TSE Code 8511
June 4, 2008

To Shareholders
President
Minoru Masubuchi
JAPAN SECURITIES FINANCE CO., LTD.
1-2-10, Nihonbashi-Kayabacho, Chuo-ku, Tokyo, JapanNOTICE OF THE 98TH ORDINARY GENERAL MEETING OF SHAREHOLDERS～extract
Dear Shareholders,
You are hereby advised of the convocation of the 98th Ordinary General Meeting of Shareholders of
the Company, details of which are indicated below. We hope very much that you will be able to attend thisMeeting.
In order to exercise your rights, please review the attached reference materials, and indicate yourapproval or disapproval of the proposals on the enclosed document, then return it or vote on the Internet
site (http://www.e-kosi.jp) by 5:20 p.m. Japan Standard Time on 25th June, 2008.
We are pleased to announce you that we participate in the ICJ voting platform, improving the voting
environment for all our shareholders. The ICJ is offering access to the world's most widely used andsophisticated electronic voting platform, ADP's Proxy Edge voting platform.
Details
1. Date and Time:
2. Venue:

10:00 a.m. on Thursday, 26th June, 2008

JAPAN SECURITIES FINANCE CO., LTD., Conference Room
1-2-10 Nihonbashi-Kayabacho, Chuo-ku, Tokyo, Japan

3. Agenda for the Meeting
Items to be reported:
Report 1: The 98th fiscal year (from Apr. 1, 2007 to Mar. 31, 2008)
Business Report and Financial Statements
Report 2:

The 98th fiscal year (from Apr. 1, 2007 to Mar. 31, 2008)
Consolidated Financial Statements and Report of audits of the consolidated financial
statements by the Independent Auditor and the Board of Auditors.

Items to be resolved:
Agenda 1: Appropriation of Retained Earnings
Agenda 2: Partial Amendment to the Articles of Incorporation
Agenda 3: Election of eight Directors
Agenda 4: Election of one Auditor
Agenda 5: Election of one Substitute Auditor
Agenda 6: Amendment of Remuneration for Directors and Auditors
Note:

This English version is not a legally accurate translation of the original Japanese text.

REFERENCE DOCUMENTS PERTAINING TO EXERCISE OF VOTING RIGHTS

Agenda and Reference Information

Agenda 1:

Appropriation of Retained Earnings

The Company proposes the appropriation of retained earnings in the following manner.
1. Year-end dividendWith respect to dividend for the term, the Company determines the rate of dividend in accordancewith the company’s dividend policy for distributing dividend by taking account of its financial results, whileconsidering its shareholders' equity and appropriate internal reserves as a financial institution.
Following this policy, the year-end dividend will be 13 yen per share, so the annual dividend will be 26
yen including the interim dividend of 13 yen.
In view of the earnings conditions of the term, directors’ bonuses are not to be paid.
(1) Type of dividend asset
Cash(2) Allocation of dividend assets and total amount of allocation
13 yen per share of common stock
Total amount of payout: 1,291,551,482 yen(3) Effective date of dividend payment
June 27, 2008
2. Appropriation of other retained earnings
The Company has implemented to repurchase shares based on the resolution of the Board of
Directors on March 24, 2007. For continuous implementation of flexible capital policies as repurchasing
and retiring shares in this fiscal year, the Company proposes to appropriate other retained earnings asfollows.
(1) The account and the amount of retained-earnings increased
Retained earnings carried forward:
5,000,000,000 yen(2) The account and the amount of retained-earnings decreased
Special Reserves:
5,000,000,000 yen

2Agenda 2:

Partial Amendment to the Articles of Incorporation(Summary of agenda and its reasons)In accordance with the enforcement of the Financial Instruments and Exchange Law, the Articles ofIncorporation are to be amended as follows.
i) As it is prescribed to administer securities as the registered financial institution business, Article 2 (6) is
to be changed from “To take custody of securities” to “To administer and take custody of securities”.
ii) Other necessary changes are to be made. (Article 2 and Article 24)

Amendments to the Articles of Incorporation(Amendment parts are underlined)
Current

AmendedChapter I General Provisions

Chapter I General Provisions

Article 2. (Purpose)
The Company shall be organized for the purpose ofoperating the following businesses.
(1) To lend the necessary cash or stock certificates
for the settlement of the margin transactions,etc. through the clearing systems of theexchange securities market provided by eachsecurities exchange in Tokyo, Sapporo,
Fukuoka or Jasdaq.
(2) To lend cash to securities companies or theirclients (excluding businesses mentioned in (1)above).
(3)~(5) (Omitted)(6) To take custody of securities.
(7)~(9) (Omitted)

Article 2. (Purpose)
The Company shall be organized for the purpose ofoperating the following businesses.
(1) To lend the necessary cash or stock certificates
for the settlement of the margin transactions,etc. through the clearing systems of the financial
instruments exchange market provided by eachsecurities exchange in Tokyo, Sapporo,
Fukuoka or Jasdaq.
(2) To lend cash to financial instruments firms ortheir clients (excluding businesses mentioned in(1) above).
(3)~(5) (No change)(6) To administer and take custody of securities.
(7)~(9) (No change)

Chapter IV Directors and Board of Directors

Chapter IV Directors and Board of Directors

Article 24. (Representative Directors)
The Board of Directors shall appoint, in accordancewith its resolutions, representative directors.
However, officers and employees of securities
companies shall not be appointed as representative
directors.

Article 24. (Representative Directors)
The Board of Directors shall appoint, in accordancewith its resolutions, representative directors.
However, officers and employees of financial
instruments firms shall not be appointed as
representative directors.

3

Agenda 3:

Election of eight Directors

As the term of office of eight directors will expire at the conclusion of this Ordinary General Meeting of
Shareholders, the Company proposes the election of eight directors.
The candidates are as listed below.

No.
1

Name
(Date of birth)
Minoru Masubuchi(Nov. 3, 1943)

Brief personal history &Representation of other companies
May 1993
May 1994
Jul. 1998
Jul. 2002
Jun. 2004
Jun. 2005
Jun 2006

2

Hiromitsu Matsuda(Sep. 11, 1948)

Jul. 1998
Aug. 1999
Aug. 2001
Aug. 2002
Apr. 20073

Sadamu Shimomura(Aug. 31, 1947)

Apr. 1970
Jun. 1998
Jun. 2000
Jun. 2002
Jun. 2005
Jun. 2005
Oct. 2006
Jun. 2007
Feb. 2008

Shares of
JSF owned

Adviser to Governor of Market Operations
Dept, Bank of Japan (BOJ)
Director-General of Financial and Payment
System Dept., BOJ
Executive Director of BOJ
Standing Adviser of IBM Japan, Ltd.
President of JSF(to the present)
Director of JSF Trust and Banking Co.,Ltd.
(to the present)
Director of Japan Information Processing
Service Co., Ltd.
(to the present)

10,200Chief of Fukuoka Regional Taxation Bureau
Superintendent of Nagano Prefectural Police
Headquarters
Deputy Director-General of Financial Bureau,
Ministry of Finance
Executive Director of Government Housing
Loan Corp.
Deputy-ChairmanofJapan
Housing
Financial Agency(to the present)―

Joined JSF
General Manager of Loan Supervision Dept.
General Manager of Bond Trading Dept.
Director & General Manager of Margin Loan
Dept.
Auditor of Japan Information Processing
Service Co., Ltd.
Managing Director
Auditor of JBIS Holdings Inc.
Senior Managing Director
Director, Responsibility for Risk Mgmt Dept,
Planning Dept, Settlement & Custody Dept
and Information Systems Planning Dept
(to the present)

12,800

4

No.
4

Name
(Date of birth)
Yasuhisa Hashimoto(Feb. 27, 1951)

Brief personal history &Representation of other companies
May 1996
May 1998

General Manager of Naha Branch, BOJ
Director-General, Senior Secretary toGovernor of BOJ
Director-General of Secretariat of Policy
Board Dept., BOJ
Director-General of Currency Issue Dept,
BOJ
Personal and Corporate Affairs Dept, BOJ
Adviser of JSF
Managing Director of JSF, Responsibility for
General Affairs Dept, Accounting Dept,
Branches and Affiliates(to the present)
Director of Japan Securities Agents, Ltd.
(to the present)

5,400

Apr. 1973
Jun. 2000
Jun. 2002

Joined JSF
General Manager of Securities Custody Dept
General Manager of Settlement & CustodyDept20,500Jun. 2005

Auditor of Japan Securities Agents, Ltd.
(to the present)
Director & General Manager of Accounting
Dept
Executive Officer & General Manager of
Accounting Dept
Auditor of JBIS Holdings Inc. (to the present)
Managing Director
Managing
Director,
Responsibility
forTreasury Dept, Margin Loan Dept and Loan
Dept
(to the present)

Feb. 2002
May 2003
Feb. 2005
May 2005
Jun. 2005

Jun. 2006
5

Hiroshi Nasuno(Jan. 12, 1950)

Jun. 2005
Jun. 2006
Oct. 2006
Jun. 2007
Jun. 2008

6

Takashi Imai
(Dec. 23, 1929)

Shares of
JSF owned

Jun. 1993
Apr. 1998
May 1998
May 2002
Jun. 2002
Apr. 2003
Jun. 2003

President of Nippon Steel Corp.
Chairman of Nippon Steel Corp.
Chairman of Nippon Keidanren (Japan
Business Federation)
Honorary Chairman of Nippon Keidanren(to the present)
Director of JSF(to the present)
Director & Senior Adviser / Honorary
Chairman of Nippon Steel Corp.
Senior Adviser / Honorary Chairman of
Nippon Steel Corp.
(to the present)

5

4,000

Name
(Date of birth)No.
7

Akira Kanno(Dec. 1, 1932)

Brief personal history &Representation of other companies
Dec. 1986
May 1992
May 1994

Apr. 1999

Jun. 2003
Dec. 2004
8

Hiroshi Koshida(May. 21, 1937)

Jun. 1991
Jun. 1998
Jun. 2001

Jun. 2003
Jul. 2003
Jul. 2006

Sep. 2006
Jul. 2007
Note 1:
Note 2:
Note 3:

Shares of
JSF owned

Executive Director of BOJ
Deputy Governor of Export-Import Bank ofJapan
Vice-Chairman & Senior Managing Governorof Federation of Bankers Associations ofJapan
Vice-Chairman & Senior Managing GovernorofJapanese
Bankers
Association(renamed)
Director of JSF(to the present)
Chairman of Japan Electric Power Exchange(to the present)

15,800Vice President of Daiwa Securities Co., Ltd.
President of Daiwa Asset Management Co.,
Ltd.
Chairman of Daiwa Asset Management Co.,
Ltd.
Chairman of Investment Trusts Association
Standing
Adviser
of
Daiwa
Asset
Management Co., Ltd.
Chairman of Japan Securities Dealers
Association
Public Governor of Japan Securities Dealers
Association(to the present)
Chairman of NPO-APROSIS (Association for
Promoting Securities Investment and Study)(to the present)
Director of Kanpo Co., Ltd. (currently, Japan
Post Insurance Co., Ltd.)(to the present)
Adviser of Daiwa Asset Management Co.,Ltd.
(to the present)―

The Company has no conflict of interest with each candidate.
Takashi Imai, Akira Kanno and Hiroshi Koshida are candidates for outside directors.
Reasons for recommending them as candidates for outside directors are as follows.
(1) Takashi Imai is nominated in the expectation of his abundant experience and wide
knowledge in economic circles as well as his objective standpoint which is independent
from executive directors. He has been our outside director since June 2002 and acted
for 6 years at the conclusion of this meeting.
(2) Akira Kanno is nominated in the expectation of his abundant experience and wide
knowledge in financial circles as well as his objective standpoint which is independent
from executive directors. He has been our outside director since June 2003 and acted
for 5 years at the conclusion of this meeting.
(3) Hiroshi Koshida is nominated in the expectation of his abundant experience and wide
knowledge in securities circles as well as his objective standpoint which is independent
from executive directors. He also holds the post of the chairman of NPO-APROSIS.

6

Note 4:

Agenda 4:

The Company pays annual charge of 300,000 yen for this organization as the associate
member and has donated 700,000 yen in Fiscal 2006.
During the tenure of Takashi Imai and Akira Kanno as our outside director, the Company hasreceived an administrative order from the Financial Services Agency on December 14, 2007,
due to unfair adjustment of stock procurement through bidding. This orders the Company
to strengthen its compliance and internal control system. After this unfair adjustment wasproved, Takashi Imai and Akira Kanno have suggested a thorough internal investigation andproposed an effective improvement to executive directors. In addition, they have fulfilled
their duties to prevent reoccurrence by monitoring the implementation of executive directors’
duties.

Election of one Auditor

As the term of office of two Auditors will expire at the conclusion of this Ordinary General Meeting of
Shareholders, the Company proposes the election of one auditor.
The candidates are as listed below.
The consent of the Board of Auditors has been obtained for this proposal.
Name(Date of birth)
Ushio Mizuno(Dec. 1, 1953)

Brief personal history &Representation of other companies
Jun. 1999
Nov. 2001
Jun. 2002
Jun. 2004
Jun. 2005
Jun. 2007
Nov. 2007

Chief of Financial Dept. Accounting Division ofTokyo Stock Exchange (TSE)
General Manager of JASDEC Inc. Establishment
Preparation Dept of JASDEC
General Manager of Planning Dept of JASDEC
Inc.
General Manager of Corporate Planning Dept of
JASDEC Inc.
General Manager of Treasury Dept of TSE, Inc.
General Manager of Listing Examination Dept of
TSE Inc.
General Manager of Listing Examination Dept of
TSE Regulation(to the present)

Shares of
JSF owned―

Note 1: The Company has no conflict of interest with a candidate.
Note 2: Ushio Mizuno is a candidate for an outside auditor.
The Company asks for his election in expectation of his abundant knowledge concerning
finance and accounting as well as his career, such as General Manager of Listing
Department of Tokyo Stock Exchange. Although he does not have experience in corporate
management, we believe he will perform his duties as outside auditor appropriately becauseof his careers mentioned above.

7

Agenda 5:

Election of one Substitute Auditor

The Company proposes the election of one substitute auditor to provide for a possible case in which
the number of incumbent auditors provided by laws or regulation becomes insufficient.
The candidate is as listed below.
The consent of the Board of Auditors has been obtained for this proposal.
Name(Date of birth)
Masato Denawa(Feb. 5, 1964)

Brief personal history &Representation of other companies
Apr. 1990

Jan. 1999
Jun. 2000
Apr. 2002
Feb. 2005
Jul. 2007
Sep. 2007

Registered
Lawyer(DaiichiTokyo
Bar
Association)
Joined Okinobu & Ishihara Law Office (currently,
Spring Partners)
Partner attorney at Spring Partners(to the present)
Auditor of Kinkan Co., Ltd.
(to the present)
Lecturer at Keio Univ. Faculty of Law.
(to the present)
Auditor of ULVEX Inc.
(to the present)
Director of Advise Link Co., Ltd. (to the present)
Auditor of Japan Prime Realty Investment Corp.
(to the present)

Shares of
JSF owned―

Note 1: The Company has no conflict of interest with a candidate.
Note 2: Masato Denawa is a candidate for substitute outside auditor.
The Company asks for his election in expectation of his special knowledge and abundant
experience as a lawyer.

Agenda 6:

Amendment of Remuneration for Directors and Auditors

The 96th Ordinary General Meeting of Shareholders convened on Jun 28, 2006 has approved anamount not to exceed 24 million yen per month as remuneration for directors and that amount continues inforce until today. The 84th Ordinary General Meeting of Shareholders convened on Jun 29, 1994 hasapproved an amount not to exceed 6.5 million yen per month as remuneration for auditors and that amountcontinues in force until today.
With the enforcement of the Companies Act, directors’ and auditors’ bonuses are included in theirremuneration. Therefore, the Company proposes to switch an amount of remuneration from monthly basis
to annual basis. In addition, the Company proposes that remuneration adding up bonuses for directors beamended to an amount not to exceed 376 million yen per fiscal year (including remuneration for outside
directors of 28 million) and remuneration for auditors be amended to an amount not to exceed 78 million
yen per fiscal year.
If Agenda 3 and 4 are approved, the Company will have eight directors (including three outside
directors) and three auditors.

8

NON-CONSOLIDATED BALANCE SHEETSAs of March 31,2008

Millions of Yen

ASSETS
Current assets:
Cash
Call loans
Securities
Loan for margin transactions
Bond financing
General loans
Other loans
Stocks lent for margin transactions
Bonds lent for bond loan transactions
Other securities lent
Securities in custody
Securities in deposit
Prepaid expenses
Deferred tax assets
Collateral money for securities borrowed
Accrued revenue
Other current assets
Allowance for doubtful receivables
Total current assets
Non-current assets:
Tangible non-current assets:
Buildings and structures
Tools, furniture and fixtures
Land
Construction in progress

3,435
80,0001,475,909
508,587
17
68,5777,500
419,503
5,000
7,013
8,750
256,73130
282
860,554
793
521
(136)
3,703,074

854
223
840
233
2,151

Intangible non-current assets:
Software
Other intangible non-current assets

2,514
17
2,531

Investments and other assets:
Investments in securities
Shares in affiliates
Investments in capital
Guaranty money deposited
In-house loan
Deferred tax assets
Other investments and other assets
Allowance for doubtful receivables
Total non-current assets
Total Assets

9237,866
19,374
61
310
387
4,818
42
(42)
262,817
267,500
3,970,574

As of March 31,2008
LIABILITIES AND NET ASSETS
Current liabilities:
Call money
Short-term borrowings
Commercial paper
Payables under repurchase agreements
Accrued expenses
Accrued income taxes
Allowance for bonus (Employees)
Allowance for bonus (Directors & Executive Officers)
Collateral money received for margin transactions
Collateral money received for securities lent
Deposit received
Collateral securities deposited
Securities borrowed
Securities lent offsetting account
Advanced received profit
Other current liabilities
Total current liabilities
Non-current liabilities:
Long-term borrowings
Deferred tax liabilities for land revaluation
Allowance for employees retirement benefits
Allowance for officers retirement rewards
Total non-current liabilities
Total liabilities
Net assets:
Shareholders’ equity
Common stock
Capital surplus
Capital reserve
Retained earnings
Earned surplus reserve
Reserve for dividends
General reserve
Earned surplus carried forward
Treasury stock
Total Shareholders’ equity

Millions of Yen

1,248,000
527,61038,000341,942
346
1,194
360
13
24,117979,200
301
508,587
184,262
4,149
37
675
3,858,800

6,500
98
2,169
283
9,051
3,867,851

10,0005,181
5,181
93,0472,278
2,030
82,0306,709(294)
107,934

Valuation and translation adjustments
Net unrealized loss on other securities
Gain on revaluation of land
Total valuation and translation adjustments
Total net assets
Total liabilities and net assets

10(5,354)143(5,211)
102,7223,970,574

NON-CONSOLIDATED STATEMENTS OF INCOME

For the year ended March 31,2008

Millions of Yen

Operating Revenues
Operating Expenses

38,94924,273Operating Profit
General and administrative expenses

14,716
7,101

Operating Income
Non-operating Revenues
Interest received and dividends received
Miscellaneous revenues

7,614
376
79
456

Non-operating Expenses
Miscellaneous expenses

0

Recurring Income
Extraordinary Profit
Gain on sale of investments in securities
Reversal of allowance for doubtful receivables

0
8,071
0
110
110

Extraordinary Loss
Loss on retirement of non-current assets
Loss on sales of investment in securities
Loss on liquidation of investments in securities

8
0
8
17

Income before income taxes

8,164

Income Taxes
Current
Deferred

3,055
171
3,226

Net Income

4,938

11

NON-CONSOLIDATED STATEMENTS OF CHANGED SHAREHOLDERS’ EQUITY
Millions of Yen
Shareholders’ equity
CapitalsurplusRetained earnings
Other retained earnings

Total
Earned sur
CommonCapital Earned Reserve for Special plus carried Total retained Treasury shareholders
earnings
stock’ equitystock reserves reserves
dividends reserves
forwardBalance as of March 31, 2007

10,000

5,181

2,278

2,030

78,0308,453

90,791(288)

105,684(2,682)(2,682)(2,682)(4,000)

－

－

4,938

4,938

4,938

Amount of change
Dividends
Special reserves

4,000

Net income
Acquired treasury stock

(5)

(5)

Other changes in
non-shareholders’ equity
items during the term (net)Total amount of change
Balance as of March 31, 2008

－

－

－

－

4,000

(1,744)

2,255

(5)

2,250

10,000

5,181

2,278

2,030

82,0306,709

93,047(294)

107,934

Valuation and translation adjustments
Net unrealized
gain or loss on
securities
Balance as of March 31, 2007

(3,139)Gain on Total valuation
revaluation of and translation
land
adjustments
143(2,996)

Total net assets
102,688

Amount of change
Dividends(2,682)－

Special reserves
Net income

4,938

Acquired treasury stock
Other changes in
non-shareholders’ equity
items during the term (net)(5)(2,215)－(2,215)(2,215)

Total amount of change(2,215)－(2,215)

34

Balance as of March 31, 2008

(5,354)143(5,211)

102,722

12

CONSOLIDATED BALANCE SHEETSAs of March 31,2008

Millions of Yen

ASSETS
Current assets:
Cash
Call loans
Short-term investment securities
Short-term loans receivable
Securities lent
Securities in custody
Securities in deposit
Deferred tax assets
Collateral money for securities borrowed
Other current assets
Allowance for doubtful receivables
Total current assets
Non-current assets:
Tangible non-current assets:
Buildings and structures
Tools, furniture and fixtures
Land
Construction in progress

4,628
24,0001,980,835
1,131,385
431,516
8,750
256,731300
900,506
4,984(838)
4,742,801

3,278
298
3,315
218
7,111

Intangible non-current assets:
Software
Other intangible non-current assets

2,503
42
2,545

Investments and other assets:
Investment in securities
In-house loan
Deferred tax assets
Other investments and other assets
Allowance for doubtful receivables

335,042
387
4,818
1,174
(42)
341,379
351,036

Total fixed assets
Total Assets

5,093,837

13

As of March 31,2008

Millions of Yen

LIABILITIES AND NET ASSETS
Current liabilities:
Call money
Short-term borrowings
Commercial paper
Payables under repurchase agreements
Accrued income taxes
Allowance for bonus (Employees)
Allowance for bonus (Directors & Executive Officers)
Collateral money received for securities lentCollateral securities deposited
Securities borrowed
Securities lent offsetting account
Other current liabilities
Total current liabilities
Non-current liabilities:
Long-term borrowings
Deferred tax liabilities
Deferred tax liabilities for land revaluation
Allowance for employees retirement benefits
Allowance for officers retirement rewards
Other non-current liabilities
Total non-current liabilities

1,857,600
894,91068,000341,942
1,371
430
32
1,029,100
508,587
184,262
4,149
37,101
4,927,488
51,000
444
98
2,273
482
745
55,045

Total liabilities

4,982,534

Net assets:
Shareholders’ equity:
Common stock
Capital surplus
Retained earnings
Treasury stock

10,0005,181
106,873(440)

Total Shareholders’ equity

121,615

Valuation and translation adjustments:
Net unrealized loss on other securities
Gain on revaluation of land
Total valuation and translation adjustments
Total net assets(10,455)
143(10,311)
111,303

Total liabilities and net assets

5,093,837

14

CONSOLIDATED STATEMENTS OF INCOME

For the year ended March 31,2008

Millions of Yen

Operating Revenues
Operating Expenses

50,58239,437

Operating Profit
General and administrative expenses

11,144
8,799

Operating Income
Non-operating Revenues:
Interest received and dividends received
Equity in earings of affiliates
Rental fees
Miscellaneous revenue

2,345
145
255
49
69
520

Non-operating Expenses:
Interest on borrowing
Miscellaneous expenses

1
12

Recurring Income

13
2,852

Extraordinary Profit:
Gain on sale of investments in securities
Gain by transfer of equity interests

0
1,037
1,037

Extraordinary Loss:
Loss on revision of the gain and loss of prior year
Loss on retirement of non-current assets
Loss on sale of investments in securities
Loss of liquidation of investments in securities
Dilution loss from changes in equity interest

3
9
0
8
965
986
2,903

Income before income taxes
Income Taxes
Current
Deferred

3,322
881
4,203

Net Loss

1,300

15

CONSOLIDATED STATEMENTS OF CHANGED SHAREHOLDERS’ EQUITY
Millions of Yen
Shareholders’ equity

Balance as of March 31, 2007

Common stock

Capital surplus

Retainedearnings

10,0005,181

111,251

Treasury stock

Total
shareholders’equity(456)

125,976

Amount of change
Dividends(2,682)(2,682)Net loss(1,300)(1,300)

(394)

(394)

Decreased
earnings
after
excluding equity method affiliate
Acquired treasury stock

(5)

(5)

Decreased treasury stock ofequity method affiliates

21

21

Other changes in
non-shareholders’ equity items
during the term (net)Total amount of change
Balance as of March 31, 2008－－

(4,377)16(4,361)

10,0005,181

106,873(440)

121,615

Valuation and translation adjustments

Balance as of March 31, 2007

Net unrealized
gain or loss on
securities

Gain onrevaluation of
land

Total valuationand translation
adjustments

Total net assets(3,244)143(3,100)122,876

Amount of change
Dividends(2,682)Net loss(1,300)Decreased
earnings
after
excluding equity method affiliate(394)

Acquired treasury stock(5)

Decreased treasury stock ofequity method affiliates

21

Other changes in
non-shareholders’ equity items
during the term (net)(7,210)－(7,210)(7,210)Total amount of change(7,210)－(7,210)(11,572)

Balance as of March 31, 2008

(10,455)

143(10,311)

111,30316