First Half of FY2009 ended September 30, 2008
Financial Results Presentation

From“Jump21”towards“ATTACK 2011”-- Keihan Group in Recent Months --November 21, 2008
Keihan Electric Railway Co., Ltd.
(Tokyo Stock Exchange 1st/Osaka Securities Exchange 1st 9045

http://www.keihan.co.jp/)[Notes on forecasts]
Descriptions of business forecasts and future prospects are based on current informationand certain assumptions about factors that may affect future business. The actual results ofoperating performance may differ from these forecasts.

Nakanoshima Line Opened on October 19
The Nakanoshima Line enters the central culture, tourist, and businesszone, which is expected to grow.
Umeda Area

Kita-shinchi Area
Fukushima AreankahosaimLineshiabeba
Watan ta.
SOebashi Sta.
NaYodoyabashiSta.

niwaSt b a sa.
hiKitahaSta ma.

nosh

imaSta.

NaDojima Area

Naka

TemmabashiSta.

1

Nakanoshima Line Opened on October 19
The area is crowded with people – attracted to the commercial
and cultural facilities.
“MINAMO”(Watanabebashi and Oebashi Stations)

Italian bar,Standing wine bar,
Fast food, Café,Bookstore,
Convenience store, etc.
A total of 11 stores“Art Area B1”

Access way to RIHGA ROYAL Hotel(Naniwabashi Station)(Nakanoshima Station)

Total project cost for Nakanoshima LineTotal project cost is expected to be approx. 130 billion yen, after areduction of approx. 20 billion from the initial budget of 150.3 billion.
2

Urban Renewal Urgent Improvement AreaNakanoshima
Various redevelopment projects are being conducted through cooperation between
the government and private companies.
Hachikenyahama Port
(Opened in March, 2008)

National
Museum of Art

Naniwabashi Sta.

“N4. Tower”
High-risecondominium

Keihan andObayashi
cooperative
development ofNakanoshima

Oebashi Sta.

Watanabebashi Sta.

RIHGA ROYAL Hotel
Nakanoshima Sta.

Asahi Shimbun Group
Redevelopment Project

Includes Asahi
Broadcasting
Corporation, ABC Hall,
high-rise condominiums,etc. (The town launchedin May, 2008.)

Hotarumachi

3

Osaka International
Conference Hall

Status of Nakanoshima area development
Progress of town development
Nakanoshima area is being developed in cooperation with other nearby
companies and municipalities.
Promoting the town development with emphasis on culture, art, and aninternational image, in order to improve the brand value of this area, which isrecognized as “the Center of Kansai.”
Railway

Route to beconstructedSouthernshore road

Planned routeRiverfrontwalking
trail

Constructed
zone
Water park
revetment
Natural zone

Green way
network
Undergroundnetwork

Harbor networking

Extension ofYotsubashi Line

Underground connection between
Dojima underground mall andNakanoshima underground mall

Nakanoshima LineOebashi Sta.

Constructedzone

Watanabebashi Sta.

Planned route
Underground connection
between Yodoyabashi
Sta. and Oebashi Sta.

Planned zone

Yodoyabashi Sta.

Based on the master plan when the urban
vision was formulated (December, 2005) Nakanoshima Sta.

Higobashi Sta.
Riverfront walking
trail along
Tosabori river

Extension ofNakanoshima LineNaniwasuji
New Line(Map: from Nakanoshima Machi-Mirai (“future town”) Associationmaterials)

Nakanoshima Park redevelopment

Development ofriverfront walking trail
Riverfront walking trail
along the Dojima River wasconstructed along with the
opening of theNakanoshima Line4

Status of Nakanoshima area development
Currently-planned events“OSAKA Hikari-Renaissance 2008”
Period: December 1 through 25, 2008
Attendance:Approx. 1,150,000(2007 figure)“Performance of Corteo
by Daihatsu in Osaka”
Period: July 29 throughSeptember 30 in 2009
Expected attendance:
Approx. 300,000* This is the sixth consecutive year.

Photos: Marie-Reine Mattera Costumes:DominiqueLemieux © 2005 Cirque du Soleil © 2007 Fuji Television
Unused andlittle-usedpublic lands
Under
construction

Nakanoshima Line

CompletedOebashi Sta.

Watanabebashi Sta.

Yodoyabashi Sta.
Nakanoshima Sta.
Higobashi Sta.

“Aqua Metropolis Osaka 2009”
Period: August 22
through October 12 in 2009

(Map: from Nakanoshima Machi-Mirai (“future town”) Association materials)

5Addressing the Challenges of theNakanoshima Line
Change in population in Nakanoshima(Forecast)Increase of population
Development of office buildings, condominiums,and cultural facilities
Seeking various events→ Promotion of the town as popular(persons)120000100000
80000
60000
40000
20000

for visiting at any time of day or night02008

2010

2015

2020

Inhabitants
Business people
School commuters
Visitors
Event participants(Source: Osaka Regional Development Research Committees)

Stimulating and enhancing the demand through public
information to improve the railway network
Nakanoshima Line provides direct access between the inner-city district andRakuhoku area in Kyoto and the inner-city district of Osaka,remarkably improving the traffic from East to West.
e.g. From Kyobashi station to Osaka International Conference Hall: Approx. 10 minutes
by Nakanoshima Line. (Previously, approx. 25 minutes was needed by other lines)
It will become the southern gate of the Kitashinchi and Umeda districts.

With an eye to further line extension
6

Direct Access
Between Nakanoshima and Kyoto
Rakuhoku

Stimulating demand in both districts

Hieizan

The express train provides 60-minute directaccess between Nakanoshima and Gionshijo.
~ Making sightseeing in Kyoto and Aquapolis
Osaka more comfortable and convenient.

Arashiyama

Higashiyama

GionNakanoshima
Line

From Kyoto to Nakanoshima
From Nakanoshima to Kyoto
7

Expanding Measures for Increasing theRailway Revenue
Allowing sightseeing in Gion and Higashiyama by linking the line from
JR Kyoto Station through Tofukuji Station to the Keihan Line.
~ Fortify cooperation with JR WEST to establish the Tofukuji route
Partial expansion of JR Tofukuji station (by leasing part of theKeihan Tofukuji station platform to JR WEST)
Joint PR: Train change time table, Station yard information display, etc.
Sales of "Kyoto Momiji (Maple) ticket,” etc.
<Revenue increase effect>
First week of April in 2008 (Cherry blossom viewing):
9% increase over the previous year
Approx. 6 to 7% increase at regular days

◆Change in transportation revenue (year-on-year rate)
FY20082.0%

FY2009

1.5%
1.0%
0.5%
0.0%
-0.5%

Apr.

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

Jan.

-1.0%
-1.5%
-2.0%

8Feb.

Mar.

Apr.

May.

Jun.

Jul.

Aug.

Sep.

Security MeasuresTotal renewal of Automatic Train Stop (ATS) system
For “Railway Technical Standard Regulation” revised in July, 2006:
Current ATSs were improved to obey the regulation in advance.
The system will be systematically updated to enhance security.
(From current point control system with speed check function into multiinformation continuous control system)< Plan>FY2010: Test and evaluation of the system
FY2015: Begin to use the system in some areas
FY2017: System incorporated into the entire Keihan line
<Total investment>
4 billion yen (Forecast)

9Expanding and Fortifying the Leasing Service
Acquisition of “Keihan Dojima Building”(Business started on September 24, 2008)
First step for expanding and fortifying measures in real estate leasing business put up in“ATTACK 2011"
Keihan will work to make its brand deepened in the Nakanoshima area.
<Facility outline>
Location: 1-31, Dojima 2-chome, Kita-ku, Osaka-shi (Residence indication)* 4-minute walk from Watanabebashi Station
3-minute walk from JR Tozai Line Kitashinchi Station, and others.
Completion: September, 2004
Total floor area: 11,630.78m2
Construction: Steel-framed reinforced concrete structure,
10 floors above ground and 1 floor under ground“KiKi Kyobashi” (Opened on November 28, 2008)
Commercial complex based on the theme of information and culture transmission
Using “Kyobashi Kagetsu” Theater of Yoshimoto Kogyo Co., Ltd. as the corebusiness in this building, it will highlight“food”─symbol of Osaka.

10Measures to Improve Retail BusinessProfitability◆Business cooperation for introducing private brand products
Keihan concluded a basic agreement for introducing the private brand product“V Select” (developed and introduced by Valor Co., Ltd.) into “FREST.”
We will improve the gross profitV Selectmargin and also enrich products

Concept: Provision of products for daily life with security
at lower prices.

adapted to low-end consumer needs

Products: Approx. 500 items such as seasonings, snacks,
dairy products, beverages, and ham and sausage products.

to attract more customers.

* Items to be adopted into FREST will be determined
after due consultation.

◆Expanding and fortifying the property management business
For the renewal of large-scale commercial facilities outside the domain area,
Keihan accepted the supervision of tenant composition and leasing business.
Utilizing our accumulated know-how, we will work to improve the system andexpand the business.
11Establishment of Superior Business HotelChain
Promoting superior business hotels at locations in front of stations ofmajor government-designated cities
Accelerate the opening of more chain hotels
throughout Japan
Keihan will provide “Safe, Comfortable, Clean
and Reasonable” living spaces and quality
services, allowing guests to relax in comfort.
Hotel Keihan Asakusa (tentative name)"Hotel Keihan Universal Tower" (641 rooms, opened in May, 2008)"Hotel Keihan Sapporo" (200 rooms, to be opened in June, 2009
"Hotel Keihan Asakusa" (tentative name) (178 rooms, to be opened in Autumn, 2009)

Aiming at “3,000 rooms” during the “ATTACK 2011” period12