Summary of Financial Statements for the Second Quarter of Fiscal Year Ending April 2012
November 30, 2011
Name of listed company:

AIN PHARMACIEZ INC.

Exchange listed on:First Section of Tokyo Stock Exchange and Sapporo Securities Exchange

Code number:

9627

Representative:
Inquiries:

Kiichi Otani, President and Representative Director
Hiromi Kato, Senior Managing Director and Chief Director of Administration, TEL: +81-11-783-0189

URL:

Date of filing Quarterly Securities Report:

December 15, 2011

Date of scheduled payment of dividends:
Supplementary documents for this summary offinancial statements:
Explanation meeting for financial results–

http://www.ainj.co.jp/

Yes
Yes (for institutional investors and analysts)(Amounts are rounded down to the nearest million yen.)
1. Consolidated results for the second quarter of fiscal year ending April 30, 2012 (May 1, 2011 to October 31, 2011)(1) Consolidated operating results(Percentage figures show year-on-year changes.)
Net sales
Operating income
Ordinary income
Net income
Million yen%

Million yen%

Million yen%

Million yen%

68,833

11.3

4,781

39.9

4,871

40.4

2,364

39.3

61,840
3.5
3,417
20.1
3,469
25.6
Six months ended October 31, 2011: ¥2,282 million (46.9%)
Six months ended October 31, 2010: ¥1,554 million
(– %)

1,697

25.8

Six months ended October 31, 2011
Six months ended October 31, 2010
(Note) Comprehensive income:Net income
per share

Diluted net income
per share
Yen

Yen

Six months ended October 31, 2011148.34–Six months ended October 31, 2010

115.47–(2) Consolidated financial position

As of October 31, 2011
As of April 30, 2011
Reference: Shareholders’ equity

Shareholders’equity ratio

Net assets

Total assets

Net assets per
share

Million yen

Million yen%

Yen81,56576,94031,06429,49838.0
38.3

1,946.05
1,847.46

As of October 31, 2011 ¥31,021 million

As of April 30, 2011 ¥29,450 million

2. Dividends
Record dateYear ended April 30, 2011

End of firstquarterYen–

End of second
quarter
Yen
0.00

Dividend per share
End of third
quarter
Yen
–

–
0.00
Year ending April 30, 2012
Year ending April 30, 2012
(forecast)
Note: Revision to the most recently announced dividends forecasts: No

End of year–

Full year

Yen

Yen

45.00

45.00

50.00

50.00

3. Consolidated financial forecasts for the fiscal year ending April 30, 2012 (May 1, 2011 to April 30, 2012)(Percentage figures show year-on-year changes.)
Net income
Net sales
Operating income
Ordinary income
Net income
per share
Million yen%
Million yen%
Million yen%
Million yen%
Yen
Full year

143,000

10.5

9,670

19.3

9,500

Note: Revision to the most recently announced financial forecasts: No

15.7

4,850

23.8

304.19

4. Other(1) Major changes in subsidiaries during the period (changes in specified subsidiaries resulting from changes in scope of
consolidation): No(2) Application of specified accounting methods for the preparation of quarterly consolidated financial statements: Yes(Note) For detail, please refer to “2. Matters Concerning Summary Information (Other) (2) Application of specified
accounting methods for the preparation of quarterly consolidated financial statements” on page 4 of the
Attachment.
(3) Changes in accounting principles, changes in accounting estimates, and restatement of revisions
1) Changes in accounting principles as a result of revisions to accounting standards, etc.:
No2) Changes in accounting principles other than 1:
No3) Changes in accounting estimates:
No4) Restatement of revisions
No(4) Number of outstanding shares (common stock):1) Number of outstanding
shares (including treasury

As of October 31, 2011 15,944,106 shares As of April 30, 201115,944,106 sharesstock):
2) Number of shares held intreasury:
3) Average number of shares
outstanding:

As of October 31, 2011
Six months ended
October 31, 2011

3,220 shares As of April 30, 201115,940,953 shares

Six months ended
October 31, 2010

3,102 shares
14,699,456 shares*Status of execution of the quarterly review of financial statements:
The procedure for the review of the quarterly financial statements under the Financial Instruments and Exchange Act was
not complete at the moment of disclosing this summary.
*Statement regarding the proper use of financial forecasts and other special remarks
The above forecasts are calculated based on the information available as of the publication date of this material, and actual
financial results may vary due to change in future economic conditions and others.

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

Contents
1. Qualitative information on consolidated results for the period under review ............................................................................ 2(1) Qualitative information on the consolidated operating results ............................................................................................ 2(2) Qualitative information on the consolidated financial position ............................................................................................ 3(3) Qualitative information on the consolidated financial forecasts .......................................................................................... 3
2. Matters Concerning Summary Information (Other) .................................................................................................................. 4(1) Major changes in subsidiaries during the period ................................................................................................................ 4(2) Application of specified accounting methods for the preparation of quarterly consolidated financial statements ............... 4(3) Changes in accounting principles, changes in accounting estimates, and restatement of revisions .................................. 4
3. Quarterly consolidated financial statements ............................................................................................................................ 5(1) Quarterly consolidated balance sheets............................................................................................................................... 5(2) Quarterly consolidated statements of income and comprehensive income ........................................................................ 7
Quarterly consolidated statements of income ..................................................................................................................... 7
Quarterly consolidated statements of comprehensive income ........................................................................................... 8(3) Quarterly consolidated statements of cash flows................................................................................................................ 9(4) Notes on the premise of a going concern ......................................................................................................................... 11(5) Segment Information ........................................................................................................................................................ 11(6) Notes on significant changes in the amount of shareholders’ equity ................................................................................ 12

1

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

1. Qualitative information on consolidated results for the period under review(1) Qualitative information on the consolidated operating results
During the first six months of the current fiscal year (May 1, 2011 to October 31, 2011), the Japanese economy
remained weak due to factors such as the impact of the Great East Japan Earthquake, the subsequent nuclear accident,
and concerns about the outlook for the US economy and debt problems in Europe.
In this economic environment, the AIN PHARMACIEZ Group (the Group) worked to expand its business and increase
profits. Specifically, it developed new dispensing pharmacies, made effective use of M&A, and strengthened the sales
capabilities of its urban drug stores by taking steps such as continuing to improve the merchandise lineup, opening newstores, and relocating and refurbishing existing stores.
Financial results for the first six months were favorable: net sales were ¥68,833 million (up 11.3% year on year),
operating income ¥4,781 million (up 39.9% year on year), ordinary income ¥4,871 million (up 40.4% year on year), andnet income ¥2,364 million (up 39.3% year on year).
The financial results by business segments are as indicated below.
(Dispensing pharmacy business)
Overall, the number of patients visiting existing dispensing pharmacies remained steady year on year, while theaverage prescription price rose due to an increase in longer-term prescriptions. This supported year-on-year increases inboth sales and profits at existing dispensing pharmacies.
The segment’s profit margin also improved, rising 1.2 percentage points year on year. This reflected an increase inproductivity due to greater automation in dispensing operations and standardization of work procedures, as well as
synergies with generic drug wholesale subsidiary WHOLESALE STARS Co., Ltd. on efforts to increase dispensing ofgeneric drugs.
As a result, for the first six months of the fiscal year, the dispensing pharmacy business reported sales and profit growthyear on year, with net sales rising 12.9% to ¥61,411 million and segment income increasing 28.3% to ¥5,754 million.
During the same period, the Group opened a total of 22 new stores, including stores acquired through M&A deals, andclosed eight, resulting in a Group total of 462 dispensing pharmacies.

(Drug and cosmetic store business)
In the drug and cosmetic store business, there were signs of improvement in some product lines, such as increased
demand in the summer for items that help save energy, including cooling products, but the operating environment remained
challenging due to continued weakness in consumer sentiment in general.
Against this backdrop, the Group worked to improve profitability at its chain of ainz & tulpe urban drug stores by closing or
relocating stores with weak sales. Other steps included strengthening the merchandise lineup, centered on cosmetics andover-the-counter (OTC) drugs, and shifting from direct marketing to mobile marketing tools in sales promotion.
Although same-store sales declined slightly year on year, the segment moved into profit thanks to improvement in the
gross margin and steady reductions in costs.
For the first six months of the fiscal year, the drug and cosmetic store business reported net sales of ¥7,312 million(marginally lower year on year), which included a contribution from new stores. Although sales did not grow year on year,
segment income improved sharply to ¥52 million (compared with an operating loss of ¥108 million a year earlier).
During the same period, the Group opened a new ainz & tulpe store in front of Miyanosawa Station (Nishi Ward,
Sapporo City), relocated the Sannomiya Store (Kobe City, Hyogo Prefecture), and closed the Kichijoji Store (Tokyo),resulting in a Group total of 53 drug stores.
(Other businesses)
Net sales and segment loss from other businesses were ¥108 million and ¥36 million, respectively.

2

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

(2) Qualitative information on the consolidated financial position
The balance of total assets at the end of the second quarter increased by ¥4,625 million from the end of the previous
fiscal year to ¥81,565 million.
This mainly reflected increases in cash on hand and in banks, property, plant and equipment from new store openings,
including stores acquired through M&A deals, and goodwill.
The balance of liabilities increased by ¥3,060 million to ¥50,501 million. This was primarily due to an increase inaccounts payable and deposits received.
The balance of interest-bearing debts rose by ¥222 million to ¥13,437 million.
Total net assets increased by ¥1,565 million to ¥31,064 million and the shareholders’ equity ratio declined 0.3
percentage points to 38.0%.
(Cash flows)
In the first six months of the current fiscal year, cash and cash equivalents (“cash”) increased by ¥2,895 million from theprevious fiscal year end to ¥18,293 million.
Cash flows from each activity and their relevant factors are as follows.
During the first six months, net cash provided by operating activities was ¥7,533 million, compared with ¥2,756 million
provided a year earlier. This was mainly due to inflows of ¥4,531 million in income before income taxes and minority
interests, ¥1,959 million from an increase in accounts payable, ¥815 million in depreciation and amortization, and ¥563
million in amortization of goodwill, while the main outflow was ¥2,458 million in income taxes paid.
Net cash used in investing activities amounted to ¥3,910 million, compared with ¥1,147 million used a year earlier. Thiswas mainly due to payments of ¥1,766 million for the acquisition of property, plant and equipment and intangible fixed
assets, ¥1,033 million for purchases of shares in affiliated companies, and ¥604 million for payments for loans receivable.
Net cash used in financing activities was ¥726 million, compared with ¥2,398 million provided a year earlier. This was
mainly attributable to a net cash inflow of ¥121 million from interest-bearing debt repayment and procurement, and cash
dividends paid of ¥717 million.

(3) Qualitative information on the consolidated financial forecasts
In light of earnings trends at new and existing stores in the second quarter, and plans for store openings, we have notmade any changes to our consolidated financial forecasts for the full year, announced on May 30, 2011.

3

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

2. Matters Concerning Summary Information (Other)(1) Major changes in subsidiaries during the period
There are no applicable matters to be reported.
(2) Application of specified accounting methods for the preparation of quarterly consolidated financial statements
Tax expenses were calculated by reasonably estimating the effective tax rate after the application of the tax effectaccounting to the net income before taxes for the consolidated fiscal year including the second quarter, and multiplying
the estimated effective tax rate by the net income before taxes and other adjustments for the quarter.
In addition, deferred income taxes are included in income taxes.
(3) Changes in accounting principles, changes in accounting estimates, and restatement of revisions
There are no applicable matters to be reported.

4

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

3. Quarterly consolidated financial statements(1) Quarterly consolidated balance sheets
Fiscal year endedApril 30, 2011
（As of April 30, 2011）

AssetsCurrent assets
Cash on hand and in banks
Notes and accounts receivable
Merchandise
Supplies
Deferred tax assets
Short-term loans
Other accounts receivable
Other current assets
Allowance for doubtful accounts
Total current assets
Fixed assets
Property, plant and equipment
Buildings and structures, net
Land
Other property, plant and equipment, net
Total property, plant and equipment
Intangible fixed assets
Goodwill
Other intangible fixed assets
Total intangible fixed assets
Investments and other assets
Investments in securities
Deferred tax assets
Deposits and guarantees
Other investments and other assets
Allowance for doubtful accounts
Total investments and other assets
Total fixed assets
Deferred assets
Stock issuance cost
Total deferred assets
Total assets

5(Thousand yen)Six months ended
October 31, 2011
（As of October 31, 2011）15,437,879
10,247,872
8,268,413
107,455
928,606
235,400
2,036,824
898,265(127,879)
38,032,838

18,355,707
9,767,421
8,240,730
107,385
902,564
822,160
1,973,382
656,332(130,405)
40,695,278

6,456,550
5,420,785
1,574,042
13,451,378

6,597,819
5,457,241
1,774,548
13,829,609

13,867,280
960,649
14,827,929

15,075,233
951,928
16,027,162

2,959,577
1,233,263
4,990,283
1,638,972(229,808)
10,592,288
38,871,596

2,949,206
1,263,103
5,438,331
1,593,563(258,542)
10,985,663
40,842,435

35,75035,75076,940,185

27,907
27,907
81,565,621

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

Fiscal year endedApril 30, 2011
（As of April 30, 2011）

Liabilities
Current liabilities
Accounts payable
Short-term debt
Accrued income taxes
Deposits received
Allowance for bonuses to employees
Allowance for bonuses to directors
Reserve for reward obligations
Reserve for loss on disaster
Other current liabilities
Total current liabilities
Long-term liabilities
Bonds
Long-term debt
Allowance for retirement benefits
Other long-term liabilities
Total long-term liabilities
Total liabilities
Net assets
Shareholders’ equity
Common stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Accumulated other comprehensive income
Unrealized holding losses on securities
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets

6(Thousand yen)Six months ended
October 31, 2011
（As of October 31, 2011）

19,706,886
5,883,188
2,421,980
6,722,371
948,0219,375
313,371
11,0001,600,266
37,616,460

21,834,595
5,965,968
2,074,583
7,537,706
1,046,255
15,645
307,5624,586
1,584,577
40,371,481

184,000
7,147,773
1,270,319
1,222,684
9,824,778
47,441,238

161,000
7,310,249
1,378,311
1,280,473
10,130,033
50,501,514

8,682,976
7,872,970
13,227,209(4,918)29,778,237

8,682,976
7,872,970
14,874,514(5,296)
31,425,165(327,875)(327,875)
48,58429,498,946
76,940,185(403,470)(403,470)
42,412
31,064,107
81,565,621

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

(2) Quarterly consolidated statements of income and comprehensive income
Quarterly consolidated statements of income
Six months ended
October 31, 2010
(May 1, 2010 to
October 31, 2010)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Commissions received
Real estate rental revenue
Consignment income
Other non-operating income
Total non-operating income
Non-operating expenses
Interest expenses
Loss on sales of accounts receivables
Real estate rental expenses
Provision of allowance for doubtful accounts
Other non-operating expenses
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of investments in securities
Gain on sales of fixed assets
Gain on transfer of business
Reversal of allowance for doubtful accounts
State subsidy
Other extraordinary income
Total extraordinary income
Extraordinary losses
Loss on retirement and sales of fixed assets
Loss on sales of investments in securities
Loss on devaluation of investments in securities
Impairment losses
Effect of adoption of accounting standard for asset
retirement obligations
Other extraordinary losses
Total extraordinary losses
Income before income taxes and minority interests
Income taxes
Income before minority interests
Minority interests
Net income

7(Thousand yen)Six months ended
October 31, 2011
(May 1, 2011 to
October 31, 2011)

61,840,968
52,697,173
9,143,795
5,725,810
3,417,985

68,833,121
57,927,728
10,905,392
6,123,432
4,781,960

29,296
20,16523,677
43,162
42,771
110,930
270,003

28,91524,35424,94650,972
60,771
134,101
324,062

117,064
34,801
24,684－41,555
218,106
3,469,882

92,72434,34018,50430,00058,730234,299
4,871,723－
979
19,0472,400
38,648583
61,65913,002
800
－
－
－
1,500
15,30235,207－
34,689－43,096
4,474
50,064
113,323

160,596－

19,914250,4073,281,134
1,581,670
1,699,463
2,171
1,697,291

144,879
355,839
4,531,186
2,172,707
2,358,479(6,171)
2,364,651

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

Quarterly consolidated statements of comprehensive income(Thousand yen)Six months ended
October 31, 2010
(May 1, 2010 to
October 31, 2010)

Income before minority interests
Other comprehensive income
Unrealized holding losses on securities
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to shareholders of
the parent
Comprehensive income attributable to minority
interests

8

Six months ended
October 31, 2011
(May 1, 2011 to
October 31, 2011)

1,699,463

2,358,479(145,351)(145,351)
1,554,111(75,594)(75,594)
2,282,884

1,551,939

2,289,056

2,171(6,171)AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012(3) Quarterly consolidated statements of cash flows
Six months ended
October 31, 2010
(May 1, 2010 to
October 31, 2010)

Cash flows from operating activities
Income before income taxes and minority interests
Depreciation and amortization
Impairment losses
Amortization of goodwill
Gain on transfer of business
Loss on devaluation of investments in securities
Increase in allowance for retirement benefits
Increase in allowance for bonuses to employees
Increase (decrease) in allowance for bonuses todirectors
Interest and dividend income
Interest expenses
Loss on retirement and sales of fixed assets
Effects of adoption of accounting standard for asset
retirement obligations
Decrease in accounts receivable(Increase) decrease in inventories(Increase) decrease in other accounts receivable
Increase in accounts payable
Other, net
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Net cash provided by operating activities
Cash flows from investing activities
Payments for purchases of property, plant andequipment and intangible fixed assets
Proceeds from sales of property, plant and equipment
and intangible fixed assets
Payments for purchase of investments in securities
Proceeds from sales of investments in securities
Purchase of shares in affiliated companies
Proceeds from transfer of business
Payments for loans receivable
Proceeds from collections of loans receivable
Payments for time deposits
Proceeds from withdrawal of time deposits
Other,net
Net cash used in investing activities

9(Thousand yen)Six months ended
October 31, 2011
(May 1, 2011 to
October 31, 2011)

3,281,134
680,813－440,940(19,047)
34,689100,445
106,221

4,531,186
815,915
113,323
563,972－
50,064
107,991
96,283(9,527)

6,270(49,461)
117,064
34,227(53,270)
92,72442,296

160,596－

736,849(463,854)(2,267,194)
1,370,139
269,213
4,523,249
48,629(117,710)(1,697,685)
2,756,482

643,615
95,21086,3801,959,456
879,295
10,030,715
54,640(94,025)(2,458,203)
7,533,127(637,612)(1,766,978)

4,039

36,900(132,160)－－
16,005(121,565)
8,000－－(284,434)(1,147,727)(148,500)
35,131(1,033,990)－(604,000)
116,359(57,000)
38,305(526,631)(3,910,402)

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

Six months ended
October 31, 2010
(May 1, 2010 to
October 31, 2010)

Cash flows from financing activities
Proceeds from short-term debts
Repayments of short-term debts
Proceeds from long-term debts
Repayments of long-term debts
Payments for redemption of bonds
Proceeds from issuance of new shares
Repayments of lease obligations
Payments for purchase of treasury stock
Cash dividends paid
Dividend payments to minority shareholders
Net cash provided by (used in) financing activities
Net increase in cash and cash equivalents
Cash and cash equivalents at beginning of the period
Cash and cash equivalents at end of the period

1,100,000(900,000)
100,000(1,955,250)－
4,720,038(101,682)(161)(564,046)(6)
2,398,891
4,007,647
11,188,462
15,196,110

10(Thousand yen)Six months ended
October 31, 2011
(May 1, 2011 to
October 31, 2011)

2,100,000(2,017,590)
2,700,000(2,638,112)(23,000)－(130,464)(378)(717,345)－(726,891)
2,895,833
15,397,504
18,293,337

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

(4) Notes on the premise of a going concern
There are no applicable matters to be reported.
(5) Segment Information
I Six months ended October 31, 2010 (May 1, 2010 to October 31, 2010)
1. Net sales and profit (loss) by reportable segment
Reportable segments
Adjustment(Note) 1(Thousand yen)
Carried onquarterly
consolidated
statements ofincome(Note) 2

Dispensing
pharmacybusiness

Drug andcosmetic store
business

Otherbusinesses

54,409,063

7,315,727

116,178

61,840,968－

61,840,968

－

－

6,613

6,613

(6,613)－

Total

54,409,063

7,315,727

122,792

61,847,582(6,613)

61,840,968

Segment income (loss)

4,485,998(108,402)(35,809)

4,341,787(871,904)

3,469,882

Total

Net sales(1) Sales to externalcustomers(2) Intersegment sales
and transfers

Notes:

1. Segment income (loss) in “Adjustment” totaling (¥871,904 thousand) includes ¥708,780 thousand in corporate
expenses, ¥97,594 thousand in loss that may not be allocated to the reportable segments, and ¥65,529 thousandin elimination due to intersegment transactions.
The overall group expenses consist mainly of expenses associated with the administrative divisions of the parent
company, such as general affairs and accounting divisions.
2. Segment income (loss) is adjusted with the ordinary income of quarterly consolidated statements of income.

2. Impairment loss on fixed assets and goodwill by reportable segment[Significant impairment loss on fixed assets]:
There are no applicable matters to be reported.
[Significant changes in the amount of goodwill]:
There are no applicable matters to be reported.
II Six months ended October 31, 2011 (May 1, 2011 to October 31, 2011)
1. Net sales and profit (loss) by reportable segment
Reportable segments
Adjustment(Note) 1(Thousand yen)
Carried onquarterly
consolidated
statements ofincome(Note) 2

Dispensing
pharmacybusiness

Drug andcosmetic store
business

Otherbusinesses

61,411,999

7,312,818

108,303

68,833,121－

68,833,121

－

－

6,613

6,613

(6,613)－

Total

61,411,999

7,312,818

114,917

68,839,735(6,613)

68,833,121

Segment income (loss)

5,754,783

52,072(36,395)

5,770,460(898,737)

4,871,723

Total

Net sales(1) Sales to externalcustomers(2) Intersegment sales
and transfers

Notes:

1. Segment income (loss) in “Adjustment” totaling (¥898,737 thousand) includes ¥802,726 thousand in corporate
expenses, ¥58,721 thousand in loss that may not be allocated to the reportable segments, and ¥37,290 thousandin elimination due to intersegment transactions.
The overall group expenses consist mainly of expenses associated with the administrative divisions of the parent
company, such as general affairs and accounting divisions.
2. Segment income (loss) is adjusted with the ordinary income of quarterly consolidated statements of income.

11

AIN PHARMACIEZ, INC. (9627) Summary of Financial Statements for the Second Quarter of the Fiscal Year Ending April 30, 2012

2. Impairment loss on fixed assets and goodwill by reportable segment[Significant impairment loss on fixed assets]:
There are no applicable matters to be reported.
[Significant changes in the amount of goodwill]:
There are no applicable matters to be reported.
(6) Notes on significant changes in the amount of shareholders’ equity
There are no applicable matters to be reported.

12