December 11, 2006
For Immediate Release

Company Name:

GMO Internet Inc.
(TSE First Section, Code: 9449）

Address:

26-1 Sakuragaoka-cho Shibuya-ku Tokyo JAPAN

Representative:

Masatoshi Kumagai, CEO and Representative Director

Contact:

Masashi Yasuda, Managing Director

Telephone:+81 3 5456 2555（Switchboard）
http://www.gmo.jp

URL:

Revision of Forecast Earnings and Dividends for the Year Ending December 2006
The forecast dividends and earnings for the fiscal year ending December 2006 that were published in the documents

Consolidated and Non-consolidated Forecasts Revised for the Year Ending December 31, 2006 (May 8, 2006) and thethird quarter financial statements for the year ending December 2006 (released on November 14, 2006) have beenrevised.
１．Revision to Year End Results Forecast （January 1, 2006 to December 31, 2006）(1) Consolidated
Sales

Operating Profit

Ordinary Profit

Current Net Profit

Previous Forecast\(millions)\(millions)\(millions)\(millions)(May 8, 2006) (a)51,000

6,500

6,350

2,200

New Forecast（b）

51,000

4,000

3,700

-10,500

Amount of Change（b-a）−-2,500-2,650-12,700

Rate of Change−％-38.5％-41.7％−％37,219

4,352

4,103

3,258

Operating Profit

Ordinary Profit

Current Net Profit(reference)Previous Term Results (Year EndedDecember, 2005)(2) Non-consolidated
Sales
Previous Forecast\(millions)\(millions)\(millions)\(millions)(November 14, 2006) (a)12,200

1,100

1,843

1,928

New Forecast（b）

12,200

1,100

1,843

-3,587

Amount of Change（b-a）−−−-5,515

Rate of Change−％−％−％(reference)Previous Term Results (Year Ended
December, 2005)

DOCS #163052 v1---Copyright (C)Copyright (C) 2006 GMO Internet, Inc. All Rights Reserved.

9,921

1,045

1,580

−％
1,687

２．Reasons for Revision to Earnings Forecast(1)Consolidated
Due to a readjustment in the method of calculations we expect to report a figure of \750,000,000 underadministrative and general expenses and \7.4 billion as an extraordinary loss for an excess interest repayment
reserve in the in the loans and credit business. This readjustment was made in accordance with the JapaneseInstitute of Certified Public Accountants paper released on October 13, 2006 entitled Auditing and Handling ofReserves for Losses Incurred on Excess Interest Repayments in the Consumer Finance Industry. In addition, weanticipate an increase in costs including those associated with interest repayments and bad debt totaling \1.5billion.
In regard to the consolidated adjustments account for the consolidated subsidiary GMO NetCard Inc., as a resultof the delay in initial planning for an increase in excess interest repayment claims and other factors we also expect
to record an extraordinary loss of \3.6 billion.
Forecast results have been revised for these reasons.
(2)Non-consolidated
The results forecast has been revised to include a loss on appraisal of stock in affiliated companies ofapproximately \5.5 billion on stock in consolidated subsidiary GMO NetCard. This loss is attributed to the same
factors that resulted in the decrease in the consolidated forecast.
３． Revision of Forecast Dividend
For the reasons stated above, the year end dividend forecast published in the document GMO Internet Group

Announces Change in Dividend Policy and Revision to Forecast Dividends (September 11, 2006) has beensuspended.

Forecast for the Year Ending

Interim DividendYear End Dividend

Full Year Dividend

\3.00

\0.00

\3.00

\3.00\9.00\12.00December 2006
Previous Forecast(September 11, 2006)

The above forecasts are based on information available at the time the release was created. Year end results may differ
from figures presented here.

DOCS #163052 v1---Copyright (C)Copyright (C) 2006 GMO Internet, Inc. All Rights Reserved.