Natural Sunscreen. BHC-S Catalogue. Product Name: BHC-S

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BHC-S Catalogue 1 B103, WOOLIMLIONS VALLEY 2nd B-LINE, SANGDAEWON-DONG, JUNGWON-GU, SEONGNAM, GYENGGI-DO, SOUTH KOREA, 462-120 Tel:+82 2 573 8575 Email: szhen@ibst.kr

Merits of Natural Sunscreen Natural Sunscreen (BHC-S) 1. Provides the same UV protection as Parsol MCX 2. Is natural chemical sunscreen that can directly absorb the UVB rays 3. Can be incorporated with physical UV filters to make natural sunscreen products for UVA and UVB protection. 4. Has multifunctional effects with Anti-inflammation Anti- oxidation 2

Company History 2013 BCX-A, MCE-C Ecocert registration, Participated INCOS Asia 2012 BIFF INCI registration, BIFF Ecocert registration 2011 Participated in WCD (World Congress of Dermatology), Acquired Certificate of Green Technology 2010 Participated in VITA FOOD (SWISS) 2009 Change of company name to BST Inc. The natural preservative patented in Japan 2008 Establishment of Chinese branch office in Shenzhen 2008 Won a prize at Health Industry Technology Contest (Natural preservative for food) 2008 Launched prototype of an reinforcing agent of immunity for animals 2008 Successfully performed a task toward the Agriculture and Forestry Technology (Natural preservative for feed) 2008 Selected as an innovational company (inno-biz certification) 2002 The company research institute approved,natural preservative BMB launched 2001 The multifunctional natural preservative patented (01-0006372) 2000 Bio-skintech Inc., Founded 3

Core Technologies Natural Herb Extraction (Specific Activity) - Natural UV Protector - Acne, Dandruff, Tinea Pedis - Extraction of active ingredients from plants and the increased activity by bioconversion Stable Formulation of Active Ingredients - Stabilized active ingredients through electro-spinning, micro-fluidization, 3D conformational structure and etc - Extracellular Matrix composition - Vitamin C & proteases & etc.. were stabilized through BST s safety and stability technology 4

Core Technologies Bioconversion - BCX-A (Anti-acnes) was developed through bio-conversion of Chamaecyparis obtusa s leaf extract. - Whitening agent (arbutin modifier) was developed through symbitic fermentation. Cell culture - ADSC (Adipose Derived Stem Cell) Filtrate, which contains many different kinds of active human growth hormone such as EGF, HGF, basic FGF, VEGF and etc. - We named ADSC (Adipose Derived Stem Cell) Filtrate as SMGF (Stabilized Mega Growth Factor) Human protein cloning EGF was cloned to vector and isolated from Sacchromyces cerevisae 5

Contents What is BHC-S? What does BHC-S do? How well does BHC-S perform? 6

What is BHC-S? 7

Research and Development Sunscreen Ingredients ㆍ Chemical ㆍ Physical Problem ㆍ Skin trouble ㆍ Leave cast Natural Chemical Sunscreen (BHC-S) Safe for skin Provide UV protection Anti-inflammation and Anti-oxidation 8

Types of Sunscreen Physical ingredients - Protect the skin from the sun by deflecting or blocking the sun's rays. Advantage -Generally stable -Don't cause free radicals. -Pretty safe, FDA approved -Zinc oxide protects against the entire spectrum of UVB and UVA rays Weakness -Thick and opaque, may be hard to apply -Titanium dioxide can be problematic for some people 9

Types of Sunscreen Chemical ingredients - Chemically synthesized ingredients work by absorbing the sun's rays. Advantage Weakness - Must wait at least 20 minutes after -Colorless, odorless, usually runny -Good feeling when applied. -White residue does not leave on the skin. application for effective sun protection -Can cause dermatitis or allergic, phototoxic reactions and cancer - Can cause hormonal disorders 10

What is BHC-S? Peanut Bran oil Natural Sunscreen Centella asiatica Ecklonia kurome BHC-S is Natural Sunscreen material made using natural plant source. 11

What does BHC-S do? 12

What does BHC-S do? Sunscreen effect BHC-S Anti-oxidation effect Anti-inflammation effect 13

How well does BHC-S perform? Developmental Story Lab Data Market 14

Research Strategy Development of natural sunscreen for replacing chemical and physical ingredients. 1.Screening of natural extracts which has sunscreen efficacy. 2.Bio-assay was performed with UV sensitive yeast strain. 3.Natural extracts of UV absorbance was compared with chemical & physical ingredients. 15

Developmental Process Step 1 : UV Spectrum assay (Screening assay from Natural Products Library) Step 2 : Bio assay (UV sensitive Saccharomyces strain) Step 3 : Development of Natural sunscreen 16

Efficacy of Natural Extracts - Efficacy of Arachis hypogaea fruit extract 1) Vitamin E in Arachis hypogaea fruit extract contains much anti-oxidant efficacy, which helps to prevent aging. 2) Resveratrol, a polyphenolic compound found in Arachis hypogaea fruit extract has efficacy of anti-cancer, anti-viral, anti-aging and anti-inflammation. -Efficacy of Oryza sativa bran oil extract 1) Vitamin B1, B6, Vitamin E : -can prevent freckles, atopy and wrinkles. - maintain moisture in the skin. 2) Strong anti-oxidizer : - can absorb UV and has strong anti-oxidant efficacy - is used in food, cosmetics and medicine. 17

Efficacy of Natural Extracts - Efficacy of Centella asiatica extract 1) can regenerate the skin by stimulating the synthesis of collagen. 2) has the efficacy of anti-acnes and anti-wrinkles 3) maintain the skin tension and help to whiten the skin. - Efficacy of Ecklonia kurome extract 1) help to cure the osteoarthritis 2) has the efficacy of anti-inflammation and anti-oxidant. 18

UV Spectrum Assay UV Spectrum : Natural Products 2.2 1.5 2 1.5 1 Abs Abs 1 0.5 0.5 0.3 250 300 350 380 Wavelength [nm] 0.2 250 300 350 380 Wavelength [nm] Centella asiatica extract 0.1% Arachis hypogaea fruit extract 0.1% 0.5 0.4 Abs 0.3 0.2 0.1 0 250 300 350 400 Wavelength [nm] Oryza sativa bran oil extract 0.1% Centella asiatica extract and Arachis hypogaea fruit extract showed high peak at UVB range. 19

UV Spectrum Assay 1.8 1.5 1.1 1 Abs 1 Abs 0.5 0.5 0 0 250 300 350 400 250 300 350 400 Wavelength [nm] Wavelength [nm] Parsol 1789 0.001% Parsol MCX 0.001% 1.6 1.5 1 Abs 0.5 0 250 300 350 400 Wavelength [nm] BHC-S 0.001% Parsol 1789 showed high peak at UVA range, while BHC-S and Parsol MCX at UVB range 20

Bioassay -UV protection of Parsol MCX 1%, Centella extract, Arachis hypogaea fruit extract and Oryza sativa bran oil extract. MCX 1% Centella 10% MCX 1% Peanut extract 10% MCX 1% Oryza sativa bran oil extract 10% 크림 크림 크림 10% of each natural extracts showed similar UV protection rate with 1% of Parsol MCX. 21

What does BHC-S do? Natural extracts with different functions Sunscreen ㆍ Arachis hypogaea fruit extract ㆍ Oryza sativa bran oil extract Anti-inflammation ㆍ Centella asiatica extract Anti-oxidation ㆍ Ecklonia kurome extract 22

Efficacy of BHC-S 1. Parsol MCX 2. BHC-S 3. control 1. Parsol 1789 2. BHC-S 3. control UV sensitive yeast strain (without DNA repair system) The UV protection of BHC-S was compared with Parsol MCX and 1789 after exposure of Petri dish to UVB for 150 seconds. UV Protection rate of BHC-S and those of Parsol MCX and Parsol 1789 was almost same. 23

Bioassay - The UV protection of BHC-S and MCX MCX 0.2% BHC-S 0.2% 1789 0.2% 0.2 % of parsol MCX, parsol 1789, BHC-S showed similar UV protection, which proves that BHC-S can replace the chemical sunscreen ingredients. 24

Bioassay - UV protection rate of BHC-S depending on different concentration. 1% 0.5% BHC-S 0.2% The UV protection rate of BHC-S was depend on the concentration. The higher the concentration of BHC-S, the more it can protect UV. 25

Bioassay Comparisons with other finished product & chemical ingredient UV irradiation time : 30 minutes 1. TiO2 : 10% Zinc Oxide : 2% 2. TiO2 : 5% Zinc Oxide : 1% MCX : 7% 3. TiO2 : 5% Zinc Oxide : 1% BHC-S : 7%

Bioassay Comparisons with other finished product & chemical ingredient 1. TiO2 : 10% Zinc Oxide : 2% 2. TiO2 : 5% Zinc Oxide : 1% MCX : 7% 3. TiO2 : 5% Zinc Oxide : 1% BHC-S : 7% UV irradiation time : 30 minutes 3 (BHC-S) 1 Physical only Suncream made with 7% BHC-S leaves less white cast compared to suncream made with only physical ingredients.

Formulation of Finished Products - Phase A (Oil) 1 2 3 ㆍ Cetiol CC 3.5 3.5 3.5 ㆍ Rheodol MS 165 1.5 1.5 1.5 ㆍ Lanette 16 1.0 1.0 1.0 ㆍ Eutanol G 3.0 3.0 3.0 ㆍ Rheodol AO-15V (Arlacel 83) 1.5 1.5 1.5 ㆍ Arlacel 60 (Crill3) 1.5 1.5 1.5 ㆍ Rheodol TW-S120V 1.5 1.5 1.5 ㆍ DC345 10.0 10.0 10.0 ㆍ MCX-XR - 7.0 - ㆍ BHC-S - - 7.0 - Phase B (Water) ㆍ T-Lite SF-S 10.0 5.0 5.0 ㆍ Z-cote HP-1 2.0 1.0 1.0 ㆍ D.I.Water 43.0 42.0 42.0 ㆍ B.G.(1,3-) 3.0 3.0 3.0 ㆍ Glycerin 2.0 2.0 2.0 ㆍ Chem-free 1.5 1.5 1.5 ㆍ D.I.Water 15.0 15.0 15.0

Formulation of Finished Products -Procedure to make a finished product containing BHC-S ㆍ Combine ingredients in Phase A and heat to 80 ㆍ Maintain temperature and mix until homeogeneous. ㆍ Add TiO2 (5wt%) Homogenizer, 5000rpm, 10min ㆍ Heat Phase B to 80 then add to Phase A. ㆍ Mix and cool to 30

Photo stability Method for Abs change 1. Sample : BHC-S(10% solution), Parsol MCX 2. Put on the samples at Petri dish and irradiation UV for 4 and 24 hours. 3. Irradiate UV Spectrum 30

Photo stability Parsol MCX 1 0.8 0.6 Before irradiation UV 1.1 1 After 4 hours 1.2 1 After 24 hours Abs 0.4 Abs 0.5 Abs 0.5 0.2 BHC-S 0 250 300 350 400 Wavelength [nm] 1.5 1 Abs 0.5 Before irradiation UV 0 0 250 300 350 400 250 300 350 40 Wavelength [nm] Wavelength [nm] 1 0.8 0.6 Abs 0.4 0.2 After 4 hours 1.4 1 Abs 0.5 After 24 hours 0 250 300 350 400 Wavelength [nm] 0 250 300 350 400 Wavelength [nm] 0 250 300 350 400 Wavelength [nm] Spectrums were not big changed after UV irradiation for 24 hours. 31

Photo stability Method for bioassay. 1. Sample : BHC-S(10% solution), Parsol MCX 2. put on the samples at Petri dish and irradiation UV for 4 and 24 hours.. 3. Put the 0.1% of samples into cream and cover this cream on the petri dish 4. Irradiate UVB for 2 min 30s and then incubate for 38 hours Before (0.1%) MCX BHC-S (solution) After 4 hour (0.1%) After 24 hour (0.1%) MCX BHC-S (solution) MCX BHC-S (solution) BHC-S control BHC-S control BHC-S control Bio assay was not big changed after irradiation UV for 24 hours on petri dish.. 32

Market Share of Sunscreen Type of cosmetics Basic Cosmetics Functional For hair Color cosmetics Etc. Functional cosmetics Whitening 18.9% 6% 11% Wrinkles 23.0 % 15% 44% Complex formulation 25.3% 24% sunscreen 32.7% Source : Korea Cosmetics Association Production in 2009 33

Thank You B208, Wollimlions s Valley II B-Line, 14 Sagimakgol-ro, Jungwon-gu, Seongnam-si, Gyeonggi-do, 462-120 Korea TEL +82-70-8796-5390 e-mail szhen@ibst.kr FAX +82-31-8018-2136 Home page www.ibst.kr