Summary of Consolidated Financial Results
For the Nine Months Ended October 31, 2010
[Japanese Standards] (Consolidated)
December 6, 2010
Company name: Pigeon Corporation (Stock code: 7956)
Listings: First Section, Tokyo Stock Exchange
Website: www.pigeon.co.jp
Representative: Akio Okoshi (President and COO)
Contact: Tsutomu Matsunaga (Managing Officer, Corporate Planning & Administration Division)//Tel: +81-3-3661-4188
Date of release of Business Report: December 15, 2010
Planned Commencement Date of Dividend Payment: Not yet determined
Supplementary materials for the quarterly financial results: None
Investor conference for the quarterly financial results: None

1. Consolidated Financial Results (February 1 – October 31, 2010)(1) Performance(¥ millions, rounded down, % figures denote year-on-year change)
Operating Income
Ordinary Income
Net Income

Net Sales
Nine Months Ended October 31, 2010

41,621

4.5%

2,699

(24.9)%

2,644(26.5)%

1,663(27.1)%

Nine Months Ended October 31, 2009

39,830

－%

3,596

－%

3,597

－%

2,281

－%

Nine Months Ended October 31, 2010

83.10

Diluted Net
Income Per Share (¥)－

Nine Months Ended October 31, 2009113.97－Net Income per Share (¥)(2) Financial Position
Total Assets
At October 31, 2010

Net Assets

40,701

62.3

Net Assets Per
Share (¥)
1,266.80

65.3

1,288.14

Equity Ratio (%)

25,860At January 31, 2010
39,49326,264
Reference: Equity: ¥25,354 million (At October 31, 2010); ¥25,781 million (At January 31, 2010)

2. Cash Dividends
Annual Dividends (¥)
1Q

2Q
－
－

Year Ended January 31, 2010
Year Ending January 31, 2011
Year Ending January 31, 2011
(Forecast)

3Q

Year-end

32.00
44.00

Full-year

－

32.00

64.00

－

44.00

88.00

(Note) Changes in dividend forecasts during the quarter under review: None

3. Forecast for the Year Ending January 31, 2011
(February 1, 2010 – January 31, 2011)
Net SalesYear Ending January 31, 2011(% figures denote year-on-year change)

57,500

7.6 %Operating
Income4,500(2.3)%(Note) Changes in projections during the quarter under review: Yes

Ordinary
Income4,400(4.5)%(¥ millions, rounded down)
Net Income per
Net Income
Share (¥)
2,850

0.3%

142.39

4. Other (For details, please see “Other Information” on page 6 of “Appendix.”)(1) Changes in important subsidiaries during the period: No(Note) Whether or not specified subsidiaries were changed resulting in the changes in scope of consolidation
during the period.
(2) Application of simplified methods of accounting and specific accounting methods: Yes(Note) Whether or not the simplified accounting methods or the accounting methods specific for producing
quarterly consolidated financial statements was applied.
(3) Changes in accounting principles, processes, presentation methods, etc.
1) Changes due to revisions to accounting standards, etc.: No
2) Changes other than 1): No(Note) Whether or not accounting principles, processes and presentation methods associated with producing ofquarterly consolidated financial statements were changed. These are indicated in changes to important
items that form the basis for preparation of quarterly consolidated financial statements.
(4) Number of outstanding shares (ordinary shares)
1) Number of shares outstanding at term-end (including treasury shares)
Nine Months ended October 31, 2010: 20,275,581
Year ended January 31, 2010: 20,275,581
2) Number of treasury shares at term-end
Nine Months ended October 31, 2010: 261,052
Year ended January 31, 2010: 260,934
3) Average number of shares during the period (cumulative figure for consolidated quarterly accounting period)
Nine Months ended October 31, 2010: 20,014,586
Nine Months ended October 31, 2009: 20,015,382*Indication regarding the situation of quarterly review procedures
Financial results for this second quarter is not the subject of a quarterly review procedure based on the Financial
Instruments and Exchange Act, and at the point in time when these financial results was disclosed, review
procedures for quarterly financial statements based on the Financial Instruments and Exchange Act had not been
completed.
*Cautionary Statement Regarding Performance Forecasts
The forecasts and future projections stated in this report have been prepared on the basis of the information andassumption that shall be reasonable as of the date of announcement of this summary information, and the actual
results could differ significantly from forecast figures depending on a variety of factors.
For details on the conditions that form the assumptions used for earnings forecasts, and notes on using earnings
forecasts, please refer to appendix page 5, “Qualitative Information Regarding Consolidated Performance
Forecasts”

Table of contents of the appendix
1. Qualitative Information Regarding the Financial Performance for the Current Quarter................. 2(1) Qualitative Information Regarding Consolidated Business Results ........................................... 2(2) Qualitative Information Regarding Consolidated Financial Position ......................................... 4(3) Qualitative Information Regarding Consolidated Performance Forecasts.................................. 5
2. Other Information ............................................................................................................................ 6(1) Overview of major changes among subsidiaries........................................................................ .6(2) Overview of simplified accounting method or specific method ................................................ .6(3) Overview of changes in accounting principles, processes and presentation methods ................ 6
3. Quarterly Consolidated Financial Statement ................................................................................... 7(1) Quarterly Consolidated Balance Sheets ...................................................................................... 7(2) Quarterly Consolidated Statements of Income............................................................................ 9(3) Quarterly Consolidated Statements of Cash Flows................................................................... 10(4) Notes Regarding Going Concern Assumption .......................................................................... 11(5) Segment Information................................................................................................................. 11(6) Notes Regarding Substantial Changes in Shareholders’ Equity ............................................... 13

1

1. Qualitative Information Regarding the Financial Performance for the Current Quarter(1) Qualitative Information Regarding Consolidated Business Results
Overview of Performance
In the third quarter under review—nine months ended October 31, 2010—the Japanese economy
showed signs of recovery, including a bottoming-out of capital expenditures amid improved
corporate earnings and a turnaround in personal consumption. However, there remains a risk of
economic downturn due to lingering deflation, steep yen appreciation, and share price fluctuation,etc. The Group did not see a full-scale recovery of personal consumption, as the sales of someconsumable goods were sluggish.
The current fiscal period, ending January 2011, is the final year of the Group’s third
medium-term management plan, entitled “Becoming a Global Company: Challenges andIndependence.” During the year, we will pursue initiatives described below.
Baby and Child Care
Domestic Baby and Child Care Products:
Through swift implementation of effective strategies, we will reinforce existing businesses andnurture new ones. At the same time, we will re-establish and improve our competitive edge andbrand loyalty in the markets through a rigorous, ongoing direct communications program. In
addition, we will work to enhance profitability by pursuing widespread cost reductions.
Overseas Business:
We will continue prioritizing allocation of managerial resources to our overseas business, which weregard as a key growth driver for the Group. Guided by optimal marketing strategies, we will strive
to reinforce and expand brand loyalty in overseas markets while actively broadening our businesses
in existing markets. We will place particular emphasis on China, where we will continue building asales foundation and extending and upgrading our production facilities. In new markets, we will
work in India to build our brand and expand our sales system, while in South Korea and Russia wewill actively pursue new initiatives.
Child-Rearing Support Services:
Here, we will upgrade our personnel development system while broadening the scope of ourservices, with the aim of improving the quality of both personnel and services.
Healthcare
In this segment, we will reinforce our sales and marketing capabilities through a Group-based
business operating system. With respect to the Recoup brand of anti-aging products that encourage
people to remain active in their old age, we will continue upgrading our lineup of offerings andexpand our network of Recoup sections in retail stores. In these ways, we will promote branding
and actively open up new sales channels.
In the first three quarters under review, the Pigeon Group pursued business operations according to
the aforementioned strategies. As a result, consolidated net sales for the period amounted to¥41,621 million, up 4.5% from the previous corresponding period. With respect to earnings, grossprofit improved year-on-year thanks to the increase in sales in the domestic child-rearing goodbusiness. However, selling, general, and administrative expenses increased, due largely to theGroup’s focus on marketing activities. These included tapping new markets in our overseas
business and launching new business in our domestic operations. Accordingly, operating income
fell 24.9%, to ¥2,699 million, and ordinary income declined 26.5%, to ¥2,644 million. In China, we
decided to dissolve two consolidated subsidiaries in the business of providing child-minding
services—Pigeon Land (Shanghai) Co., Ltd. and Shanghai Changning Pigeon Land Education
Training Center—following a series of inconsistent performances. This reflected our commitment
to specializing in product manufacture and sales in China. We also decided to dissolve2equity-method affiliate Kuraflex Ibaraki Co., Ltd., which makes non-woven fabric for use in wet
tissues, following a review of our raw materials procurement structure. Together, these actions
incurred ¥92 million in extraordinary losses. As a result, net income for the period declined 27.1%,
to ¥1,663 million.
The performances of each business segment; Baby and Child Care, Healthcare, and Others are
summarized below.
Baby and Child Care
Sales in this segment amounted to ¥33,947 million, up 6.3% year-on-year. Operating income edged
down 12.4%, to ¥4,630 million. This segment consists of three categories: Domestic Baby and Child
Care Products, Overseas Business, and Child-Rearing Support Services.
Domestic Baby and Child Care Products:
To address the diversified needs of customers, we included scented items in our lineup of
foam-based baby skincare products, with the addition of Baby Flower Scent Full-Body Foam Soap
and Baby Flower Scent Foam Shampoo, and unveiled UV Baby Water Milk, a skincare-typesunscreen that can be applied every day, in Feb. Based on our breastfeeding-related research overmore than 50 years, we launched a newly improved baby bottle called Bonyu Jikkan, as well as
Straw Bottle Tall, aimed at long-term use from small babies to toddlers and a baby stroller called
Pixy-turn in Mar. In Aug., we released Gohan de Gohan, a baby food set for which a rick cooking
method was rigorously selected for each month old. In addition, we promoted our directcommunications program aimed at strengthening brand loyalty. As part of this program, we held 31
maternity events during the first to third quarters under review, attracting more than 2,000
participants. Meanwhile, we made good progress in attracting new members to “Pigeon Info”—aword-of-mouth community portal that supports women during pregnancy, in childbirth, and whenraising children. Membership has thus been rising steadily. With respect to Mamas & Papas, a U.K.
designer brand of baby products, in March 2010 we commenced full-scale sales via mail-ordercatalog and the Internet, and in September 2010 we issued the autumn catalogue.
Overseas Business:
Amid a moderate turnaround in the world economy, the Pigeon Group generated year-on-year sales
increases in local-currency terms, centering on the United States. In China, we conducted marketing
activities with a focus on further strengthening the appeal of the Pigeon brand. These included
holding maternity-related events, stepping up product proliferation activities in hospitals, andrunning television commercials. However, the sales for the third quarter decreased from theprevious corresponding period, as sales activities were carried out while improving andredeveloping distribution systems to cope with the rapid business expansion. With respect toreinforcing our production facilities, consolidated subsidiary Pigeon Industries (Changzhou) Co.,
Ltd., located in Changzhou, Jiangsu Province, made good progress in Phase I of its plant
construction project, and the plant construction was completed in October 2010. During the period,
we also expanded our network of Pigeon Breastfeeding Advice Offices to 195 hospitals as a joint
project under the Chinese government’s campaign to promote breastfeeding and increase thebreastfeeding rate. This was under a joint collaboration between consolidated subsidiary Pigeon(Shanghai) Co., Ltd. and China’s Ministry of Health. In the United States, we reinforced our lineupof breastfeeding-related products and otherwise pursued steady sales activities. Meanwhile, Pigeon
India Pvt. Ltd., a consolidated subsidiary established in Mumbai to tap new markets in India,
conducted full-scale sales and marketing activities. In April 2010, for example, it launched a line ofskincare products.
Child-Rearing Support Services:
In this category, we continued sales initiatives, including business involving in-company
child-minding facilities. We were entrusted with the operation of one daycare facilities in February,
two in March, one in April, one in July and one in October, 2010.
3

Healthcare
In this segment, sales declined 1.2% year on year, to ¥4,782 million, while operating income fell
66.3%, to ¥71 million. With respect to the Recoup brand of anti-aging products, which are designed
to encourage people to remain active in their twilight years, we continued advancing a broad range ofinitiatives, such as recruiting actress Yoshiko Kayama to be the brand’s image character, holding
events, and producing posters and dedicated catalogs. In product development, we launched new
products, including Walking Support Shoes (women’s shoes specially designed for walking that arealso easy to put on and remove), Super Absorption Incontinence Pads and Incontinence Underpants(cloth pads and underpants that provide peace of mind and comfort without having to use paper
diapers), and Burden Reducing Supporter—Shoulder (it can be used on a daily basis likeunderwear). As for the Habinurse brand of nursing-care products, we launched the Mimamori Sensor
Series of protective sensors designed to help staff at elderly care institutions quickly respond when
patients slip or fall over and also to help staff monitor the movements of patients, and Tight Cloth
Pants for Incontinence Pad for Long-time or During Nighttime (cloth pants used with aincontinence pad for a long time or during nighttime). We also improved safety and usability of Full
Reclining Carry FC-120 Series (wheelchairs for nursing care). For cultivating new sales channels,
we continued sales activities targeting catalogue mail-order selling and TV shopping systems, etc.
However, sales decreased from the previous corresponding period, because of the delay of productrecognition and product shipping to stores, especially for Recoup products. From now on, we will
focus on enhancing brand recognition and cultivating new sales channels, etc.
OthersSales in this segment declined 5.3%, to ¥2,891 million, and operating income declined 20.9%, to¥398 million. During the period, we launched Zakutto Cookie, a snack that can be eaten every day
for pregnant women who are discerning about food, nutrition, and their weight, Dental Rinse(medicated), liquid toothpaste, which was developed while focusing on the lifestyle and anxieties
during the pregnancy period, and Tablet for Mama’s Mouth, a tablet for alleviating the stress in themouth during the pregnancy period. However, sales decreased from the previous corresponding
period, mainly because the sales in disinfectant and sterilization products were decreased due to therebound effect of increased demand in last year caused by new influenza.
(2) Qualitative Information Regarding Consolidated Financial Position
1) Assets
As of October 31, 2010, Pigeon had consolidated total assets of ¥40,701 million, up ¥1,207 million
from a year earlier. Within this amount, total current assets increased ¥964 million, and total fixed
assets rose ¥243 million.
The major factor boosting current assets was a ¥670 million increase in notes and accounts
receivable.
The main reasons for the rise in fixed assets were construction of a new plant by consolidated
subsidiary Pigeon Industries (Thailand) Co., Ltd., a production base in Thailand, and constructionof a plant by consolidated subsidiary Pigeon Industries (Changzhou) Co., Ltd., established in 2009as a new production base in China.
2) Liabilities
Total liabilities as of October 31, 2010 stood at ¥14,840 million, up ¥1,611 million from theprevious fiscal year-end. Current liabilities increased ¥2,561 million, and long-term liabilities
decreased by ¥949 million.
Main factors boosting current liabilities were a ¥1,181 million increase in short-termborrowings and a ¥892 million increase in current portion of long-term loans payable.
The main factor decreasing fixed liabilities is a ¥1,000 million decrease in long-termborrowings.
43) Net Assets
At October 31, 2010, consolidated net assets amounted to ¥25,860 million, up ¥403 million fromJanuary 31.
(3) Qualitative Information Regarding Consolidated Performance Forecasts
The year ending January 2011 is the final year of the Group’s third medium-term management plan,
entitled “Becoming a Global Company: Challenges and Independence.” During the year, we will
strive to achieve the objectives of the plan by steadily implementing measures that reflect the corepriorities of each business segment.
As for the earnings forecast for the year ending January 2011, the earnings forecast announced
on March 5, 2010 has been revised. For details, please refer to the “notification regarding therevision of the earnings forecast” that has been released today.

52. Other Information(1) Overview of major changes among subsidiaries
Not applicable.
(2) Overview of simplified accounting method or specific method
1) Simplified Accounting Method- Calculation of estimated bad debt losses on general receivables
For the end of the quarter under review, the Company has used the estimated bad debt loss ratio thatwas used for the end of the previous fiscal year, recognizing that no significant changes have arisen
since that time.
- Valuation of inventory assets
The value of inventories at the end of the quarter under review is calculated using a rational method,
based on physical inventories at the end of the previous fiscal year, rather than physical inventories
at the end of the quarter under review. The Company has reduced the book price of certain
inventory assets that were clearly deemed to be declining in profitability, after estimating the net
selling value of such assets.
- Method of calculating depreciation of fixed assets
For fixed assets that are depreciated using the declining-balance method, the depreciation expense
is computed by the proportional distribution of the depreciation expense for the fiscal year.
- Determining recoverability of deferred tax assets
In judging the recoverability of deferred tax assets, the Corporation employs a method using future
performance forecasts using results from the previous fiscal year, as well as tax planning, having
confirmed that that no significant changes in the operating environment or temporary differences
have occurred since the end of the previous fiscal year.
2) Special accounting treatment applied in preparation of quarterly financial statements
Not applicable.
(3) Overview of changes in accounting principles, processes and presentation methods
Not applicable.

63. Quarterly Consolidated Financial Statement(1) Quarterly Consolidated Balance Sheets(Thousands of yen)
At October 31, 2010

At January 31, 2010ASSETS
I. Current Assets:
Cash and time deposit

6,215,257

6,905,541

Notes and accounts receivable

9,428,638

8,757,897

Goods and products

4,971,411

4,358,658

Goods in process

58,20857,058Raw material and inventory goods

1,234,373

1,091,958

Other current assets

1,460,128

1,214,030

Allowance for doubtful accounts(131,110)(112,497)

Total Current Assets

23,236,907

22,272,647

Buildings and structures-net

4,554,637

4,638,994

Land

5,897,038

5,897,038

Other tangible fixed assets-net

4,160,107

3,503,514

Total Tangible Fixed Assets

14,611,782

14,039,547

Goodwill

272,851

521,156

Other intangible fixed assets

601,643

709,791

Total Intangible Fixed Assets

874,494

1,230,947

Other

2,058,531

2,031,153

Allowance for doubtful accounts(80,569)(80,638)

Total Investments and Other Assets

1,977,961

1,950,515

Total Fixed Assets

17,464,239

17,221,009

Total Assets

40,701,146

39,493,657

II. Fixed Assets:
1. Tangible Fixed Assets:

2. Intangible Fixed Assets:

3. Investments and Other Assets:7

(Thousands of yen)
At October 31, 2010

At January 31, 2010

LIABILITIES
I. Current Liabilities:
Notes and accounts payable

4,414,840

4,311,892

Short-term borrowings

2,543,743

1,361,900

Current portion of long-term loans payable

1,000,000

107,920

Income taxes payable

275,790682,976

Accrued bonuses to employees

924,691

531,445

Returned goods adjustment reserve

60,817

63,109Other current liabilities

4,035,408

3,634,887

Total Current Liabilities

13,255,292

10,694,132-

1,000,000

238,710221,399

II. Long-Term Liabilities:
Long-term borrowings
Employees’ retirement benefits
Retirement benefits for directors andcorporate auditors
Other long-term liabilities

317,174

298,386

1,029,569

1,015,414

Total Long-Term Liabilities

1,585,454

2,535,200

Total Liabilities

14,840,746

13,229,333

Capital stock

5,199,597

5,199,597

Additional paid-in capital

5,180,246

5,180,246

Retained earnings

17,186,285

17,044,069

Treasury stock(446,905)(446,523)

Total Shareholders’ Equity

27,119,224

26,977,390

16,265

7,563(1,780,990)(1,203,267)(1,764,725)(1,195,704)

III. Minority Interests

505,900

482,638

Total Net Assets

25,860,399

26,264,324

Total Liabilities, Minority Interests and Net Assets

40,701,146

39,493,657

NET ASSETS
I. Shareholders’ Equity:

II. Valuation and Translation Adjustments:
Net unrealized gains on securities
Foreign currency translation adjustment
Total Valuation and Translation Adjustments8(2) Quarterly Consolidated Statements of Income

I. Net Sales
II. Cost of Sales
Gross profit
Reversal of reserve for returned products
Transfer to reserve for returned products
Adjusted gross profit
III. Selling, General and Administrative Expenses
Operating Income
IV. Other Income:Interest income
Rental income
Equity in earnings of non consolidated subsidiaries
and affiliates
Refund of consumption tax
Other
Total Other Income
V. Other Expenses:
Interest expense
Sales discounts
Rental income-related costs
Foreign exchange losses
Other
Total Other Expenses
Ordinary Income
VI. Extraordinary Income:Gain on sales of property
Other
Total Extraordinary Income
VII. Extraordinary Loss:
Loss on sales of property
Loss on disposal of property
Transfer to allowance for doubtful accounts
Bad debts expenses
Loss on liquidation of subsidiaries and affiliates
Other
Total Extraordinary Loss
Income before Income Taxes
Income Taxes
Adjustment for Corporate Tax
Total Corporate Income Tax
Less: Minority Interest in Net Income ofConsolidated Subsidiaries
Net Income

9Nine months ended
October 31, 2009
39,830,937
24,250,240
15,580,697
76,21865,224
15,591,691
11,995,587
3,596,103(Thousands of yen)
Nine months ended
October 31, 2010
41,621,822
24,631,530
16,990,291
62,09562,38916,989,997
14,290,194
2,699,802

22,15690,604

21,48175,534

26,231

48,011

77,261
107,364
323,619－
175,207
320,235

44,726
155,468
58,213－64,026
322,435
3,597,286

36,158
165,792
45,818
118,9738,720
375,4622,644,575

4,482
286
4,768

666
163
829

3,109
13,392
68,619304,594－
6,732
396,447
3,205,607
1,070,671(238,828)
831,843

429
7,622
－
－
71,76912,522
92,3432,553,061
972,795(155,794)
817,000

92,517

72,7992,281,246

1,663,261

(3) Quarterly Consolidated Statements of Cash Flows
Nine months ended
October 31, 2009
I. Cash Flows from Operating Activities:
Income before income taxes
Depreciation
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in accrued bonuses to employees
Increase (decrease) in employees’ retirement benefits
Increase (decrease) in directors’ retirement benefits
Interest and dividend income
Equity in (gains) losses of non consolidated subsidiaries and affiliates

Interest expense
Loss (gain) on sale of fixed assets
Loss on disposal of fixed assets
Loss (gain) on liquidation of subsidiaries and affiliates
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Increase (decrease) in account payable
Increase (decrease) in consumption tax payable
Decrease (increase) in bankruptcy claims
Other
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Net Cash Provided by Operating Activities
II. Cash Flows from Investing Activities:
Acquisition of property, plant and equipment
Proceeds from sales of property, plant and equipment
Acquisition of intangible assets
Purchase of investment securities
Purchase of insurance funds
Proceeds from cancellation of insurance funds
Loans advanced
Collection of loan receivables
Payment for lease deposits
Proceeds from recovery of lease deposits
Other
Net Cash Used in Investing Activities
III. Cash Flows from Financing Activities:
Proceeds from short-term debt
Repayment of short-term debt
Repayment of long-term debt
Payment of cash dividends
Payment of cash dividends to minority shareholders
Acquisition of treasury stock
Other
Net Cash Used in Financing Activities
IV. Effect of Exchange Rate Changes on Cash and Cash Equivalents
V. Net Change in Cash and Cash Equivalents
VI. Cash and Cash Equivalents at Beginning of the Period
VII. Cash and Cash Equivalents at End of the Period

10(Thousands of yen)
Nine months ended
October 31, 2010

3,205,607
1,084,628
236,022
141,399348,250
10,2505,369(25,104)(26,231)44,726(1,372)
13,392－
857,317(843,075)
175,954(111,819)(20,087)(69,762)(269,580)
4,755,884
58,225(45,663)(887,160)
3,881,286

2,553,061
1,210,028
236,850
20,921
393,807
17,31018,788(25,270)(48,011)
36,158(237)
7,622
71,769(905,508)(884,040)
229,829
477,02070,72889(246,531)
3,234,386
54,449(41,928)(1,368,534)
1,878,372(1,173,396)
7,401(172,162)(6,187)(5,647)
20,774(1,716)
1,709(16,666)
28,327(11,123)(1,328,685)(1,821,268)
13,830(125,511)－(3,730)－(2,016)
2,362(18,770)
25,294(9,578)(1,939,390)

5,052,862(5,886,222)(111,120)(1,271,546)(55,474)(2,213)－(2,273,714)

5,963,510(4,745,130)(105,120)(1,509,551)(49,894)(382)(11,621)(458,189)

45,384(171,077)

324,270(690,284)

5,972,743

6,905,541

6,297,014

6,215,257

(4) Notes Regarding Going Concern Assumptions
Not applicable.
(5) Segment Information
Performance by Business Segment
Nine Months Ended October 31, 2009(¥ thousands)
Baby andchild care
Sales(1) Sales to outside customers
31,937,511(2) Intersegment sales－

Healthcare

Consolidated

39,830,937－

39,830,937－
39,830,937

(－)
(－)

－
39,830,937

6,003,051(2,406,948)

3,596,103

Total

4,840,520

3,052,905－
3,052,905
503,834

Total

31,937,511－
4,840,520

Operating income

5,286,216

213,001

Nine Months Ended October 31, 2010
Baby andchild care
Sales(1) Sales to outside customers
33,947,449(2) Intersegment sales－

Eliminations
or corporate

OthersHealthcare(¥ thousands)
Eliminations or Consolidated
corporate

OthersTotal

2,891,843

41,621,822

－

－

－

－
(－)

4,782,529

2,891,843

41,621,822(－)

41,621,822

Operating income
4,630,678
71,874
398,327
5,100,881
Notes:
1. The Company’s business is segmented for internal control purposes.
2. Main products/services of each segment are shown below.
Segment
Main products/services(2,401,078)

2,699,802

Total

33,947,449

4,782,529

41,621,822－

Baby and child care

Breastfeeding and weaning products, skincare products, child-rearing support services, other

Healthcare

Nursing-care products, nursing-care support services, other

Others

Women’s care products (supplements, maternity products, etc.), wet tissues, other11Performance by Geographic Region
Nine Months Ended October 31, 2009
Japan

East Asia

OthersTotal(¥ thousands)
Eliminations or Consolidated
corporateSales(1) Sales to outside customers

28,215,908

8,137,211

3,477,817

39,830,937－(2) Inter-segment sales

1,625,783

1,502,975－

3,128,758(3,128,758)

－

Total

29,841,691

9,640,187

3,477,817

42,959,696(3,128,758)

39,830,937

Operating income

3,929,962

1,893,781

283,338

6,107,081(2,510,978)3,596,103

39,830,937

Notes:
1. Segmentation of countries and regions is based on geographic proximity.
2. Major countries and regions are as follows:(1) East Asia: Singapore, Thailand, China(2) Other: United States, etc.
Nine Months Ended October 31, 2010(¥ thousands)
Eliminations or Consolidated
corporate

Japan

Asia

OthersTotal(1) Sales to outside customers

29,670,618

8,328,987

3,622,216

41,621,822－

41,621,822(2) Inter-segment sales

1,731,912

1,804,703－

3,536,616(3,536,616)

－

Total

31,402,531

10,133,691

3,622,216

45,158,439(3,536,616)

41,621,822

Sales

Operating income
3,605,765
1,263,813
275,932
5,145,511(2,445,708)
2,699,802
Notes:
1. Segmentation of countries and regions is based on geographic proximity.
2. Major countries and regions are as follows:(1) Asia: Singapore, Thailand, China, India(2) Other: United States, etc.
3. Geographical Segment Name Change
In conjunction with the establishment in November 2009 of consolidated subsidiary Pigeon India Pvt. Ltd., the Group haschanged the name of the “East Asia” geographical segment to “Asia.”

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Oversea Sales
Nine Months Ended October 31, 2009(¥ thousand)East Asia
Overseas sales

North America

Middle East

Other

Total

8,601,205

2,874,235

976,545

1,083,463

13,535,451

－

－

－

－

39,830,937

Consolidated net sales

Share of overseas sales in
21.6
7.2
2.5
2.7
34.0
consolidated net sales (%)
Notes:
1. Segmentation of countries and regions is based on geographic proximity.
2. Major countries and regions are as follows:(1) East Asia: China, Singapore, South Korea, etc.
(2) North America: United States, Canada, etc.
(3) Middle East: United Arab Emirates, etc.
(4) Other: South Africa, United Kingdom, Panama, etc.
3. Overseas sales refer to sales in countries or regions outside of Japan reported by the Company and its consolidated subsidiaries.
Nine Months Ended October 31, 2010(¥ thousands)
Asia

Overseas sales
Consolidated net sales

North America

Middle East

Other

Total

8,757,005

2,881,554

1,123,061

1,152,428

13,914,051

－

－

－

－

41,621,822

Share of overseas sales in
21.0
6.9
2.7
2.8
33.4
consolidated net sales (%)
Notes:
1. Segmentation of countries and regions is based on geographic proximity.
2. Major countries and regions are as follows:(1) Asia: China, Singapore, South Korea, etc.
(2) North America: United States, Canada, etc.
(3) Middle East: United Arab Emirates, etc.
(4) Other: South Africa, Panama, United Kingdom, etc.
3. Overseas sales refer to sales in countries or regions outside of Japan reported by the Company and its consolidated subsidiaries.
4. Geographical Segment Name Change
In conjunction with the establishment in November 2009 of consolidated subsidiary Pigeon India Pvt. Ltd., the Group haschanged the name of the “East Asia” geographical segment to “Asia.”(6) Notes Regarding Substantial Changes in Shareholders’ Equity
Not applicable.

13