DigitalAdvertising（ＵＲＬ

http://www.dac.co.jp/ ）Consortium

Inc.

Financial Highlights of 3rd Quarter, Fiscal Year 2011
(1) Consolidated operating results

3rd Quarter of FY 2011
3rd Quarter of FY 2009

Net sales

Operating income

Mil.\％
40,014 (12.2)
35,676 ( 7.5)

Mil.\％
1,197( 213.9)
381( -60.7)

Net income

Diluted net income

per shareper shareYen
1,380.54-34.13

3rd Quarter of FY 2011
3rd Quarter of FY 2009(2)

(December 1, 2009 to August 31, 2010)

Ordinary income

Net income

Mil.\％
1,268 ( 301.4)
316 ( -66.5)

Mil.\％725( - )-17 ( - )Yen
1,371.67-Consolidated financial position
EquityTotal assets

Net assets

Equity Capital ratio
per shareMil.\
3rd Quarter of FY 2011
Fiscal Year 2009(3)

16,445
15,499Mil.\
10,582
9,924％

Yen
18,645.34
17,284.08

End of period

Annual dividend

59.6
58.6

Dividend per share

Record date

End of 1st

End of 2nd

End of 3rdquarter

quarterquarter

Yen

Yen

Yen

Fiscal Year 2009

―

0.00

―

Fiscal Year 2011

―

0.00

―

Fiscal Year 2011
(expected)

Yen
200.00

TBD

Yen
200.00TBDDAC Consolidated Financial Statements(1)DAC Consolidated Balance Sheet(Unit:Thousand Yen)
Items of an account

FY2011(As of Aug 31,2010)

FY2009(As of Nov 30,2009)

AmountAmountAssets
Current assets
Cash and deposits

6,320,575

5,678,796

Notes and accounts receivable-trade

5,291,000

5,047,038

Short-term investment securities

101,347

100,963

Other

836,788

881,451

Allowance for doubtful accounts-3,813-3,732

12,545,899

11,704,516

304,140

371,714Goodwill

625,112

673,826

Software543,567

549,442

Software in progress

26,35450,086

Other

11,863

10,8441,206,898

1,284,200

1,663,780

1,369,207

Total current assets
Noncurrent assets
Property, plant and equipment
Intangible assets

Total intangible assets
Investments and other assets
Investment securities
Other

854,771

898,503

Allowance for doubtful accounts-129,876-128,309

Total investments and other assets

2,388,675

2,139,402

Total noncurrent assets

3,899,714

3,795,316

16,445,613

15,499,833

Accounts payable-trade

4,082,989

4,168,747

Short-term loans payable

89,000－Current portion of long-term loans payable

105,338

62,220Accounts payable-other379,868

446,330

Income taxes payable

338,228

256,257

Provision for directors' bonuses

21,17819,587

Provision for bonuses

167,658

113,147

Total assets
Liabilities
Current liabilities

Provision for point card certificates

20,076

13,709Other296,415

192,794

5,500,753

5,272,794

Total current liabilities
Noncurrent liabilities
Long-term loans payable

66,31860,014

Provision for retirement benefits

155,773

121,752

Provision for point card certificates

30,13916,213

Other

110,020

105,042

Total noncurrent liabilities362,252

303,021

5,863,005

5,575,816

Capital stock

4,031,837

4,031,837

Capital surplus

3,369,621

3,369,621

Retained earnings

2,814,243

2,193,472

Treasury stock-448,094-448,094

Total shareholders' equity

9,767,608

9,146,836

Valuation difference on available-for-sale securities

47,413-47,948

Foreign currency translation adjustment-10,575-10,244

Total valuation and translation adjustments

36,837-58,192

147,718

127,886

Total liabilities
Net assets
Shareholders' equity

Valuation and translation adjustments

Subscription rights to shares
Minority interests

630,442

707,486

Total net assets

10,582,607

9,924,016

16,445,613

15,499,833

Total liabilities and net assets

(2)DAC Consolidated Statements of Income(Unit:Thousand Yen)
Items of an account

FY2009(December 1,2008
to August 31,2009)

FY2011(December 1,2009
to August 31,2010)

AmountAmountNet sales

35,676,080

40,014,407

Cost of sales

30,347,823

33,712,352

Gross profit

5,328,256

6,302,055

Selling, general and administrative expenses

4,946,824

5,104,671

381,431

1,197,384

Interest income

8,315

3,976Dividends income

4,731

5,143

Foreign exchange gains

8,080

467

－

60,438Operating income
Non-operating income

Equity in earnings of affiliates
Other

4,679

10,573

Total non-operating income

25,80780,599Interest expenses

4,569

2,711

Commission fee

25,000－Equity in losses of affiliates

36,899－－3,000－

3,004

Non-operating expenses

Provision of allowance for doubtful accounts
Loss on investments in partnership
Other

24,666381

Total non-operating expenses

91,135

9,097

316,103

1,268,886

49

118,605

13－

Ordinary incomeExtraordinary income
Gain on sales of investment securities
Gain on sales of noncurrent assets
Gain on change in equity

76,409

－

Other

2,653

32,248

Total extraordinary income

79,125150,853

Extraordinary loss
Loss on sales of noncurrent assets

13,643－

Loss on sales of subsidiaries' stocks－

1,314－

1,897

Loss on retirement of noncurrent assets

46,717－

Loss on valuation of investment securities

256,366

89,827252－

Impairment loss

56,550－Special retirement expenses

26,608－Other

11,3209,671

Total extraordinary losses

Loss on valuation of membership

Loss on sales of investment securities

411,460

102,711

Income (loss) before income taxes and minority interests-16,230

1,317,029

Income taxes-current

154,199

498,000

Income taxes-deferred

36,089-12,189

Total income taxes

190,289

485,811

Minority interests in income (loss)-189,025

105,278

Net income (loss)-17,494

725,939

(3)DAC Consolidated statements of cash flows(Unit:Thousand Yen)
Items of an account

FY2009(December 1,2008
to August 31,2009)

FY2011(December 1,2009
to August 31,2010)

ammount

ammount

Net cash provided by (used in) operating activities
Income (loss) before income taxes and minority interests-16,230

1,317,029

Depreciation and amortization

206,643

238,008

Amortization of goodwill

70,22469,020

Increase (decrease) in allowance for doubtful accounts

3,640

4,976

Increase (decrease) in provision for retirement benefits

24,91934,021

Increase (decrease) in provision for directors' retirement benefits-94,397－

Increase (decrease) in provision for point card certificates-5,793

20,292

Increase (decrease) in provision for directors' bonuses-13,847

1,590

Loss (gain) on sales and valuation of investment securities

256,569-28,777

Loss (gain) on sales of subsidiaries' stocks
Interest and dividends income－1,314-13,046-9,119Interest expenses

4,569

2,711

Equity in (earnings) losses of affiliates

36,899-60,438

Loss (gain) on sales and retirement of noncurrent assets

60,347328

Loss (gain) on change in equity-76,409-20,123

1,303,047-632,113

Decrease (increase) in notes and accounts receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade12,743-41,495-916,813

265,945

Increase (decrease) in accounts payable-other-31,026-53,008

Increase (decrease) in accrued consumption taxes-15,634

108,716

Other, net

332,855

167,616

Subtotal

1,129,260

1,386,495

Interest and dividends income received

13,481

11,975Interest expenses paid

-4,569-2,711

Income taxes paid

-512,735-407,586

Net cash provided by (used in) operating activities

625,437

988,173

Net cash provided by (used in) investing activities
Purchase of property, plant and equipment-113,679-22,322

Purchase of intangible assets-238,892-121,746

Purchase of investment securities-2,700-131,284

Proceeds from sales and redemption of investment securities

200,000

269,160

Purchase of stocks of subsidiaries and affiliates-372,643-50,000－

63,250

Proceeds from sales of investments in subsidiaries
Purchase of investments in subsidiaries resulting in change in scope of consolidation-878,262－

Proceeds from purchase of investments in subsidiaries resulting in change in scope ofconsolidation
Payments for sales of investments in subsidiaries resulting in change in scope ofconsolidation
Payments for guarantee deposits

8,704

45,797－-248,657

Collection of loans receivable-82,478-5,671－

29,162

Proceeds from maturity of insurance funds

12,729－Other, net

51,623

6,477-1,415,598-165,835

Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Net increase (decrease) in short-term loans payable-37,440

39,000

Repayment of long-term loans payable-129,996-66,741

Proceeds from issuance of common stock

1,283,130－

Purchase of treasury stock-33,498－

Proceeds from sales of treasury stock

16,222－

Cash dividends paid

-152,515-101,229

Cash dividends paid to minority shareholders-38,800-50,400

Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents-240-1,463906,861-180,834-9,193-734

107,506

640,768

Cash and cash equivalents at beginning of period

5,337,297

5,671,819

Cash and cash equivalents at end of period

5,444,804

6,312,587