SUMMARY OF CONSOLIDATED FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED NOVEMBER 30, 2015
[JAPAN GAAP]
January 7, 2016
Listed company name:
Listed exchange:
Securities code:
URL:
Representative:
Contact:

Kewpie Corporation
Tokyo Stock Exchange2809
http://www.kewpie.co.jp/english/
Minesaburo Miyake, President and Representative Director
Masato Shinohara,
Officer and General Manager of Operation Promote Department
Scheduled date for ordinary general meeting of shareholders: February 26, 2016
Scheduled date for dividend payment: February 5, 2016
Scheduled date for filing annual securities report: February 29, 2016
Supplementary data: Yes
Results briefing: Yes (for corporate investors and investment analysts)(Amounts are rounded down to the nearest million yen.)

1. Consolidated business results for the fiscal year ended November 30, 2015
(From December 1, 2014 to November 30, 2015)(Percentage figures show changes from the same period of the previous year.)(1) Consolidated operating results
Net sales
Fiscal year 2015
Fiscal year 2014

Operating income

Ordinary income

Net income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

578,192
553,404

4.5
4.3

26,441
24,3438.6
8.7

27,311
25,3687.7
6.8

17,031
13,36627.4
6.4(Note) Comprehensive income:Fiscal year 2015
Fiscal year 2014

Net income
per share¥26,261 million (Increase of 38.4%)¥18,968 million (Decrease of 1.5%)

Net income
per share - diluted
Yen

112.21
88.69

Fiscal year 2015
Fiscal year 2014

Return on equity

Yen

Ordinary income
to total assets%––

Operating income
to net sales

%

8.3
7.0

7.5
7.3

%

4.6
4.4

(Reference) Equity in earnings or losses of affiliates: Fiscal year 2015 ¥134 million
Fiscal year 2014 ¥(102) million(2) Consolidated financial position
Total assets
As of November 30, 2015
As of November 30, 2014
(Reference) Shareholders' equity:

Net assets

Equity ratio

Net assets per share

Millions of yen

Millions of yen%

Yen

372,419
356,994

245,929
220,39757.5
54.6

1,410.53
1,284.36

As of November 30, 2015
As of November 30, 2014

¥214,073 million¥195,051 million(3) Consolidated cash flows
Net cash provided by(used in) operating
activities
Millions of yen

Fiscal year 2015
Fiscal year 2014

28,09434,392

Net cash provided by(used in) investing
activities
Millions of yen(31,181)(30,847)

Net cash provided by
Cash and cash(used in) financing
equivalents at the end
activitiesof the fiscal year
Millions of yen(7,101)(3,149)Millions of yen

34,84144,788

2. Dividends
End of
1stquarter

Annual dividend per share
End of End of
Year2nd
3rd
endquarter quarter

Yen

Fiscal year 2014
Fiscal year 2015
Fiscal year 2016
(Forecast)

Yen

Yen

Total amountsof dividends

Total

Dividend
Dividend on
payout ratio
equity ratio(Consolidated) (Consolidated)

Yen

Yen

Millions of yen

%

%

–
–

11.50
12.50

–
–

11.50
16.50

23.00
29.00

3,468
4,401

25.9
25.8

1.8
2.2

–

15.00

–

15.00

30.00

30.4

(Note) The amount of year-end dividend for fiscal year 2015 is a forecast and it will be determined by the Board of Directors to beheld on January 25, 2016.
The year-end dividend for fiscal year 2015 includes a dividend of ¥1 to commemorate the 90th anniversary of launching
mayonnaise.

3. Forecasts of consolidated operating results for the fiscal year ending November 30, 2016
(From December 1, 2015 to November 30, 2016)(Percentage figures show changes from the same period of the previous year.)
Profit attributable toEarnings per
Ordinary income
owners of the parent
share-basic

Net sales
Six months ending
May 31, 2016
Year ending
November 30, 2016

Operating income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

283,000

0.0

11,700(12.7)

12,100(12.2)

5,700(41.7)

37.55

575,000(0.6)

28,0005.9

29,1006.6

15,000(11.9)

98.83(Reference) The Company has recorded sales promotion expenses and other costs that are paid to its business partners for the
purpose of promoting product sales as "Sales promotion expenses" under "Selling, general and administrative
expenses" mainly when the amount of payment is confirmed. However, beginning in fiscal year ending November 30,
2016, the Company plans to change to a method that involves deducting such amounts from net sales when sales arerecorded (net basis presentation). This change is reflected in the adjusted figures stated below. These adjusted figures
may vary because an audit has yet to be completed and because retrospective adjustment of the figures to accord with
the new accounting method applied in the fiscal year ending November 30, 2016 has not been completed.
Net sales
Millions of yen

Fiscal year 2015
(Adjusted)
Fiscal year 2016
(Year-on-year change)

Operating income%

552,000
23,000Millions of yen

Ordinary income%

26,441
4.2

1,559

Millions of yen

Net income%

27,311
5.9

1,789

Millions of yen%

17,031
6.6(2,031)(11.9)*Notes(1) Changes in significant subsidiaries during the period (Changes in specified subsidiaries resulting in thechange in the scope of consolidation): Yes
Newly consolidated: 1 company (Name: Nantong Kewpie Foods Co., Ltd.)(2) Changes in accounting policies and estimates, and restatementsa) Changes in accounting policies due to revision of accounting standards: Yesb) Changes in accounting policies due to reasons other than "a)" (above): Nonec) Changes in accounting estimates: Noned) Restatements: None
(Note)
From the beginning of the current fiscal year, the Company and its domestic consolidated subsidiaries haveapplied "Accounting Standard for Retirement Benefits" (ASBJ Statement No. 26 of May 17, 2012) and"Guidance on Accounting Standard for Retirement Benefits" (ASBJ Guidance No. 25 of March 26, 2015).
For more details on impact due to this change, please refer to "III. Consolidated financial statements: 5.
Notes regarding consolidated financial statements (Changes in accounting policies)" on page 14.
(3) Number of issued shares (common stock)a) Number of issued shares at the end of the period (including treasury stock):
November 30, 2015
153,000,000 shares
November 30, 2014
153,000,000 sharesb) Number of shares of treasury stock at the end of the period:
November 30, 2015
1,232,318 shares
November 30, 2014
1,132,849 sharesc) Average number of shares during the period:
December 1, 2014 to November 30, 2015
151,783,255 shares
December 1, 2013 to November 30, 2014
150,703,628 shares*Status of implementation of auditing proceduresThis summary of consolidated financial statements is outside the scope of the auditing procedures based on the Financial
Instruments and Exchange Act. As of the time of its disclosure, auditing procedures for consolidated financial statements
and non-consolidated financial statements based on the Financial Instruments and Exchange Act are still in process of being
implemented.

*Statement for an appropriate usage of the forecasts of operating results and other special notes
The forecasts and other forward looking statements contained in this summary are based on the information currently
available to the Company and certain assumptions considered reasonable by the Company. Therefore, they are notguaranteed to be achieved by the Company. As a result, the forecasts of operating results may differ significantly from theactual operating results due to various factors.

*Cash flow index
Equity ratio (%)
Equity ratio based on market value (%)
Interest-bearing debt to cash flows ratio (year)
Interest coverage ratio (times)

Fiscal year
2011

Fiscal year
2012

Fiscal year
2013

Fiscal year
2014

Fiscal year
2015

58.0
57.3
0.5
108.0

55.8
58.6
0.7
165.0

55.0
65.1
0.9
105.1

54.6
82.6
0.8
116.0

57.5
120.3
1.1
89.5

(Notes) Equity ratio = Shareholders' equity / Total assets
Equity ratio based on market value = Total market value of the stock / Total assets
Interest-bearing debt to cash flows ratio = Interest-bearing debt / Cash flows
Interest coverage ratio = Cash flows / Interest paid
* Each index is calculated based on consolidated financial figures.
* Total market value of the stock is calculated by multiplying the final market price by the number of issued shares at the endof fiscal year (excluding treasury stock).
* Interest-bearing debt includes all consolidated balance sheet-reported liabilities on which interest is paid.
* Cash flows and Interest paid are the same figures as found under "Net cash provided by (used in) operating activities" and"Interest paid" reported in the consolidated statements of cash flows, respectively.

Table of contents
Basic policy on earnings distributions, and dividends for the current and next fiscal years .............................. 2
Management policies ........................................................................................................................................ 2
1. Basic policies of Company management ................................................................................................... 2
2. Management index benchmarks ................................................................................................................ 2
3. Medium- to long-term business strategies of the Company, and challenges ahead................................... 3
III. Consolidated financial statements .................................................................................................................... 4
1. Consolidated Balance Sheets .................................................................................................................... 4
2. Consolidated Statements of Income
and Consolidated Statements of Comprehensive Income ......................................................................... 6(Consolidated Statements of Income) ........................................................................................................ 6(Consolidated Statements of Comprehensive Income) .............................................................................. 7
3. Consolidated Statements of Changes in Net Assets .................................................................................. 8
4. Consolidated Statements of Cash Flows ................................................................................................. 10
5. Notes regarding consolidated financial statements .................................................................................. 12(Notes regarding assumption of a going concern) ................................................................................... 12(Significant matters forming the basis for the preparation of consolidated financial statements) ............. 12(Changes in accounting policies) ............................................................................................................. 14(Business combination) ............................................................................................................................ 14(Segment information).............................................................................................................................. 18(Per share information) ............................................................................................................................ 22(Significant subsequent events) ............................................................................................................... 22
IV. Supplementary data ........................................................................................................................................ 23
l.
lI.

1

l. Basic policy on earnings distributions, and dividends for the current and next fiscal years
The Company maintains a basic policy of providing returns to its shareholders with top priority on dividend
payments, and accordingly aims to continue providing stable dividends while also reviewing options for
repurchasing and retiring treasury stock as necessary, giving consideration to factors such as stock price trends
and financial conditions.
As for internal reserves, the Company endeavors to adequately secure them to strengthen its financial positionand provide an adequate supply of funds for future expansion. The Company will take a medium- to long-term viewand continue to allocate funds to the improvement of its facilities and equipment, research and development, andthe further streamlining of operations in order to enhance its competitiveness.
With respect to determining amounts to be paid in dividends, up until the fiscal year ended November 30, 2015,
the Company targeted a consolidated dividend payout ratio of 25%, on the basis of a consolidated dividends onequity (DOE) ratio of at least 1.8%. However, beginning in the fiscal year ending November 30, 2016, the Company
will target a consolidated DOE ratio of 2.2%, on the basis of a consolidated dividend payout ratio of at least 30%.
<Standard for dividend decisions (effective from the fiscal year ending November 30, 2016)>
The Company will maintain a consolidated dividend payout ratio of at least 30% in principle,
and target a consolidated dividends on equity ratio of 2.2%.
The Articles of Incorporation of the Company stipulate that the Company can pay dividends from surplus twice ayear, comprising of interim and year-end dividends based on the resolution by the Board of Directors in accordancewith the provisions of Article 459, Paragraph 1 and Article 454, Paragraph 5 of the Companies Act.
For the fiscal year ended November 30, 2015, the Company intends to pay a year-end dividend of ¥16.50 per
share on the basis of the standard for decisions effective until the fiscal year ended November 30, 2015 (thisincludes a dividend of ¥1 to commemorate the 90th anniversary of launching mayonnaise). The annual dividends
will be ¥29 per share, which includes the interim dividend of ¥12.50 paid in August, an increase of ¥6 per share incomparison with the previous fiscal year.
Accordingly, the DOE and the dividend payout ratio both on a consolidated basis will amount to 2.2% and 25.8%,
respectively.
In regard to dividends for the fiscal year ending November 30, 2016, the Company intends to pay annual
dividends of ¥30 per share which includes an interim dividend of ¥15 per share and a year-end dividend of ¥15 pershare, an increase of ¥1 per share in comparison with the previous fiscal year. Accordingly, we project the dividend
payout ratio and DOE both on a consolidated basis of 30.4% and 2.2%, respectively.
The Company is a company subject to consolidated dividend regulations, meaning that it calculates the
distributable amount for dividends on a consolidated basis.

lI. Management policies
1. Basic policies of Company management
The Group's mission is to unceasingly contribute to better and healthier dietary lifestyles of people from around theworld premised on the notions of good taste, kindness and uniqueness, acting as a corporate group in the foodsector which forms an essential part of human existence.
We will remain committed to our insistence on the highest product quality, which has been the most fundamental
concern of the Group since its establishment. At the same time, every one of our executives and employees willremain continually aware of our aims that involve wholeheartedly providing selective products and services that
only the Kewpie Group can provide, and putting such aims into practice.
2. Management index benchmarks
The Group has drawn up a three-year Medium-term Business Plan which starts from the fiscal year ending
November 30, 2016. In its final year, the fiscal year ending November 30, 2018, the plan calls for us to achieve net
sales of ¥625.0 billion, operating income of ¥35.5 billion (operating income to net sales of 5.7%), ordinary incomeof ¥36.3 billion, profit attributable to owners of the parent of ¥20.2 billion, return on equity (ROE) of 8.5%, andreturn on assets (ROA) of 8.6%.
Targets for net sales and operating income in Japan and overseas for the fiscal year ending November 30, 2018
(Billions of yen)

In Japan

Overseas

Total

Net sales

560.5

64.5

625.0

Operating income

28.4

7.1

35.5

2

3. Medium- to long-term business strategies of the Company, and challenges ahead
The Medium-term Business Plan which begins from the fiscal year ending November 30, 2016, stipulates fourmanagement policies focused on making the most of our unique capabilities and leveraging our ability, with the aimof enabling the Group to achieve dramatic growth by pursuing new challenges. To that end, the four policies call for
us to strengthen our management base, enhance our cost competitiveness, create added value, and take onchallenges in new areas.
(i) Main strategies in Japan and overseas
In Japan
Overseas<Create added value><Enhance our cost competitiveness> <Penetrate KEWPIE brand>
Create value that captures needs
Streamline production, sales andMake proposals that capture
Utilize and develop sales channels
distribution
area-specific needs
Strengthen core product proposals
Technologically revolutionize product Expand new categories
manufacturing
Strengthen export expansion areas
Strengthen raw material buying
using strategic products
power(ii) Main strategies by business category
Business category
Main strategies• Create demand for mayonnaise and dressings through proposals for new salad styles
Condiments products• Expand the market for mayonnaise and dressings through proposals that capturearea-specific needs• Cultivate the food services market by making full use of a new factory in the Tokyo
Egg products
metropolitan area
• Pick up the pace of expansion into the household market• Achieve labor savings by adopting new technologies and enhance profitability byoverhauling its production structure
Delicatessen products• Continue expansions through newly developed sales channels and develop new sales
channels• Strengthen business fundamentals by revitalizing its mainstay products and shifting
more toward value-added products
Processed foods• Strengthen business foundations by optimizing its production structure and revamping
product categories• Improve costs by reconstructing the raw materials procurement system
Fine chemical products• Create new functions for hyaluronic acid and build a selling system overseas• Strengthen business foundations by using resources more efficiently and reorganizing
Distribution system
the networks of its distribution locations• Expand service areas through new expansion(Note)

Amounts shown in the text, tables and charts do not include consumption taxes.

3III. Consolidated financial statements
1. Consolidated Balance Sheets(Millions of yen)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Securities
Purchased goods and products
Work in process
Raw materials and supplies
Deferred tax assets
Other
Allowances for doubtful accounts
Total current assets
Fixed assets
Tangible fixed assets
Buildings and structures
Accumulated depreciation
Net book value
Machinery, equipment and vehicles
Accumulated depreciation
Net book value
Land
Lease assets
Accumulated depreciation
Net book value
Construction in progress
Other
Accumulated depreciation
Net book value
Total tangible fixed assets
Intangible fixed assets
Goodwill
Computer software
Other
Total intangible fixed assets
Investments and other assets
Investment securities
Long-term loans receivable
Assets for retirement benefits
Deferred tax assets
Other
Allowances for doubtful accounts
Total investments and other assets
Total fixed assets
Total assets

4

Previous fiscal year
(As of November 30, 2014)

Current fiscal year
(As of November 30, 2015)

34,81581,49810,00014,811
1,142
6,995
2,453
3,079
(203)
154,593

29,84478,151
5,000
17,178979
10,247
2,699
3,996
(176)
147,920

151,166(86,759)
64,406142,058(113,659)
28,39946,1097,573(3,256)
4,317
7,144
11,894(8,720)3,173
153,550

168,599(95,402)73,196
155,974(121,743)
34,23147,468
7,734(2,950)4,784
3,742
13,542(10,150)
3,392
166,815

183
2,456
748
3,388

1,785
3,176
697
5,659

26,568
501
8,207
1,853
8,872
(540)
45,462
202,401
356,994

28,547492
12,427
1,630
9,424
(499)
52,023
224,498
372,419

(Millions of yen)Previous fiscal year
(As of November 30, 2014)

Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term loans payable
Accounts payable - otherAccrued expenses
Accrued income taxes
Deferred tax liabilities
Reserves for sales rebates
Reserves for bonuses
Reserves for directors' bonuses
Other reserves
Other
Total current liabilities
Non-current liabilities
Bonds
Long-term loans payable
Lease obligations
Deferred tax liabilities
Liabilities for retirement benefits
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities
Net Assets
Shareholders' equity
Paid-in capital
Capital surplus
Earned surplus
Treasury stock
Total shareholders' equity
Accumulated other comprehensive income
Unrealized holding gains (losses) on securities
Unrealized gains (losses) on hedges
Foreign currency translation adjustments
Accumulated adjustments for retirement benefits
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets

5

Current fiscal year
(As of November 30, 2015)

53,775
7,859
25,294
9,826
5,278
22
934
1,054
112
28
1,910
106,097

45,192
9,096
19,153
10,938
3,960
1
821
1,541
169
89
2,094
93,06010,000
6,632
3,398
5,652
2,581
653
1,581
30,499136,596

10,000
6,343
3,727
7,956
3,075
748
1,578
33,429126,489

24,10430,309142,489(1,150)195,752

24,10430,302
155,557(1,416)
208,548

5,902
4(1,234)(5,373)(701)
25,346220,397356,994

9,330
(8)
(552)
(3,243)
5,525
31,856245,929
372,419

2. Consolidated Statements of Income and Consolidated Statements of Comprehensive Income(Consolidated Statements of Income)(Millions of yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Equity in earnings of affiliates
Other
Total non-operating income
Non-operating expenses
Interest expenses
Losses on valuation of derivatives
Foreign exchange losses
Equity in losses of affiliates
Other
Total non-operating expenses
Ordinary income
Extraordinary gains
Gains on change in equity
Gains on extinguishment of tie-in shares
Gains on step acquisitions
Subsidy income
Gains on sales of fixed assets
Gains on negative goodwill
Other
Total extraordinary gains
Extraordinary losses
Losses on disposal of fixed assets
Losses on impairment of fixed assets
Losses on liquidation of subsidiaries and affiliates
Losses on valuation of investments in capital of subsidiaries andaffiliates
Other
Total extraordinary losses
Income before income taxes and minority interests
Income taxes
Income taxes - deferred
Total income taxes
Income before minority interests
Minority interests
Net income

6

Previous fiscal year
(From December 1, 2013
to November 30, 2014)

Current fiscal year
(From December 1, 2014
to November 30, 2015)

553,404
419,042
134,362
110,018
24,343578,192
432,489
145,702
119,261
26,441

152
388
1,309
1,850

121
450
134
1,027
1,734

296
102
427
825
25,368

314
129
94
324
863
27,311

4
104
406
244
759

1,197
901
830
416
128
105
237
3,816

883
586
-

1,368
373
261

-

257

82
1,551
24,575
9,212
(82)
9,130
15,445
2,078
13,366204
2,465
28,663
8,860
1
8,862
19,8002,769
17,031

(Consolidated Statements of Comprehensive Income)(Millions of yen)

Income before minority interests
Other comprehensive income
Unrealized holding gains (losses) on securities
Unrealized gains (losses) on hedges
Foreign currency translation adjustments
Adjustments for retirement benefits
Share of other comprehensive income of affiliates
accounted for using equity method
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of theparentComprehensive income attributable to minority interests

7

Previous fiscal year
(From December 1, 2013
to November 30, 2014)

Current fiscal year
(From December 1, 2014
to November 30, 2015)

15,44519,800

1,224
6
2,289
-

3,552
(12)
683
2,237

2

-

3,522
18,9686,461
26,261

16,472

23,258

2,495

3,003

3. Consolidated Statements of Changes in Net Assets
Previous fiscal year (From December 1, 2013 to November 30, 2014)(Millions of yen)

Shareholders' equity

Balance at the beginning of
the current fiscal year

Total shareholders'equityPaid-in capital

Capital surplus

Earned surplus

Treasury stock

24,10429,434132,491(3,392)

182,638

24,10429,434132,491(3,392)

182,638

Cumulative effects ofchanges in accounting
policies
Restated balance
Changes of items during the
fiscal year
Dividends from surplus(3,369)Net income

13,366(3,369)13,366

Repurchase of shares

(4)

(4)

Change in treasury stock
arising from change inequity in affiliates
accounted for using
equity method

(6)

(6)

2,253

3,128

Allocation of treasury stockby share exchange

875

Net changes of items otherthan shareholders'equityTotal changes of items
during the fiscal year

-

875

9,997

2,242

13,114

Balance at the end of thecurrent fiscal year

24,10430,309142,489(1,150)195,752

Accumulated other comprehensive income
Unrealized
holding gains(losses) on
securities
Balance at the beginning of
the current fiscal year

Total
Accumulated
accumulated
adjustments forotherretirement
comprehensive
benefits
incomeUnrealized
gains (losses)on hedges

Foreigncurrencytranslation
adjustments

4,771

(4)

(3,200)

-

4,771

(4)

(3,200)-Minority
interests

Total net
assets

1,566

26,080210,285

1,566

26,080210,285

Cumulative effects ofchanges in accounting
policies
Restated balance
Changes of items during the
fiscal year
Dividends from surplus(3,369)Net income

13,366

Repurchase of shares(4)

Change in treasury stock
arising from change inequity in affiliates
accounted for using
equity method(6)

Allocation of treasury stockby share exchange
Net changes of items otherthan shareholders'equity

3,128
1,130

9

1,965

(5,373)(2,268)(734)(3,002)

Total changes of items
during the fiscal year

1,130

9

1,965

(5,373)(2,268)(734)

10,111

Balance at the end of thecurrent fiscal year

5,902

4

(1,234)(5,373)(701)

25,346220,3978

Current fiscal year (From December 1, 2014 to November 30, 2015)(Millions of yen)

Shareholders' equity

Balance at the beginning of
the current fiscal year

Paid-in capital

Capital surplus

Earned surplus

Treasury stock

24,10430,309142,489(1,150)

Cumulative effects ofchanges in accounting
policies
Restated balance

Total shareholders'equity195,752(320)
24,10430,309(320)

142,168(1,150)195,432

Changes of items during the
fiscal year

(3,642)

Dividends from surplus(3,642)

17,031

Net income

17,031(6)

Repurchase of shares

(266)

(272)

Net changes of items otherthan shareholders'equityTotal changes of items
during the fiscal year-(6)

13,388(266)

13,115

Balance at the end of thecurrent fiscal year

24,10430,302

155,557(1,416)

208,548

Accumulated other comprehensive income
Unrealized
holding gains(losses) on
securities
Balance at the beginning of
the current fiscal year

5,902

Unrealized
gains (losses)on hedges

4

Foreigncurrencytranslation
adjustments(1,234)

Total
Accumulated
accumulated
adjustments forotherretirement
comprehensive
benefits
income(5,373)(701)

Cumulative effects ofchanges in accounting
policies
Restated balance

5,902

4

(1,234)(5,373)(701)

Minority
interests

Total net
assets25,346220,397

(12)

(332)

25,333220,064

Changes of items during the
fiscal year
Dividends from surplus(3,642)

Net income

17,031(272)

Repurchase of shares
Net changes of items otherthan shareholders'equity

3,428

(13)

681

2,130

6,226

6,522

12,749Total changes of items
during the fiscal year

3,428

(13)

681

2,130

6,226

6,522

25,864

Balance at the end of thecurrent fiscal year

9,330

(8)

(552)

(3,243)

5,525

31,856245,9299

4. Consolidated Statements of Cash Flows(Millions of yen)

Cash flows from operating activities
Income before income taxes and minority interests
Depreciation and amortization
Losses on impairment of fixed assets
Amortization of goodwill
Retirement benefit expenses
Equity in losses (earnings) of affiliates
Losses (gains) on valuation of investment securities
Losses on valuation of investments in capital of subsidiaries andaffiliates
Gains on negative goodwill
Losses (gains) on step acquisitions
Losses (gains) on change in equity
Losses (gains) on extinguishment of tie-in shares
Increase (decrease) in reserves for retirement benefits
Decrease (increase) in prepaid pension costs
Increase (decrease) in liabilities for retirement benefits
Decrease (increase) in assets for retirement benefits
Increase (decrease) in reserves for sales rebates
Increase (decrease) in reserves for directors' bonuses
Increase (decrease) in reserves for bonuses
Increase (decrease) in allowances for doubtful accounts
Interest and dividends income
Interest expenses
Losses (gains) on sales of investment securities
Losses (gains) on sales and disposal of fixed assets
Decrease (increase) in notes and accounts receivable - trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable - trade
Increase (decrease) in accounts payable - other
Increase (decrease) in accrued consumption taxes
Increase (decrease) in long-term accounts payable
Other
Sub-totalInterest and dividends income received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities

10

Previous fiscal year
(From December 1, 2013
to November 30, 2014)

Current fiscal year
(From December 1, 2014
to November 30, 2015)

24,575
16,132
586
14
102
4

28,66319,094
373
229
1,222
(134)
9

-

257

(406)
(4)
(2,315)
15,736
2,523(16,198)
22
(26)
(72)
(77)
(540)
296
(45)
784
(3,419)(3,215)
2,613
414
2,473
(201)
372
40,128594(296)(6,034)34,392(105)(830)(1,197)(901)
473(1,653)
(112)
56
340
(89)
(572)
314
52
1,258
8,854
(1,151)(12,687)(2,736)
(802)
(73)
(323)
37,830627(314)(10,049)
28,094

(Millions of yen)

Cash flows from investing activities
Purchases of securities
Proceeds from redemption of securities
Purchases of tangible fixed assets
Purchases of intangible fixed assets
Subsidy income
Purchases of investment securities
Proceeds from sales of investment securities
Proceeds from redemption of investment securities
Purchases of shares of subsidiaries and affiliates
Proceeds from sales of shares of subsidiaries and affiliates
Acquisition of subsidiaries' shares
Proceeds from sales of subsidiaries' shares
Proceeds from acquisition of subsidiaries' shares resulting
in change in scope of consolidation
Net decrease (increase) in short-term loans receivable
Payments of long-term loans receivableCollection of long-term loans receivable
Payments into time deposits
Proceeds from withdrawal of time deposits
Other
Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Repayment of lease obligations
Proceeds from long-term loans payable
Repayment of long-term loans payable
Proceeds from share issuance to minority shareholders
Cash dividends paid
Cash dividends paid to minority shareholders
Repurchase of shares
Purchase of treasury shares of subsidiaries
Net cash provided by (used in) financing activities
Effects of exchange rate changes on cash and cash equivalents
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the fiscal year
Increase in cash and cash equivalents resulting from merger withunconsolidated subsidiaries
Cash and cash equivalents at the end of the fiscal year

11

Previous fiscal year
(From December 1, 2013
to November 30, 2014)

Current fiscal year
(From December 1, 2014
to November 30, 2015)(10,000)
10,000(28,243)(1,252)(1,092)133
1,946(2,184)(35)
432(10,000)
10,000(30,032)(1,529)
416
(157)
178
58
(21)
30

70

44

49
(48)
53
(20)
(657)
(30,847)

(82)
(21)
19
(98)
117
(102)
(31,181)(1,530)(1,332)
4,610(1,010)(3,369)(513)(4)(3,149)429
825
43,963(541)(1,753)
1,303(1,466)
181(3,642)
(550)
(79)
(551)
(7,101)
235(9,952)
44,788-5

44,78834,841

5. Notes regarding consolidated financial statements(Notes regarding assumption of a going concern)
Not applicable(Significant matters forming the basis for the preparation of consolidated financial statements)(1) Consolidated subsidiaries
The Company has fifty-four consolidated subsidiaries in the current fiscal year. The principal consolidated
subsidiaries are Kewpie Egg Corporation, Deria Foods Co., Ltd., Kewpie Jyozo Co., Ltd., K.R.S. Corporation,
Kanae Foods Co., Ltd., Gourmet Delica Co., Ltd., Salad Club, Inc. and Aohata Corporation.
In the current fiscal year, the number of consolidated subsidiaries increased by two because the Company
acquired shares of Aohata Corporation and Nantong Kewpie Foods Co., Ltd. was newly established.
There are twenty unconsolidated subsidiaries, and the principal company is K. LP Corporation. These
companies are excluded from the consolidation, because their total assets, net sales, net income, and total
amounts of earned surplus (based on the Company's ownership percentage) do not have a significant effecton the consolidated financial statements.
(2) Application of the equity method
The equity method is applied to the investments in three affiliated companies. The principal affiliatedcompany accounted for by the equity method is Summit Oil Mill Co., Ltd. In the current fiscal year, thenumber of affiliated companies accounted for by the equity method decreased by two because Aohata
Corporation became the Company's consolidated subsidiary and Henningsen Van Den Burg B.V. was
excluded from the affiliated companies due to sales of its shares.
The investments in twenty unconsolidated subsidiaries including K. LP Corporation and in three affiliatedcompanies including AK Franchise System Co., Ltd. not to be accounted for by the equity method are
excluded from the scope of application of the equity method, because the total amounts of net income andearned surplus (based on the Company's ownership percentage) do not have a significant effect on the
consolidated financial statements.
(3) Closing date of consolidated subsidiaries
The closing date of seven foreign consolidated subsidiaries is September 30, that of one domestic
consolidated subsidiary is October 31, and that of four foreign consolidated subsidiaries is December 31.
Four foreign subsidiaries whose closing date is December 31 are consolidated based on their temporary
financial statements at September 30. Other seven foreign subsidiaries and one domestic subsidiary are
consolidated based on the financial statements at their balance sheet date.
However, significant transactions of those subsidiaries for the period from the date of their respective
financial statements to the consolidated closing date are reflected in the consolidated financial statements.
(4) Accounting standards
A. Valuation basis and valuation methods for significant assetsa) Securities(i) Held-to-maturity bonds are stated at amortized cost. Discounts and premiums are amortized by thestraight-line method.
(ii) Shares in subsidiaries and affiliates which are not accounted for under the equity method arestated at moving average cost.
(iii) Other securities with readily determinable fair value are stated at fair value based on market priceat the closing date. Valuation differences comprise net assets as unrealized holding gains on
securities. When sold, cost of sales is determined by the moving average method. Other securities
without readily determinable fair value are stated at moving average cost.
b) Financial derivative instruments
Financial derivative instruments are stated at fair value.
Hedge accounting is adopted for financial derivative instruments which conform to requirements ofhedge accounting.
c) Inventories
Purchased goods and products, work in process, raw materials and supplies are principally stated atmonthly moving average cost (a method whereby book values are written down based on a decline in
the revenue expected to be generated from these inventories). Some joint products are stated at costusing the retail method (a method whereby book values are written down based on a decline in therevenue expected to be generated from these inventories).
B. Depreciation methods for significant depreciable assetsa) Tangible fixed assets (excluding lease assets)
Tangible fixed assets are mainly depreciated by the declining balance method except for the following
assets.
12

Buildings (excluding equipment fixed inside buildings) acquired on and after April 1, 1998 aredepreciated by the straight-line method.
The same basis with the Corporation Tax Act is mainly adopted for useful life and residual value.
The main useful life is as follows.
Buildings:
2-50 years
Machinery and equipment:
2-22 yearsb) Intangible fixed assets (excluding lease assets)
Intangible fixed assets are amortized by the straight-line method.
The same basis with the Corporation Tax Act is mainly adopted for useful life.
Computer software purchased for internal use is amortized by the straight-line method for five
years based on the estimated useful life for internal use.
c) Lease assets
The straight-line method, which considers the lease period to be the useful life and the residual value
to be zero, is applied to lease assets related to finance lease transactions that do not transfer
ownership.
d) Long-term prepaid expenses
Long-term prepaid expenses are amortized by the straight-line method.
C. Accounting for significant deferred assets
All business commencement expenses are expensed when a payment is made.
D. Accounting standards for significant reservesa) Allowances for doubtful accounts
To provide for a possible bad-debt loss, the Group provides the expected uncollectible amount asallowances for doubtful accounts. The said amount is calculated by using credit-loss prediction ratios
based on historical data for general accounts receivable, and by reference to the individualcollectability for special receivables, such as those in danger of being uncollectible.
b) Reserves for sales rebates
To provide for the payment of rebates for the current fiscal year, reserves for sales rebates areprovided on an accrual basis, multiplying the net sales and each company's standard (the percentageof the expected amount of rebates in net sales).
c) Reserves for bonuses
To provide for the payment of bonuses to employees, reserves for bonuses are provided according to
the expected amount of the payment which attributes to the current fiscal year.
d) Reserves for directors' bonuses
To provide for the payment of bonuses to directors, reserves for directors' bonuses are provided
according to the expected amount payable at the end of the current fiscal year.
E. Accounting for retirement benefitsa) Method of attributing expected retirement benefits to periods
In calculating retirement benefit obligations, expected retirement benefits are attributed to the period
up to the end of the current fiscal year on the benefit formula basis.
b) Accounting for amortization of actuarial gains or losses and prior service costs
Prior service costs are amortized by the straight-line method principally over twelve years based on
the average remaining employees' service years.
Actuarial gains or losses are amortized by the straight-line method principally over twelve years
based on the average remaining employees' service years at each fiscal year, and their amortizations
start from the following fiscal year of the respective accrual years.
In addition, if the amount of pension fund assets exceeds that of retirement benefit obligations forcorporate pension plan, it is recognized as assets for retirement benefits on consolidated balance
sheet.
F.

Treatment for significant hedge accountinga) Method of hedge accounting
Deferral hedge is applied.
Allocation method is applied for transactions that meet the requirements for that method.
Special treatment is applied for the interest rate swap transactions that meet the requirements forthe special treatment.
b) Hedging instruments
Hedging instruments are forward exchange contracts and interest rate swap transactions.
c) Hedged items
Hedged items are purchase transactions in foreign currencies and interest of loans.
13d) Hedging policy
The Group executes forward exchange contracts to hedge risks from fluctuation in foreign exchange
rate and interest rate swap transactions to hedge risks from projected fluctuation in interest rate.
In addition, the Group never makes use of them for the purpose of speculative transactions.
e) Assessment of the effectiveness of hedge accounting
Control procedures of hedge transactions are executed according to each company's bylaw. The
effectiveness of the hedge except for the following contracts is analyzed by comparing movements inthe fair values of the hedged items with those of the hedging instruments, assessed and strictly
controlled.
However, the assessment of the effectiveness is omitted for interest rate swap transactions thatmeet the requirements for the special treatment.
G. Method and period for amortization of goodwill
As a general rule, goodwill is amortized on a straight-line basis over the period deemed to be valuable.
However, goodwill is written off completely in the fiscal year in which it arises if immaterial.
H. Scope of cash in the consolidated statements of cash flows
Cash in the consolidated statements of cash flows (cash and cash equivalents) consists of cash in hand,bank deposits which can be withdrawn freely, and short-term investments which can be easily converted
into cash and matures within three months from the acquisition date which are at little risk of changes invalue.
I.

Other significant matter for the preparation of consolidated financial statements
Consumption taxes are recorded in separate accounts.

(Changes in accounting policies)
Application of accounting standard for retirement benefits and related regulations
The Company and its domestic consolidated subsidiaries have applied the stipulations in the main clauseof paragraph 35 of the "Accounting Standard for Retirement Benefits" (ASBJ Statement No. 26 of May 17,
2012; hereinafter, the "Accounting Standard") and the main clause of paragraph 67 of the "Guidance on
Accounting Standard for Retirement Benefits" (ASBJ Guidance No. 25 of March 26, 2015; hereinafter, the"Guidance") from the beginning of the current fiscal year. Accordingly, the calculation methods ofretirement benefit obligations and current service costs were reviewed. Specifically the method of
attributing expected retirement benefits to each period was changed from the straight-line basis to thebenefit formula basis, and the method of determining the discount rate was changed from the method
using the average period up to the estimated retirement benefit payment date to the method using thediscount rate that reflects the estimated payment period and amount of benefit payment in each period.
In accordance with transitional accounting as stipulated in paragraph 37 of the Accounting Standard,
the effect of the changes in the calculation methods for retirement benefit obligations and current service
costs was added to or deducted from earned surplus at the beginning of the current fiscal year.
As a result of the above, assets for retirement benefits decreased by ¥47 million, liabilities for
retirement benefits increased by ¥460 million, and earned surplus decreased by ¥320 million at the
beginning of the current fiscal year. The effects on operating income, ordinary income, and income before
income taxes and minority interests for the current fiscal year were immaterial.
The effects of the change on per share information are stated in "Per share information."(Business combination)
Making a company a consolidated subsidiary by company split
The Company and Aohata Corporation ("Aohata") concluded an absorption-type company split agreement
on December 24, 2013, under which Aohata would be the successor company of the business of selling
bread-related products such as jams, whipped cream and spread, by a company split (the "Company
Split"), and it became effective on December 1, 2014. As a result of the Company Split, the Company
came to own 45.64% of Aohata's issued shares and Aohata became a consolidated subsidiary of theCompany because it came to be under the substantial control of the Company.

141. Outline of the Company Split(1) Name and description of business of the acquired company
A. Name
Aohata Corporation
B. Description of business
Production and sale of jams
(2) Primary reasons for carrying out the Company Split
The Company conducted the Company Split because this would enable Aohata to operate bothmanufacturing and selling businesses, which would promote its prompt decision-making, unique sellingsystem and rapid product development in consideration of diversifying customer needs and changing
preferences. It would also enable the Processed foods business of the Company as a whole to improve
market competitiveness. Both companies agreed to the idea that making Aohata a consolidated subsidiarywould contribute to the further growth and development of them and to the enhancement of corporate
value, because it would lead to many positive changes, such as the further active utilization of eachother's management know-how as to endless promotion of the rationalization, integration of bothcompanies' sales channels in and outside of Japan, enhancement of partnership between them inprocessing fruits, strengthening the Processed foods business and improving profitability of the Company,
and strengthening the management base of Aohata through further utilizing the management resources of
the Company more than ever.
(3) Effective date of the Company Split
December 1, 2014
(4) Legal form of the Company Split
Absorption-type company split in which the Company became the transferring company and Aohata
became the successor company in exchange for shares(5) Percentages of voting rights owned immediately before the date of the Company Split, additionallyacquired on the date of the Company Split, and owned after the acquisition
A. Percentage of voting rights owned immediately before the date of the Company Split
36.24 %
B. Percentage of voting rights additionally acquired on the date of the Company Split
9.40 %
C. Percentage of voting rights owned after the acquisition
45.64 %
(6) Primary basis for determining the acquiring company
The Company was determined as the acquiring company because, as a result of the Company Split, theCompany came to own 45.64% of Aohata's total voting rights and Aohata came to be under thesubstantial control of the Company.
2. Period of business results of the acquired company included in the consolidated financial statements
From November 1, 2014 to October 31, 2015
3. Calculation of the cost of acquisition of the acquired company
Cost of acquisition of the acquired company and breakdown of the costMarket value of the common stock held by the Company immediately before ¥4,229 million
the date of the Company Split
Market value of the common stock additionally acquired by the Company on ¥2,020 million
the date of the Company Split
Cost of acquisition¥6,250 million
4. Difference between the cost of acquisition of the acquired company and the total cost of acquisition ofindividual transactions leading to the acquisition
Gains on step acquisitions: ¥830 million
5. Amount of goodwill recognized, reason for recognition of goodwill and method and period for amortization(1) Amount of goodwill recognized¥1,823 million(2) Reason for recognition
Recognized from future excess earning power expected from future business operations(3) Method and period for amortization
Amortized by the straight-line method over 10 years

15

6. Amounts and primary components of assets acquired and liabilities assumed as of the date of theCompany Split
Current assets¥8,800 million
Fixed assets¥5,184 million
Total assets¥13,984 million
Current liabilities
Non-current liabilities
Total liabilities¥5,093 million¥546 million¥5,640 million

7. Outline of the accounting treatment implemented and the impact of the Company Split on the consolidated
statement of income
In the Company Split, the Company became the transferring company and Aohata became the successor
company. However, as Aohata has become the Company's subsidiary, the Company Split is a reverse
acquisition that positions the Company as the acquiring company and Aohata as the acquired company
based on the "Accounting Standard for Business Combinations" (ASBJ Statement No. 21 of December 26,2008) and the "Guidance on Accounting Standard for Business Combinations and Accounting Standard
for Business Divestitures" (ASBJ Guidance No. 10 of December 26, 2008).
As a result of the accounting treatment for preparing the consolidated financial statements
implemented due to the Company Split, in the current fiscal year, the Company recognized ¥1,118 millionof gains on change in equity related to the business subject to the Company Split as extraordinary gains.
8. Reported segment that included divested business
Processed foods segment
Common control transactions
Aohata Corporation, the Company's consolidated subsidiary, and Geinan Shokuhin Co., Ltd. and AFC Co.,
Ltd., the Company's unconsolidated subsidiaries, merged effective on October 1, 2015.
1. Summary of transaction(1) Names and description of businesses of companies involved in business combination
Names of company involved inbusiness combination

Aohata Corporation, Geinan Shokuhin Co., Ltd., AFC Co., Ltd.

Description of businesses

Aohata Corporation: Production and sale of jams
Geinan Shokuhin Co., Ltd.: Production and sale of processed
agricultural, livestock and seafood products
AFC Co., Ltd.: Purchase and sale of processed agricultural andseafood products(2) Date of business combination
October 1, 2015(3) Legal form of business combination
The business combination was an absorption-type merger with Aohata Corporation as the surviving
company and Geinan Shokuhin Co., Ltd. and AFC Co., Ltd. being dissolved. Since the dissolved
companies were both wholly owned subsidiaries of Aohata Corporation, there was no issuance of newshares or cash payment associated with the merger.
(4) Names of companies after business combination
Aohata Corporation(5) Purpose of the transaction
The merger was intended to cope with the changes in the external environment of the Group and toestablish the structure aiming to achieve the Medium-term Business Plan.

16

2. Outline of the accounting treatment implemented and the impact of the merger on the consolidated
statement of income
The merger was accounted for as a transaction under common control based on the "AccountingStandard for Business Combinations" (ASBJ Statement No. 21 of December 26, 2008) and the "Guidanceon Accounting Standard for Business Combinations and Accounting Standard for Business Divestitures"(ASBJ Guidance No. 10 of December 26, 2008).
As a result of the accounting treatment for preparing the consolidated financial statements
implemented due to the merger, in the current fiscal year, the Company recognized ¥901 million of gains
on extinguishment of tie-in shares as extraordinary gains.

17

(Segment information)[Segment information]
A. Outline of reported segments
The reported segments of the Company are those units for which separate financial statements can beobtained among the constituent units of the Group and which are regularly examined by the Board of
Directors for making decisions on the allocation of management resources and for assessing businessperformance. These segments are categorized by product and service, and consist of "Condiments
products," "Egg products," "Delicatessen products," "Processed foods," "Fine chemical products,""Distribution system" and "Common business operations."
The following is the overview of each segment:
Condiments products:
Egg products:

Mayonnaise, dressings and vinegar
Liquid egg, frozen egg, dried egg, egg spread, thick omelet
and shredded egg
Salads, delicatessen foods, boxed lunches, rice balls andpackaged salads
Bottled and/or canned foods including jams, pasta sauces andsweet corn, baby foods and nursing care foods
Hyaluronic acid and EPA
Transportation and warehousing of food products
Sale of food products

Delicatessen products:
Processed foods:
Fine chemical products:
Distribution system:
Common business operations:

B. Method used to calculate amounts of net sales, profit or loss, assets, liabilities and others by reported
segment
Accounting treatment applied to the reported segments is much the same with what is described in"Significant matters forming the basis for the preparation of consolidated financial statements."
Profit of the reported segments is based on operating income. Intersegment net sales and transfers are
based on prevailing market price.
C. Information on amounts of net sales, profit or loss, assets, liabilities and others by reported segment
Previous Fiscal Year (From December 1, 2013 to November 30, 2014)(Millions of yen)

Net sales
Net sales
to outside
customers
Intersegment
net salesor transfers
Total
Segment profit
Segment
assetsOthersDepreciation
andamortization
Investment inaffiliates
accounted
for by equity
methodIncrease intangible andintangible
fixed assets(Notes)Amount reported
on theconsolidated
financialstatements(Note)

Condiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

Distribution
systemCommonbusiness
operations

151,465

99,513102,225

57,152

10,726

126,789

5,531

553,404–

553,404

5,948

6,020

360

1,812

273

23,916

9,447

47,779(47,779)–

157,413
11,510105,534
3,756

102,586
3,279

58,964164

11,0001,030

150,706
3,613

14,979982

601,184
24,336(47,779)7

553,404
24,343

91,27951,84240,60933,41910,66375,046

9,802

312,663

44,331356,994

4,809

2,745

1,933

1,216

744

4,080

602

16,132–

16,132

1,071

194

–

3,454

–

–

173

4,893

–

4,893

8,528

3,551

7,102

2,195

908

6,446

1,379

30,111–

30,111

Total

Adjustments

1. "Adjustments" of ¥44,331 million in "Segment assets" mainly includes company-wide assets of ¥50,623 million andelimination of intersegment receivables and payables of ¥(5,192) million. Major items in company-wide assets are surplus
operating funds of the Company (cash and deposits and securities) and long-term investment funds (investment securities).

18

2. Adjustments are made between "Segment profit" and "Operating income" reported in the consolidated statements ofincome.
3. "Depreciation and amortization" and "Increase in tangible and intangible fixed assets" include "Long-term prepaid
expenses."

Current Fiscal Year (From December 1, 2014 to November 30, 2015)(Millions of yen)

Net sales
Net sales
to outside
customers
Intersegment
net salesor transfers
Total
Segment profit(loss)
Segment
assetsOthersDepreciation
andamortization
Investment inaffiliates
accounted
for by equity
methodIncrease intangible andintangible
fixed assets(Notes)Amount reported
on theconsolidated
financialstatements(Note)

Condiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

Distribution
systemCommonbusiness
operations

157,056

104,785

109,098

62,255

11,311

127,747

5,937

578,192–

578,192

6,798

5,818

218

2,509

298

24,303

10,05850,005(50,005)–

163,855

110,604

109,316

64,765

11,610152,050

15,995628,197(50,005)

578,192

12,543

5,396

2,749

(268)

350

4,760

900

26,432

8

26,441

96,27555,70640,87842,06010,523

81,37010,601

337,41735,002

372,419

5,209

3,328

2,814

1,675

811

4,630

625

19,094–19,094

1,135

–

–

70

–

–

189

1,395

–

1,395

6,714

7,303

5,106

1,870

660

9,814

899

32,369–32,369Total

Adjustments

1. "Adjustments" of ¥35,002 million in "Segment assets" mainly includes company-wide assets of ¥37,769 million andelimination of intersegment receivables and payables of ¥(4,150) million. Major items in company-wide assets are surplus
operating funds of the Company (cash and deposits and securities) and long-term investment funds (investment securities).
2. Adjustments are made between "Segment profit (loss)" and "Operating income" reported in the consolidated statements ofincome.
3. "Depreciation and amortization" and "Increase in tangible and intangible fixed assets" include "Long-term prepaid
expenses."19

[Related information]
Previous Fiscal Year (From December 1, 2013 to November 30, 2014)
A. Information by product and service
It is omitted here since similar information is disclosed in "Segment information."
B. Information by regiona) Net sales
It is omitted here since net sales to outside customers in Japan is more than 90% of net sales
reported in the consolidated statements of income.
b) Tangible fixed assets
It is omitted here since the amount of tangible fixed assets located in Japan is more than 90% of
tangible fixed assets reported in the consolidated balance sheets.
C. Information by major customer
It is omitted here since there is no customer occupying 10% or more of net sales reported in the
consolidated statements of income.
Current Fiscal Year (From December 1, 2014 to November 30, 2015)
A. Information by product and service
It is omitted here since similar information is disclosed in "Segment information."
B. Information by regiona) Net sales
It is omitted here since net sales to outside customers in Japan is more than 90% of net sales
reported in the consolidated statements of income.
b) Tangible fixed assets
It is omitted here since the amount of tangible fixed assets located in Japan is more than 90% of
tangible fixed assets reported in the consolidated balance sheets.
C. Information by major customer
It is omitted here since there is no customer occupying 10% or more of net sales reported in the
consolidated statements of income.
[Information on losses on impairment of fixed assets by reported segment]
Previous Fiscal Year (From December 1, 2013 to November 30, 2014)(Millions of yen)

Losses on
impairmentof fixed
assetsCondiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

235

350

–

–

–

Distribution
systemCommonbusiness
operations

–

–

Total

Adjustments

586

Total

–

586

Current Fiscal Year (From December 1, 2014 to November 30, 2015)(Millions of yen)

Losses on
impairmentof fixed
assetsCondiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

Distribution
systemCommonbusiness
operations

118

41

0

115

10

85

1

20

Total

373

Adjustments

Total

–

373

[Information on amortization of goodwill and unamortized balance by reported segment]
Previous Fiscal Year (From December 1, 2013 to November 30, 2014)(Millions of yen)Amortization in
the current
fiscal year
Unamortizedbalance atthe end of
the current
fiscal year

Condiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

Distribution
systemCommonbusiness
operations

–

–

–

–

7

6

–

14

–

14

–

–

–

–

140

43

–

183

–

183

Total

Adjustments

Total

Current Fiscal Year (From December 1, 2014 to November 30, 2015)(Millions of yen)Amortization in
the current
fiscal year
Unamortizedbalance atthe end of
the current
fiscal year

Condiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

Distribution
systemCommonbusiness
operations

–

–

–

182

29

17

–

229

–

229

–

–

–

1,640

110

33

–

1,785

–

1,785

Total

Adjustments

Total[Information on gains on negative goodwill by reported segment]
Previous Fiscal Year (From December 1, 2013 to November 30, 2014)(Millions of yen)

Gains onnegativegoodwill

Condiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

104

301

–

–

–

Distribution
systemCommonbusiness
operations

–

–

Total

Adjustments

406

Total

–

406

Current Fiscal Year (From December 1, 2014 to November 30, 2015)(Millions of yen)

Gains onnegativegoodwill

Condiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

Distribution
systemCommonbusiness
operations

–

–

–

–

–

99

5

21

Total

105

Adjustments

Total

–

105

(Per share information)
Previous fiscal year
(From December 1, 2013
to November 30, 2014)

Current fiscal year
(From December 1, 2014
to November 30, 2015)

Net assets per share (yen)1,284.36

1,410.53

Net income per share (yen)88.69

112.21

1. "Net income per share - diluted" is not presented because of no issue of potential shares.
2. Calculation basis of net assets per share is as follows.
Previous fiscal year
(From December 1, 2013
to November 30, 2014)

Current fiscal year
(From December 1, 2014
to November 30, 2015)

Total net assets (millions of yen)

220,397245,929

Amount subtracted from total net assets (millions of yen)

25,34631,856(Notes)[25,346][31,856]

Net assets attributable to common stock at the end of the fiscal year
(millions of yen)

195,051

214,073

Number of shares of common stock at the end of the fiscal year
(thousand shares)

151,867

151,767

Previous fiscal year
(From December 1, 2013
to November 30, 2014)

Current fiscal year
(From December 1, 2014
to November 30, 2015)

13,366

17,031––

Net income attributable to common stock (millions of yen)

13,366

17,031

Weighted average number of shares of common stock (thousand
shares)150,703

151,783[Minority interests]

3. Calculation basis of net income per share is as follows.

Net income (millions of yen)Amounts not attributable to common shareholders (millions of yen)

4. As described in "III. Consolidated financial statements: 5. Notes regarding consolidated financial statements (Changes inaccounting policies)," the accounting standard for retirement benefits and the related regulations were applied inaccordance with the transitional accounting stipulated in paragraph 37 of the Accounting Standard for Retirement Benefits.
As a result, net assets per share decreased by ¥2.11 in the current fiscal year. The effect on net income per share was
immaterial.

(Significant subsequent events)
Not applicable22IV. Supplementary data
(Notes)

1. Except for "10. Principal management indexes," fraction errors may occur due to rounding figures less than 100 million.
2. The forecast information in this supplementary data is reported based on available information as of the date hereof andassumptions on uncertain factors which may have an effect on the future operating results. It could differ significantly fromthe actual operating results due to various factors.

1. Fiscal Year 2015 Summary of net sales [Result](Billions of yen)Segment

FiscalYear
2013

Fiscal
Year
2014
(A)

Fiscal
Year
2015
(B)

Condiments products
Egg products
Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total
Condiments products
Egg products
Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total
Condiments products
Egg products
Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total

Condiments products
Egg products
Delicatessen products
Change Processed foods(B) - (A) Fine chemical products
Distribution system
Common business operations
Total(Notes)

1stquarter

4th
3rd
2nd
2nd quarter3rd quarter
quarter (Cumulative) quarter (Cumulative) quarter

Year

33.1
21.8
22.7
13.8
2.3
28.4
2.8
124.9
35.9
24.1
24.2
13.6
2.3
30.0
1.3
131.5
36.6
24.6
25.1
14.1
2.4
31.2
1.5
135.6
0.7
0.5
0.9
0.4
0.1
1.2
0.2
4.1

38.6
22.3
24.4
15.4
2.2
29.9
1.7
134.5
40.2
25.3
25.5
15.0
2.8
31.2
1.5
141.5
40.6
26.2
27.4
16.8
3.1
31.9
1.4
147.3
0.4
0.9
1.8
1.8
0.2
0.7
(0.1)
5.8

145.4
91.2
98.0
58.4
9.7
120.3
7.6
530.5
151.5
99.5
102.2
57.2
10.7
126.8
5.5
553.4
157.1
104.8
109.1
62.3
11.3
127.7
5.9
578.2
5.6
5.3
6.9
5.1
0.6
1.0
0.4
24.8

71.7
44.1
47.2
29.1
4.5
58.4
4.5
259.5
76.1
49.4
49.7
28.6
5.1
61.2
2.8
273.0
77.2
50.8
52.5
30.8
5.5
63.1
2.9
282.9
1.1
1.5
2.8
2.2
0.4
1.9
0.1
9.9

37.8
22.2
26.1
14.8
2.3
31.1
1.4
135.7
38.6
24.0
26.8
14.1
2.3
32.7
1.3
139.8
41.3
25.9
28.8
15.8
2.8
32.7
1.4
148.7
2.6
1.9
2.0
1.7
0.5
(0.0)
0.1
8.8

109.5
66.3
73.3
43.9
6.8
89.5
5.9
395.1
114.7
73.4
76.5
42.7
7.5
93.9
4.1
412.8
118.5
76.7
81.3
46.6
8.3
95.8
4.3
431.6
3.8
3.4
4.8
3.9
0.8
1.9
0.2
18.8

35.9
24.8
24.7
14.5
2.9
30.9
1.7
135.4
36.7
26.1
25.7
14.5
3.2
32.9
1.4
140.6
38.5
28.0
27.8
15.6
3.0
32.0
1.7
146.6
1.8
1.9
2.1
1.2
(0.2)
(0.9)
0.2
6.0

1. Figures of "2nd quarter" are differences between "2nd quarter (Cumulative)" and "1st quarter."
2. Figures of "3rd quarter" are differences between "3rd quarter (Cumulative)" and “2nd quarter (Cumulative)."
3. Figures of "4th quarter" are differences between "Year" and "3rd quarter (Cumulative)."23

2. Fiscal Year 2015 Summary of operating income [Result](Billions of yen)Segment

FiscalYear
2013

Fiscal
Year
2014
(A)

Fiscal
Year
2015
(B)

Condiments products
Egg products
Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total
Condiments products
Egg products
Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total
Condiments products
Egg products
Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total

Condiments products
Egg products
Delicatessen products
Change Processed foods(B) - (A) Fine chemical products
Distribution system
Common business operations
Total(Notes)

1stquarter

2.3
0.6
0.4
(0.4)
0.3
0.3
0.3
3.9
2.3
(0.1)
0.4
(0.1)
0.2
0.6
0.3
3.6
2.6
1.5
0.3
(0.2)
0.0
1.0
0.3
5.5
0.3
1.5
(0.1)
(0.1)
(0.2)
0.4
0.0
1.9

4th
3rd
2nd
2nd quarter3rd quarter
quarter (Cumulative) quarter (Cumulative) quarter

4.0
1.1
1.0
(0.0)
0.2
1.1
0.3
7.6
3.6
1.1
1.1
0.2
0.3
0.9
0.3
7.5
3.9
1.3
0.8
0.4
0.1
1.2
0.3
7.9
0.3
0.2
(0.3)
0.1
(0.2)
0.2
0.1
0.4

6.3
1.8
1.4
(0.4)
0.5
1.3
0.6
11.5
5.9
1.0
1.5
0.2
0.5
1.5
0.5
11.1
6.5
2.7
1.1
0.2
0.1
2.2
0.6
13.4
0.6
1.7
(0.4)
0.0
(0.4)
0.6
0.1
2.3

2.9
1.1
1.3
(0.1)
0.1
1.0
0.2
6.6
3.3
1.5
1.1
0.1
0.1
1.0
0.3
7.3
3.8
1.3
1.0
(0.0)
0.1
1.4
0.2
7.8
0.6
(0.2)
(0.2)
(0.1)
(0.1)
0.5
(0.0)
0.5

9.2
2.9
2.7
(0.5)
0.6
2.4
0.8
18.1
9.1
2.5
2.6
0.3
0.6
2.5
0.8
18.4
10.3
4.0
2.0
0.2
0.2
3.6
0.9
21.2
1.2
1.5
(0.6)
(0.1)
(0.4)
1.1
0.1
2.8

2.3
0.5
0.7
(0.4)
0.3
0.8
(0.0)
4.3
2.4
1.3
0.7
(0.1)
0.4
1.1
0.2
5.9
2.2
1.4
0.7
(0.4)
0.2
1.1
0.0
5.2
(0.1)
0.1
0.0
(0.3)
(0.2)
0.0
(0.1)
(0.7)

1. Figures of "2nd quarter" are differences between "2nd quarter (Cumulative)" and "1st quarter."
2. Figures of "3rd quarter" are differences between "3rd quarter (Cumulative)" and "2nd quarter (Cumulative)."
3. Figures of "4th quarter" are differences between "Year" and "3rd quarter (Cumulative)."

24

Year

11.5
3.4
3.5
(0.9)
0.9
3.2
0.8
22.4
11.5
3.8
3.3
0.2
1.0
3.6
1.0
24.3
12.5
5.4
2.7
(0.3)
0.4
4.8
0.9
26.4
1.0
1.6
(0.5)
(0.4)
(0.7)
1.1
(0.1)
2.1

3. Fiscal Year 2015 Factors behind changes in operating income (comparison with the previous fiscal year)[Result](Billions of yen)

Fiscal year
2014
(A)
Operating income

Fiscal year
2015
(B)

24.3

Change(B) - (A)

26.4

2.1

4. Fiscal Year 2015 Capital investments and main components of selling, general and administrative expenses[Result](Billions of yen)

Fiscal year 2013

Fiscal year 2014
(A)

Fiscal year 2015
(B)

Change(B) - (A)Capital investments

27.1

30.1

32.4

2.3

Depreciation expenses

14.6

16.1

19.1

3.0

Sales promotion expenses

20.5

21.4

23.5

2.1

Advertising expenses

7.9

8.0

8.7

0.7

Transportation and warehousing expenses

30.5

32.0

33.3

1.3

Payroll expenses

25.4

26.5

28.7

2.1

Research and development expenses

3.7

3.9

4.2

0.3

25

5. Fiscal Year 2015 Domestic sales volume and amount of salads condiments by category type (Kewpie
Corporation) [Result]Fiscal year2013
For household use
For commercial use

Fiscal year 2014
(A)

Fiscal year 2015
(B)

Change(B) - (A)

Volume (Thousands of ton)

128

125

126

1

Amount (Billions of yen)

75.4

76.1

77.3

1.2

Volume (Thousands of ton)

107

105

106

1

Amount (Billions of yen)

41.5

41.8

42.0

0.2

6. Fiscal Year 2015 Summary of net sales and operating income in overseas operations [Result](Billions of yen)

Fiscal year 2013

Fiscal year 2014
(A)

Fiscal year 2015
(B)

Change(B) - (A)

23.8

31.6

38.6

7.0

China*

8.1

11.0

14.9

4.0

Southeast Asia*

5.2

6.4

8.1

1.7

North America*

8.4

11.7

12.9

1.3

Net sales in overseas operations

Export from Japan
Operating income in overseas operations

2.1

2.6

2.7

0.1

1.2

2.8

4.0

1.3

* For overseas subsidiaries, shown as China, Southeast Asia and North America, figures are results from October to September.

7. Fiscal Year 2015 Principal items of changes in non-operating income (expenses) and extraordinary gains(losses) (comparison with the fiscal year 2014) [Result](Billions of yen)

Non-operating income(expenses), net
Extraordinary gains(losses), net

Fiscal year
2014

Fiscal year
2015

1.0

0.9

(0.8)

Change

(0.2)

1.4

2.1

26

Principal items of changes[Comparison with the fiscal year 2014]
Increase in equity in earnings of affiliates

0.2

Increase in foreign exchange losses(0.2)

Increase in extraordinary gains due to
Aohata Corporation becoming a
consolidated subsidiary and Aohata
Corporation's merger with its subsidiary

2.9

8. Fiscal Year 2015 Summary and items of changes in balance sheets (comparison with the fiscal year 2014)[Result](Billions of yen)

Fiscal year
2014

Fiscal year
2015

Items of changes[Comparison with the fiscal year 2014]

Change(Assets)
Current assets

154.6

147.9

(6.7)

Decrease in cash and deposits(5.0)

Decrease in securities(5.0)

Increase in inventories

5.5

Increase resulting from purchases

29.9

Decrease resulting from depreciation(19.1)

Increase resulting from making Aohata
Corporation a consolidated subsidiary

3.7

Increase in investment securities

2.0

Increase in assets for retirement benefits

4.2

Fixed assets
Tangible andintangible fixed
assets156.9

Investments andother assets

45.5

52.0

136.6

126.5

172.5

15.5

6.6

(Liabilities)
Decrease in notes and accounts payable(8.6)(10.1) - trade
Decrease in accounts payable - other(6.1)

Increase in earned surplus

13.1

Increase in minority interests

6.5(Net assets)

220.4

245.9

25.5

9. Fiscal Year 2015 Principal items of changes in cash flows (comparison with the fiscal year 2014) [Result](Billions of yen)

Fiscal year
2014

Cash flows fromoperating activities

34.4

Cash flows frominvesting activities(30.8)Cash flows fromfinancing activities(3.1)

Fiscal year
2015

28.1

(31.2)(7.1)

Change

(6.3)

(0.3)

Items of changes[Comparison with the fiscal year 2014]
Increase in income before income taxes
and minority interests

4.1

Decrease in notes and accounts
receivable - trade

12.3

Decrease in notes and accounts payable trade(15.3)

Increase in income taxes paid

(4.0)

Increase in purchases of tangible andintangible fixed assets(2.1)

Decrease in purchases of shares ofsubsidiaries and affiliates

2.2

Decrease in loans payable(2.8)(4.0) Increase in purchase of treasury shares ofsubsidiaries

27

(0.6)

10. Principal management indexes [Result]Fiscal year
2011

Fiscal year
2012

Fiscal year
2013

Fiscal year
2014

Fiscal year
2015

Net sales (millions of yen)

486,435

504,997

530,549

553,404

578,192

V.S. previous year (%)

3.3

3.8

5.1

4.3

4.5

20,81623,36822,402

24,343

26,441

(5.9)

12.3

(4.1)

8.7

8.6

Operating income to net sales (%)

4.3

4.6

4.2

4.4

4.6

Ordinary income (millions of yen)

21,912

24,467

23,74925,36827,311

Operating income (millions of yen)
V.S. previous year (%)

4.5

4.8

4.5

4.6

4.7

9,449

12,291

12,567

13,366

17,031

Ordinary income to net sales (%)
Net income (millions of yen)

1.9

2.4

2.4

2.4

2.9

Total net assets (millions of yen)

185,293

195,928

210,285

220,397245,929

Total assets (millions of yen)

275,790

306,515334,655

356,994

372,419

58.0

55.8

55.0

54.6

57.5

Cash flows from operating activities (millionsof yen)23,40533,24627,36934,39228,094

Cash flows from investing activities (millionsof yen)(12,166)(24,434)(21,897)(30,847)(31,181)

Cash flows from financing activities (millionsof yen)(19,583)

7,022(2,307)(3,149)(7,101)

Free cash flow (millions of yen)(operating cash flow + investing cashflow)

11,239

8,811

5,471

3,545

(3,086)

Cash and cash equivalents at the end of the
fiscal year (millions of yen)

24,50940,38743,96344,78834,841

Interest-bearing debt (millions of yen)

10,90923,18525,882

29,11030,559Paid-in capital (millions of yen)

24,104

24,104

24,104

24,104

24,104

Total number of issued shares (thousands ofshares)153,000

153,000

153,000

153,000

153,000

Net assets per share (yen)1,068.67

1,141.68

1,230.32

1,284.36

1,410.53

Net income per share (yen)

62.63

82.09

83.94

88.69

112.21

Free cash flow per share (yen)Net income ratio (%)

Equity ratio (%)

74.50

58.85

36.55

23.52

(20.34)Return on equity (%)

6.0

7.4

7.1

7.0

8.3

Ordinary income to total assets (%)

7.8

8.4

7.4

7.3

7.5

Annual dividend per share (including interim
dividend) (yen)

18.0

20.0

22.0

23.0

29.0

[interim dividend per share] (yen)

[9.0]

[9.5]

[11.0][11.5][12.5]

Price earnings ratio (times)

16.9

14.6

17.3

21.9

26.3

Dividend payout ratio (%)

28.7

24.4

26.2

25.9

25.8

Dividend on equity ratio (%)

1.7

1.8

1.9

1.8

2.2

Number of regular full-time employees

12,02812,425

12,59812,933

13,478Average number of temporary employees

10,830

11,154

11,316

11,84011,519Stock price at the end of the fiscal year (yen)

1,056

1,200

1,454

1,942

2,953

(Note)

Consumption taxes are not included in net sales.

2811. Fiscal Year 2016 Summary of net sales and operating income and factors behind changes in operating
income [Plan]
The following changes are planned in the fiscal year 2016.
 Certain sales promotion expenses and transportation and warehousing expenses will be deducted from net
sales.
 The adjusted figures for the fiscal year 2015 below may vary because an audit has yet to be completed andbecause retrospective adjustment of the figures to accord with the new accounting method applied in thefiscal year ending November 30, 2016 has not been completed.
 Domestic consolidated subsidiaries will change the depreciation method from the declining balance to thestraight-line basis.
 The figures for the fiscal year 2015 were not retrospectively adjusted for the change in the depreciation
method; however, the effect of the change as determined by year-on-year comparison is provided as thefactor behind changes in operating income.
<Net sales>(Billions of yen)

Fiscal year 2015
(Adjusted)(A)

Fiscal year 2016
(Plan)(B)

Condiments products

142.7

153.0

10.3

Egg products

104.8

110.0

5.2

Delicatessen products

101.9

114.0

12.1

Processed foods

57.7

52.5

(5.2)

Fine chemical products

11.3

12.0

0.7

Distribution system

127.7

128.5

0.8

5.9

5.0

(0.9)

552.0

575.0

23.0

Fiscal year 2015
(A)

Fiscal year 2016
(Plan)(B)

Condiments products

12.5

12.6

0.1

Egg products

5.4

5.5

0.1

Delicatessen products

2.7

4.1

1.4

Processed foods

(0.3)

(0.2)

0.1

Fine chemical products

0.4

0.7

0.3

Distribution system

4.8

5.0

0.2

Common business operations

0.9

0.3

(0.6)

26.4

28.0

1.6

Segment

Common business operations
Total

Change(B) - (A)<Operating income>(Billions of yen)Segment

Total

29

Change(B) - (A)<Factors behind changes in operating income (comparison with the previous fiscal year)>(Billions of yen)

Fiscal year
2015
(A)
Operating income

Fiscal year
2016
(Plan)(B)

26.4

Change(B) - (A)

28.0

1.6

*1. The impact from changing the depreciation method was an increase of ¥2.0 billion.
*2. Sales promotion expenses and transportation and warehousing expenses for the fiscal year 2015 were adjusted to reflect theamounts deduced from net sales.

12. Fiscal Year 2016 Capital investments and main components of selling, general and administrative expenses[Plan](Billions of yen)

Fiscal year 2015
(A)

Fiscal year 2016
(Plan)(B)

Change(B) - (A)Capital investments

32.4

39.1

6.7

Depreciation expenses

19.1

18.1

(1.0)

Sales promotion expenses*

4.1

4.8

0.7

Advertising expenses

8.7

9.0

0.3

Transportation and warehousing expenses*

26.5

28.4

1.9

Payroll expenses

28.7

30.4

1.7

Research and development expenses

4.2

4.3

0.1

* Sales promotion expenses and transportation and warehousing expenses for the fiscal year 2015 were adjusted to reflect the amounts
deduced from net sales.

3013. Fiscal Year 2016 Summary of net sales and operating income in overseas operations [Plan]<Net sales>(Billions of yen)

Fiscal year 2015
(Adjusted)(A)

Fiscal year 2016
(Plan)(B)

Change(B) - (A)

37.7

44.5

China

14.2

17.9

3.7

Southeast Asia

7.9

9.6

1.7

North America

12.9

13.9

1.0

Export from Japan

2.7

3.2

0.6

Net sales in overseas operations

6.9* For overseas subsidiaries, shown as China, Southeast Asia and North America, figures are results from October to September.

<Operating income>(Billions of yen)

Fiscal year 2015
(A)

Fiscal year 2016
(Plan)(B)

Change(B) - (A)

4.0

4.3

0.3

China

1.7

2.4

0.6

Southeast Asia

0.0

0.2

0.2

North America

1.9

1.4

(0.6)

Export from Japan

0.3

0.4

0.0

Operating income in overseas operations* For overseas subsidiaries, shown as China, Southeast Asia and North America, figures are results from October to September.

14. Fiscal Year 2016 Principal items of changes in non-operating income (expenses) and extraordinary gains(losses) [Plan] (comparison with the fiscal year 2015)(Billions of yen)

Fiscal year
2015

Fiscal year
2016
(Plan)

Non-operating income(expenses), net

0.9

1.1

0.2

Extraordinary gains(losses), net

1.4

(1.9)

(3.3) consolidated subsidiary and Aohata

ChangeItems of changes[Comparison with the fiscal year 2015]
Increase in equity in earnings of affiliates

0.2

Decrease in extraordinary gains due to
Aohata Corporation becoming a
Corporation's merger with its subsidiary31(2.9)