November 7, 2013

To whom it may concern:
TOHO HOLDINGS CO., LTD.
Norio Hamada, President and Representative Director(Tokyo Stock Exchange Securities Code: 8129)
Contact: Katsuya Kato
Director and General Manager ofCorporate Communications Officeand Corporate Planning Office(TEL: 03-5259－9520)

Results of Operations during the Second Quarter of Fiscal 2014
During the second quarter under review, the market for prescription pharmaceuticals followed a steady, albeit slow,
upward path racking up a 2.7% increase from the previous quarter (estimates by Crecon Research & Consulting Inc.)
supported by some positive factors including the progressive aging of the population and the sales of new drugs
despite the negative impact of the continuing drug cost cutting policy.
Under these circumstances, the TOHO Group, aiming to achieve the medium-term management plan “TotalCommitment to Good Health 14-16” announced in June this year, has been striving to strengthen ties with medical
institutions by boldly promoting proposal-based marketing and sales as is witnessed by the fact that thepharmaceutical wholesaling business has proposed new service menus taking advantage of the Company’s uniquecustomer support systems.
In addition, the Company has been tackling improvements in relation to distribution problems, including provisional
shipping with the pricing yet to be negotiated, total value transactions and the issue of the gap between the NHI priceand the market price. In the field of dispensing pharmacy operations, the Company has promoted the expansion ofoperations and the efficiency of management, as well as bringing higher added value to their businesses.
As a result, the Company’s operating results for the consolidated cumulative second quarter of the fiscal year ending
March 2014 recorded 579,175 million yen in net sales (an increase of 4.1% on a year-on-year basis), marking a rate ofachievement of 100.6% of the initial projection for the first-half, and operating income decreased by 10.3% on ayear-on-year basis to 5,298 million yen with a rate of achievement of 101.9% of the initial projection for the first-half,and ordinary income was 8,387 million yen, a decrease of 2.9% on a year-on-year basis, marking a rate ofachievement of 103.5% against the initial projection, and consolidated net income for the first half stood at 4,914
million yen, down by 4.5% from a year earlier, recording a rate of achievement of 104.6% against the initial projection.
Meanwhile, the “loss before deduction of temporary consumption tax payment (non-deductible consumption tax,etc.)” that had traditionally been booked under the classification of “non-operating expenses” has started to be posted
under a new accounting treatment employed from the first quarter of the consolidated fiscal year ending March 2014
as “selling, general and administrative (SG&A) expenses.” For the purpose of year-on-year comparison, thecomparative figure of the previous year has been re-calculated based on the new accounting treatment.

1. Results in the second quarter of fiscal 2014 (Consolidated)(1) Comparison with the same period in the previous fiscal year
Unit: million yen, %Consolidated

Net Sales

Operating

Ordinary

Quarterly net

IncomeIncomeIncomeFirst Half, Fiscal 2014

579,175

5,298

8,387

4,914

First Half, Fiscal 2013

556,184

5,907

8,640

5,145

YoY Change

22,990-609-252-230

YoY Change Ratio (%)

104.1

89.7

97.1

95.5

(2)Comparison with the forecast for the first half of fiscal 2014
Unit: million yen, %Ordinary
Quarterly net
IncomeIncome8,387
4,914

First Half, Fiscal 2014

579,175

Operating
Income5,298

Forecasts for the First Half,

576,000

5,200

8,100

4,700

Fiscal 2014
Achievement rate compared tothe forecasts (%)

100.6

101.9

103.5

104.6

Consolidated

Net Sales(3) Comparison with the forecast for full fiscal 2013
Unit: million yen, %Ordinary
Quarterly net
IncomeIncome8,387
4,914

First Half, Fiscal 2014

579,175

Operating
Income5,298

Forecast for the Fiscal 2014
Percentage against the Full-year
Earnings Forecasts (%)

1,181,000

14,70020,40011,600

49.0

36.0

41.1

42.4

Consolidated

Net Sales

2. Forecast for fiscal 2014 (Full-year)
There has been no change in our forecast for fiscal 2014 performance from the figures announced on May 10, 2013.

2