May 10, 2002

Kurita Water Industries
Information Meeting
May 10, 2002
Tokyo,JapanContents◆Overview Mar.2002 Results ･･･2〜3◆Mar.2002 Results･･･4〜5◆Mar.2003 Plan･･･6〜7◆Results and Plan by Segments ･･･8〜9

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May 10, 2002

Overview Mar.2002 Results（Market & Results）
・TotalDomestic economic conditions deteriorated before the fiscal year
started due to a reduced CAPEX, and a low level of consumption.
consumption.

・Chemicals
Tough conditions regarding low utility rates and pricecompetition.

・Electronics
Shrinking market due to a decreasing CAPEX and low utility rates.
rates.

・General
CAPEX did not grow・Environment
Shrinking market due to a reduced budget,therefore competition
became severe.

Overview Mar.2002 Results
Billions of yen
180.0◆Decreased Sales and Income due to tough conditions

155.0 153.4

160.0
140.0

137.0

131.0

140.5 142.7

120.0

Orders

100.0

Sales

80.0

Op.income

60.0
40.0
20.0

11.2

15.8

10.8

0.0
Mar.2000 Results

http://www.kurita.co.jp/Mar.2001 Results

Mar.2002 Results

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May 10, 2002

Overview Mar.2002（Management）−Strengthening the Kurita group・Establishment of a Soil remediation company,
Land Solution Inc.
・Establishment of Maintenance companies, Kuritec
Singapore Pte.
Pte. and Kuritec (Shanghai) Co.,Ltd.
・Decide・Decide to merge with a Chemical Production company,
Kurita Chemicals Ltd.
(on Apr.1st , 2002）
2002）−New environmental business・Enter into the Deconstruction incinerators business−Decide to lower the minimum share purchase from 1,000
shares to 100 shares（from（from July 1st ,2002）,2002）

Overview Mar.2002
・Chemicals
Chemicals：
・Chemicals：
No decrease in Sales but an expansion of contract
products etc. But, low utility rates.
・ElectronicsElectronics：
・Electronics：
Expansion of overseas business, but a decrease inresults.This is due to poor domestic market
conditions.
・General
General：・General：
Growth in Medicine, but Food industries were notgood.
Soil remediation continues to grow steadily.
・Environment：
Environment：
No increase in the results , but the focus is on
projects of reconstruction and on maintenanceservices.

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May 10, 2002

Mar.2002 Results（PL)Order( C h a n g e ra t i o )Net Sales( C h a n g e ra t i o )(Cost of Sales)
O p e r a t i ng i n c o m e( C h a n g e ra t i o )Ordinary income( C h a n g e ra t i o )Special losses

Income before income taxes
and minority interests

N e t i n c om e
( C h a n g e ra t i o )Mar.2001
Results
1 5 5 .0
( ＋ 1 3 .1 % )
1 5 3 .4
( ＋ 1 7 .1 % )(6 8 .8 % )
1 5 .8( ＋ 4 1 .2 % )
1 7 .1( ＋ 4 4 .3 % )2 .9

B illions of yen
Mar.2002
Results
1 4 0 .5
( − 9 .4 % )1 4 2 .7( − 7 .0.0 % )(6 9 .4.4 % )1 0 .8.8( − 3 1 .6.6 % )1 1 .6( − 3 2 .3 % )2 .5

1 4 .7

9 .1
.1

8 .4
( ＋ 8 0 .0 % )5 .7( − 3 2 .1 % )Mar.2002 Results (Segments)◆Order by segments
Billions of yen

Chemicals（Chemicals（Change ratio）ratio）
Electronics
Electronics（Change ratio）ratio）
Private General（Change ratio）
ratio）
PublicEnvironment（Change ratio）
ratio）
Facilities（Facilities（Change ratio）ratio）
Total（Total（Change ratio）
ratio）

Mar.2001 results
46.
46.6 (＋(＋ 3.1%)
53.
53.4 (＋55.6%)
29.
29.6 (＋ 3.5%)
25.
25.4 (−12.7%)
108.
108.4 (＋(＋18.1%)
155.
155.0 (＋(＋13.1%)

Mar.2002 results
47.0
7.0 (＋(＋ 0.9%)
0.9%)
36.
36.4 (−31.8%)
32.
32.9 (＋11.2%)
1.2%)
24.2 (− 4.7%)
4.7%)
93.
93.5 (−13.7%)
13.7%)
140.5 (− 9.4%)
9.4%)

Mar.2001 results
45.7 (＋(＋ 0.4%)
0.4%)
48.
48.7 (＋58.1
58.1%)
31.5 (＋ 1.6
1.6%)
27.5 (＋16.0
16.0%)
107.7
107.7 (＋(＋26.026.0%)
153.
153.4 (＋(＋17.1%)

Mar.2002 results
46.3 (＋(＋ 1.3%)
1.3%)
38.
38.0 (−22.022.0%)
30.4
30.4 (− 3.53.5%)
28.
28.0 (＋ 1.81.8%)
96.
96.4 (−10.510.5%)
142.
142.7 (−(− 7.0%)
7.0%)◆Sales by segments
Billions of yen

Chemicals（Chemicals（Change ratio）
ratio）
Electronics（Change ratio）
ratio）
Private General（Change ratio）
ratio）
PublicEnvironment（Change ratio）
ratio）
Facilities（Facilities（Change ratio）ratio）
Total（Total（Change ratio）ratio）

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4May 10, 2002

Mar.2002 Results (Segments)◆ Operating income by segmentsbillions of yen

Mar.2001 results6 6 (＋(＋Chemicals（Chemicals （ Change ratio）ratio ）PrivateMar.2002 results4.8%)
4.8 %)63 (−( − 1.6%1.6 % )Electronics （ Change ratio ）46 ( ＋ 10 9.0 %)

1 3 ( − 6 1 . 8 %)General （ Change ratio ）19 ( ＋ 58.3%)
58.3 %)

12 ( − 40.0 %)

27 ( ＋ 80.0%)
80.0 %)
92 (＋( ＋ 18 .1% )

18 ( − 33.3 %)
45 ( − 44.4 %)15 8 (＋( ＋ 4 1.2
1. 2 %)

1 08 ( − 31.6 %)PublicEnvironment （ Change ratio ）Facilities （ Change ratio ）Total （ Change ratio ）◆ Operating income by segments
Mar.2001 results

PrivateMar.2002 results

14.5 % (＋( ＋ 0.7 )

13.5% ( − 1.0)
1.0 )Electronics （ Change point ）

9.4% ( ＋ 2.3)

3.5% ( − 5.9)

General （ Change point ）6.0% ( ＋ 2.0 )

3.8% ( − 2.2 )

9.8% ( ＋ 3.8 )
8.5% (＋( ＋ 2.8)

7.5% ( − 2.3 )
4.7% ( − 3.8)

10.3% (＋( ＋ 1 . 7)

7.6% (−( − 2.7)

Chemicals（Chemicals （ Change point）
point ）

PublicEnvironment （ Change point ）Facilities （ Change point ）Total （ Change ）Mar.2002 Results（BS)Billions of yen

Mar.2001
Results
183.2

Mar.2002
Results
172.1

Shareholderss’ equity
Shareholder

119.2
119.2

122.6

Shareholders’’ equity
Shareholders/Total assets
Shareholders’Shareholders’ equity
per share

65.
65.1%

71.
71.2%

¥900.
900.78

¥926.
26.45

Total assets

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5May 10, 2002

Mar.2003 Plan（Market）
・Total・Total
Not expecting a rapid recovery in economy conditions.

・Chemicals
A decrease in Petrochemicals and in the Iron & steel market.
The other markets remain under tough conditions.

・Electronics
Expect CAPEX to recover after 2nd.half,mainly in the LCD
markets.

・General・General
Market size is flat. Focus will be on the Food and Medicine
industries.

・Environment
・Environment
Reduce budgets. Expect to expand in the market of Dioxin
treatment.

Mar.2003 Plan
Billions of yen
180.0
160.0

155.0

153.4
140.5

140.0

142.7

146.0

145.0

120.0
Orders

100.0

Sales

80.0

OP. income

60.0
40.0
20.0

15.8

10.8

12.4

0.0
Mar.2001 Results

http://www.kurita.co.jp/Mar.2002 Results

Mar.2003 Projected6May 10, 2002

Mar.2003 Plan（Management）◆“Creation of a NEW Kurita”
・Through Management policies・Strengthening the Group・Reducing total costs

Mar.2003 Plan（Business）‑ Changing “What to sell” “How to sell”
・Chemicals
・Chemicals
Expand margins due to increase of contract products.
Enter new markets, i.e. BOO, Maintenance etc.

・Facilities
・Facilities<HARD>Develop new technologies and products for the environment.
Expand “ready made”
made” systems.

<SOFT>
Expand contract products.

・New business
Fuel cell related business
Deconstruction incinerators
Waste recycle business

http://www.kurita.co.jp/7May 10, 2002

Orders by Segments
Billions of yen180
18 0155.0

160
16 0140.514014 0

ChemicalsElectronics
GeneralEnvironment

146.0

46.6

120
12 0

47.4

47100
10 0

53.4

80

36.4

37.5

29.6

32.9

34.7

25.4

24.2

26.4

Mar.200
Ma r.200 1 R esult s

Ma r. 200 2 R es ult s

Ma r. 200 3 P ro jec ted

60
40
200

Sales by Segments
Billions of yen

180160
140
120

153.4

45.7

142.7

ChemicalsElectronics
GeneralEnvironment
145.0

46.3

46.8

48.7

38

38.4

31.5

30.4

34

27.5

28

25.8

Mar.2001 Results

Mar.2002 Results

Mar.2003 Projected100
8060
40200

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May 10, 2002

Operating income by SegmentsChemicals
Electronics
GeneralEnvironment

Billions of yen

18

15.8

16
14

6.6

12

12.4

10.8

10

6.7

8

4.6

6.3

1.9
2.7

1.3
1.2
1.8

2
1.3

Mar.2001 Results

Mar.2002 Results

Mar.2003 Projected

64
20

2.3

Operating Income Ratio by Segments
Mar.2001
Results
14.5
14.5 %

Mar.2002
Results
13.5 %

Mar.2003
Projected
14.3
14.3 %

Electronics

9.4 %

3.5 %

6.1
6.1 %

General

6.0 %

3.8 %

6.0
6.0 %

Environment

9.8
9.8 %

7.5 %

5.1
5.1 %

Facilities
total

8.5
8.5 %

4.7 %

5.8
5.8 %

10.3 %

7.6 %8.6 %Chemicals

Facilities

Total

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