Summary of Consolidated Financial Results
For the Three Months Ended April 30, 2010
June 3, 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: June 14, 2010
Planned Commencement Date of Dividend Payment: －1. Consolidated Financial Results (February 1 –April 30, 2010)(1) Performance(¥ millions, rounded down, % figures denote year-on-year change)
Operating Income
Ordinary Income
Net Income

Net Sales
Three Months Ended April 30, 2010

12,6884.5%

661(8.1)%

740(3.8)%

464

29.7%

Three Months Ended April 30, 200912,147

－%

719

－%

769

－%

358

－%

Net Income per Share (¥)

Diluted Net Income Per Share (¥)

Three Months Ended April 30, 2010

23.22

－

Three Months Ended April 30, 2009

17.91

－

(2) Financial Position
Total Assets

Net Assets

Equity Ratio (%)

40,60026,316

63.6

At April 30, 2010

Net Assets Per
Share (¥)
1,291.03

At January 31, 2010
39,49326,264
65.3
Reference: Equity: ¥25,839 million (At April 30, 2010); ¥25,781 million (At January 31, 2010)

1,288.14

2. Cash Dividends
Cash Dividends per Share (¥)
1Q

2Q

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

－
－

3Q

Year-end

Full-year

32.00

－

32.00

64.00

44.00

－

44.00

88.00

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

3. Forecast for the Year Ending January 31, 2011
Net Sales
Six Months Ending
July 31, 2010(% indicates changes from thecorresponding previous term)

Year Ending
January 31, 2011

Operating
IncomeOrdinary Income(¥ millions, rounded down)
Net
IncomeNet Income
per Share(¥)

28,700

9.3%

1,800

(16.5)%

1,800(17.4)%

1,000(23.5)%

49.96

60,70013.6 %

5,500

19.5%

5,400

17.2%

3,500

23.2%

174.87(% figures denote year-on-year change)(Note) Changes in projections during the quarter under review: None1

4. Other(1) Changes in material subsidiaries during the period (changes in specific subsidiaries affecting the scope of
consolidation): No(2) Application of simplified methods of accounting and accounting methods specific to the preparation of quarterly
financial statements: Yes
For details, please refer to section 4 (page 6) of the “Qualitative Information, Financial Statements and Other Data.”(3) Changes in accounting principles, processes, presentation methods, etc., related to the preparation of quarterly
consolidated financial statements (recorded in changes to important items that form the basis for preparation ofquarterly consolidated financial statements)
1) Changes due to revisions to accounting standards, etc.: No
2) Changes other than 1): No
For details, please refer to section 4 of the “Qualitative Information Regarding Consolidated Business Results.”(4) Number of outstanding shares (ordinary shares)
1) Number of shares outstanding at term-end (including treasury shares)Three months ended April 30, 2010: 20,275,581
Year ended January 31, 2010: 20,275,581
2) Number of treasury shares at term-end
Three months ended April 30, 2010: 260,945
Year ended January 31, 2010: 260,934
3) Average number of shares during the period (cumulative figure for consolidated quarterly accounting period)
Three months ended April 30, 2010: 20,014,645
Three months ended April 30, 2009:20,015,610
Notes: 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.
Please refer to section 3 (page 5) for the postulate of consolidated performance forecast.

2

Qualitative Information, Financial Statements and Other Data

1. Qualitative Information Regarding Consolidated Business Results
Overview of Performance
In the first quarter under review—three months ended April 30, 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. Despite evidence that raw materials prices are stabilizing, the Pigeon Group
continued facing relatively difficult business conditions due to languishing 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. At the same time, wewill improve and boost the efficiency of our business operating system while strengthening ourbusiness foundation in order to expand the scope of our business and enhance profitability.
3

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 quarter under review, as a result of business operation, consolidated net sales amounted
to ¥12,688 million, up 4.5% from the previous corresponding period. Despite an improvement in
the gross margin stemming from cost reduction activities—including cutting costs of raw materials
costs and promoting in-house manufacturing—profitability was affected by a number of factors. In
the Overseas Business category, for example, we took various measures aimed at tapping newmarkets and strengthening existing businesses. In the Domestic Baby and Child Care Products
category, we pursued aggressive sales and marketing initiatives, including launching new
businesses and releasing new products. Accordingly, operating income declined 8.1% year-on-year,to ¥661 million, and ordinary income was down 3.8%, to ¥740 million. Net income for the period
jumped 29.7%, to ¥464 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 ¥10,108 million, up 5.0% year-on-year. Operating income edged
down 1.2%, to ¥1,307 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 eight maternity events during thequarter under review, attracting more than 450 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.
4

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 madegood progress in setting up dedicated Pigeon sections in retail stores. With respect to reinforcing
our production facilities, consolidated subsidiary Pigeon Industries (Changzhou) Co., Ltd., locatedin Changzhou, Jiangsu Province, commenced Phase I of a plant construction project. During theperiod, we also completed our network of Pigeon Breastfeeding Advice Offices in 34 national
hospitals and maternity hospitals as a joint project under the Chinese government’s campaign topromote 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 and otherwise pursued
steady sales activities. Meanwhile, Pigeon India Pvt. Ltd., a consolidated subsidiary established in
Mumbai to tap new markets in India, commenced full-scale sales and marketing activities.
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 additional daycare facilities in
February 2010, followed by two in March.
Healthcare
In this segment, sales increased 1.9% year on year, to ¥1,647 million, while operating income fell
69.2%, to ¥13 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) 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). Going forward, we will work swiftly to broaden our product roll-out activities. 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 fallover, and also to help staff monitor the movements of patients.
OthersSales in this segment rose 3.1%, to ¥932 million, and operating income declined 15.8%, to ¥140
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.

5

2. Qualitative Information Regarding Consolidated Financial Position(1) Assets
As of April 30, 2010, Pigeon had consolidated total assets of ¥40,600 million, up ¥1,106 million
from a year earlier. Within this amount, total current assets increased ¥953 million, and total fixed
assets rose ¥153 million.
The major factor boosting current assets was a ¥1,002 million increase in goods and products.
The main reasons for the rise in fixed assets were a ¥100 million increase in buildings andstructures and a ¥231 million rise in machinery and transportation equipment associated withconstruction of a new plant by Pigeon Industries (Thailand) Co., Ltd., our production subsidiary inThailand.
(2) Liabilities
Total liabilities at quarter-end stood at ¥14,283 million, up ¥1,054 million from the previous fiscal
year-end. Current liabilities increased ¥1,004 million, and long-term liabilities rose ¥49 million.
Main factors boosting current liabilities were a ¥545 million increase in notes and accounts
payable and a ¥382 million rise in accrued account payable.
(3) Net Assets
At April 30, 2010, consolidated net assets amounted to ¥26,316 million, up ¥52 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.
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. Other(1) Major changes among subsidiaries (scope of consolidation) during period
Not applicable.
(2) Simplified accounting method or special method for preparing quarterly consolidated
financial statements adopted
6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) Changes in accounting principles or procedures related to consolidated quarterly financial
reporting
Not applicable.

75. Quarterly Consolidated Financial Statement(1) Consolidated Quarterly Balance Sheets(Thousands of yen)
At April 30, 2010

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

6,588,255

6,905,541

Notes and accounts receivable

8,466,857

8,757,897

Goods and products

5,361,289

4,358,658

Goods in process

63,99557,058Raw material and inventory goods

1,270,805

1,091,958

Other current assets

1,590,758

1,214,030

Allowance for doubtful accounts(115,737)(112,497)

Total Current Assets

23,226,225

22,272,647

Buildings and structures-net

4,739,698

4,638,994

Land

5,908,811

5,897,038

Other tangible fixed assets-net

3,614,742

3,503,514

Total Tangible Fixed Assets

14,263,252

14,039,547

Goodwill

443,345

521,156

Other intangible fixed assets

651,807

709,791

Total Intangible Fixed Assets

1,095,153

1,230,947

Other2,095,921

2,031,153

Allowance for doubtful accounts(80,117)(80,638)

Total Investments and Other Assets

2,015,804

1,950,515

Total Fixed Assets

17,374,209

17,221,009

Total Assets

40,600,434

39,493,657

II. Fixed Assets:
1. Tangible Fixed Assets:

2. Intangible Fixed Assets:

3. Investments and Other Assets:8

(Thousands of yen)
At April 30, 2010

At January 31, 2010

LIABILITIES
I. Current Liabilities:
Notes and accounts payable

Other current liabilities

4,857,722
1,679,130438,060
877,540
64,287
3,782,181

4,311,892
1,361,900
682,976
531,445
63,1093,742,807

Total Current Liabilities

11,698,923

10,694,132

1,000,000

1,000,000

Retirement benefits for directors andcorporate auditors
Other long-term liabilities

223,591
305,425

221,399
298,386

1,056,054

1,015,414

Total Long-Term Liabilities

2,585,071

2,535,200

Total Liabilities

14,283,995

13,229,333

Treasury stock

5,199,597
5,180,246
16,868,500(446,560)

5,199,597
5,180,246
17,044,069(446,523)

Total Shareholders’ Equity

26,801,783

26,977,390

14,636(976,770)

7,563(1,203,267)(962,134)(1,195,704)

III. Minority Interests

476,790482,638

Total Net Assets

26,316,439

26,264,324

Total Liabilities, Minority Interests and Net Assets

40,600,434

39,493,657

Short-term borrowings
Income taxes payable
Accrued bonuses to employees
Returned goods adjustment reserve

II. Long-Term Liabilities:
Long-term borrowings
Employees’ retirement benefits

NET ASSETS
I. Shareholder’s Equity:
Capital stock
Additional paid-in capital
Retained earnings

II. Valuation and Translation Adjustments:
Net unrealized gains on securities
Foreign currency translation adjustment
Total Valuation and Translation Adjustments9(2) Consolidated Quarterly Statements of Income
Three months endedApril 30, 2009

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
Refund of consumption tax
Rental income
Equity in earnings of non consolidated
subsidiaries and affiliates
Currency exchange gain
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
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

10

12,147,321
7,525,275
4,622,045
75,632
67,985
4,629,692
3,909,991
719,700(Thousands of yen)Three months endedApril 31, 2010

12,688,426
7,503,241
5,185,184
62,561
63,4505,184,295
4,523,206
661,089

8,618－
30,442

6,776
49,97029,761

12,77919,71233,39743,352
128,590

11,002
46,113
163,337

15,80440,823
19,412
2,944
78,984
769,306

11,98051,581
18,1182,471
84,151
740,275

3,360
468
3,828

4
817
822

－
837
380,8386,510
388,185
384,950
329,166(333,521)(4,355)

402
1,215
－
－
1,617
739,480
361,369(106,914)
254,455

30,813

20,125

358,492

464,899

(3) Consolidated Quarterly Statements of Cash Flows
Three months endedApril 30, 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
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 andequipment
Acquisition of intangible assets
Payment to life insurance fund for directors
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 Cashand 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
Period11(Thousands of yen)Three months endedApril 30, 2010

384,950
344,642
78,554474,106

739,480
377,92179,0692,509

316,649

345,458

6,332

2,192

(6,385)(8,618)(12,779)
15,804(3,360)837
997,838(796,132)
387,893(274,066)(40,514)(407,318)(366,918)
1,091,516
8,532(23,037)(311,175)
765,835

7,038(6,901)(19,712)
11,980397
1,215
341,997(1,158,449)
516,681
228,451(54,597)541(346,172)
1,069,100
6,948(16,676)(606,156)
453,214(218,479)
3,790(61,511)(2,579)(240)
396(9,579)2,087(2,209)(288,326)(335,330)
186(35,333)(1,142)(495)
723(7,670)2,649(3,063)(379,475)

2,126,547(2,254,050)－(606,153)(50,393)(761)－(784,810)
204,761(102,539)
5,972,743

1,305,440(1,000,000)(106,240)(612,225)(44,733)(37)(1,931)(459,728)
68,702(317,286)
6,905,541

5,870,203

6,588,255

6. Segment Information(1) Performance by Business Segment
Three Months Ended April 30, 2009(¥ thousands)
Baby andchild care

Sales(1) Sales to outside customers(2) Intersegment sales

Healthcare

OthersTotal

Eliminations
or corporate

Consolidated

9,627,109

1,616,231

903,980

12,147,321－

12,147,321

Total

－
9,627,109－
1,616,231－
903,980－
12,147,321

(－)
(－)

－
12,147,321

Operating income

1,323,449

42,417

166,688

1,532,555(812,854)

719,700

Three Months Ended April 30, 2010
Baby andchild care
Sales(1) Sales to outside customers
10,108,911(2) Intersegment sales－
Total

10,108,911

Healthcare

OthersTotal

1,647,177

932,336

12,688,426－
1,647,177－
932,336－
12,688,426

Operating income
1,307,323
13,068140,415
1,460,808
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
12,688,426

－
(－)
(－)

－
12,688,426(799,718)

661,089

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, other12

(2) Performance by Geographic Region
Three Months Ended April 30, 2009(¥ thousands)
Eliminations or Consolidated
corporate

Japan

East Asia

OthersTotal

9,128,103

1,947,530

1,071,687

12,147,321－

12,147,321

457,604

537,106－

994,710(994,710)

－

Total

9,585,707

2,484,636

1,071,687

13,142,031(994,710)

12,147,321

Operating income

1,075,701

459,212

96,2691,631,184(911,483)

719,700

Sales(1) Sales to outside customers(2) Inter-segment sales

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.
Three Months Ended April 30, 2010
Japan

Asia

OthersTotal(¥ thousands)
Eliminations or Consolidated
corporate

9,319,596

2,140,920

1,227,909

12,688,426－

12,688,426

464,455

592,393－

1,056,848(1,056,848)－

9,784,051

2,733,313

1,227,909

13,745,274(1,056,848)

12,688,426

Sales(1) Sales to outside customers(2) Inter-segment sales
Total

Operating income
1,045,044
407,163
94,306
1,546,514(885,424)
661,089
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.”13

(3) Oversea Sales
Three Months Ended April 30, 2009(¥ thousand)East Asia
Overseas sales

North America

Middle East

Other

Total

2,225,827

923,480

235,799

342,473

3,727,579

－

－

－

－

12,147,321

Consolidated net sales

Share of overseas sales in
18.3
7.6
2.0
2.8
30.7
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, South Africa, France, etc.
3. Overseas sales refer to sales in countries or regions outside of Japan reported by the Company and its consolidated subsidiaries.
Three Months Ended April 30, 2010(¥ thousands)
Asia

Overseas sales
Consolidated net sales

North America

Middle East

Other

Total

2,323,114

1,008,992

277,610337,284

3,947,002

－

－

－

－

12,688,426

Share of overseas sales in
18.3
7.9
2.2
2.7
31.1
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, South Korea, Singapore, India, etc.
(2) North America: United States, Canada, etc.
(3) Middle East: United Arab Emirates, etc.
(4) Other: Panama, Germany, 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.”

14