TO OUR StakeHOLDERSWe will keep our sights set on the future as we drive
through improvements in our technological capabilities
and reinforce our business management

In fiscal 2009, the year ended March 31, 2009, Tokyo Electron posted net sales of ¥508.1 billion,
operating income of ¥14.7 billion and net income of ¥7.5 billion. These results reflect the impact of
the global recession, which caused customers to react simultaneously by significantly cutting theircapital investment. From April 2009, we did begin to see signs of a recovery in orders, but thebenefits of this recovery will not be fully apparent in terms of revenues until 2010 or later. We
expect an extremely challenging operating environment during the year ending March 31, 2010.
With regard to dividends, the Company applies a policy that aims at a payout ratio of 20% ofconsolidated net income in principle, but under the circumstances, the Company decided to pay a
reduced dividend of ¥24 per share, for a 56.9% payout ratio. We would like to ask for your continued understanding in this regard.
Amidst the present global recession, significant structural shifts are under way in the electronics
industry, especially in information and communication technology (ICT)-related fields. That being
the case, we believe that if we enact the necessary measures, Tokyo Electron has a strong chanceof growth in the medium to long term. ICT has traditionally been developed in the U.S. and Europe,
but going forward, it will expand to increasingly diverse locations, including China and other emerging
economies, until the “networked society” extends across the entire globe. As the applications forICT expand into such new fields as medical care, education, risk management, environmental
action and transportation, better cost performance and greater speed are required.
At the same time, the need to shift economies to a sustainable model that ensures low energy
consumption and minimal environmental impact is a pressing issue for the world as a whole.
Tokyo Electron takes an active role, providing society with technologies that facilitate efforts toreduce electricity consumption, and promoting commercially viable technologies for photovoltaic
cell production equipment, a field we entered last year. We believe these efforts are a powerfulmeans of helping to resolve this issue. The scale of Tokyo Electron’s mission and responsibilities tosociety should not be underestimated.
Faced with the operating environment described above, it is now crucial for Tokyo Electron todevelop technologies for the future and enhance our technological capabilities, while improving
operational efficiency and reinforcing our business management. As one means of achieving this,
we intend to use 2009 as an opportunity to step up our technological capabilities and businessskills by requiring all our employees to participate in a variety of training programs.
Turning to Tokyo Electron’s management structure, in April 2009 we appointed a new generationof managers under a new president, and we will combine their strengths with those of the oldergeneration as we uphold our unshakable faith in the future. Going forward, we intend to continue toenhance Tokyo Electron’s corporate value as an elite technological corporation.
I would like to thank all of our stakeholders for their continued support and their belief inTokyo Electron’s potential for further growth.

Tetsuro Higashi, Chairman & CEO2Tokyo Electron Limited  Annual Report 09