<Translation for Reference>>
October 31, 2018
Company Name: Chiyoda Corporation
President& CEO: Masaji Santo
Stock Code: 6366
Stock Listing: First Section of the Tokyo Stock Exchange
Inquiries: Masaru Akiyama
General Manager, Accounting Dept.
(Phone: +81-45-225-7745)

Notice of Revisions to the Forecast of Consolidated Results and Dividend
Chiyoda Corporation (“Chiyoda”) announces today, October 31th 2018, the following revisions to theconsolidated financial forecast and dividend forecast for the fiscal year ending March 31, 2019.
1. Revisions to the Full-Year Consolidated Financial Forecast for the Fiscal Year 2018,
ending March 31, 2019
Revenues

Operating
Income11,500(86,500)

Previous Forecast (A)400,000
Revised Forecast (B)400,000
Increase (Decrease)0(98,000)(B)-(A)
Percentage increase0(decrease)(Reference)
510,873(12,330)
Results FY2017*1: Attributable to owners of parent*2:

Ordinary
Income12,500(86,500)(Millions of Yen)EPS *2
Profit *1(Yen)
6,500
25.10
(105,000)(405.46)(99,000)(111,500)----(10,100)

6,445

24.89

Earnings per share

2. Reasons for the Revisions to the Full-Year Consolidated Financial Forecast
Due to significantly increased construction cost for ongoing LNG projects, notably the Cameron
LNG Project in Louisiana in the U.S. of 85,000 million yen, Chiyoda has revised its forecasts asfollows: Operating loss to 86,500 million yen and Ordinary loss to 86,500 million yen. In addition,
Loss attributable to owners of parent will become 105,000 million yen due to reversal of deferred tax
assets.
Since August 2018, Chiyoda has made an assessment on the execution plan for the Cameron LNG
Project together with the joint venture partner McDermott International Inc. In the course of thisassessment, it has become apparent that the following two factors have made a significant increasein the overall construction cost:
Firstly, an escalation of labor cost along a severe shortage of skilled labor in the Gulf Coast region
caused by 1) a surge in shale development projects due to rising oil prices and 2) major reconstruction1

efforts in the aftermath of Hurricane Harvey.
Secondly, the lower than expected productivity of the labor contributed to a sharp increase inconstruction costs. One of the reasons for the low productivity is the high turnover in the labor force
due to the remote and inconvenience of Cameron LNG Project, which led to overall labor productivity
decrease from May 2018.
3. Revisions to the year-end dividend forecast
Previous Forecast
Revised Forecast
Previous Results FY2017

Dividend per Share (Yen)
Year-End Dividend
Total
7.50
0.00
7.50

(May 11, 2018)(March 31, 2018)

7.50
0.00
7.50

4. Reasons for revisions to the year-end dividend forecast
Under the Medium-Term Management Plan (2017-2020) “Mirai Engineering” A Grand Opportunity
for the Future, Chiyoda set a minimum full-year dividend of 6.00 yen per share with an originalforecasts of 7.50 yen per share for the fiscal year ending March 31, 2019.
Due to the revisions in the full year consolidated forecast, a dividend will not be paid to shareholders
for the fiscal year.
(Note) Forward-looking Statements
The forecasts and plans in this announcement are based on the information available to management on October 31, 2018, the datethese materials were prepared. Actual results may differ significantly from these forecasts for the number of factors, including but
not limited to changes in economic conditions and operating environment in Japan and overseas. Investors should not solely relyon this forecast to make any investment decision.

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