Gulliver International Co., Ltd.

Consolidated Results
Second Quarter of the Fiscal Year Ending February 28, 2010
(Six-month period ended August 31, 2009)This document has been translated from the original Japanese as a guide for non-Japanese investors. It
contains forward-looking statements based on a number of assumptions made and beliefs held bymanagement in light of information currently available. Actual financial results may differ materiallydepending on a number of factors, including changing economic conditions and the pricing and productinitiatives of new and existing competitors.

SUMMARY OF FINANCIAL STATEMENTS (Consolidated)
Second quarter results for the fiscal year ending February 28, 2010

October 9, 2009

Gulliver International Co., Ltd.

st

Stock Code: 7599
Listed exchanges: Tokyo (1 Section)
Inquiries: Executive director: Yukihiro Yoshida
http://www.glv.co.jp/
Chairman: Kenichi Hatori
Telephone: +81 3 5208-5503
Scheduled date for the submission of the financial report: October 15, 2009
Scheduled date for distribution of dividends: November 13,2009

1. Consolidated financial results for the Six-month period ended August 31, 2009
1) Consolidated operating results

Millions of yen, rounded down

Six months ended
August 31, 2008

Six months ended
August 31, 2009(% change)

Sales...............................................................
Operating income ...........................................
Ordinary income .............................................
Net income......................................................
Earnings per share (¥) ....................................
Fully diluted earnings per share (¥) ................

75,804
5,259
5,023
2,270
¥249.62--(% change)-------

91,011
2,807
2,901
1,042
¥108.62--

4.3(40.9)(39.2)(61.5)---

Note: Percentage figures for sales, operating income, etc. represent changes compared to the comparable period of the previous fiscal year.

2) Financial position (Consolidated)

Millions of yen, rounded down

As of August 31, 2009

As of February 28, 2009

62,87018,42529.3%¥2,024.46

58,773
15,83626.9%¥1,704.02

Total assets .....................................................
Net assets........................................................
Shareholders’ equity ratio (%)..........................
Shareholders’ equity per share (¥)...................
Shareholders’ equity:

As of August 31, 2009: ¥18,416 million
As of February 28, 2009: ¥15,829 million

2. Dividends

Interim dividend per share (¥) ..........................
Year-end dividend per share (¥) ......................
Annual dividend per share (¥)..........................

Millions of yen, rounded down

Fiscal year ended
February 28, 2009
41.00
0.00
41.00

Fiscal year ending
February 28, 2010
38.00
--

Fiscal year ending
February 28, 2010 (Forecast)-38.0076.00

Changes to the dividend forecast during the period: None

3. Consolidated financial forecasts for the fiscal year ending February 28, 2010 (March 1, 2009 to February 28, 2010)
Millions of yen, rounded down

FY ending
February 28, 2010
150,000
(8.4)
8,000
104.8
7,700
192.2
3,400
-¥373.75--

Sales................................................................
Operating income ............................................
Ordinary income ..............................................
Net Income ......................................................
Earnings per share (¥) .....................................

Notes: Percentage figures for sales, operating income, etc. represent changes compared to the comparable period of the previous fiscal year.
Changes to the consolidated financial forecast during the period: None

－ 1 －

4. Other
1) Transfer of important subsidiaries during the period (Transfers of certain subsidiaries resulting in changes in the scope of
consolidation): None
2) Utilization of simplified method of accounting: Yes
See Operating Results, Section 4. Other on page 4-5 for more detail.
3) Changes in accounting methods, procedures and presentation in the making of these financial statements (key items
mentioned in Significant Items for the Preparation of Consolidated Financial Statements):
1. Changes following revisions to accounting standards: Yes
2. Other changes: No
Note: See Operating Results, Section 4. Other on page 5 for more detail.
4) Number of shares outstanding (ordinary shares)
1. Number of shares outstanding (including treasury shares):
As of August 31, 2009: 10,688,800
As of February 28, 2009: 10,688,800
2. Number of treasury shares:
As of August 31, 2009: 1,591,736
As of February 28, 2009: 1,591,730
3. Average number of shares during the period:
Six months ended August 31, 2009: 9,097,068
Six months ended August 31, 2008: 9,597,077
Notice regarding the appropriate use of the financial forecasts and other items
1.

Forecasts and forward-looking statements in this document are based on a number of assumptions made and beliefs held bymanagement in light of information currently available. Actual financial results may differ materially depending on a number offactors, including economic conditions, legislative and regulatory developments, delay in new product or service launches, andpricing and product initiatives of competitors.

2.

As of the current consolidated fiscal year, Accounting Standard for Quarterly Financial Reporting (ASBJ Statement No. 12) and(Guidance to Accounting Standard for Quarterly Financial Reporting) ASBJ Guidance No. 14 have been applied. The quarterly
consolidated financial statements have been prepared in accordance with the rules for the preparation of quarterly consolidated
financial statements.

－ 2 －1. Operating results(1)Outline of consolidated operating results
Net sales for the interim period of the consolidated fiscal year ending February 28, 2010 decreased 16.7% comparedto the interim period of the previous fiscal year. The primary causes were a decrease in the number of cars purchasedby directly managed Gulliver stores and a decrease in sales from consolidated subsidiary G-Trading Co., Ltd. (JQ:3348).
Although the number of cars purchased decreased, the number of used cars sold to retail customers throughGulliver’s directly managed stores increased by 55% to about 20,500 cars, benefiting from the successful
implementation of a series of measures to strengthen the development of new services, promotional activities, andothers. As retail auto sales to regular consumers, is more profitable than the sale of used cars wholesale to used car
operators through used car auctions, profitability increased. Sales, general and administrative expenses decreased
compared to the interim period of the previous fiscal year due to cost reduction efforts.
Additionally, a foreign exchange loss of ¥254 million from consolidated subsidiary G-Trading Co., Ltd. was recorded
under non-operating expenses. Further, an extraordinary loss of ¥922 million was recorded consisting of a loss fromretirement of fixed assets of ¥471 million and other factors.
As a result of the factors noted above, consolidated net sales for the interim period under review were ¥75,804, 16.7%
lower than in the previous interim period , however operating income increased 87.4% to ¥5,295 million, ordinary
income increased 73.2% to ¥5,023 million, and net income increased 117.8% to ¥2,270 million.
Operating income and ordinary income results for the interim period under review set a new record.
(2)Performance by segmenti.Sales of used automobiles
As previously mentioned, net sales decreased due to a decrease in the number of cars purchased by directly
managed Gulliver stores and lower sales from consolidated subsidiary G-Trading Co., Ltd. Although sales decreased,
profitability improved and operating profit increased due to the increase in the number of retail sales to regularconsumers, a method of sales more profitable than the sale of used cars wholesale to used car operators through used
car auctions, as well as a reduction in sales, general and administrative expenses from a decrease in costs such as a
reduction of personnel expenses from curbing the number of new employees.
As of August 31, 2009, the number of directly managed Gulliver stores was 287 (14 fewer than at the end of theinterim period of the previous fiscal year and 21 fewer than at the end of the previous fiscal year).
Due to the above factors, consolidated net sales for the segment decreased 18.0%, or ¥15,376 million to ¥70,071
million in comparison to the previous interim period, and operating income increased 48.4%, or ¥2,007 million, to¥6,160 million.
ii. Financing business
Revenues from G-One Financial Services Co., Ltd., a financial services company, grew due to an increase in thenumber of automobile loans accompanying the growth in retail auto sales. However, sales, general and administrative
expenses increased from the effects of increases in expenses such as commissions paid and personnel expenses
following the expansion of operations. Further, as a result of the increase in number of auto loans, accounts receivablefor the financing business increased 32.1%, or ¥5,903 million, to ¥24,266 million.
Due to the above factors, consolidated net sales for the segment increased 36.5%, or ¥1,067 million to ¥3,996 million
in comparison to the previous interim period, and operating income increased 286.2%, or ¥275 million, to ¥371 million.
iii. Other businesses
As of August 31, 2009, the number of Gulliver franchised stores was 130 (17 fewer than at the end of the interim－ 3 －period of the previous fiscal year and 15 fewer than at the end of the previous fiscal year). Consequently, revenues
from Gulliver franchised stores also decreased. Further, revenues from consolidated subsidiary Hucobo Co., Ltd., atransport company, also decreased.
As a result, consolidated net sales for the segment decreased 16.2%, or ¥908 million, to ¥4,708 million in comparison
to the previous interim period and operating income decreased 25.0%, or ¥350 million, to ¥1,051 million.
Due to changes to accounting standards, comparisons to the previous interim period have been provided forreference only.
2. Financial position
Consolidated financial position and related analysis
Assets, liabilities and shareholders’ equity
Note: Comparisons represent changes compared to the previous fiscal year.

AssetsTotal assets at the end of the interim period under review increased 7.0% compared to the end of the previous fiscal
year to ¥62,870 million.
Current assets increased by 12.0% to ¥45,006 million due to factors such as increase in accounts receivable andinventories held for sale, and despite a decrease in cash and deposits.
Fixed assets decreased 3.8% to ¥17,864 million, partly due to lower capital investment accompanying the reduced
number of directly managed stores , and other factors.
Liabilities
Total liabilities at the end of the period under review increased 3.5% compared to the end of the previous fiscal year to¥44,445 million.
Current liabilities decreased 7.9% to ¥37,652 million due to repayment of short-term borrowings and other factors.
Long-term liabilities increased 227.4% to ¥6,793 million due to an increase in long-term borrowings and other factors.
Net assets
Total net assets at the end of the interim period under review increased 16.4% compared to the end of the previous
fiscal year to ¥18,425 million due to an increase in retained earnings resulting from positive net income for the period.
The shareholders’ equity ratio increased 2.4 percentage points to 29.3%.
3. Outlook for the fiscal year ending February 28, 2010
There have been no changes made to the interim and full year consolidated results forecasts included in the financial
statements issued September 29, 2009.
4. Other
1) Transfer of important subsidiaries during the period (Transfers of subsidiaries resulting in changes in the scopeof consolidation): None.
2) Changes in accounting principles and procedures:(1) Simple accounting methods
・Calculation methods for estimating loss on ordinary loans
Since there have been no significant change to the loan loss ratio and others calculated at the end of theprevious consolidated fiscal year, these figures were used for the basis of calculations for the estimated loan
loss and others at the end of the period under review.
－ 4 －・Calculation methods for depreciation allowance of fixed assets
For assets to which the declining balance method is applied, depreciation allowance is calculated by the amount
distributed proportionally for that consolidated fiscal year.
・Evaluation of inventory assets
Calculations for inventory assets at the end of the second quarter are based on a combination of a reduction of
actual inventories and the actual inventory at the end of the previous consolidated fiscal year. Regarding the
reduction in the book value of inventory assets, in respect of only those items where the decline in profitability isclear, we have estimated the net sale price and reduced the book value accordingly.
・Calculation methods for corporate and other taxes and deferred tax assets and liabilities
The calculation for corporate and other tax payments is limited to important increases or decreases and tax
credit items. The calculation method for evaluating the possibility of recovering deferred tax assets uses theresults forecasts and tax planning used at the end of the previous consolidated fiscal year because there havebeen no significant change in the management environment, etc., since the end of the previous consolidated
fiscal year nor any other a temporary changes.
・Mutual debt and loans and elimination transactions among consolidated subsidiaries
In cases where the differences in amounts of the aforementioned credit and liabilities are clear, when the
differences are within a reasonable scope, the amounts are not adjusted and the credit and liabilities are
eliminated. When there are immaterial differences in transaction amounts, eliminations are made using methods
such as matching the amount of the new company.
(2) Utilization of unordinary accounting methods
No applicable items
3) Changes in accounting methods, procedures and presentation in the making of these financial statements.
(1) Application of accounting standards for the quarterly financial report
As of the current consolidated fiscal year, Accounting Standard for Quarterly Financial Reporting. (ASBJ
Statement No. 12) and (Guidance to Accounting Standard for Quarterly Financial Reporting) ASBJ Guidance No.
14, have been applied. The quarterly consolidated financial statements have been prepared in accordance withthe rules for the preparation of quarterly consolidated financial statements.
(2) Application of accounting standards for the evaluation of inventory assets
Previously, inventory assets were primarily accounted for by the actual cost method, however, as of the current
consolidated financial period, and following application of Accounting Standard for Evaluation Inventory Asset(ASBJ Statement No. 9, July 5, 2006) calculations will be based primarily on actual cost method (Regardingbalance sheet values, book values have been reduced based on a decline in profitability) The effect of thisaccounting change is immaterial.

－ 5 －Consolidated Balance Sheets
Millions of yen
As ofAugust 31, 2009

As ofFebruary 28, 2009

AssetsCurrent assets
Cash and deposits.................................

3,640

Trade notes and accounts receivable ....

27,9294,215
23,296

Products ................................................

9,032

8,111

Short-term loans receivable ...................

2,248

2,287

Deferred tax assets................................

680

456

Other......................................................

2,468

2,784

Allowance for doubtful accounts ...........

(993)

(951)

Total current assets............................

45,00640,202

11,011

Depreciation .......................................

10,695(3,304)

Buildings and structures (net) .............

7,391

7,770

Vehicles and transportation ...................
Depreciation........................................

80

53

(56)

(39)

Fixed assets
Tangible fixed assets
Buildings and structures .......................

(3,241)

Vehicles and transportation (net)........

23

13

Tools, fixtures and equipment...............
Depreciation .......................................

3,396

3,204

(2,199)(2,039)Tools, fixtures and equipment (net) ....

1,197

1,164

Land......................................................
Construction in progress ........................

409

409

1

164

Total tangible fixed assets .................
Intangible fixed assets

9,023

9,522

Goodwill ................................................

62

77

Software ...............................................

1,755

1,545

Other.....................................................

67

72

Total intangible fixed assets ...............

1,885

1,695

Investment securities .............................

199

118

Shares in affiliate companies .................

123

150

Long-term loans receivable ...................

157

158

Investments and other assets

Deposits and guarantee money .............

3,184

3,953

Construction cooperation fund ...............

2,973

2,530

Deferred tax assets................................

363

434

Others.....................................................

364

406

Allowance for doubtful accounts ............

(411)

(400)

Total investments and other assets......

6,954

7,352

Total fixed assets ...............................

17,864

18,571

Total Assets ............................................

62,87058,773－ 6 －Consolidated Balance Sheets
Millions of yen
As ofAugust 31, 2009
Liabilities
Current liabilities
Accounts payable ....................................
Short-term borrowing...............................
Accrued expenses ...................................
Accrued corporate taxes..........................
Deposits received ....................................
Reserve for bonuses ...............................
Reserve for product warranty ................
Reserve for loss on restructuring ofoperations ............................................
Others......................................................
Total current liabilities............................
Long-term liabilities
Long-term borrowing ...............................
Long-term guarantee deposits received ..
Reserve for directors’ retirement
benefit ..................................................
Negative goodwill ....................................
Other .......................................................
Total long-term liabilities........................
Total liabilities........................................
Net assets
Shareholders’ equity
Paid-in capital ..........................................
Capital surplus.........................................
Retained profit .........................................
Treasury stock .........................................
Total shareholders’ equity...................

As of
February 28, 2009

3,688
23,283
2,451
2,181
499
604
455

2,993
28,643
3,259
567
166
559
354

38
4,451
37,652-4,31740,862

5,083
884

624
874

443

425

120
262
6,793
44,445

138
11
2,074
42,937

4,157
4,032
21,039(11,465)
17,763

4,157
4,032
18,768(11,465)
15,492

52

(8)

600

345

653

336

Valuation difference on othermarketable securities
Unrealized gains and losses in othersecurities..............................................
Translation adjustments...........................
Total appraisal and translationdifferences ..........................................
Warrants for new shares ............................

3

4

Minority interests ........................................

5

2

Total net assets ..................................

18,425

15,836

Total liabilities and net assets.........

62,87058,773－ 7 －Consolidated Statements of Income
Millions of yen

March 1, 2009 toAugust 31, 2009
Sales ...................................................
Cost of sales........................................
Gross profit .....................................
Sales general and administrative
Operating income ...........................
Non-operating income
Interest received...................................
Commissions received .........................
Amortization of negative goodwill .........
Other ....................................................
Total non-operating income..................
Non-operating expenses
Interest paid ........................................
Exchange related loss .........................
Other ...................................................
Total non-operating expenses .............
Ordinary income .....................................
Extraordinary profit

75,80453,431
22,373
17,113
5,259
4
6
18
65
95
74
236
20
331
5,023

Gains from cancellation in theprevious term..............................

33

Gain on sales of investment
securities ....................................

22

Reversal of allowance for doubtful
accounts .....................................

14

Others ..............................................

26

Total extraordinary profit ............
Extraordinary losses
Loss from cancellation in the previoustLoss on disposal of fixed assets .............
Loss from restructuring of operations .....
Others.....................................................

97

Total extraordinary loss ..........................
Net income before taxes, etc ..................

334
471
66
50
922
4,198

Income tax, inhabitants tax andenterprise tax....................................

2,119

Corporate tax adjustment .....................
Total corporate taxes............................
Gain from minority interests .................

(194)
1,924
2

Net income ........................................ ...

2,270

－ 8 －

Consolidated Statements of Income
Millions of yen

June 1, 2009 toAugust 31, 2009
Sales ...................................................
Cost of sales........................................
Gross profit .....................................
Sales general and administrative
Operating income ...........................
Non-operating income
Interest received...................................
Commissions received .........................
Amortization of negative goodwill .........
Other ....................................................
Total non-operating income..................
Non-operating expenses
Interest paid ........................................
Exchange related loss .........................
Other ...................................................
Total non-operating expenses .............
Ordinary income .....................................
Extraordinary profit

38,312
26,91011,401
8,873
2,528
3
1
9
35
50
33
1
6
40
2,538

Gains from cancellation in theprevious term..............................

1

Gain on sales of investment
securities ....................................

22

Reversal of allowance for doubtful
accounts .....................................

(23)

Others ..............................................

8

Total extraordinary profit ............
Extraordinary losses
Loss from cancellation in the previoustLoss on disposal of fixed assets .............
Others.....................................................
Total extraordinary loss ..........................
Net income before taxes, etc ..................

8
211
42
25
280
2,266

Income tax, inhabitants tax andenterprise tax....................................

812

Corporate tax adjustment .....................
Total corporate taxes............................
Gain from minority interests .................

119
931
(1)

Net income ........................................ ...

1,335

－ 9 －

Consolidated Statements of Cash flows
Millions of yen
March 1, 2009 toAugust 31, 2009
I. Cash flow from operating activities
Income before taxes, etc. ..................................................................
Depreciation ......................................................................................
Amortization of goodwill.....................................................................
Amortization of negative goodwill ......................................................
Increase (decrease) in allowance for doubtful accounts ...................
Increase (decrease) in reserve for bonuses ......................................
Increase (decrease) in reserve for directors’ retirement benefit ........
Increase (decrease) in reserve for product warranty.........................
Interest and dividends received.........................................................
Interest paid.......................................................................................
Gain (loss) on foreign exchange........................................................
Loss on disposal of fixed assets........................................................
(Increase) decrease in accounts receivable ......................................
(Increase) decrease in inventory assets............................................
(Increase) decrease in operating loans .............................................
Increase (decrease) in accrued consumption tax..............................
Increase (decrease) in accounts payable
Other..................................................................................................
Subtotal .............................................................................................
Interest and dividends received.........................................................
Interest paid.......................................................................................
Corporate taxes paid .........................................................................
Cash flow from operating activities ....................................................

4,198
837
13
(18)
52
44
17
100
(4)
74
236
471
(4,969)
(962)
39
76
744
620
1,574
4
(74)
(523)
981

II. Cash flow from investing activities
Payments for acquisition of tangible fixed assets..............................
Payments for acquisition of intangible fixed assets ...........................
Proceeds from sales of investment securities ...................................
Payments for deposits and guarantee...............................................
Proceeds from repayment of deposits and guarantee ......................
Payments for construction cooperation fund .....................................
Proceeds from repayment of construction cooperation fund .............
Other..................................................................................................
Cash flow from investing activities .....................................................

(255)
(590)
43
(30)
99
(41)
106
20
(648)

III. Cash flow from financing activities
Net increase (decrease) in short term borrowings.............................
Proceeds from long-term loans .........................................................
Repayment of long-term loans ..........................................................
Payments for acquisition of treasury stock ........................................
Cash flow from financing activities.....................................................
IV. Cash and cash equivalents currency translationdifferences ....................................................................................
V. (Decrease) increase in cash and cash equivalents .........................
VI. Cash and cash equivalents at beginning of period .........................
VII. Cash and cash equivalents at end of period .................................

－ 10 －(2,109)5,000(3,791)
(0)
(901)
(7)
(575)
4,215
3,640

Note: As of the current consolidated fiscal year, Accounting Standard for Quarterly Financial Reporting. (ASBJ Statement No. 12)
and (Guidance to Accounting Standard for Quarterly Financial Reporting) ASBJ Guidance No. 14, have been applied. The quarterly
consolidated financial statements have been prepared in accordance with the rules for the preparation of quarterly consolidated
financial statements.

4. Assumptions related to going concern
No applicable items

5. Segment Information
Segment information by business type
Second quarter of the fiscal year ending February 28, 2010 (March 1, 2009 to August 31, 2009)

Sales(1) Sales to externalcustomers(2) Inter-segmental sales
or transfers
Total
Operating income

Trading ofused cars

Financialbusiness

Otherbusinesses

69,153

3,268

3,382

917
70,071
6,160

728
3,996
371

1,325
4,708
1,051

Millions of yen

Elimination/
All company

Consolidated

75,804--75,804

2,970
78,775
7,583(2,970)(2,970)(2,323)-75,804
5,259

Total

Notes:
1. Method of business classification: Businesses have been classified according to the classification used in calculating sales.
2. Names of principal products or services attributable to each business classification:
Business Classification
Used car sales
Financing business

Principal Product Name or Service Name
Purchase and sales of used automobiles such as through directly operated storesConsolidated subsidiary G-One Financial Services Co., Ltd. provides auto loans and other financing
services.

Other businesses

Provision of services for franchises involved in the management of Gulliver, for the sale and purchaseof cars, and stores established with graphic sales systems.

Segment information by geographical location
For the second quarter of the current consolidated fiscal year over 90% of sales were from Japan and therefore segment information
by geographical location has been omitted.

Overseas sales
For the second quarter of the current consolidated fiscal year overseas sales were less than 10% of consolidated sales and havetherefore been omitted.

－ 11 －

Reference:
Income statement for the Second quarter of the consolidated fiscal year ended February 28, 2009

Consolidated Statements of Income
Millions of yen
March 1, 2008 to
August 31, 2008
Sales ....................................................................

91,011%
100.0

Cost of sales ........................................................

70,15777.1

Gross profit....................................................
Sales general and administrative expenses...........

20,85322.9

18,045

19.8

Operating income ...............................................
Non-operating income

2,807

3.1

Interest received ...............................................

9

Dividends received ..................... .....................

0

Commissions received......................................

2Compensation received ....................................

--

Gain from foreign exchange..............................

74

Other.................................................................

113

Total non-operating income

200

Non-operating expenses
Interest paid .....................................................

82

Transfer to allowance for doubtful accounts ....

--

Other ...............................................................

25

0.2

Total non-operating expenses.............................

107

0.1

Ordinary income ..................................................
Extraordinary profit

2,901

3.2

Gain on cancellation of insurance contracts ....
Reversal of allowance for doubtfulreceivables......................................................

--

Gain from sale of fixed assets ..........................

--

Gains from cancellation in the previous term....

----Gain on insurance claims .................................

13

Gain on sale of investment securities ...............

--

Other ................................................................

--

Total extraordinary profit..................................

13

0.0

Extraordinary losses
Loss on disposal of fixed assets2 .....................

92

Provision for directors' retirement allowance
reserve for previous years .............................

376

Provision for merchandize warranties
reserve for previous years .............................

185

Other................................................................

23

Total extraordinary losses................................

677

0.7

Income before taxes, etc. ................................

2,237

2.5

Income tax, inhabitants tax and enterprise
tax .................................................................

1,416

Corporate tax adjustment.................................

(203)

Total tax and adjustments................................

1,212

1.3

Minority interests..............................................

(17)－ 12 －
1,042

(0.0)

Net income..........................................................

1.2

Consolidated Statements of Cash flows

Millions of yen
March 1, 2008 to
August 31, 2008

I. Cash flow from operating activities
Income before taxes, etc. ..................................................................
Depreciation ......................................................................................
Increase in reserve for bonuses ........................................................
Increase in allowance for doubtful accounts......................................
Increase (decrease) in insurance reserves .......................................
Increase in reserve for product warranties ........................................
Increase in reserve for directors’ retirement benefit ..........................
Interest and dividends received.........................................................
Interest paid.......................................................................................
Gain on sale of fixed assets ..............................................................
Loss on disposal of fixed assets........................................................
Amortization of goodwill.....................................................................
Payment of directors’ bonuses ..........................................................
Decrease (increase) in accounts receivable......................................
Decrease (increase) in inventory.......................................................
Increase (decrease) in accounts payable..........................................
Decrease (increase) in operating loans.............................................
Increase (decrease) in accrued consumption tax..............................
Other..................................................................................................
Subtotal .............................................................................................
Interest and dividends received.........................................................
Interest paid.......................................................................................
Corporate taxes paid .........................................................................
Cash flow from operating activities...............................................

2,237
1,113
23
59
-243
399
(10)
82
-71
--(3,971)(3,340)
1,334
(177)
4
(872)
(2,803)10(82)(1,246)(4,121)

II. Cash flow from investing activities
Increase in time deposits...................................................................
Payments for purchase of tangible fixed assets ................................
Proceeds from sale of tangible fixed assets ......................................
Payments for acquisition of intangible fixed assets ...........................
Payments for acquisition of shares of affiliates .................................
Amounts lent......................................................................................
Proceeds from repayment of loans....................................................
Increase (decrease) in deposits and guarantee payments ...............
Cash flow from investing activities ...............................................

(300)(1,416)
192
(165)
(50)
(1)
1
95
(1,644)

III. Cash flow from financing activities
Net increase (decrease) in short term borrowings.............................
Repayment of long-term loans ..........................................................
Proceeds from long-term loans .........................................................
Payments for acquisition of treasury stock ........................................
Proceeds from disposal of treasury stock..........................................
Payment of dividends ........................................................................
Dividends paid to minority shareholders............................................
Repayments to minority shareholders ...............................................
Cash flow from financing activities ...............................................
IV. Cash and cash equivalents currency translationdifferences ..................................................................................
V. (Decrease) increase in cash and cash equivalents ....................
VI. Cash and cash equivalents at beginning of period...................
VII. Increase in cash and cash equivalents from change inscope of consolidation...............................................................
VIII. Cash and cash equivalents at end of period............................

－ 13 －

5,761
(125)
100
(0)
-(834)(5)-4,895
18
(551)
3,639
-2,788

Interim period of the fiscal year ended February 28, 2009 (March 1, 2008 to August 31, 2008)
Trading of

Financing

Elimination/
Other businessused cars

Millions of yen

Totalbusiness

Consolidated
All company

Sales(2) Sales to external
84,695

2,223

4,092

91,011--91,011

751

705

1,525

2,981

(2,981)--

Total

85,447

2,928

5,617

93,992(2,981)91,011

Operating expenses

81,294

2,832

4,215

88,342(139)

88,203Operating income

4,152

96

1,401

5,650

(2,842)

2,807

customers(2) Inter-segmental sales
or transfers

Notes:
1. Method of business classification: Businesses have been classified according to the classification used in calculating sales.
2. Names of principal products or services attributable to each business classification:
Business Classification
Used car sales
Financing business

Principal Product Name or Service Name
Purchase and sales of used automobiles such as through directly operated storesConsolidated subsidiary G-One Financial Services Co., Ltd. provides auto loans and other financing
services.

Other businesses

Provision of services for franchises involved in the management of Gulliver, for the sale and purchaseof cars, and stores established with graphic sales systems.

Segment information by geographical location
For the second quarter consolidated total period of previous year over 90% of sales were from Japan and therefore segment
information by geographical location has been omitted.

Overseas sales
For the second quarter consolidated total period of previous year overseas sales were less than 10% of consolidated sales andhave therefore been omitted.

－ 14 －