Summary(Translation)
Fields Corporation
Summary of Financial Information and Business Results (Consolidated)
for the Year Ended March 31, 2014 (Japan GAAP)

April 30, 2014
Listed on: TSE [JASDAQ]
Company Name:
Stock code:
Representative Director:
Inquiries:
Tel:Fields Corporation(URL: http://www.fields.biz/)
2767
Takashi Oya
President and COO
Hideaki Hatanaka
Executive Officer and General Manager, Corporate Communications Office+81-3-5784-2111

Planned Date for Ordinary General Meeting of Shareholders:Planned Date for Start of Dividend Payment:
Planned Date for Submittal of the Financial Statements Report:
Full year earnings supplementary explanatory materials:
Full year earnings presentation:

June 18, 2014
June 19, 2014
June 18, 2014
Yes
Yes (For institutional investors and security analysts)(Rounded down to the nearest million)

1. Consolidated business results for the year ended March 31, 2014 (April 1, 2013 to March 31, 2014)(Percentage figures denote year-over-year changes)(1) Operating results (cumulative total)
Net salesYear ended March 31, 2014

Million yen
114,904%
6.3

Year ended March 31, 2013
108,14117.3(Note) Comprehensive income
Year ended March 31, 2014: ¥5,583 million (7.3%)

Year ended March 31, 2014

Operating income

Ordinary income

Million yen
9,791

%
(5.1)

Million yen
9,765

%
(4.9)

Million yen
5,370

%
13.7

10,31421.0

10,268

18.6

4,720

(21.2)

Year ended March 31, 2013: ¥5,204 million (-15.5%)

Net income
Diluted net income
per shareper share
Yen
Yen
161.83―

Year ended March 31, 2013142.27(Reference) Equity in earnings of affiliates
Year ended March 31, 2014: ¥384 million

Net income

Return on
equity―%9.5

Ordinary income
to total assets
%
9.2

8.9

10.3

Operatingmargin%8.5
9.5

Year ended March 31, 2013: ¥(103) million(Note)The company conducted a 100-for-1 stock split on October 1, 2012. In accordance with this, net income per share has been
calculated as if the stock split was conducted at the beginning of the previous consolidated fiscal year.
(2) Financial position
Total assets
Year ended March 31, 2014

Million yen
104,869

Year ended March 31, 2013
106,628(Reference) Shareholders’ equity
Year ended March 31, 2014: ¥58,279 million

Million yen
58,753

Shareholders’ equity
ratio
%
55.6

55,09851.2

Net assets

Net assets per share
Yen
1,756.27
1,644.15

Year ended March 31, 2013: ¥54,559 million(Note)The company conducted a 100-for-1 stock split on October 1, 2012. In accordance with this, net assets per share have been
calculated as if the stock split was conducted at the beginning of the previous consolidated fiscal year.
(3) Cash flows

Year ended March 31, 2014

Cash flow fromoperating activities
Million yen
16,322

Cash flow frominvesting activities
Million yen(8,018)Year ended March 31, 2013

13,570(6,263)

Cash flow from
Cash and cash equivalents
financing activities
at end of year
Million yen
Million yen(2,018)29,583(2,277)23,309

2. Dividends

Year ended March 31, 2014
Year ended March 31, 2013
Year ending March 31,2015(Forecast)First
quarter-end
Yen―

Secondquarter-end
Yen
2,500.00

Annual dividends
Thirdquarter-end
Yen
―

―

25.00

―

25.00

Total dividend(annually)
Year ended March 31, 2014

Payout ratio(consolidated)

Million yen
1,659

%
35.1

Year-end

Annual

Yen
25.00

Yen
―

―

25.00

50.00

―

25.00

50.00

Dividend on
equity ratio(consolidated)%
3.1

Year ended March 31, 2013
1,659
30.9
2.9
Year ending March 31,2015―(Forecast)(Note) The company conducted a 100-for-1 stock split on October 1, 2012. Regarding the forecast of year-end dividend per share forthe year ended March 31, 2013, we have presented an amount reflecting the stock split.
If adjusted to reflect the number of shares prior to the stock split, the forecast of the annual dividend per share would beequivalent to 5000.00 yen (Second quarter end: 2,500.00 yen; fiscal year end: 2,500.00 yen).
3. Forecast of consolidated earnings for fiscal the year ending March 31, 2015 (April 1, 2014 to March 31, 2015)
We have not provided the forecast of consolidated earnings for the fiscal year ending March 31, 2015 as it is difficult to makelogical forecast of earnings at this point since the Group’s pachinko/pachislot business is in the midst of negotiations regarding theoverall approach to business affiliations with joint ventures. We plan to release the forecast of consolidated earnings by May 7,
2014, after a careful review of the uncertain points.
*Notes(1) Transfer of important subsidiaries during the year under review (Transfer of specific subsidiaries that results in a change in thescope of consolidation): No(2) Changes in accounting principles, accounting procedures, presentation method and other factors
1) Changes due to the revision to the accounting standards, etc.: Yes
2) Changes due to any reason other than those in 1) above: No
3) Changes in accounting estimates: No4) Revisions/restatements: No(3) Number of shares issued (common stock)1) Number of shares issued at end of year (including treasury stock)
Year ended March 31, 2014
34,700,000 sharesYear ended March 31, 2013
34,700,000 shares
2) Number of shares of treasury stock at end of year
Year ended March 31, 2014
Year ended March 31, 2013

1,516,200 shares
1,516,200 shares

3) Average number of shares outstanding (quarterly consolidated cumulative period)
Year ended March 31, 2014
33,183,800 sharesYear ended March 31, 201333,183,800 shares(Note) The company conducted a 100-for-1 stock split on October 1, 2012. In accordance with this, the number of shares above has
been calculated as if the stock split was conducted at the beginning of the previous consolidated fiscal year.
* Presentation of implementation status for audit procedures# The audit procedures based on the Financial Instruments and Exchange Act do not apply to this Consolidated Financial Results, andthe audit procedures based on the Financial Instruments and Exchange Act have not been completed as of the release of thisdocument.
* Explanation of the appropriate usage of forecast earnings and other specific matters# The above forecast relies on judgments and assumptions based on information available as of the date of announcement of thismaterial, and is subject to changes in risks, uncertainties, and economy, and other factors that could cause actual results to bematerially different from expectations. Please refer to “(1) Analysis of operating results” under “1. Operating results” on page 2 of
the attached documents for the assumptions on which the forecast relies.
# The Company is planning to hold a financial results conference call on Thursday, May 1, 2014 and a business strategy conferenceon Wednesday, May 7, 2014 for analysts and institutional investors.
Materials distributed at that briefing will be posted on the Company’s website after the briefing.

 Table of Contents of Attached Document

1. Operating results(1) Analysis of operating results

22(2) Analysis of financial condition

4(3) Fundamental corporate policy for distributing profits and dividends
6

for the current and next fiscal years
2. Outline of the Fields Group78

3. Management policies(1) Fundamental corporate management policy

8(2) Issues to address(3) Management strategies for the medium-to-long-term

88(4) Targeted management indicators

8(5) Other important matters affecting corporate management
4. Consolidated financial statements

89(1) Consolidated balance sheets

9(2) Consolidated statements of income and consolidated statements of11comprehensive income(3) Consolidated statement of change in net assets(4) Consolidated statements of cash flows(5) Note regarding the Consolidated Financial Statements

14
16(Basis of presentation of the consolidated financial statements)

18
18
18

(Changes in accounting policies)

22(Accounting standards not adopted)

2223(Note regarding the operation of the company as a going concern)(Changes in the method of presentation)(Consolidated balance sheets)(Consolidated statements of income)24
25(Consolidated statements of comprehensive income)26(Consolidated statements of changes in net assets)

27(Consolidated statements of cash flows)28(Segment information, etc.)

29(Per-share data)30
30(Significant subsequent events)
5. Others

31(1) Personnel change in officers

31

-1-

1. Operating results(1) Analysis of operating results[1]

Overview of operations for the year ended March 31, 2014 (April 1, 2013 to March 31, 2014)
The Company posted net sales of ¥114,904 million (up 6.3% year-over-year), operating income of ¥9,791 million (down
5.1% year-over-year), ordinary income of ¥9,765 million (down 4.9% year-over-year), and net income of ¥5,370 million(up 13.7% year-over-year).
The main factors behind the earnings fluctuation were as follows.
Regarding pachinko/pachislot machine sales, in the pachinko machine sales, 4 pachinko titles (compared to 3 in theprevious fiscal year), including a new installment in the “Evangelion” series were launched; in pachislot machine sales, 7pachislot titles (compared to 6 in the previous fiscal year) were launched, including the Mizuho brand in the product lineup.
As a result, the total number of pachinko/pachislot machines sold increased, the number of pachinko machines sold totaled
approximately 163,000 (up about 63,000 year-over-year) and the number of pachislot machines sold totaled toapproximately 230,000 (up about 2,000 year-over-year). Accordingly, net sales increased 6.3% year-over-year.
The factors behind fluctuations in operating income were as follows.
1) In pachinko/pachislot machine sales, despite the costs involved in strengthening the sales system and expanding sales
promotion activities, sales activities were solid, as described above, and income increased as a result. At the same time,in pachinko/pachislot machine development, we focused on strengthening the development system in affiliation withsubsidiaries in order to expand the product lineup for the medium-to-long-term.
2) In the consumer products field, we are building a framework that will enable Tsuburaya Productions, which owns the“Ultraman” series, to generate stable revenue. Income increased in the fiscal year under review due to the strong
performance of the license business as a result of 50th anniversary events and the development of a new TV series.
3) In the interactive media field, popular content in our ongoing service was solid. On the other hand, we reformed theearnings structure with a tighter focus on our lineup and more efficient operation and development systems to address
the rapid shift in distribution formats from web applications to native applications in the social game market. As aresult, earning capacity declined temporarily in this fiscal year.
4) In the comics, animation, and movies/TV fields, we continued to invest in management resources with the aim ofcreating and cultivating Intellectual Property (IP) such as characters and stories that are the source of our growth. In
particular, we worked to bring products created in comics to the screen and to strengthen sales promotion activities.
As a result of the pursuit of the various measures and advance investments with a view to medium-to-long-term growth,
described above, operating income decreased 5.1% year-over-year.
(Medium-to-long-term growth strategy)
As a medium-to-long-term growth strategy, the Group is aiming at sustainable development by emphasizing IP such as
characters and maximizing the value of IP that we acquired, held, and created.
In the 2 years since the release of its “Developing Business Model,” the Group has developed IP in collaboration with its
partner companies and built cooperative relationships with influential companies in a range of fields to develop multimedia.
Currently, Fields utilizes to the full its wide-ranging knowledge, expertise and creativity in IP development, as well as its
networks with business partners, and cultivates and commercializes IP based on partnerships. When taking up these newchallenges, we share knowledge and ideas throughout the Group through a vital exchange of opinions. We also develop andactively utilize an internal network system using tablets and visual information that serves as the foundation for thegeneration of unprecedented concepts.
The Group will continue to establish the character business with strength in the distribution of pachinko/pachislot machines,
and will endeavor to reinforce the management system to better administer this business.

The main initiatives for development and commercialization of IP in the fiscal year under review were as follows.
1) “HERO’S Monthly”“HERO’S Monthly,” which aims to create heroes, has published 4 volumes of the “ULTRAMAN”, and has issued over1 million editions in aggregate as of March 2014. We are also moving ahead with a project to bring several products
from “HERO’S” to the screen together with creators and partner companies.

-2-2) “ULTRAMAN” seriesWith the aim of attracting a new fan base through “HERO’S Monthly” and expanding our fan base among families, we
broadcast TV shows and released movies for the new series “Ultraman Ginga” and “ULTRA MONSTERS RUSH:ULTRA FRONTIER,” and also developed arcade games in collaboration with partner companies. We distributed social
games and sold pachislot machines to give our fans the chance to enjoy these series in diverse media formats. In
particular, the license business was strong in the fiscal year under review thanks to an increase in interaction with fansin the 50th anniversary year for Tsuburaya Productions.
3) “GINGA KIKOTAI: Majestic Prince”
In conjunction with serialization in “HERO’S Monthly,” we broadcast TV animation, developed and sold goods anddistributed social games in collaboration with partner companies.
4) “BERSERK”
Following up on the release of animated movies through the previous fiscal year, we planned, developed and sold social
games and pachinko machines.
5) “AKB48”
The social game released in October 2011 was a strong performer, and we began developing this story in conjunction
with its incorporation in an arcade game and the “HERO’S Monthly” comic series as well as TV broadcasts based on
the new concept of “Sailor Zombie.”
Note: The product names included in this report are the trademarks or registered trademarks of the respective companies.

[2]

Forecast of earnings for the year ending March 31, 2015 (April 1, 2014 to March 31, 2015)
The forecasts for the next fiscal year are as follows:
We have not provided the forecast of consolidated earnings for the fiscal year ending March 31, 2015 as it is difficult tomake logical forecast of earnings at this point since the Group’s pachinko/pachislot business is in the midst of negotiations
regarding the overall approach to business affiliations with joint ventures. We plan to release the forecast of consolidated
earnings by May 7, 2014, after a careful review of the uncertain points.

-3-

(2) Analysis of financial condition[1]

Assets, liabilities and net assets(Unit: Million yen)
Current fiscal year-end(as of March 31, 2014)
104,869

Previous fiscal year-end(as of March 31, 2013)
106,628

Total liabilities

46,116

51,529(5,413)

Total net assets

58,75355,0983,654

Total assets

Year-over-year change(1,758)AssetsCurrent assets amounted to ¥66,921 million, down ¥5,788 million since the end of the previous fiscal year. The principal
factor behind this was mainly attributable to a decrease in notes and accounts receivable—trade.
Tangible fixed assets amounted to ¥12,104 million, up ¥953 million year-over-year. This was mainly due to purchase of landfor building new branch offices.
Intangible fixed assets amounted to ¥4,365 million, down ¥174 million year-over-year.
Investments and other assets amounted to ¥21,477 million, up ¥3,251 million year-over-year. This primarily reflected anincrease in payments for investments in capital of subsidiaries and affiliates.
As a result of the above, total assets amounted to ¥104,869 million, down ¥1,758 million year-over-year .

Liabilities
Current liabilities amounted to ¥41,730 million, down ¥5,635 million year-over-year. The principal factor behind this was adecrease in notes and accounts payable—trade and a decrease in accrued income taxes.
Fixed liabilities amounted to ¥4,386 million, up ¥222 million year-over-year. This was mainly due to an increase inguarantee deposits received and an increase in net defined benefit liability.
As a result of the above, total liabilities amounted to ¥46,116 million, down ¥5,413 million year-over-year .

Net assets
Net assets amounted to ¥58,753 million, up ¥3,654 million year-over-year. This primarily reflected an increase in retained
earnings.

-4-[2] Cash flows
During the fiscal year under review, cash and cash equivalents (hereinafter referred to as “cash”) increased by ¥6,273
million year-over-year and amounted to ¥29,583 million at the end of the year ended March 31, 2014.
Cash flow for the end of the year ended March 31, 2014 under review and contributing factors are as follows:(Unit: Million yen)
Current fiscal year
Previous fiscal year
Year-over-year change(Year ended March 31, 2014)(Year ended March 31, 2013)

Cash flows from operating activities

16,322

13,5702,752Cash flows from investing activities(8,018)(6,263)(1,754)

Cash flows from financing activities(2,018)(2,277)258

Cash flows from operating activities
Net cash provided by operating activities amounted to ¥16,322 million (¥13,570 million of income in the previous year).
This was mainly due to income before income taxes and minority interests of ¥9,588 million, a decrease of ¥13,078 million
in notes and accounts receivable—trade, a decrease of ¥3,132 million in notes and accounts payable—trade, income taxes
paid of ¥5,929 million, etc.
Cash flows from investing activities
Net cash used in investing activities amounted to ¥8,018 million (¥6,263 million of expenditure in the previous fiscal year).
This was primarily attributable to payments for investments in capital of subsidiaries and affiliates totaling ¥3,000 million,
expenditure for purchases of tangible fixed assets totaling ¥2,035 million, expenditure for purchases of intangible fixed
assets totaling ¥1,414 million, etc.
Cash flows from financing activities
Net cash used in financing activities amounted to ¥2,018 million (¥2,277 million of expenditure in the previous year). Thiswas primarily attributable to dividends paid totaling ¥1,657 million, redemption of corporate bonds totaling ¥300 million,
and repayment of long-term borrowings totaling ¥122 million, etc.
(Reference) Trends of cash flow indicators
Year ended
March 31, 2010

Year ended
March 31, 2011

Year ended
March 31, 2012

Year ended
March 31, 2013

Year ended
March 31, 2014

Shareholders’ equity ratio (%)

50.5

59.2

54.6

51.2

55.6

Shareholders’ equity ratio at
market value (%)
Interest-bearing debt/cash flow
ratio (years)

44.4

59.9

48.6

48.2

47.4

0.2

0.2

0.2

0.1

0.0

Interest coverage ratio (times)

310.5

311.7

556.2

742.2

1,490.4

Shareholders’ equity ratio : Shareholders’ equity/Total assets
Shareholders’ equity ratio at market value :Aggregate market value (based on the closing stock price at the end of the year)/Total assets
Interest-bearing debt/cash flow ratio : Interest-bearing debt/Operating cash flow
Interest coverage ratio : Operating cash flow/Interest expense(Notes) 1. All of the above indicators are calculated for their respective values on a consolidated basis.
2. Aggregate market value is calculated based on the number of shares issued excluding treasury stock.
3. Interest-bearing debt indicates all the liabilities for which interest is paid posted in the consolidated balance
sheets.

-5-(3) Fundamental corporate policy for distributing profits and dividends for the current and next fiscal years
The Company regards the enhancement of corporate value as a principal management task, and its fundamental policy is to pay
dividends at an appropriate level that corresponds with profits. Specifically, dividends are determined on the basis of suchfactors as cash flow conditions, and we aim to achieve a consolidated payout ratio of 20% or more. The Company makes every
effort to effectively use retained earnings for investments to enhance its financial condition, strengthen the managementfoundation, continually expand businesses and secure a competitive edge.
For the year ended March 31, 2014, the Company paid an interim dividend of ¥25 per share to shareholders and intends todistribute a year-end dividend of ¥25 per share (annual dividend per share of ¥50). As a result, this fiscal year’s consolidated
payout ratio will be 30.9%.
With regard to the year ending March 31, 2015, the Company intends to distribute an interim dividend of ¥25 and a year-end
dividend of ¥25 (annual dividend per share of ¥50).

-6-

2. Outline of the Fields GroupThe Fields Group (parent company and related companies) comprises Fields Corporation (“the Company”), 20 subsidiaries, 11affiliated companies, and 1 other related company.
The following chart summarizes our business organization.

Intellectual property (IP)IP

IP

ComicsIP□ HERO’S INC.
and another equity method affiliate, and another non-consolidated subsidiary

Animation

IP○ Digital Frontier Inc.
○ Lucent Pictures Entertainment, Inc.
and 3 other consolidated subsidiaries

Provisionof services

Provisionof services

Movies/TV

Provisionof services

IP□ SPO Entertainment Inc.

Provisionof services○ Tsuburaya Productions Co., Ltd.
○ Total Workout premium management Inc.
and another equity method affiliate, and 3 non-consolidated subsidiaries, and another non-equity
method affiliate

IP

Users/Customers

Fields Corporation

MerchandisingInteractive media Consumer products○ FutureScope Corp.
○ IP Bros. Inc.
○ NEX ENTERTAINMENT CO., LTD.

IP

Provisionof services

Product purchasing and consigned sales

Pachinko/Pachislot

Planning andConsignmentof development○ BOOOM Corporation ○ MICROCABIN CORP.

○ Shinnichi Technology Co., Ltd.
and another consolidated subsidiary, and anothernon-consolidated subsidiary

IP and Product planning
Consignmentof operations

Planning
Development(Pachinko/Pachislot machine manufacturer)□ RODEO Co., Ltd.
△SANKYO CO., LTD.
and 2 equity method affiliates○ Fields Jr. Corporation □ SOGO MEDIA INC.
and another equity method affiliate, and another non-equity method affiliate

Provision of services

Provisionof services○: Consolidated subsidiary □: Equity method affiliate △: Other related company-7-

3. Management policies(1) Fundamental corporate management policy(2) Issues to address(3) Management strategies for the medium-to-long-term
Information on the above items is not disclosed as there were no important changes from the information disclosed in theSummary of Financial Information and Business Results (Consolidated) for the Year Ended March 31, 2013 (released on May
7, 2013).
Please use the following URL to access this financial statement.
Field’s website
http://www.fields.biz/ir/e/Tokyo Stock Exchange’s website (search page for listed companies)
http://www.tse.or.jp/english/listing/index.html(4) Targeted management indicators
The managerial goal of the Fields Group is to increase its corporate value by achieving greater operational efficiency andcontinuous business expansion. We have given particular weight to the return on equity, ordinary income and cash flow fromoperating activities.
(5) Other important matters affecting corporate management
No relevant items-8-

4. Consolidated financial statements(1) Consolidated balance sheets
Fiscal year ended
March 31, 2013(as of March 31, 2013)
AssetsCurrent assets
Cash and cash equivalents
Notes and accounts receivable—trade
Merchandise and products
Work in process
Raw materials and supplies
Deferred tax assets
Merchandising rights advances
Other current assets
Allowance for doubtful accounts
Total current assets
Fixed assets
Tangible fixed assets
Buildings and structures
Accumulated depreciation
Net amount of buildings and structures
Machinery, equipment and vehicles
Accumulated depreciation
Net amount of machinery, equipment and vehicles
Tools, furniture and fixtures
Accumulated depreciation
Net amount of tools, furniture and fixtures
Land
Construction in progress
Total tangible fixed assets
Intangible fixed assets
Goodwill
Other intangible fixed assets
Total intangible fixed assets
Investments and other assets
Investment securities
Long-term loans
Deferred tax assets
Other assets
Allowance for doubtful accounts
Total investments and other assets
Total fixed assets
Total assets(Unit: Million yen)
Fiscal year ended
March 31, 2014(as of March 31, 2014)

23,31442,017
250
2,041
52
749
2,026
*3
2,300
(41)
72,70929,58329,155
742
2,351
40
732
1,954
2,395
(34)
66,921

6,336(3,137)
3,199
70
(59)
11
3,862
(2,740)
1,122
6,775
43
11,151

6,291(3,151)
3,140
47
(16)
30
4,143
(3,126)
1,016
7,875
41
12,104

2,177
2,363
4,540

1,905
2,460
4,365

*3

*1

-9-

11,399
1,429
847
5,063
(514)
18,22633,918106,628*1

12,607
1,787
654
*1
7,502
(1,074)
21,47737,948104,869

Fiscal year ended
March 31, 2013(as of March 31, 2013)
Liabilities
Current liabilities
Notes and accounts payable—trade
Corporate bonds redeemable within 1 year
Short-term borrowings
Current portion of long-term borrowings
Accrued income taxes
Accrued bonuses
Accrued bonuses to directors and auditors
Reserve for returned goods unsold
Other current liabilities*3(Unit: Million yen)
Fiscal year ended
March 31, 2014(as of March 31, 2014)

36,604
300
521
122
3,931
301
230
28
5,326

33,105
634
58
1,959
350
230
23
5,367

47,36541,730

109
531
3,522
4,164

50
675
3,659
4,386

51,52946,116

7,948
7,994
40,835(1,821)

7,948
7,994
44,548(1,821)

Total shareholders’ equity
Accumulated other comprehensive income
Unrealized holding gain on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income

54,95758,670

(397)
(1)
(398)

(262)
(1)
(126)
(390)

Minority interest
Total net assets

539
55,098473
58,753

106,628

104,869

Total current liabilities
Fixed liabilities
Long-term borrowings
Retirement benefit provisions
Net defined benefit liability
Other fixed liabilities
Total fixed liabilities
Total liabilities
Net assets
Shareholders’ equity
Common stock
Capital surplus
Retained earnings
Treasury stock

Total liabilities and net assets- 10 -

(2) Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Advertising expenditures
Salaries
Provision for accrued bonuses
Provision for accrued bonuses to directors andauditors
Outsourcing expenses
Travel and transport expenses
Depreciation and amortization
Rents
Provision to allowance for doubtful accounts
Retirement benefit expenses
Amortization of goodwill
OthersTotal selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Discounts on purchases
Gain on management of investment securities
Equity method investment gain
Lease income
OthersTotal non-operating income
Non-operating expenses
Interest expense
Equity method investment loss
Amortization of equity investment
Loss on equity investment
Provision to allowance for doubtful accounts
OthersTotal non-operating expenses
Ordinary income
Extraordinary income
Gain on sale of fixed assets
Gain on sale of shares in affiliates
Gain on sales of investment securities
Total extraordinary income

Fiscal year ended March 31, 2013
(April 1, 2012–March 31, 2013)
108,141*4
74,86233,279(Unit: Million yen)
Fiscal year ended March 31, 2014
(April 1, 2013–March 31, 2014)
114,904*4
81,09233,812

2,964
5,569
247

4,305
5,859
285

230

230

2,608
507
1,623
2,249
(56)
92
319
6,608
22,964
10,314

2,451
551
1,268
2,062
(3)
6
323
6,681
24,020
9,791

18
180
139
69
41
288
738

36
187
125
322
384
47
210
1,313

18
103
531
92
37
784
10,268

10
295
940
93
1,339
9,765

*1

- 11 -

2
7
0
10

*1

1
28
29

Fiscal year ended March 31, 2013
(April 1, 2012–March 31, 2013)
Extraordinary losses
Loss on disposal of fixed assets
Impairment loss
Loss on production suspension
Business restructuring expense
Loss on withdrawal from employees’ pension fund
OthersTotal extraordinary losses
Income before income taxes and minority interests
Corporate, inhabitant and enterprise taxes
Deferred income taxes
Total income taxes
Income before minority interests
Minority interests
Net income*2*3- 12 -

190
180
853
51
1,276
9,002
4,538
(313)
4,224
4,778
57
4,720

(Unit: Million yen)
Fiscal year ended March 31, 2014
(April 1, 2013–March 31, 2014)
*2

55
20
66
24
39
207
9,588
3,940
203
4,143
5,444
74
5,370

*3

Consolidated statements of comprehensive income

Income before minority interests
Other comprehensive income
Unrealized holding gain on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of theparentComprehensive income attributable to minority
interests(Unit: Million yen)
Fiscal year ended March 31, 2013 Fiscal year ended March 31, 2014
(April 1, 2012–March 31, 2013)(April 1, 2013–March 31, 2014)
4,778
5,444

- 13 -

427
(0)
*
426
5,204

138
0
*
138
5,583

5,147

5,505

57

77

(3) Consolidated statement of change in net assets
Fiscal year ended March 31, 2013 (April 1, 2012–March 31, 2013)(Unit: Million yen)
Shareholders’ equity
Common stock
Balance at beginning of the year

Capital surplus

7,948

Retained earnings

7,994

Total shareholders’equityTreasury stock

37,774(1,821)

51,895

Amount of changes during the year
Dividends from surplus(1,659)(1,659)Net income

4,720

4,720

Change of scope of consolidation
Net amount of changes in items notincluded in shareholders’ equity
during the year
Total amount of changes during the year
Balance at end of the year

-

-

3,061

-

3,061

7,948

7,994

40,835(1,821)

54,957

Accumulated other comprehensive income

Balance at beginning of the year

Unrealized
holding gain on
available-for-salesecurities

Foreign currencytranslation
adjustment

Remeasurementsof defined
benefit plans

Total
accumulated othercomprehensive
income

(824)

(0)

-

(824)

Minority
interest

Total net
assets483

51,555

Amount of changes during the year
Dividends from surplus(1,659)Net income

4,720

Change of scope of consolidation
Net amount of changes in items notincluded in shareholders’ equity
during the year

426

(0)

-

426

55

481

Total amount of changes during the year

426

(0)

-

426

55

3,543

Balance at end of the year

(397)

(1)

-

(398)

539

55,098- 14 -

Fiscal year ended March 31, 2014 (April 1, 2013–March 31, 2014)(Unit: Million yen)
Shareholders’ equity
Common stock
Balance at beginning of the year

Capital surplus

7,948

Retained earnings

7,994

Total shareholders’equityTreasury stock

40,835(1,821)

54,957

Amount of changes during the year
Dividends from surplus(1,659)(1,659)Net income

5,370

5,370

1

1

Change of scope of consolidation
Net amount of changes in items notincluded in shareholders’ equity
during the year
Total amount of changes during the year
Balance at end of the year

-

-

3,712

-

3,712

7,948

7,994

44,548(1,821)

58,670

Accumulated other comprehensive income

Balance at beginning of the year

Unrealized
holding gain on
available-for-salesecurities

Foreign currencytranslation
adjustment

Remeasurementsof defined
benefit plans

Total
accumulated othercomprehensive
income

(397)

(1)

-

(398)

Minority
interest

539

Total net
assets

55,098Amount of changes during the year
Dividends from surplus(1,659)Net income

5,370

Change of scope of consolidation

1

Net amount of changes in items notincluded in shareholders’ equity
during the year

135

0

(126)

8

(65)

(57)

Total amount of changes during the year

135

0

(126)

8

(65)

3,654

Balance at end of the year

(262)

(1)

(126)

(390)

473

58,753- 15 -

(4) Consolidated statements of cash flows
Fiscal year ended March 31, 2013
(April 1, 2012–March 31, 2013)(Unit: Million yen)
Fiscal year ended March 31, 2014
(April 1, 2013–March 31, 2014)

9,002
2,207
180
319
(77)
(13)

9,588
2,164
20
323
930
49

(10)

-

76
(199)
(139)
103
18
825

(531)
478
(223)
(125)
(384)
10
471

(9,013)

13,078

792
(185)
(233)
15

(941)
71
360
(96)

8,488

(3,132)

(22)
478
(304)
267
12,577212(19)799
13,570

(464)
(21)
292
96
22,015247(10)(5,929)16,322(1,571)(1,741)
(313)
(412)
75
(459)

(2,035)(1,414)(1,209)(209)-(3,000)137(1,891)
211
(395)
129
(31)
(6,263)

783
(930)
12
(122)
195
(88)
(8,018)Cash flows from operating activities
Income before income taxes and minority interests
Depreciation and amortization
Impairment loss
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in accrued bonuses
Increase (decrease) in accrued bonuses to directors
and auditors
Increase (decrease) in retirement benefit provisions
Increase (decrease) in net defined benefit liability
Interest and dividend income
Discounts on purchases
Equity method investment loss (gain)
Interest expense
Amortization of equity investment
Decrease (increase) in notes and accounts
receivable—trade
Decrease (increase) in inventories
Decrease (increase) in merchandising right advances
Decrease (increase) in prepaid expenses
Decrease (increase) in advance payments
Increase (decrease) in notes and accounts
payable—trade
Increase (decrease) in other accounts payable
Increase (decrease) in accrued consumption taxes
Increase (decrease) in deposits received
OthersSubtotalInterest and dividends received
Income taxes (paid) refund
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchases of tangible fixed assets
Purchases of intangible fixed assets
Purchases of investment securities
Expenditure for acquiring shares in affiliates
Proceeds from sales of shares in affiliates
Expenditure for equity investment
Payments for investments in capital of subsidiaries
and affiliates
Proceeds from redemption of investment securities
Expenditure for loans
Collection on loans
Payments for deposits and guarantees
Proceeds from cancellation of deposits and guarantees
OthersCash flows from investing activities- 16 -

Fiscal year ended March 31, 2013
(April 1, 2012–March 31, 2013)(Unit: Million yen)
Fiscal year ended March 31, 2014
(April 1, 2013–March 31, 2014)

70
(162)
(618)
(1,658)90(2,277)

113
(122)
(300)
(1,657)(52)(2,018)

(3)

0

5,025
18,284

6,284
23,309Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Repayment of long-term borrowings
Redemption of corporate bonds
Dividends paid
OthersNet cash provided by (used in) financing activities
Effect of exchange rate changes on cash and cash
equivalents
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of the year
Increase (decrease) in cash and cash equivalents
resulting from change of scope of consolidation
Cash and cash equivalents at end of the year*

- 17 -

23,309(10)*

29,583

(5) Note regarding the Consolidated Financial Statements(Note regarding the operation of the company as a going concern)
No relevant items(Basis of presentation of the consolidated financial statements)
1. Scope of consolidation(1) Number of consolidated subsidiaries: 15
Names of consolidated subsidiaries:
Fields Jr. Corporation
Shin-Nichi Technology Co., Ltd.
MICROCABIN CORP.
Lucent Pictures Entertainment, Inc.
Total Workout premium management Inc.
Digital Frontier Inc.
Digital Frontier (Taiwan) Inc.
FutureScope Corporation
IP Bros. Incorporated
Fly Studio SDN, BHD
GEMBA Inc.
NEX ENTERTAINMENT CO., LTD.
BOOOM Corporation
Tsuburaya Productions Co., Ltd.
XAAX Inc.
In the previous consolidated fiscal year, consolidated subsidiary K-1 INTERNATIONAL Corporation was excluded from thescope of consolidation as it was of little importance.
In the previous consolidated fiscal year, EXPRESS Inc. was excluded from the scope of consolidation as it was dissolved
through an absorption-type merger in which Fields was the surviving company.
In the current consolidated fiscal year, XAAX Inc., a newly established company, is included in the scope of consolidation.

(2) Names of significant non-consolidated subsidiaries:
HERO’S Properties Inc.
GLOWZ Inc.
Nishiazabu 2-chome kaihatsu project, LLC
K-1 INTERNATIONAL Corporation
APE Inc.
Reason for excluding from the scope of consolidation:
Non-consolidated subsidiaries have been excluded from consolidation owing to their small size and the fact that in no case dotheir aggregate total assets, net sales, net income (proportionate to equity stakes held) and retained earnings (proportionate toequity stakes held), etc. have a material impact on the consolidated financial statements.

- 18 -

2. Application of equity method(1) Number of affiliates accounted for using the equity method: 9Names of subsidiaries and affiliates accounted for using the equity method
X'stina Inc.
Mizuho Corp.
HERO’S Inc.
Japan Amusement Broadcasting Corp.
NANASHOW Corporation
RODEO Co., Ltd.
SOGO MEDIA INC.
SPO Inc.
Kadokawa Haruki Corporation
In the previous consolidated fiscal year, the non-consolidated company HAIRGRANCE Inc. changed its firm name to X'stina
Inc. and was included in the scope of equity method as its importance has increased.
In the current consolidated fiscal year, Fields acquired new shares in NANASHOW Corporation, which was thus included in
the scope of equity method.
(2) Names of non-consolidated subsidiaries and affiliates not accounted for using the equity method:
HERO’S Properties Inc.
GLOWZ Inc.
Nishiazabu 2-chome kaihatsu project, LLC
K-1 INTERNATIONAL Corporation
APE Inc.
GLAMOROUS co., ltd.
G&E Corporation
Reason for not applying the equity method:
These companies have a negligible impact on net income (proportionate to equity stakes held) and retained earnings(proportionate to equity stakes held) and have no significance as a whole, so they have been excluded from the application of
the equity method.
(3) Matters requiring clarification concerning procedures for application of the equity method:
With regard to companies accounted for by the equity method whose year-end settlement date differs from that for
consolidated accounts, the financial statements relating to those companies’ fiscal years are utilized.
3. Business years of consolidated subsidiaries
The accounts settlement dates of consolidated subsidiaries correspond with the Company’s consolidated accounts settlementdate.

- 19 -

4. Accounting standards(1) Valuation standards and methods for important assets[1]

Marketable securities
Held-to-maturity bonds:
Carried at amortized cost (straight-line method)
Other marketable securities
Securities with market prices:Stated at market value based on market price as of the consolidated balance sheet date (unrealized gains or losses
are charged or credited directly to net assets, with the cost of securities sold determined by the moving averagemethod).
Securities without market prices:Stated at cost determined by the moving average method.

[2]

Derivatives:
Stated at market value[3]

Inventories
Inventories held for purposes of ordinary sales
Valuation policy for inventories held for purposes of ordinary sales is based on a cost basis (which reduces the bookvalue of assets whose profitability is diminished).
a.

Merchandise
Fields Corporation:
Used pachinko/pachislot machines
Specific identification method
OthersMoving average method
Consolidated subsidiaries:
Periodic average method

b. Work in process
Consolidated subsidiaries:
Specific identification methodc. Raw materials
The Company and its consolidated subsidiaries
Moving average methodd. Supplies
Last purchase price method(2) Depreciation methods for important depreciable assets[1]

Tangible fixed assets
Declining-balance method for the Company and domestic consolidated subsidiaries
However, the straight-line method is applied to buildings (excluding building fixtures) acquired on and after April 1,
1998.
The estimated useful lives of depreciable assets are as follows.
Buildings and structures:

2–50 years

Machines and conveyors:

2–12 years

Tools, furniture and fixtures: 2–20 years- 20 -

[2]Intangible fixed assets
Straight-line method
The straight-line method is applied to software for company use, based on its useful life within the Company (5 years).

[3]

Long-term prepaid expenses
Straight-line method(3) Accounting standards for important reserves[1]

Allowance for doubtful accounts
To provide against losses from doubtful accounts, allowances for ordinary receivables are provided using a rate
determined by past collection experience, and allowances for specific debts considered doubtful are accounted for by
calculating the estimated amounts deemed uncollectible after individually reviewing collectability of the debts.

[2]

Accrued bonuses
To provide for employee bonuses, the Company and some of its consolidated subsidiaries recognize the amounts out ofthe projected bonus payments to be allocated during the year under review.

[3]

Accrued bonuses to directors and auditors
To provide for bonuses to directors and auditors, the Company recognizes the amounts corresponding to the year underreview based on the projected bonus payments.

[4]

Provision for sales returns
To provide against losses in future sales returns, some of the subsidiary companies factor in the projected amount oflosses from such returns in advance.

(4) Accounting standards for retirement benefits[1]

Method of attributing estimated retirement benefits to accounting periods
When calculating retirement benefit obligations, the straight-line attribution is used to attribute the service period throughthe end of the current fiscal period.

[2]

Recognition of actuarial differences and prior service liabilities
Actuarial differences are amortized in the year following their occurrence using the straight-line method over a certain
period (5 years) not exceeding the employees’ average remaining service period as of the time of their occurrence.

[3]

Use of simplified method for small companies
Some consolidated subsidiaries use a simplified method, which assumes the Company’s retirement benefit obligations tobe equivalent to the benefits payable assuming the voluntary retirement of all employees at the fiscal year-end, tocalculate net defined benefit liability and retirement benefit expenses.

(5) Amortization method for goodwill and the amortization period
Goodwill is amortized equally for a reasonable number of years within 10 years, estimating the period when its effect isgenerated.
(6) Scope of funds in consolidated statements of cash flows
Funds include cash on hand, demand deposits, and short-term investments maturing or redeemable within 3 months after
acquisition that are highly liquid, easily convertible into cash, and exposed to low price-fluctuation risk.
(7) Other significant matters in the preparation of the consolidated financial statements
Accounting for consumption taxes
Regarding the accounting for consumption tax and local consumption tax, using the before-tax formula, consumption tax
excluding asset-related deductions and local consumption tax will be treated as costs of the year under review.

- 21 -

(Changes in accounting policies)
The Company adopted the Accounting Standard for Retirement Benefits (Accounting Standards Board of Japan[ASBJ] Statement No. 26 of May 17, 2012; hereafter, “Accounting Standard for Retirement Benefits”) and Guidanceon Accounting Standard for Retirement Benefits (ASBJ Guidance No. 25 of May 17, 2012; hereafter, “Guidance”) asof the end of the current fiscal year (excluding the stipulations in Article 35 of the Accounting Standard and Article 67of the Guidance). Accordingly, the Company then recognized the difference between pension assets and retirement
benefit obligations as liabilities for retirement benefits, and has recorded unrealized actuarial differences andunrealized prior service costs as liabilities related to retirement benefits.
As regards the adoption of the Accounting Standard for Retirement Benefits and other, in accordance with thetransitional accounting as stipulated in Article 37 of the Accounting Standard for Retirement Benefits, the impact of
the changes in accounting policies is recognized with corresponding adjustments for retirement benefit underaccumulated other comprehensive income at the end of the fiscal year under review.
As a result, 197 million yen in liability for retirement benefits was recognized at the end of the current consolidated
fiscal year. In addition, accumulated other comprehensive income decreased 126 million yen.
(Accounting standards not adopted)▪ “Accounting Standard for Business Combination” (ASBJ Statement No. 21, September 13, 2013)▪ “Accounting Standard for Consolidated Financial Statements” (ASBJ Statement No. 22, September 13, 2013)▪ “Accounting Standard for Business Divestitures” (ASBJ Statement No.7, September 13, 2013)▪ “Accounting Standard for Earnings per Share” (ASBJ Statement No.2, September 13, 2013)▪ “Guidance on Accounting Standard for Business Combinations and Accounting Standard for Business Divestitures”(ASBJ Guidance No.10, September 13, 2013)▪ “Guidance on Accounting Standard for Earnings per Share” (ASBJ Guidance No.4, September 13, 2013)(1) Outline
These accounting standards were revised, primarily as related to (1) accounting for changes in parent company’sownership of a subsidiary in the event that the parent company retains control through an additional acquisition ofstocks in a subsidiary; (2) accounting for costs related to acquisition; (3) presentation of net income in current fiscal
year and change from minority interest to non-controlling interests; and (4) provisional accounting treatment.
(2) Scheduled implementation date
The accounting standards will be adopted from the beginning of the fiscal year ending in March 31, 2016. Provisional
accounting treatment will be adopted from business combinations taking place from the beginning of the fiscal year
ending in March 31, 2016.
(3) Impact of the implementation of these accounting standards
The impact is currently being assessed during the preparation of these consolidated financial statements.
▪ Accounting Standard for Retirement Benefits (ASBJ Statement No. 26, May 17, 2012)▪ Guidance on Accounting Standard for Retirement Benefits (ASBJ Guidance No. 25, May 17, 2012)(1) Outline
From the perspective of improving financial reporting and based on international trends, these accounting standards
have been revised primarily to enhance the disclosure and calculation methods of retirement benefit obligations andservice costs, and methods for treating unrecognized past service costs and unrecognized actuarial differences.
(2) Scheduled implementation date
The revised method for calculating retirement benefit obligations and service costs will be applied from the beginningof the fiscal year ending in March, 2015.
(3) Impact of the implementation of these accounting standards
The impact is currently being assessed during the preparation of these consolidated financial statements.

- 22 -

(Changes in the method of presentation)(Consolidated statements of income-related)
The amount of gain on management of investment securities that was contained in others under non-operating income during
the previous fiscal year has exceeded 10% of the total amount of non-operating income, and is listed separately from thecurrent fiscal year. The financial statements from the previous fiscal year have been reclassified to reflect this change inpresentation.
As a result, the ¥357 million that was stated as others under non-operating income in the consolidated statements of income
for the previous fiscal year was reclassified to be stated as ¥69 million for gain on management of investment securities and¥288 million for others.
The amount of gain on sales of investment securities that was contained in others under extraordinary income during theprevious fiscal year has exceeded 10% of the total amount of extraordinary income, and is listed separately from the current
fiscal year. The financial statements from the previous fiscal year have been reclassified to reflect this change in presentation.
As a result, the ¥0 million that was stated as others under extraordinary income in the consolidated statements of income forthe previous fiscal year was reclassified to be stated as ¥0 million for gain on sales of investment securities.
(Consolidated statement of cash flows-related)
Because the materiality of proceeds from redemption of investment securities that was contained in others under cash flowfrom investing activities during the previous fiscal year has increased, it is now listed separately from the current fiscal year.
The financial statements from the previous fiscal year have been reclassified to reflect this change in presentation.
As a result, the ¥106 million that was stated as others in cash flow from investing activities in the consolidated statement ofcash flows for the previous fiscal year was reformatted to be stated as ¥137 million for proceeds from redemption of
investment securities and a negative ¥(31) million for others.

- 23 -

(Consolidated balance sheets)*1. Related to non-consolidated subsidiaries and affiliates

Investment securities (shares)

Fiscal year ended March 31, 2013(as of March 31, 2013)

Fiscal year ended March 31, 2014(as of March 31, 2014)¥ 3,860 million¥ 5,330 million¥- million¥ 3,000 million

Other (equity investments)

2. Contingent liabilities
The Company provides payment guarantees for sales of pachinko/pachislot machines to pachinko halls frompachinko/pachislot machine manufacturers when acting as a representative in such sales.
Fiscal year ended March 31, 2013(as of March 31, 2013)

Fiscal year ended March 31, 2014(as of March 31, 2014)

GAIA¥6 million¥92 million

SHOUEI PROJECT Co.,Ltd.

¥7 million¥45 million

Taisei Kanko¥32 million¥28 million

Ichiroku Shoji¥73 million¥27 million

Okura¥19 million¥17 million

The City¥1 million¥12 million

Tanashi Family Land¥2 million¥11 million

Marumiya¥8 million¥11 million

TAIKO¥34 million¥11 million

Big Shot¥31 million¥10 million

OthersTotal¥1,053 million¥406 million¥1,272 million¥676 million*3 Notes maturing at the end of the fiscal period
The accounting of notes maturing at the end of the fiscal year is based on the day when they are cleared.
Since the last day of the previous fiscal year fell on a bank holiday, the below-listed notes maturing on the day are included in
the balance of notes receivable at the end of the fiscal year.

4.

Fiscal year ended March 31, 2013(as of March 31, 2013)

Fiscal year ended March 31, 2014(as of March 31, 2014)

Notes receivable¥890 million¥- million

Non-operating notes receivable¥15 million¥- million

Notes payable-trade¥6 million¥- million

Overdraft agreements
To raise working capital efficiently, the Fields Group has concluded an overdraft agreement with banks. Unutilized balances
under these agreements as of March 31, 2014 were as follows:

Overdraft limit
Borrowings outstanding
Difference

Fiscal year ended March 31, 2013(as of March 31, 2013)

Fiscal year ended March 31, 2014(as of March 31, 2014)¥17,400 million¥17,000 million¥400 million¥- million¥17,000 million¥17,000 million- 24 -

(Consolidated statements of income)*1 Profit on sales of fixed assets:

Machinery, equipment and vehicles
Tools, furniture and fixtures
Software
Total

Fiscal year ended March 31, 2013
(April 1, 2012–March 31, 2013)¥2 million¥0 million¥0 million¥2 million

Fiscal year ended March 31, 2014
(April 1, 2013–March 31, 2014)¥1 million¥0 million¥- million¥1 million*2 Loss on disposal of fixed assets:

Buildings and structures
Tools, furniture and fixtures
Telephone subscription rights
SoftwareFiscal year ended March 31, 2013 Fiscal year ended March 31, 2014
(April 1, 2012–March 31, 2013)(April 1, 2013–March 31, 2014)¥85 million¥20 million¥6 million¥4 million¥- million¥20 million¥98 million¥9 million

Total¥190 million¥55 million*3 Impairment loss
The Fields Group has stated an impairment loss for the assets set out below.
Fiscal year ended March 31, 2013 (April 1, 2012–March 31, 2013)
Usage
Type
Location
AmountAmusement facilities
Buildings and structures, etc.
Arao City, Kumamoto¥132 million

Assets to be retired
Software, etc.
Shibuya-ku, Tokyo¥47 million

The Group is engaged in a single business domain, and thus it groups its business assets into the smallest unit that generates
cash flow.
Because a decision was made to close amusement facilities, the book value was reduced to the recoverable amount, and thisreduction was recognized as a loss.
The breakdown shows ¥122 million for buildings and structures and ¥10 million for machinery, equipment and vehicles.
The recoverable value of these properties has been calculated on the basis of value in use because net selling prices are notavailable, but such recoverable value is appraised at 0 because no future cash flow is expected.
With regard to assets to be disposed of, the Company has recognized losses as they are less profitable and it could not expect torecover at book value. Such losses consist of ¥37 million on software, ¥7 million on the buildings and structures, ¥1 million onmachinery, equipment and vehicles, and ¥1 million on tools, furniture and fixtures.
The recoverable value of these properties has been calculated on the basis of value in use because net selling prices are notavailable, but such recoverable value is appraised at 0 because no future cash flow is expected.
Fiscal year ended March 31, 2014 (April 1, 2013–March 31, 2014)
Usage
Type
Location
AmountFood service outlets
Buildings and structures, etc.
Minato-ku, Tokyo¥20 million

The Group is engaged in a single business domain, and thus it groups its business assets into the smallest unit that generates
cash flow.
Because a decision was made to close food service outlets, the book value was reduced to the recoverable amount, and thisreduction was recognized as a loss.
The breakdown shows ¥7 million on the buildings and structures, ¥10 million on tools furniture and fixtures and ¥2 million on
software.
The recoverable value of these properties has been calculated on the basis of value in use because net selling prices are notavailable, but such recoverable value is appraised at 0 because no future cash flow is expected.
*4 Inventory at the end of the year under review is the amount after book-value reduction due to lower profitability and thefollowing inventory is included in cost of sales.
Fiscal year ended March 31, 2013
(April 1, 2012–March 31, 2013)¥11 million- 25 -

Fiscal year ended March 31, 2014
(April 1, 2013–March 31, 2014)¥306 million

(Consolidated statements of comprehensive income)* Recycling and tax effects related to other overall income
Fiscal year ended March 31, 2013
(April 1, 2012–March 31, 2013)

Fiscal year ended March 31, 2014
(April 1, 2013–March 31, 2014)¥660 million¥461 million

Amount of recycling¥- million¥(250) million

Pre-tax adjustments¥660 million¥210 million

Amount of tax effects¥232 million¥72 million

Unrealized holding gain on available-for-sale securities¥427 million¥138 million¥(0) million¥0 million

Amount of recycling¥- million¥- million

Pre-tax adjustments¥(0) million¥0 million

Amount of tax effects¥- million¥- million¥(0) million¥0 million¥- million¥- million¥426 million¥138 million

Unrealized holding gain on available-for-sale securities
Differences that arose during the current fiscal year

Foreign currency translation adjustment
Differences that arose during the current fiscal year

Foreign currency translation adjustment
Share of other comprehensive income of associates
accounted for using equity method
Differences that arose during the current fiscal year
Total other comprehensive income- 26 -

(Consolidated statements of changes in net assets)
Fiscal year ended March 31, 2013 (April 1, 2012–March 31, 2013)

1 Shares issued
Type
Common stock (shares)(Note)

As of April 1, 2012
347,000

Increase
34,353,000

Decrease-

As of March 31, 2013
34,700,000

In accordance with a decision made by the Board of Directors on August 23, 2012, the Company conducted
a 100-for-1 stock split on October 1, 2012, and adopted the share-trading unit system, which will treat 100
shares as a single unit of stock.

2 Treasury shares
Type
Common stock (shares)(Note)

As of April 1, 201215,162

Increase
1,501,038

Decrease-

As of March 31, 2013
1,516,200

In accordance with a decision made by the Board of Directors on August 23, 2012, the Company conducted
a 100-for-1 stock split on October 1, 2012, and adopted the share-trading unit system, which will treat 100
shares as a single unit of stock.

3 Stock acquisition rights
No relevant items

4 Dividends(1) Dividends paid
Resolution
Ordinary General Meeting of
Shareholders on June 20, 2012
Meeting of the Board of
Directors on November 2, 2012
(Note)

Total dividends
paid(Million yen)Type

Amount ofdividends per
share (Yen)Record date

Effective dateCommon stock

829

2,500

March 31, 2012

June 21, 2012

Common stock829

2,500 September 30, 2012 December 7, 2012

As the Company conducted a 100-for-1 stock split on October 1, 2012, dividend per share is ¥25.00 taking
the stock split into consideration.

(2) Dividends for which the record date had come during the fiscal year ended March 31, 2014, but the effective date cameduring the fiscal year ended March 31, 2015 or thereafter
Resolution

Type

Total dividends
paid(Million yen)

Source forpayment ofdividends

829

Retainedearnings

Ordinary General Meeting of
Shareholders on June 19,
Common stock2013

Amount ofdividends per
share (Yen)Record date

25 March 31, 2013

Effective dateJune 20, 2013

Fiscal year ended March 31, 2014 (April 1, 2013–March 31, 2014)

1 Shares issued
Type
Common stock (shares)

As of April 1, 2013

Increase

34,700,000

Decrease-

As of March 31, 2014-

34,700,000

2 Treasury shares
Type
Common stock (shares)

As of April 1, 2013

Increase

1,516,200

Decrease-

3 Stock acquisition rights
No relevant items- 27 -

As of March 31, 2014-

1,516,200

4 Dividends(1) Dividends paid
Resolution

Total dividends
paid(Million yen)Type

Ordinary General Meeting of
Shareholders on June 19, 2013
Meeting of the Board of
Directors on November 6, 2013

Amount ofdividends per
share (Yen)Record date

Effective dateCommon stock

829

25

March 31, 2013

June 20, 2013

Common stock829

25 September 30, 2013

December 3, 2013

(2) Dividends for which the Record date came during the fiscal year ended March 31, 2014, but the effective date will comeduring the fiscal year ending March 31, 2015 or thereafter
Resolution

Type

Ordinary General
Meeting of Shareholders
on June 18, 2014

Common stock

Total dividends
paid(Million yen)

Source forpayment ofdividends

829

Retainedearnings

Amount ofdividends per
share (Yen)Record date

25 March 31, 2014

Effective dateJune 19, 2014

(Consolidated statements of cash flows)* Difference between cash and cash equivalents as of the end of the fiscal year and cash amounts stated on the consolidatedbalance sheets
Fiscal year ended March 31, 2013
Fiscal year ended March 31, 2014
(April 1, 2012–March 31, 2013)(April 1, 2013–March 31, 2014)
Cash and cash deposit accounts
Time deposits for which depositing period
exceeds 3 months
Cash and cash equivalents- 28 -¥23,314 million¥29,583 million¥(5) million¥- million¥23,309 million¥29,583 million

(Segment information, etc.)(Segment information)
This statement is omitted as the Group engages in a single segment.
(Related information)
Fiscal year ended March 31, 2013 (April 1, 2012–March 31, 2013)
1

Information on each product and service
Information on each product and service has been omitted because net sales to external customers in a single product orservice category accounted for more than 90% of net sales in the consolidated statement of income.

2

Information on each region(1) Net sales
Information on net sales in each region has been omitted because net sales to external customers in Japan accounted formore than 90% of net sales in the consolidated statement of income.

(2) Tangible fixed assets
Information on the amount of tangible fixed assets has been omitted because the amount of tangible fixed assets in Japanaccounted for more than 90% of the amount of tangible fixed assets in the consolidated balance sheet.
3

Information on each major customer
Information on major customers has been omitted because there is no external customer for which net sales is 10% of net
sales of the consolidated statements of income.
Fiscal year ended March 31, 2014 (April 1, 2013–March 31, 2014)

1

Information on each product and service
Information on each product and service has been omitted because net sales to external customers in a single product orservice category accounted for more than 90% of net sales in the consolidated statement of income.

2

Information on each region(1) Net sales
Information on net sales in each region has been omitted because net sales to external customers in Japan accounted formore than 90% of net sales in the consolidated statement of income.
(2) Tangible fixed assets
Information on the amount of tangible fixed assets has been omitted because the amount of tangible fixed assets in Japanaccounted for more than 90% of the amount of tangible fixed assets in the consolidated balance sheet.

3

Information on each major customer
Information on major customers has been omitted because there is no external customer for which net sales is 10% of net
sales of the consolidated statements of income.
(Information relating to impairment loss of fixed assets by reportable segment)This information has been omitted because the Group has only one segment.
(Information relating to goodwill amortization and unamortized balance by reportable segment)This information has been omitted because the Group has only one segment.
(Information relating to gain on bargain purchase by reportable segment)
No relevant items- 29 -

(Per-share data)
Fiscal year ended March 31, 2013(as of March 31, 2013)(Unit: Yen)
Fiscal year ended March 31, 2014(as of March 31, 2014)

Net assets per share

1,644.15

1,756.27

Net income per share

142.27161.83Item(Notes) 1. Since no latent share exists, the amount of diluted net income per share is not stated.
2. The amount of net income per share and the basis for calculation are as follows:
3. In accordance with a decision made by the Board of Directors on August 23, 2012, the company
conducted a 100-for-1 stock split on October 1, 2012, and adopted the share-trading unit system, which
will treat 100 shares as a single unit of stock. As a result, net income per share has been calculated as if
the stock split had been conducted at the beginning of the previous consolidated fiscal year.
4. As stated in "Changes in accounting policies," the Accounting Standard for Retirement Benefits has been applied
and transitional treatment is conducted as stipulated in Article 37 of the Accounting Standard for Retirement
Benefits.
As a result, net assets per share have decreased by ¥3.38 for the current fiscal year.
Item

Fiscal year ended March 31, 2013
(April 1, 2012–March 31, 2013)

Fiscal year ended March 31, 2014
(April 1, 2013–March 31, 2014)

4,720

5,370

-

-

4,720

5,370

33,183,800

33,183,800

Net income (million yen)Amount not allocable to common stockholders(million yen)
Net income related to common shares (million yen)
Average number of shares of common stock outstanding(shares)
Outline of latent shares not reflected in the calculationof diluted net income per share since they have no
dilutive effect———(Significant subsequent events)
No relevant items- 30 -———

5. Others(1) Personnel change in board members[1]

Change in representatives of the Company
No relevant items[2]

Change in other (Planned for June 18, 2014)
1.

Candidates for new director
Managing Director

Kenichi Ozawa

Director

Teruo Fujishima

Director

Nobuyuki Kikuchi(Current Corporate Officer)(Current Corporate Officer)(Current Corporate Officer)*These appointments will be made after they are approved at the 26th Annual General Meeting of Shareholders, to beheld in June 18, 2014. Kenichi Ozawa’s appointment to the position of Managing Director will be made after
approval at the Board of Directors meeting to be held after the Annual General Meeting of Shareholders.

2.

Director planning to retire
Toru Suenaga(Corporate Officer to be)*Toru Suenaga will resign his post as Director at the conclusion of the 26th Annual General Meeting of Shareholders,
to be held in June 18, 2014, and will be appointed to the position of Corporate Officer.

- 31 -