IVY COSMETICS CORPORATION

The Company is an integrated cosmetics manufacturer whose principal business is the manufacture and sale of cosmetics and quasi-drugs, with door-to-door sales as its core business. Its principal business is door-to-door cosmetics, under which it has sales agreements with 238 domestic "sales companies" and develops, manufactures and sells cosmetics, quasi-drugs, beauty supplements and cosmetic accessories, while also providing sales support to its sales organizations. Products are sold to customers through the sales companies, which are generally the Company's shipping destinations. The Company records sales at the amount shipped to the sales companies. Its product portfolio is centered on core skincare lines including Ivy Prestige, Ivy Cosmos II, Basic Plus and Re White, as well as the Ivy Attracty line, which includes cleansing products and facial cleansers. Body-care products include the Garland line, while the Shield Sun line covers sunscreens and body lotions. The Company also offers optional-care products such as facial masks and lip treatments. Special-care products centered on serums include Red Power Serum and White Power Serum, the latter being a quasi-drug. Makeup is primarily offered under the Chulier line, including foundations, lip colors, eye colors and eyeliners. Hair care is centered on the Hair Primary line, comprising shampoos, conditioners and treatments, and also includes the quasi-drug hair-growth product Medicated Scalp Care Stem Signal. Other products include the men's cosmetics line Men's One, hand creams and the home-use multifunctional beauty device Ivy Beauty Partner. Beauty supplements include foods with function claims and foods with nutrient function claims. Cosmetic accessories and related products include cosmetic tools and the paid portion of Ivy News.