SBS Business Report（Interim）

For the Six Months Ended June 30, 2016
（Security Code：2384）

Sp ec ia l Fea t u r e

Focusing on the Development of Human
Resources as the Key to Creating Our Future

C o n t en t s

Business Highlights ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 0 1
Message from the President ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 0 2
Special Feature ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 0 3Highlights ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 0 5
Topics ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 0 6
Consolidated Performance ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 0 7
Corporate Profile & Stock Information ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 1 0

BUSINESS HIGHLIGHTS 2016 (1st Half of FY 2016)

SBS Group meets the various logistics needs withthe utmost quality.
Results and plans(Millions of yen)

（1st Half of FY2016）FY2016
PlannedActuralPlannedNet Sales

76,50076,531

146,500

Operating Income

5,100

5,347

6,600

Ordinary Income

5,200

5,642

6,600

Net Income

3,600

4,009

4,300

Logistics 84.3％

Other 4.0％

（Human resources,
environment-related,marketing and solar
power generation）

Property
Management
11.7％

Adding logistics
support businessto our corelogistics business,
providing logistics
services with highadded value

Sales
Composition

An overview of businesses

Logistic
Business

General
Logistics●3PL ●International Logistics●Warehouse/Logistics Center Operation●Customs Clearance Handling ●Distributive Processing●Internal Logistics ●Office Relocation●Logistics Consulting Others

Food
Logistics●Three-Temperature Nationwide Logistics ●3PL
●Distributive Processing ●Home Delivery●Logistics Consulting●Delivery of Online Supermarket Orders
OthersSpecialized
Logistics

Logistics
SupportBusiness●Same-Day Delivery●Just-in-Time Delivery

Property●Development and sale of logistic facilities
Management
OthersOthersOthers●Human resources ●Environment-related ●Marketing●Solar power generation Others

Important aims and strategy
Expanding 3PL businessand ensuring stablefoundations (by working
with the food industry)Business strategy

Overseasdevelopment focusing
on the Asian markets

M&A anddevelopment oflogistics facilities

International
strategy

Investment
strategyStrengthening of the Group's management foundations
Establishment of a low-cost operation system :creation of an environment enabling synergetic effectThreestrategies

3PL Corporate Group
which has the logistic
functions in all
directions, aiming tobecome a top-level.

＊The statements made in connection with the forecasts present in these materials are based on assumptions, which include
information available at the present time and uncertain components, which may affect future business results.The actual
business results may differ from the forecasts due to various causes that may affect them in the future.

1 SBS Business Report 2016

MESSAGE FROM THE PRESIDENT

In the first half of the fiscal year
under review, the SBS Group took
significant strides towardachieving a V-shaped turnaround.
President

Masahiko Kamata

After incurring a loss at its operating company in

Kawagoe Logistics Center, which serves as a

India in the previous fiscal year, the SBS Groupmajor 3PL base. In addition to the recovery ofprioritized efforts to achieve a V-shaped recov-

invested funds, SBS Holdings has taken positive

ery throughout the first half of fiscal 2016, thesteps to improve its balance sheet.

fiscal year ending December 31, 2016. In its

In the other business segment, and in partic-

logistics business, energies during the first halfular its solar power generation activities,of the fiscal year under review were mainly

where the Group boasts a total power genera-channeled toward starting up new logistics loca-

tion capacity in excess of 10 megawatts, oper-

tions with a total floor area of around 165,000

ations continue to steadily expand. At thesquare meters , the largest facility expansion insame time, the Group is experiencing growth

the Group’s history. Currently, the main focus of

in both revenue and earnings from its e-com-

the Group’s operations is centered around themerce-related marketing operations in line

reorganization of existing locations as well aswith the upswing in the size of the market.

the transfer of operations to other facilities. Ac-

We are acutely aware that the net loss

tivities in each area are generally proceeding inincurred in the fiscal year ended December 31,

line with plans. As far as the second half and2015 and the decision by the Company tobeyond is concerned, we will work to quickly

forego the payment of a dividend, are of con-ensure reliable and efficient operations at eachsiderable concern to shareholders. Fortunate-site while increasing our profit margin.

ly, we have taken significant strides toward

In the property management business, theachieving a V-shaped turnaround in the firstGroup carried through with new large-scale

half of the fiscal year under review. In addition,

investments throughout the period under review.

we belatedly made moves to return profits to

In addition to the completion of construction of ashareholders with the payment of a quarterly

multi-tenant distribution center in Isogo Ward,

dividend with a base date of the end of March

Yokohama (total floor space 39,670 square2016. Moving forward, we will place themeters) in February, a specialized logistics facility

utmost priority on meeting the expectations offor large-scale department stores in Tokorozawa,

shareholders by realizing a definitive V-shaped

Saitama Prefecture (29,750 square meters) cameturnaround. As we work toward achieving ouronline in March. Group company, SBS Logicom

goals, we ask for your continued support andCo., Ltd., brought forward plans to sell theunderstanding.

SBS Business Report 20162

SPECIAL FEATURE

Focusing on the Development of Human
Resources as the Key to Creating Our Future
The SBS Group recognizes that both M&As and efforts to reorganize its business are essential to continued
growth. In order to substantially transform the structure of its existing business, it is equally important that
employees possess the necessary high level of skills to adapt to change. With this in mind, SBS Holdings
works diligently to generate synergies between Group companies that boast a variety of strengths byactively engaging in the education and training of its employees. Moreover, by creating opportunities
through which employees can learn and share a broad range of skills that extend beyond organizationalboundaries, the SBS Group is fostering a climate of mutual respect among disparate cultures and values, anenvironment of knowledge sharing, and an atmosphere of friendly competition.

■ Placing the utmost importance on safety and quality /Logistics Quality Control Department
The SBS Group is comprised of multiple transportation operators and forwarders. The Logistics Quality
Control Department is charged with the responsibility of coordinating the efforts of all of these operators.
Among a host of activities, the department strives to ensure a uniform standard of logistics quality across theGroup as a whole and to establish a robust structure and system of transportation safety. In addition to
overseeing the safety of vehicles and operations, steps are also taken to conduct education and training in
the art of safe as well as environmentally conscious driving.

■ Nurturing human resources /Human Resources Department Training Section
Based on its education and training system, the Training Section of the Group’s Human Resources
Department puts in place training plans by position, theme, and workplace function. The section is also
responsible for promoting the Group’s self-development programs. With the understanding that the learning
process is a lifelong endeavor, the SBS Group is committed to developing human resources with a level ofskills that extend beyond the confines of a single company.

The SBS Group’s education andtraining implementation data
* For 20151

◆ No. of programs ・・・ 38◆ Total no. of days ・・・ 72◆ No. of times implements ・・・ 54◆ No. of participants ・・・・・1,623

Continuing to promote strict adherence to the basics while encouraging
each and every member of the SBS Group to better understand theimportance of safe and eﬃcient operations and to adopt a broad perspective
Munekazu Inaba, General Manager Logistics Quality Control Department

It is vital that each and every member of the SBS Group maintains a strong sense of ownership toward ensuringsafety. To this end, it is important that the Group nurtures employees who consistently promote the need toadhere strictly to the basics, and to instill a strong sense of pride in the operations of the Group’s as a logistics
professional from a broad perspective that encompasses the local community.

2

Environmentally conscious and safety training

One-day and two-day training sessions are each held twice yearly in order to enhanceawareness and understanding toward environmental issues and energy conservation.
These sessions provide participants with a high degree of specialized expertise andinclude a mix of classroom and practical training. Through on-the-job training,
employees are also encouraged to complete fuel consumption logbooks* while at thesame time practicing environmentally conscious driving.

＊ Travel management charts that record details of fuel consumption completed by drivers on a daily basis.

3 SBS Business Report 2016

SPECIAL FEATURE

3

Pre-tournament held by the SBS GroupThe SBS Group plans to hold its inaugural driver contest in the fall of 2016. As aprelude to this event, a pre-tournament was held last year. The goals are to develop
drivers with the highest moral standards, advanced technical skills, and specialized
expertise.

4

SBS Zentsu holds an in-house driver contest

Group company, SBS Zentsu, Co., Ltd., has held an in-house driver contest since 2013.
Together with customers, drivers take center stage to enliven the entire workplace. As anestablished event on the company’s calendar, the event recently attracted more than 100
participants including members from the organizing secretariat and supporters.

5

Logistics quality seminar

Targeting a total of approximately 450 administrative personnel engaged in transportation
safety management, the SBS Group conducts logistics quality seminars three times a year.
With the aim of providing participants with the latest information on statutory andregulatory requirements relating to service, labor, and risk management, these seminars aredesigned to bolster safe and secure business operations.

6

Ensuring that both organizational and individual growth isfundamental to developing human resources within the organization
Tadasada Sugawara, Manager Human Resources Department Training TeamThe SBS Group has positioned efforts to link a change in its way of thinking to a change inbehavior as its principal education and training theme throughout fiscal 2016. Plans are in place for approximately
900 employees to participate in training by position and theme. Making the most the information gained throughthis training, it is vital that the fruits of this training contribute to the organization. It is important for the Group’s
training to not only have an impact on participating employees, but also on the workplace as a whole.

7

New employee training

New employees of each Group company undergo basic training over a period of around
two weeks. This also helps to build a sense of camaraderie among employees entering theGroup at the same time. New employees energetically posing questions to other
employees with three and four years' experience in the Company.

8

Next-generation logistics center general manager training

The SBS Group maintains programs for employees identified as candidates to take up
the position of logistics center general manager. Over a period of five days, participants
are required to perform in a variety of areas including onsite training.

9

Basic training for managers

All of the Group's newly appointed managers undergo basic training. As the driving
force behind the Group's growth, managers learn the basics about the oversight andcontrol functions over a one-night, two-day program. This program is also an
opportunity to promote discussion between Group companies.

10

Basic training for managerial staﬀ

Participants from each Group company meet for essentially the first time. Prior to thestart of training, participants exchange business cards.

SBS Business Report 2016

4

HIGHLIGHTS

Japan’s Financial Services Agency and the Tokyo Stock Exchange put in place a Corporate Governance

Code in 2015. Here, we provide an overview of operating conditions as they relate to corporate
governance and details of the Group’s corporate governance activities.

■ Growing awareness toward the importance of corporate governanceCorporate governance is integral to the proper conduct of business, and provides the necessary platform from which
to manage and control operations and to ensure that the decisions of management and directors have a positive
impact on spurring growth. In recent years, corporate governance has attracted particular interest due to a variety offactors. Various incidents have shown that weak corporate governance can contribute to decisions that focus
excessively on profits and self-interest. This in turn can lead to a deterioration in performance and a downturn inprice of a company’s stock. To prevent this from happening, every effort should be made to strengthen the oversightand control functions. In this context, corporate governance plays a critical role in securing sound management andbusiness operations.

■ A corporate governance code that covers the full gamut of corporate activities
Covering the full gamut of a company’s mainstream activities, the Corporate Governance Code provides the platformfrom which to secure sustainable growth and enhance corporate value. The Code lays out those guidelines thatpublicly listed companies must follow, outlines the rights of shareholder and the role of the board of directors, andprovides a medium through which to promote dialogue with investors and shareholders.
The SBS Group issued its Corporate Governance Report based on the Corporate Governance Code in April 2016.
This was followed by the issue the SBS Holdings Corporate Governance Guidelines, which outlines the Company’s
framework for corporate governance in July 2016.
● Corporate Governance Report (in Japanese only)

http://www.sbs-group.co.jp/hdg/pdf/hdg _corporategovernance_160801.pdf● Corporate Governance Guidelines (in Japanese only)

http://www.sbs-group.co.jp/hdg/pdf/hdg _cg _ guideline_160715.pdf6■ The SBS Group’s corporate governance system
General Meeting of Shareholders
Audit & Supervisory Board
Board ofDirectors

・Risk Management Meeting
・Compliance Meeting
・Transportation Safety Promotion
Meetings
・Information Security Promotion
Meeting

Executive
Audit Department
Body
Each of the Company’s departments（Corporate Planning, Management Control, Finance,
Accounting, Human Resources and General Affairs）

Executive Officers

SBS Group companies
Internal Reporting
Internal Reporting System

Attorney

Representative
Director

CSR Promotion
Committee

5 SBS Business Report 2016

Corporate Governance Structure

Accounting Auditor

The SBS Group has adopted the company with an Audit &Supervisory Board system. Under this system, the Board of
Directors is responsible for making important decisions regarding
the Company’s operations and overseeing the executivefunction. Working independently from the Board of Directors,
the Audit & Supervisory Board and its members are responsible
for the audit function and ensuring that the Company adheres
strictly to all statutory and regulatory requirements. Moreover,two members of the Board of Directors are appointed fromoutside the Company, which helps to bolster the monitoring
function. SBS Holdings has also adopted an executive officer
system in order to clarify the executive responsibilities of officers
while ensuring the proper delegation of authority. Through thesemeans, every effort is being made to put in place a management
and operating structure that is distinguished by its agility andflexibility. In order to garner the ongoing trust of its stakeholders
and to consistently contribute to the wellbeing of society as awhole, the SBS Group is engaging in transparent and soundmanagement. Furthermore, the Group is engaging in activities
that are consistent with social norms as well as laws andregulations, and is working to foster a corporate culture that isbased on the highest ethical standards.

TOPICS

Set Up a Joint Venture with Kasei, Inc.
and Commenced Distribution
Operations in the Hanshin Region

Presented the1st Social
Contribution Activity Awards

January(SBS Group)

April(SBS Sokuhai Support Co., Ltd.)

In order to encourage andrecognize the efforts of
employees to contribute tosociety, the SBS Groupestablished an awards
system in fiscal 2015. In this inaugural year, awards
were presented to Nippon Record Center Co., Ltd.,the Yoshikawa, Kimitsu, and Todabashi branches of
SBS Logicom Co., Ltd., and Marketing Partners Co.,Ltd.

SBS Sokuhai Nishi-Nippon
Co., Ltd. was established
as a joint-venture company
between Kasei, Inc. and SBS
Sokuhai Support Co., Ltd.
on March 18, 2016. The newly established company
commenced transportation operations in the Hanshin
region from April 1. With bases set up in Osaka andKobe, SBS Sokuhai Nishi-Nippon will look to pushforward charter-type shipping-and-delivery operations.

Began Providing Facility Logistics
Support on a Contract Basis at
Tokyu Plaza Ginza

Conducted Harassment Training
for Management and Supervisory
Personnel

February(SBS Logicom Co., Ltd.)May(SBS Group)

SBS Logicom has assumed
responsibility for the facility
logistics support function at Tokyu
Plaza Ginza, a large-scalecommercial complex developed
and operated by Tokyu Land
Corporation. After undertaking thetraining of staff, coordinating with neighboring
facilities as well as transportation vehicles, andsupporting tenants with their preparations in
opening new stores, SBS Logicom celebrated thefacility’s grand opening on March 31.

The SBS Group conducted harassment
training for the management andsupervisory personnel of Group
companies in an effort to realize aworkplace environment in which all
employees can go about their duties
in a comfortable and enjoyablemanner. In addition to displaying posters at all placesof work with the aim of preventing power harassment,
the SBS Group is also working diligently to promoteincreased awareness and understanding toward
compliance by all employees.

Established the
New Sugita Logistics Center,
which Specializes in 3PL Services

Commenced Sales of SANIMED,Japan’s First Therapeutic Foodfor Pets

February(SBS Freight Service Co., Ltd.)SBS Freight Service, which
engaged in logistics
operations over a wide area,
relocated its head office toIsogo Ward, Yokohama City,
in conjunction with the establishment of the new
Sugita Logistics Center, the company’s first facility to
specialize in 3PL services. SBS Freight Service has
been contracted to undertake the logistics
operations of an audio equipment manufacturer anda company engaged in education-related activities
targeting young children at the center.

June(Global Pet Nutrition Inc.)

Global Pet Nutritionc o n c l u d e d acomprehensive agency
agreement for theimport and sale in Japan of SANIMED with
Netherland-based Vobra Special Petfoods.
Developed by Vobra Special Petfoods, a company
that is also active in providing treatments for skinand chronic kidney diseases, SANIMED is a special
therapeutic food for pets. This is the first instance fora special product of this nature to be sold toveterinary hospitals.
SBS Business Report 2016

6

CONSOLIDATED FINANCIAL PERFORMANCE

During the period under review, the SBS Group worked in unison to prioritize eﬀorts aimed at achievinga V-shaped recovery following the losses incurred by the Group’s operating company in India in theﬁscal year ended December 31, 2015. From a business strategy perspective, the Group focused onstarting up locations with a total ﬂoor area of around 165,000 square meters, the largest facility
expansion in its history. At the same time, energies were directed toward reconstructing the Group’s
overseas platform.

■ Net Sales■ Operating Income
1st Half(Millions of yen)
150,000

127,935

Full Year

YOY
Change157,996
132,205

1st Half

3.4％

141,535

60,00062,84661,80579,22965,7773,000

76,531

1,000

2012

2013

2014

2015

0

2016

1st Half

5,772(Millions of yen)

3,000

2,000

5,642

0

YOY
Change3,648

Full Year

4,009

2,000

1,626

1,000

818

1,549

1,749

2015

2016

2,033

138

－3,0002014

YOY
Change

97.1％
UP

0

523

7 SBS Business Report 2016

2016

2,725

1,361

2013

2015

(Millions of yen)
4,000

3,000

1,978

2012

2014

UP

2,746

1,000

2013

1st Half

185.2％

1,411

2012

Full Year

5,000

3,779

691

■ Net Income■ Ordinary Income

4,000

1,788

1,467

1,320

0

UP

4,098

2,876

2,000

30,000YOY
Change199.0％
4,116

4,000

90,000

5,347

5,000

DOWN

120,000

5,347(Millions of yen)

Full Year△3,815
2012

2013

2014

2015

2016

CONSOLIDATED FINANCIAL PERFORMANCE■ Sales by Segment(Millions of yen)
1st Half of FY2016
Net Sales

1st Half of FY2015

OperatingOperating
Net Sales
IncomeIncomeLogistics

64,562916

73,810973

Property
Management

8,935

4,390

2,510

805

Other

3,034

172

2,908

125

● Logistics Business :In Japan, net sales in the logistics business grew
due to the expansion of operations. This was
despite sluggish increases in cargo volumes.
Overseas’net sales dropped owing mainly to the
exclusion of overseas subsidiaries from the scopeof consolidation. As a result, overall sales declined.
Operating income benefited from falling fuel costs,
the hike in service pries, and a lower goodwill
burden on overseas subsidiaries. However, these
positive factors were not enough to compensate
for the higher costs associated with the launch of

Adjusted Total

76,531

79,229

5,347

1,788

logistics locations.
● Property Management Business :Net sales and operating income increased
substantially. This largely reflected the early sale ofthe Kawagoe Logistics Center. Initially slated forthe third quarter, sale was brought forward to thesecond quarter.
● Other Business :Net sales and operating income grew on the backof the favorable performance in the marketingbusiness and positive steps to expand solar power
generation business operations.

■ Net Debt, Total Shareholders' Equity（left）,
Net Debt-to-Equity Ratio（right）
Net Debt

Total Shareholders' Equity■ Net Assets, Equity Ratio

Net Debt-to-Equity Ratio

Net Assets(Millions of yen)（Times）(Millions of yen)

60,0003.0

40,00051,22045,00030,00038,12827,402

28,63030,778 1.95

1.39
12/12

35

46,40630,88924,675
1.50

1.66

（％）

35,091

39,21515,000051,534Equity Ratio

2.5

30,00027,7802.0

20,00026.3％

33.29829,947

29,218

26.7％

30

26.3％

25

24.3％
1.5

10,000

1.0

0

22.5％

20

1.37
13/12

14/12

15/12

16/06

12/12

13/12

14/12

15/12

16/06

0

＊Net Debt=Long-term loans + Short-term loans + Bond-Cash and deposits＊Net Debt-to-Equity Ratio=Net debt/Total shareholders' equity

SBS Business Report 2016

8

DIVIDEND■ Dividends per Share
(yen)
40

30

40.0

40.0

Basic Policy on the Distribution of Profits

Commemorative Commemorative
dividend
dividend￥10

The SBS Group has positioned the return of proﬁts to its

32.0

￥10

Quarterly dividend￥16

Accordingly, our basic policy on the distribution of
proﬁts is to maintain a steady stream of ongoing20

dividends while working to increase dividend levels in

15.0

line with the Group’s operating performance. In

￥16

10

0

shareholders as an important management objective.

implementing this policy, we also take into
consideration the need to boost internal reserves toensure a stronger management base.

0
2012

2013

2014

2015

2016
(Forecast)

Notes:The Group conducted a three-for-one split of commonshares on June 1, 2014.
The commemorative dividend distributed in 2012 commemorates the Group’s listing on the Second Sectionof the Tokyo Stock Exchange.
The commemorative dividend distributed in 2013 commemorates the Group’s listing on the First Section of
the Tokyo Stock Exchange.

Looking at dividends for the ﬁscal year ending
December 31, 2016, we plan to pay the usual period
end dividend of \16 per share to shareholders.
Meanwhile, we took steps to pay a quarterly dividendof \16 per share to shareholders of record as of the endof March 2016 on a one-oﬀ basis limited to the ﬁscal
year under review.

PERFORMANCE FORECASTS (For the year ending December 31, 2016)

Net Sales¥ 146,500 million

YOYchange¥ 6,600 million

YOYchangeOrdinary
Income

7.3％
DOWN

14.3％

YOY
changeOperating
Income¥ 6,600 million

Net Income¥ 4,300 million （3,815）

UP

23.4％
UP

FY2015■ By Segment(Millions of yen)

Logistics

Property
Management

Other

Adjusted Total

Net Sales

129,950

10,3506,200

146,500

YOY Change(9.4)%

19.8％

4.0％

(7.3)%

Operating Income

1,530

5,070

300

6,600

YOY Change(26.2)%

54.0％

26.1％

23.4％

Operating Margin

1.2％

49.0％

4.8％

4.5％

※ Figures of the earnings forecast have been revised on May 25, 2016.

9 SBS Business Report 2016

CORPORATE PROFILE & STOCK INFORMATION (As of June 30, 2016)■Corporate Proﬁle■ Stock Information

Company nameSBS Holdings, Inc.

President

Masahiko Kamata

FoundedDecember 16, 1987

Paid-in Capital¥3,918.21 million

Net sales¥157.9 billion (consolidated)*For the year ended December 31, 2015

Head oﬃce

4-1-3 Taihei, Sumida-ku, Tokyo 130-0012, Japan
Tel: +81-3-3829-2222(main)
Fax: +81-3-3829-2822

Lines of Business Logistics, property management,
marketing, human resources, etc.
Consolidated
Subsidiaries■Domestic
SBS Logicom Co., Ltd.

SBS Freight Service Co., Ltd.
Nippon Record Center Co., Ltd.
SBS Transport Co., Ltd.
SBS Global Network Co, Ltd.
SBS Logicom Kitakanto Co., Ltd.
SBS Logicom Minamikanto Co., Ltd.

SBS Flec Co., Ltd.
SBS Flecnet Co., Ltd.
SBS Zentsu Co., Ltd.
SBS Sokuhai Support Co., Ltd. *Launched on July 1, 2015
SBS Staff Co., Ltd.
SBS Finance Co., Ltd.
A-MAX Co., Ltd.
L-MAX Co., Ltd.
Marketing Partner Co., Ltd.
■Overseas
SBS Logistics Singapore Pte. Ltd.
（Regional Headquarter of Asia）

Number of shares authorized

154,705,200 shares

Number of shares issued

39,718,200 shares

Unit Stock System

Yes (100 shares)

Number of shareholders

4,630■Major Shareholders
Ratio of
Shares Held(%)

Shareholder

SharesHeld

Masahiko Kamata

14,888,400

37.48

Japan Trustee Services Bank, Ltd.
(trust account)

3,923,500

9.87

SBS Holdings Employee ShareOwnership Association

1,553,600

3.91

SMBC TRUST BANK Designated
Securities Trust

1,200,000

3.02

TOBU Properties Co., Ltd.

954,800

2.40

Junichi Ouchi

928,200

2.33

STATE STREET BANK AND TRUSTCOMPANY 505224

750,000

1.88

The Master Trust Bank of Japan, Ltd.
(Trust Account)

665,100

1.67

CBNY-GOVERNMENT OF NORWAY

651,136

1.63

3E Holdings Co., Ltd.

468,000

1.17

Note: The ratio of shares held against number of shares issued istruncated after the third decimal place.

■Partner company
Atlas Logistics Pvt. Ltd.（India）■Distribution of Shares by Shareholder Type■ Board of Directors and Auditors
President

Masahiko Kamata

Senior Director
Directors

Number of share issued: 39,718,200 shares
Japanese corporations

Securities firms

Kenichi Iriyama

1,856,000 shares(4.67%)

619,913 shares(1.56%)

Taiji Sugino

Non-Japanese corporations

Treasury stock

Makoto Watanabe

4,964,545 shares(12.5%)Jiro Iwasaki
Tetsuya Sekimoto
Audit & Supervisory Board
Member (full-time)

Yasuhiro Yamashita

Audit & Supervisory Board
Member (outside)

Shigetaka Shomatsumoto

Financial institutions
7,970,700 shares(20.07%)385 shares(0.00%)

Individuals
andothers24,306,657 shares(61.2%)

Masahito Takeda

Notes:Jiro Iwasaki and Tetsuya Sekimoto are outside directors.
Shigetaka Shomatsumoto and Masahito Takeda are outside
auditors.

SBS Business Report 201610