Translation of the Japanese press release
August 24, 2009
Nikko Cordial Securities Inc.

Organizational Changes
Nikko Cordial Securities Inc. today announces organizational changes as per
appendices:###Media:
Nikko Cordial Securities Inc.
81-3-6270-9279

About Organizational Changes
Nikko Cordial Securities Inc. will implement the organizational changes effective as ofAugust 27, 2009.
[Purpose]
In order to promptly establish organizational structure of a new company (thecorporate name is scheduled to be changed from “Nikko Cordial Securities De-merger
Preparatory Company Ltd.” to “Nikko Cordial Securities Inc.”) which will start
operations on October 1, 2009, by succeeding all the operations of Nikko CordialSecurities Inc. and part of operations of Nikko Citigroup Limited., subject to relevant
authorities’ approvals and registrations, Nikko Cordial Securities Inc. implements thefollowing organizational changes in its institutional business unit to reinforce anddevelop structures for institutional sales force and trading and to build institutionalsales structure based on branch operations for the new company.
[Organizational Changes]
1. Institutional Business Unit
The institutional business unit will be reorganized into four departments, EasternJapan, Tokai, Kinki, and Western Japan from the existing two-department-structure inorder to build more community-based institutional sales structure principally centeredon branch managers.
(1) Institutional Business Eastern JapanEngage in promotion of institutional sales as well as operations andmanagement of institutional sales force that belong to Institutional Clients
Departments of Sapporo, Sendai, Niigata, Saitama, Kanto, Chiba, Yokohama,and Mito and ten branches (Aomori, Morioka, Akita, Yamagata, Fukushima,Utsunomiya, Takasaki, Nagano, Matsumoto, and Kofu).
(2) Institutional Business Tokai
Engage in promotion of institutional sales as well as operations andmanagement of institutional sales force that belong to Shizuoka Institutional
Clients Department, and three branches (Hamamatsu, Gifu, and Yokkaichi).
(3) Institutional Business Kinki
Engage in promotion of institutional sales as well as operations andmanagement of institutional sales force that belong to Institutional Clients
Departments of Kyoto and Kobe and two branches (Wakayama and Nara).
(4) Institutional Business Western JapanEngage in promotion of institutional sales as well as operations andmanagement of institutional sales force that belong to Institutional Clients
Department of Okayama, Hiroshima, Fukuoka and Yamaguchi and sixteen
branches (Toyama, Kanazawa, Fukui, Yonago, Fukuyama, Takamatsu, Kochi,Matsuyama, Tokushima, Saga, Naha, Oita, Kumamoto, Nagasaki, Miyazaki,and Kagoshima).

2. Establishment and Reorganization of Divisions(1) Financial Market Products Trading Preparatory Office
Set up structures for trading and fund investment proposals and direct tradingfor major and regional financial institutions and operating companies incooperation with relationship managers in charge of institutional sales.
(2) Sales Group for Wholesale Clients
In order to strengthen investment-related business including sales ofinvestment trusts and business to provide solutions on investments andtrading techniques for corporate clients such as listed companies, Investment
Management Advisory Service Section will be reorganized as Sales Group for
Wholesale Clients. The sales bases will be set up in Nagoya and Osaka.
(3) Institutional Business
Thirteen Institutional Clients Departments in Sendai, Niigata, Saitama, Chiba,
Yokohama, Shizuoka, Mito, Kyoto, Kobe, Okayama, Hiroshima, Fukuoka, andYamaguchi were established or reorganized. The current eleven Institutional
Clients Departments are reorganized and expanded to fourteen. In addition,
sales representatives will be deployed to thirty-one branches.

Changes in Executive Responsibilities (Effective as of August 27, 2009)

Hideto Yoshikawa

Kenichi Shimizu

Eiji Yamada[New] Senior Executive Managing Director, Head of
Institutional Business Unit, Head of IPO Underwriting &Consulting, Head of Institutional Business Tokai and Headof Institutional Business Kinki[Previous] Senior Executive Managing Director, Head ofInstitutional Business Unit and Head of IPO Underwriting &Consulting[New] Executive Managing Director, Head of Institutional
Business Western Japan[Previous] Executive
Institutional Business II

ManagingDirector,

Headof[New] Executive Managing Director, Head of Institutional
Business Eastern Japan[Previous] Executive
Institutional Business I###ManagingDirector,

Headof