Feb. 2011 Fiscal Year H1 (March 2010 – August 2010)
Corporate Presentation
October 21, 2010

Ichigo Group Holdings Co., Ltd. (2337)©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

http://www.ichigo-holdings.co.jp/english/

Creating peace of mind throughhonest and committed management©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

2

Laying the Foundation for Stable, Long-term Growth








Core Company of Ichigo GroupNew Real Estate FundBusiness Development
Strengthened Capital Base
Continued Asset Dispositions
Optimizing Balance Sheet
Securing On-Going Profitability
Move to JASDAQAppendices: Financial & Real Estate Data

©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

3

Laying the Foundation for Stable, Long-term Growth©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

4

Core Company of Ichigo Group•

Changed company name to Ichigo Group Holdings Co., Ltd. on September 1, 2010

•Ichigo is a high-commitment, long-term Japanese asset management group•“Ichigo” comes from an ancient Japanese proverb, Ichigo Ichie, literally meaning "Onelifetime, one encounter.” The phrase comes from the writings of a 16th century masterof the tea ceremony, Yamanoue no Souji. Souji called upon his disciples to give total
focus and sincerity to each act of the tea ceremony for a guest, because that particular
moment will only exist once, and must be fully lived and realized. We support thisphilosophy of building and maintaining strong long-term relationships for the successand growth of our clients and shareholders.

Creating peace of mind throughhonest and committed management©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

5

New Real Estate Fund•First fund launch post-name change•Asset Size: JPY 7.3 billion
Equity Investor: DLJ Real Estate Capital Partners (ex-Credit Suisse group)
Operating Period: 4 years
Fund Assets: About 80 office, commercial, and residential properties and land leaseholds

Builds upon Ichigo’s real estate and structuring know-how
 Structured in the form of corporate M&A - acquired all shares of a company which owns both
operating real estate and land leaseholds
 Returns to be distributed to the equity investor from the profits generated by the acquiredcompany’s real estate Designed the fund to maximize tax efficiency and minimize real estate disposition and other costs
 Asset management contract: Ichigo Real Estate Investment Advisors Co., Ltd.

•Working on other attractive Japanese real estate investment opportunities
 Key focuses are sourcing attractive assets and designing custom-made solutions for investors©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

6

Business Development•

Working towards other new fund launches




•

Matching investors’ needs and real estate assets
New classes of investors: Japanese operating companies, domestic pension funds, etc.
Offering custom-made solutionsExpanding opportunities via Ichigo’s strengthened relationships with financial institutions

Rescue AM Ichigo Real Estate Investment Advisors replacing other asset managers as new AM on existing funds
 Won new Rescue AM contract during Q2
 Strengthening relationships with financial institutions to further build out Rescue AM opportunities•

Progress in external growth Maximizing synergies from Takara Building Maintenance acquired via M&A earlier this year
- Used Takara to reduce costs on several fund assets to maximize returns for investors- Increasing Takara’s profitability
 Several candidates for next strategic M&A©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

7

Strengthened Capital Base•

Although Net Assets decreased due to negative FX movements, increased Equity Ratio via
pay down of corporate debt
 Decrease in Net Assets: ¥1.6 billion
 Decrease in Corporate Debt: ¥2.1 billion

Equity Ratio: 49.3%

Equity Ratio: 56.2%+5.4

Assets42.8

Liabilities
21.7

Assets48.2

Liabilities
21.1

Equity Ratio: 57.4%

-3.5

CB4.5

Assets
44.7

CB4.8

+6.0

Net Assets
21.1Feb 10 Full-Year

Net Assets
27.1

Feb 11 Q1-1.4

Liabilities
19CB4.3

Net Assets
25.7

Feb 11 H1(Billion yen)

Pro Forma basis©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

8

Continued Asset Dispositions• Sold ¥1.3 billion in assets in Feb 11 Q2• Expect to continue dispositions

1.31
3.79

5.10

Private Equity 0.29

Private Equity
3.33

Private Equity
3.04

Real Estate
1.01

Private Equity
Domestic: 3
Overseas: 3
Real Estate
Domestic: 2
Overseas: 2

Real Estate
1.76

Real Estate
0.75(Billion yen)Feb 11 Q1

Feb 11 Q2CumulativeFeb 11 H1

Pro Forma basis©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

9Optimizing Balance Sheet
While continuing to pay down existing corporate debt, have begun improving thebalance between short-term and long-term debt

Corporate Debt JPY -2.3B
Total Borrowings & CB

Repayment: -0.7 New Borrowings: +0.3 CB Redemption: -0.1
CB Conversion: -0.2 Deconsolidation via Asset Sales: -1.6

18.6

Total Borrowings & CB

16.3-3.8
Short-term Debt
12.3

Long-term Debt 1.8(Billion yen)

+1.6

Short-term Debt
8.5

Long-term Debt 3.4

CB
4.5

CB
4.3

Feb 11 Q1

Feb 11 H1©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

10

Securing On-Going Profitability••

Expect second consecutive year of profitability
Conservative full-year forecast

Revenues (Cumulative)(Million yen)

Net Profit / Loss (Cumulative)

Progress towards Full-Year Forecast (Post-Upward Revision):
Revenues: 51.5%, Net Profit: 101.7%

21,11213,800
7,111
4,104
1,807

Feb 10Full- Year

2,041

Feb 11 Q1©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

2,341

Feb 11 H12,300

Feb 11 Full-Year
Forecast after Upward
Revision on May 26

11Move to JASDAQ•Ichigo Group Holdings became a JASDAQ-listed company on October 12, 2010, as theOsaka Securities Exchange newly established the JASDAQ market by merging together
Hercules, JASDAQ and NEO•

Selected as a member of the JASDAQ J-Stock index, which comprises the top 75
companies out of over 1,000 JASDAQ companies•Ichigo Group Holdings share information is thus now presented in the JASDAQ J-Stocksection of newspapers and other data services©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

12Appendix: Pro Forma Financial Data

©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

13

Pro Forma Disclosure to Improve Transparency•Under Japanese accounting rules, SPCs in which Ichigo Group Holdings(“IGH”) is a greater than 50% investor or SPCs for which IGH is the asset
manager and no single equity investor holds more than 50% of the total
investment must be consolidated onto IGH’s balance sheet.

•Our statutory consolidated and parent financial statements can thus include
client-related assets and liabilities and P&L which do not belong to IGH. In
order to more accurately reflect the true economic exposures borne by ourshareholders, we disclose Pro Forma financials which are intended to betterreflect IGH’s actual corporate financial position.

©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

14

Balance Sheet (Pro Forma)(Million yen)Feb 10Feb 11 Q1

Feb 11 H1Change (QoQ)

42,804

48,25244,704-3,548Cash and Cash Equivalents

5,268

7,791

7,888

97

Investment (Real Estate)

5,707

5,866

5,860-6

Investment (Domestic companies)

2,046

1,887

1,606-281

Investment (Overseas companies)

10,434

13,324

11,927-1,397

Real Estate Held for Sale

14,231

13,601

11,142-2,459

Other

5,118

5,783

6,281

498

Liabilities

21,687

21,12819,043-2,085Interest-Bearing Debt

13,565

14,113

11,944-2,169

CB

4,790

4,540

4,340-200

Other

3,332

2,475

2,759

284

Net Assets

21,117

27,12425,661-1,463

Total Assets*Pro Forma definition on p. 14©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

15

P&L (Pro Forma)

Breakdown
Feb 10Revenues
Cost of Revenues

Feb 11 Q1

Feb 11 H1Cumulative

Feb 11 Q2

14,127

2,691

1,473

4,165

9,785

1,617

704

2,321

(Million yen)Feb 11 H1Cumulative

Revenues

4,165

Real Estate Management Fees

562

Advisory Fees

36880

Gross Profit

4,342

1,074

769

1,844

Rental Income

SG&A

3,012

584

717

1,301

Real Estate Sales / Dividends

1,005

1,330

490

52543

Securities Sales / Dividends

790

Building Maintenance Fee

727-535

-76

453

376

Other165

795

414

505

919

Gross Profit

1,844

1,380

2,323

-94

2,229

2,175

2,737

411

3,148

Tax795813

Minority Interests

289

691

103

794

1,807

2,041

300

2,341

Operating Profit
Non-Operating Gain (Loss), net

Recurring Profit
Extraordinary Gain (Loss), net

Pre-tax Profit

Net Profit

Real Estate Management Fees

365

Advisory Fees

36

Rental Income

552

Real Estate Sales / Dividends

283

Securities Sales / Dividends

665

Building Maintenance Fee

167

Other-224*Pro Forma definition on p. 14©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

16

Appendix： Consolidated Financial Data

©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

17

Balance Sheet (Consolidated)(Million yen)Feb 10Feb 11 Q1

Feb 11 H1

QoQ change

100,268

107,315

104,107-3,208Cash and Cash Equivalents

10,72813,38912,842-547

Operating Investments in Securities

9,404

9,411

8,501-910

Real Estate Held for Sale

69,44570,056

69,689-367

Fixed Assets

3,201

3,255

3,232

-23

Investments in Securities

7,197

10,1339,512-621

293

1,071

331-740

76,74577,77276,459-1,313

Interest-Bearing Debts (excl. Non-Recourse Loans)

13,642

14,113

11,943-2,170Non-Recourse Loans

50,652

52,13153,395

1,264

CB

4,790

4,5404,340-200

Other

7,661

6,988

6,781-207

Net Assets

23,52329,542

27,648-1,894

Shareholders Equity

20,49525,45724,301-1,156

Minority Interests and Other

3,028

4,085

3,347-738

Total Assets

Other
Liabilities©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

18

Breakdown of Assets (Consolidated)(Million yen)Feb 10
AmountFeb 11 Q1

OutsideInvestors'
Interests

TheCompany's
Interests--

13,389AmountFeb 11 H1OutsideInvestors'
Interests

TheCompany's
Interests--

12,842

AmountOutsideInvestors'
Interests

TheCompany's
Interests

QoQ Changein theCom pany's
Interests---

Cash and Cash Equivalents

10,728Operating Investments in Securities

9,404

0

9,404

9,411

09,411

8,501

08,501-910

2,188

02,188

2,220

0

2,220

2,2210

2,221

180

080

80

080

67

067

-13

Unlisted Domestic Companies

2,780

02,7802,723

02,7232,714

02,714-8

Listed Overseas Companies

2,742

0

2,742

2,854

0

2,854

2,17402,174-680

Unlisted Overseas Companies

1,614

01,614

1,534

0

1,534

1,325

01,325-210

Domestic Real Estate
Listed Domestic Companies

Reference: Allow ance for Bad Debts forOperating Investments in Securities-3,357--3,357-3,427--3,427-3,369--3,36958

Operating Investments in Securities less
Allow ance for Bad Debts for OperatingInvestments in Securities

6,047

-

6,047

5,984

-

5,984

5,132

-

5,132

-852

Real Estate Assets for Sale

69,44553,864

15,58170,05655,052

15,00569,68954,45015,239234

Domestic Real Estate

66,374

51,33015,044

66,91852,463

14,45569,68954,45015,239784

Overseas Real Estate

3,071

2,534

537

3,138

2,589

549

0

00-549Investments in Securities

7,197

0

7,197

10,1330

10,133

9,512

0

9,512

-621

Domestic Companies

423

0423

446

0446

440

0440

-6

Overseas Companies

5,996

0

5,996

8,916

0

8,916

7,949

0

7,949

-967

778

0

778

771

0

771

1,123

0

1,123

352

OthersReference: Allow ance for Bad Debts for
Investments in Securities-115--115

-115

--115

-115

--115

0

Investments in Securities less Allow ance for
Bad Debts for Investments in Securities

7,082-

7,082

10,018-10,0189,397-9,397-621

Tangible Assets

3,201--

3,255--

3,232---

Other Assets

3,765--

4,612--

3,815---

Total Assets

100,268-

28,710107,315-

31,007104,107-

29,768©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

-1,23919

P&L (Consolidated)(Million yen)Feb 10Feb 11 Q1

Feb 11 H1Cumulative

Feb 11 Q2

Full-Year
Forecast

21,112

4,104

3,006

7,111

13,80051.5%

16,991

3,017

2,107

5,124－－

Gross Profit

4,120

1,087

899

1,986－

SG&A

3,011

583

717

1,301

1,108503

182-535-77

573

Revenues
Cost of Revenues

Operating Profit
Non-Operating Gain (Loss), net

Recurring Profit
Extraordinary Gain (Loss), net

Pre-tax Profit
Tax
Minority Interests
Net Profit

Feb 11 H1Cumulative

Progress

Revenues

7,111

Real Estate Management Fees

383

Advisory Fees

35－

Rental Income

2,838

－－

Real Estate Sales / Dividends

2,285

Securities Sales / Dividends

790

685

1,000

68.5%

Building Maintenance Fee

727

452

376

－－Other

53426

634

1,061

1,000

Gross Profit

1,986

1,380

2,323

-93

2,229－－

1,953

2,749

541

3,290－－785712－－67

703

233

936

1,807

2,041

299

2,341

©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

－2,300106.1%－101.8%

Real Estate Management Fees

206

Advisory Fees

24

Rental Income

1,081

Real Estate Sales / Dividends

198

Securities Sales / Dividends

663

Building Maintenance Fee

166

Other-352

20

Appendix： Real Estate Data

©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

21

Cumulative Assets Under Management••

Historic Cumulative AUM Exceeds ¥1 trillion
Strong Long-Term Track Record of Managing Real Estate for Clients(billion yen, # of funds in parenthesis)

1,128.4
(137)

1,200

1,000

REIT
Operating
Development

64.0

791.7
(107)

800

62.0

498.8
(70)

600

544.8

1,164.5(141)

1,175.1(141)

1,181.1
(143)

64.0

64.0

64.0

568.7

572.9

578.9

Operating
49%

400

200

0103.5
(15)
38.7
64.8

REIT
5%

378.3

56.0

213.4
(33)

(As of August 2010)

Development
46%

219.4
519.6

531.8

538.2

538.2

351.4

87.1
223.5
126.3

Assets Under Management
Assets managed within funds - does not include
investments held directly by IGH on B/S©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

22

Assets Under Management••Expertise across Full Spectrum from Development to Operating Assets
97% of Current Portfolio is Comprised of Operating Assets(As of August 2010)

Development
3%

600
REIT

530.1

500

(billion yen)

496.0

Operating
62.0

Development

426.5
Operating
97%

400

330.6

257.0

335.9
335.0

56.0

300

266.6
320.7

200

166.4

123.4
258.3

66.4
100

78.8
32.7

Breakdown of Equity Investors

312.1

Domestic Financial
Institution
9%

211.1
151.2

161.0

100.0

46.1
0

105.9
23.8

8.3

IGH
31%

Overseas Operating
Company7%

Domestic OperatingCompany
6%
Domestic Insurance
Company1%

Overseas Pension
Fund34%

Overseas Financial
Institution
12%©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

23

Real Estate Portfolio••

Mainly Office, although Significant Track Record across a Wide Variety of Asset Types
Particular Experience in Managing Small & Mid-Size Assets from ¥1 - 5 billion in Tokyo
AUM by Type# of Properties by Type
(Unit: # of buildings)

Other
3%

Residential
13%

Nursinghomes

AUM by Location

Nursing homes
82%

Kanto1%

Mixed9%Commercial
5%(As of August 2010)

Other6Of f ice
65%Of f ice
40

Residential
21

Development
3%

Mixed
7

Fukuoka
9%

Other6%

Sendai2%

Nagoya
2%

Osaka
10%

Development
1(Unit: # of buildings)

Tokyo
69%

Commercial
6

AUM by Size

# of Properties by Size
(Unit: # of buildings)

0~1 bn yen
7%
10 bn yen~
19%

Tokyo
52

10 bn yen~3

5~10 bn yen
10

Kanto 10～1 bn yen
25

Fukuoka15

1~5 bn yen
44%
5~10 bn yen
29%©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

1～5 bn yen
51

Sendai 2

Osaka
6Nagoya4
Other924

IGH Real Estate Cap Rates••

Cap Rates Increased Due to Early Adoption of Lower of Cost or Market Rule
Continually Mark Assets In-line with Current Market Pricing and Eliminate Any Unrealized
Losses from B/S(As of August 2010)

Real Estate Investments held by Funds (SPCs)(Million yen, except for percentage data)

Book value
Location

Acquisition value

Cap rate (at acquisition)

Cap rate (current)

NOI / Acquisition value

NOI / Book value after write-down

NOI (current)(after write-down)Tokyo

166,430

142,089

7,487

5.2%

6.2%

Outside Tokyo

60,113

43,8263,216

5.6%8.1%

Total

226,543

185,915

10,703

5.3%

7.0%

Real Estate Investments directly held by IGH(Million yen, except for percentage data)
Book value
Location

Acquisition value

Cap rate (at acquisition)

Cap rate (current)

NOI / Acquisition value

NOI / Book value after write-down

NOI (current)(after write-down)

Tokyo

7,083

4,587

343

5.5%

7.2%

Outside Tokyo*

8,493

5,737

579

6.3%

9.8%

Total

15,576

10,324

922

6.0%

8.8%

*Cap rate calculation excludes one development asset (c. JPY800MM) which is not currently generating NOINOI (Net Operating Income)NOI = rental income – management costs (taxes, property management fees and repairs)©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

25

These materials were prepared to explain the Company’s businesses and are not for the purpose ofsoliciting investment in marketable securities issued by the Company. The Company does notguarantee the accuracy of the figures, information, estimates or other statements included herein, andaccepts no responsibility for damages or losses arising through the use of the figures, information,
estimates or other statements contained herein.
These materials are also based upon information available as of August 31, 2010, and containforward-looking statements pertaining to the Company’s expectations, targets, plans and strategies.
Such forward-looking statements are not facts, but are the result of management’s judgment based on
information available as of this date. Actual operating results or developments concerning theCompany may differ substantially from those indicated by forward-looking statements. The information
enclosed is also subject to revision without prior notice.

Contact:
Ichigo Group Holdings Co., Ltd.
Accounting & Business Planning
TEL: +81-3-3502-4818 FAX:+81-3-3502-4801
E-mail： IR@ichigo-holdings.co.jp
www.ichigo-holdings.co.jp/english/
Ichigo Group Holdings is Japan’s first zero carbon listed real estate company.
We are taking responsibility for the carbon emissions we create, such as via thispresentation material, by taking measures to create offsets to our carbon
emissions and working with organizations to invest in low-carbon technologies.

©2010 Ichigo Group Holdings Co., Ltd. All rights reserved.

26