April 19, 2006
FAST RETAILING CO., LTD.
IR Department

FAST RETAILING to purchase CABIN Co., Ltd stock
On April 19, 2006, FAST RETAILING CO., LTD. concluded a share transfer agreement to purchase
11,547,000 shares in CABIN Co., Ltd., a developer of women’s wear fashions, is listed on the 1st section of theTokyo Stock Exchange (code number 8164). The details of the transfer are outlined below.

1. Reason for acquisition
FAST RETAILING took over the stake in CABIN held by Daiwa Securities SMBC Principal Investments Co.,
Ltd. The 11,547,000 shares represent an investment ratio of 25.70% and a 28.86% proportion of voting rights.
FAST RETAILING will become CABIN’s biggest single shareholder providing us with the opportunity to establish astrong cooperative relationship with CABIN and its staff.
Through this cooperative relationship, FAST RETAILING and CABIN will develop a comprehensive businesstie up. For the FAST RETAILING Group, the benefits are twofold. The tie up will enable us to strengthen our
women’s clothing business, and also, the positioning of CABIN as an equity-method affiliate will help enhance thecorporate value of the FR group.

2. Outline of CABIN Co., Ltd.
(1) Business nameCABIN Co., Ltd.
(2) Business location
4-62-17 Yoyogi, Shibuya-ku, Tokyo(3) Business representative
Kenji Yoshie(4) Capital¥15,174 million(5) Date of establishment
August 1971
(6) Main business areas
design, sale of women’s clothing(7) Business year end
last day of February(8) No. of employees
372 (as of end February 2006)(9) Main business locations
187 stores nationwide (as of end February 2006)(10) Total shares issued
44,933,644 shares(11) Previous shareholder proportion
Daiwa Securities SMBC Principal Investments Co., Ltd. 25.70％
Treasury stock
8.10％(12) Recent consolidated business performance（units：millions of yen）
Yr to February 2003
Yr to February 2004
Net sales
22,191
20,673Gross profit
10,519
9,832
Operating income▲316▲729
Ordinary income▲260▲700
Net profit
▲977
▲857
Total assets
32,61730,732
Shareholder capital
28,061
26,604
Cash dividend per share
5.00 yen
5.00 yen

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Yr to February 2005
20,1319,900▲594▲547▲1,62928,85824,3535.00 yen3. Shareholding for acquisition
Daiwa Securities SMBC Principal Investments Co. Ltd.
Name
Daiwa Securities SMBC Principal Investments Co. Ltd.
Representative
Hideo Watanabe
Head office
1-8-1, Marunouchi, Chiyoda-ku, Tokyo, JAPANArea of operation
Investment business & other related activities
Relationship withNo relationship
FAST RETAILING

4. Shareholder positions prior and post share transfer agreement

Before transfer
0 shares

FR stake
FAST RETAILING CO., LTD.

After transfer
11,547,000 shares

FR stake（0） (No. of voting rights)(No. of voting rights)

0.00%（11,547）

Investment ratio

25.70%

0.00% Proportion of voting rights

28.86%

11,547,000 shares
Daiwa stake
Daiwa stake
Daiwa Securities SMBC
(No. of voting rights)（11,547） (No. of voting rights)
Principal Investments Co. Ltd.
25.70%
Investment ratio
Investment ratio

0 shares

Investment ratio
Proportion of voting rights

28.86% Proportion of voting rights

Proportion of voting rights

（0）
0.00%
0.00%

（Note) The proportion of voting rights (the proportion versus the voting rights of all shareholders before and after thetransfer), is calculated based on the 40,004 voting rights held by general shareholders as of February 28, 2006.

5. Schedule
April 19, 2006

Conclusion of share transfer agreement

April 21, 2006

Share purchase transaction

6. Expected impact on FR consolidated results
This share purchase will mean that CABIN Co., Ltd. will become an equity-method affiliate of the FASTRETAILING group. The impact of the move on FAST RETAILING’s business results for the year to August
2006 is expected to be minimal, however we will disclose any concrete details as soon as they becomeapparent.

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