FOR IMMEDIATE RELEASE
January 30, 2009

Consolidated Financial Results for the Third Quarter Ended December 31, 2008
(April 1, 2008 to December 31, 2008)

FDK CORPORATION(URL: http://www.fdk.com)
Listing Code No.6955 (Listing Stock Exchange: The First Section of Tokyo Stock Exchange)
Address : Hamagomu Bldg. 5-36-11 Shimbashi, Minato-ku, Tokyo 105-8677
Contact : Corporate Communication Office, General Affairs and Management Planning Division
E-mail: niida@fdk.co.jp
The Consolidated Financial Results is unaudited / U.S. GAPP is not applied

1.Consolidated Operating Results for the Nine-Months Period Ended December 31, 2008
a. Consolidated Results of Operations

Net Sales

Yen(millions)

U.S.Dollars(millions)

Nine months

Nine months

FY2007,

Nine months

ended Dec. 31,

ended Dec. 31,

ended Mar. 31,

ended Dec. 31,

2008
63,7002007
88,793

2008
113,6682008$707.78

Operating Income
Income(Loss) Before Income Taxes

Yen(millions)

(661)

1,989

1,909

($7.34)(4,150)21(2,573)($46.11)(4,351)(452)(3,105)($48.34)(34.02) yen(3.53) yen(24.28)(37.8 cent)--and Minority Interests
Net Income (Loss)
Amounts Per Share of Common Stock:
Basic Earnings (Loss)
Diluted Earnings-

b. Net Sales byy Business SegmentgElectronic Devices

Yen

Yen

(millions)(millions)

U.S.Dollars(millions)

Nine months

FY2007,

Nine months

ended Dec. 31,

ended Mar. 31,

ended Dec. 31,

2008
43,696

2008
86,3252008$485.51

Batteries

20,00427,342$222.27

Total

63,700113,668$707.78c. Consolidated Financial Position
Yen

Yen

(millions)(millions)

As of Dec. 31,

As of Dec. 31,

As of Mar. 31,

2008

2007

2008

Total Assets

57,37976,55465,272

Total Net Assets(2,533)

6,458

2,571

Shareholders' Equity

(586)

6,425

3,771

Shareholders' Equity Ratio(5.4%)

8.4%

3.9%(110.05) yen(35.98) yen(66.22) yen

Shareholders' Equity
Per Shared. Consolidated Statements of Cash Flows
Yen

Yen

(millions)(millions)

Nine months

Nine months

FY2007,

ended Dec. 31,

ended Dec. 31,

ended Mar. 31,

2008

2007

2008

Cash Flows from

2,807

180

990

(1,497)(2,260)(2,708)

401

1,904

2,083

8,068

7,296

7,217

Operating Activities
Cash Flows from
Investing Activities
Cash Flows from
Financing Activities
Cash and Cash Equivalents
at End of Period
Consolidated Subsidiaries

17 companies

Unconsolidated Subsidiaries (equity method applied)- companies

Affiliates (equity method applied only)

1 companies(Notes for the Consolidated Operating Results (from 1.a to 1.d))
1. All amounts less than one million yen have been disregarded.
2. U.S. dollar amounts are translated from yen, for convenience only, at the rate of 90 yen=$1
3.The percentage in this statement presents rate of change compared with the same period last year.

2.Consolidated Financial Forecast for the year ending March 31, 2009
(Million of yen, except per share data)
FY2008Change from FY2007(%)

Net Sales¥86,500(23.9)

Operating Income¥100(94.8)Net Income(¥950)-(7.43) yen-

Net Income per Share

Note for the use of the above forecasted business results.
The forcast described above is based upon information available as of Octber 30, 2008.
We will announce the revised forcast shortly.

3. Others(1)Changes in significant subsidiaries during the period: Yes
1 company included in the consolidated subsidiary: FDK MODULE SYSTEM TECHNOLOGY CORPORATION(2)Adoption of simplified accounting methods for quarterly reporting: Yes(3)Changes in accounting policies, procedures, and presentation, etc.
1)Changes resulting from revisions in accounting principles,etc.: Yes
2)Other changes: No(4)Number of shares outstanding (common stock)
1)Number of shares outstanding at the end of periods.
December 31, 2008 : 128,075,884 shares

March 31, 2008: 128,075,884 shares

2)Number of treasury shares at the end of each period
December 31, 2008 : 200,249 shares

March 31, 2008: 156,824 shares3)Weighted average number of shares outstanding in each period.
December 31, 2008 : 127,899,401 shares

December 31, 2007: 127,928,541 shares

Consolidated Balance Sheets
Millions of yen
Q3/FY2008
Dec 31, 2008
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in process
Raw materials and supplies
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Tools, furniture and fixtures, net
Land
Lease assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Accounts payable-other
Lease obligations
Income taxes payable
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Provision for retirement benefits
Provision for directors' retirement benefits
Lease obligations
Deferred tax liabilities
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Valuation and translation adjustments
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Total valuation and translation adjustments
Minority interests
Total net assets

FY2007
Mar 31, 2008

8,090
18,900
2,418
1,349
1,998
102
3,046
(22)
35,882

7,227
25,717
2,698
1,359
2,073
142
2,923
(26)
42,116

6,642
5,350
1,242
4,131
1,063
406
18,837
531

7,448
6,449
1,786
4,265
241
20,190
569

248
5
51
1,880
(58)
2,127
21,496

245
6
60
2,144
(60)
2,396
23,15657,37965,272

16,73730,759
434
1,502
344
103
2,452
52,334

19,69230,809
564
1,713
221
3,264
56,265

319
6,274
863
4
116
7,578
59,912

456
5,821
98
4
54
6,435
62,701

22,756
17,167(40,472)
(37)
(586)

22,756
17,167(36,121)
(31)
3,771

6
(2,493)(2,486)539(2,533)6(0)(1,248)(1,242)42
2,571

Consolidated Statements of Operations
Millions of yen
Q3/FY2008
Apr'08-Dec'08
Net sales

63,700

Cost of sales

56,726Gross profit

6,974

Selling, general and administrative expenses

7,636

Operating income (loss)(661)

Non-operating income
Interest income

48

Rent income

24

Insurance income

59

Other

152

Total non-operating income

285

Non-operating expenses
Interest expenses
Foreign exchange losses

403
1,297

Loss on retirement of noncurrent assets

55

Amortization of net retirement benefit obligation at transition

958

Other

176

Total non-operating expenses
Ordinary income (loss)

2,891(3,268)Extraordinary income
Gain on sales of noncurrent assets

165

Total extraordinary income

165

Extraordinary loss
Impairment loss

968

Loss on valuation of inventories

79

Total extraordinary loss
Income (loss) before income taxes

1,048(4,150)

Income taxes-current

177

Income taxes-deferred

25

Total income taxes

202

Minority interests in income
Net income (loss)(2)(4,351)

Consolidated Statements of Cash Flows
Millions of yen
Q3/FY2008
Apr'08-Dec'08
Net cash provided by (used in) operating activities
Income (loss) before income taxes(4,150)Depreciation and amortization

2,593

Impairment loss

968

Increase (decrease) in provision for retirement benefits

388

Increase (decrease) in allowance for doubtful accounts(4)Interest and dividends income(54)Interest expenses

403

Foreign exchange losses (gains)

65

Equity in (earnings) losses of affiliates

39

Loss (gain) on sales of property, plant and equipment
Loss on retirement of noncurrent assets
Decrease (increase) in notes and accounts receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade
Increase (decrease) in accrued expenses
Other, net
SubtotalInterest and dividends income received

(181)
55
5,702
(47)
(1,450)
(877)
16
3,466
54

Interest expenses paid

(511)

Income taxes paid

(262)

Other proceeds

59

Net cash provided by (used in) operating activities

2,807

Net cash provided by (used in) investment activities
Payments into time deposits
Purchase of property, plant and equipment(11)(1,851)

Proceeds from sales of property, plant and equipment

381

Purchase of intangible assets(14)

Purchase of investment securities(3)

Other, net

2

Net cash provided by (used in) investment activities(1,497)

Net cash provided by (used in) financing activities
Net increase (decrease) in short-term loans payable

812

Proceeds from long-term loans payable

125

Repayment of long-term loans payable(266)

Purchase of treasury stock(6)

Cash dividends paid to minority shareholders(3)

Repayments of finance lease obligations(260)

Net cash provided by (used in) financing activities

401

Effect of exchange rate change on cash and cash equivalents(859)

Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year

851
7,217

Cash and cash equivalents at end of period

8,068

Consolidated business segment information
Millions of yen
Q3/FY2008 Apr'08-Dec'08
Electronicmaterials

Batteries

Total

Elimination

Consolidated

Net sales
Unaffiliated customers

43,69620,00463,700-63,700

-

-

-

-

-

Total

43,69620,00463,700-63,700Operating income (loss)(1,800)

1,138

(661)

-

(661)

Intersegment

Consolidated geographic segment information
Millions of yen
Q3/FY2008 Apr'08-Dec'08
Japan

Asia

North
America

EuropeTotal

Elimination

Consolidated

Net sales
Unaffiliated customers

34,542

26,455

1,090

1,612

63,700Intersegment

8,649

14,671-

41

23,361(23,361)-

Total

43,191

41,126

1,090

1,653

87,062(23,361)

63,700Operating income (loss)(1,176)

739

1

(19)

(454)

(206)

(661)

Net overseas sales by customer's geographic location
Millions of yen
Q3/FY2008 Apr'08-Dec'08
Asia

Total sales to foreign customers

27,579North
America

3,041

Other
Countries

2,798

Consolidated net sales
Percentage of sales to foreign
customers to consolidated net sales

Total

33,41963,700

43.3%

4.8%

4.4%

52.5%

63,700｢Reference Information ｣Consolidated Statements of Operations
Yen (millions)
Q3/FY2007
Apr'07-Dec'07

Net sales

88,793Operating costs and expenses
Cost of sales

78,477

Selling, general and administrative expenses

8,327
86,804

Operating income (loss)

1,989

Other income (expenses)
Interest and dividend income

62

Equity in earnings (losses) of affiliates, net

14Interest charges
Other, net(459)(1,585)(1,968)

Income (loss) before income taxes and minority interests

21

Income taxes
Current

460

Deferred(7)453

Income (loss) before minority interests(432)

Minority interests in income of consolidates subsidiaries(20)

Net income (loss)(452)

Consolidated Statements of Cash Flows
Yen (millions)
Q3/FY2007
Apr'07-Dec'07

Cash flows from operating activities
Income (loss) before income taxes and minority interests

21

Adjustments to reconcile income before income taxes andminority interests to net cash provided by operating activities
Depreciation and amortization
Equity in earnings of affiliates, net(Increase) decrease in receivable-trade

2,656
(14)
(1,986)(Increase) decrease in inventories(783)

Increase (decrease) in payable-trade85

Other, net

1,087

Cash generated from operations

1,066

Interest paid

(497)

Interest and dividends received
Income taxes paid
Net cash provided by operating activities

85
(474)
180

Cash flows from investing activities
Purchase of tangible fixed assets(2,256)

Proceeds from sales of tangible fixed assets

10

Purchase of intangible assets(9)

Other, net(5)Net cash used in investing activities(2,260)Cash flows from financing activities
Repayment of long-term debt

(983)

Increase (decrease) in short-term borrowings

2,889

Other, net
Net cash provided by financing activities

(2)
1,904

Effect of exchange rate changes on cash and cash equivalents(57)

Net increase (decrease) in cash and cash equivalents(233)

Cash and cash equivalents at beginning of year

7,529

Cash and cash equivalents at end of year

7,296

Business Results(1) Analysis of Consolidated Business Results
1. Overview
In FDK Group’s operating environment during the nine month period that ended December 31,
2008, difficulties increased due to the slowdown of the world economy. From the middle of that
period, decline in demand affected many products, including LCD televisions, mobile phones andautomobiles.
Under these conditions, FDK Group proceeded to concentrate on its core competencies in the
power and high frequency areas in accordance with the Group’s New Policies and Strategies for
Growth, which was announced in January, 2008. These two product areas are the ones we aremost competitive in and the ones that are backed by our original material technologies.
FDK Group’s net sales for the nine months ending December 31, 2008 were 63,700 million yen,a substantial decrease of 25,092 million yen from the same period last year, as sales of LCD
related products, which used to provide the majority of FDK’s net sales, were less than half thoseof the same period last year. This was due to the aftermath of the slowdown in consumption
stemming from the downturn in the world economy. As a result, operating loss was 661 million
yen, and as foreign exchange loss was increased by the rise in the yen’s value from October, loss
before income taxes was 4,150 million yen. Net loss was 4,351 million yen due to posting 968
million yen of impairment loss on fixed assets as an extraordinary loss.
Divisional sales overview is as follows.

2. Electronic Device Business
Sales of multilayer power inductors, coil devices, switching power supplies, and optical devices,which are our main product focus, remained the same as the same period last year. However,sales of signal processing modules for LCDs decreased from the same period last year due to thetermination of contract manufacturing in Taiwan and the market slowdown. Sales of backlightinverter modules for LCDs decreased significantly from the same period last year due to a decline
in prices for products in the LCD television market and the effect of pullbacks in consumer
spending.
As a result, sales of the electronic device business were 43,696 million yen, a 35.9 % decrease
from the same period last year.

3. Battery Business
Sales of alkaline batteries, which are core products in the battery business, remained the sameas the same period last year due to some promotional activities for the Fujitsu Alkaline Batteries“G.D.R. series” in Japan and extended sales activities in the global market. Sales of lithium
batteries decreased from the same period last year due to the affects of the decrease in demandfor home construction in North America.
As a result, sales of the battery business were 20,004 million yen, a 3.2% decrease from thesame period last year.

(2) Analysis of Financial Condition
Cash Flow Condition
Cash flow from operating activities increased 287 million yen from the beginning of this fiscal
year due to an increase in cash from the posting of depreciation and amortization and thedecrease in notes and accounts receivable-trade.

There were decreases in cash and cash

equivalents caused by the posting of loss before income and the decrease in notes and accounts
payable trade.
Cash flow from investment activities decreased 1,497 million yen from the beginning of the
fiscal year due to the purchase of property, plants, equipment, etc.
Cash flow from financing activities increased 401 million yen from the beginning of the fiscal
year due to an increase in loans.
As a result, the balance of cash and cash equivalent at the end of December 31, 2008 was 8,068
million yen, an increase of 851 million yen from the beginning of the fiscal year.

(3)Forecast for the Fiscal Year Ending March 31, 2009
FDK group is now examining new measures to deal with the current situation and is reviewing
the drastically changed market in the third quarter and more severe market conditions expectedin the fourth quarter. We will announce the financial forecast for the fiscal year ending March 31,
2009 after we complete our review of the effects of the measures we are taking on profits, as wellas considering the impact of exchange rates and other pertinent factors.