Corporate Information
As of June 30, 2006

Contents
1 Financial Highlights
2 President’s Message

Revenues by Operations
Year ended March 31, 2006

4 Rapid Progress in Dematerialization

Other services¥2,702 million

11 International Activities
Pre-settlement matching services¥2,007 million

12 Corporate Governance
14 Business Overview
19 Financial Statements

DVP settlement services for NETDs¥1,513 million

29 Report of Independent Auditors

Bonds

30 Board Members and Auditors

Book-entry transfer for CP¥281 million
Book-entry transfer forCorporate Bonds¥269 million

32 History
33 Corporate Information
33 Organization StructureCustody¥5,167 million

COMPANY NAME:

Japan Securities Depository Center, Inc.

DATE OF INCORPORATION:

January 4, 2002

DATE OPERATIONS BEGAN:

June 17, 2002

CAPITAL:¥4.25 billion (shareholders’ equity ¥11.4 billion)

COMMON STOCK ISSUED:

8,500 shares

NUMBER OF SHAREHOLDERS:

189

NUMBER OF EMPLOYEES:

140 (As of March 31, 2006)REGISTERED HEAD OFFICE

1-1, Nihombashi-Kayaba-cho 2-chome
Chuo-ku, Tokyo 103-0025, Japan

Book-entry transfer¥16,594 million

Phone:

Facsimile: +81-3-3661-2810

EquityEstablishedDecember 6, 1984

January 4, 2002

The Japan Securities
Depository Center(JASDEC) established as a
not-for-profit foundationin line with the November
1984 enforcement of theLaw Concerning Central
Securities Depository andBook-Entry Transfer ofStock Certificates andOther Securities (the“CSD Law”).

The Japan Securities
Depository Center, Inc.,
incorporated as a stockcompany.

Our Mission
In view of our duty to serve the public, our mission asa group is to provide a highly secure, efficient andeasy-to-use infrastructure for securities clearing andsettlement, which in turn contributes to functional
improvement of the securities market.
Toward this end, we seek to establish a bookentry transfer system for investment trusts, and torespond more extensively to the dematerialization ofstock certificates as this process continues to unfold inJapan. We will also complement efforts to encourage
greater use of the book-entry transfer systems for commercial paper (CP) as well as Corporate Bonds* withefforts to promote straight-through processing (STP),
the enhancement of the pre-settlement matching system (PSMS) for wider use of depository services forstock certificates, and more extensive application of
the DVP settlement system for NETDs.
To achieve these goals, we will build andreplace systems, in line with our medium-term management plan, and strive to cement a stronger foundation for improved stability and reliability in ourbusiness activities. We will also endeavor to make ourservices more convenient for overseas investors using
our clearing and settlement systems, and we will reinforce ties with international counterparts to foster
cooperation mutually beneficial to both sides.

June 17, 2002
Assumed all thebusinesses of the Japan
Securities Depository
Center, in accordance withthe CSD Law.

October 9, 1991

June 6, 2003

Commenced business asJapan’s only central
securities depository forstock certificates.

Established JASDEC DVP
Clearing Corporation(JDCC) to undertake
clearing services related tothe delivery-versuspayment (DVP) settlement
system for non-exchangetransaction deliveries(NETDs).

E-mail:international@jasdec.com

Website:http://www.jasdec.com

OPERATIONS OFFICESTokyo Office:Corporate
Structure+81-3-3661-0139

1-1, Nihombashi-Kayaba-cho 2-chome, Chuo-ku, Tokyo 103-0025

Osaka Office:6-10, Kitahama 1-chome, Chuo-ku, Osaka 541-0041

Nagoya Office:3-17, Sakae 3-chome, Naka-ku, Nagoya 460-0008

Fukuoka Office:14-2, Tenjin 2-chome, Chuo-ku, Fukuoka 810-0001

Sapporo Office:14-1, Minamiichijo-Nishi 5-chome, Chuo-ku, Sapporo 060-0061

SUBSIDIARY COMPANY
Company Name:JASDEC DVP Clearing Corporation

Date of Incorporation:

June 6, 2003

Commenced Operations: May 17, 2004
Capital:¥310 million

Registered Head Office:1-1, Nihombashi-Kayaba-cho 2-chome, Chuo-ku, Tokyo 103-0025

Organization Structure(As of June 30, 2006)● M EETING OF S HAREHOLDERS● B OARD OF A UDITORS● B OARD OF D IRECTORS● P RESIDENT & CEO● General Administration Department● Corporate Planning Department● Business Administration Department● Bond and Commercial Paper Department● Investment Trust Department● Global Business Development● Business Planning Department● First System Department● Second System Department* “Corporate Bonds” in this report refers to bonds covered by the book-entry transfer system for Corporate Bonds, i.e., corporate bonds, municipal bonds,
investment company bonds, specified corporate bonds prescribed in the Law Concerning Liquidization of Assets, rights that should be represented bybond certificates issued by corporations under a special law and rights that should be represented on bond certificates issued by any governments or bycompanies in foreign countries (excluding those with the characteristics of bonds with subscription rights), such as Samurai bonds and Shogun bonds,
while “corporate bonds” is used to denote corporate bonds only.

bb● Tokyo Operations Office● Osaka Operations Office● Nagoya Operations Office● Fukuoka Operations Office● Sapporo Operations Office33

Japan Securities Depository Center, Inc.

Annual Report
2006
For the year ended March 31, 2006
Printed in Japan on recycled paper
Uses soybean ink inconsideration of the environment