FOR IMMEDIATE RELEASE
October 28, 2009

Consolidated Financial Results for the First Half of FY2009(April 1, 2009 to September 30, 2009)

FDK CORPORATION(URL: http://www.fdk.com)
Listing Code No.6955 (Listing Stock Exchange: The Second 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 Six-Months Ended September 30, 2009a. Consolidated Results of Operations

Net Sales

Yen

Yen

(millions)(millions)

U.S.Dollars(millions)Sx months

Sx months

FY2008,Sx months

ended Sept.30

ended Sept.30

ended Mar. 31,

ended Sept.30

2009
31,0602008
46,3802009
78,475

2009$344.31

Operating Income

575

65

(1,350)

$6.37

7

(546)

(11,817)

$0.08

(190)

(777)

(12,076)($2.11)(0.94) yen(6.07) yen(94.43)(1.0 cent)--

Income(Loss) Before Income Taxes
and Minority Interests
Net Income (Loss)
Amounts Per Share of Common Stock:
Basic Earnings (Loss)
Diluted Earnings-y Business Segmentgb. Net Sales by
Yen

Yen

Yen

(millions)(millions)(millions)(millions)Sx months

Sx months

FY2008,Sx months

ended Sept.30

ended Sept.30

ended Mar. 31,

ended Sept.30

2009
20,0192008
33,435

2009
52,2292009$221.92

Batteries

11,04012,944

26,245$122.38

Total

31,06046,38078,475$344.31

Electronic Devices

c. Consolidated Financial Position
Yen(millions)
As of Sept. 30,

As of Mar. 31,

2009

2009

Total Assets

41,091

46,203

Total Net Assets

1,671(8,534)

Shareholders' Equity

2,496(8,312)

Shareholders' Equity Ratio
Shareholders' Equity
Per Share

2.6 %(19.7) %(45.62) yen(157.06) yen

U.S.Dollars

d. Consolidated Statements of Cash FlowsYen(millions)
Six months

Six months

ended Sept. 30,

ended Sept. 30,

2009

2008

Cash Flows from

(1,256)

681

(196)

(936)

(318)

(686)

5,453

6,471

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

14 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 90.21 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 fiscal year 2009 ending March 31, 2010
(Million of yen, except per share data)
FY2009Change from FY2008(%)

Net Sales¥70,000(10.8)

Operating Income¥2,500-Net Income¥1,000-Net Income per Share

4.93 yen-

Note for the use of the above forecasted business results.
The forcast described above is based upon information available as of Octber 28, 2009.
3. Others(1)Changes in significant subsidiaries during the period: No(Note) 3 companies excluded from the consolidated subsidiaries: They are FDK MECHATRONICS CO.,LTD.,
FDK(THAILAND)CO.,LTD. and FDK TATUNG(THAILAND)CO., LTD.
(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.: No.
2)Other changes: Yes(4)Number of shares outstanding (common stock)
1)Number of shares outstanding at the end of periods.
September 30, 2009 : 217,505,884 shares

March 31, 2009: 128,075,884 shares

2)Number of treasury shares at the end of each period
September 30, 2009 : 214,255 shares

March 31, 2009: 205,600 shares3)Weighted average number of shares outstanding in each period.
Six months ended Sept. 30, 2009 : 202,635,356 shares

Six month ended Sept. 30, 2008: 127,928,541 shares

Consolidated Balance Sheets
Millions of yen
1H/FY2009
Sep 30, 2009
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
Lease obligations
Accounts payable-other
Income taxes payable
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Lease obligations
Deferred tax liabilities
Provision for retirement benefits
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
Foreign currency translation adjustment
Total valuation and translation adjustments
Minority interests
Total net assets
Total liabilities and net assets

FY2008
Mar 31, 2009

5,463
14,795
1,626
762
1,618
40
1,901
(28)
26,1797,517
15,708
1,545
800
1,547
37
2,813
(28)
29,943

4,921
4,271
660
2,166
505
38
12,563
571

5,088
4,733
829
2,148
623
146
13,570
548

135
9
26
1,605
(0)
1,777
14,912

249
4
25
1,892
(30)
2,140
16,25941,091

46,203

11,394
17,205
432
285
1,492
147
1,628
32,586

11,89628,135
449
330
2,961
101
2,237
46,113

66
653
5
6,051
56
6,834
39,420

204
774
4
7,513
127
8,624
54,73828,301
22,622(48,387)
(39)
2,496

22,756
17,167(48,197)(38)(8,312)

7(1,415)(1,408)
583
1,671

6
(777)
(770)
548
(8,534)41,091

46,203

Consolidated Statements of Operations
Millions of yen
1H/FY2008

1H/FY2009

Apr'08-Sep'08

Apr'09-Sep'09

Net sales

46,38031,060

Cost of sales

41,214

26,917Gross profit

5,165

4,143

Selling, general and administrative expenses

5,100

3,568

65

575

Interest income

32

11

Foreign exchange gains

119-

Rent income

17

13

-

34

Other

183

75

Total non-operating income

352

134

271

124

-

210

Loss on retirement of noncurrent assets

32

55

Amortization of net retirement benefit obligation at transition

639

-

Other

108

231

1,050

621

(632)

88

-

39

Gain on sales of noncurrent assets

165-

Total extraordinary income

165

39

-

111

79

-

-

8

Operating income (loss)
Non-operating income

Gain on sales of noncurrent assets

Non-operating expenses
Interest expenses
Foreign exchange losses

Total non-operating expenses
Ordinary income (loss)
Extraordinary income
Gain on sales of subsidiaries and affiliates' stocks

Extraordinary loss
Business structure improvement expenses
Loss on valuation of inventories
Other
Total extraordinary loss

79

119

Income (loss) before income taxes

(546)

7

Income taxes-current

173

170

Income taxes-deferred

44

(1)

Total income taxes

218

168

Minority interests in income

12

29

(777)

(190)

Net income (loss)

Consolidated Statements of Cash Flows
Millions of yen
1H/FY2008

1H/FY2009

Apr'08-Sep'08

Apr'09-Sep'09

Net cash provided by (used in) operating activities
Income (loss) before income taxes

(546)

7

Depreciation and amortization

1,722

1,057

274

(1,461)

Increase (decrease) in provision for retirement benefits
Increase (decrease) in allowance for doubtful accounts

(3)

(29)

Interest and dividends income

(38)

(12)

Interest expenses

271

124

Foreign exchange losses (gains)

(30)

44

-

53

Stock issuance cost
Equity in (earnings) losses of affiliates
Loss (gain) on sales of property, plant and equipment
Loss on retirement of noncurrent assets

18

86

(169)

(34)

32

55

Loss (gain) on sales of stocks of subsidiaries and affiliates

-

(39)

Decrease (increase) in notes and accounts receivable-trade

1,286

337

244

(189)

Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade(1,971)

14

(89)

(211)

Other, net

170

(779)

Subtotal

1,170

(976)

38

12

Interest expenses paid

(399)

(163)

Income taxes paid

(187)

(128)

Other proceeds

59-

Net cash provided by (used in) operating activities

681(1,256)(7)(7)

Increase (decrease) in accrued expenses

Interest and dividends income received

Net cash provided by (used in) investment activities
Payments into time deposits
Proceeds from withdrawal of time deposits-

10

Purchase of property, plant and equipment(1,253)

(393)

335

57

Purchase of intangible assets

(6)

(4)

Purchase of investment securities

(2)

(2)

Proceeds from sales of stocks of subsidiaries and affiliates-

150

Other, net

(1)

(6)

(936)

(196)

Net increase (decrease) in short-term loans payable(236)(10,866)

Repayment of long-term loans payable

(268)

(229)

Proceeds from issuance of common stock-

10,999Payments for issuance of common stock

-

(53)

Purchase of treasury stock

(4)

(1)

Proceeds from sales of property, plant and equipment

Net cash provided by (used in) investment activities
Net cash provided by (used in) financing activities

Cash dividends paid to minority shareholders(3)-

Repayments of finance lease obligations

(172)

(166)

Net cash provided by (used in) financing activities

(686)

(318)

196

(279)

(745)
7,217
6,471

(2,050)
7,504
5,453

Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of period

Consolidated business segment information
Millions of yen
1H/FY2008 Apr'08-Sep'08
Electronicmaterials

Batteries

Total

Elimination

Consolidated46,380Net sales
Unaffiliated customers

33,435

12,944

46,380

-

-

-

-

-

-

33,435

12,944

46,380-46,380

(627)

692

65

-

65

Elimination

Consolidated

31,060Intersegment
Total
Operating income (loss)

1H/FY2009 Apr'09-Sep'09
Electronicmaterials

Batteries

Total

Net sales
Unaffiliated customers

20,01911,04031,060

-

-

-

-

-

-

20,01911,04031,060-31,060

(21)

596

575

-

575

Intersegment
Total
Operating income (loss)

Consolidated geographic segment information
Millions of yen
1H/FY2008 Apr'08-Sep'08
Japan

North
America

Asia

EuropeTotal

Elimination

Consolidated-46,380Net sales
Unaffiliated customers

23,566

20,855763

1,194

46,380Intersegment

6,316

10,818-34

17,169(17,169)-

Total

29,882

31,673763

1,229

63,549(17,169)

46,380

(455)

741

3

(22)

266

(201)

65

Operating income (loss)

1H/FY2009 Apr'09-Sep'09
Japan

North
America

Asia

Total

EuropeElimination

Consolidated

31,060Net sales
Unaffiliated customers

16,344

13,627317

770

31,060-Intersegment

2,030

3,580

25

19

5,656

(5,656)-

Total

18,375

17,208343

789

36,716(5,656)

31,060

159

543

(11)

0

691

(116)

575

Operating income (loss)

Net overseas sales by customer's geographic location
Millions of yen
1H/FY2008 Apr'08-Sep'08
Asia

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

22,263

North
America

2,293

Other
Countries

2,233

Total

26,78946,380

48.0%

5.0%

4.8%

57.8%

1H/FY2009 Apr'09-Sep'09
Asia

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

12,401

North
America

2,684

Other
Countries

2,261

Total

17,34831,060

39.9%

8.7%

7.3%

55.9%

Business Results(1) Analysis of Consolidated Business Results
1. Overview
The business environment of the FDK Group during six month ended September 30, 2009 has
been still severe although the situation has been partially improved.
Along with the med-term business plan of “FDK’s New Business Policy and Strategy for
Growth” released in January of last year, the FDK Group had been successfully decreasing breakeven point by implementing drastic reforms such as conducting site review on the production andsales locations, streamlining employees by soliciting early-voluntary retirement, thorough costcut, while it has been focusing on the product line and the management resource on power andhigh frequency areas. In addition, the FDK Group allocated new shares to the third party,
FUJITSU Ltd. as capital reinforcement on May 1, 2009.
As for FDK’s business results, net sales were 31,060 million yen, a substantial decrease of
15,319 million yen from the same period last year, since the markets for its products shrunk fromthe hard hit by the recession and transfer of its motor business affected them. Nevertheless,operating income was much increased to 575 million yen from the same period last year of 65
million yen. However, foreign exchange loss was accrued and posted by the rise in the yen’s value
from this September, and the cost for the business structural reforms essential to future growth
was posted as an extraordinary loss, income before income taxes was 7 million yen and net loss
was 190 million yen.
The divisional sales overview is as follows.

2. Electronic Device Business
Sales of DC-DC converters were increased from the same period last year due to the increasedin sales of “Senpai series” for POL (Point-of-Load) use in the severe market environment. Sales of
piezoceramic components stayed as the same as the same period last year as the sales of digital
single-lens reflex camera continued to be steadily. Sales of coil devices decreased from the same
period last year; due to the sales slowdowns of transformers for liquid crystal display thoughsales of devices for automobiles were increased. Sales of multilayer power inductors weredecreased from the same period last year due to the effect of the market downturn of mobile
phone in Japan. Sales of optical devices were decreased from the same period last year due to thedecrease in public projects of optical submarine cable settlements and in product price. Sales ofsignal processing modules for liquid crystal displays were greatly decreased from the same period
last year due to the slow market recovery though the sales of LCD televisions were increased in
China market.
As a result, sales of the electronic device business were 20,019 million yen, a decrease of 40.1%
from the same period last year due to the transfer of its stepping motor business, etc.

3. Battery BusinessIn the battery business, sales of lithium batteries were increased from the same period lastyear by acquiring new orders from European companies for smoke detectors. Sales of alkaline
batteries which are main products on FDK’s battery business fell below the same period last year
due to the decrease of the market in overseas. As a result, sales for the battery business were
11,040 million yen, a 14.7% decrease from the previous fiscal year.

(2) Analysis of Financial Condition
1. Status of Assets, Liabilities and Net Assets
Total assets at the end of first-half of FY2009 decreased 5,111 million yen from the end of
previous fiscal year to 41,091 million yen. Current assets were down 3,763 million yen to 26,179
million yen. Noncurrent assets were down 1,347 million yen from the end of the previous fiscal
year to 14,912 million yen. The principal cause of decreased current assets was a decrease of
2,053 million yen in cash and cash equivalents, decrease of 913 million yen in notes and accounts
receivable and decrease of 912 million yen in other current assets The principal cause of
decreased noncurrent assets was a decrease of 107 million yen in total property, plants andequipment.
Total liabilities at the end of first-half of FY2009 decreased 15.317 million yen from the end of
previous fiscal year to 39,420 million yen. Current liabilities decreased 13,526 million yen fromthe end of previous fiscal year to 32,586 million yen. Noncurrent liabilities decreased 1,790
million yen from the end of the previous fiscal year to 6,834 million yen. The principal cause of
decreased current liabilities was a decrease of 10,930 million yen in short-term loans payable andof 1,469 million yen in other accounts payable. he principal cause for decreased noncurrent
liabilities was a decrease of 1,461 million yen in retirement benefits.
Interest-bearing debt outstanding at the end of first-half of FY2009 decreased 11,250 million
yen from the end of the previous fiscal year to 18,644 million yen.
Total net assets at the end of first-half of FY2009 increased 10,206 million yen from the end of
the previous fiscal year to 1,671 million yen. As a result, FDK eliminated assets deficiency.
The major factors for the increase in total net asset were a 5,544 million yen increase in capitalstock by allocating new shares to a third party and a 5,455 million yen increase in retained
earnings though net loss of 190 million yen was posted and 638 million yen were decreased inforeign currency adjusted.

2. Cash Flow Condition
Net cash used in operating activities decreased 1,256 million yen from the beginning of thisfiscal year due to a decrease in provision for retirement benefits, though there were increases incash and cash equivalents caused by the post of depreciation and amortization and the decreasein notes and accounts receivable-trade.
Net cash used in investing activities decreased 196 million yen from the beginning of this fiscal
year due to the purchase of property, plants and equipment.
Net cash used in financing activities decreased 318 million yen from the beginning of this fiscal
year due to a decrease in short-term loans payable, though there was an increase in capital due tothe issuance of new shares.
As a result, the balance of cash and cash equivalents at the end of the September 30, 2009 was
5,453 million yen, a decrease of 2,050 million yen from the beginning of the fiscal year.

(3) Forecast for the Fiscal Year Ending March 31, 2009
Please see “Announcement of the Revised Financial Forecast and Implementation of Business
Structural Reform” released today regarding the revised financial forecast for the fiscal year 2009
ending March 31, 2010