Financial Results
for the Nine Months Ended September 30, 2014 — Consolidated(Based on Japanese GAAP)
November 5, 2014

Company name

Sapporo Holdings Limited

Security code
Listings
URL

2501
Tokyo Stock Exchange (First Section); Sapporo Securities Exchange
http://www.sapporoholdings.jp/english/

Representative
Contact

Tsutomu Kamijo, President, Representative Director and Group CEO
Toshihiko Umezato, Director of the Corporate Communications Department

Telephone
Scheduled dates:+81-3-5423-7407

Filing of quarterly financial report

November 13, 2014

Commencement of dividend payments-

Supplementary information to the quarterly earnings results

Available

Quarterly earnings results briefing heldYes(mainly targeted at institutional
investors and analysts)

1. Consolidated Financial Results for the Nine Months Ended September 30, 2014
(January 1 – September 30, 2014)(Amounts in million yen rounded down to the nearest million yen)

(1) Operating Results(Percentage figures represent year-over-year changes)
Net sales

Nine months ended
September 30, 2014
Nine months ended
September 30, 2013

Operating income

Ordinary income

million yen%

million yen%

million yen%

million yen

379,380

2.7

8,291

(12.2)

7,667(13.5)%(6,608)-369,531

4.2

9,440

68.9

8,868

100.1

5,474

817.1

Note: Accumulated other comprehensive income
Nine months ended September 30, 2014

(3,059) million yen (－%）

Nine months ended September 30, 2013

18,668 million yen (585.4%)

Nine months ended
September 30, 2014
Nine months ended
September 30, 2013

Net income

Net income per
share

Diluted net income
per share

Yen

Yen

(16.95)

-

14.01

-

1

%

(2) Financial Position
Total assets

Net assets

Shareholders’equity ratio

Net assets per
sharemillion yen

million yen%

yen

September 30, 2014

607,407149,25424.0

373.93

December 31, 2013

616,752

155,36624.6

388.77

Note: Shareholders’ equity
September 30, 2014: 145,720 million yen
December 31, 2013: 151,683 million yen

2. Dividends
Dividend per share
Record date or
periodEnd Q1End Q2End Q3Year-end

Full year

Yen

yen

yen

Yen

yen

Year ended
December 31, 2013

—

0.00

—

Year ending
December 31, 2014

—

0.00

—

Year ending
December 31, 2014
(forecast)

7.00

7.00

7.00

7.00

Note: No changes were made to dividend forecasts in the nine months ended September 30, 2014.

3. Forecast of Consolidated Earnings for the Year Ending December 31, 2014
(January 1 – December 31, 2014)(Percentage figures represent year-over-year changes)
Net
Net sales

Operating income

Ordinary income

Net income

incomeper share

Year ending
December 31,
2014

million yen%

million yen%

million yen%

million yen

537,700

5.5

15,000(2.2)

13,600(10.1)(2,000)%Note: No Changes were made to earnings forecasts in the nine months ended September 30, 2014.

2

yen

-

(5.13)

4. Other*For details, see "2. Other Information" on page 10.
(1) Changes in significant subsidiaries during the nine months ended September 30, 2014: None
(2) Simplified accounting: Yes*Use of simplified accounting methods and/or accounting methods specific to quarterly consolidated
financial statements(3) Changes in accounting policy, changes in accounting estimates, and retrospective restatement
1) Changes in accordance with amendments to accounting standards etc.: None
2) Changes other than 1) above: None
3) Changes in accounting estimates: None
4) Retrospective restatement: None
Note: For details, see (2) Changes in accounting policy, changes in accounting estimates, andretrospective restatement, in section “2. Other Information” on page 10 in the accompanying
material.
(4) Number of shares issued and outstanding (common stock)1) Number of shares issued at end of period (treasury stock included):
September 30, 2014: 393,971,493 shares
December 31, 2013: 393,971,493 shares
2) Number of shares held in treasury at end of period:
September 30, 2014: 4,271,022 shares
December 31, 2013:
3,805,058 shares
3) Average number of outstanding shares during the period:
Nine months ended September 30, 2014: 389,924,923 shares
Nine months ended September 30, 2013: 390,695,181 shares*Quarterly review status
The quarterly financial results are not subject to quarterly reviews pursuant to the Financial
Instruments and Exchange Act. The quarterly review of the quarterly financial results herein had
not been completed as of the date of this document.
Appropriate Use of Earnings Forecasts and Other Important Information
This document contains projections and other forward-looking statements based on information
available to the Company as of the date of this document. Actual results may differ from thoseexpressed or implied by forward-looking statements due to various factors.

3

1. Analysis of Operating Results(1) Consolidated Financial Results for the Nine Months ended September 30, 2014
During the first nine months of 2014 (January 1 – September 30), the Japanese economy
displayed signs of a moderate recovery track, supported by the government’s economic
stimulus measures. However, the trend in personal consumption remains hard to discernwith demand affected by unseasonable summer weather and the reactionary decline
following the surge in demand ahead of the April consumption tax hike.
Amid this environment, the SAPPORO Group achieved a sizable year-on-year increase insales. The strong result was led by the Japanese Alcoholic Beverages business, which
posted a big year-over-year increase in shipments of beer and beer-type beverages. In
addition, the Food & Soft Drinks business’ overseas operations achieved a gain in sales
volumes, and the International Business fared well with steady sales volume growth inVietnam supplemented by the positive benefits of yen depreciation. As a result, the
SAPPORO Group as a whole posted a large increase in cumulative sales over the first threequarters of 2014.
Despite higher sales at the Japanese Alcoholic Beverages and Food & Soft Drinks
businesses, cumulative group operating income for the first three quarters declined, mainly
owing to higher sales promotion expenses by the International Business and lower rents
received by the Real Estate business, which had several properties undergoingredevelopment.
As a result of the above factors, in the first nine months of 2014, the SAPPORO Group
posted consolidated sales of ¥379.3 billion (up ¥9.8 billion, or 3%, year over year), operating
income of ¥8.2 billion (down ¥1.1 billion, or 12%), and ordinary income of ¥7.6 billion (down¥1.2 billion, or 14%). The Group posted a cumulative net loss of ¥6.6 billion for the first threequarters of the year (compared with net income of ¥5.4 billion a year earlier), owing to
extraordinary expenses. The Real Estate business’ decision to redevelop the Sapporo
Ginza Building at the Ginza 4-chome intersection led to the posting of ¥2.3 billion in costs
related to demolition and removal of the building. In addition, the Japanese Alcoholic
Beverage business’ voluntary decision to file a revised liquor tax return related to theinclusion of Goku Zero in a different tax rate category caused an ¥11.6 billion upward
adjustment to our liquor tax burden (including overdue tax).

Segment information is outlined below.

Japanese Alcoholic Beverages
We estimate that total domestic demand for beer and beer-type beverages in the first
three quarters of 2014 declined almost 2% year over year, with unseasonable weather
nationwide in August sharply reducing sales volumes during the peak summer month.
Under such market conditions, our Japanese Alcoholic Beverage business continued its
efforts to realize further growth by constantly providing customers with a unique value
proposal. In the first nine months of 2014, these efforts centered on implementing a new
4

vision of “seek No.1 by accumulating one-of-a-kind products” while also adhering to thecampaign slogan, “Bringing more cheer to your ‘Cheers’!”.
In the beer and beer-type beverages category, sales volumes of our Yebisu brand rose
4% year over year, supported by sales of Yebisu Natsu no Koku, available only in summer
season gift packs, and the September release of Kohaku Yebisu, a limited edition seasonalamber-colored beer.
Sales of our happoshu and new-genre beer offerings were supported by continued strong
customer support for Mugi to Hop The Gold, a richer flavored version of our popular Mugi to
Hop brand that was released in February. In addition, we again released a limited-time
release of Mugi to Hop Red in September.
Meanwhile, we discontinued the new-genre beer Goku Zero, the world’s first beer-type
beverage with zero purine bodies, following the shipment of May output. After somerevisions to the brewing process, we relaunched Goku Zero in July as a happoshu(beer-type beverage with malt content less than 25%). The new Goku Zero achieved evenhigher initial sales than its predecessor new-genre version a year earlier and continues tosell well, supported by the many customers demanding more functionality from beer-type
beverages. As a result, sales volume of our happoshu and new-genre beer offerings
increased 8% year over year.
Supported by strong sales of the core products noted above, overall sales volume of ourbeer and beer-type beverages in the first three quarters of 2014 increased 3% year overyear, beating the industrywide growth rate and therefore expanding our market share.
In the RTD* category, Sapporo Otoko Ume Sour, launched in April 2013, continued to post
solid sales. In April 2014, we added to our RTD offerings with the nationwide launch of
Sapporo Kireto Lemon Sour, the first collaboration RTD using the Food & Soft Drinks
business’ long-time core brand Kireto Lemon. The favorable market response to this newoffering and our other RTD products led to a 74% year-over-year increase in RTD productshipments in the first nine months of the year.
At our wine and liquor business, our mainstay domestic premium brand, Grande Polaire,
continued to post steady sales. We strengthened our product lineup of domestic wines with
the March launch of Polaire Sangria Rico, a new line of Sangria beverages that are enjoying
increasing popularity, especially with young women. As a result, sales of our domestic wineofferings exceeded plan, with shipments during the first three quarters up 2% year over year.
Meanwhile, shipments of our imported wines increased by 4%, lifting our total wine shipment
volume 3% higher than in the first three quarters of 2013.
Our western spirits business achieved 3% growth in sales volume for its various Bacardi
brand products, which include a Mojito RTS** cocktail made from the world’s No.1 selling
Bacardi rum as well as a number of other Bacardi-owned global power brands, such as
Bombay Sapphire, Martini, Dewar’s and Cutty Sark.
The shochu business posted 10% growth in sales volume, led by continued strong salesof Imo Shochu Kokuimo, the No. 1 selling blended imo shochu.

5Overall, our Japanese Alcoholic Beverage business posted sales of ¥204.0 billion (up¥8.7 billion, or 4%, year over year) in the first three quarters of 2014. Segment operating
income totaled to ¥5.9 billion (up ¥0.4 billion, or 8%, year over year).
* RTD, or ready-to-drink, beverages are already-mixed, low-alcohol content cocktail-likebeverages that can be consumed as is immediately after opening.
** RTS refers to ready-to-serve liquors used to make cocktails by mixing with soda and othermixers.

International BusinessIn the North American beer market in the first three quarters of 2014, we estimate that
total demand in Canada fell about 2% year over year while demand in the United States waslargely flat, despite some positive macro developments, including improving employment
conditions. The Asian beer market, however, continues to expand steadily, supported by theregion’s fast-growing economies.
In this environment, our International Business continued aggressive marketing activities
targeting the premium beer markets in North America and Southeast Asia, the two regions
where the business is concentrating its resources and efforts. Our Canadian subsidiary
SLEEMAN BREWERIES achieved a sharp year-over-year increase in its sales of premium
brands. However, its overall sales volume (excluding Sapporo brand beer) slipped 1% year
on year owing to intensifying price competition in the value-brand market segment. In the
United States, Sapporo USA saw shipments of Sapporo brands decline year over year
despite the end in April of delayed deliveries caused by the severe winter weather.
Meanwhile, Silver Springs Citrus’ profits slumped owing to the impact of rising prices oforanges used in its products.
In Vietnam, we succeeded in raising Sapporo brand awareness in the Ho Chi Minh area
thanks to continued strong marketing activities, including a TV ad campaign during theimportant Tet (New Year’s holiday) sales season. In South Korea, we steadily expanded
sales volumes in both the household and commercial markets by making good use of thesales channels of our local partners. In Oceania, we continued efforts to bolster sales
primarily through our brewing licensing agreements, and in Singapore we worked with our
local subsidiary to expand sales channels in the local household market. The efforts outlined
above enabled the International Business to achieve an overall increase in shipments of
Sapporo brand products in its core markets, despite weak volumes in North America,
compared with the same period of the previous year.

As a result, the International Business posted sales of ¥37.0 billion (up ¥0.7 billion, or 2%,
year over year) in the first three quarters of the year, as the benefits of a weaker yen
overcame a decline in shipment volume in North America. However, the segment posted an
operating loss of ¥0.0 billion (compared with operating income of ¥1.0 billion a year earlier).

6

Food & Soft Drinks
We estimate that overall domestic demand for soft drinks in the first nine months of 2014
slipped 1% year over year owing in part to the negative impact of unseasonable weather.
We estimate that overall demand for lemon-based products (flavorings) was largely flat (*1)
while that for instant soup (including soups in a cup) increased 5% (*2).
In this environment, the SAPPORO Group’s Food & Soft Drinks business started its
second year of integrated operations as POKKA SAPPORO Food & Beverage Ltd. The
subsidiary is concentrating investments on core brands as it endeavors to strengthen andnurture its various brands.
The domestic food and soft drinks business strengthened its lineup of domestic soft drink
brands with the April launch of Green Shower, a nonsweetened carbonated water drink withthe aroma of hops. Vending machine sales of our coffee drinks, however, weakened amid amarketwide shift to lower-priced offerings and convenience store over-the-counter sales offresh brewed coffee. Meanwhile, we strengthened our product lineup in the lemon & natural
foods category by launching new and improved versions of Kireto Lemon and Kireto Lemon
Sparkling in September. We also strengthened our Pokka Lemon 100 brand with the launchof Marugoto Lemon Syrup, the latest expression of our goal of expanding applications forthe use of our lemon-based products. Among our foreign brands, Gerolsteiner naturally
carbonated water from Germany entered its 10th year on the Japanese market. We also
continued our efforts to stimulate the market for hard drinking waters in Japan throughContrex and Vittel bottled natural mineral waters. In the soup and related foods category, weachieved steady sales gains as we expanded the product lineup of our Jikkuri Kotokoto
Kongari Pan series. We also launched a new line of powdered soups, Medish Soup, tosupport the nutritional needs of people requiring nursing care. The commercial-use products
category also posted solid sales increases, led by our lemon and beverage products as wellas our soup, dessert, and powdered tea offerings. In new product categories, in July we
added to our Delicious Japan series with the introduction of Uwajima Blood Orange, acarbonated juice beverage using blood orange juice from Uwajima, Ehime Prefecture.
In the segment’s domestic restaurants business, the Café de Crié coffee shop chain
overcame the adverse effect of unseasonable weather in August and achieved steady sales
supported by timely menu revisions responding to customer needs and local preferences.
The segment’s overseas soft drinks business also turned in a solid performance,increasing sales in its home base in Singapore despite intensifying price competition while
also steadily expanding exports. In July, we paved the way for expansion of the Pokka brandinto Myanmar when we signed an agreement licensing production of Pokka brand products
to a local company. In addition, we plan to begin production in October at a plant in Malaysia
for products that have received Halal certification.
The segment’s overseas restaurant business struggled somewhat in the first nine monthsof 2014 amid the economic slowdown in Hong Kong.
As a result of the above, the Food & Soft Drinks segment recorded sales of ¥97.6 billion in
the first three quarters of the year (up ¥1.6 billion or 2% year over year). The segment’s
operating loss came to ¥1.2 billion (compared with a ¥1.5 billion loss a year earlier).
7

(*1)(*2) data sources: Year-over-year total sales value comparisons for January–
September 2014 for the lemon foods market (Sapporo definition) and the instant soupmarket based on Intage SRI research on the supermarket and convenience store industries.

Restaurants
Japan’s restaurant industry has been faring relatively well, with the expected decline in
consumer spending after the consumption tax having a rather limited impact on customer
traffic. However, the operating environment has remained challenging, with the adverse
impact of unseasonable summer weather exacerbated by material costs inflated by the
weak yen and rising labor costs.
In this environment, our Restaurants business pursued the fulfillment of its corporate
philosophy of “Enhancing the Joy of Living” by continuing its efforts to deliver safe andsound food and service while endeavoring to create restaurants that “deliver 100%
satisfaction to customers.”
During the first nine months of 2014, we opened 15 new outlets, including the first outlet in
our new Bier Keller Tokyo chain of casual beer halls in Shinbashi, new shops in our core
Ginza Lion beer hall chain, and food & beverage stalls and restaurants operated on acontract basis in sports facilities. The new openings bring to 188 the number of outlets
operating as of the end of September 2014. In addition, we continued efforts to renovate
existing outlets, including shifting some to new formats, as we seek to provide customers
with more comfortable and enjoyable spaces to eat and drink.
Overseas, we will celebrate the first anniversary of the October 2013 opening of our first
Ginza Lion Beer Hall in Singapore by opening our second hall in the city-state this October.
Overall, the Restaurants business posted sales of ¥19.9 billion in the first nine months of2014 (down ¥0.3 billion or 2% decline year over year). Segment operating income was ¥0.0
billion (down ¥0.1 billion or 58% decline year over year).

Real Estate
Japan’s real estate industry moved into a recovery trend, with vacancy rates in the
Greater Tokyo office leasing market continuing to improve and rents rising, albeit
moderately.
Amid such market conditions, our real estate leasing business saw a temporary drop in
the occupancy rate at its core property, Yebisu Garden Place, owing to the exit of a large
tenant at the expiration of the lease contract in May. However, the business is steadily
progressing with its efforts to find replacement tenants, and occupancy rates at otherproperties remain at high levels.
We continued efforts to enhance the appeal and value of Yebisu Garden Place, which thisyear is celebrating the 20th anniversary of its opening. These efforts are focused onproviding tenants and visitors with enjoyable experiences in comfortable and pleasantsurroundings. In April, we welcomed a large upscale restaurant as a new tenant on thecommercial-use floor and also undertook a major renovation of public-use floors. We alsodecided to open a movie theater based on a new concept in spring 2015. At the complex’s
8rental housing building, we carried out renovations designed to enhance the building’s
comfort level and amenities, including refurbishing the entrance hall, improving thebuilding’s barrier-free and universal design features, and replacing standard equipment ineach apartment unit. At the complex’s office tower, in March we completed the installation of
emergency power-generating systems that will supply electricity to tenant spaces during
disasters or other emergency situations, helping to ensure the continuity of tenants’business operations. We also are continuing work to ensure power supply to public-use
areas of the building during a disaster, with completion of this work scheduled for spring2015.
The real estate development business opened the doors to Ebisu First Square asscheduled on 30 September, overcoming concerns about a possible delay caused by rising
construction costs and labor shortages. Expected to be a new center of activity in Tokyo’s
Ebisu district, the building opened with full occupancy, and the new tenants have praised thebuilding’s safety and environmental features as well as the comfort of its office spaces. In
February, we made a final decision to redevelop the Sapporo Ginza Building at the Ginza
4-chome intersection, and in April demolition work on the old building began, targetingcompletion in May 2016. We are now moving forward with project planning that will keep
costs under control while creating a new building with an exterior design in harmony with the
Ginza landscape and suitable for a new landmark in the area.
As result of the efforts outlined above, the Real Estate business posted sales of ¥16.2
billion during the first nine months of 2014 (down ¥0.5 billion or 3% year over year).
Operating income totaled ¥6.2 billion (down ¥0.5 billion or 8%).

(2) Review of Consolidated Financial Condition
Consolidated Financial Condition
Consolidated assets as of the end of the third quarter on September 30, 2014, totaled¥607.4 billion, a ¥9.3 billion decrease from the end of the previous fiscal year (December 31,2013), as a decrease in notes and accounts receivable - trade offset increases inmerchandize and finished products, buildings and structures, and investment securities.
Consolidated liabilities totaled ¥458.1 billion, a ¥3.2 billion decrease from December 31,
2013, primarily reflecting a decrease in short-term bank loans and in liquor taxes payable,
which more than offset increases in the current portion of bonds and long-term bank loans.
Consolidated net assets totaled ¥149.2 billion, a ¥6.1 billion decline from December 31,
2013. The decline is primarily owing to the distribution of year-end dividends and thebooking of a net loss for the three quarters of the current fiscal year, which combined tooffset an increase in unrealized holding gain on securities.

(3) Consolidated Earnings Forecast
The consolidated earnings forecast for the full fiscal year ending December 31, 2014 isunchanged from the forecast announced by the Company on August 5, 2014.

9

2. Other Information(1) Changes in significant subsidiaries during the nine months ended September 30,
2014
Not applicable(2) Application of accounting methods specific to the preparation of quarterly
consolidated financial statements(Calculation of tax liabilities)
The Company calculates tax liabilities by producing a reasonable estimate of the effective
tax rate after applying tax-effect accounting to income before taxes and minority interests
for the fiscal year, which encompasses the nine months ended September 30, 2014, andthen multiplying income (loss) before taxes and minority interests by this estimatedeffective tax rate.
(3) Changes in accounting policy, changes in accounting estimates, and retrospective
restatement
Not applicable103. Consolidated Financial Statements(1) Consolidated Balance Sheets(millions of yen)

AssetsI Current assets
1 Cash and cash equivalents
2 Notes and accounts receivable - trade
3 Merchandize and finished products
4 Raw materials and supplies
5 Other
6 Allowance for doubtful receivables
Total current assets
II Fixed assets
1 Property, plant and equipment(1) Buildings and structures
Accumulated depreciation
Buildings and structures, net(2) Machinery and vehicles
Accumulated depreciation
Machinery and vehicles, net(3) Land(4) Construction in progress(5) Other
Accumulated depreciation
Other, net
Total property, plant and equipment
2 Intangible assets(1) Goodwill(2) Other
Total intangible assets
3 Investments and other assets(1) Investment securities(2) Long-term loans receivable(3) Other(4) Allowance for doubtful receivables
Total investments and other assets
Total fixed assets
Total assets

11

December 31, 2013

September 30, 2014

AmountAmount11,55287,14820,832
13,552
14,479(228)
147,336

11,503
67,25725,743
13,42817,244(201)
134,975

390,326(212,741)
177,585
218,275(176,691)
41,583
115,056
5,668
37,757(24,768)
12,988352,882

396,897(215,037)
181,859
222,128(179,667)
42,461
115,187
2,556
36,491(23,820)
12,670354,734

34,418
7,566
41,98531,5696,571
38,14051,221
9,544
15,109(1,326)74,548469,416
616,752

57,0489,226
14,599(1,317)79,556472,432
607,407

Liabilities
I Current liabilities
1 Notes and accounts payable - trade
2 Short-term bank loans
3 Commercial Paper
4 Current portion of bonds
5 Liquor taxes payable
6 Income taxes payable
7 Accrued bonuses
8 Deposits received
9 Other
Total current liabilities
II Long-term liabilities
1 Bonds
2 Long-term bank loans
3 Employees' retirement benefits
4 Dealers' deposits for guarantees
5 Other
Total long-term liabilities
Total liabilities

December 31, 2013

September 30, 2014

AmountAmount35,902
63,64225,00033,7003,837
2,090
10,82452,309227,308

33,99539,77329,00012,00021,084
495
2,918
9,136
62,532210,936

52,000107,185
5,907
32,42336,561
234,077
461,386

50,000121,290
5,265
32,33738,323
247,216
458,153

53,88645,91137,409(1,311)
135,896

53,88645,911
27,959(1,508)126,250

15,4674314
15,786
3,683
155,366
616,752

18,782(10)697
19,4693,534
149,254
607,407-

Net Assets
I Shareholders' equity
1 Common stock
2 Capital surplus
3 Retained earnings
4 Treasury stock, at cost
Total shareholders' equity
II Accumulated other comprehensive income
1 Unrealized holding gain on securities
2 Deferred hedge gains (losses)
3 Foreign currency translation adjustments
Total accumulated other comprehensive income
III Minority Interests
Total net assets
Total liabilities and net assets

12(2) Consolidated Statements of Income

I Net sales
II Cost of sales
Gross profit
III Selling, general and administrative expenses
1 Sales incentives and commissions
2 Advertising and promotion expenses
3 Salaries
4 Provision for accrued bonuses
5 Retirement benefit expenses
6 Other
Total selling, general and administrative expenses
Operating income
IV Non-operating income
1 Interest income
2 Dividend income
3 Equity in earnings of affiliates
4 Foreign exchange gains
5 Other
Total non-operating income
V Non-operating expenses
1 Interest expense
2 Other
Total non-operating expenses
Ordinary income
VI Extraordinary gains
1 Gain on sales of property, plant and equipment
2 Gain on sales of investment securities
Total extraordinary gains
VII Extraordinary losses
1 Loss on disposal of property, plant and equipment
2 Loss on sales of property, plant and equipment
3 Loss on impairment of property, plant and equipment
4 Loss on devaluation of investment securities
5 Loss on sales of investment securities
6 Additional liquor tax paid and other
7 Compensation expenses
8 Business structure improvement expenses
Total extraordinary income
Income (loss) before income taxes and minority interests
Income taxes
Income (loss) before minority interests
Minority interests
Net Income

Nine months ended
September 30, 2013
Amount369,531
237,193
132,337(millions of yen)
Nine months ended
September 30, 2014
Amount379,380
244,808
134,572

23,755
16,36822,6271,844
2,535
55,765
122,897
9,440

24,52817,872
23,361
1,917
2,313
56,287
126,281
8,291

194
533
113
468
831
2,142

171
494
196
182
663
1,706

2,069
644
2,713
8,868

1,846
484
2,330
7,667

60
3,491
3,551

74
207
281

413

185
912
11,508
6,112
5,395
(79)
5,474

1,561
96
41
11
0
11,685
1,618
15,015(7,066)(245)(6,820)(211)(6,608)5,395(6,820)

9,958
61
3,252
13,272
18,668

3,315
(29)
475
3,760
(3,059)18,230438(2,925)
(133)

289
20
3
-

Income (loss) before minority interests
Other comprehensive income
Unrealized holding gain on securities
Deferred hedge gains (losses)
Foreign currency translation adjustments
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of the parent
Comprehensive income attributable to minority interests13(3) Notes on the Going-concern Assumption
Not applicable(4) Segment Information
Ⅰ

Nine months ended September 30, 2013 (January 1, 2013 – September 30, 2013)

1. Sales, income, and loss by reportable segment(millions of yen)
Reportable segments
Japanese
Alcoholic
Beverages

International Food&
Restaurants
Soft Drinks

Real
Estate

Total

Other *1

Total

Amounts
reported on
Adjustments thestatements
of income *2

Net sales(1) Operating revenues

195,331

36,236

95,98020,277

16,857364,683

4,847

1,908

54

198

0

1,979

4,141

14,246

197,239

36,291

96,17920,27818,837368,825

19,093

5,545

1,035

(1,523)

226

6,788

12,072113(2) Intra-group sales and transfers
Total
Segment income (loss)

369,531
18,388387,919
12,186-

369,531(18,388)(18,388)369,531(2,746)

9,440

Notes:(1) "Other" comprises businesses, such as logistics businesses, that are not included in reportable segments.
(2) Segment income and losses are adjusted based on operating income reported on the quarterly consolidated statements of income for the corresponding period.

2. Reconciliation and main components of differences between income and loss of reportable segments and figures on the statement of income(information on differences)(millions of yen)Segment income (loss)

AmountTotal for reportable segments
Total other income
Unallocated corporate costs
Intra-segment sales
Operating income on the statement ofincome12,072113(2,568)
(177)
9,440

3. Impairment loss on fixed assets or goodwill by reportable segment(Significant impairment losses on fixed assets)
Not applicable(Significant changes in the amount of goodwill)
Not applicable(Material Gain on negative goodwill)
Not applicable

14

-

Ⅱ

Nine months ended September 30, 2014 (January 1, 2014 – September 30, 2014)

1. Sales, income, and loss by reportable segment(millions of yen)
Reportable segments
Japanese
Alcoholic
Beverages

International Food&
Restaurants
Soft Drinks

Real
Estate

Total

Other *1

Total

Amounts
reported on
Adjustments thestatements
of income *2

Net sales(1) Operating revenues

204,057

37,02197,64019,932

16,282374,934

4,446

1,926

71

214

3

1,969

4,185

14,424205,983

37,09297,855

19,935

18,252

379,119

18,871

5,991

(77)

(1,253)95

6,257

11,014208(2) Intra-group sales and transfers
Total
Segment income (loss)

379,380
18,610397,991
11,223-379,380(18,610)(18,610)379,380(2,932)

8,291-

Notes:(1) "Other" comprises businesses, such as logistics businesses, that are not included in reportable segments.
(2) Segment income and losses are adjusted based on operating income reported on the quarterly consolidated statements of income for the corresponding period.

2. Reconciliation and main components of differences between income and loss of reportable segments and figures on the statement of income (information ondifferences)(millions of yen)Segment income (loss)

AmountTotal for reportable segments
Total other income
Unallocated corporate costs
Intra-segment sales
Operating income on the statement ofincome11,014208(2,835)(96)
8,291

3. Impairment loss on fixed assets or goodwill by reportable segment(Significant impairment losses on fixed assets)
Not applicable(Significant changes in the amount of goodwill)
Not applicable(Material Gain on negative goodwill)
Not applicable(5)Notes on Significant Changes in the Amount of Shareholder's Equity
Not applicable(6)Subsequent Events
Not applicable15