Nichii Gakkan Company
Financial Results
Briefing Document
for the year ended March 2007

May24, 2007

FY Mar. 2007
Financial Highlights
FY Mar. 2008
ForcastPresident and Representative Director
Takashi Mori
Financial Results Briefing Document for the year ended March 20071

Table of Contents

1. FY Mar. 2007 Financial Highlights① Financial Highlights② Segmental Report
2. FY Mar. 2008 Forcast① Financial Forcast② Segmental Forcast

Financial Results Briefing Document for the year ended March 2007

2

FY Mar. 2007 Financial Results
Consolidated(Millions of Yen)YoY

FY Mar. 2006

FY Mar. 2007

206,222
4,990

202,549
2,635(3,673)(2,355)(1.8)%(47.2)%

Ordinary Income

5,185

2,709

(2,476)(47.7)%Net Income

1,974

774

(1,200)(60.8)%Net Sales
Operating Income

Non- consolidated

Operating Income
Ordinary Income
Net Income％(Millions of Yen)FY Mar. 2006
Net Sales

ChangeFY Mar. 2007

197,635
4,956
5,257
(978)

Financial Results Briefing Document for the year ended March 2007

198,099
2,506
2,682
856
3

YoY
Change464(2,450)(2,575)
1,834

％

0.2%
(49.4)%(49.0)%-

Segmental Results of Net Sales (Consolidated)(Millions of Yen)YoY

FY Mar. 2006

FY Mar. 2007

108,091

110,966

Health Care Business

80,902

78,272 (3.3)%

Education Business

13,59912,478 (8.2)%

Others12,072

2,793 (76.9)%

Eliminations(8,443)(1,962)-

206,222202,549(1.8)%

Medical Support Business

Total

Financial Results Briefing Document for the year ended March 2007

4

％

2.7%

Segmental Results of Operating Income (Consolidated)(Millions of Yen)FY Mar. 2006

Medical Support Business
Health Care Business
Education Business
OthersEliminations
Total

Financial Results Briefing Document for the year ended March 2007

11,4382,010(2,419)41(6,081)4,990

5FY Mar. 2007

YoY％

10,824 (5.4)%
1,820 (9.5)%
1,709
254 519.5%
8,555
2,635 (47.2)%

FY Mar. 2007 Balance Sheets（Consolidated）(Millions of Yen)
ChangeFY Mar. 2006

FY Mar. 2007

45,242

42,464(2,778)

Tangible
Fixed Assets

35,11534,473(641)

Intangible
Fixed Assets

3,996

3,804

(191)

Investments
andOther Assets

13,543

11,372(2,171)97,898

92,115(5,782)

42,567

31,375(11,192)

3,038

8,492

5,453

Total Liabilities

45,60652,247(5,738)

Total Shareholders’Equity52,15952,039(119)

Current
AssetsFixed
AssetsTotal Assets
Current
Liabilities
Long - term
Liabilities

Financial Results Briefing Document for the year ended March 2007

6

Changes in Cash Flows (Consolidated)
CF from
Operatingactivities

CF from
Investingactivities

CF from
Financing
activities

14,00012,391

12,000

9,570

10,000

7385

6,672

8,000
6,000

3,871

2,656

4,000
2,000

Cash and cash
equivalents at
end of the year471

▲1,0900

1,486▲ 2,000▲ 4,000▲ 6,000▲ 8,000▲4,502▲5,538FY Mar. 2005
Financial Results Briefing Document for the year ended March 2007

▲4,386FY Mar. 2006
7

FY Mar. 2007

Overview of FY Mar. 2005 – FY Mar. 2007
Approaches to Fundamental Organizational Reform for Long Term Steady Growth- Adoption of new employment system■Home-visit
nursing Care
■Home Care
Support■Day Care- Maintenance and improvement ofcare service centers and system(217 additional home care service centers,
149 additional home care support centers)

672

184

191

FY04

FY05

Other
Businesses
Operating
Income- Maintenance of nation-wide care andpreventive care service infrastructure system(864 centers offering preventive care service*Property based counting)- Restructure of our group[1 subsidiary transferred, decisions to liquidate
2 subsidiaries reached]- Renewal to new employment system- Transition to new management system

714

894
708

230

251

FY06

FY07
254

▲355

(Millions of yen)

41
FY06

FY07

1,943

1,475

FY06

FY07

FY05
4,698
Inventory
AssetsFiscal Year Ended March 2007

(Millions of yen)

- Response to revision of care insurance systemand treatment fee- Formulation and implementation of new advertisingstrategy including TV commercials- Unifying Brand- Transition to Specialized Branch System
Financial Results Briefing Document for the year ended March 2007

669

520

Fiscal Year Ended March 2006

06年3月期

893

889

Care Center
Numbers

Fiscal Year Ended March 2005

FY05

8

About Specialized Branch System
Organization
Organization
SystemSystemOrganizing
Organizing
Situation
Situation

1980

Set up sales system in all 47 prefectures

2000

With care insurance laws in force, maintenance of780 care centers nation wide proceeded

2007

Organized to business specialized branch system

Organization:

About
About
SpecializedSpecialized
BranchBranch System
System- 47 Education Business Backbone Branch Offices- 96 Medical Support Business Branch Offices- 96 Health Care Branch Offices- 18 Block Sales Management Departments- 3 Head Office Business Head Quarter
Aim:[1] Improving qualities of business andpromoting quantitative expansion[2] Building stable human resource supply system[3] Further improving sales system

Financial Results Briefing Document for the year ended March 2007

9

FY Mar. 2008
ForcastFinancial Results Briefing Document for the year ended March 2007

10

FY Mar. 2008 Forcast （Consolidated）(Millions of Yen)FY Mar. 2008
ForcastYoY YoY

201,600(0.5)%

Operating Income

2,730

3.6%

Ordinary Income

2,840

4.8%

970

25.2%

Net Sales

Net Income

Financial Results Briefing Document for the year ended March 2007

11％

FY Mar. 2008 Segmental Forcast of Net Sales (Consolidated)(Millions of Yen)FY Mar. 2008
ForcastYoY％

111,500

0.5%

Health Care Business

77,100(1.5)%

Education Business

12,5000.2%

Others2,600(6.9)%

Eliminations(2,100)-201,600(0.5)%

Medical Support Business

Total

Financial Results Briefing Document for the year ended March 2007

12

FY Mar. 2008 Segmental Forcast of Operating Income (Consolidated)(Millions of Yen)FY Mar. 2008
Forcast

YoY
YoY

％

10,670(1.4)%

Health Care Business

1,400(23.1)%

Education Business

(970)

-

Others250(1.6)%

Eliminations(8,620)

-

Total

2,730

3.6%

Medical Support Business

Financial Results Briefing Document for the year ended March 200713

Medical Support Business FY Mar. 2008 Forcast
Consolidated(Millions of Yen)

07/3

08/3

110,966

Operating
IncomeRate of
Operating
IncomeNet
Sales

Non- consolidated

ChangeIncrease

111,500

534

Increase
0.5%

10,824

10,670(154)(1.4)%

9.8%

9.6%

-

-

08/3

Hospitals

91,88192,300

Clinics

18,72718,800Total

110,609111,100

07/3

08/3

110,609

Operating
IncomeRate of
Operating
IncomeNet
Sales

ChangeIncrease

111,100

491

0.4%

5,962

5,800

(162)

(2.7)%

5.4%

5.2%

-

-

Number of contracted
medical institutions

Sales breakdown
07/3(Millions of Yen)

ChangeIncrease

07/3

08/3

(Case)

Change0.5%

Hospitals

2,368

2,350

（18）

73

0.4%

Clinics

10,746

10,750

4

491

0.4%

Total

13,114

13,100419▲-

Financial Results Briefing Document for the year ended March 2007

▲

-

14

Increase（0.8）%
0.03%（14） （0.1）%

Medical Support Business

Review and revisions ofContract

Approaches for March 2008
Securing and Developing
Human Resources- Ensure appropriateness ofcontracts- Reviewing and improving
the Career-up system-Secure appropriate profit- Improving various courses

ExpandingBusiness Support Service- Receipt accuracy study- DPC Business- Assessment returns analysis
system- Opening user support
website- Expanding regional medical
cooperation business- Receipt Check System

1) Expanding contracts of current users
2) Improving efficiency of businessby improving skills of employee－ Cost Percent■ Staffnumber[Change in Net Sales per Hospital](Ten thousand of Yen)

(Person)

4000
3000
2000

3,140

3,481

3,484

3,927

40,00020,0001000
060,0002004.3 2005.3 2006.3 2007.3

84.3％

（％）

82.4％

82.5％

90

56,80080

55,48070

54,50002005.3Financial Results Briefing Document for the year ended March 20072006.315

2007.3[Number of nation-wide DPC-ready
Hospitals (Ministry of Health,Labour and Welfare)](Numbers)

1,000

1,000

800
600

360

400

60

200

50

0

82
2004.42006.42012.4(Planned)

Health Care Business
Consolidated

FY Mar. 2008 Forcast(Millions of Yen)

07/3

08/3

ChangeIncrease

78,272

77,1001172

Increase
1.5%

Operating
Income

1,820

1,400

420

Rate of
Operating
Income

2.3%

1.8%

-

Net
Sales

Sales breakdown

08/3

110,609

IncomeRate of
Operating
Income(1.4)% Operating-(Millions of Yen)

Home-visit
nursingcare service

40,45340,000(453)(1.1)%Day care service

14,25615,800

1544

10.8%

Sales and rentalof welfare
equipment

10,501

7,000(3501)(33.3)%

Other service

9,801

8,600

(1201)

75,011

71,400(3611)

ChangeIncrease

111,100

491

0.4%

5,962

5,800

(162)

(2.7)%

5.4%

5.2%

-

-

Number of service users

Change Increase

08/3(Millions of Yen)

07/3
Net
Sales

07/3

Total

Non- consolidated(case)

Change Increase

07/3

08/3

34,44337,800

3,357

9.7%

61,87762,800923

1.5%

17,33819,000

1,662

9.6%

(12.3)%

Sales and rentalof welfare
equipment

26,29428,600

2,360

8.8%

(4.8)%

Total

105,509110,400

4,891

4.6%

Financial Results Briefing Document for the year ended March 2007

Care planning
service16Home-visit
nursingcare service
Day care serviceSegment Information Health Care Business(On Effects of Reforms of Nursing Care Insurance System)
Average Spending Amountof Home-visit nursing Care
Service (Our Company)

Changes of Home Service Cost
Unit:
Trillion Yen

3.5

Unit:
Ten thousand Yen■ Total Cost of Home Service [Nationwide](Numbers referenced from:
Ministry of Health, Labour and Welfare)

3.0(Approximately
6.7% decrease)

2.0

0.5

1.2

2.0

0.0
FY March 2001

01年3月期

60
40

03年3月期FY March

2006
05年3月期FY March
2007

0
March
03年3月
2003

March

07年3月
2007

FY March

Unit: Million Yen(Quarterly sales for 2007)

783(Approximately
3.3% decrease)

600
300

204

0
03年3月期FY March

05年3月期2006

FY March

07年3月期
2007

Financial Results Briefing Document for the year ended March 2007

07年3月期2007

FY March
200817

Unit: Contract(As of end of March 2007)

116

80
40

01年3月期FY
March 2001

March

March

03年3月期
2003

Contract and Sales ofRegional Support Business

07年3月期 2008

809

900

31.8

20

●Net Sales of Health Care Business [Our Company]
Unit:
Hundred million Yen

0

80

5.2

4.0

98.0

100

3.0

1.5
1.0

4.6

5.0
3.0

2.5

Unit:
Hundred million Yen

6.0

3.2

Net Sales of
Other Non-insurance
Covered Services

45

70.4

2.9

4～6月

Apr - Jun

140
70
0

Apr - Jun
Oct – Dec
7～9月 10～12月
1～3月

Jul – Sep

Annual sales
FY March 2007
1.4 hundred
million Yen↓
FY March 2008
(Planned)
4.0 hundred
million Yen

Health Care Business

Entry into Elderly Housing Business■New Company Name:

Nichii Living Inc.

■Date of Foundation:

July 2007■Capital Stock:

One hundred million Yen(100% Investment by Nichii)■Businesses: (1) Rental housing business for elderly(2) Provide necessary life support services at above facility(3) Provide care services(4) Relevant services accompanying and relating to (1)-(3)■First-year Business Plan:First business facility is planned to be completed by February 2008.
The goal is to achieve the even point on operating income basein the third year after the start of business.

* Pictures are images of services.
Financial Results Briefing Document for the year ended March 200718

Health Care Business Development of Elderly Rental Housing Business

Regional Cooperation

Our Home Care
Services

Home Nursing
StationEmergency
Hospitalization

Nichii Living

Day CareNew company for operating elderly
housing business

Rental housing for elderly

Emergency
Doctor Visit

Periodical
Home Care

Cooperating
Hospital

Home Nursing Care
Support Clinic*For cooperation, top priority is to our users
entrusted with medical clerk business

Home Care

Helper Station
Tenant Occupancy

Admission support to facility services responding
to changes in the conditions of elderly

Facility Services(Our Company)(Jointly with anothercompany)
Antcare holdingsHome Bathing
Assist Service
Home Care
SupportInsideFacility Services

SpecialElderly Nursing Home

Group Home

Care House--- Our available services

Financial Results Briefing Document for the year ended March 2007

19

Health Care Facility
for Elderly

Business (System) Names and Service Contents

Our Approach[Regional Support Business (Nursing Preventive Care Service)]

GeneralElderly- Population Approach (General Business)[Regional support business]

Group education, spreading and educating activities, etc.

Acquired Contracts: 116- High-risk Approach (Specified Business)

Record for year ended March 2007

Provide and evaluate service based on simple nursing
preventive care plan

Specified
Elderly* Business style will be "local government commission"Comprehensive
Comprehensive[Home Nursing Care][Home Nursing Care]Regional
Regional Support
SupportCenterCenter< New Preventive Care Service>

Those
Requiring
Support<New Preventive Care Service(Nursing Preventive Care)>
Improving locomotion,
Improving nutrition,
Improving oral function, etc.

Those
Requiring
Care<Nursing Care Service>
Home-visit nursing care service,
Home bathing support
Day care, Welfare equipment,
etc.

(Light Care)

Number of Users: 19,940
HomeHome Care
Care[New "Home"]

Rental housing
for elderly

SupportSupport Center
Center
Home
Home Nursing
Nursing
Care
Care
SupportSupport Clinic
Clinic[Specified Facilities]- Pay Nursing Home with
Nursing Care

*Total amount controlof pay nursing home

- Care House- Group Home

[3 Facilities of Nursing Care
Insurance]*Revision of hospital beds
(From April 2012)- Health Care Facility for Elderly- Nursing Care type Medical Facility

Financial Results Briefing Document for the year ended March 2007

Record for year ended March 2007
<Nursing Care Service>
Number of Users: 85,569
Number of Centers: 1,334
Record for year ended March 2007

[Company for Business of Rental
Housing for Elderly]
Launching of “Nichii Living”
Living”[Facility Type Nursing Care]
Investment for Antcare Holdings- Special Elderly Nursing Home

(Heavy Care)

Number of Centers: 1,319

20

Education Business Forecast for Fiscal Year Ending in March 2008
Consolidated

Non-consolidated(Millions of yen)

(Millions of yen)

Net Sales
Operating
IncomeRate of
Operating Income

Changes

Growthin Amount

Percentage

07/3

08/3

12,47812,50022

0.2%(1709)

(970)

739

-

(0)

(0)

-

07/3
Net Sales
Operating
Income-Rate of
Operating Income

08/3(Millions of yen)

12,50022

0.2%(2250)(1500)

750-(18.0)%(12.0)%(Millions of yen)

08/3

ChangeIncrease

Medical Clerk Class

5,500

6,000

500

9.1%

Home Helper 2nd Class

5,754

5,300

(454)

(7.9)%

Babysitter and Others

1,224

1,200

(24)

(2.0)%

12,47812,500

22

0.2%

Total

Financial Results Briefing Document for the year ended March 2007

21

GrowthPercentage

12,478Change in Course-by-course Sales

07/3

Changesin Amount--

Education Business Expanding Shares into New Student Targets

Target Audience
Light interest
interestLight
audience
audienceBaby-boomer
Baby-boomer
generation
generation

Student
Student

Client Needs

Proposed Items

Short time
time
Short
Low cost
cost
Low

Babysitter (Child-raising)(Child-raising) Seminar
Seminar-- Babysitter-- HomeHome Care
Care Techniques
Techniques Seminar
Seminar
40億円
36億円
Home Preventive
Preventive Care
Care Seminar
Seminar-- HomeKnowledge
KnowledgeTVTVcommercial
commercial

Our by-Age Student Makeup Ratio
10s

20s

30s

40s

50s

(Cases)（件）

Over 60

2006.3
Helper2007.32006.3
Medicalclerk

2007.30%Financial Results Briefing Document for the year ended March 2007

50%

22

Magazine
Magazine
Newspaper
Newspaper

Home Helper
Helper Course
Course-- Home-- Medical
Medical Clerk
Clerk Course
CourseJob
Job
opportunity
opportunity

Response
Advertising
WebsiteWebsite100%

Education Business Efficient Class Deployment by

Specialized Branch Office System
Class Market Area underSpecialized Branch Office System

Class Market Area under
Conventional Branch Office System

More efficient and varied class deployment are possible
in the overlapping market area.
<Setting up days and hours
specific classes>

Class Expansion
by Each Branch Office Area

Class A(Specific daysof the week)

Class B(X Branch Office)Class C(Z Branch Office)Class B(Specific days
and hoursof the week)

Class B
(Medical clerk
specialized)
Class A
(Helper specialized)
Class C
(Accepting
both courses)

Class C
(Night time only)(Y Branch Office)Class A

<Setting up specialized classes><Abolishing, increasing,and merging classes>
Placing instructors at each area
= Efficient instructor placement
is possible

Each class of branch offices
has an instructor

Financial Results Briefing Document for the year ended March 2007

Increasing thesize of class A(Combiningclass B and C)

By reforming to the specialized branch office system, businessdeployment area of each branch office has widened.
Efficient placement and deployment of instructors and advertisements
advertisements
became possible, and the system made it possible to improve classclassincome and operation efficiency.

23

Education Business Future Methods of Certifications for Care Workers
Route A

Current
StatusRoute B

Route C

Training Institution Route(Approximately 20,000) *WelfareWelfare-course High School Route(Approximately 5,000 students) *OnOn-thethe-job Experience Route(Approximately 56,000) *Two
Two oror moremore years
years
at
at training
training institution
institution(1,650(1,650 hours)
hours)

Welfare-course High
WelfareWelfare-course
High School
School(1,190(1,190 hours)
hours)

On-theOn
the-job ExperienceOn-the-job
Experience(Equal(Equal to
to oror moremore than
than 3years)
3years)National
National Exam
Exam

Exemption of National ExamTwo
Two oror moremore years
years
at
at training
training institution
institution(Approximately(Approximately 1,800
1,800 hours)
hours)

Welfare-course High
WelfareWelfare-course
High School
School(Approximately
1,800(Approximately 1,800 hours)
hours)

On-theOn
the-job ExperienceOn-the-job
Experience(Equalto(Equal to oror moremore than
than 33 years)
years)＋
Training
Training Course
CourseReformPlan(Equal(Equal to
to oror moremore than
than 66 month)
month)* Accept correspondence courses
to help those working students.

National
National ExamExamInto effect from April 1, 2012
Implementation from the exam
on January 2013

Into effect from April 1, 2009

Into effect from April 1, 2012
Implementation from the exam
on January 2013

* 2007 Number of Newly Certified Care Worker(Reference: Ministry of Health, Labour and Welfare. Bill for partial revision of social and health care workers laws)
Financial Results Briefing Document for the year ended March 200724

Current Status for Number of Care Worker (1)<Reference> Documents of Ministry of Health, Labour and Welfare

Number of Care Workers
Number ofCare Worker

Index numbers with 100 for
the number of employees onyear 2000( Person)

FY 2000

FY 2001

FY 2002

FY 2003

FY 2004

FY 2005

548,924

661,588755,810

884,9811,002,144

1,124,691

100

121

138

161

183

205

Changes of Care Related Worker's Active Job Opening Ratio
FY 2000

Jobs

FY 2003

FY 2004 FY 2005
1.14
1.47

-

-

-

(Excluding part time workers)

-

-

-

-

0.69

0.97

Permanent part time workers

-

-

-

-

2.62

2.86

(Including part time workers)
Permanent

0.60

0.54

0.54

0.66

0.83

0.94

(Excluding part time workers)

0.47

0.42

0.41

0.53

0.71

0.84

Permanent part time workers

1.39

1.28

1.28

1.45

1.32

1.29

Permanent

All Employees

FY 2002-

Permanent

Care Related

FY 2001(Multiples)(Including part time workers)
Permanent

Active Job Opening Ratio: Ratio of number of applicants to job openings available at public job security offices
Permanent: Those employed with an indefinite period of contract or more than 4 months
Part time workers: Those with shorter working hours than normal workers
Permanent part time worker: Part timer workers who work under an indefinite period of contract or more than 4 months

Job Entering and Turnover Rate (FY 2005)
Job Entering Rate

Turnover Rate

+ Nursing Care Workers

28.20%

20.20%All Workers

17.40%

17.50%

Home visit Care Workers

Average Years of Continued Services (Year 2005)

FY 2005

Home Helper

4.6 years

All Industries

12.0 years

Job Entering and Turnover Rate: <Home Care worker + Nursing Care Worker> Rate of workers at October 31, 2004 who are hired (or leave) until the next year
<All Workers> Rate of workers as of January 1, 2005 who are hired for or left the job from the time period of January 1st to the end of December

Financial Results Briefing Document for the year ended March 200725

Current Status for Number of Care Workers (2)Future Estimate for Number of Care Workers<Reference> Documents of Ministry of Health, Labour and Welfare

I Estimated Number of Care Service Applicable Persons○ Estimate of the number with certified care needs and others, of nursing care insurance users, and of old-old users (equal to or over 75)
Ten thousands
2004
Number of Certified

No Preventive Effect [A]Care Needs andOthersPreventive Effect [C]Care Insurance
Users

410

At Facility
At HomeOld-old (Equal to or Over 75) [D]

2011

2014

2024

2030

520

580

640

-

-

500

540

600

-

-

330

410

450

500

-

-

80

100

100

110

-

-

250

310

350

390

-

-

1,110

1,290

1,430

1,530

-

Preventive Effect [B]Number of Nursing

2008

1,980

2,100

(Note 1) The number of nursing care insurance users [C] is based on the current number with certified care needs and others [A]. The reason this number does not equal
the number with certified care needs and others is that the rate of nursing care insurance use is around 80% due to hospitalization and family care.
(Note 2) According to "Japan's Future Population (Estimated on January 2002)" by the National Institute of Population and Social Security Research, year 2030 will be
the peak for the number of old-old.

II Estimated Number (Actual Number-based) of Care Workers in Nursing Care Insurance Business
Ten thousands (Actual number)
Using any estimate, thenumber of care workers
at 2014 is at 1.40 to
1.55 million, and in thenext 10 years, theyearly increase isestimated to be in therange of 40 thousand to
55 thousand.

Case [A]Case [B]

2004

2008

2011

2014

2024

2030

100.2

127.1
122.2
124.6
116.4

141.7
132.0
135.9
129.1

156.4
146.6
150.8
138.1

178.7

189.6

Facility

Case [C]
Case [D]

29.8
Home
70.4

(Note 3) For the estimate of case [C], individual estimates for facility and home were added.

* The composition of permanent and non-permanent care workers of 2004
Facility: Permanent 259 thousand (86.7%), Non-permanent 40 thousand (13.3%)
Home: Permanent 334 thousand (47.5%), Non-permanent 370 thousand (52.5%)
Financial Results Briefing Document for the year ended March 200726

Other Businesses FY Mar. 2008 Forcast
Consolidated(Millions of yen)

Net Sales

07/3

08/3

202,549

201,600

Change Increase(949)

Net Sales(0.5)%

Consolidated
subsidiaries
Nihon Support Service
Co., Ltd.

Operating

2,635
Operating Income

Income

2,730

95

3.6%
Tokyo Marunouchi

Operating
Income to Sales
Rate of
1.3%
1.4%
Operating Income--

Publishing Co., Ltd.

Nihon Credit Lease Corp.

Changes in the other business

Net Sales

2,793

08/3
2,600

Change Increase(193)

Nichii Carenet Co., Ltd.

IncomeRate of
Operating Income

254

250

(4)

(6.9)%

Financial Results Briefing Document for the year ended March 2007-27

and delivery service
・Publishing and saleof publications
and educational tools
Leasing etc.

of welfare equipment
・Home-visit bathing・ Home-visit nursing careservice(1.6)%

Operatingto Sales 9.6%
9.1% Income

and storage

・ home renovation

Keihin Life Service Co., Ltd.
Operating・Data processing

・buying- in and wholesale(Millions of yen)

07/3

Principal Businesses

・Production and sale ofRoris Co., Ltd.

flowers, ornamental plants,
seeds and saplings

FY Mar. 2007 Status of Shareholder Return
¥25

¥20

Dividends
(Yen)
17.5

DOE（％）

3.0%
22.0

22.0

22.0

2.5%
17.5

2.0%
1.5%

¥15

1.3%

1.5%

1.5%
1.5%

1.2%

¥10

1.0%
¥5

0.5%
0.0%

¥0

03/3

04/3

05/3

06/3

※DOE・・・Dividend rate for stockholder's equity[Dividend payout ratio x ROE (Consolidated)]
Financial Results Briefing Document for the year ended March 2007

28

07/3

All the profit targets and other future data including the number ofcontracts, number of users and goals contained in this document are
forecasts based on the information that Nichii Group has at present.
Such information is subject to influence by factors such as economic
circumstances, relaxation of regulations and employment conditions.

Financial Results Briefing Document for the year ended March 200729