair
care to cosmetic packaging
components
History
Cosmax is rewriting the history of cosmetics OEMㆍODM with its
distinguishing competitiveness

2008
Obtained
2006 EU Organic
First domestic cosmetics Certification,
2000 company to acquire TGA ECOCERT
First to be certified (Therapeutic Goods Administration)

ISO 9001 among the


cosmetic industry

2004 2005 2007


Established Certified ISO First company to
Cosmax China Ltd. 14001 obtain OHSAS
1998 18001 among the
Achieved CGMP industry

1992
Established as Cosmax
Production Sites
3 factory units and 1 distribution center are in Korea and 2 factory units
are in China

Cosmax China Cosmax Korea


Shanghai unit I Factory unit II
Factory unit I
11,000 m2
Skin / Make-up 9,000 m2 4,800 m2
Hair care Skin / Lip care Make-up

Cosmax China
Shanghai unit II Factory unit III Distribution Center

13,223 m2 1,900 m2
Make-up Powder 4,300 m2

Cosmax China
Guangzhou

27,000 m2
Skin / Make-up
Hair care
Why
COSMAX?
One Stop Solution
We provide total service-ranging from formula to finished goods
including turn key solution

High-Functional Packaging
Skin-Care Make-Up Cosmetics Hair-Care Component

• Lotion • Lipstick • Whitening • Shampoo


• Toner • Mascara • Anti-Wrinkle • Hair Gel
• Cream • Powder • UV Protection • Hair Conditioner
• Eye Gel • BB Cream • etc.
• Essence • Eye shadow
• etc. • Make-up
Foundation
R&D Expertise
Cosmax has dedicated it’s R&D Center with systematic organization
and a research staff from the highest level

R&D Center

27% of total employees

Analysis Oriental-Herbal New-product


Skin care Make-up & cosmetics Development R&D in SH
regulation Dpt. Team

• Skin care • Make-up • Support & • Develop new • Develop new • China-based
base planning raw ingredient products R&D
• Functional • Safety / • Develop
products • Point Efficacy new product
make-up • Analysis forms
evaluation
R&D Expertise
Creating value : advanced formulas are being created by in-house R&D

* Unit : 1,000ea * Unit : 1,000ea

Skin Care : 47,800 Skin Care : 43,000


Make up : 35,300 Make up : 31,800

90% of the products are


being manufactured with
our self-developed formula

• Total of 48 patent
applications
• 1,773 functional cosmetics
90% approved
• Developed many unregistered
functional ingredients
Quality Management System
Strict processes and goals for production and quality control
Purchase of Purchase of
Raw Materials Packaging
Components

• Sampling Packaging • Sampling


• Inspection Raw Material Components • Inspection
• Pass / Reject Inspection Inspection • Pass / Reject

Bulk Production

• Sampling
• Inspection Bulk
• Pass / Reject
Inspection

Aging

Filling, Forming,
Compression

Packaging

• Sampling
• Inspection FG
• Pass / Reject Inspection

Shipping
Quality Management System
Production, Management, & QC certified by global standards,
in addition to annual auditing by global companies

CGMP (1998)
OHSAS 18001 (2007)

ISO9001 (2000)
• Since 2003
• Quality,
Environment,
and Health Safety
- Once a year

• Since 2005
• Quality
- Once a year

ISO14001 (2005)

TGA GMP (2006)


ECOCERT (2008)
Production Infrastructure
The most flexible production facilities in Korea
Various batch sizes : for Skin-Care items ranging from 150kg to 3,000kg
Operating 59 flexible packaging line

* Unit : 1,000ea * Unit : 1,000ea

Area No. Monthly 144,000


of Lines Quantity
Pressed
Skin care 18 5,700 Powder Available
120,000 42% of
Lip 18 2,800
Total
Mascara 2 500 Mascara capacity
100,000
Powder 14 3,000

Total 59 12,000 Lipcare


80,000 Powder

Area No. Annual


of Lines Quantity
60,000 Current
Skin care 18 68,000 Production
58% of
Lip 18 34,000 Total
40,000
Mascara 2 6,000 Skin Care capacity

Powder 14 36,000
20,000
Total 59 144,000

• Dec. 31, 2009, 0


One day production capacity × annual average operation days
(25days per month, 10.5hours one shift) Capacity ‘09 Production Q’ty
(144,000 pcs) (83,300 pcs)
What is our
Reference?
Cosmax’s Global Experience
Business relationships with world-leading multinational cosmetic companies
Sales Growth
Excellent sales growth in domestic market & successful expansion in the
international market
* Unit : 1,000ea * Unit : USD 1,000 CAGR 34%
Skin care
32,000
Approx. 126,000
Color 38%
increase

Approx.
2007 31% 85,000
increase
56,000
24,000
65,000

38,000 48,000

2008 2009
66,000 83,000
2007 2008 2009

No. of
countries 39 49 52
28,000 35,000 for export
Worldwide Reference
Cosmax advances throughout the world

Asia (2007)
Asia (2009) Asia (2004~2007)
Europe (2010)
Europe (2009~)
Asia (2004) US (2007)
Europe (2010)
China (2005) Korea (2007)
Japan (2004)
US (2009~)
Europe (2010) China (2009) Korea Japan (2010)
(2004~2007)
China (2010)
Africa (2007)
Latin America (2007)

Australia (2004~2007)
Latin America (2009~)

Australia (2010)