Summary of Consolidated Financial Results
For the Six Months Ended July 31, 2010
[Japanese Standards] (Consolidated)
September 1, 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: September 13, 2010
Planned Commencement Date of Dividend Payment: October 12
Supplementary materials for the quarterly financial results: Yes
Investor conference for the quarterly financial results: Yes (For annalists and institutional investors)

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

Net Sales
Six Months Ended July 31, 2010

27,236

3.7%

1,715

(20.4)%

1,755(19.5)%

1,098(16.0)%Six Months Ended July 31, 2009

26,258

－%

2,154

－%

2,180

－%

1,307

－%

Six Months Ended July 31, 2010

54.88

Diluted Net
Income Per Share (¥)－

Six Months Ended July 31, 2009

65.30

－

Net Income per Share (¥)(2) Financial Position
Total Assets
At July 31, 2010

Net Assets

40,655

63.6

Net Assets Per
Share (¥)
1,290.92

65.3

1,288.14

Equity Ratio (%)

26,317

At January 31, 2010
39,49326,264
Reference: Equity: ¥25,837 million (At July 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

60,700

13.6%

Operating
Income
5,500

19.5%

Ordinary
Income5,400(% figures denote year-on-year change)(Note) Changes in projections during the quarter under review: None

17.2%(¥ millions, rounded down)
Net Income per
Net Income
Share (¥)
3,500

23.2%

174.87

4. Other (For details, please see “Other Information” on page 5 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)
Six months ended July 31, 2010: 20,275,581
Year ended January 31, 2010: 20,275,581
2) Number of treasury shares at term-end
Six months ended July 31, 2010: 261,042
Year ended January 31, 2010: 260,934
3) Average number of shares during the period (cumulative figure for consolidated quarterly accounting period)
Six months ended July 31, 2010: 20,014,613
Six months ended July 31, 2009:20,015,496*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 4, “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…………………….4
2. Other Information…………………………………………………………………………………5(1) Overview of major changes among subsidiaries……………………………………………….5(2) Overview of simplified accounting method or specific method……………………………….5(3) Overview of changes in accounting principles, processes and presentation methods..……..…5
3. Quarterly Consolidated Financial Statement……………………………………………………...6(1) Quarterly Consolidated Balance Sheets………………………………………………………..6(2) Quarterly Consolidated Statements of Income…………………………………………………8(3) Quarterly Consolidated Statements of Cash Flows…………………………………………….9(4) Notes Regarding Going Concern Assumption………………………………………………..10(5) Segment Information………………………………………………………………………….10(6) Notes Regarding Substantial Changes in Shareholders’ Equity………………………………12

1

1. Qualitative Information Regarding the Financial Performance for the Current Quarter(1) Qualitative Information Regarding Consolidated Business Results
Overview of Performance
In the second quarter under review—six months ended July 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, the situation remains
challenging and relatively unsustainable as moderate deflation continues and unemployment rates
remain at high levels. The Pigeon Group continued facing difficult business conditions due tolanguishing personal consumption, especially for some consumables.
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 two 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¥27,236 million, up 3.7% from the previous corresponding period. With respect to earnings, grossprofit improved year-on-year thanks to higher revenue and cost-reduction efforts. However, selling,
general, and administrative expenses increased, due largely to the Group’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 20.4%, to ¥1,715 million,
and ordinary income declined 19.5%, to ¥1,755 million. In China, where we expect renewed growthin the future, 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 ourcommitment 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 16.0%,
to ¥1,098 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 ¥22,099 million, up 5.1% year-on-year. Operating income edged
down 9.4%, to ¥2,996 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, for the first time 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. For newborns, we unveiled UV Baby Water
Milk, a skincare-type sunscreen that can be applied every day. Based on our breastfeeding-related
research over more 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. We also unveileda baby stroller called Pixy-turn. In addition, we promoted our direct communications program aimed
at strengthening brand loyalty. As part of this program, we held 20 maternity events during thequarter under review, attracting more than 1,300 participants. Meanwhile, we made good progress inattracting new members to “Pigeon Info”—a word-of-mouth community portal that supports women
during pregnancy, in childbirth, and when raising children. Membership has thus been rising steadily.
With respect to Mamas & Papas, a U.K. designer brand of baby products, in March 2010 wecommenced full-scale sales via mail-order catalog and the Internet.
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 China and the United States. In China, we conductedmarketing 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,
and running television commercials. With respect to reinforcing 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, with completion
scheduled for November 2010. During the period, we also expanded our network of Pigeon
Breastfeeding Advice Offices to 188 hospitals as a joint project under the Chinese government’s
campaign to promote breastfeeding and increase the breastfeeding 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 lineup of breastfeeding-related products andotherwise 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 andmarketing activities. In April 2010, for example, it launched a line of skincare 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 and one in July, 2010.
Healthcare
In this segment, sales declined 2.4% year on year, to ¥3,247 million, while operating income fell
56.3%, to ¥58 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 of3

initiatives, 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) and super absorption incontinence pads and incontinence underpants(cloth pads and underpants that provide peace of mind and comfort without having to use paper
diapers). With respect mail-order sales, a new channel that we are pursuing, we paid particularattention to TV shopping, which led to an increase in sales of Recoup products. However, total
mail-order sales declined year-on-year, due mainly to problems associated with new products.
These included belated product recognition and delays in shipping products to stores. Goingforward, we will seek to enhance brand recognition by holding events and stepping up information
dissemination. At the same time, we will actively expand product rollouts and procure new sales
channels.
Regarding 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.
OthersSales in this segment declined 0.5%, to ¥1,889 million, and operating income declined 14.3%, to¥279 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.
(2) Qualitative Information Regarding Consolidated Financial Position
1) Assets
As of July 31, 2010, Pigeon had consolidated total assets of ¥40,655 million, up ¥1,161 million
from a year earlier. Within this amount, total current assets increased ¥1,038 million, and total fixed
assets rose ¥123 million.
The major factor boosting current assets was a ¥1,129 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 July 31, 2010 stood at ¥14,338 million, up ¥1,109 million from the previous
fiscal year-end. Current liabilities increased ¥1,055 million, and long-term liabilities rose ¥53
million.
Main factors boosting current liabilities were a ¥324 million increase in notes and accounts
payable and a ¥503 million rise in short-term borrowings.
3) Net Assets
At July 31, 2010, consolidated net assets amounted to ¥26,317 million, up ¥52 million from January31.
(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.
The Group has not changed its full-year forecasts for the fiscal year ending January 2011. (Those
forecasts were announced on March 5, 2010.)
4

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.

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

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

5,907,449

6,905,541

Notes and accounts receivable

9,886,920

8,757,897

Goods and products

4,888,138

4,358,658

Goods in process

35,72357,058Raw material and inventory goods

1,277,527

1,091,958

Other current assets

1,450,975

1,214,030

Allowance for doubtful accounts(135,392)(112,497)

Total Current Assets

23,311,342

22,272,647

Buildings and structures-net

4,666,615

4,638,994

Land

5,892,756

5,897,038

Other tangible fixed assets-net

3,792,833

3,503,514

Total Tangible Fixed Assets

14,352,206

14,039,547

Goodwill

357,710521,156

Other intangible fixed assets

624,279

709,791

Total Intangible Fixed Assets

981,990

1,230,947

Other2,090,217

2,031,153

Allowance for doubtful accounts(80,115)(80,638)

Total Investments and Other Assets

2,010,101

1,950,515

Total Fixed Assets

17,344,298

17,221,009

Total Assets

40,655,640

39,493,657

II. Fixed Assets:
1. Tangible Fixed Assets:

2. Intangible Fixed Assets:

3. Investments and Other Assets:6

(Thousands of yen)
At July 31, 2010

At January 31, 2010

LIABILITIES
I. Current Liabilities:
Notes and accounts payable

4,635,959

4,311,892

Short-term borrowings

1,865,582

1,361,900

Income taxes payable

430,522682,976

Accrued bonuses to employees

572,272

531,445

Returned goods adjustment reserve

69,21963,109Other current liabilities

4,176,052

3,742,807

Total Current Liabilities

11,749,609

10,694,132

1,000,000

1,000,000

236,414221,399

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

311,899

298,386

1,040,497

1,015,414

Total Long-Term Liabilities

2,588,811

2,535,200

Total Liabilities

14,338,420

13,229,333

Capital stock

5,199,597

5,199,597

Additional paid-in capital

5,180,246

5,180,246

Retained earnings

17,502,119

17,044,069

Treasury stock(446,873)(446,523)

Total Shareholders’ Equity

27,435,090

26,977,390

14,3397,563(1,612,184)(1,203,267)(1,597,845)(1,195,704)

III. Minority Interests

479,975

482,638

Total Net Assets

26,317,220

26,264,324

Total Liabilities, Minority Interests and Net Assets

40,655,640

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 Adjustments7(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
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
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

8

Six months ended
July 31, 2009
26,258,759
16,114,857
10,143,901
76,52674,518
10,145,909
7,991,305
2,154,604(Thousands of yen)Six months ended
July 31, 2010
27,236,867
16,068,686
11,168,180
62,81870,231
11,160,767
9,444,891
1,715,876

16,84360,517

14,94758,73323,022

42,77960,05851,811
212,253

52,092
68,966
237,518

31,83498,09740,50516,301
186,739
2,180,118

25,014106,255
34,08732,397
197,754
1,755,640

4,466
278
4,744

520
544
1,065

3,074
12,744
380,838－
6,732
403,388
1,781,475
610,611(197,833)
412,777

433
7,192
－
71,76912,94992,344
1,664,361
595,884(79,152)
516,732

61,562

49,111

1,307,135

1,098,518

(3) Quarterly Consolidated Statements of Cash Flows

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 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
PeriodVII. Cash and Cash Equivalents at End of the Period

9

Six months ended
July 31, 2009

(Thousands of yen)Six months ended
July 31, 2010

1,781,475
705,348
157,473460,178
16,7404,889
195(17,803)

1,664,361
804,204
158,269
23,33341,86815,014
13,512(16,363)(23,022)(42,779)

31,834(1,392)
12,744－
1,039,662(470,275)
265,024(3,531)(6,289)(397,603)(536,061)
3,019,586
19,389(33,438)(540,538)
2,464,998

25,014(87)
7,192
71,769(1,274,477)(779,172)
405,761435,327(1,201)
568(252,263)
1,299,854
16,410(25,980)(843,321)
446,962(696,297)
7,269(110,193)(4,597)
20,774(1,385)974(10,244)
26,828(10,478)(777,350)(1,015,924)
11,215(69,630)(2,680)－(1,534)
1,576(8,929)17,069(7,041)(1,075,879)

2,452,038(2,679,912)(111,840)(639,019)(50,393)(1,187)－(1,030,314)

1,731,773(1,201,890)(107,040)(639,382)(44,733)(350)(2,400)(264,023)

198,100(105,152)

855,433(998,092)

5,972,743

6,905,541

6,828,177

5,907,449

(4) Notes Regarding Going Concern Assumptions
Not applicable.
(5) Segment Information
Performance by Business Segment
Six Months Ended July 31, 2009
Baby andchild care
Sales(1) Sales to outside customers(2) Intersegment sales

Healthcare

OthersTotal(¥ thousands)
Eliminations
Consolidated
or corporate

21,032,063

3,327,021

1,899,674

26,258,759－

26,258,759－
21,032,063－
3,327,021－
1,899,674－
26,258,759

(－)

Total

(－)

－
26,258,759

Operating income

3,306,130

133,189

326,014

3,765,334(1,610,729)

2,154,604

Six Months Ended July 31, 2010
Sales
(1) Sales to outside customers(2) Intersegment sales
Total

Baby andchild care

Healthcare

OthersTotal

22,099,925

3,247,094

1,889,846

27,236,867－
22,099,925－
3,247,094－
1,889,846－
27,236,867

Operating income
2,996,359
58,156279,301
3,333,817
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(¥ thousands)
Eliminations or Consolidated
corporate
－
(－)
(－)

27,236,867(1,617,941)

1,715,876－
27,236,867

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, other10Performance by Geographic Region
Six Months Ended July 31, 2009
Japan

East Asia

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

19,113,703

4,878,172

2,266,883

26,258,759－

26,258,759(2) Inter-segment sales

1,053,975

1,071,763－

2,125,738(2,125,738)

－

Total

20,167,679

5,949,936

2,266,883

28,384,498(2,125,738)

26,258,759

Operating income

2,642,931

1,100,509

165,377

3,908,818(1,754,214)

2,154,604

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.
Six Months Ended July 31, 2010(¥ thousands)
Eliminations or Consolidated
corporate

Japan

Asia

OthersTotal(1) Sales to outside customers

19,649,201

5,129,075

2,458,590

27,236,867－

27,236,867(2) Inter-segment sales

1,102,835

1,178,217－

2,281,052(2,281,052)

－

Total

20,752,036

6,307,292

2,458,590

29,517,919(2,281,052)

27,236,867

Sales

Operating income
2,457,160
720,397
203,235
3,380,793(1,664,917)
1,715,876
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.”11

Oversea Sales
Six Months Ended July 31, 2009(¥ thousand)East Asia

Overseas sales

North America

Middle East

Other

Total

5,295,648

1,912,095

584,970

725,870

8,518,584

－

－

－

－

26,258,759

Consolidated net sales

Share of overseas sales in
20.1
7.3
2.2
2.8
32.4
consolidated net sales (%)
Notes:
1. Segmentation of countries and regions is based on geographic proximity.
2. Major countries and regions are as follows:(1) East Asia: China, South Korea, Singapore, etc.
(2) North America: United States, Canada, etc.
(3) Middle East: United Arab Emirates, etc.
(4) Other: Panama, United Kingdom, South Africa, etc.
3. Overseas sales refer to sales in countries or regions outside of Japan reported by the Company and its consolidated subsidiaries.
Six Months Ended July 31, 2010(¥ thousands)
Asia

Overseas sales
Consolidated net sales

North America

Middle East

Other

Total

5,426,862

1,957,926

672,490

768,472

8,825,751

－

－

－

－

27,236,867

Share of overseas sales in
19.9
7.2
2.5
2.8
32.4
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: United Kingdom, Panama, South Africa, 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.

12