Group Management Philosophy

MissionWhat we are trying to achieve
Serenity and well-being, inspiration and dreams — by delivering these to our customers,
we will create satisfaction and make a positive contribution to society.

Group Management Philosophy

ValuesWhat is important to us

Customers Come First
Everything we do is for the customer. That’s where it all starts.

Group Management Philosophy

Integrity
Build trust by always acting with integrity.

Group Management Philosophy

Foresight & Creativity
With our progressive spirit and flexible thinking, we can create a new sense of value.

Group Management Philosophy

Respect for People
Each of our employees is an invaluable resource.

Business Model

Pursuing Business Synergies, Aiming for GrowthWith the Urban Transportation Business and the Real Estate

generate stable cash flows, accounting for approximately 60% ofBusiness as its mainstays, the Hankyu Hanshin Holdings Grouprevenues from operations and 80% of operating income. A com-realises synergies by developing businesses that have strong

paratively stable contribution to revenues from operations andlinks with railways and real estate development. These include theoperating income from the Entertainment and Communications

Entertainment and Communications Business, the Travel Business,

Business is a feature of the profit structure of the Group that dif-the International Transportation Business, and the Hotels Business.

ferentiates it from other companies in the same business.

The Urban Transportation Business and the Real Estate Business©Takarazuka Revue Company

Coordinating the Group’s trains, buses, andtaxis to form a major network that provides
diverse urban transportation services in the
Kansai area

Urban
Transportation

Real Estate

Advancing businesses with high brand value,
including the Hanshin Tigers and the Hanshin
Koshien Stadium and the Takarazuka Revue

Offering high-quality global logistics services
mainly through Hankyu Hanshin Express

Entertainment andCommunications

TravelInternational
Transportation

HotelsHankyu Travel
International

Hankyu Hanshin
Express

Hankyu Hanshin
HotelsHankyu Corporation
Hanshin Electric Railway

Developing and managing housing, commercial facilities, and offices primarily in areas
served by our lines

Promoting sales of a rich lineup of travel packages under the mainstay Trapics brand throughvarious media, including newspapers, member
magazines, and the Internet

Revenues from operations breakdown

Operating one of Japan’s major hotel groups
through the Hankyu-Hanshin-Daiichi HotelGroup and managing The Ritz-Carlton, Osaka

Operating income breakdown
Hotels 1.3%

Hotels 8.7%

Other 5.7%

Urban Transportation

32.0

International Transportation

%

5.4%

International Transportation

3.1%

Other 1.1%

Travel 1.3%
Entertainment andCommunications

Urban Transportation

15.4%

Travel 4.4%¥

685.9 billion¥

Real Estate

94.0 billion

39.6

%

28.3

%

Entertainment andCommunications

15.5%
Note: For detailed figures, please see page 8.

Real Estate

Approx. 60%

Approx. 80%

38.2

%

Business Model

From the Enhancement of Line-Side Area Value to Corporate Value Creation
While railway operations remained the core business, the Hankyu

developing housing but also by establishing a baseball stadium,

Hanshin Holdings Group began developing line-side areas soon

theatres, and other entertainment facilities and such commercial

after its establishment. In other words, we have pursued a busi-

facilities as office buildings and shopping centres.

ness model that promotes population growth in line-side areas
to increase passengers using our railway services. We have heightened the appeal of the areas our lines serve not only by

Developing housing
in areas served by our lines

Operating entertainment facilities
in areas served by our lines

Operating hotels
in areas served by our lines
and in major cities nationwide

Developing housing
in areas served by our lines

Operating entertainment facilities
in areas served by our lines

Developing office buildings
and commercial facilities in areas
surrounding railway terminals

Thanks to continuous efforts to heighten their value, areas

Furthermore, high population densities give us opportunities

served by Hankyu and Hanshin lines are some of the mostto bolster cash flows and foster new growth drivers. For exam-sought after residential zones in the Kansai area. Their higher-ple, they enable us to attract customers to entertainment

than-average population densities testify to this popularity.

facilities and commercial facilities in line-side areas and pro-

Because they increase passengers, higher population ­densities

vide everyday services to line-side area residents to diversify

underpin railway transportation efficiency and cash flow stability.

our earnings sources.

At a Glance

Major Operating Companies

Urban Transportation

Fiscal 2015 Results¥

Operating Income¥

Segment Assets

¥

778.6

billion (YoY +1.9%)

Revenues fromOperations

¥

206.4

billion (YoY −1.0%)

Operating Income¥

Segment Assets

¥

993.3

billion (YoY −1.6%)

Revenues fromOperations

¥

112.6

billion (YoY +2.1%)

Operating Income¥

Segment Assets¥

Revenues fromOperations¥

Operating Income¥

Segment Assets

¥

68.0

billion (YoY −8.6%)

Revenues fromOperations

¥

39.4

billion (YoY +4.6%)

Operating Income¥

Segment Assets

¥

45.8

billion (YoY +15.2%)

Revenues fromOperations

¥

63.0

billion (YoY −1.0%)

Operating Income¥

Segment Assets¥

Hankyu Corporation

阪神電気鉄道Hanshin Electric Railway

Real EstateEntertainment andCommunications© Hanshin Tigers

TravelHankyu Travel International

International
Transportation
Hankyu Hanshin Express

Hotels233.4

Revenues fromOperations

Hankyu Hanshin Hotels

38.6

37.2

15.0

billion (YoY +0.2%)

billion (YoY −2.2%)

billion (YoY +5.8%)

143.2
32.0
1.2

3.1

1.2

billion (YoY −0.5%)

billion (YoY +0.3%)

billion (YoY −3.2%)

billion (YoY +0.2%)

billion (YoY +48.8%)

billion (YoY +50.2%)

82.2

billion (YoY −4.1%)

At a Glance% of Revenues from Operations,Operating Income, and Segment Assets

32.0

39.6

36.1

Nature of BusinessThis segment comprises railway operations (with Hankyu Corporation operating the Kobe,
Takarazuka and Kyoto lines out of Osaka-Umeda and Hanshin Electric Railway lines directly
linking Kobe with Osaka’s major northern and southern terminals, Osaka-Umeda and Namba).
Together, the Hankyu and Hanshin network, combined with other lines, and bus, taxi and otherurban transportation services, form a single large-scale network in the Kansai area, centred on
the cities of Kyoto, Osaka and Kobe.
Total length of lines operated:
Hankyu Corporation: 143.6 km Hanshin Electric Railway: 48.9 km(Including tier 2 railway operator)

The Real Estate segment derives its core revenue from leasing and management of commercial facilities and office buildings and its condominium business. Its attractive business portfolio includes rental properties located mainly in the Umeda area and along the Group’s rail lines,
such as Umeda Hankyu Building, Hankyu Sanban Gai Shopping Centre, HERBIS OSAKA, HERBIS
ENT, GRAND FRONT OSAKA, Hankyu Nishinomiya Gardens and the highly regarded Geo condominium brand in the Kansai area and Tokyo metropolitan area.

28.3
46.1
38.2

This segment offers a wide variety of live entertainment, centred on the sports business—thenationally popular and famous Hanshin Tigers professional baseball team and their homeground and high-school baseball mecca, Hanshin Koshien Stadium—and the stage revue
business, based on the hugely popular Takarazuka Revue, which celebrated its 100th anniversary in 2014. In addition, this segment runs a wide range of businesses such as broadcast andcommunications business and the information services business.

Since its establishment in 1948, while meeting the diversified needs of customers throughalways taking their perspective, Hankyu Travel International has sold its products via various
media through its five brands. They are the Trapics brand that provides enhanced content at
a reasonable price, the “Crystal Heart” brand, the “Hanshin Aviation Friends’ Tour” brand forrelaxed travel, the “e-very” brand for self-planning travel, and the “Royal Collection” brand for
luxurious travel. It provides safe, comfortable travel for customers’ inspiration and dreams, ranging from package tours through to original plans for individual customers, travel to Japan, andbusiness travel services.

15.5

In 1948, as Japan’s first International Air Transport Association (IATA) certified freight agency,
Hankyu Hanshin Express (Hankyu Corporation at that time) began international airline freighttransportation operations. Since then, regardless of whether for imports or exports, it has been
providing fast and safe door-to-door international transportation services. As a pioneer in international logistics, it utilises the track record and experience it has cultivated in developing its
overseas business over many years and provides high-quality customised logistic services andsupport for its customers with optimised supply chain management.

4.4
15.4
5.4
6.7
8.7
3.2

5.7

1.3
3.1
1.3
1.1

2.1
3.8

The Hankyu-Hanshin-Daiichi Hotel Group operates 49 hotels, consisting of 17 that are directly
managed and 32 belonging to chains operated by franchises. It is one of Japan’s leading hotel
chains with 10,626 guest rooms (as of 1st April 2015). As a hotel operator with many directly
managed hotels in the Tokyo and Kansai areas, Japan’s two largest markets, it offers a wide
range of hotel formats, from general-purpose “city hotels” to new style hotels (with very limited
function facilities). In addition to chain operations, it also manages The Ritz-Carlton, Osaka, avenerable international luxury brand with which it has formed an alliance.

2.0

Figures for % of revenues from operations and operating income are calculated based on the simple aggregate amount (including intersegment transactions) of eachsegment. Revenues from operations and operating income in other businesses accounted for 5.7% and 1.1%, respectively.

Location of Our Business BaseThe Hankyu Hanshin Holdings Group’s business base is theKansai area, which has a population of approximately 20 million.
This is second only to the Kanto area, centred on Tokyo. Further,
the Kansai area is one of Asia’s economic powerhouses. According
to a Cabinet Office survey,* in the fiscal year ended March 2013,
the Kansai area’s gross production reached US$936.5 billion,
surpassing that of Indonesia.
* Cabinet Office, Report on Prefectural Accounts for the Fiscal Year Ended March 2013

Hanshin area
Questionnaires about where local people
would prefer to live rank it as one of themost popular residential areas.

Tokyo

Tanigami

Kyoto
Kyoto
City

Hyogo

Shiga

Kobe City
Osaka City
Osaka

■ Areas of high population
densities

Kobe Rapid Transit
Railway Line

Shin-Kobe

Kobe
Sannomiya
Minatogawa
Shinkaichi

Nara

o

k
yu
nK
shi Lineku
Ho ilwayRa

Hankyu Kobe Line

Motomachi

NishidaiWakayama

Osaka BayThe Group’s railway network links the Kansai area’s major cities:
Osaka-Umeda, Kobe, and Kyoto. By heightening customer satisfaction and transportation efficiency simultaneously, we haveestablished an unshakable presence in the Kansai area.
Since the earliest days of its railway operations, the Grouphas developed housing, entertainment facilities, and commercial
facilities in the areas served by its lines. Furthermore, thanks toefforts to attract universities, almost 50 universities and colleges
are located in the areas served by our lines. Easy access to the

Kansai International Airport
The largest airport in western Japan, this is
the Kansai area’s gateway to the world.

Kansai area’s major cities and plentiful infrastructure for everyday
life make our line-side areas some of the most popular places tolive in the region. Consequently, in the Kansai area, high population densities differentiate these areas.
Kansai International Airport

N

Kyoto
Prefecture

Arashiyama
Kawaramachi

Hankyu Arashiyama Line Katsura

Kyoto

Kyoto
Japan’s iconic tourism destination, Kyoto
welcomes 50 million visitors from other partsof Japan and from overseas every year.
Nissei-chuo

Myokenguchi

Hankyu Kyoto Line

Osaka Prefecture

Nosé Electric
Railway Line

Hyogo
Prefecture

Hankyu Mino-o Line
Mino-oKawanishi-noseguchi
Kita-senri
Osaka Ishibashi
International
AirportHankyuTakarazuka
Line

KoyoenansenHankyu
Senri
Line

ink

Hankyu Itami
Itami Line

HankyuKoyo Line

Senri-chuo

Kita-Osaka Kyuko

HankyuImazu LineSh

Takarazuka

Esaka
ShukugawaNishinomiyakitaguchi

Tsukaguchi
ShinOsaka

Imazu
Imazu

Mukogawa

Daimotsu

Juso

Awaji

Tenjimbashisuji
6-chomeAmagasaki

Umeda

Kintetsu-Nara

Mukogawadanchimae

SubwaySakaisuji Line

Hanshin Main Line
Hanshin Mukogawa Line
Hanshin Namba Line

Osaka-Namba

Nara Prefecture

Kintetsu Nara LineUmeda
The Group’s most important base, theUmeda area, is the Kansai economic bloc’s
hub and one of Japan’s world-famous
shopping and entertainment districts.

Average number of passengers per day using stations ofprivate railway operators (non-JR) in fiscal 2015
(Thousand people)

1,109

Tokyu Shibuya Station
735

Keio Shinjuku Station

Hankyu Railway Network 143.6 km
Kobe Line

46.9 km		(Kobe Line, Imazu Line, Itami Line, Koyo Line)		(Takarazuka Line, Mino-o Line)		(Kyoto Line, Senri Line, Arashiyama Line)

Takarazuka Line
Kyoto Line
Kobe Rapid Transit Railway Line

28.5 km
65.4 km
2.8 km541

Hankyu Umeda Station
Odakyu Shinjuku Station

488

Seibu Ikebukuro Station

479

Hanshin Umeda Station

5 km

162

Source: Prepared by the Group based on documents
released by respective companies

Hanshin Electric Railway Network 48.9 km
Hanshin Line				

43.9 km(Hanshin Main Line, Hanshin Namba Line,
Mukogawa Line)
Kobe Rapid Transit Railway Line

5.0 kmBusiness Environment

Population of areas served by Hankyu and Hanshin Lines (1991 = 100)

Due to aging of society, the Kansai area’s overall
population is declining gradually. Meanwhile,
the population is comparatively large in areas
served by Hankyu and Hanshin lines, a testament to convenience and brand popularity.
In these areas, the population has been trending upward since bottoming in 1996, the year
after the Great Hanshin (Kobe) Earthquake.

106

103

100

97

91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14(CY)

Note: S ee the contents page for the definition of
the areas served by Hankyu and Hanshinlines.

Areas served by Hankyu and Hanshin lines
Kansai area
Sources: Prepared by the Company based on data from “Local Economy Directory,” published by Toyo Keizai, Inc.
and “Basic Resident Register,” published by the Ministry of Internal Affairs and Communications.

Population by age group, along Hankyu and Hanshin Lines (Population Census of Japan)(Million people)

6

5.50
5.41
5.43
5.37
5.32
5.23
0.49
0.42
0.57
0.65
0.83
1.01

5.56
1.20

4

3.65

3.80

3.92

3.81

3.81

3.72

3.64

1.23

1.11

0.91

0.76

80

85

90

95

0.72
00

0.72
05

0.72
10

2

0

According to the official Population Census
of Japan, although the population aged
below 15 remains stable, the population
aged between 15 and 64 is declining. The
latter group is the working-age population—
the main purchasers of commuter passes.
Note: Tallies do not add up to the total at the top
for each year as the age group is not known
in many cases. Unknowns account for thedifference.

(CY)

Young
Working age
Elderly
Source: P repared by the Company based on data from “2010 Population Census of Japan,” published by the
Ministry of Internal Affairs and Communications.

Average vacancy rates at office buildings

Favourable corporate results are fuellingdemand for office expansion and the integration of previously discrete offices. While vacancy
rates in Umeda spiked in fiscal 2014 due tothe April 2013 opening of the GRAND FRONTOSAKA Office Tower building, they have been
improving significantly since fiscal 2015.

(%)

15

10

5

0

06

07

08

09

Osaka business areas (all)Umeda area
Source: Miki Shoji. “Office Data.”

10

11

12

13

14

15

Tokyo business areas (all)(Comparison of average rents in April of respective years)

Average rents at office buildings

Solid demand for offices is slowing thedecline in office rents. However, a full-fledged
recovery in rents will require a marked reduction in office vacancy rates.

(¥/3.3 m2)

25,00020,00015,00010,000
5,000
0

06

07

08

09

Osaka business areas (all)Umeda area
Source: Miki Shoji. “Office Data.”

10

11

12

13

14

15

Tokyo business areas (all)(Comparison of average rents in April of respective years)

Business Environment

New supply of condominiums

In 2014, the new supply of condominiums
decreased year on year due to rush demandin 2013 prior to the consumption tax increasein April 2014. The number of condominiums
sold was particularly low in suburban areas.
In the Tokyo metropolitan area and theKansai area, however, demand for condominiums in city centre areas is steady thanks tothe popularity of their convenience andvalue as assets.

(Unit)
100,000

84,14880,00074,46361,02160,00040,00056,47843,73333,064 30,146

30,21920,00036,37644,535 44,499 45,602

44,91322,744 19,784 21,716 20,219 23,266 24,691 18,814

0

05

06

07

08

09

10

11

12

13

14 (CY)Tokyo metropolitan area
Kansai area
Source: Real Estate Economic Institute Co., Ltd. “National Condominium Market Trends.”

Condominium prices (Tokyo metropolitan and Kansai areas)(¥ million)

80(¥ thousand/m2)
800

60

600

40

400

20

200

Due to steady demand, condominium prices
have been stable. However, they are trending
upward as a result of rising construction costs
accompanying higher material prices and alabour shortage in the construction industry.

0

0

05

06

07

08

09

10

11

12

13

14 (CY)Tokyo metropolitan area (average)
Kansai area (average)
Tokyo metropolitan area (right axis)
Kansai area (right axis)
Source: Real Estate Economic Institute Co., Ltd. “National Condominium Market Trends.”

Consolidated air cargo originating in Japan(Thousand ton)

2,000

1,500

1,305

1,308

1,323

1,000

983

934

09

10

1,076

996

856

862

13

14

996

500

International airfreight originating in Japan istrending upwards, reflecting export industries’ favourable performances as the yen
depreciates and Japanese companies’ business expansion overseas. Over the medium
term, international air transportation demandis expected to grow centred on Asia, which isseeing continued economic development.

0

06

07

08

11

12

15 (FY)

Source: Japan Aircargo Forwarders Association. “Airfreight Forwarding Results.”

Overseas visitors to Japan and Japanese travellers going overseas(Million people)

20

17.4

17.5

17.3

16.0

15

15.4

16.6

17.0

18.5

17.5

13.4

10

5

16.9

6.7

7.3

05

06

8.3

8.4

6.8

10.4

8.6

8.4
6.2

0

07

08

09

10

11

12

13

Overseas visitors to Japan
Japanese travellers going overseas
Source: Japan National Tourist Organization. “Visitors Arrivals, Japanese Overseas Travellers.”

14 (CY)

Since 2011, the number of overseas visitors
to Japan has been growing in step with yen
depreciation, the relaxation of requirements
for the issuance of tourist visas to individuals,
and a rise in the number of routes budget
airlines cover. In 2014, Japan welcomed morethan 13 million visitors, a record high. Given
that the government aims to increase this to
20 million by 2020, the number of overseas
visitors to Japan is likely to continue growing.

Core Business Highlights

Main Business Lines

Urban Transportation P.40

Railway operations:Hankyu Corporation, Hanshin Electric Railway, Nosé Electric Railway, Kita-Osaka Kyuko Railway, Hokushin Kyuko
Railway, Kobe Rapid Transit Railway

Automobile business (bus, taxi):
Hankyu Bus, Hanshin Bus, Hankyu Kanko Bus, Osaka Airport Transport, Hankyu Denen Bus, Hankyu Taxi, Hanshin Taxi

Retailing business:
Eki Retail Service Hankyu Hanshin, Hankyu Style Labels

Advertising business:
Hankyu Corporation, Hankyu Advertising Agency

Real Estate

P.44

Real estate leasing business:
Extensive property holdings, mainly in the Umeda area and along Hankyu and Hanshin lines (for details of major
properties, please see page 106)
Major companies: Hankyu Corporation, Hanshin Electric Railway, Hankyu Realty

Real estate sales and other business:
We market condominiums, residential land lots, and detached houses, mainly alongside the Hankyu and Hanshinlines in the Kansai area. In recent years we have also focused on the Tokyo metropolitan area. We are engaged inproperty management, building maintenance and other building operation and management services, as well as
real estate fund management, including private placement funds, and J-REIT businesses.
Major companies: Hankyu Corporation, Hanshin Electric Railway, Hankyu Realty, Hankyu Hanshin Building
Management, Hankyu REIT Asset Management

Entertainment andCommunications

P.48

Sports business:
Professional baseball business (the Hanshin Tigers) and management and operation of Hanshin Koshien Stadium,and related businesses; music business (Billboard Live)

Stage businesses:
Takarazuka Revue and related businesses, operation of Umeda Arts Theatre and promotion of stage productions

Communication and media businesses:
Information services business, broadcast and communications business

Leisure businesses:
Management of Mt. Rokko business©Takarazuka Revue Company

Travel

P.50

International
Transportation

P.52

Hotels

P.54

Travel Business:
Hankyu Travel International, Hankyu Hanshin Business Travel, Hankyu Travel Support

International Transportation Business:
Hankyu Hanshin Express, Hankyu Hanshin Logipartners, 19 overseas subsidiaries of Hankyu Hanshin Express

Principal directly operated hotels:
Hotel Hankyu International
Hotel new Hankyu Osaka
Dai-ichi Hotel Tokyo
The Ritz-Carlton, Osaka** The Ritz-Carlton, Osaka is operated by the Ritz-Carlton hotel chain under the management of Hanshin Hotel Systems.

Core Business Highlights

Revenues from Operations (¥ billion) (right axis)
and Operating Income (¥ billion)
60

40

300

249.3

234.6

233.4

37.2

38.5

38.6

238.3
34.7

20

2014

2015

2016 (FY)(Est.)

60

300

198.3

208.6

206.4

38.0

37.3

225.8
43.8

37.2

20

0

2013

2014

2015

110.4

112.6

14.2

15.0

2016 (FY)(Est.)

30

150

102.7
11.2

106.0
11.5

0

4

200

100

0

10

100

2015

2016 (FY)(Est.)

34.1

33.0

32.0

32.3

40
30
20

2

1.5

1.2

1.2

2013

2014

2015

2016 (FY)(Est.)

36.7

37.7

39.4

39.3

1

10

0

3.1
1.8

2.1

40
30

2.4

1

20
10

0

Although air freight exports have been declining in recent years due to the transfer ofmanufacturing overseas, worldwide logistics demand promises to grow steadily centred
on Asia. Further, as the manufacturing industry and other industries globalise their business activities, supply chains extending from raw material procurement through to thedelivery of products to consumers are becoming more complex, which is heightening
demand for forwarders able to provide comprehensive solutions.

0

2013

2014

2015

2016 (FY)(Est.)

64.7

63.7

63.0

64.9

2.0

80

1.2

1.0
0.5

External factors, including economic trends, currency fluctuations, social conditions,
earthquakes, and other natural disasters, affect the business conditions of the Travel
Business. Partly as a result of such factors, the number of Japanese overseas travellers has
been stagnant. Meanwhile, the number of overseas visitors to Japan has been risingsteadily due to such factors as yen depreciation and an increase in the number of flightsthat low cost carriers provide to the country.

0

3

1.5

According to the Ministry of Internal Affairs and Communications Statistics Bureau’s
Family Income and Expenditure Survey, recreational service expenditure of total households in 2014 decreased 4.1% year on year. This decline is attributable to an increase in
consumption tax. Nevertheless, demand for recreational services remains firm.

0

2014

2.5

2

In the Umeda area, the market for rentable office space has seen vacancy rates improve
gradually. They deteriorated temporarily due to a significant supply of new office floor
space following the opening of the Grand Front Osaka Office Tower building in April
2013. Subsequently, however, the number of contracts concluded picked up thanks totenants relocating from other areas and large-scale business relocations accompanying
the merging and consolidation of offices. As for the conditions in the housing market,
despite an upward trend in sales prices stemming from higher land prices and construction costs, sales have been steady in the Tokyo metropolitan area and the Kansai area. As
a result, the sales inventory is at a low level.

50

2013

3

4

In the Kansai area, the population has been declining in recent years as society ages. The
decrease is particularly pronounced in the group aged between 15 and 64. Consequently,
the Urban Transportation Business faces challenging business conditions. Areas servedby the Group’s railway lines, however, are comparatively popular. As a result, in theseareas the population has been trending upward since bottoming in 1996, the year after
the Great Hanshin (Kobe) Earthquake.

0

2013

20

200

100

0

40

Market Conditions

0.8
0.5

1.4

60
40
20

0

0

2013

2014

2015

2016 (FY)(Est.)

According to the “White Paper on Leisure 2015,” hotel revenues rose 11% year on year,
achieving double-digit growth for the second consecutive year. The main driver of thisgrowth has been a surge in the number of overseas visitors to Japan. A shortage ofaccommodation for the Tokyo Summer Olympic and Paralympic Games 2020 has led to
stepped-up building of new hotels and renovation of existing hotels. On the other hand,
there is concern that hotel operators’ expense burden could increase due to the enforcement of the amended Act for Promotion of Renovation for Earthquake-Resistant
Structures of Buildings, which makes checking the earthquake resistance of large facilities mandatory.

Major Rental Properties(As of 31st March 2015)

Property nameCompleted

Leasable area* (1,000 m2)

Umeda Hankyu Bldg.

2012

213

Department stores (Hankyu Department Store), Offices

Umeda Hanshin Daiichi Bldg. (HERBIS OSAKA)

1997

82

Hotels (The Ritz-Carlton, Osaka), Offices, Commercial facilities,
Multifunctional convention hall

Umeda Hanshin Daini Bldg. (HERBIS ENT)

2004

55

Offices, Commercial facilities, Theatre (Osaka Shiki Theatre)

Hankyu Chayamachi Bldg. (Applause Tower)

1992

52

Hotel (Hotel Hankyu International), Offices, Commercial facilities

Hankyu Sanban Gai Shopping Centre

1969

41

Commercial facilities

Hankyu Grand Bldg.

1977

36

Offices, Commercial facilities

GRAND FRONT OSAKA

2013

28

Offices, Commercial facilities, Knowledge Capital, Hotel(InterContinental Hotel Osaka)

Hankyu Terminal Bldg.

1972

27

Offices, Commercial facilities

Hankyu Five Bldg. (HEP FIVE)

1998

20

Commercial facilities

Navio Hankyu (HEP NAVIO)

1980

16

Commercial facilities

Kita Hankyu Bldg.

1971

13

Offices, Commercial facilities

NU chayamachi

2005

12

Commercial facilities

1992

32

Commercial facilities, Offices

2012

24

Offices, Hotel (REMM Shin-Osaka), Commercial facilities

2008

108

Commercial facilities, Department stores (Hankyu Department Store)

1974

38

Department stores (Takashimaya)

Use

Kita-ku, Osaka

Fukushima-ku, Osaka
Noda Hanshin Bldg. (WISTE)
Yodogawa-ku Osaka
Shin-Osaka Hankyu Bldg.
Nishinomiya City, Hyogo
Hankyu Nishinomiya Gardens
Shimogyo-ku, Kyoto
Hankyu Kawaramachi Bldg.
* Leasable area does not include areas for public use.

Major Group Companies(As of 31st March 2015)

Consolidated Subsidiaries● Urban Transportation
Name of company● Entertainment and Communications
Name of company

Railway operations

Hankyu Corporation
Hanshin Electric Railway Co., Ltd.
Nosé Electric Railway Co., Ltd.
Kita-Osaka Kyuko Railway Co., Ltd.
Hokushin Kyuko Railway Co., Ltd.
Kobe Rapid Transit Railway Co., Ltd.
Hankyu Hanshin Railway Technology Co., Ltd.
Hankyu Hanshin Electric System Co., Ltd.

SportsHanshin Electric Railway Co., Ltd.
Hanshin Tigers Baseball Club, Ltd.
Hanshin Contents Link Corporation
Wellness Hanshin Inc.

Stage

Hankyu Corporation
Takarazuka Creative Arts Co., Ltd.
Takarazuka Stage Co., Ltd.
Umeda Arts Theater Co., Ltd.

Hankyu Bus Co., Ltd.
Hanshin Bus Co., Ltd.
Hankyu Kanko Bus Co., Ltd.
Osaka Airport Transport Co., Ltd.
Hankyu Denen Bus Co., Ltd.
Hankyu Taxi Inc.
Hanshin Taxi Co., Ltd.
Hankyu Hanshin Motor Technology Co., Ltd.
Nippon Rent-A-Car Hankyu Inc.

Communication andmedia

Itec Hankyu Hanshin Co., Ltd.
Bay Communications Inc.
Himeji Cable Television Co., Ltd.

Leisure, etc.

Mt. Rokko Cable Car & Tourism Co.

Automobile

Retailing

Hankyu Corporation
Eki Retail Service Hankyu Hanshin Co., Ltd.
Iina Dining Co., Ltd.

Advertising

Hankyu Corporation
Hankyu Advertising Agency Inc.

Other

Alna Sharyo Co., Ltd.

● Travel
Name of company

Travel agency● International Transportation
Name of company

Internationaltransportation● Real Estate
Name of company

Real estate leasing

Real estate sales andother business

Hankyu Corporation
Hanshin Electric Railway Co., Ltd.
Hankyu Realty Co., Ltd.
Osaka Diamond Chikagai Co., Ltd.
Hanshin Real Estate Co., Ltd.
Hankyu Corporation
Hanshin Electric Railway Co., Ltd.
Hankyu Realty Co., Ltd.
Hankyu Hanshin Building Management Co., Ltd.
Hankyu Hanshin High Security Service Co., Ltd.
Hankyu Hanshin Clean Service Co., Ltd.
Hankyu REIT Asset Management, Inc.

Hankyu Travel International Co., Ltd.
Hankyu Hanshin Business Travel Co., Ltd.
Hankyu Travel Support Co., Ltd.

Hankyu Hanshin Express Co., Ltd.
Hankyu Hanshin Logipartners Co., Ltd.
HHE (USA) Inc.
HHE (Deutschland) GMBH
HHE (HK) Limited
HHE (SINGAPORE) PTE. Ltd.
HHE: HANKYU HANSHIN EXPRESS● HotelsName of company

Hotel management

Hankyu Hanshin Hotels Co., Ltd.
Hanshin Hotel Systems Co., Ltd.
Amanohashidate Hotel Co., Ltd.
Arima View Hotel Co., Ltd.
Hankyu Hanshin Restaurants Co., Ltd.

● OtherName of company

Construction

Hanshin Kensetsu Co., Ltd.
Chuo Densetsu Co., Ltd.

Group financeHankyu Hanshin Financial Support Co., Ltd.

Outsourcing services for Hankyu Hanshin Business Associate Co., Ltd.
personnel andaccounting services

Equity-method Affiliates
Main business

Name of company

Department store

H2O Retailing Corporation[Securities code: 8242]

Railway operations

Nishi-Osaka Railway Co., Ltd.
Kobe Electric Railway Co., Ltd.
[Securities code: 9046]

Real estate leasing

Tokyo Rakutenchi Co., Ltd.
[Securities code: 8842]

Motion picture business Toho Co., Ltd. [Securities code: 9602]
Commercial broadcasting Kansai Telecasting Corporation

Group History● Hankyu Holdings, Inc.

● Hanshin Electric Railway Co., Ltd.
1899

1907

Founding of Mino-Arima Electric Railway Company(predecessor of Hankyu Corporation) by Ichizo Kobayashi

1910

Opening of Takarazuka Line (Umeda–Takarazuka) and Mino-o Line
(Ishihashi–Mino-o)

1913

Formation of Takarazuka Girls’ Revue (later Takarazuka Revue
Company)

1924

Completion of Takarazuka Grand Theatre

1929

Opening of Hankyu Department Store,
Asia’s first railway terminal department
store

1948

Launch of services as Pan American Airways agent

1964

Opening of Hotel new Hankyu Osaka

1973

Opening of New Hankyu Umeda Station as one of largest private
railway terminals in JapanFounding of Settsu Electric Railway(renamed Hanshin Electric Railway Co., Ltd. in same year)
Beginning of operations linking Kobe
(Sannomiya) and outer Osaka(Deiribashi)

1905

1924

Opening of Koshien Stadium (later Hanshin Koshien Stadium)

1933

Opening of Hanshin Mart at Hanshin Umeda Station(later Hanshin Department Store)

1935

Establishment of Osaka Baseball Club
(Osaka Tigers, later Hanshin Tigers)

1948

Launch of airline agency business

1985

Hanshin Tigers win Japan Series for first time

Changing of company name from Keihanshin Kyuko Railway
Company to Hankyu Corporation
1995
2005

Considerable damage to transportation and business infrastructure of Hankyu and Hanshin due to Great Hanshin Earthquake
Establishment of Hankyu Holdings, Inc.

2006

Establishment of Hankyu Hanshin Holdings, Inc.
Establishment of Hankyu-Hanshin-Daiichi Hotel Group2007

Announcement of Hankyu Hanshin Holdings Group 2007 Medium-Term Management Plan
Management integration of Hankyu and Hanshin department store businesses

2008

Opening of Hankyu Nishinomiya Gardens

2010

Completion of renovation of Hanshin Koshien Stadium,
opening of Museum of Hanshin Koshien StadiumCompletion of Umeda Hankyu Building Office Tower
2012

Completion of Umeda Hankyu Building,full opening of Umeda Flagship Store of Umeda Department Store

2015

Announcement of the Hankyu Hanshin Holdings Group’s
Medium-Term Management Plan (Fiscal 2016–Fiscal 2019)

Investor Information(As of 31st March 2015)

Hankyu Hanshin Holdings, Inc.
Head Office:Paid-in Capital:¥99,474 million

1-16-1, Shibata, Kita-ku, Osaka 530-0012, Japan

Fiscal Year-End:

31st March

Phone: +81-6-6373-5001

Number of Employees:

21,037 (consolidated)

Authorised Shares:

3,200,000,000

Issued Shares:

1,271,406,928(Group Planning Div., IR Office)Fax: +81-6-6373-5042
Tokyo Office (Personnel and General Affairs Div.):

Number of Shareholders: 80,475

Toho Twin Tower Bldg.,

Unit of Trading:

1,000 shares

Stock Exchange Listing:Tokyo

Transfer Agent:

Mitsubishi UFJ Trust and Banking Corporation

1-5-2, Yurakucho, Chiyoda-ku, Tokyo 100-0006, Japan
Phone: +81-3-3503-1568
Fax: +81-3-3508-0249

Principal Shareholders:Ownership Breakdown:
Name

Number of shares(thousands)

Percentage(%)

54,33838,63329,023
21,90921,037

4.27
3.04
2.28
1.72
1.65

14,9201.17

13,982
13,972

1.10
1.10

13,936

1.10

13,886

1.09

Japan Trustee Services Bank, Ltd. (Trust account)
The Master Trust Bank of Japan, Ltd. (Trust account)
Nippon Life Insurance Company
Sumitomo Mitsui Banking Corporation
H2O Retailing Corporation
State Street Bank West Client–Treaty 505234 (Standing Proxy:
Mizuho Bank, Ltd. Settlement & Clearing Services Division)
Japan Trustee Services Bank, Ltd. (Trust account 1)
Japan Trustee Services Bank, Ltd. (Trust account 5)
CBNY–GOVERNMENT OF NORWAY(Standing Proxy: Citibank Japan Ltd.)
Japan Trustee Services Bank, Ltd. (Trust account 6)

Individuals and others
43.89 %

National government andlocal public organisations
0.00 %
Financial institutions
26.52 %

Securities
companies
1.20 %
Other
corporations
9.35 %

Foreigncorporations
and individuals
19.05 %

Stock Price Range and Trading Volume (Tokyo Stock Exchange):
Stock Price (¥)
800

Nikkei Average (¥)
20,000600

15,000Stock Price (left axis)
400

10,000

Nikkei Average (right axis)
200

5,000

200,000

100,000

0
Trading Volume 4(thousand shares)

5

6

7

8

9 10 11 12 1

2

3 4

5

6

7

8

9 10 11 12 1

2

3

4

5

6

7

8

9 10 11 12 1

FY2013

FY2014FY2015

High

588

648

800

Low

349

492

533

At year-end

569

562

743

2

3