May 9, 2012

Financial Report for the Year Ended March 31, 2012 (FY2011) [J-GAAP] (Consolidated)
This document has been translated from the Japanese original, for reference purposes only. In the event of any discrepancy between this translated
document and the Japanese original, the original shall prevail.

Company name:
Japan Airport Terminal Co., Ltd
Listed stock exchange: Tokyo, 1st Section
Code number:
9706
URL: http://www.tokyo-airport-bldg.co.jp/
Representative:
Isao Takashiro, President
Contact:
Masumi Matsumoto, Vice President, Administration Department
TEL 03-5757-8030
Scheduled date of annual general meeting of shareholders:June 28, 2012
Scheduled date of filing securities report:
June 28, 2012
Scheduled date of commencing dividend payment:
June 29, 2012
Supplementary materials on financial results (yes/no)
Yes
Holding of earnings announcement (yes/no)
Yes (for institutional investors and financial analysts)(Figures are rounded down to the nearest million yen.)

1. Consolidated Financial Results for the Year Ended March 31, 2012 (April 1, 2011 to March 31, 2012)(1) Consolidated Business Results(%: Change from the previous period)
Operating revenues

%
(4.0)
11.4

Millions of yen

FY2011FY2010Operating income

129,391
134,776877
4,189

Diluted net income
per shareYen(32.32)
11.64-(Reference) Equity in earnings (losses) of affiliates:

Net income (loss)%(94.3)(37.9)

Millions of yen

176
3,102

FY2011 ¥ (3,366) million (-%)

Net income (loss)
per shareYen

FY2011FY2010%(79.1)(18.0)

Millions of yen(Note) Comprehensive income (loss):

Ordinary income

Millions of yen(2,614)935%(63.8)FY2010 ¥43 million (-96.9%)%

Ordinary income tototal assets%

Operating income tooperating revenues
%

(2.6)
0.9

0.1
1.6

0.7
3.1

Return on equity

FY2011 ¥ (918) million

FY2010 ¥ (764) million(2) Consolidated Financial Position
Total assets

Equity capital tototal assets

Net assets

Net assets per share

Millions of yen

Millions of yen%

Yen

189,165
199,045

99,433
102,56251.7
50.6

1,204.93
1,252.82

As of March 31, 2012
As of March 31, 2011
(Reference) Equity capital:

As of March 31, 2012 ¥97,878 million

As of March 31, 2011 ¥100,709 million(3) Consolidated Cash Flows
Cash flows from operating
activities

Cash flows from investing
activities

Cash flows from financing
activities

Cash and cash equivalents
at the year-end

Millions of yen

Millions of yen

Millions of yen

Millions of yen

14,947
12,230(10,314)(14,018)(5,614)
6,929

20,816
21,797FY2011FY20102. Dividends

Total
dividends(annual)Dividends per share
Q1-EndAnnualDividends on
net assets(consolidated)

Q3-End

Yen

Yen

Yen

Yen

Yen

Millions of yen

%

%

-

3.50
3.50

-

3.50
3.50

7.00
7.00

562
568

60.1
(21.7)

0.6
0.6

-

3.50

-

3.50

7.00

FY2010FY2011FY2012(Forecast)Year-End

Dividend
payout ratio(consolidated)

Q2-End40.6

3. Forecast of Consolidated Financial Results for the Year Ending March 31, 2013 (April 1, 2012 to March 31, 2013)(%: Change from the same period of the previous year)

First half
Full-year

Ordinary income

Net income per
share

Operating revenues

Operating income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

68,200135,000

9.0
4.3

1,900
3,800

333.1

1,600
3,000

-

700
1,400

-

8.62
17.23

1

Net income

4. Other Information(1) Significant changes in subsidiaries during the year under review (changes in specified subsidiaries involving changes in scope of
consolidation): None
(2) Changes in accounting policies, accounting estimates, and restatement of revisions.
1) Changes in accounting policies due to revisions of accounting standards, etc.: None
2) Changes in accounting policies other than 1) above: None
3) Changes in accounting estimates: None
4) Restatement of revisions: None
(3) Number of shares outstanding (common stock)1) Number of shares outstanding at the year-end (including treasury stock):
As of March 31, 2012
84,476,500 shares
As of March 31, 2011
2) Number of treasury stock at the year-end:
As of March 31, 2012
3,244,814 shares
As of March 31, 2011
3) Average number of shares outstanding during the period:
Year ended March 31, 2012
80,901,570 sharesYear ended March 31, 2011

84,476,500 shares
4,089,744 shares
80,386,916 shares(Reference) Summary of Non-Consolidated Financial Results
1. Financial Results for the Year Ended March 31, 2012 (April 1, 2011 to March 31, 2012)(1) Non-Consolidated Business Results(%: Change from the previous period)
Operating revenues
Millions of yen

FY2011FY2010106,764
108,164

Operating income (loss)

%
(1.3)
10.9

Ordinary income (loss)%(41.5)

Millions of yen

(514)
1,966

Net income (loss) per
share
Yen

Diluted net income per
share
Yen

(13.43)8.19-

FY2011FY2010Millions of yen

(321)
1,682

Net income (loss)%(45.6)%(71.1)

Millions of yen(1,086)658(2) Non-Consolidated Financial Position
Total assets

As of March 31, 2012
As of March 31, 2011
(Reference) Equity capital:
2.

Equity capital tototal assets

Net assets

Net assets per share

Millions of yen

Millions of yen%

Yen

176,441
182,79087,31088,00549.5
48.1

1,074.83
1,094.78

As of March 31, 2012

¥87,310 million

As of March 31, 2011 ¥88,005 million

Forecast of Non-Consolidated Financial Results for the Year Ending March 31, 2013 (April 1, 2012 to March 31,2013)(%: Change from the same period of the previous year)

Operating revenues
First half
Full-year

Ordinary income

Net income

Net income per share

Millions of yen%

Millions of yen%

Millions of yen%

Yen

56,100110,900

8.7
3.9

1,300
2,300

-

800
1,300

-

9.85
16.00

* Implementation status of audit procedures
The audit procedure based on the Financial Instruments and Exchange Act does not apply to this Financial Report, and the audit
procedure based on the Financial Instruments and Exchange Act had not been completed as of the release of this Financial Report.

* Statements regarding the proper use of financial forecast and other special remarks
1. The forecast of business results reported herein were prepared based on information the Company had in its possession as of thetime this report was prepared and on certain assumptions judged to be reasonable. Actual results may differ significantly fromforecasts due to various factors.
2. For matters related to financial forecast mentioned above, please refer to page 2 of the appendix materials “1. Business Results (1)Analysis of Consolidated Business Results”.

2Contents of the Appendix Materials

1.

BUSINESS RESULTS ............................................................................................................................ - 2 -(1) ANALYSIS OF CONSOLIDATED BUSINESS RESULTS ........................................................................................... - 2 (2) ANALYSIS OF CONSOLIDATED FINANCIAL POSITION ........................................................................................ - 5 (3) BASIC POLICY REGARDING DISTRIBUTION OF EARNINGS AND DIVIDENDS FOR THE YEAR ENDED MARCH 31, 2012
AND THE YEAR ENDING MARCH 31, 2013 ...................................................................................................... - 6 (4) BUSINESS AND OTHER RISKS ........................................................................................................................ - 6 -2.

OUTLINE OF THE BUSINESS GROUP ................................................................................................ - 8 -3.

MANAGEMENT POLICY .................................................................................................................. - 10 -(1) BASIC MANAGEMENT POLICY .................................................................................................................... - 10 (2) KEY PERFORMANCE INDICATOR .................................................................................................................. - 10 (3) MID- AND LONG-TERM BUSINESS PLAN AND ISSUES WHICH THE COMPANY NEEDS TO ADDRESS ....................... - 10 -4.

CONSOLIDATED FINANCIAL STATEMENTS .................................................................................. - 12 -(1) CONSOLIDATED BALANCE SHEETS .............................................................................................................. - 12 (2) CONSOLIDATED STATEMENTS OF INCOME AND CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME......... - 14 (3) CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY ......................................................... - 17 (4) CONSOLIDATED STATEMENTS OF CASH FLOWS ............................................................................................. - 19 NOTES ON THE PREMISE OF A GOING CONCERN ................................................................................................. - 21 NOTES ON THE CONSOLIDATED FINANCIAL STATEMENTS .................................................................................... - 21 (Notes on Consolidated Balance Sheets) ..................................................................................................... - 21 (Notes on Consolidated Statements of Income) ............................................................................................ - 21 (Notes on Consolidated Statements of Comprehensive Income) ..................................................................... - 22 (Notes on Consolidated Statements of Changes in Shareholders’ Equity) ....................................................... - 22 (Notes on Consolidated Statements of Cash Flows)...................................................................................... - 24 (Segment Information) .............................................................................................................................. - 24 --1-

1. Business Results(1) Analysis of Consolidated Business Results1) Summary of earnings for the fiscal year ended March 31, 2012
During the fiscal year ended March 31, 2012, the Japanese economy has shown signs of modest recovery
following the severe conditions primarily caused by the Great East Japan Earthquake. However, concerns overuncertainty about the economic outlook still remain due to a number of factors, including overseas economic
slowdowns stemming from the European sovereign debt crisis as well as the strong Yen.
In the airline industry, post-disaster passenger volume on both domestic and international flights at the
beginning of the year was down significantly compared to the volume during the previous fiscal year. Despite asteady recovery afterwards, passenger volume for the full year did not reach the previous year’s level.
International passenger volume at Tokyo International Airport (Haneda) for the first half of the fiscal year
showed a significant year-on-year increase on the strength of regular international flights following the openingof Runway D in October 2010 and this trend has remained stable throughout the second half of the year, which
represents the second year following the internationalization of Haneda airport. In terms of industry structure, theairline industry needs to further strengthen its cost competitiveness for a number of reasons, including industry
liberalization (open skies agreements), intensifying competition triggered by the entry of low-cost carriers (LCC),
and the ongoing review concerning airport management which is discussed by the government study group
following the Ministry of Land, Infrastructure, Transport and Tourism’s (MLIT) Growth Strategy.
The business performance of Japan Airport Terminal (JAT) Group for the current fiscal year, the second yearof its medium-term business plan (FY2010 – FY2012), suffered due to a number of factors, including a decrease
in rent revenue following a reduction in the amount of office space leased by airlines in Haneda Airport’s
domestic passenger terminal building as well as a drop in the passenger volume on both domestic andinternational flights following the Great East Japan Earthquake. These added to previously anticipated negative
impacts on profit, such as an increase in depreciation expenses related to the expansion of Haneda Airport’s
domestic Terminal 2 (south side of the main building).
Under these conditions, we proceeded with renovation plans for the domestic Terminal 1 building to enhance
the attractiveness and value of Haneda Airport in recognition of the fact that it is vital to improve the convenience,
comfort, and functionality of Terminal 1 (which was built eighteen years ago) to make it on a par with the newer
Terminal 2 building.
The JAT Group took continuous steps in conducting consigned services and the wholesaling of merchandise
at Haneda Airport’s new international passenger terminal. Efforts were also made to invigorate retail shops with aview toward boosting sales by holding regional food fairs and various other events. On the cost side, we strove toensure profits by means of an emergency profit improvement plan with a primary focus on comprehensive cost
reduction. In addition, we opened an airport retail store and restaurants in the city of Chengdu in China’s Sichuanprovince. In order to promote overseas business development, we entered into a business and equity partnershipwith Sojitz Corporation and JALUX Inc. Through these steps, we endeavored to build new revenue bases.
We made efforts both in terms of revenue enhancement and cost reduction to overcome negative impacts,
including a decline in revenue primarily caused by the Great East Japan Earthquake and an increase indepreciation. As a result, we were able to record profits at operating income and ordinary income level for thecurrent fiscal year. However, net income was negative due to the impairment loss of tangible fixed assets and thereversal of deferred tax assets following the promulgation of laws associated with the reduction in corporate tax
rates.
Consolidated operating revenues for the current fiscal year totaled ¥129,391 million (down 4.0% from theprevious fiscal year), with operating income of ¥877 million (down 79.1%), ordinary income of ¥176 million(down 94.3%), and net loss of ¥2,614 million (compared to net income of ¥935 million in the previous fiscal
year).
The following is a breakdown of earnings by segment. Note that the figures for operating income (loss) areequivalent to those for segment income (loss).
[Facilities Management]
Rent revenue fell short of that during the previous year, largely due to a negative impact from the reduction in theamount of office space leased by airlines in the passenger Terminal 1 building beginning in December 2010. Thisoccurred despite the benefit from increased leasable space following the opening of the domestic Terminal 2
expansion (south side of the main building) in October 2010.
Revenue from facility user charges benefited from an increase in the rates charged for domestic terminal
facilities following a rate revision for domestic passenger facilities. However, due to the closure of the former
international terminal building, total revenue from facility user charges was less than the figure for the previous
fiscal year.
Other revenues surpassed the figure for the previous fiscal year because of higher inflows from consigned-2-

services related to facility maintenance at the new international passenger terminal building.
As a result, operating revenue from facilities management operations increased 0.4% compared with theprevious year to ¥44,613 million. Operating income decreased 53.8% to ¥1,310 million, largely due to anincrease in depreciation expenses related to Haneda Airport’s domestic Terminal 2 expansion (south side of themain building).
[Merchandise Sales]
Efforts were made to increase sales at domestic terminal stores by, for example, renovating directly managed
stores located centrally in the departure gate lounge in domestic Terminal 1 and opening new directly managed
stores in the domestic Terminal 2 expansion (south side of the main building). Despite these efforts, sales atdomestic terminal stores were down from the previous year, primarily due to negative impacts caused by thedecrease in domestic passenger volume following the Great East Japan Earthquake.
Sales at international terminal stores, despite benefiting from the opening of directly managed stores in the
new international terminal building, were not sufficient to overcome the negative impacts including closure of
directly managed stores in the former international terminal building as well as a decline in foreign visitors toJapan primarily caused by the Great East Japan Earthquake, subsequent nuclear disaster, and rapid Yen
appreciation. Consequently, merchandise sales fell significantly below the level for the previous fiscal year.
The rate of decline in merchandise sales at both domestic and international terminal stores has gradually
narrowed due to an upward trend in air passenger volume and sales promotion measures.
Other sales, benefiting from factors like the wholesaling of products to stores in the new international
passenger terminal building, exceeded the previous year’s figure.
As a result, operating revenues from merchandise sales operations decreased 6.7% to ¥73,485 million andoperating income fell 27.4% to ¥4,354 million compared to the previous fiscal year.
[Food and Beverage]
In restaurant operations, renovation of directly managed stores located centrally in the departure gate lounge indomestic Terminal 1 and aggressive development of directly managed stores in domestic Terminal 2 expansion(south side of the main building) and new international passenger terminal building helped to increase sales.
However, these contributions were still outweighed by the decline in domestic passenger volume and othernegative factors, which held sales below the level for the previous fiscal year.
Although sales of in-flight meals to new foreign carriers at Haneda Airport increased, overall sales fromin-flight meals fell because carriers decreased flights to Narita International Airport in response to last year’s
earthquake and nuclear accident.
Other sales surpassed the figure for the previous fiscal year due to contributions from the consigned services
of managing food and beverage facilities in the new international passenger terminal building.
In total, operating revenues from food and beverage operations declined 6.1% compared with the previous
fiscal year, to ¥15,633 million. The operating loss grew to ¥791 million (compared to ¥343 million for theprevious fiscal year). Consequently, drastic structural reforms and reformation of store strategies are underway.
2) Forecast for the fiscal year ending March 31, 2013
Over the coming fiscal year, while the recovery of the Japanese economy is expected to take hold, uncertainty
regarding the economic outlook is likely to continue to generate concerns over economic downswings stemmingfrom the European sovereign debt crisis and various other factors.
In the airline industry, passenger volume on both domestic and international flights is forecast to growyear-on-year based on a rebound from the significant decline following the Great East Japan Earthquake. An
increase in the number of flights added by airlines will also support this trend. However, in addition to uncertain
economic conditions involving risks of an economic downturn, there is an ongoing concern that a heightened
sense of anxiety caused by last year’s nuclear accident will negatively affect the demand for air transportation. In
this increasingly competitive landscape in which competition is intensifying due to the entry of LCCs as well asother factors, it seems likely that the airline industry will need to take measures to be more cost competitive.
Under these conditions, our present expectations for earnings by segment are described below.
Facilities management operations are expected to generate revenue levels relatively unchanged from theprevious year because we anticipate that the contribution from facility user charges following a recovery ofpassenger volume will be offset by the decrease in rent revenue due to the reduction in office space leased byairlines.
Merchandise sales operations are expected to experience growth in revenue, both at the domestic andinternational terminals, due to a recovery in passenger volume as well as various sales efforts, such as thestrengthening of directly managed shops.
Other revenue is forecast to decline because of the negative impact of changes in contractual agreements forconsigning business at Kansai International Airport on wholesale revenue.
Food and beverage operations are expected to experience growth from this year. Restaurants are likely toincrease revenue due to a recovery in passenger volume as well as effects from the renovation and proactive-3-

promotion of existing directly managed facilities. Sales of in-flight meals will also likely grow because we have
expanded our customer bases to include new foreign carriers at Haneda Airport.
Therefore, for consolidated performance in the fiscal year ending March 31, 2013, we forecast operating
revenue of ¥135,000 million (up 4.3% year on year), operating income of ¥3,800 million (up 333.1%), ordinary
income of ¥3,000 million (compared to ordinary income of ¥176 million for the current fiscal year), and net
income of ¥1,400 million (compared to net loss of ¥2,614 million for the current fiscal year).

-4-(2) Analysis of Consolidated Financial Position
1) Assets, liabilities and net assets
Total assets decreased by ¥9,880 million compared to the previous fiscal year end to ¥189,165 million primarily
because tangible fixed assets decreased.
Total liabilities decreased by ¥6,751 million compared to the previous fiscal year end to ¥89,731 million
primarily because long-term loans payable decreased.
Net assets decreased by ¥3,128 million compared to the previous fiscal year end to ¥99,433 million primarily
because retained earnings decreased.
As a result, equity ratio was 51.7% at the current fiscal year end.
2) Cash flows
Cash and cash equivalents (hereinafter referred to as “cash”) at the current fiscal year end decreased by ¥981
million compared to the previous fiscal year end, to ¥20,816 million.
The following is a summary of cash flows and the factors behind these flows for the current fiscal year.
[Cash flows from operating activities]
Net cash provided by operating activities increased by ¥2,716 million (22.2%) from the previous fiscal year, to¥14,947 million.
This was primarily due to a decrease in income taxes paid and other current assets, in spite of a decrease inincome before income taxes and minority interests.
[Cash flows from investing activities]
Net cash used in investing activities decreased by ¥3,703 million (26.4%) from the previous fiscal year, to¥10,314 million.
This was largely due to a decrease in the purchase of tangible fixed assets and payments of long-term loan
receivables, in spite of an increase in the purchase of investment securities.
[Cash flows from financing activities]
Net cash used in financing activities was ¥5,614 million, compared to a cash inflow of ¥6,929 million in theprevious fiscal year.
This was mainly due to a decrease in the proceeds from long-term borrowings, in spite of a decrease in therepayment of long-term loans.

Cash flow indicators
Equity ratio (%)
Equity ratio based on market
value (%)
Debt to cash flow ratio (years)
Interest coverage ratio (times)

FY200762.7

FY200864.5

FY200954.4

FY201050.6

FY2011
51.7

116.1

56.1

56.0

42.1

46.8

1.9
20.0

2.1
22.1

4.1
16.7

5.7
11.8

4.3
13.9

Equity ratio: equity capital / total assets
Equity ratio based on market value: market capitalization / total assets
Debt to cash flow ratio: interest-bearing debt / operating cash flow
Interest coverage ratio: operating cash flow / interest payment(Notes)1. All indicators are calculated using financial figures on a consolidated basis.
2. Market capitalization is calculated by multiplying the final stock price at term end by the number of shares outstanding at
term end (after deduction of treasury stock).
3. “Operating cash flow” uses cash flow from operating activities shown in consolidated statements of cash flows.
“Interest-bearing debt” refers to all debt posted in consolidated balance sheets for which interest is paid. “Interest
payment” refers to the interest paid on consolidated statements of cash flows.

-5-(3) Basic Policy Regarding Distribution of Earnings and Dividends for the Year Ended March 31, 2012 and theYear Ending March 31, 2013
JAT considers distributing profits to shareholders an important issue. We have a basic policy of continuing to
pay stable dividends by taking a more aggressive stance toward business and striving to improve earnings,
while at the same time securing sufficient retained earnings in light of the possibility of large scale investments,
such as the expansion of the domestic terminal buildings at Haneda Airport.
In line with the revision announcement of November 2011, dividends for the year will come to ¥7 per share(of which ¥3.5 per share has already been paid as an interim dividend).
Regarding dividends for the fiscal year ending March 31, 2013, the JAT Group expects to pay an annual
dividend of ¥7 per share (of which ¥3.5 per share will be paid as an interim dividend), though the dividend
policy will be flexibly examined taking into account various prevailing factors, such as business conditions
and results.
(4) Business and Other Risks
Matters that could significantly impact judgment by investors are discussed below.
Among these, those involving future considerations have been identified based on judgments made by the JATGroup as of the end of the fiscal year ended March 31, 2012.
1) The JAT Group’s business baseAs a company that has constructed, manages, and operates Haneda Airport’s domestic passenger terminalbuildings and other facilities, the JAT Group’s core businesses consist of the leasing of office and other spaces,
sales of merchandise, operation of food and beverage services, and the provision of travel-related services. We
also provide consigned services and wholesale services at Haneda Airport’s new international passenger
terminal building. In addition, we engage in activities like sales of merchandise and the provision of food andbeverage services at Narita International Airport, Kansai International Airport, as well as other airports. The
JAT Group leases to other parties commercial real estate it owns outside of airports, and we apply experienceand expertise that we have accumulated over the years to develop promising new businesses, both inside andoutside of airport facilities.
2) Business risks for the JAT GroupThe JAT Group has identified the business risks described below. To minimize the business impact of theserisks should they materialize, the JAT Group has diversified its revenue base both geographically (among
Haneda, Narita International, and other airports) and operationally (among facilities management operations,merchandise sales operations, and food and beverage operations). Moreover, it has strengthened measures toaddress the possibility of operating expense increases in each of its businesses. Through these and otherprudent steps, the JAT Group has endeavored to enhance its core business strengths and boost its overallcapabilities.
(i) The JAT Group’s core businesses consist of the leasing of offices and other spaces in airport passenger
terminal buildings and the operation of merchandise sales, food and beverage services and travel-related
services for air travelers. As such, it is highly reliant on the airline companies that are its primary lessees
and the air travelers who are its primary customers. Fluctuations in international and domestic passenger
volume resulting from international political or economic upheaval, natural disasters, and developments
like the emergence of new strains of influenza, and the business results of airline companies, could
significantly impact the JAT Group’s business results and financial position.
(ii) The JAT Group manages its key business – operation of the domestic and international passenger terminalbuildings at Haneda Airport – based on its designation as an Airport Facilities Operator pursuant toprovisions of The Airport Act. Therefore, legal or organizational changes concerning terminal building
operations and changes in airport management policy by the national government (which oversees airport
management) or regulatory authorities, could significantly impact the JAT Group’s business results andfinancial position.
(iii) In May 2010, the Ministry of Land, Infrastructure, Transport and Tourism’s (MLIT) Growth Strategy
recommended that Haneda Airport be transformed into a 24-hour international air hub, that its slots forinternational flights be increased to 90,000 annually, that international routes it handles be upgraded toinclude long-distance routes used primarily by business travelers, and that steps be taken to increase theconvenience of domestic-international transfers. It also recommended that the integration of airport-related
businesses and airport management, including drastic measures aimed at improving the efficiency of-6-

airport management by outsourcing airport management to the private sector or privatizing it altogether, beconsidered. In July 2011, MLIT’s Special Committee Report on Airport Operation proposed basic
principles for further study. The guidelines to be set forth by the national government and regulatory
authorities could significantly impact the JAT Group’s future business results and financial position.
(iv) The JAT Group has constructed and owns two domestic passenger terminal buildings at Haneda Airport.
Within these two buildings, it leases offices as well as other spaces, and operates merchandise sales, foodand beverage services, and travel-related services. The JAT Group has endeavored to take all reasonablemeasures to prevent or respond to disasters, criminal activity, and accidents, to promote the safe andcomfortable operation of its terminal buildings. However, despite its best efforts, earthquakes, fires, acts ofterror, or other such events resulting in injuries, deaths, or property damage at the airport or terminalbuildings could significantly impact the JAT Group’s business results and financial position.
(v) The JAT Group operates airport food and beverage services, sells processed and other food products in
airport retail stores, and engages in the production and sale of in-flight meals. In pursuing these activities, itpays strict attention to food safety. Damage to the JAT Group’s reputation, administrative dispositions, andother such consequences of food poisoning, the inclusion of foreign objects in products, or other quality
assurance issues at a dining facility or retail store, for example, could significantly impact the JAT Group’sbusiness results and financial position.
(vi) The JAT Group, in order to efficiently and stably secure financing, has entered into syndicated loan
agreements with financial institutions. These agreements include financial and other covenants. The
violation of these covenants – for example, by a significant lowering of JAT’s credit rating following achange in tax regulations or the Group’s business environment – could result in the forfeiture of the benefitof time and significantly impact the JAT Group’s cash flow, business results, and financial position.

-7-

2. Outline of the Business GroupThe JAT Group (JAT and its group companies) consists of JAT (Japan Airport Terminal Co., Ltd.), 16
subsidiaries, and 10 affiliated companies. In addition to its main business of facilities management operations,
including the operation of domestic and international passenger terminals and the provision of services todomestic and international users of Haneda Airport, the JAT Group conducts merchandise sales operations andfood and beverage operations. Furthermore, the JAT Group conducts operations, such as merchandise sales at
Narita International Airport, Kansai International Airport, Central Japan International Airport, and Chengdu
Shuangliu International Airport (Chengdu, Sichuan province, China).
The following is a description of the position of JAT and its subsidiaries and affiliates within the corporategroup and the details of its operations.
Facilities management operations:
JAT and one of its affiliated companies operate domestic and international passenger terminal building facilities
at Haneda Airport, including the leasing of the facilities to aviation-related companies (particularly airline
companies) and the development and operation of these facilities.
In addition, Japan Airport Techno Co., Ltd., along with three other subsidiaries and six affiliated companies,
performs maintenance, operation, and cleaning of facilities related to airport terminals, passenger transportation,and ground handling operations. Furthermore, BIG WING Co., Ltd. and one other subsidiary provide services,such as advertising agency operations and passenger services, at airport terminals.
Merchandise sales operations:
JAT, International Trade Inc., along with five other subsidiaries and three affiliated companies, conduct
merchandise sales operations. These companies carry out retail sales to parties such as airline passengers,
particularly those at Haneda Airport (domestic and international), Narita International Airport, and KansaiInternational Airport. Moreover, they sell wholesale to entities such as companies operating airport terminals,
particularly Central Japan International Airport.
In addition, a JAT subsidiary called Japan Airport Logitem Co., Ltd. conducts operations such as transporting
merchandise and managing warehouses.
Furthermore, another JAT subsidiary called as Japan Airport Terminal Trading (Chengdu) Co., Ltd. conducts
merchandise sales operations at Chengdu Shuangliu International Airport (Chengdu, Sichuan Province, China).
Food and beverage operations:
JAT, Tokyo Airport Restaurant Co., Ltd., one other subsidiary, and an affiliated company provide food andbeverage services to various parties, such as users of Haneda Airport (domestic and international) and Narita
International Airport.
Cosmo Enterprise Co., Ltd., one other subsidiary, and one affiliated company produce and sell in-flight meals
and frozen foods to airline companies mainly flying international routes through Haneda Airport and Narita
International Airport. Another JAT subsidiary, Japan Airport Terminal Trading (Chengdu) Co., Ltd. conducts foodand beverage services in China (Chengdu, Sichuan Province).

-8-

The following diagram shows the operations discussed above.

Customers

Japan Airport Terminal Co., Ltd.
Facilities management operations

Merchandise sales operations

Food and beverage operations

Subsidiary

Haneda Airport Security Co., Ltd.

*1International Trade Inc.

*1

Tokyo Airport Restaurant Co., Ltd.

*1

Haneda Passenger Service Co., Ltd.

*1

Japan Airport Logitem Co., Ltd.

*1

Cosmo Enterprise Co., Ltd.

*1

Japan Airport Ground Handling Co., Ltd.

*1

Haneda Airport Enterprise Co., Ltd.

*1CTT Co., Ltd.

*1

Sakura Co., Ltd.

*1

Hamashin Co., Ltd.

*1

Kaikan Development Co., Ltd.

*1

Tsukizi Hamashin Co., Ltd.

*2BIG WING Co., Ltd.

*1

Japan Airport Techno Co., Ltd.

*1
Japan Airport Terminal Trading (Chengdu) Co., Ltd.

Affiliated company

Airport Transport Service Co., Ltd.

*3

Japan Trade Culture Inc.

*4

Narita Airport Techno Corporation*3

Gran’ Bird Co., Ltd.

*4

Tokyo City Air Terminal Co., Ltd.

*4

Seikousha Inc.

*4

Kanto Kowa Co., Ltd.

*4SK Clean Service Co., Ltd.

*4

Japan Airport Delica Inc.

*1
*3

Tokyo International Air Terminal Corporation *3*1. Consolidated subsidiary: 15 companies*2. Non-consolidated subsidiary that is not accounted for using the equity method: one company*3. Affiliated company that is accounted for using the equity method: 4 companies (Japan Airport Delica Inc. was founded on September 30,
2011)*4. Affiliated company that is not accounted for using the equity method: 6 companies-9-3. Management Policy(1) Basic Management Policy
The JAT Group has a basic management philosophy to achieve harmony between society and business as acorporate group that constructs and manages domestic terminals and other facilities at Haneda Airport, the baseof the domestic air transportation network.
Under this basic philosophy, the JAT Group is committed to fulfill its social responsibilities by establishing
absolute safety at terminals and operating customer-oriented terminals in a stable and efficient manner. In order
to continue to enhance corporate value, the JAT Group strives to improve the convenience, comfort, andfunctionality of terminals through the implementation and management of strategically important investments
and by responding appropriately to increasingly sophisticated and diversified customer needs. As a basic
management policy, we work to create value for stakeholders, including airline companies, airport users, business
partners, and shareholders.
JAT has been designated as an Airport Facilities Operator under The Airport Act. To fulfill its
responsibilities, JAT will take comprehensive measures to fully realize its basic management philosophy.
(2) Key Performance Indicator
In order to maximize the return on capital and thoroughly adopt management policies aimed at increasing
shareholder value, the JAT Group developed a medium-term business plan (covering the period from FY2010
through FY2012) in May 2010. Under this plan, we moved forward with facility development, revenue
expansion, efficiency promotion, and other measures. Moreover, we worked to secure appropriate levels of
earnings and carried out various business activities aimed at improving the Group’s performance measured interms of return on assets (ROA) and return on equity (ROE), which we consider key performance indicators.
Taking into account various market realities, such as the fact that post-disaster passenger level will not likely
recover to the level predicted under the medium-term business plan, our near-term goal is to achieve theconsolidated financial results that are forecast in page 3 in “2) Forecast for the fiscal year ending March 31,
2013” under section “(1) Analysis of Consolidated Business Results”. Furthermore, we will continue with efforts
to improve our results in terms of key performance indicators as we aim to maintain financial soundness bykeeping our equity ratio at 50%, or higher, through prudent management of borrowings and other liabilities.
(3) Mid- and Long-Term Business Plan and Issues which the Company Needs to Address
The JAT Group has continuously focused on our company-wide priorities under the medium-term business plan.
These include working toward the opening of the new international passenger terminal building at Haneda
Airport, expanding the main building at domestic Terminal 2, and renovating the domestic Terminal 1 building.
Although we are beginning to see signs of a recovery from a slump in passenger volume caused mainly by theGreat East Japan Earthquake, uncertainty about the future remains high amid concerns over an economic
downswing against the backdrop of Europe’s sovereign debt crisis and various other factors. In addition, the JATGroup’s revenue structure has seen changes following the reduction of office space previously leased by airlinesand decreases in the scope of the product line that we handle in the wholesale business at Narita International
Airport and Kansai International Airport. Furthermore, as the environment for the airline industry becomesincreasingly competitive with new entrants, such as LCCs, it is vital for the JAT Group to become more
profitable and efficient as an airport terminal building operator.
Based on this recognition, the JAT Group will strive to strengthen existing businesses, placing top priorities
on decreasing vacant spaces as well as improving the profitability of its Food and Beverage business. In addition,
we will proceed with various initiatives, including the development of new commercial spaces at Haneda
Airport’s domestic passenger terminal buildings, revenue expansion through new business development both
inside and outside of the airport, cost reduction through a re-examination of company-wide procurement
operations, and organizational issues involving reforms in our human resource management system to enhance
employee motivation, among numerous other measures. Through such proactive initiatives, we endeavor tosolidify our business base while responding appropriately to changes in our revenue structure.
We filed a lawsuit on November 1, 2011 against one of the airline companies which refused to collectdomestic passenger facility charges from its customers and pay the charges to JAT. In this lawsuit, we requested
the collection and payment of unpaid fees and have made utmost efforts to resolve this case.
Regarding Haneda Airport, which is the core of the JAT Group’s operations, the Ministry of Land,
Infrastructure, Transport and Tourism’s (MLIT) Growth Strategy recommended that the airport be made into a
24-hour international air hub, and that its slots for international flights be increased to 90,000 annually by the endof FY 2013, among numerous other recommendations. MLIT’s Special Committee Report on Airport Operation
also proposed basic principles for further study on the integration of airport-related businesses and airport
management.
Under these circumstances, the JAT Group is committed to carrying out its responsibilities as an Airport
Facilities Operator, which constructs, operates, and manages domestic terminals at Haneda Airport, incompliance with The Airport Act. To fulfill this mission, while respecting its core management philosophy of- 10 -

establishing harmony between society and business, the entire Group is working in earnest to improve theconvenience, comfort, and functionality of the passenger terminal buildings by carefully monitoring and taking
into consideration various issues, such as the condition of the Japanese economy as well as airline industry trends.
We will continue to embrace a “customer-centric” philosophy, establish absolute safety, and steadily move ahead
with measures to address rising passenger volume, internationalization, and future environmental changes.
Through these efforts, we proudly strive to enhance the corporate value of the whole Group.

- 11 -

4. Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)

ASSETS
Current assets
Cash and deposits
Accounts receivable
Marketable securities
Merchandise and finished products
Raw materials and stored goods
Deferred tax assets
Other current assets
Allowance for doubtful accounts
Total current assets
Fixed assets
Tangible fixed assets
Buildings and structures
Accumulated depreciation and impairment loss
Buildings and structures (net)
Machinery, equipment and vehicles
Accumulated depreciation and impairment loss
Machinery, equipment and vehicles (net)Land
Lease assets
Accumulated depreciation and impairment loss
Lease assets (net)
Construction in progress
Other tangible fixed assets
Accumulated depreciation and impairment loss
Other tangible fixed assets (net)Total tangible fixed assets
Intangible fixed assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Other investments
Allowance for doubtful accounts
Total investments and other assets
Total fixed assets
TOTAL ASSETS- 12 -FY2010(As of March 31, 2011)

FY2011(As of March 31, 2012)

21,869
8,070
559
3,402
144
1,269
5,143
(49)
40,41020,886
9,532
3,288
155
1,283
1,653
(38)
36,760257,308(145,224)
112,084
10,295(8,770)1,524
10,575
2,466
(169)
2,297
2,287
22,680(17,540)
5,139
133,909
1,804

262,735(156,293)
106,442
10,408(9,181)
1,227
10,476
2,525
(587)
1,937
3,107
23,925(19,203)
4,721
127,912
2,303

5,993
6,623
8,371
1,933
22,921
158,634
199,045

6,954
6,315
6,615
2,322
(18)
22,188152,404
189,165

(Millions of yen)

LIABILITIESCurrent liabilities
Accounts payable
Short-term loans payable
Income taxes payable
Allowance for employees’ bonuses
Allowance for directors’ bonuses
Asset retirement obligations
Other current liabilities
Total current liabilities
Fixed liabilities
Long-term loans payable
Allowance for employees’ retirement benefits
Lease obligations
Asset retirement obligations
Other fixed liabilities
Total fixed liabilities
TOTAL LIABILITIESNET ASSETS
Shareholders’ equity
Common stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Total Accumulated other comprehensive income
Minority interests
TOTAL NET ASSETSTOTAL LIABILITIES AND NET ASSETS- 13 -FY2010(As of March 31, 2011)

FY2011(As of March 31, 2012)

4,736
11,338
912
908
100
156
10,201
28,354

5,203
9,612
422
800
178
10,767
26,98554,416
4,980
2,535
261
5,935
68,12896,48350,924
4,863
2,186
277
4,494
62,74589,731

17,48921,30967,010(4,081)
101,727

17,48921,30963,818(3,238)99,379881

1,003(1,898)(1,017)
1,852
102,562
199,045(2,503)(1)(1,500)1,555
99,433
189,165

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Consolidated Statements of Income
FY2010(from April 1, 2010
to March 31, 2011)
Operating revenues
Rent revenue
Facility user charges revenue
Other revenues
Sale of merchandise
Sale of food and beverage
Total operating revenue
Cost of sales
Cost of sales of merchandise
Cost of sales of food and beverage
Total cost of sales
Gross profit
Selling, general and administrative expenses
Salaries and wages
Provision for employees’ bonuses
Provision for directors’ bonuses
Expenses for retirement benefits
Rent expenses
Outsourcing and commission
Depreciation expenses
Other costs and expenses
Total selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Amortization of negative goodwill
Miscellaneous income
Total non-operating income
Non-operating expenses
Interest expenses
Equity in losses of affiliates
Miscellaneous expenses
Total non-operating expenses
Ordinary income- 14 -(Millions of yen)
FY2011(from April 1, 2011
to March 31, 2012)

14,353
15,581
12,814
77,92914,097
134,776

14,16915,416
13,98472,754
13,065
129,391

58,311
8,958
67,26967,50655,2288,444
63,67365,718

7,876
867
100
850
7,689
11,277
13,217
21,43663,317
4,189

7,946
769
904
7,566
12,942
13,95420,75764,841
877

193
75
191
748
1,209

305
79
191
857
1,434

1,032
764
498
2,296
3,102

1,072
918
144
2,134
176

FY2010(from April 1, 2010
to March 31, 2011)
Extraordinary gains
Gain on sales of investment securities
Gain on reversal of asset retirement obligations
Total extraordinary gains
Extraordinary loss
Impairment loss
Loss on disaster
Loss on valuation of other investments
Loss on valuation of investment securities
Loss on adjustment for changes of accounting standard
for asset retirement obligations
Provision for doubtful accounts
Total extraordinary loss
Income (loss) before income taxes and minority interests
Income taxes – current
Income taxes – deferred
Total income taxes
Income (loss) before minority interests
Minority interests income (loss)
Net income (loss)- 15 -(Millions of yen)
FY2011(from April 1, 2011
to March 31, 2012)

–
267
267

26
－
26

－
53
26
54

484
51
6
－

765

－

－
899
2,469
1,089
511
1,600
869
(66)
935

18
560
(357)
745
1,781
2,526
(2,883)(269)(2,614)

Consolidated Statements of Comprehensive Income

Income (loss) before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Share of other comprehensive income of associates
accounted for using equity method
Total other comprehensive income
Comprehensive income (loss)
Comprehensive income (loss) attributable to:Comprehensive income (loss) attributable to owners of
the parent
Comprehensive income (loss) attributable to minority
interests- 16 -FY2010(from April 1, 2010
to March 31, 2011)
869(Millions of yen)
FY2011(from April 1, 2011
to March 31, 2012)(2,883)

(93)
9
－

122
0
(1)

(742)

(605)

(825)
43

(483)
(3,366)110(3,097)

(67)

(269)

(3) Consolidated Statements of Changes in Shareholders’ Equity
FY2010(from April 1, 2010
to March 31, 2011)
Shareholders’ equity
Common stock
Balance at the beginning of current period
Changes during current period
Total changes during current period
Balance at the end of current period
Capital surplus
Balance at the beginning of current period
Changes during current period
Total changes during current period
Balance at the end of current period
Retained earnings
Balance at the beginning of current period
Changes during current period
Dividend from retained earnings
Net income (loss)
Disposal of treasury stock
Total changes during current period
Balance at the end of current period
Treasury stock
Balance at the beginning of current period
Changes during current period
Purchase of treasury stock
Disposal of treasury stock
Total changes during current period
Balance at the end of current period
Total shareholders’ equity
Balance at the beginning of current period
Changes during current period
Dividend from retained earnings
Net income (loss)
Purchase of treasury stock
Disposal of treasury stock
Total changes during current period
Balance at the end of current period
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Balance at the beginning of current period
Changes during current period
Changes of items other than shareholders’ equity
during current period (net)Total changes during current period
Balance at the end of current period- 17 -(Millions of yen)
FY2011(from April 1, 2011
to March 31, 2012)

17,48917,489–17,489–17,48921,30921,309–21,309–21,30966,87867,010

(803)
935
–
131
67,010(565)(2,614)(10)(3,191)
63,818(4,081)(4,081)(0)–(0)(4,081)

(0)
843
843
(3,238)

101,596

101,727

(803)
935
(0)
－
131
101,727(565)(2,614)(0)832(2,348)99,379

973

881

(92)

122

(92)
881

122
1,003

FY2010(from April 1, 2010
to March 31, 2011)
Deferred gains or losses on hedges
Balance at the beginning of current period
Changes during current period
Changes of items other than shareholders’ equity
during current period (net)Total changes during current period
Balance at the end of current period
Foreign currency translation adjustment
Balance at the beginning of current period
Changes during current period
Changes of items other than shareholders’ equity
during current period (net)Total changes during current period
Balance at the end of current period
Total accumulated other comprehensive income
Balance at the beginning of current period
Changes during current period
Changes of items other than shareholders’ equity
during current period (net)Total changes during current period
Balance at the end of current period
Minority interests
Balance at the beginning of current period
Changes during current period
Changes of items other than shareholders’ equity
during current period (net)Total changes during current period
Balance at the end of current period
Total net assets
Balance at the beginning of current period
Changes during current period
Dividend from retained earnings
Net income (loss)
Purchase of treasury stock
Disposal of treasury stock
Changes of items other than shareholders’ equity
during current period (net)Total changes during current period
Balance at the end of current period- 18 -(Millions of yen)
FY2011(from April 1, 2011
to March 31, 2012)(1,166)(1,898)

(732)

(604)

(732)
(1,898)(604)(2,503)

－

－

－

(1)

－
－

(1)
(1)

(193)

(1,017)

(824)

(483)

(824)
(1,017)(483)(1,500)

1,927

1,852

(75)

(297)

(75)
1,852

(297)
1,555

103,331102,562

(803)
935
(0)
–

(565)
(2,614)
(0)
832

(900)

(780)

(768)
102,562(3,128)99,433

(4) Consolidated Statements of Cash FlowsFY2010(from April 1, 2010
to March 31, 2011)
Cash flows from operating activities
Income (loss) before income taxes and minority interests
Depreciation and amortization
Amortization of negative goodwill
Increase (decrease) in allowance for employees’
retirement benefits
Increase (decrease) in allowance for employees’ bonuses
Increase (decrease) in allowance for directors’ bonuses
Impairment loss
Interest and dividends income
Interest expenses
Equity in losses (earnings) of affiliates
Loss (gain) on sales of investment securities
Loss (gain) on valuation of investment securities
Loss (gain) on sales of tangible fixed assets
Loss on retirement of tangible fixed assets
Loss on disaster
Loss on adjustment for changes of accounting standard
for asset retirement obligations
Gain on reversal of asset retirement obligations
Decrease (increase) in accounts receivable – trade
Decrease (increase) in inventories
Decrease (increase) in other current assets
Increase (decrease) in accounts payable - trade
Increase (decrease) in other current liabilities
Increase (decrease) in other fixed liabilities
OthersSubtotalInterest and dividends received
Interest paid
Income and other taxes paid
Net cash provided by (used in) operating activities- 19 -(Millions of yen)
FY2011(from April 1, 2011
to March 31, 2012)

2,469
13,374(191)(357)
14,088
(191)

40

(116)

4
(12)
－
(268)
1,032
764
–
54
(0)
360
53

(107)
(100)
484
(384)
1,072
918
(26)
23
(0)
58
51

765

－

(267)
(2,477)(221)(2,540)
158
1,834
(71)
(12)
14,85096(1,033)(1,681)
12,230－(1,461)
103
2,362
466
69
(1,245)44
15,750652(1,075)(379)
14,947

(Millions of yen)
FY2011(from April 1, 2011
to March 31, 2012)

FY2010(from April 1, 2010
to March 31, 2011)
Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of marketable securities
Proceeds from sales of marketable securities
Purchase of investment securities
Proceeds from sales of investment securities
Purchase of tangible fixed assets
Proceeds from sales of tangible fixed assets
Purchase of intangible fixed assets
Payments for asset retirement obligations
Purchase of long-term prepaid expenses
Payments of long-term loans receivable
Other payments
Other proceeds
OthersNet cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from long-term loans payable
Repayment of long-term loans payable
Repayments of lease obligations
Dividends paid by parent company
Proceeds from sales of treasury stock
Dividends paid to minority shareholders
OthersNet cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of period
Cash and cash equivalents at the end of period- 20 -

(27)
300
(859)
650
(9)
–
(10,554)
1
(510)
(189)
(6)
(2,667)(234)
65
22(14,018)

(22)
23
－
560
(2,278)119(7,485)
1
(633)
(159)
(374)
(0)
(134)
53
15
(10,314)

20,400(12,447)
(210)
(803)
–
(28)
19
6,929

6,000
(11,218)
(634)
(565)
832
(28)
(0)
(5,614)

1

(0)

5,144
16,653
21,797(981)
21,797
20,816

Notes on the Premise of a Going Concern
There is nothing to report.
Notes on the Consolidated Financial Statements(Notes on Consolidated Balance Sheets)
FY2010(As of March 31, 2011)(1) Assets pledged as collateral and corresponding liabilities
with collateral
The following are assets pledged as collateral.
(Millions of yen)
Buildings and structures
91,374
Machinery and equipment
0
Land
53
Total
91,428
Liabilities for which assets are pledged as collateral totaled
46,582 million yen in long-term loans payable (including
the portion of long-term loans payable due within a year).

FY2011(As of March 31, 2012)(1) Assets pledged as collateral and corresponding liabilities
with collateral
The following are assets pledged as collateral.
(Millions of yen)
Buildings and structures
87,224
Machinery and equipment
0
Land
53
Total
87,278
Liabilities for which assets are pledged as collateral totaled
45,592 million yen in long-term loans payable (including
the portion of long-term loans payable due within a year).

(2) The following items are related to non-consolidated
subsidiaries and affiliated companies.
Investment securities (shares)
2,180 million yen(2) The following items are related to non-consolidated
subsidiaries and affiliated companies.
Investment securities (shares)
2,305 million yen―――――(3) The Company provides a guarantee to the following
company for its borrowing from financial institutions.
Japan Airport Delica Inc.
450 million yen(Notes on Consolidated Statements of Income)Impairment loss
During the fiscal year ended March 31, 2012, the JAT Group recognized impairment loss on the assets as follows:
Location
Use
Type
Impairment loss
Narita, Chiba
Plant (Food production
Buildings and structures, machinery,
473 million yen
and dish washing)equipment and vehicles, and land andothersMinato-ku, TokyoStore (Merchandise sales) Buildings and structures, and others
11 million yen
The JAT Group classifies assets into groups primarily according to business locations.
By examining impairment for fixed assets based on the groupings, the business assets owned by consolidated
subsidiaries whose profitability declined were identified. The carrying amount of those assets was reduced to therecoverable value and the reduced amount was recognized as impairment loss. The loss consists of ¥331 million forbuildings and structures, ¥39 million for machinery, equipment and vehicles, and ¥102 million for land and others.
Further, we judged the carrying amount of directly managed shops at Minato-ku, Tokyo to be unrecoverable.
Based on the judgment, the carrying amount was recognized as impairment loss, which consists of ¥2 million forbuildings and structures and ¥8 million for others.
Recoverable value for business asset is measured by the higher of the value in use and its net selling price.
Value in use is calculated by discounting future cash flows of the applicable unit at a discount rate of 3%.
There was nothing to report about such impairment for the previous fiscal year ended March 31, 2011.

- 21 -

(Notes on Consolidated Statements of Comprehensive Income)
FY2011 (April 1, 2011 to March31, 2012)
1. Amount of reclassification adjustment involved in other comprehensive income
Valuation difference on available-for-sale securities
Amount arising during the fiscal year
Deferred gains or losses on hedges
Reclassification adjustment
Foreign currency translation adjustment
Amount arising during the fiscal year
Share of other comprehensive income of associates
accounted for using equity method
Amount arising during the fiscal year
Pre-adjustment of tax effectTax effect amount
Total other comprehensive income(Millions of yen)

82

82

1

1

(1)

(1)

(605)

(605)
(522)
39
(483)

2. Amount of tax effect involved in other comprehensive income(Millions of yen)

Pre-adjustmentof tax effect
82
1
(1)

Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Share of other comprehensive income of associates
accounted for using equity method
Total other comprehensive income

Tax effectNet-of-tax
40
(0)
－

122
0
(1)

(605)

－

(605)

(522)

39

(483)

(Notes on Consolidated Statements of Changes in Shareholders’ Equity)
FY2010 (from April 1, 2010 to March 31, 2011)
1. Type and total number of shares outstanding, and type and number of treasury stock
Number of shares at the
beginning of the current
fiscal year

Increase in the numberof shares during thecurrent fiscal year

Decrease in the numberof shares during thecurrent fiscal year

Number of shares at thecurrent fiscal year end

84,476,500
84,476,500

－
－

－
－

84,476,500
84,476,500

4,089,416
4,089,416

328
328

－
－

4,089,744
4,089,744

Shares outstanding
Common stock
Total
Treasury stock
Common stock(Note )Total

Note: 328 shares of increase in common treasury stock resulted from the purchase of odd lot shares.

2. Dividends(1) Amount of dividends paid
Resolution
June 29, 2010
Ordinary General
Meeting of Shareholders
November 10, 2010
Board of Directors
MeetingType ofstock

Total dividends(Millions of yen)

Dividends per
share (Yen)Record date

Effective dateCommon
stock

522

6.5

March 31,2010

June 30, 2010

Common
stock

281

3.5

September 30,
2010

December 10,2010- 22 -

(2) Dividends for which the record date came during FY2010, but for which the effective date will come after said period
Dividends
Type of
Total dividends
Source ofEffective
Resolution
per share
Record datestock(Millions of yen)
dividends
date
(Yen)
June 29, 2011
Ordinary General
CommonRetained
March 31,
June 30,281
3.5
Meeting ofstock
earnings
2011
2011
Shareholders

FY2011 (from April 1, 2011 to March 31, 2012)
1. Type and total number of shares outstanding, and type and number of treasury stock
Number of shares at the
beginning of the current
fiscal year

Increase in the numberof shares during thecurrent fiscal year

Decrease in the numberof shares during thecurrent fiscal year

Number of shares at thecurrent fiscal year end

84,476,500
84,476,500

－
－

－
－

84,476,500
84,476,500

4,089,744
4,089,74470
70

845,000
845,000

3,244,814
3,244,814

Shares outstanding
Common stock
Total
Treasury stock
Common stock(Note )Total

Note: 70 shares of increase in common treasury stock resulted from the purchase of odd lot shares and 845,000 shares ofdecrease resulted from the disposal of treasury stock by means of third party allotment.

2. Dividends(1) Amount of dividends paid
Resolution
June 29, 2011
Ordinary General
Meeting of Shareholders
November 9, 2011
Board of Directors
MeetingType ofstock

Total dividends(Millions of yen)

Dividends per
share (Yen)Record date

Effective dateCommon
stock

281

3.5

March 31,2011

June 30, 2011

Common
stock

284

3.5

September 30,
2011

December 12,
2011(2) Dividends for which the record date came during FY2011, but for which the effective date will come after said period
The following resolution is planned to be made.
Total dividends
Type of
Resolution
to be paid
stock(Millions of yen)
June 28, 2012
Ordinary General
Common284
Meeting ofstock
Shareholders

Source ofdividends

Dividends
per share(Yen)

Record date

Effective
date

Retainedearnings

3.5

March 31,2012

June 29,2012- 23 -

(Notes on Consolidated Statements of Cash Flows)
FY2010(from April 1, 2010
to March 31, 2011)*1 Relationship between the closing balance of cash and cash
equivalents and the value of items listed on the
consolidated balance sheets:(As of March 31, 2011)(Millions of yen)
Cash and deposits
21,869Marketable securities
559
Time deposits with a maturity greater(72)
than 3 months
Securities such as stocks and bonds
with a redemption period of more than(559)
3 months
Cash and cash equivalents
21,797FY2011(from April 1, 2011
to March 31, 2012)*1 Relationship between the closing balance of cash and cash
equivalents and the value of items listed on the
consolidated balance sheets:(As of March 31, 2012)(Millions of yen)
Cash and deposits
20,886Time deposits with a maturity greater(70)
than 3 months
Cash and cash equivalents
20,816*2 Significant non-cash transaction
Assets and liability regarding finance lease transactions
recorded in FY2010 are 2,868 million yen and 3,012
million yen respectively.

―――――(Segment Information)
1. Overview of reportable segments
The reportable segments of the Group are units for which separate financial information is available and whose
operating results are regularly reviewed by the Board of Directors in order to decide how to allocate
management resources and evaluate their performances.
The Company is primarily engaged in the management of passenger terminal buildings and the provision ofservices to users at Haneda Airport. Business divisions at the Company’s headquarters develop comprehensive
business strategies and pursue business activities.
The Company is, therefore, composed of business segments with different services based on the businessdivisions. Its three reportable segments are the facilities management operations, merchandise sales operations,and food and beverage operations.
The segment of facilities management operations leases, maintains and repairs, and operates passenger
terminal facilities at Haneda Airport. It also provides services for passengers. The segment of merchandise
sales operations is engaged in retail sales of products to passengers and others, wholesales of products tocompanies operating airport terminals and others, and other activities incidental to these two sales operations.
The segment of food and beverage operations provides food and beverage services to parties including users ofHaneda Airport and Narita International Airport. It is also engaged in the production and sales of in-flightmeals and other incidental activities.
2. Method of calculations of sales, income (loss), assets, liabilities, and other items by reportable segments
Accounting methods for reportable business segments are, in general, the same as those described in “Basic
Important Conditions to Prepare the Consolidated Financial Statements.”
Segment income (loss) is based on operating income (loss).
Intersegment sales and transfers are based on prevailing market price.

- 24 -

3. Sales, income (loss), assets, liabilities, and other items by reportable segments
FY2010 (from April 1, 2010 to March 31, 2011)(Millions of yen)

Reportable segments

Consolidated
financialstatements

Facilities
Management

Merchandise
Sales

42,086

78,133

14,555

134,776-

134,776

2,343

617

2,089

5,050

(5,050)-44,4292,835
128,794

78,751
5,997
19,51016,645(343)
15,343

139,827
8,489
163,648(5,050)(4,300)35,396

134,776
4,189
199,045

Depreciation andamortization

11,183858

703

12,746628

13,374

Increase in tangible fixed
assets and intangible fixed
assets

10,980

1,869

1,798

14,648(154)

14,493Operating revenues
Sales to externalcustomers
Intersegment sales
and transfers
Total
Segment income (loss)
Segment assets
Other items

Food andBeverage

Adjustments
Total

FY2011 (from April 1, 2011 to March 31, 2012)(Millions of yen)

Reportable segments

Operating revenues
Sales to externalcustomers
Intersegment sales
and transfers
Total
Segment income (loss)
Segment assets
Other items
Depreciation andamortization
Increase in tangible fixed
assets and intangible fixed
assetsFood andBeverage

Adjustments

Consolidated
financialstatements

Facilities
Management

Merchandise
Sales

42,57572,941

13,874

129,391-

129,391

2,038

543

1,758

4,340

(4,340)-44,613
1,310
123,334

73,485
4,354
21,392

15,633(791)
13,287

133,732
4,874
158,013(4,340)(3,996)31,151

129,391877
189,165

11,683

1,066

788

13,538549

14,088

7,702

1,424

67

9,195

(65)

9,129

- 25 -

Total