Investor
I n f o r m a t i on

2011

Consolidated Financial Highlights
Net Sales

Operating Income
Millions of yen

Millions of yen

500,000

30,00025,327372,306

400,000

318,700

315,175

351,262

342,754

20,62420,00018,457300,000
200,000

7,705

10,000100,000

3,343
0

0

07/3

08/3

09/3

10/3

11/3

07/3

Ordinary Income

08/3

09/3

10/3

Net Income (Loss)
Millions of yen

30,000

11/3

Millions of yen
25,00026,21623,08820,00019,02220,00019,97915,00013,29910,0009,215

10,000

5,000

3,902

1,655

–2,313

103

10/3

11/3

0
–5,000

0

07/3

08/3

09/3

10/3

11/3

07/3

Total Assets

08/3

09/3

Total Net Assets
Millions of yen

Millions of yen
500,000

800,000

600,000

567,722627,683
537,211556,780

593,023400,000

385,298

360,376342,231357,076

344,658

08/3

09/3

10/3

11/3

300,000
400,000
200,000
200,000

100,000

0

0

07/3

08/3

09/3

10/3

07/3

11/3

Contents
1

To Our Stakeholders

10

Consolidated Financial Statements

2

The Group Management Plan 2014

14

Major Indices3

At a Glance

16

Segment Information

4

Organization

17

TBS Television5

Corporate Data

20

Financial Data of Major Group Companies

6

Business Report

Financial Figures
The financial figures used in this report are those used in the Japanese “Tanshin,” which has been created in accordancewith the provisions set forth in the Japanese Financial Instruments and Exchange Act. Thus, all figures have been rounded
down to the nearest million yen.

Forward-Looking Statements
This report contains forward-looking statements based on management’s assumptions and beliefs in light of theinformation currently available. These statements are subject to risks and uncertainties that could cause actual results todiffer materially from those discussed in this report. Such risks include, but are not limited to, market trends, economic
conditions and changes in industry regulations.

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2011

To Our Stakeholders

In 2011, Tokyo Broadcasting Systems, Inc. (“TBS”)
celebrates its 60th anniversary. This year also marks
the commencement of digital broadcasting in Japan.
TBS began life 60 years ago as Radio Tokyo. All of
us in Japan have come a long way since then, and our company has changed a lot. But one thing
has not changed: our dedication to “becoming the best and not the biggest broadcaster.”
Sixty years is also the length of the Chinese sexagenary cycle, or the “Ten Heavenly Stems andthe Twelve Earthly Branches.” In other words, this anniversary marks a new birth or starting point.
We at TBS have decided to use this opportunity to reexamine our roots as a company thatcares deeply about people. That’s why we’ve launched the TBS Heart Project, a campaign that
invites listeners and viewers to submit drawings of any kind of heart they choose, which we will
use to design one large heart logo. This spring, we began rolling out programs and events thathighlight our desire to win the hearts of our viewers and listeners by creating quality programmingand contents.
At the same time, to fulfill our mission as a news organization, we are dedicated to offering ourviewers and listeners the most accurate and highest-quality information possible from an array ofdifferent viewpoints and perspectives in a compelling and appealing range of formats.
At TBS we feel strongly that all our employees are members of the same team. Together, in thisspirit, we will strive to increase our corporate value as a broadcaster and to consolidate the overall
strength of the TBS brand, while maintaining our commitment to creating quality contents—fromnews and entertainment to culture and lifestyles—that resonates with consumers and shows how
much we care about people.
You can expect a lot from TBS in the years ahead.

Toshichika Ishihara, President
Tokyo Broadcasting System Holdings, Inc.
Tokyo Broadcasting System Television, Inc.

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20111

The Group Management Plan 2014

Numerical Targets of“Group Management
Plan 2014”

The Company and the Group will continue to use televisionand radio broadcasting to serve the public’s right to accessinformation, and to provide quality entertainment that willappeal to a wide range of audiences. At the same time, inorder to make further progress as a leading company in theConsolidated net sales

Plan” in 2006 as a medium-term management plan of the(Unit: billion yen)

FY2014FY2011¥342.7

digital contents business, the Company announced “V! up¥400.0Group and has been working since on the implementationof the plan. In order for the Group to achieve sustainablegrowth by responding flexibly to the drastic changes in thecorporate environment inside and outside of Japan, both
now and in the future, the medium-term management plan
was revised to “Group Management Plan 2014” for theConsolidated operating income to net sales

period leading to 2014, with the intent to make an all-out
effort for a successful implementation.

FY2014FY2011

2.2%

7.0%

Our goal under “Group Management Plan 2014” is tolink the broadcasting business to multi-visual ventures andcultural events, and the real estate and other businesses toachieve net sales of ¥400 billion and a ratio of consolidated
operating income to net sales of 7% on a consolidated basis
in 2014, mainly by pushing the broadcasting business to a

TBS share among five key broadcasters

leading position within the industry in terms of average
all-day audience ratings of terrestrial TV programs by 2014
and increasing our sales share of TV spot advertising to more

FY2014FY2011

19.8%

25.0%

than 25% of the five broadcasters based in Tokyo.
Through “Group Management Plan 2014,” the Groupaims to establish a position as the “best media group” interms of delivering the “most powerful contents,” thereby
maximizing the corporate values of the Company and of theGroup, as well as the common interests of the shareholders.
At the same time, the Group will aspire to fulfill the
mandate of our shareholders.
(Note) “Group Management Plan 2014” is currently under review forpotential revision in view of the effect of the Great East Japan
Earthquake that occurred on March 11, 2011 and other changes inthe external environment surrounding the Group that occurred after
the initial establishment of the Group Management Plan. If, as aresult of this review, there are any changes in facts andcircumstances that warrant disclosure, they will be announced
separately in an appropriate and timely manner.

2

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2011At a Glance

Our Business
The Group covers a wide range of businesses essentially including broadcasting.
Our aim is to become the best media group that provides the most powerfulcontents and software in the areas of information, entertainment, lifestyle and culture.

Terrestrial TV
broadcasting
Satellite
broadcasting

Terrestrial
radio
broadcasting

Planning &production ofaudio & visualcontents

Net & mobile
contents

Miscellaneous
retailing

Real estateleasing

BaseballEating &drinking
establishments

Manufacture &sale ofcosmetics

Business Activities (Year ended March 31, 2011)(Unit: billion yen)

Real Estate Business
¥16.3

4.8%
Multi-Visual Ventures
and Cultural Events
Business¥129.5

Broadcasting Business¥196.8

57.4%

37.8%

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20113

Organization(As of January 1, 2011)

Tokyo Broadcasting System Holdings, Inc.
Broadcasting BusinessTokyo Broadcasting System Television, Inc.

Multi-Visual Ventures and Cultural Events Business
StylingLife Holdings Inc.

Light-up Shopping Club Inc.

PLAZASTYLE CORPORATION
B&C LABORATORIESCP COSMETICS

TBS Radio & Communications, Inc.
Grand Marche, Inc.

Maxim’s de Paris Ltd.

TBS-VISION, Inc.
TC Entertainment Incorporated
FF TOHO INC.
YOKOHAMA BAYSTARS BASEBALL CLUB, INC.
ProCam, Inc.
AKASAKA Video Center Co., Ltd.

TBS TriMedia, Inc.
NICHION, Inc.

DREAMAX TELEVISION, INC.

TBS Service, Inc.

AKASAKA GRAPHICS ART, INC.

OXYBOT, Inc.

Art Communication System, Inc.
Real Estate Business

Equity-method affiliates

Akasaka Heat Supply Co., Ltd.

BS-TBS, INC.

TELECOM SOUND, Inc.
Japan Artvideo Service Collaborative, Inc.

Tomo-Digi Corporation
Midoriyama Studio City, Inc.

Vucast, Inc.
TBS International, Inc.
TBS MEDIA RESEARCH INSTITUTE INCORPORATED

4

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2011

Totsu Inc.
TBS Sunwork, Inc.
TLC Co., Ltd.
TBS Kikaku Co., Ltd.

RG MARKETING CO., LTD.

Corporate Data
(As of April 1, 2011)

Date of Establishment May 10, 1951 (Registered on May 17)
Head Office

5-3-6 Akasaka, Minato-ku,
Tokyo 107-8006, Japan
URL: http://www.tbsholdings.co.jp/
Stock code: 9401, TSE First Section

Paid-in Capital¥54,986,892,896

Scene of sub-control room at TBS Television

Number of Employees Tokyo Broadcasting System Holdings, Inc.
Tokyo Broadcasting System Television, Inc.
TBS Radio & Communications, Inc.

433
891
53

On set at TBS Television studio

Akasaka Biz Tower

TBS Holdings Head Office

Akasaka Sacas Kizuna Project event

Major Shareholders(as of March 31, 2011)

Number of shares held
(shares)

Percentage held(%)

Rakuten, Inc.

37,770,700

19.83

The Master Trust Bank of Japan, Ltd.
(Pension Account-Pension Trust Account held for DENTSU INC.)

9,310,500

4.88

The Master Trust Bank of Japan, Ltd.
(Trust Account)

8,249,900

4.33

Nippon Life Insurance Company

7,821,735

4.10

Mainichi Broadcasting System, Inc.

6,166,000

3.23

Sumitomo Mitsui Banking Corporation

5,745,267

3.01

Mitsui Fudosan Co., Ltd.

5,713,728

3.00

MITSUI & CO., LTD.

4,288,000

2.25

BIC CAMERA INC.

4,190,000

2.20

Kodansha Ltd.

3,771,200

1.98

Name of shareholder

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20115

Business Report(From April 1, 2010 to March 31, 2011)

The Current Position of Tokyo Broadcasting System Holdings, Inc.
and Its Subsidiaries

1

Business Activities and Results

During the fiscal year under review, the Japanese economy has
stayed the course toward recovery for the most part,
supported by favorable corporate production activities andexports. However, the Great East Japan Earthquake that
occurred on March 11, 2011 inflicted a dramatic change inthis trend and the economic environment was aggravatedunder strong downward pressure created in part by asignificant drop in various production activities due to thedamage to production facilities and disruption of distribution
logistics, combined with the effect of scheduled rolling
blackouts.
In the broadcasting industry, the spot advertising market,
which had been sluggish, started to rally gradually from thesecond half of the previous fiscal year. Time sales also showedsome signs of bottoming out at last in the second half of the
fiscal year under review. However, the earthquake was a major
blow to the broadcasting industry as well and spot advertisingmarket conditions deteriorated rapidly.
In this operating environment, the Group celebrated its
60th anniversary and, taking that as a great opportunity,
aggressively offered special programs and major sports
programs, in addition to working to further strengthen its core
television and radio programs. Furthermore, the Group worked
to build operating revenues and business development
revenues through events held in the Akasaka Sacas commercial
complex and made other efforts to ensure revenues from a
broad range of business segments.
Although as a result of these developments, consolidated
net sales of the Group in the fiscal year ended March 31, 2011
decreased by 2.4% from the previous fiscal year to ¥342,754
million, ordinary income increased considerably by 136.1% to¥9,215 million. Although loss on valuation of investment
securities was recorded, net income was ¥103 million, an
improvement of ¥2,417 million from the previous fiscal year.
In the past, the Group’s operations were segmented into‘‘Broadcasting Business,” ‘‘Multi-Visual Ventures and Cultural
Events Business,” ‘‘Real Estate Business,” and ‘‘Others” forreporting purposes. Starting from the fiscal year under review,
the Group has changed its segmentation and ‘‘Broadcasting
Business,” ‘‘Multi-Visual Ventures and Cultural Events
Business,” ‘‘Real Estate Business” are used for segment
reporting.
In order to present the change from the previous fiscal
year, the previous fiscal year’s results were recalculated basedon the new business segment classification.

6

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2011

Broadcasting BusinessAlthough consolidated net sales from the Broadcasting Businessdecreased by 2.2% from the previous fiscal year to ¥196,860
million, operating loss improved by ¥8,158 million to ¥2,166
million.

Television
On April 1, 2009, the Company split off Tokyo Broadcasting
System Television, Inc. (‘‘TBS Television”), to which the
Television Business was transferred, together with the TV
broadcasting license.
Terrestrial television time sales declined particularly withregard to regular programming in the programming changes in
April though they stopped declining in the programmingchanges in October, maintaining the level of the first half of the
fiscal year. In spite of the significant contribution of programsin the special programming such as the FIFA World Cup, the2010 FIVB Women’s Volleyball World Championship, and theTBS 60th Anniversary Drama, total terrestrial television timesales fell short of the figure from the previous fiscal year as theeffect of the decline in revenue from regular programming wasmore significant.
Spot sales increased from the previous fiscal year as the
spot advertising volume in the Tokyo region was firm
throughout the fiscal year under review, with steady growth insuch sectors as ‘‘entertainment and hobbies,”‘‘pharmaceuticals,” ‘‘restaurant and hospitality,” and‘‘automobiles and transportation equipment.”
Immediately after the outbreak of the Great East Japan
Earthquake on March 11, 2011, we aired special news
programs for three days without inserting commercials andadvertising revenue during that period dropped accordingly.
The average audience rating of TBS Television across alltime slots for the fiscal year under review decreased by 0.1
percentage point from the previous fiscal year to 6.5%, though
the average ratings for the golden time slot (7 p.m. to 10 p.m.)and for the prime time slot (7 p.m. to 11 p.m.) both increased
by 0.2 percentage point to 9.7% and 9.9%, respectively. The
comparison between the first half and second half of the fiscal
year shows a good sign for the future as the average audienceratings improved in the second half of the fiscal year by 0.1
percentage point across all time slots, by 0.8 percentage point
for the golden time slot, and by 0.6 percentage point for theprime time slot. In particular, Mino Monta no Asa Zuba!,
Hanamaru Market, and Hiruobi enjoyed higher audienceratings due to the effect of the Kokoro Genki Week (‘‘Heart
Energy Week”) project in which several heartwarming episodes,
among others, were aired during across-the-board information
programs for two weeks starting January 31, 2011. Moreover,the audience ratings also rose for news programs such as

JNN television network coordinated all-out news gathering

N Suta and NEWS23X, which is an additional factor in favor ofefforts and reported day-to-day developments regarding thefuture programming.
In the variety show category, Pittanko Kankan and Nakai
Masahiro’s SMAP Friday contributed to the solid ratings bothas regular and special programs. In addition, SECRET ARASHI’STV SHOW has grown to be one of the most popular TBS
Television programs, scoring consistently high audience ratings.
In terms of information programs, Information 7 Days
Newscaster, which takes up various incidents and accidents ina timely manner, boasts high popularity (yearly average
audience rating of 12.8%) as a weekend news and information
program. Meanwhile, in a 2-hour program Supamoku!! fromThursday 7 p.m., we actively aired special programs that havethe potential to grow into regular programs. We have also
strived to develop novel programs to be aired in other timeslots such as late at night.
In the drama category, we aired 99 Nen no Ai—JapaneseAmericans five nights in a row as a TBS 60th anniversary special
series in November 2010, which received a high average
audience rating of 15.4% in addition to favorable review on its
contents. Furthermore, a special drama Kikoku featuring theend of World War II, which provided the audience with anopportunity to revisit the significance of war to the Japanesecitizens, also recorded a high average audience rating of
14.7%. In terms of regular programming, SHINZANMONO andFuyu no Sakura, both of which were aired on Nichiyo Gekijo,
delivered outstanding results with average audience ratings of
15.2% and 14.0%, respectively, while Relentlessness is Found
Everywhere remained one of the audience’s favorites (with anaverage rating of 12.8%).
In the sports category, Germany vs. England, which was
one of the drawing cards in the first round of the FIFA World
Cup tournament, gained an average audience rating of 18.9%,
while Japan vs. Paraguay in the same tournament, which drew
nationwide attention, recorded a historic high of 57.3% interms of audience ratings ever attained by TBS Television. The
2010 FIVB Women’s Volleyball World Championship—Japan,
aired under the united efforts of the whole Company, createdimmense excitement with outstanding average rating results of
21.6% for Japan vs. Brazil and 20.5% for Japan vs. USA in the
final round, owing partly to the exceptional achievement by the
all-Japan team, who won a medal in the World Championshipfor the first time in 32 years. In the world of professional
boxing, ‘‘the WBA World Flyweight Title Match, Daiki Kameda
VS. Takefumi Sakata” marked an average audience rating of
14.6%, while the WBC World Minimumweight Title Match,
Oleydong Sithsamerchai VS. Kazuto Ioka” resulting in Ioka
winning the world title in the seventh match after his
professional debut, the fastest record for a Japanese boxer.
In the news category, N Suta in the evening and NEWS23X
late at night, both of which started in spring 2010, haveestablished themselves firmly as two biggest feature news
programs. Upon the outbreak of the Great East Japan
Earthquake, all broadcasting stations affiliated with the Group’s

status of the afflicted regions and the quake-stricken nuclear
power plants. Based on the recognition that the earthquake isa big theme that continues to warrant all-out efforts by ourentire television and radio network going forward, we aremaking various efforts that are aimed at supporting the victims
and helping the recovery and restoration of the afflicted
regions, for example, through the Kizuna Project (‘‘Bonds
Project”) organized immediately after the outbreak of theearthquake.
As of March 31, 2011, 28 companies throughout Japan
were affiliated with the Group’s JNN television network. The
number was unchanged from the previous fiscal year.
Digital satellite broadcasting services continued to achieve
steady market penetration, with cumulative receiver shipmentsof 106.00 million units as of March 31, 2011. In this operating
environment, BS-TBS, INC., an equity-method affiliate,continued to post net income each fiscal year including the
fiscal year under review by providing high-quality programs
while striving to restrain costs.
Note: All audience ratings are household audience ratings in the Kanto
region, surveyed by Video Research Ltd.

RadioOn October 1, 2001 the Company split off its radio
operation as a separate company, TBS Radio &Communications, Inc. (TBS R&C), to which the broadcasting
license was transferred.
Total time sales increased from the previous fiscal year asa result of robust revenue from advertising by major sponsors
targeted at the middle-aged and elderly, traffic information
sales during the year-end and new-year holidays, online
advertisement in morning-time across-the-board programs
etc., supported by favorable audience ratings despite thesignificant impact of the Great East Japan Earthquake.
Spot sales were also higher than the previous fiscal year
as longer-length spot advertising continued to be firm,with additional contribution by placement of major ads inprograms aimed at cheering up students preparing
for an entrance examination, despite the effect of
the earthquake.
In terms of programming, Keiko Kojima Kira Kira, aweekday afternoon program, continued to boast highpopularity, while Dig, a news exploration radio program airedin the night on weekdays which started in April 2010, hasbeen strongly supported, in particular, by both male andfemale audience in their 40s.
Ranking first in audience rating surveys in the Tokyo
Metropolitan Area for 58 consecutive periods (nine years andeight months) since the first survey conducted in the period
ending August 2001, TBS R&C has made its position as aleading radio company in the Tokyo metropolitan areapermanent.
In relation to the Great East Japan Earthquake, we aired

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20117

special news programs for a continued period of more than
190 hours immediately after the outbreak of the disaster on
March 11, 2011 until the programming returned to normal.
We also launched a campaign to provide the afflicted regionswith radios, which can serve as a valuable information sourcein disaster situation and the audience responded to thecampaign by donating about 6,700 radios. We were able tosend most of them after making any necessary repairs toevacuation sites in the afflicted regions with the cooperationof affiliated stations in Iwate, Miyagi, and Fukushima as wellas municipalities in Ibaraki.
TBS R&C began providing free online programming on a
trial basis in collaboration with radio stations in the Tokyo
metropolitan area and the Kansai area from March 2010.
This shifted to full-fledged operation from December 2010
under the name of radiko, which has been evaluatedfavorably as a tool that can make the presence of audio
media felt once again including under emergency situations
such as earthquake disasters.
In the broadcast-related business, we aggressively sought
to develop new sources of revenue, including the launch of
Radicon through which chargeable audio contents isprovided online. However, total net sales fell short of the
figure from the previous fiscal year due to the significant
negative effect of the Great East Japan Earthquake including
the cancellation of two major public performances scheduledin March 2011.
As of March 31, 2011, 34 companies throughout Japan
were affiliated with the TBS radio network JRN. This number
is unchanged from the previous fiscal year.

Multi-Visual Ventures and Cultural Events Business
On April 1, 2009, the Company split off Tokyo Broadcasting
System Television, Inc., to which the Multi-Visual Ventures
and Cultural Events Business was transferred.
Net sales from the Multi-Visual Ventures and Cultural
Events Business decreased by 3.0% from the previous fiscal
year to ¥129.562 billion, and operating income decreased by
55.9% to ¥2.681 billion.
This is because sales of cloths and cosmetics, the staple
products of the StylingLife Group, were slow due to weak
consumption among the younger generation and operating
figures from the film business fell short of those from theprevious fiscal year, a year of record high profit.
In the cultural events business, a wide variety ofofferings, including the Broadway musical Dreamgirls,
Kanzaburo Nakamura’s Akasaka Okabuki, Tamasaburo
Bando’s Botantei, Takao Osawa’s musical Phantom, ShunOguri’s Punk Opera A Clockwork Orange, enchanted theaudience. Theatrical performances adapted from titles that
attracted huge attention as cinema films and TV dramas,such as Okuribito (‘‘Departures”), Tumbling, and Kikoku,
were also successful. The Tetsuya Kumakawa K-Ballet
Company continued to be highly popular, staging
productions such as The Sleeping Beauty, Coppelia, and

8TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2011

Swan Lake. In the concert business, the Eagles, who came to
Japan for the first time in seven years, satisfied the audience
with their performance as they always used to do. Tomomi
Nishimoto’s Fate—Romeo and Juliet also delivered favorable
results. In the exhibition business, Van Gogh: The Adventureof Becoming an Artist held at three venues in Tokyo,
Fukuoka and Nagoya including The National Art Center drew
more than one million visitors in total. Other successful
exhibitions included Great Mammals—Friends of the Earth,
Great Mammals—Friends of the Sea, Napoli, la Bellezza e laCorte—Capolavori del Museo di Capodimonte(‘‘Capodimonte Museum Exhibition”), Vermeer‘‘Geographer”—The Golden Age of Dutch and Flemish
Paintings from the Städel Museum, and Masterpieces fromthe Pola Museum of Art: Impressionists and Ecole de Paris, aswell as the established favorite Ultraman Festival.
In the media and software business, the cinema film
SPACE BATTLESHIP YAMATO released in December 2010
earned box office revenues of more than ¥4.0 billion, in
addition to HANAMIZUKI—May your love bloom a hundredyear released in August, and Ohoku, released in October,which earned ¥2.8 billion and ¥2.3 billion, respectively. In
terms of animation titles, the K-ON! series enjoyedoverwhelming popularity and became the first TV series
program whose cumulative sales reached 780,000 Blu-ray
Discs, which led to the decision to cinematize it. Contributed
also by other popular titles including AMAGAMI SS, Infinite
Stratos, and Dream Eater Merry, the animation business
continued to deliver excellent performance for the fiscal year
under review. With regard to DVDs, drama titles such asSPEC, Tokujo Kabachi!!, The Wallflower, BLOODY
MONDAY—Season 2 are enjoying brisk sales.
We are also actively implementing overseas businessdevelopment strategies. In the international program sales
business, we have the best track record in terms of overseas
sales among Japanese television stations and the first series ofthe drama program JIN was granted the MIPCOM Buyers’
Award for Japanese Drama at MIPCOM, the world’s
entertainment content market, held last year in Cannes,
France. As a result, we were able to secure agreements for
distribution of its second series in 80 countries all over theworld before its April release in Japan. Moreover, Takeshi’sCastle and SASUKE are sold to more than 150 countries andregions. In the U.S., SASUKE, which is distributed under thetitle of Ninja Warrior, has been so popular that we were able
to secure an agreement that it will be aired in the golden
time slot by NBC, one of the three biggest television networks
in the U.S. In Asia, we participated in the production of the
Korean drama IRIS from the planning stage and implemented
multimedia business strategies involving domestic distributionof the drama through such media as terrestrial television,broadcasting satellite, communication satellite, on demand,and DVD. In addition, we are actively negotiating
coproduction and format sales arrangements with TV stations
in South Korea, Singapore and China.

Business Report
In the satellite-based subscription broadcast business,
TBS Channel and TBS News Bird steadily increased thenumber of subscribers by strengthening their contents. In
the video distribution service, sales of TBS on Demand
increased twofold to post a single-year profit for two fiscal
years in a row. The synergy effect from the integrated
management of the communication satellite business andthe video on demand business is being realized as
exemplified by our undertakings in prior distribution ofterrestrial television drama programs, which was carried out
for the first time in the industry.
In the licensing and shopping business, the popularity of
the animation title K-ON! was outstanding with more than
1,000 related merchandises sold. Other commercial
promotion tie-ups that drew much attention included thesecond collaboration project between the TV program
Celebrity Games and men’s cosmetics called Lincoln X AXE,
Murabito no Okazu Desuyo produced in a project within a
TV show Shinsuke Shacho no Produce Daisakusen!, andIzakaya EXILE associated with EXILE Damashii. In the
shopping business, both regular and special shopping
program are enjoying brisk sales supported by a new orderprocessing system that was put into operation in May.
In the digital business, in response to the rapid growth ofsmartphones and tablet terminals, efforts are being made to
develop new contents that are compatible with various
applications and social media in addition to traditional mobile
contents. In addition, we strive to develop new businesses
including contents distribution and advertising clientacquisition using various digital signage including monitors
installed on train cars from the fiscal year under review. We
also work to promote the effective use of digital media
during disaster. For example, in relation to the Great East
Japan Earthquake, our communication satellite program TBS
News Bird started urgent distribution of information contents
through Ustream and YouTube ahead of other stations.
The StylingLife Group, a group of companies engaging
mainly in the retail & shopping business that were includedin the scope of consolidation in July 2008, is in the processof reorganization for profitability improvement to achievesustainable growth under the tough operating environment
marked with continued weakness in personal consumption
exacerbated partly by the prolonged blackout and powersaving requirements after the Great East Japan Earthquake.

Real Estate BusinessNet sales from the Real Estate Business slightly decreased by
0.2% from the previous fiscal year to ¥16.331 billion, andoperating income decreased by 4.7% to ¥7.185 billion.
Entering into the third year of its opening, Akasaka Sacas
has established itself as a popular cultural and entertainment
center through the provision of various performances andevents held in Sacas Square. As a result, its retail complex
continued to attract a good crowd, while the occupancy rateof the residential tower remained stable.

2 Capital Investment
Total capital investment in the fiscal year under review was¥10.5 billion. The principal investment item was facilities
related to digital terrestrial broadcasting.
The Company began digital terrestrial broadcasting in
the Kanto region in December 2003 and continued to makeefforts to upgrade and expand broadcasting facilities andprogram production facilities in the fiscal year under review.
With regard to broadcasting facilities, the establishmentof relay station network was promoted steadily, with theconstruction of 47 digital terrestrial broadcasting relay
stations in locations including Nagayama and Ome in Tokyoand Totsuka in Kanagawa in partnership with private-sector
broadcasters and NHK. As a result, we were able to start theoperation of all relay stations indicated in the digital terrestrial
broadcasting relay stations roadmap by December, 2010. As
for promotion production facilities, large high-definition relay
vehicles used for major live sports programs were replaced
and the new vehicles are highly sustainable with the ability tosave electricity used by broadcasting equipment
approximately by half as compared with old large relay
vehicles. In addition, lighting equipment, elevators, audiovisual equipment and cranes in A Studio, which had been inuse since the opening of the broadcasting center in October
1994, were also renewed. Furthermore, the renewal of thecamera system of Midoriyama M2 and M5 Studios, which aremainly used for drama production, enabled us to improve theimage quality with the use of higher-sensitivity cameras andto shoot scenes with the quality equivalent to film-based
cinema.

3 Capital Procurement
Interest-bearing debt of the Group at the end of the fiscal
year under review was approximately ¥147.2 billion(excluding lease obligations), consisting of ¥50.0 billion inbonds payable (including the current portion), ¥60.5 billion
in long-term loans payable (including the current portion),and approximately ¥36.7 billion in short-term loans payable(including approximately ¥3.9 billion from non-consolidated
subsidiaries and affiliates through the cash management
system for the concentration of funds from the Group).
In order to ensure flexible access to business funds andoperating capital, as of the end of the fiscal year underreview, the Company and StylingLife Holdings Inc. hadestablished the commitment lines agreements, totaling¥54.0 billion with multiple financial institutions (the balanceof the funds drawn is ¥32.8 billion, and the available balanceis ¥21.2 billion).
Besides the above, with the aim of streamlining of funds,
some of the account receivables are in the process of liquidation.

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20119

Consolidated Financial Statements
Consolidated Balance Sheets (Unaudited)
As of March 31, 2011 and 2010
Millions of yen

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable—trade
Merchandise and finished goods
Program rights and work in process
Raw materials and supplies
Prepaid expenses
Deferred tax assets
Deposits received
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Lease assets
Accumulated depreciation
Lease assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Software
Goodwill
Lease assets
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Long-term prepaid expenses
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets
TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

10 Investor Information 2011

2010

2011

¥ 52,326
36,215
6,887
6,442
912
11,141
1,789
48,8759,651(99)¥ 71,510
33,496
7,006
6,305
778
8,890
1,946
48,875
6,212(97)

174,141

184,924

192,703(72,005)

190,577(75,535)

120,698
84,852(70,702)

115,041
85,651(74,758)

14,14919,825(16,941)

10,892
21,076(18,504)

2,883
84,750
335
(100)

2,571
84,7206,610(2,933)

235
3,819
226,535

3,677
3,322
220,227

4,245
27,177425
1,658
33,506

4,796
25,571441
2,095
32,905

177,713
417
2,467
1,881
11,554(534)

139,958
338
2,370
1,649
11,216(567)

193,498
453,541¥627,683

154,965
408,098¥593,023

Millions of yen

2010

2011

¥ 36,020¥ 32,548

Short-term loans payable

51,962

36,722Current portion of long-term loans payable

1,500

1,750

Current portion of bonds—

20,000Accounts payable—other

10,174

9,886

Income taxes payable

2,130

2,757

Accrued consumption taxes

1,206

764

Accrued expenses

6,053

6,052

Provision for directors’ bonuses

131

114

Other provision

837

885

4,454

5,577

114,469

117,058

Bonds payable

50,00030,000Long-term loans payable

60,50058,750

Provision for retirement benefits

12,142

12,573502

3,064

Deferred tax liabilities

16,772

10,406

Other

16,21816,510Total noncurrent liabilities

156,136

131,305

270,606

248,364

Capital stock

54,98654,986

Capital surplus

60,25460,254Retained earnings

212,844

211,948

(91)

(96)

327,995

327,094

19,109

8,399

Deferred gains or losses on hedges(733)(1,002)Foreign currency translation adjustment

(117)

(180)

18,257

7,216

Minority interests

10,823

10,348

Total net assets

357,076

344,658¥627,683¥593,023

Liabilities
Current liabilities
Notes and accounts payable—trade

Other
Total current liabilities
Noncurrent liabilities

Lease obligations

Total liabilities
Net assets
Shareholders’ equity

Treasury stock
Total shareholders’ equity
Valuation and translation adjustments
Valuation difference on available-for-sale securities

Total valuation and translation adjustments

Total liabilities and net assets

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201111

Consolidated Financial Statements
Consolidated Statements of Operations (Unaudited)Year ended March 31, 2011 and 2010
Millions of yen

2010

2011

¥351,262¥342,754

257,988245,305

93,27397,44889,92989,742

3,343

7,705

Interest income

115

112

Dividends income

1,903

2,622

Insurance revenue

223

118

Equity in earnings of affiliates

131

500

Other

701

797

3,075

4,151

Interest expenses

1,685

1,671

Commission fee

123

89

Bond issuance cost

100–

Loss on retirement of noncurrent assets

326

282

Loss on sales of accounts receivable

109

77

Other

171

520

2,516

2,641

3,902

9,215

Gain on sales of investment securities

71

6,814

Gain on liquidation of subsidiaries and affiliates–

89

Total extraordinary income

71

6,904

741

11,644

Loss on adjustment for changes of accounting standard for asset retirement obligations–

516

Loss on revision of retirement benefit plan–

38

Impairment loss

229

138

Loss on purchase of treasury stock

863

–

–

149

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income

Total non-operating income
Non-operating expenses

Total non-operating expenses
Ordinary income
Extraordinary income

Extraordinary loss
Loss on valuation of investment securities

Loss on disaster
Other

365

–

2,199

12,487

Income before income taxes and minority interests

1,773

3,632

Income taxes—current

2,749

3,657

Income taxes—deferred

1,300

258

Total income taxes

4,050

3,916

–

(284)

Total extraordinary losses

Loss before minority interests
Minority interests in income (loss)
Net income (loss)
TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

12 Investor Information 201137
¥ (2,313)

(387)
¥

103

Consolidated Statements of Cash Flows (Unaudited)Years ended March 31, 2011 and 2010
Millions of yen

Cash flows from operating activities
Income before income taxes and minority interests
Depreciation and amortization
Amortization of long-term prepaid expenses
Loss (gain) on valuation of investment securities
Retirement benefit expenses
Loss on retirement of noncurrent assets
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Interest and dividends income
Interest expenses
Equity in (earnings) losses of affiliates
Loss (gain) on sales of investment securities
Decrease (increase) in notes and accounts receivable—trade
Decrease (increase) in inventories
Decrease (increase) in prepaid expenses
Increase (decrease) in notes and accounts payable—trade
Decrease (increase) in consumption taxes refund receivable
Increase (decrease) in other noncurrent liabilities
Loss on adjustment for changes of accounting standard for asset retirement obligations
Other, net
SubtotalInterest and dividends income received
Interest expenses paid
Income taxes refund
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sales of investment securities
Increase in long-term lease deposits received
Decrease in long-term lease deposits received
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Increase in short-term loans payable
Decrease in short-term loans payable
Repayment of long-term loans payable
Proceeds from issuance of bonds
Proceeds from sale and leaseback
Purchase of treasury stock
Cash dividends paid
Cash dividends paid to minority shareholders
Repurchase of shares
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Increase in cash and cash equivalents from newly consolidated subsidiary
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

2010

2011

¥ 1,773
18,901
747
741
(344)
326
1,606
(117)
(2,018)
1,685
(131)
(69)
3,512
1,305
(103)
(4,340)
(751)
232
–
412
23,3682,029(1,683)
1,110(6,178)18,646¥ 3,632
16,759616
11,644
431
282
1,605
30
(2,734)1,671(500)(6,814)
2,718
151
2,331
(3,471)
812
156
516
493
30,333
2,744(1,670)1,401(2,771)30,036(10,386)
1(1,367)(2,378)
247
227
(67)
(30)
(13,754)(6,597)240(3,041)(239)
16,113
405
(874)
272
6,278

84,882(35,369)(21,250)
19,899
–
(3)
(382)
(121)
(48,875)(157)(1,379)
(34)
3,478
200
48,571¥52,249

6,288(21,528)(1,500)
–
1,351
(3)
(956)
(77)
–
(610)
(17,037)(92)
19,185–52,249¥71,434

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201113

Major Indices
Net Income per Share

Return on Equity

Unit: yen

120

5.1

100.14100
80

Unit: %

6

4

3.5

70.07

60
2
40

0.5

20

8.71

0

–12.18

0.54

0.0

0

–0.7
–20

–2

07/3

08/3

09/3

10/3

11/3

Ratio of Ordinary Income to Net Assets

Unit: %

6

07/3

08/3

09/3

10/3

11/3

Ratio of Operating Income to Net Sales

Unit: %

9

7.9
4.7

6.5

4.2
3.7

4

6

1.5

2

5.0

2.2

3

0.7

1.0

0

0

07/3

08/3

09/3

10/3

11/3

Equity Ratio

08/3

09/3

10/3

11/3

Net Assets per Share

Unit: %

80

67.4

07/3

66.6
59.5

60

Unit: yen

2,500

2,016.23
55.2

56.4

2,000

1,884.02

1,743.69

1,822.22

1,759.70

09/3

10/3

11/3

1,500
40
1,000
20
500

0

0

07/3

08/3

09/3

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

14 Investor Information 2011

10/3

11/3

07/3

08/3

Number of Shares Issued at the End of the Term

Amount of Treasury Stock at the End of the Term

(Including Treasury Stock)
Unit: shares

300,000,000

Unit: shares

500,000

405,817

410,731415,314418,165

07/3

08/3

09/3

10/3

453,652

400,000
200,000,000

190,307,968

190,406,968 190,434,968 190,434,968

190,434,968
300,000

200,000
100,000,000
100,000

0

0

07/3

08/3

09/3

10/3

11/3

Cash Flows from Operating Activities

11/3

Cash Flows from Investing Activities

Unit: million yen

Unit: million yen
20,00060,0006,278

50,88650,000040,00036,40630,03630,000–13,754–20,000–27,011
21,174–40,000

18,64620,000–60,000

10,000–55,543–60,082–80,000

0

07/3

08/3

09/3

10/3

11/3

Cash Flows from Financing Activities

Unit: million yen

50,000

07/3

08/3

09/3

10/3

11/3

Cash and Cash Equivalents, End of Year

Unit: million yen

80,00071,43442,49340,00060,00030,00020,00048,866
14,49048,571

52,24940,00010,00029,7640

20,000–1,379–10,000–12,973–20,000

07/3

08/3

09/3

10/3

–17,037
11/3

0

07/3

08/3

09/3

10/3

11/3

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201115

Segment Information

Consolidated Results by Segment(Unit: million yen)

FY2011
External
sales

y/y change

Operatingincome (loss)

y/y change

Broadcasting¥196,860–4,415¥(2,166)

8,158

Multi-Visual Ventures
and Cultural Events

129,562–4,054

2,681–3,399Real Estate

16,331

–37

7,185

–357

Elimination

—

—

4

–39

¥342,754–8,507¥ 7,705

4,361

Consolidated

Capital Expenditures and Depreciation(Unit: million yen)

Consolidated
Capital expenditures

FY2011¥ 10,579

Depreciation

15,130TBS Holdings

FY2011

Capital expenditures¥

370

Depreciation

3,537

TBS Television

FY2011

Capital expenditures
Depreciation

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

16 Investor Information 2011

¥ 6,598
9,321

TBS Television–1

Results of TBS Television

Breakdown of TBS Television Income(Unit: million yen)

(Unit: million yen)

FY2011¥211,150

Net sales

Television

FY2011FY2010y/y change¥180,614¥185,158–4,544

Operating income

2,978Time advertising andprogram production

86,55396,905–10,351

Ordinary income

4,410

Spot advertising

82,16075,651

6,509

Net loss(1,878)Others

8,214

8,930

–714

Program sales in Japan

3,684

3,671

12

Operations

27,63329,876–2,242

Real estate

2,902

2,884

17

¥211,150¥217,919–6,769Total income

Year-on-Year Changes in TV Earnings(Unit: %)
130

Spot

120

Time
110

100

90

80

70

Apr.

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

2010

Jan.

Feb.

Mar.

2011

Q1

Q2

Q3

Q4

Full year

Time

87.9

80.8

101.1

88.6

89.3

Spot

102.8

111.8

108.6

112.2

108.6

TBS share among
five key broadcasters

19.8

20.0

19.6

19.7

19.8

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201117

TBS Television–2

Spot Advertising Sales Ranks by Business Category(Unit: %)FY2011

Growthrate

Share

Q4/FY2011

Growth
rate

Share

1

Automobiles andtransportation equipment

30.5

11.0

Alcoholic and other beverages

–3.6

11.6

2

Alcoholic and other beverages

6.6

10.5

Foods

–4.5

11.2

3

Foods

–2.9

9.8

Entertainment and hobbies

12.6

8.9

4

Entertainment and hobbies

9.6

7.8

Pharmaceuticals

5.4

8.5

5

Pharmaceuticals

48.2

7.7

Automobiles andtransportation equipment

28.9

8.0

6

Telecommunications andbroadcasting

16.3

6.7

Cosmetics and toiletries

1.5

7.9

7

Cosmetics and toiletries

14.3

5.7

General electronics

9.5

6.0

8

Finance

92.0

5.0

9.9

5.6

9

Precision instruments andoffice machines
Real estate andhousing facilities

43.2

5.0

Telecommunications andbroadcasting
Precision instruments andoffice machines

43.3

5.6

24.2

4.0

Finance

43.5

4.6

10

(Ranked in order of sales proceeds)

TBS Television Business Segment Income(Unit: million yen)Contents

FY2011y/ychangeCultural business (events)¥3,198571

Increased from the previous fiscal year thanks to the huge success of
the Great Mammal Exhibition and the Van Gogh Exhibition.

Show business

3,764

–834

Down substantially, reflecting the absence of Simon & Garfunkel,
which was a major hit in the previous fiscal year.

DVDs

3,815

–988

Declined significantly due to the lack of major hits like Ryuseino Kizuna
and Rescue in the previous fiscal year, in addition to falling DVD prices.

Animations

2,787

869

Increased sharply, with the significant popularity of the K-ON series.

Movies1,723 –3,276

Decreased markedly despite the consecutive hits of HANAMIZUKI and YAMATO,
since they were unable to match the success of ROOKIES in the previous year.

Program sales
abroad1,357

243

Steadily increased thanks to SASUKE, which was sold in 153 nations
and regions worldwide, and other factors.

Other program
sales

319

193

—

Pay-TV business

6,940

843

The number of subscribers of TBS Channel and TBS News Bird
increased steadily. The on-demand business performed well.

Licensing business

1,495

–21

—

Digital business

2,232

157

—

¥27,633 –2,242—

Operations
MultidivisionvisualbusinessMoviebusiness
Contentssales
businessMediabusiness
division

Total

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

18 Investor Information 2011

Remarks for the full fiscal year

TBS Television–3

FY2011 Viewer Ratings(Unit: %)All day

Golden time*

Prime time**TBS

6.5 (5th)

9.7 (5th)

9.9 (5th)NTV

8.1 (2nd)12.3 (2nd)12.4 (2nd)

Fuji TV

8.2 (1st)

12.6 (1st)12.6 (1st)TV Asahi

7.3 (3rd)

11.5 (4th)

12.0 (3rd)TV Tokyo

2.8 (6th)

6.1 (6th)

5.8 (6th)NHK

6.8 (4th)

11.8 (3rd)

10.5 (4th)

HUT

41.8

63.9

62.7

(Ratings for March 29, 2010 to April 3, 2011, on a weekly basis)* 19:00–22:00** 19:00–23:00

TV Program Costs (Production Expenses)(Unit: million yen)

FY2011FY2010Q1¥ 24,226¥ 25,995–1,768Q2

23,95027,590–3,64048,17753,585–5,408Q3

24,51525,766–1,251

Q4

22,41325,719–3,30646,92851,485–4,557¥ 95,105¥ 105,070–9,965

1st half

2nd half

FY2011 resultsy/y change(Reference) Trends in the forecast cost of program production in FY2011¥98,400 million at the announcement on May 20, 2010
¥96,400 million at the announcement on August 5, 2010
¥96,000 million at the announcement on February 3, 2011

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201119

Financial Data of Major Group Companies

TBS Radio & Communications, Inc.
(Unit: million yen)

FY2011
Amounty/y change¥11,364–54

Operating income

590

369

Ordinary income

579

347

Net income

282

165

Net sales

Recorded the highest ratings for 58 consecutive periods from August 2001 to
February this year.

Grand Marche, Inc.
(Unit: million yen)

FY2011
Amounty/y change¥14,100

1,849

Operating income

4385

Ordinary income

405

–49

Net income

243

–20

Net sales

TC Entertainment Incorporated(Unit: million yen)

FY2011
Amounty/y change¥4,056–1,629Operating income

64

–299

Ordinary income

68

–296

Net income

39

–172

Net sales

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

20 Investor Information 2011

YOKOHAMA BAYSTARS BASEBALL CLUB, INC.
(Unit: million yen)

FY2010 (Jan. to Dec. 2010)
Amounty/y change¥7,820677

Operating loss

(20)

419

Ordinary income

10

433

Net income

1

504

Net sales

StylingLife Holdings Inc. (Consolidated)(Unit: million yen)

FY2011
Amounty/y change¥69,736–3,877

Operating income

170

–905

Ordinary income

24

–994

(1,057)–1,245Net sales

Net loss

BS-TBS, INC.
(Unit: million yen)

FY2011
Amounty/y change

Net sales¥9,3301,473

Operating income

1,182

657

Ordinary income

1,194

664

Net income

1,190

664

Cumulative losses at the end of the year ended March 31, 2011:¥34,155 million (improved ¥1,190 million from the end of the previous year)

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201121

TBS Networks
JNN (Japan News Network)
JRN (Japan Radio Network)
HBC

ATV
RAB

JNN Television
JRN Radio

ABS

IBC

TUY
YBC
BSN
MRO
FBC
BSS
TYS
KRY
ITV
RKB
RNB
OBS

NBC

MBS CBC
ABC

RSK

RCC

RNC

TUF
RFC

SBC

UTY
YBS

TBS
SBS TBS R&C

RKC JRT WBS
KUTVTBS Television and TBS R&C harness two of the most extensive
commercial broadcasting networks in Japan, in which 28 TV stations
affiliated with the Japan News Network (JNN) and 34 radio stations
affiliated with the Japan Radio Network (JRN) nationwide guarantee
thorough and quality news gathering.
Our news network delivers accurate information in a split second,in alliance with overseas bureaus placed in 11 major cities
around the world.

RKK
MBC

KNB
TUT

TBC

MRT
RBC

JNN OVERSEAS BUREAUS

LondonBerlinMoscow
Beijing

Cairo

Shanghai

Seoul
TBS (Tokyo)

Bangkok

Tokyo Broadcasting System Holdings, Inc.
5-3-6 Akasaka, Minato-ku, Tokyo 107-8006, Japan
Phone: +81-3-3746-1111
Fax: +81-3-3588-6378
www.tbsholdings.co.jp

Los Angeles

New York
Washington, D.C.