Ichigo Preserves and Improves Real Estate[Provisional Translation Only]
This English translation of the original Japanese document is provided solely for information purposes.
Should there be any discrepancies between this translation and the Japanese original, the latter shall prevail.

June 28, 2017
IssuerIchigo Green Infrastructure Investment Corporation (“Ichigo Green,” 9282)
1-1-1 Uchisaiwaicho, Chiyoda-ku, Tokyo
Representative: Mami Nagasaki, Executive Director
www.ichigo-green.co.jp
Asset Management Company
Ichigo Investment Advisors Co., Ltd.
Representative: Wataru Orii, President
Inquiries: Hiroto Tajitsu, Head of Business Administration
Tel: +81-3-3502-4854

Ten-Year Earnings and Dividend Forecast RevisionIchigo Green is revising up its earnings and dividend forecast for the June 2018 throughJune 2026 fiscal periods. As a result, forecast Earnings per Share will increase aweighted-average +17.9% from JPY 2,840 to JPY 3,348, and the forecast Dividend perShare (including Dividend in Excess of Earnings per Share) will increase a weightedaverage +4.4% from JPY 7,256 to JPY 7,573. There are no changes to the earnings anddividend forecast for the June 2017 fiscal period.
1. Ten-Year Earnings and Dividend Forecast Revision Rationale
Ichigo Green invests in solar power plants with proven operational capabilities andlong-term feed-in-tariff (FIT) contracts with Japanese electric power utilities. Because
Ichigo Green is also guaranteed a base fee from solar power plant operators regardlessof actual power generation, it has significant long-term earnings visibility and stability.
Given that its long-term earnings stability gives Ichigo Green the ability to do so, Ichigo
Green announced the first-ever ten-year earnings forecast by a Japanese company.
Ichigo Green is revising up its forecast to reflect the acquisition of two solar power
plants as announced in today’s release “Acquisition of Two Solar Power Plants.” Fordetails, please refer to “Preconditions for Ten-Year Earnings and Dividend Forecast”
below.

12. Earnings and Dividend Forecast Revision (June 2018 – June 2026)
a. June 2018 Earnings and Dividend Forecast Revision(JPY million)

Previous
Announced
Forecast (A)Current
Amended
Forecast (B)Difference(B) - (A)% ChangeDividendper Sharein(excluding DividendExcessofDividend
Dividend in Earnings per per
Share
Excess ofShare(JPY)
Earnings(JPY)
per Share)(JPY)

Operating
Revenue

Operating
ProfitRecurring
ProfitNet
Income963

216

118

117

2,270

4,360

6,630

1,095

262

147

146

2,820

4,360

7,180

+132+46+29+29+550

–

+550

+13.7%+21.3%+24.6%+24.8%+24.6%–+8.3%

Forecast number of shares outstanding and EPS: 51,483 shares, JPY 2,849
b. June 2019 Earnings and Dividend Forecast Revision(JPY million)

Previous
Announced
Forecast (A)Current
Amended
Forecast (B)Difference(B) - (A)% ChangeDividendper Sharein(excluding Dividend
ExcessofDividend
Dividend in Earnings per perShare
Excess ofShare(JPY)
Earnings(JPY)
per Share)(JPY)

Operating
Revenue

Operating
ProfitRecurring
ProfitNet
Income

958

216

121

120

2,340

4,370

6,710

1,090

254

144

143

2,750

4,370

7,120

+132

+38+23+23+410

–

+410

+13.8%+17.6%+19.0%+19.2%+17.5%–+6.1%

Forecast number of shares outstanding and EPS: 51,483 shares, JPY 2,779

2

c. June 2020 Earnings and Dividend Forecast Revision(JPY million)

Previous
Announced
Forecast (A)Current
AmendedForecast (B)Difference(B) - (A)% Change

Dividendper Sharein(excluding Dividend
Excess ofDividend
Dividend in Earnings per per Share
Excess ofShare(JPY)
Earnings(JPY)per Share)(JPY)

Operating
Revenue

Operating
ProfitRecurring
ProfitNet
Income

952

201

122

121

2,350

4,380

6,730

1,085

240

145

144

2,780

4,380

7,160

+133+39+23+23+430

–

+430

+14.0%+19.4%+18.9%+19.0%+18.3%–+6.4%

Forecast number of shares outstanding and EPS: 51,483 shares, JPY 2,816
d. June 2021 Earnings and Dividend Forecast Revision(JPY million)

Previous
Announced
Forecast (A)Current
Amended
Forecast (B)Difference(B) - (A)% Change

Dividendper Sharein(excluding Dividend
ExcessofDividend
Dividend in Earnings per perShare
Excess ofShare(JPY)
Earnings(JPY)
per Share)(JPY)

Operating
Revenue

Operating
ProfitRecurring
ProfitNet
Income

946

214

146

145

2,820

4,390

7,210

1,078

251

170

169

3,250

4,390

7,640

+132

+37

+24+24+430–+430+14.0%+17.3%+16.4%+16.6%+15.2%–+6.0%

Forecast number of shares outstanding and EPS: 51,483 shares, JPY3,2843e. June 2022 Earnings and Dividend Forecast Revision(JPY million)

PreviousAnnounced
Forecast (A)Current
Amended
Forecast (B)Difference(B) - (A)% Change

Dividendper Sharein(excluding Dividend
ExcessofDividend
Dividend in Earnings per perShare
Excess ofShare(JPY)
Earnings(JPY)
per Share)(JPY)

Operating
Revenue

Operating
ProfitRecurring
ProfitNet
Income

941

211

158

157

3,050

4,390

7,440

1,072

249

183

182

3,500

4,390

7,890

+131+38+25+25+450–+450+13.9%+18.0%+15.8%+15.9%+14.8%–+6.0%

Forecast number of shares outstanding and EPS: 51,483 shares, JPY 3,544
f. June 2023 Earnings and Dividend Forecast Revision(JPY million)

Previous
Announced
Forecast (A)Current
Amended
Forecast (B)Difference(B) - (A)% Change

Dividendper Sharein(excluding Dividend
ExcessofDividend
Dividend in Earnings per perShare
Excess ofShare(JPY)
Earnings(JPY)per Share)(JPY)

Operating
Revenue

Operating
ProfitRecurring
ProfitNet
Income

935

221

171

170

3,310

4,400

7,710

1,065

260

198

197

3,790

4,400

8,190

+130+39+27+27+480–+480+13.9%+17.6%+15.8%+15.9%+14.5%–+6.2%

Forecast number of shares outstanding and EPS: 51,483 shares, JPY 3,837

4

g. June 2024 Earnings and Dividend Forecast Revision(JPY million)

Previous
Announced
Forecast (A)Current
Amended
Forecast (B)Difference(B) - (A)% Change

Dividendper Sharein(excluding Dividend
ExcessofDividend
Dividend in Earnings per perShare
Excess ofShare(JPY)
Earnings(JPY)
per Share)(JPY)

Operating
Revenue

Operating
ProfitRecurring
ProfitNet
Income929

214

167

166

3,230

4,410

7,640

1,059

253

194

193

3,720

4,410

8,130+130+39+27+27+490–+490+14.0%+18.2%+16.2%+16.3%+15.2%–+6.4%

Forecast number of shares outstanding and EPS: 51,483 shares, JPY 3,766
h. June 2025 Earnings and Dividend Forecast Revision(JPY million)

Previous
Announced
Forecast (A)Current
Amended
Forecast (B)Difference(B) - (A)% Change

Dividendper Sharein(excluding Dividend
ExcessofDividend
Dividend in Earnings per perShare
Excess ofShare(JPY)
Earnings(JPY)
per Share)(JPY)

Operating
Revenue

Operating
ProfitRecurring
ProfitNet
Income924

212

168

167

3,250

4,490

7,740

1,052251196

195

3,750

4,020

7,770+128+39+28+28+500-470+30+13.9%+18.4%+16.7%+16.8%+15.4%-10.5%+0.4%

Forecast number of shares outstanding and EPS: 51,483 shares, JPY 3,794
Ichigo Green’s cash earnings exceed its Net Income, because it has substantial non-cash
depreciation expenses that lower its accounting-based Net Income. It uses these additional
cash earnings for debt amortization, capital expenditures such as periodic maintenance, andpayment of a higher dividend (Dividend in Excess of Earnings). Due to large-scale
maintenance work planned for the June 2025 period, Ichigo Green expects to increase
Retained Earnings and decrease the Dividend in Excess of Earnings in this period.

5i. June 2026 Earnings and Dividend Forecast Revision(JPY million)

Previous
Announced
Forecast (A)Current
Amended
Forecast (B)Difference(B) - (A)% Change

Dividendper Sharein(excluding Dividend
Excess ofDividend
Dividend in Earnings per per Share
Excess ofShare(JPY)
Earnings(JPY)
per Share)(JPY)

OperatingRevenue

Operating
ProfitRecurring
ProfitNet
Income918

192

150

149

2,900

4,590

7,4901,046

230

179

178

3,430

3,650

7,080

+128+38+29+29+530

‐940

‐410

+13.9%+19.8%+19.3%+19.5%+18.3%‐20.5%‐5.5%

Forecast number of shares outstanding and EPS: 51,483 shares, JPY 3,467
Ichigo Green’s cash earnings exceed its Net Income, because it has substantial non-cash
depreciation expenses that lower its accounting-based Net Income. It uses these additional
cash earnings for debt amortization, capital expenditures such as periodic maintenance, andpayment of a higher dividend (Dividend in Excess of Earnings). Due to large-scale
maintenance work planned for the June 2026 period, Ichigo Green expects to increase
Retained Earnings and decrease the Dividend in Excess of Earnings in this period.
Notes:
Ichigo Green has an annual fiscal period running from July to June. Because there is no
regulatory framework in Japan for Investment Corporations to pay dividends at
half-term, Ichigo Green therefore pays an annual dividend once a year. The annual
dividend results both in lower administrative costs and a dividend that is not impactedby seasonal changes in solar power generation (as a semi-annual dividend would be).
The forecast presented above for each fiscal period is based on certain preconditions set
out below in “Preconditions for Ten-Year Earnings and Dividend Forecast.” Thepreconditions are subject to change due to such factors as future acquisitions anddispositions of renewable energy power plants, changes in the Tokyo Stock Exchange(TSE) Infrastructure Fund market, fluctuations in interest rates, and changes in otherfactors related to Ichigo Green. The actual operating revenue, operating profit, recurring
profit, net income, and dividend may vary due to changes in circumstances. Theseforecasts should not be construed as a guarantee of such performance or results.
Ichigo Green released this Ten-Year Earnings and Dividend Forecast because thelong-term stability of its earnings allows for a long-term forecast. Ichigo Green will
issue an earnings and dividend forecast for the post-June 2027 period when reasonableand appropriate. Should a substantial discrepancy emerge between this forecast andactual operating results, Ichigo Green will revise this forecast.

6Ten-Year Dividend Forecast(JPY)Dividend per Share (excluding Dividend in Excess of Earnings per Share)
Dividend in Excess of Earnings per Share
7,640

7,890

8,190

8,130

7,770

7,180

7,120

7,160

2,820

2,750

2,780

3,250

3,500

4,360

4,370

4,380

4,390

4,390

4,400

4,410

4,020

3,650

June
2018

June
2019

June
2020

June
2021

June
2022

June
2023

June
2024

June
2025

June
2026

3,790

3,720

3,750

7,080

3,430

3,660
1,120
2,540
June
2017** Ichigo Green’s actual operating period for the June 2017 fiscal period is the sevenmonths from December 1, 2016, the day it acquired its first 13 power plants, to June30, 2017.

7

Preconditions for Ten-Year Earnings and Dividend Forecast(June 2018 through June 2026 fiscal periods)
Item

Preconditions

PeriodJune 2018 : July 1, 2017 – June 30, 2018 (365 days)
June 2019 : July 1, 2018 – June 30, 2019 (365 days)
June 2020 : July 1, 2019 – June 30, 2020 (366 days)
June 2021 : July 1, 2020 – June 30, 2021 (365 days)
June 2022 : July 1, 2021 – June 30, 2022 (365 days)
June 2023 : July 1, 2022 – June 30, 2023 (365 days)
June 2024 : July 1, 2023 – June 30, 2024 (366 days)
June 2025 : July 1, 2024 – June 30, 2025 (365 days)
June 2026 : July 1, 2025 – June 30, 2026 (365 days)

Number ofShares 51,483 shares issued and outstanding as of today, with no additional new shareissuance through June 2026
 The dividend is also calculated based on the above assumption of 51,483 shares issued
and outstanding.

Number ofPower Plants

 15 power plants total. The current 13 power plants, plus two additional power plants
Ichigo Green plans to acquire on July 3, 2017 The total number of power plants may change due to acquisitions or sales.

OperatingRevenue Power production revenue is based on the annual P50 power production forecast of theoperating power plants.
 Specifically, power production revenue is calculated by adding base revenue(electricity sales revenue based on the annual P85 production forecast minus operationand management expenses) to actual power production revenue (electricity sales
revenue based on the annual P50 production forecast minus operation andmanagement expenses as well as base revenue). Power production revenue assumes
that there is no suspension of renewable energy supply without compensation throughJune 2026.
 The P85 annual production is a third-party, 85% probability mean annual production
forecast. P85-based electricity sales revenue is the assumed electricity sales revenue
calculated by multiplying the annual P85 production forecast by the FIT for eachplant.
 Renewable energy plant operation and maintenance expenses (including fees paid tomaintenance service providers and repair costs) are hereinafter defined as the total ofoperator fees, rent paid, insurance premiums, management costs (includingadministration and tax fees), property, city planning, and consumption taxes, andother expenses related to the power generation business, renewable energy plants,land, or management. Maintenance expenses are as estimated by Ichigo Investment
Advisors, the asset management company of Ichigo Green, based on third party
reports. However, actual expenses for the period could differ significantly from these
forecast amounts for reasons including the variability of maintenance and repair
expenses, one-time costs due to unexpected maintenance needs, etc.
 Actual production is calculated by multiplying the annual P50 production forecast bythe FIT for each plant. The annual P50 production is a third-party, 50% probability
mean annual production forecast that serves as the base forecast for each solar power
plant’s operating plan.
 Operating Revenue is based on the power production revenue of the power plants, anddoes not assume the sale of any power plants.
 Operating Revenue assumes that Ichigo Green fully receives its contractual power
production revenue.
8

OperatingExpenses

 Per the above, operation and management expenses of the power plants are deductedfrom the leaseholder’s power production revenue, and therefore are not part of Ichigo
Green’s operating expenses.
 Property and city planning taxes and other operating expenses, excluding depreciation,
are calculated based on historical data and information provided by the previous
power plant owner(s), adjusted for anticipated expense variations.
 While property and city planning taxes with respect to the acquisition and sale ofrenewable energy plants are, in general, pro-rated between the previous owner and thebuyer based on period of ownership and settled at the time of acquisition, Ichigo
Green included such estimated taxes in its acquisition cost and therefore did notrecognize the plants to be acquired on July 3, 2017 as operating expenses for calendar
year 2017. Owners of renewable energy plants are generally charged a 1.4% property(depreciable asset tax) tax rate on the assessment value of their plants. However, forcertain approved renewable energy plants newly acquired before March 31, 2016, theassessment value used in calculating such property tax is reduced to two-thirds forthree periods following acquisition. Because this reduction in assessment value applies
to both the 13 power plants Ichigo Green owns as of today and the two new plants
scheduled for acquisition, the property tax is reduced by JPY 33 million for the June2018 fiscal period, JPY 15 million for the June 2019 fiscal period, and JPY 1 million
for the June 2020 fiscal period. The anticipated amounts of property and city planningtax for the power plants are as follows:(JPY million)
June 2018
June 2019
June 2020
June 2021
June 2022
96104
100
8975
June 2023
64

June 2024
55

June 2025
48

June 2026
42Depreciation (including incidental costs) is calculated using the straight-line method,and is forecast as follows:(JPY million)
June 2018
June 2019
June 2020
June 2021
June 2022
635
636
638
640
640
June 2023
641

Non-Operating
ExpensesJune 2024
643

June 2025
654

June 2026
666

 Ichigo Green plans to amortize expenses associated with the TSE listing and newshare issuance for 36 months and expenses for the establishment of Ichigo Green for
60 months, using the straight-line method. Ichigo Green anticipates such expenses ofJPY 34 million in the June 2018 fiscal period, JPY 34 million in the June 2019 fiscalperiod, JPY 21 million in the June 2020 fiscal period, and JPY 12 million in the June
2021 fiscal period.
 Interest expenses and other loan-related expenses are forecast as follows:(JPY million)
June 201880

June 201975

June 2020
72

June 2021
69

June 2023
61

June 2024
58

June 2025
54

June 2026
51

9June 2022
65

Loans Ichigo Green has outstanding debt of JPY 6,952 million as of today, and assumes that
repayment of the consumption tax loan (loan amount: JPY 760 million) will be madein full on November 30, 2017.
 Ichigo Green expects to borrow JPY 1,475 million on July 3, 2017 from Qualified
Institutional Investors (i.e., banks) as prescribed in Article 2(3)(i) of the Financial
Securities and Exchange Act as well as in Article 67-15 of the Act on Special
Measures concerning Taxation.
 Forecast loan to value (LTV) for each fiscal period-end is as follows:
June 2018
58.6%

June 2019
58.2%

June 2020
57.8%

June 2021
57.1%

June 2023
55.6%

June 2024
54.7%

June 2025
53.7%

June 2026
52.4%

June 2022
56.5%

 LTV is calculated with the following formula:
LTV = Total sum of interest-bearing debt / total assets * 100
Dividend perShare(excludingDividend in
Excess ofEarnings perShare) The dividend is based on the assumption that distribution will comply with thedividend distribution policy stipulated in Ichigo Green’s Articles of Incorporation.
 The dividend per share is subject to change due to factors such as leaseholder turnover,fluctuations in rental income due to changes in the content of lease contracts, andunexpected maintenance and repair costs and other expenses.

Dividend in
Excess ofEarnings perShare Ichigo Green calculates Dividend in Excess of Earnings per Share based on its Articlesof Incorporation and dividend policy set forth in Ichigo Investment Advisors’ internal
Operating Guidelines.
 It is Ichigo Green’s general policy to pay a cash dividend in excess of earnings, up to a
maximum of 40% of annual depreciation expenses, and to the extent it will notadversely affect Ichigo Green’s financial standing. The policy assumes a) such
dividend shall not affect its long-term maintenance policy, taking into consideration
planned capital expenditure for each period, and b) a certain amount of retained cash isnecessary to cover items such as acquisition of new power plants, maintenance ofexisting power plants, working capital needs, and loan repayments.
 Taking into consideration the above, Ichigo Green expects to pay a Dividend in Excessof Earnings equivalent to 35.3% of annual depreciation expense for periods other thanthe June 2025 and June 2026 periods. The Dividend in Excess of Earnings is expected
to be 31.6% and 28.2% of annual depreciation expense, respectively, for the June 2025and June 2026 periods.
Ichigo Green’s cash earnings exceed its Net Income, because it has substantial
non-cash depreciation expenses that lower its accounting-based Net Income. It uses
these additional cash earnings for debt amortization, capital expenditures such as
periodic maintenance, and payment of a higher dividend (Dividend in Excess ofEarnings). Due to large-scale maintenance work planned for the June 2025 and June
2026 periods, Ichigo Green expects to increase Retained Earnings and decrease theDividend in Excess of Earnings in these periods.

10 Depreciation, Dividend in Excess of Earnings, and Dividend in Excess of Earnings perShare are forecast as follows:(JPY million)
June
June
June
June
June
2018
2019
2020
2021
2022
Depreciation
Dividend in Excess ofEarnings
Dividend in Excess ofEarnings per Share (JPY)Dividend in
Excess ofEarnings perShare

Depreciation
Dividend in Excess ofEarnings
Dividend in Excess ofEarnings per Share (JPY)

635

636

638

640

640

224

225

225

226

226

4,360

4,370

4,380

4,390

4,390

June
2023

June
2024

June
2025

June
2026

641643654666

226

227

207

187

4,400

4,410

4,020

3,650

 Irrespective of the above, starting with the June 2018 fiscal period, it is possible thatIchigo Green will not distribute cash in excess of earnings or pay a larger/smaller
amount than what is forecast above, although within the range set forth in the rules of
the Investment Trusts Association, Japan, in consideration of the possibility ofdeploying such cash towards capital expenditure, loan repayment, acquisition of new
power plants, and share buybacks, and also in consideration of the economic
environment, renewable energy market trends, and the financial condition of Ichigo
Green.
 Because a dividend in excess of earnings will decrease cash-on-hand, it may result in apossible cash shortfall when there is a sudden and unexpected need for capital
expenditure, or may limit flexibility in financing power plants acquisitions. Any
dividend in excess of earnings will be deducted from paid-in capital or retainedearnings.
 This forecast assumes that there are no material revisions to laws and regulations, theOthertax system, accounting standards, listing rules of the Tokyo Stock Exchange, and rulesof the Investment Trusts Association, Japan, and no material changes in the state of theeconomy and real estate market conditions.

11