Notification Concerning Disposition of Surplus
2009/12/29 in Japan | Page 1/2

Tuesday, December 29, 2009For Immediate ReleaseKanamoto Company, LimitedStock Code 9678
Tokyo Stock Exchange 1st Section; Sapporo Stock Exchange
Kanchu Kanamoto
President and CEO< Contact for inquiries concerning this material >Yuichi Takayama
Manager, Investor and Public Relations, Office of the President
Telephone: + 81–11–209–1631

Notification Concerning Disposition of Surplus
At its meeting on December 29, 2009, in Board of Directors of Kanamoto Co., Limited (Kanchu Kanamoto, President;
Head Office: Sapporo, Japan), Japan’s leading construction equipment rental company, approved a resolution for
disposition of the Company’s surplus. Details are provided below.
1. Reversal of general reserve
By completing a partial reversal of the general reserve, and transferring the reversal amount to earned surplus brought
forward, the Company will eliminate the full amount of the loss in earned surplus brought forward and ensure flexibility for
its future financial strategy.
This reversal will be a transfer in the “other earned surplus” account included in “net assets” and will not have any effecton Kanamoto’s profit and loss or the amount of the Company’s net assets.
(1) Amount of decrease to reserve
General reserve¥1,900,000,000(2) Amount of increase to earned surplus
Earned surplus brought forward¥1,900,000,000(3) Effective date

January 29, 2010

2. Details of dividend
Recent dividend projection
Prior fiscal year results(Released December 4, 2009) (FY ended October 31, 2008)

AmountDate of record

October 31, 2009Same as at left

October 31, 2008

Dividend pershare¥10.00Total dividend¥328 million－¥328 million

Payment dateJanuary 29, 2010－

January 30, 2009

Funds used fordividend

Earned surplus¥10.00－¥10.00Earned surplus

Notification Concerning Disposition of Surplus
2009/12/29 in Japan | Page 2/2(Reference) Breakdown of annual dividend
Dividend per share (yen)Date of record
Current period actual
Prior period actual (FY ended
October 31, 2008)

End of second quarter¥10.00Fiscal year-end¥10.00Full-year¥20.00¥10.00¥10.00¥20.003. Kanamoto’s basic policies concerning distribution of earnings
As its basic policy concerning distribution of earnings, Kanamoto seeks to maintain a stable return of earnings to themaximum extent possible. Although Kanamoto has set a dividend payout ratio of at least 30% as its target until now, theCompany’s profit level has declined because of the recent deterioration of Kanamoto’s operating environment and the gap
with the substantive dividend payout ratio has been growing. Consequently the Company will basically maintain its target
dividend payout ratio of 30% or higher, but for the time being will use the amount of the current dividend as its target.
Specifically the Company will strive to maintain and continue its full-year dividend of ¥20 per share, consisting of aninterim dividend of ¥10 and year-end dividend of ¥10 per share.
Furthermore, the Company will utilize its internal reserves by allocating funds for capital investment including theintroduction of rental equipment assets that will serve as the source of future earnings, and for enhancing shareholders’equity. To enable the Company to flexibly implement its capital policy, Kanamoto has established a system for using
internal reserves to make purchases of treasury stock.
End