This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Quarterly Report（Report Pursuant to Article 24, Paragraph 1 of the Financial Instruments
and Exchange Act）
Fiscal Year
From January 1, 2021
（The 1st Quarter of the 64th Term）
To March 31,2021

Coca-Cola Bottlers Japan Holdings Inc.

（E00417)

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Table of Contents[Cover Page]
Part I Corporate information ..................................................................................................................................................................... 1
Section 1. Corporate overview .............................................................................................................................................................. 1
1. Summary of business results ......................................................................................................................................................... 1
2. Business content ............................................................................................................................................................................ 1
Section 2. Business situations................................................................................................................................................................ 2
1. Risk of business ............................................................................................................................................................................. 2
3. Significant management contracts ................................................................................................................................................. 7
Section 3. Status of the filing company ................................................................................................................................................. 8
1. Status of Shares ............................................................................................................................................................................. 8
2. Status of Officers ........................................................................................................................................................................... 9
Section 4 Accounting status................................................................................................................................................................. 10
1. Condensed Quarterly Consolidated Financial Statements and Notes .......................................................................................... 11
2. Others .......................................................................................................................................................................................... 30
Part II Information of guarantor companies of the filing company ......................................................................................................... 31

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

【Cover Page】[Documents to be submitted]

Quarterly Report[Underlying article]

Article 24, Paragraph 1 of the Financial Instruments andExchange Act[Recipient]

Director-General of the Kanto Local Finance Bureau[Submission date]

March 14, 2021

[Fiscal year]

64th fiscal term (from January 1, 2021 to March 31,2021)[Company name]Coca-Cola Bottlers Japan Holdings Inc.

[Name and position of representative]

Calin Dragan, Representative Director & President[Address of head office]9-7-1 Akasaka, Minato-ku, Tokyo[Telephone number](03)-6896-1707[Name of administrative contact]

Satoshi Kon, Head of Finance Operations and Controllers Division, Finance[Closest contact point]

9-7-1 Akasaka, Minato-ku, Tokyo[Telephone number](03)-6896-1707[Name of administrative contact]

Satoshi Kon, Head of Finance Operations and Controllers Division, Finance[Location provided for viewing]

Tokyo Stock Exchange, Inc.
（2-1 Nihonbashi Kabutocho, Chuo-ku, Tokyo）

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) filed with the Director-General of the Kanto
Local Finance Bureau via Electronic Disclosure for Investors` NETwork (“EDINET”) pursuant to the Financial Instruments andExchange Act of Japan. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki
Hokokusho shall prevail.
For the purpose of this Quarterly Report, unless context indicates otherwise, the “Company”, “we”, and “CCBJH” refer to Coca-Cola
Bottlers Japan Holdings Inc., and the “Group” refers to the Company and its subsidiaries.

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Part I Corporate information
Section 1. Corporate overview
1. Summary of business results
The 63rd Term
The 64th Term
Consolidated Cumulative Consolidated Cumulative
First Quarter
First Quarter

Issuance

From
January 1, 2020
toMarch 31, 2020

Accounting period

From
January 1, 2021
toMarch 31,2021

The 63rd Term
From
January 1, 2020
toDecember 31, 2020

Revenue[Current First quarter](Millions of yen)

193,029

168,399

791,956

Loss for the period before tax benefits(Millions of yen)

(8,607)(15,414)(12,065)

Net income (loss) for the period attributable(Millions of yen)
to owners of the parent(5,690)1,316(4,715)Comprehensive income (loss) attributable to(Millions of yen)owners of the parent(10,809)

5,023(2,214)Equity attributable to owners of the parent(Millions of yen)

490,939502,232

501,643

Total Assets(Millions of yen)933,373

930,972

939,603

Basic earnings (loss) per share(Yen)(31.73)

7.34(26.29)Diluted earnings per share

(Yen)

－

－

－

Ratio of equity attributable to owners of theparent to total assets

(%)

52.6

53.9

53.4

Cash flows from operating activities(Millions of yen)

9,762

16,70643,716

Cash flows from investing activities(Millions of yen)

(27,356)

28,834(52,076)

Cash flows from financing activities(Millions of yen)

(6,970)(6,863)

20,912

Cash and cash equivalents at the end of the(Millions of yen)period89,261

165,055

126,378

Notes: 1. Because the Company prepares quarterly consolidated financial statements, the summary of standalone business results for the Company is not described.
2. Consumption tax is not included in revenue.
3. Diluted earnings per share is not presented, since there is no dilutive stock.
4. The consolidated financial statements are disclosed in accordance with International Financial Reporting Standards ("IFRS") as issued by theInternational Accounting Standards Board.
5. Figures are rounded to the nearest million yen.
6. In the fiscal year ending 31 December 2020, the businesses of Q'SAI and its subsidiaries were classified as discontinued operations as a result of thedecision made in December 2020 to sell all shares in Q'SAI Co. Ltd. held by the Company. Accordingly, the Revenue and the Profit before income (loss)
tax for the 63rd Term Consolidated Cumulative First Quarter have been reclassified to the amounts for continuing operations excluding discontinued
operations. Refer to “Ⅳ. Financial information, (1) Notes to consolidated financial statements, 7. Disposal groups classified as held for sale anddiscontinued operations” for the reclassified amounts of the Revenue and Profit before income tax of the discontinued operations.

2. Business content
There were no significant changes in the businesses that the Group (the Company and its subsidiaries) is engaged in during
the First quarter of 2021.
As the transfer of all shares of Q’sai Corporation was completed during the first quarter of the current fiscal year, the company
and its subsidiaries were excluded from the Group.

－1－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Section 2. Business situations
1. Risk of business
During the first quarter of the current fiscal year (January 1, 2021 to March 31, 2021, hereinafter referred to as "the first quarter"),the coronavirus infection (COVID-19), which has impacted business since 2020, continued to spread and in January the government
declared a state of emergency. The government implemented further measures to prevent the spread of the disease, such as
shortening the opening hours of restaurants and refraining from holding large-scale events and therefore the outlook for sales in thebeverage business remained uncertain during the first quarter of the current fiscal year.
In this circumstance, the Company is actively monitoring the risk and responding to the changes in the business environment.
We have sped up our business transformation and management reforms, responded to changes in customer and consumer behavior,and pushed forward with cost reductions. The Company remains focused on employee safety maintaining COVID-19 responseroutines that have included shifting to telecommuting, mainly in the indirect departments, thereby reducing employee exposure in
the work place.
We continue to actively monitor our overall risk environment, and there are no significant changes to other business risks as
described in the Annual Securities Report for the 2020 fiscal year.

2. Management's analysis of financial condition, results of operations and cash flows
Note that matters related to future developments that are mentioned in this section are judgments of the Group that were madeas of the date of quarterly securities report submission.
(1) Qualitative Information on Consolidated Financial Results
During the continued outbreak of the novel coronavirus (COVID-19), the safety and health of our consumers, our customers
and our employees— especially those working daily to produce and supply essential goods and services— is our number one
priority. Our mission is to deliver happy moments to everyone, even in challenging times, and we have been working withcomprehensive business continuity actions in place to ensure safe and secure product supply. In addition to implementing
comprehensive infection prevention measures in our commercial activities, we also implemented more flexible work styleinitiatives, such as working from home and online meetings.
During this quarter (January 1, 2021 to March 31, 2021), the total domestic nonalcoholic ready-to-drink (NARTD) beverageindustry volume performance is expected to have declined compared to the prior year, with a new state of emergency declarationfrom mid-January to late March. While the demand for at-home consumption increased as consumers stayed home during the
pandemic, the overall decline in consumer traffic in retail stores, restaurants and at vending machines drove down demand andencouraged the trend of more budget-minded consumer behavior.
We continue to drive fundamental business transformation initiatives as part of our mid-term strategic business plan announcedin August 2019, under the guiding principle that “business as usual is not an option”. This has not changed, despite the near-term
challenges of the COVID-19 pandemic. We are implementing initiatives to return the business to a sustainable growth trajectory,
including transformation in the important vending channel and back-office routines to drive cost efficiencies. We are also finding
opportunities during these turbulent times to accelerate the pace of ongoing transformation projects and to identify newopportunities. This helps to ensure that we protect the business during current challenges and are well-prepared for the evolutionof the business environment in the longer term.
As disclosed in the December 15, 2020, “Notice of Selling of Shares of Q'sai Co., Ltd. and Gain on The Sale of Shares as well
as Revision of Earnings Forecast”, the share transfer of the Company’s consolidated subsidiary, Q'sai Co., Ltd. (Head Office:Fukuoka City, Fukuoka Prefecture; "Q'sai") was completed on February 1, 2021. As a result of the share transfer, 12.8 billion yen
of gains from stock transactions and 45 billion yen of cash inflow was recognized in the first quarter of 2021. Accordingly, we haverevised our business segment reporting to reflect only the results of continuing operations, the beverage business, after the sale ofthe health and skincare segment and relevant sections of prior year financial statements and notes have been reclassified.
For the first quarter of the fiscal year, while sales volume decreased due to the ongoing impact of COVID-19, we continued ourtransformation and cost saving initiatives to offset the impact of the sales decrease. Q1 2021 is cycling relatively solid performancein January and February 2020, prior to the beginning of the COVID-19 impact being felt in Japan. Details are as follows.
－2－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Q1 2021 Highlights
・ First quarter 2021 reflects the ongoing impact of COVID-19 and a new State of Emergency declared in January, as we cycle
a period of limited impact in Q1 2020 as initial restrictions were announced starting in March.
・ Major transformation initiatives continue as we reset a solid foundation for recovery and future growth, while also navigating
volatility in the current environment.
・ Due to the continued impact of COVID-19, Q1 net revenue declined 24.6 billion yen (13%) and Business Income declined
4.5 billion yen versus prior year. Sales volume declines and mix deterioration due to COVID-19 impacted the business while
we accelerated transformation efforts and cost reduction initiatives, and started investing again in marketing programs andnew product innovation for growth in 2021 after pullback in 2020.
・ Market share in terms of both volume and value in the important vending channel continued to grow, with 24 consecutive
months of value share growth. In addition, retail channel value share continued to recover and was even versus prior year.
The promotional environment is becoming more competitive in some areas, but we are responding to changes in consumer
behavior as a business opportunity.
・ The Saitama Mega Distribution Center (DC), a key base for logistics in the Tokyo metropolitan area, started operations in
February, showing good progress in establishing a flexible and resilient supply network.
・ Although the business environment remains uncertain due to the declaration of a third COVID-19 state of emergency, we
will continue to focus on areas that we can control and strive to secure profits while minimizing pressure on the top line andpromote initiatives that will lead to medium to long-term business growth.
・ Continued focus on ESG initiatives. Announced the use of 100% recycled PET resin for Brand Coca-Cola and other small
PET bottles.
Summary of Consolidated Financial Results(Millions of yen)

Year-to-date Q1 (January to March)
1st Quarter 2020
(January – March)

1st Quarter 2021
(January – March)

193,029

168,399(12.8％)

108

97(10.2%)

Gross Profit

88,88874,161(16.6％)

Selling, General & Administrative Expenses

95,66385,426(10.7％)

Other income (Recurring)

221

199

(10.1％)

Other expenses (Recurring)

468

391

(16.4％)

Investment loss on equity method

(59)

(139)

－

(7,081)(11,596)－

Other income (Non-recurring)

0

991

－

Other expenses (Non-recurring)

1,348

4,537

236.6％

Operating Loss

(8,428)(15,142)－(5,690)

1,316－

In million JPY

ChangeContinuing Operation (Beverage Business)
Revenue
Sales volume of beverage business (million cases)

Business Income

Net Income (Loss) Attributable to Owners of Parent

Note: 1. “Business Income (loss)” is a measure of our underlying or recurring business performance. Business Income (loss) deducts cost of goods andselling, general and administrative expenses from revenue, and includes other income and expenses which we believe are recurring in nature.
2. Net Income (Loss) Attributable to Owners of Parent is a total of continuing operation and discontinued operation results.

Net revenue for first quarter 2021 declined to 168,399 million yen (decrease of 24,629 million yen from prior-year period,
down 12.8%) due to 10% year-on-year decrease in sales volume caused by the continued impact of COVID-19 and cycling
limited impact in the same period last year, mainly from March onward. Although we implemented extensive cost reduction
initiatives in all areas, including personnel expenses and other indirect costs, in order to offset the impact of the decline in sales－3－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

revenue, the deterioration of the channel mix due to the decline in sales volume in the highly profitable vending and convenience
store (CVS) channels had a negative impact, resulting in a consolidated business income loss of 11,596 million yen (7,081
million yen loss in the same period previous year)
Consolidated operating loss was 15,142 million yen (8,428 million yen loss in the same period of previous year). Other income(non-recurring) includes 990 million yen in government subsidies for employment adjustment to offset temporary leave expense(hereinafter referred to as temporary leave expenses). Other expenses (non-recurring) include 3,736 million yen in temporary
leave expenses and 257 million yen in business structure improvement expenses related to the implementation of transformation
based on the medium-term plan.
Net income attributable to owners of parent for the quarter, a total of continuing operations and discontinued operation, was
1,316 million yen (5,690 million yen loss in the prior year period) as a gain of 12,841 million yen was recorded in discontinued
operations as gains from stock transactions due to the transfer of shares in Q’sai.
Beverage volume performance
In the first quarter, volume declined 10%. Despite growth in at-home consumption occasions, expansion and market sharegains in online sales, and the initial contribution of new products launched in Q1, results were lower than the prior year period
due to the continued impact of COVID-19, including the second state of emergency declaration in January, and the fact that thecoronavirus impact was limited in Q1 2020, mainly from March onward.
In terms of channel performance, retail food, vending, and convenience stores saw a significant decrease in sales volume due
to a decline in customer traffic with people staying home during the pandemic and the impact of pandemic restrictions such as
shortened business hours and restaurant closures. In vending, although signs of recovery began to appear in outdoor locations
late last year, consumer traffic was soft due to the new state of emergency declaration, especially in train stations, schools,
entertainment facilities and other indoor locations in metropolitan areas. Vending channel sales volume decreased by 12%.
Despite this difficult operating environment, we continue to grow our market share in vending, with 24 consecutive months ofvalue share growth. In retail and food channels, sales decreased by 36% due to reduced customer traffic at restaurants and othercommercial venues. Convenience store sales decreased 9%, reflecting lower consumer traffic as well as increased competitiveand promotional activity. On the other hand, sales at supermarkets and drugstores & discounters increased by 1% and 7%,
respectively, reflecting our efforts to “win where the growth is” by responding to changes in the frequency of customer visits
and consumption patterns, such as rising home consumption demand and bulk purchases. Online sales are growing significantly,
with 65% growth in Q1, spurred by expansion of label-less products and various promotions in-line with changes in customers'
consumption behavior.
In terms of beverage category performance, sparkling beverages declined 7%, partly offset by the contribution from the fullrenewal of Coca-Cola Zero last year and the expansion of the Fanta Premiere series. Non-sugar tea (NST) volume decreased
10%, partly offset by contribution from Karada Odayakacha W tea and Ayataka Cafe Matcha Latte. Coffee volume declined 9%
mainly due to a decline in can products, partly offset by contribution from PET bottled coffee Georgia Latte Nista. The sports
drink category volume declined 11% as a result of a decline in the overall category as sports events remain restricted and withsofter performance in large PET packaging. Water volume increased 8%, as demand for home consumption drove the growthof large PET in supermarkets, drugstores & discounters and online.
The ready-to-drink alcohol brand, Lemon-dou declined 15% as we cycle the prior year period, which was immediately after
the nationwide launch. We continue to expand in-house alcohol production capacity given expectations for growth in this new
category for Coca-Cola in Japan.
(2) Qualitative Information on Consolidated Financial Position
Assets at the end of the quarter were 930,972 million yen, a decrease of 8,631 million yen from the end of the prior period.
This is mainly due to the completion of the Q’sai share transfer on February1, 2021, resulting in a decrease in Assets held for
trading and an increase of Cash and cash equivalents. Due to the decrease in net revenue, Trade and other receivables decreased,
and there was a decrease in Property, plant and equipment reflecting consolidation of sales/distribution locations.
Liabilities at the end of the quarter were 428,597 million yen, a decrease of 8,913 million yen from the end of the prior year
period. This is mainly due to the completion of the Q’sai share transfer, decreasing the Liabilities directly associated with assets－4－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

held for sale.
Net Assets at the end of this quarter were 502,375 million yen, an increase of 282 million yen. This reflects a decrease in
Retained Earnings as a result of dividend payments, offset by an increase in Accumulated other comprehensive income driven
by increase in the market value of investment securities.
(3) Cash flows
The cash flow conditions for the 1st quarter of the current year are as follows:<Cash Flows from Operations>
Net cash generated from operations was 16,706 million yen (9,762 million net cash generated from operations in the prioryear period). This results from the Income before income taxes from discontinued operations of 12,841 million yen due tothe selling of all shares of Q’sai Co., Ltd., decrease of depreciation and amortization and trade and other receivables offset
by a loss from continuing operations before income taxes.
<Cash Flows from Investment Activities>
Net cash generated from investment activities was 28,834 million yen (27,356 million yen used for investment activities in
the prior year period) due to proceeds from sales of investments in subsidiaries, offset by purchase of fixed assets inconjunction with the execution of capital investments for the gradual expansion of the supply chain.
<Cash Flows from Financing Activities>
Net cash used for financing activities was 6,863 million yen (6,970 million yen in the prior year period), driven by mainly
cash spent for payment of year-end dividends and lease liabilities.
As a result of these activities, cash and cash equivalents at the end of first quarter was 165,055 million yen, an increase of
75,793 million yen in comparison to the end of first quarter in the prior year.
(4) Business and financial challenges to be addressed
1. Issues to be addressed
There are no material changes regarding the issues that the Group needs to address during the consolidated cumulative firstquarter of the current year.
2. Basic Policies on the Control of the Joint-stock Company
a. Descriptions of basic policies
The Company believes that the persons and/or entities (hereinafter referred as “Persons”) who control decisions on the
Company’s financial and business policies need to understand the source of the Company’s corporate value and will make itpossible to continually and persistently ensure and enhance the Company’s corporate value and, in turn, the common interestsof its shareholders. The Company believes that a decision on any proposed acquisition that would involve a change of corporate
control of the Company should ultimately be made based on the intent of its shareholders as a whole. Also, the Company
would not reject a large-scale acquisition of the shares in the Company if it would contribute to the corporate value of theCompany and, in turn, the common interests of its shareholders.
However, there are some forms of large-scale acquisition of shares that benefit neither the corporate value of the target
company nor the common interests of its shareholders: those with a purpose that would obviously harm the corporate value ofthe target company and, in turn, the common interests of its shareholders; those with the potential to substantially coerce
shareholders into selling their shares; those that do not provide sufficient time or information for the target company’s boardof directors and shareholders to consider the terms of the large-scale acquisition of shares, or for the target company’s boardof directors to present a business plan or an alternative proposal; and those that require the target company to discuss ornegotiate with the acquirer in order to procure more favorable terms for shareholders than those presented by the acquirer.
The Company believes that the Persons who control decisions on the Company’s financial and business policies need to be
Persons who (A) fully understand the importance of (i) providing freshness and refreshment to people around the world andembedding the ”Coca-Cola” brand, which is now a part of our life style, in local communities; (ii) striving aggressively to win
in the market as the customers’ preferred partner with a deep understanding of the Company’s corporate philosophy; (iii)－5－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

appreciating employees who have a strong sense of responsibility to thoroughly pursue customer satisfaction, and proactively
working on building a workplace environment that can make each and every employee feel rewarded, motivated and proud of
being a member of the Coca-Cola family; and (iv) contributing to local communities and proactively dealing withenvironmental issues with a strong sense of responsibility as a corporate citizen that continues to strive to assist in therealization of an affluent society, (B) preserve relationships of mutual trust with customers, business partners, shareholders
and employees and perform to their expectations, and (C) make it possible to continually and persistently ensure and enhance
the Company’s corporate value and, in turn, the common interests of its shareholders from a mid- to long-term perspective.
Therefore, the Company believes that Persons who would make a large-scale acquisition of the shares in the Company in amanner that does not contribute to the corporate value of the Company and, in turn, the common interests of its shareholders
would be inappropriate to become Persons who would control decisions on the Company’s financial and business policies.
b. Initiatives to realize the basic policies(a) Summary of special initiatives that contribute to realizing the basic policies
The Group not only assumes a leading role in transforming the Coca-Cola business in Japan by deploying various joint
initiatives such as product development and test marketing with The Coca-Cola Company and Coca-Cola (Japan) Company,
Limited (100% subsidiary of The Coca-Cola Company) as a strategic partner, but also strives to become a company trusted
by the stakeholders of consumers, customers, shareholders and employees.
Soft drink industry volume growth in Japan is expected to be muted, given the developed nature of the market as a whole,and the business environment surrounding the Company is projected to stay competitive as multiple players compete in themarket.
Under such circumstances, the Group aims at becoming the preferred partner of our customers and consumers in all
drinking occasions by establishing a robust and sustainable operating model, pursuing success in high-priority areas, anddrastically transforming the business to ensure growth.
The Company also made a transition to a company with an Audit and Supervisory Committee in order to further reinforce
the governance system. The Audit and Supervisory Committee serves as the auditing body of the Company that is comprised
exclusively of external directors, including multiple independent external directors. To strengthen the management oversightfunction, these external directors that serve as members of the Audit and Supervisory Committee have each been grantedwith a voting right in the Board of Directors meetings, in addition to the right to state their opinions in shareholders’ meetings
on matters pertaining to the designation of board members and their remuneration, among others. In order to separate thedecision-making, business management and business execution functions, the Company is implementing a corporate
executive officer system. In addition to the foregoing, for more fruitful deliberations of highly important matters in the
Board of Directors meetings, the Company is delegating the authority to make decisions on certain important matters that
require prompt business executions to specific directors as well as facilitating speedy decision making of other matters.
(b) Outline of measures to prevent inappropriate persons from controlling the finance and business policy decisions of theCompany in light of the basic policy
Upon any substantial acquisition of the Company shares, the Company strives to proactively collect and timely disclose
information in order to ensure and improve the corporate value of the Company and the common interest of shareholders
as well as make appropriate measures as needed under the scope permitted by laws and regulations and the Articles ofIncorporation.
When Board Meeting determines it necessary to apply anti-takeover measures in order to ensure and improve thecorporate value of the Company and the common interest of shareholders, taking into consideration of the future trend of
the society, the Company consults with shareholders at the Meeting of Shareholders as stipulated in the Articles ofIncorporation for decision of the implementation.
c. Decisions of the Board of Directors of the Company on the specific measures and the reasons
The measure described in the previous b. (a) was introduced as a specific measure to continuously and sustainably
improve the corporate value of the Company and the common interest of shareholders and is consistent with the Company’s－6－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

basic policy.
In addition, the measure described in the previous b. (b) was introduced as a specific measure to ensure and improve thecorporate value of the Company and the common interest of shareholders as needed under the scope permitted by laws andregulations and the Articles of Incorporation focusing on the intention of shareholders, and it is not intended to undermine
the shareholders’ common interests or preserve the positions of the Company officers.
(5) Research and development activities
Not applicable(6) Major facilities
The new installation of the important facilities that had been planned as of the end of the prior year and completed during theconsolidated cumulative first quarter of the current year are as listed below.

Name of company
Coca-Cola Bottlers Japan Inc.

ditto

Name of office / site (location) Name of business segment
Branches / (-)
Saitama “Mega distribution
center”(Hiki-gun Yoshimi-machi,

Facility description

Amount(millions of yen)Completed in

Beverage business

Vending machines/coolers

796

March 2021

ditto

Logistics equipment

15,869February 2021

Saitama Prefecture)
Note: Consumption tax is not included in the above amounts.

3. Significant management contracts
Not applicable.

－7－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Section 3. Status of the filing company
1. Status of Shares(1) Total number of shares① Total number of shares
Class

Total Number of Authorized Shares

Common shares

500,000,000

Total

500,000,000② Issued shares
No. of issued shares as of end
of 1st Quarter（March 31,2021）

Class

No. of issued shares as offiling date
（May 14, 2021）

Name of listed stock
exchange or registeredauthorized financial
instruments firms`
association

Details

Commonshares206,268,593

206,268,593

Tokyo Stock Exchange（1st Section）

100-unit shares

Total

206,268,593

206,268,593－－(2) Status of stock acquisition rights① Status of share options
Not applicable.
② Other stock acquisition rights
Not applicable(3) Status of exercised moving strike convertible bonds
Not applicable.
(4) Total number of issued shares, transition of capital
Date

Increase/decrease in total no.
of issued shares(thousand share)

January 1, 2021 –March 31,2021－

Balance of total no. of Increase/ decrease ofissued shares
capital(thousand share）(Millions of yen)

206,269(5) Major shareholder status
Not applicable as this is the first quarter of the current year

－8－－

Capital balance(Millions of yen）

Increase/decrease ofcapital reserve(Millions of yen)

Capital reservebalance(Millions of yen)

15,232－

108,167

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

(6) Status of voting rights① Issued shares
As of March 31,2021
Class

Number of shares

Number of votes

Details

Non-voting shares

－

－

－

Shares with restricted voting right (Treasury Shares)

－

－

－

Shares with restricted voting right (Others)

－

－

－

－

－

Shares with full voting rights (Treasury Shares)

Common shares

26,921,800

Shares with full voting rights (Others)

Common shares

178,560,500

Odd lot shares

Common shares

786,293－－

206,268,593－-

Total number of issued shares

1,785,605－

Voting rights of all shareholders

1,785,605－-(Note): “Shares with full voting rights (Others)” includes 2,300 shares in JASDEC’s name (23 voting rights).

② Treasury Shares
As of March 31,2021

Name of owner

Coca-Cola Bottlers
Japan Holdings Inc.

Address of owner

No. of shares

No. of shares

owned under own

owned undernameothers’ name

Total number ofshares owned

Ratio of shares owned
against total no. of issued
shares (%)

9-7-1 Akasaka, Minato-ku, Tokyo

26,921,800－

26,921,800

13.05

－

26,921,800－

26,921,800

13.05

Total

2. Status of Officers
Not applicable.

－9－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Section 4 Accounting status
1. Preparation methods for the quarterly consolidated financial statements
The Group’s condensed quarterly consolidated financial statements have been prepared in accordance with International
Accounting Standards Article 34 "Interim Financial Reporting".

2. Audit certification
The Company’s quarterly consolidated financial statements for the first quarter of the current year (January 1, 2021 to March 31,2021) and the first three-month period of the current year (January 1, 2021 to March 31, 2021) have been reviewed by Ernst &Young ShinNihon LLC based on the provisions of Article 193-2 Paragraph 1 of the Financial Instruments and Exchange Act.

－10－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

1. Condensed Quarterly Consolidated Financial Statements and Notes(1) Condensed Quarterly Consolidated Balance Sheets
Notes

AssetsCurrent assets:
Cash and cash equivalents
Trade and other receivables
Inventories
Other financial assets
Other current assets
Subtotal
Assets of disposal groups classified as for
sale
Total current assets
Non-current assets:
Property, plant and equipment
Right-of-use assets
Intangible assets
Investments accounted for using the equity
methodOther financial assets
Deferred tax assets
Other non-current assets

11
6
7

11

Total non-current assets
Total assets－11－(Millions of yen)
As ofMarch 31,2021

As ofDecember 31, 2020

114,778
96,00968,180702
17,195

165,055
81,23569,292
1,691
23,531

296,865

340,803

48,138－345,003

340,803

460,50229,81066,193454,419
27,472
66,403287

305

25,6404,986
7,183
594,601

26,1858,806
6,578
590,169

939,603

930,972

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

As ofDecember 31, 2020

(Millions of yen)
As ofMarch 31,2021

Liabilities and equity
Liabilities
Current liabilities:
Trade and other payables
Bonds and debts
Lease liabilities
Other financial liabilities
Income taxes payable
Provisions
Other current liabilities
Subtotal
Liabilities directly associated with assets held
for sale
Total current liabilities
Non-current liabilities:
Bonds and debts
Lease liabilities
Other non-current financial liabilities
Net defined benefit liabilities
Provisions
Deferred tax liabilities
Other non-current liabilities

11
11

7

11
11

Total non-current liabilities
Total liabilities
Equity:Capital stock
Capital surplus
Retained earnings
Treasury shares
Accumulated other comprehensive income(loss)
Accumulated other comprehensive income ofdisposal groups classified as for sale
Equity attributable to owners of parent
Non-controlling interests

8

Total equity
Total liabilities and equity－12－

102,480
51,072
5,547
408
3,238
9
15,923
178,676

105,228
51,046
5,942
1
1,493
9
16,008
179,728

7,193－

185,869

179,728

187,51425,858605
14,876
2,119
17,296
3,375

187,038
23,077－
15,5502,121
17,5483,534

251,641
437,510

248,869
428,597

15,232450,605
120,473(85,654)

15,232450,699
117,216(85,657)

1,095

4,742

(107)

－

501,643450

502,232143

502,093
939,603502,375
930,972

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

(2) Condensed Quarterly Consolidated Statements of Income【First three -month period of this fiscal year】(Millions of yen)
Notes

Continuing operations
Revenue
Cost of sales
Gross profit
Selling and general administrative expenses
Other income
Other expenses
Share of income (loss) of entities accounted for using
equity method
Operating income (loss)
Financial revenue
Finance costs
Income (loss) for the period before income taxes
Income tax expense
Net income(loss) for the period from continuing
operations
Discontinued operations
Net income(loss) for the period from discontinuing
operations
Net income (loss) for the period

9

10
10

7

Net income (loss) for the period attributable to
Owners of parent
Loss from continuing operations attributable toowners of parent
Profit from discontinuing operations attributable toowners of parent
Non-controlling interests
Earnings (Loss) per share (yen)Continuing operations
Discontinued operations
Earnings (Loss) per share

12

－13－

Three months ended

Three months ended

March 31, 2020

March 31,2021

193,029
104,141
88,88895,663
221
1,816

168,399
94,23974,16185,426
1,190
4,928

(59)

(139)

(8,428)94
273(8,607)(2,588)(15,142)68
340(15,414)(4,216)(6,018)(11,199)330

12,505(5,689)1,306(6,019)(11,189)329

12,5052(10)(33.56)
1.83(31.73)(62.39)69.72
7.34

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

(3) Condensed Quarterly Consolidated Statements of Comprehensive Income【First Three -month period of this fiscal year】(Millions of yen)
Notes

Net income (loss) for the period
Other comprehensive income (loss)
Items that will not be reclassified subsequently to profit or loss:

Three months ended

Three months ended

March 31, 2020

March 31,2021(5,689)1,306(3,414)

2,016(3,414)

2,005

Subtotal
Total other comprehensive income (loss) for the period
Total comprehensive income (loss) for the period(1,704)(1,704)(5,119)(10,807)

1,703
1,703
3,707
5,013

Comprehensive income (loss) attributable to:
Owners of parent
Non-controlling interests(10,809)
2

5,023
(10)

Share of other comprehensive income of equity method
invests
Net changes in financial assets measured at fair value throughother comprehensive income (loss)
Subtotal
Items that may be reclassified subsequently to income (loss):
Cash flow hedges－14－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

(4) Condensed Quarterly Consolidated Statements of Changes in Equity
Three months ended March 31, 2020
(Millions of yen)
Equity attributable to owners of the parent

Notes
Balance as of January 1, 2020

Treasuryshares

Accumulated
othercomprehensive
incomeNoncontrollinginterests

Capital stockSharepremium

Retainedearnings

15,232450,526

121,372(85,649)4,517

505,999492

506,491－－(5,690)－－(5,690)2(5,689)

－

－

－

－

(5,119)(5,119)－(5,119)－－(5,690)－(5,119)(10,809)2(10,807)

Total

Total

Comprehensive income for theperiodNet loss for the period

Other comprehensive income

Total comprehensive income (loss)
for the year
Transactions with owners

Dividends of surplus－－(4,484)－－(4,484)(28)(4,512)

Purchase of treasury stock

－

－

－

(3)

－

(3)

－

(3)

Disposal of treasury stock

－

(0)

－

0

－

0

－

0

Transactions of share-based
payment

－

66

－

－

－

66

－

66

－

－

0

－

(0)

－

－

－

－

－

－

－

170

170

－

170

－

66

(4,484)(3)

170(4,250)(28)(4,278)15,232450,592

111,198(85,652)(432)

490,939466

491,405

Reclassification fromaccumulated othercomprehensive income toretained earnings
Reclassification fromaccumulated othercomprehensive income to nonfinancial assets
Total transactions with owners
Balance as of March 31, 2020

8

－15－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Three months ended March 31,2021(Millions of yen)

Capital
stock

Share
premium

Retainedearnings

Equity attributable to owners of the parent
Accumulated other
Other
comprehensive
comprehensive
income of disposal
Treasury
incomegroups classified assharesaccumulated
for sale

15,232450,605

120,473(85,654)

1,095

－

－

1,316

－

Other comprehensive income(loss)－－－

Total comprehensive income (loss)
for the period

－

－

Notes
Balance as of January 1, 2021

Total

Noncontrollinginterests

Total

(107)

501,643450

502,093

－

－

1,316

(10)

1,306

－

3,707

－

3,707

－

3,707

1,316

－

3,707

－

5,023

(10)

5,013

Comprehensive income for theperiodNet income for the period

Transactions with owners

Dividends of surplus－－(4,484)－－－(4,484)－(4,484)Purchase of treasury stock

－

－

－

(3)

－

－

(3)

－

(3)

Disposal of treasury stock

－

－

－

－

－

－

－

－

－

Transactions of share-based
payment

－

94

－

－

－

－

94

－

94

－

－

18

－

(18)

－

－

－

－

－

－

－

－

(42)

－

(42)

－

(42)

Changes from loss of control

－

－

(107)

－

－

107

－

(297)

(297)

Other

－

－

－

－

－

－

－

－

－

－

94

(4,573)

(3)

(60)

107

(4,434)(297)(4,731)

15,232450,699

117,216(85,657)

4,742－

502,232143

502,375

Reclassification fromaccumulated othercomprehensive income (loss) toretained earnings
Reclassification fromaccumulated othercomprehensive income to nonfinancial assets

Total transactions with owners
Balance as of March 31,2021

8

－16－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

(5) Condensed Quarterly Consolidated Statements of Cash Flows(Millions of yen)
Notes

Three months ended

Three months ended

March 31, 2020

March 31,2021

Cash flows from operating activities
Loss for the period before income tax benefit from

(8,607)(15,414)544

12,841

14,67014,607

continuing operations
Income for the period before income tax benefit fromdiscontinuing operations
Adjustments for:
Depreciation and amortization
Impairment loss

66－

Gain on sales of subsidiaries' stock－(12,841)

Change in allowance for doubtful accounts

(82)

732

Interest and dividends income

(27)

(6)

Interest expenses
Share of loss of entities accounted for using equity
methodGain on sale of property, plant and equipment
Loss on disposal and sale of property, plant andequipment(Increase) decrease in trade and other receivables

264

250

59

139

(4)

(1)

401

248

12,702

14,671

Increase in inventories(6,834)(1,111)

Increase in other assets(989)(1,099)

Increase in trade and other payables

550

10,281(Decrease) Increase in net defined benefit liabilities

776

663

(2,347)(261)

Decrease in other liabilities
Others8(35)

11,151

23,664

Interest received

0

1

Dividends received

27

5

(262)

(251)

(1,154)(6,721)

0

8

9,762

16,706(27,454)(15,653)

78

1

－

7,400

(11)

(10)

SubtotalInterest paid
Income taxes paid
Income taxes refund
Net cash (used in) provided by operating activities

Cash flows from investing activities
Acquisitions of property, plant and equipment andintangible assets
Proceeds from sales of property, plant and equipment
and intangible assets
Proceeds from collection of loans receivable resulting
from sales of investments in subsidiaries

7

Purchases of other financial assets
Proceeds from sale of other financial assets

0

2,578

Proceeds from sale of shares of subsidiaries－

34,49031

28(27,356)

28,834

7

Other
Net cash used in investing activities－17－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

(Millions of yen)
Notes

Three months ended

Three months ended

March 31, 2020

March 31,2021

Cash flows from financing activities
Repayments of long-term loans payable

(685)

(525)

(4,484)(4,484)(28)－

Proceeds from disposal of treasury stock0－

Purchases of treasury stock

(3)

(3)

Repayments of lease liabilities(1,771)(1,852)

Net cash provided by financing activities(6,970)(6,863)

Dividends paid

8

Dividends paid to non-controlling interests

Net change in cash and cash equivalents(24,564)

38,677

Cash and cash equivalents at the beginning of the year

113,825

126,378

Cash and cash equivalents at the end of the period

89,261

165,055－18－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Notes to consolidated financial statements
1. Introduction
The Company is a holding company domiciled in Japan and is listed on the First Section of the Tokyo Stock Exchange.
Under the Coca-Cola brand, the Company and its subsidiaries (collectively, the "Group") engage in purchases, sales, bottling,
packaging, distribution and marketing of carbonated beverages, coffee beverages, tea-based beverages, mineral water and othersoft drinks in Japan.
The Group’s consolidated financial statements consist of the Company, subsidiaries and associates. The consolidated
financial statements were approved by our Representative Director & President, Calin Dragan and our Representative Director,
Vice President and Chief Financial Officer (Treasurer), Bjorn Ivar Ulgenes on May 14, 2021 and takes into account events after
the reporting period to that date (see notes 13, "events after the reporting period").
2. Basis of preparation
The Company’s condensed quarterly consolidated financial statements have been prepared in accordance with International
Accounting Standards Article 34 "Interim Financial Reporting" based on the Ordinance on the Terminology, Forms, andPreparation Methods of Quarterly Consolidated Financial Statements (Cabinet Office Ordinance No. 64 of 2007).
Condensed quarterly consolidated financial statements should be used in conjunction with consolidated financial statements
for the prior year as they do not include all the information required in the annual consolidated financial statements.
Condensed quarterly consolidated financial statements have been prepared on the basis of cost except for measurement at fairvalue.
Condensed quarterly consolidated financial statements are stated in Japanese yen. All condensed quarterly consolidated
financial information is rounded to the nearest million yen unless otherwise stated.
3. Significant accounting policies
The significant accounting policies applied by the Group in the condensed quarterly consolidated financial statements are thesame as the accounting policies applied in the consolidated financial statements for the prior year.
Income tax benefit for the Three months ended March 31,2021, has been calculated on the basis of the annual estimatedeffective tax rate.
4. Critical accounting judgments, estimates and assumptions
In preparing the condensed quarterly consolidated financial statements in accordance with IFRS, management is required tomake judgments, estimates and assumptions that affect the application of the Group’s accounting policies and the reported
amounts of assets, liabilities, revenue and expenses. Actual results may differ from these estimates. The estimates and theassumptions underlying the estimates are continually reviewed and are based on historical experience and other factors,
including future events, which are believed to be reasonable under the circumstances. Accounting estimates are based on themost appropriate information at the time the condensed quarterly consolidated financial statements are filed. As a result of there-emergence of the new coronavirus infection, a second state of emergency was declared in January 2021, and the continuing
impact of this is expected to be inevitable, and the situation is expected to remain uncertain. Since it is difficult to reasonably
estimate the specific impact of the situation, including the timing of convergence and the extent of the impact, the Company has
made accounting estimates based on the assumption that the impact will continue for a certain period of time during the fiscal
year ending December 31, 2021.
If there are changes to any future estimates, the impact of the revision is recognized in the condensed quarterly consolidated
statements of income and condensed quarterly consolidated statements of comprehensive income subsequent to the reporting
period in which they are revised.
Accounting judgments, estimates and assumptions that have a significant impact on the condensed quarterly consolidated
financial statements will be revised based on the same concept as in the consolidated financial statements for the previous
consolidated fiscal year.

－19－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

5. Segment Information
From the current fiscal year, the Group has changed to a single segment of "Beverages". As the Group operates a single
segment of beverage business, explanation by reportable segment is omitted. This is because the healthcare and skincare
business was classified as a discontinued operation following the conclusion of an agreement to transfer all shares in Q'sai to QPartners Co., Ltd. on December 15, 2020. The transfer of all shares in Q’sai was completed on February 1, 2021.
6. Other current assets
Other current assets for the first quarter of the current fiscal year include 3,246 million yen of income taxes receivable
related to withholding taxes on dividends from subsidiaries and 2,549 million yen of consumption taxes receivable related tocapital investments.

－20－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

7. Disposal groups classified as held for sale and discontinued operations
On December 15, 2020, the Company’s Board of Directors resolved to sell all of the shares of the Company’s consolidated
subsidiary, Q’sai Co., Ltd. (“Q’sai”) to Q-Partners Co., Ltd., a company formed for this purchase led by investment funds inwhich Advantage Partners Inc. provides services (“Advantage Partners”), euglena Co., Ltd., and Tokyo Century Corporation.
As a result of executing the share transfer agreement, Q’sai was classified as discontinued operations from the fiscal year
ended December 31, 2020. The transfer of all shares in Q’sai was completed on February 1 2021.
(1) Disposal groups classified as held for sale
The breakdown of disposal groups classified as held for sale is as follows:
As for the disposal group classified as held for sale, the transfer of all shares was completed during the first quarterof the current fiscal year.
(Millions of yen)

As ofDecember 31, 2020
AssetsCurrent assets
Cash and cash equivalents
Trade and other receivables
Inventories
Other financial assets
Other current assets
Total current assets

11,599
1,308
2,031
3
61
15,001

Non-current assets
Property, plant and equipment
Right-of-use assets
Goodwill
Intangible assets
Other financial assets
Deferred tax assets
Other non-current assets
Total non-current assets

2,931
1,197
27,021
778
322
880
6
33,137
48,138

Total assets
Liabilities
Current liabilities
Trade and other payables
Lease liabilities
Income taxes payable
Other current liabilities
Total current liabilities

2,940
155
610
1,886
5,591

Non-current liabilities
Lease liabilities
Net defined benefit liabilities
Other non-current liabilities

1,088
366
148
1,602

Total non-current liabilities
Total liabilities

7,193

－21－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

(2) Gain from discontinued operations
The results of discontinued operations are as follows:
In the first quarter of the current fiscal year, the gain on the sale of all shares of Q’sai was 12,841 million yen, and theincome tax expense related to this was 337 million yen. Due to immateriality, no gains or losses other than those fromsales transactions related to discontinued operations were recognized in the current fiscal year.
(Millions of yen)Three months ended
March 31, 2020
Discontinued operations
Revenue
Cost of sales

Three months ended
March 31, 2021

5,687
1,156

－
－

Gross profit

4,530

－

Selling and general administrative expenses
Other income
Other expenses

3,983
6
7

－
12,841

Operating income

547

12,841

Financial revenue
Finance costs

0
3

－
－

544
215

12,841337

330

12,505

Income for the period before income taxes
Income tax expense
Net income for the period from discontinuing
operations－(3) Cash flows of discontinued operations
The results of discontinued operations are as follows:(Millions of yen)Three months ended
March 31, 2020Three months ended
March 31, 2021
835
(142)
(49)

Cash flows from operating activities
Cash flows from investing activities
Cash flows from financing activities－
34,490－(Note) Cash flows from investing activities in the first quarter of the current fiscal year was due to the proceeds from the saleof all shares of Q’sai.

－22－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

(4) The component of assets and liabilities as of the date of loss of control(Millions of yen)
Date of loss of control
February 1,2021
AssetsCurrent assets

6,501

Non-current assets

33,137

Total assets

39,638

Liabilities
Current liabilities

12,991

Non-current liabilities

1,602

Total liabilities

14,593Note 1. Current assets include cash and cash equivalents.
2. Current liabilities include short-term loans payable of 7,400 million yen from the Company. This loan was repaid infull during the first quarter of the current fiscal year.
(5) Change in cash and cash equivalents relation to loss of control(Millions of yen)
As ofMarch 31,2021
Proceeds received for sales

37,590Cash and cash equivalents received for sales

37,590Cash and cash equivalents held at the time of loss of control

3,099

Increase from loss of control over subsidiaries

34,490－23－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

8. Dividends
Dividends payments were as follows:First three -month of the prior year (January 1, 2020 – March 31, 2020)
Type of shares

Total amount ofdividends paid
(Millions of yen)

Dividends per
share
(Yen)

Dividend record date

Effective dateOrdinary share

4,484

25

December 31, 2019

March 27, 2020

Resolution
March 26, 2020
Ordinary General Meetingof Shareholders

First three-month of the current year (January 1, 2021 – March 31,2021)
Resolution

Type of shares

Total amount ofdividends paid
(Millions of yen)

Dividends per share(Yen)

Dividend record date

Effective dateOrdinary share

4,484

25

December 31, 2020

March 26, 2021

March 25, 2021
Ordinary General Meetingof Shareholders

9. Revenue
The Group's organizational structure is based on the one business segment of the Beverage business. The business iscomponents for which discrete financial information is available, and whose operating results are regularly reviewed by theentity’s chief operating decision maker to make decisions about resources to be allocated to the segment and assess its
performance. Therefore, the revenue in beverage business is presented as “Revenue” in the consolidated financial statementof profit or loss. In the Beverage business, the Group purchases, manufactures, and sells carbonated beverages such as CocaCola, coffee beverages, black tea beverages, mineral water and other beverages in Japan.
Revenue for sales of these products is recognized primarily at the time of delivery as customer has obtained control overthe products and the performance obligation is satisfied.
Payments relating to such performance obligation are received generally within two months of delivery. The contracts
with customer do not include any material financial elements.
The contract liabilities, refund liabilities, amount of assets recognized from the costs of obtaining a contract or to fulfil acontract and amount of revenue recognized from performance obligation satisfied in prior periods were immaterial. In
addition, information regarding the remaining performance obligation is omitted as there are no significant transactions inwhich the estimated individual contract periods exceed one year in the Group.
(Millions of yen)Three months ended
March 31, 2020Three months ended
March 31, 2021

192,812217

168,286
113

193,029

168,399

Beverage
Other
Total

－24－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

10. Other income and other expenses
Other expenses (non-recurring) for the first quarter of the Previous year include special retirement allowances, outplacement
support service of 746 million yen and business structure improvement expenses of 331 million yen. Business structure
improvement expenses are costs associated with the efforts of creating an efficient new system with the aim of creating morevalue and further improving productivity for the sustainable growth of the Group.
The breakdown of other income and other expenses are as follows:(Millions of yen)Three months ended
March 31, 2020Three months ended
March 31,2021

Other income
Gains on sales of property, plant and equipment

4

1

Rent income

88

79

Government subsidies (Note 1)

－

990

Other

130

120

Total

221

1,190

Impairment losses
Losses on sales and disposals of property, plantand equipment
Transformation related expenses (Note 2)

66

－

623

340

331

257

Special retirement allowance (Note 3)

746

185

Temporary paid leave expenses (Note 4)

－

3,736

System failure-related costs (Note 5)

－

354

Other

50

56

1,816

4,928

Other expense

Total(Note) 1. Government subsidies are grants to cover employee’s temporary leave cost due to the spread of COVID-19 during the first
three -month of the current year.
2. Transformation expenses are expenses related to measures aimed at building an efficient new system with the aim of creating
more value and further improving productivity for the sustainable growth of the Group.
3. Special retirement allowances are allowances and outplacement support expenses incurred in the implementation of thevoluntary retirement program for the previous consolidated first quarter and the current consolidated First quarter.
4. Temporary paid leave expenses are the allowance associated with employee’s temporary leave to respond to the impact toour business by the economic contraction and to secure the safety and health of our employee following the second stateof emergency declaration due to the spread of COVID-19. The expenses are reclassified from cost of sales and selling andgeneral administrative expenses to other expenses, 165 million yen and 3,571 million yen, respectively.
5. System failure-related expenses are expenses incurred to recover the system failures that occurred in the core system usedby the Group during the first quarter of the current fiscal year.

－25－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

11. Fair value of financial instruments(a) Classification by level of the fair value hierarchy
Financial instruments measured at fair value on a recurring basis after initial recognition are classified into three levelsof the fair value hierarchy, depending on the observability and significance of the inputs used in the measurement.
The fair value hierarchy is defined as follows:
Level 1: fair value (unadjusted) in the active market of the same asset or liability
Level 2: fair value based on inputs other than quoted prices included in Level 1, either directly observable inputs orindirectly, of observable inputs for asset or liability
Level 3: fair value based on unobservable inputs for asset or liability
When more than one input is used to measure the fair value, the level of the fair value hierarchy is determined basedon the lowest level of input that is significant to the fair value measurement as a whole. Transfers between levels of thefair value hierarchy are recognized as having occurred at the beginning of each quarter.
There were no transfers between Level 1 and Level 2 during the First quarter of the prior year and First quarter of thecurrent year.
(b) Fair value measurement
Securities are classified as Level 1 of the fair value hierarchy by the measurement of share prices, if any, in active
market for the same asset or liability. If there is no active market stock price for the same asset or liability, the Group uses
valuation techniques such as stock prices in non-active markets, quoted market prices of similar companies anddiscounted future cash flow models. If significant inputs, such as quoted market prices and discount rates used inmeasurement are observable, such financial instruments are classified as Level 2, but are classified as Level 3 if inputs
used in its measurement include significant unobservable inputs.
Unlisted securities are classified into Level 3 of the fair value hierarchy using valuation techniques based on discounted
future cash flows, valuation techniques based on quoted market prices of similar companies, valuation techniques basedon net asset value, and other valuation techniques. In the fair value measurement of unlisted securities, the Group uses
unobservable inputs such as discount rates and valuation multiples and considers certain illiquidity discounts and noncontrolling interest discounts as needed. The measurement methods for such fair value are determined by the Financedivision in accordance with the Group’s accounting policies.
The valuation techniques and significant unobservable inputs used in Level 3 fair value measurement are as follows:
As of December 31, 2020
Type
Financial instrument measured atfair value through othercomprehensive income(Securities)

Valuation technique

Comparison ofsimilar companies

Significant unobservable inputs

Interactions between significant unobservable
inputs and fair value measurement

EBIT Multiple: 6.7-46.7 times

Estimated fair value increases (decreases)

EBITDA Multiple: 12.6times

when equity indices of comparable listed

PBR: 1.0-3.0 times

companies of the target are high (low)As of March 31,2021
Interactions between significant unobservable
inputs and fair value measurement

Type

Valuation techniqueSignificant unobservable inputs

Financial instrument measured atfair value through othercomprehensive income(Securities)

Comparison of

EBIT Multiple: 6.4－118.0 times

Estimated fair value increases (decreases)

similar

EBITDA Multiple: 8.8 times

when equity indices of comparable listedcompanies

PBR: 1.1－3.0 times

companies of the target are high (low)EBIT Multiple: Corporate Value/EBIT
EBITDA Multiple: Corporate Value/EBITDAPBR: Price Book Value Ratio－26－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

(c) Financial instrument measured fair value on a recurring basis
The breakdown of financial instrument measured at fair value on a recurring basis is as follows:
As of December 31, 2020
(Millions of yen)
Level 1

Level 2

Level 3

Total

Financial assets
Financial instrument measured at fair value
through profit or loss:
Derivative assets

－

654

－

654

－

654

－

654

15,337
－

－
－

4,561

19,898133

133

Subtotal

15,337－

4,694

20,031

Total

15,337654

4,694

20,685

－

1,013

－

1,013

－

1,013

－

1,013

Subtotal
Financial instrument measured at fair value
through other comprehensive income:Securities
Other

Financial liabilities
Financial instrument measured at fair value
through profit or loss:
Derivative liabilities
Total
As of March 31,2021(Millions of yen)
Level 1

Level 2

Level 3

Total

Financial assets
Financial instrument measured at fair value
through profit or loss:
－

2,174

－

2,174

－

2,174

－

2,174

14,641
－

－
－

5,259
138

19,900138

Subtotal

14,641－

5,396

20,038

Total

14,641

2,174

5,396

22,212

－

1

－

1

－

1

－

1

Derivative assets
Subtotal
Financial instrument measured at fair value
through other comprehensive income:Securities
Other

Financial liabilities
Financial instrument measured at fair value
through profit or loss:
Derivative liabilities
Total

－27－

This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

A reconciliation of the beginning and ending balances of financial instrument classified as Level 3 is as follows:(Millions of yen)
Financial assets measured at fair value through othercomprehensive income
Balance at January 1, 2020

5,392
－

Disposals
Gains recognized in other comprehensive income(468)

Balance at March 31, 2020

4,924

Balance at January 1, 2021
Disposals

4,694
(25)

Losses recognized in other comprehensive income

728

Balance at March 31,2021

5,396

Gains or losses recognized in other comprehensive income are recognized in "Net changes in financial asset
measured at fair value through other comprehensive income" in the consolidated statements of comprehensive income.
(d) Financial instrument measured at amortized cost
The components of carrying amount and fair value of financial instruments measured at amortized cost are as follows:
As of December 31, 2020
(Millions of yen)
Carrying amountLong-term loans payable and bonds

188,585

Fair value

Difference

188,075

510

As of March 31,2021(Millions of yen)
Carrying amountLong-term loans payable and bonds

188,085

Fair value
187,638

Difference447

Long-term loans payable and bonds include current portion. Cash and cash equivalents, trade and other receivables,
trade and other payables, and short-term loans payable are not included in the above table because their fair value
approximates their carrying amount because they are collected and settled in a short period of time.
The main valuation techniques used to measure fair value of the financial instruments in the table above are as follows:a. Loans payable
Loans payable with variable interest rates are calculated using the carrying amount as its fair value because interest
rates are considered to reflect market interest rates in the short term. Loans payable with fixed interest rates are calculated
based on the present value of future cash flows discounted using interest rates adjusted for the remaining term and credit
risk. Loans payable with fixed interest rates are classified into level 2 of the fair value hierarchy.
b. Bonds
For bonds with quoted market prices, the fair value is estimated based on quoted market prices. For bonds without
quoted market prices, the fair value is calculated based on the present value of future cash flows discounted using interest
rates adjusted for the remaining term and credit risk. Bonds with quoted market prices are classified into level 1 of thefair value hierarchy and bonds without quoted market prices are classified into level 2.

－28－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

12. Earnings per share
The calculation of basic earnings per share attributable to owners of the parent is based on the quarterly net income
attributable to owners of the parent and the weighted average number of common shares issued.
The basis for calculating the basic earnings per share for the First quarter of the current year and prior year is as follows:

Three months ended
March 31, 2020
Income (Loss) for the period attributable to owner ofThree months ended
March 31,2021(5,690)1,316

179,351

179,348

Continuing operations
Discontinuing operations(33.56)
1.83(62.39)69.72

Earnings (Loss) per share (yen)(31.73)

7.34

parent (millions of yen)
Weighted-average shares of ordinary share outstanding (inthousands)
Earnings (Loss) per share (yen)Note 1. In the first quarter of the current fiscal year, 392 thousand shares of stock-based compensation were excluded from thecalculation of "diluted earnings per share" because they were antidilutive.
2. For more information on the quarterly income from discontinued operations attributable to owners of the parent company, seeNote 7, " Disposal groups classified as held for sale and discontinued operations.
13. Events after the reporting period
Not applicable－29－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

2. Others
Not applicable－30－This is an English translation of the original Quarterly Report (“Shihanki Hokokusho”) ended March 31, 2021 pursuant to the Japanese Financial Instrument andExchange Law. In the event of any discrepancy between Shihanki Hokokusho and this English translation, Shihanki Hokokusho shall prevail.

Part II Information of guarantor companies of the filing company
Not applicable－31－