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Consortium Inc.

（ＵＲＬ http://www.dac.co.jp/ ）Financial Highlights of 3rd Quarter, Fiscal Year 2008(December 1, 2007 thru August 31, 2008)(1) Consolidated
Net Sales

Operating income

Ordinary income

Net income

3rd Quarter of FY 2008

Mil.¥％
33,199 ( 18.5)

Mil.¥％
970 ( 28.1)

Mil.¥％
943 ( 20.1)

Mil.¥％
389 ( 182.5)

3rd Quarter of FY 2007

28,028 ( 19.5)

757( 11.7)

785 ( 20.8)

137 ( ‑75.6)（Ref.）Fiscal Year 2007

38,6881,303−−Net income

Diluted net income

per shareper share
YenYen3rd Quarter of FY 2008808.93

804.243rd Quarter of FY 2007

282.31

280.10（Ref.）Fiscal Year 2007

1,195.35

1,186.73(2)1,328−

583−

Non−Consolidated
Net Sales

Operating income

Mil.¥％

3rd Quarter of FY 2008
3rd Quarter of FY 2007

30,449 ( 15.9)
26,281 ( 15.5)（Ref.）Fiscal Year 2007

36,090−

Mil.¥

％

989
971( 1.9)( 38.5)

1,451−

Ordinary income
Mil.¥

Net income％Mil.¥％

992 ( ‑0.1)
993 ( 37.6)

485 (‑
1,031 (−)
−)

‑
750−

1,476−Net income
per share
3rd Quarter of FY 2008
3rd Quarter of FY 2007

Yen1,008.16‑
2,113.40（Ref.）Fiscal Year 2007‑
1,537.42（Note）The percentage shown next to Net Sales, operating income, ordinary income and net income represent year‑
on‑year
Changes.

(3)

Consolidated financial position
Total assets

Net assets

Mil.¥
3rd Quarter of FY 2008
3rd Quarter of FY 2007
（Ref.）Fiscal Year 2007

(4)

13,30012,412
13,098Equity ratio

Mil.¥
8,059
7,478
7,553

Equity per share％
55.1
55.9
52.9

Yen
15,077.09
14,200.75
14,417.35

Non−consolidated financial position
Total assets

Net assets

Mil.¥
3rd Quarter of FY 2008
3rd Quarter of FY 2007
（Ref.）Fiscal Year 2007

11,96910,921
11,378Equity ratio

Mil.¥
7,299
6,917
6,761

1

Equity per share％
60.4
63.3
59.2

Yen
14,953.84
14,153.77
14,027.48

DAC Consolidated Financial Statements(1) DAC Consolidated Balance Sheet(Unit：Thousand Yen)

Items of an account

Q3 FY2007(As of August.31, 2007)

AmountQ3 FY2008(As of August.31,2008)

Ratio

AmountRatio%(Assets)

FY2007(As of Nov.30,2007)
Amount

Ratio

%

%

Ⅰ Current Assets
1. Cash and deposits

4,123,755

5,237,708

4,383,409

2. Notes and accounts receivable‑trade

3,369,501

3,852,864

4,264,423

3. Short‑term investment securities

1,243,107

390,357

391,107364,263360,264

784,965

Allowance for doubtful accounts‑2,130‑2,803‑3,155

Total currents assets

9,098,498

4. Ot

her

73.3

9,838,392

9,820,751

74.0

75.0

Ⅱ N o n ‑c u r r e n t Assets
1. Property, plant and equipment

390,658

385,735

390,459

2. Intangible assets(1) G o o d w i l l

355,538

290,922

342,112(2) S o f t w a r e

221,035

372,853

261,774(3) Software in progress(4) Other

122,992
5,080

88,178

124,506
704,647

7,153

6,851

795,435

698,916

3. Investments and other assets(1) Investment securities(2) Other

Allowance for doubtful accounts

1,689,376

1,637,465

1,625,364

656,603766,948

695,118‑127,199

2,218,780‑127,957‑127,715

2,276,456

2,192,767

Total non‑current assets

3,314,086

26.7

3,462,351

26.0

3,277,418

25.0

Total assets

12,412,585

100.0

13,300,744

100.0

13,098,170

100.0

2

(Unit：Thousand Yen)
Q3 FY2007(As of August.31,2007)

Q3 FY2008(As of August.31,2008)

FY2007(As of Nov.30,2007)

Items of an accountAmountRatio

AmountRatio%(Liabilities)

AmountRatio%%Ⅰ Current liabilities
1. Accounts payable‑trade

3,500,114

2. Short‑term loans payable

81,470−91,899−200,000

200,000

4. Current portion of Long‑term loans payable

90,174

139,995

59,4295. Accounts payable‑other

240,894

314,311367,295

6. Income taxes payable

218,059

308,268

176,420

7. Provision for director’s bonuses

22,50022,50030,0008. Or

235,725500,030

275,835

Total current liabilities

4,388,938

3. Current portion of bonds payablethe

3,359,206

35.4

4,844,312

4,025,644

36.4

5,226,524

39.9

Ⅱ Non‑current liabilities
1. Bonds payable

200,000−−

2. Long‑term loans payable

150,005

198,899

140,006

3. Provision for retirement benefits

59,80086,62562,2204. Provision for director’s retirement benefits

91,953

91,25595,013

5. Provision for point certificate

42,43919,84919,829

6. Othe867r

1,114

Non‑current liabilities

545,3124.4

397,036407
3.0

317,936

2.4

Total liabilities

4,934,250

39.8

5,241,348

39.4

5,544,460

42.3

1. Capital stock

3,387,977

27.3

3,387,977

25.5

3,387,977

25.9

2. Capital surplus

2,801,242

22.6

2,741,944

20.6

2,800,445

21.4

835,553

6.7

1,598,208

12.0

1,281,112

9.8(Net Assets)
Ⅰ Shareholders’ equity

3. Retained earnings
4. Treasury stock
Total shareholders’ equity‑95,112‑0.8‑380,605‑2.9‑544,752‑4.2

6,929,661

55.8

7,347,525

55.2

6,924,783

52.9

3,009

0.0

‑22,235

‑0.1

1,823

0.0

334

0.0

‑183

0.0

281

0.0

3,344

0.0

‑22,419

‑0.1

2,105

0.0

7,688

0.1

65,1260.5

22,243

0.2

Ⅱ Valuation and translation adjustments
1. Valuation difference onavailable‑for‑sale securities
2. Foreign currency translation adjustment
Total valuation and translation
adjustments
Ⅲ Subscription right to shares
Ⅳ Minority interests

537,640

4.3

669,1635.0

604,577

4.6

Total net Assets

7,478,334

60.2

8,059,396

60.67,553,709

57.7

Total liabilities and net assets

12,412,585

100.0

13,300,744

100.0

13,098,170

100.0

3

(2)

DAC Consolidated Statements of Income

Items of an account(Unit：Thousand Yen)
FY2007Q3 FY2007

Q3 FY2008(Dec. 2006 thru August 2007)(Dec. 2007 thru August 2008)

AmountRatio

Amount(Dec. 2006 thru Nov.2007)

Ratio

%

Amount

Ratio

%%

Ⅰ

N e t

S a l e s

28,028,027

100.0

33,199,662

100.0

38,688,514

100.0

Ⅱ

Cost of sales

23,770,184

84.8

28,245,905

85.1

32,728,249

84.6

G r o s s4,257,843

15.2

4,953,756

14.9

5,960,265

15.4

3,500,524

12.5

3,983,714

12.0

4,657,049

12.0

757,3182.7

970,0412.9

1,303,216

3.4

53,4820.1

28,6590.1

1,328,039

3.4

94,7140.2

463,0171.1

959,7362.5

483,301

1.2

i n c o m eⅢSelling, general and administrative expenses

ⅣNon‑operating income

Operating income

1. Interest income

18,736

11,99825,054

2. Dividends income

18,473

1,970

21,003

474

687

966

3. Foreign exchange gains

Ⅴ

4. Equity in earnings of affiliates

6,433

5. O

3,632

t

he

r

2,233

16,890

0.0

5,633

4,842

6,783

6,821

2 Equity in losses of affiliates−

22,652−

3. Loss on valuation of securities

13,545

4. O

1,481

t

he

r

Ordinary income

17,642

10,072
19,8690.1

785,198

2.8

4,104

43,613

0.1

943,318

2.8

4,195

Extraordinary income−

11,5329,661

2. Gain on sales of noncurrent assets

1,890

3. G a i n o n c h a n g e i n e q u i t y

68,533−−81,4901. Gain on sales of investment securities

4. OⅦ

0.2

Non‑operating expenses
1. Interest expense

Ⅵ824−
47,749ther

40

70,464

0.2

260

1,828

11,7930.0

1,734

Extraordinary losses
1. Loss on valuation of investment securities

30,497

69,76078,111

2. Loss on sales of investment securities

1,290

852

9,817

3. Loss on retirement of noncurrent assets

28,41433,73932,0004. One‑time amortization of goodwill

227,411−

227,411−−

92,3905,572−−

5. Amortization of advance payments−trade
6. Loss on change in equity7. Other695

293,880

1.0

561,7822.0

543,571

1.9

M i n o r i t y i n t e r e s ts

‑119,560

N e t

137,771

Income before income taxes and minority
interests
Income taxes‑current

473,254

Income taxes‑deferred

70,316i n c o m e

3,537

23,286

107,8900.3

847,2212.5

491,1621.4‑0.4‑33,103‑0.1‑106,894

‑0.2

0.5

389,162

1.2

583,3291.5

436,122

519,021

4‑27,859

47,178

(3) DAC Consolidated Cash Flow Statements(Unit : Thousand Yen)

Items of an account

Ⅰ Cash flows from Operating Activities:

FY2007

FY2008FY2007(Dec. 2006 thru Aug.2007)(Dec. 2007 thru Aug.2008)(Dec. 2006 thru Nov.2007)

AmountAmountAmount

1,052,218

1,233,913

944,022

91,147‑562,664

297,092‑103,354

179,921‑514,160

472

‑977

334

1,040,483

850,193

727,289

3,926,586

4,653,876

3,926,586

4,967,070

5,504,069

4,653,876

Net cash provided by Operating Activities:

Ⅱ Cash flows from Investing Activities:
Net cash provided by (used in) InvestingActivities

Ⅲ Cash flows from Financing Activities:
Net cash provided by (used in) Financing
Activities

Ⅳ Effect of exchange rate change
on cash and cash equivalents

Ⅴ Net increase in cash and cash equivalents

Ⅵ Cash and cash equivalents at
beginning of term
Ⅶ Cash and cash equivalents at end of term5