M O R I TA R E P O RT 2 0 0 9

To Shareholders and Investors
Business Report for the 76th Term
From April 1, 2008 to March 31, 2009

Protecting Human Life and Mother Earth

Securities identification code:6455

Morita Topics
Morita's Challenge
The Morita Group has been
manufacturing

products

designed to help create a safe
society that provides a senseof ease to all, always reflecting
the latest technologies in our
products. Our products range
from fire trucks used at
disaster sites and fire extinguishers and other disaster prevention
products to contain fire to recycling plants and equipment for
preserving the limited resources and the global environment. On
October 1 last year, the Morita Group adopted a holding company
system and transferred the businesses of each of its divisions to a newly
established company through a spin-off. The company name waschanged to MORITA HOLDINGS CORPORATION and, under the new
structure,

the

Pump

Divisionwastransferredto

MORITA

CORPORATION; the Disaster Prevention Division, to MORITABOHSAI TECH CORPORATION; and the Environmental Business
Division, to MORITA ENVIRONMENTAL TECH CORPORATION.
Additionally, we incorporated Miyata Industry into our group lastNovember, which is Japan's first company to succeed in developing andmanufacturing a dry chemical fire extinguisher. This new businessalliance is expected to create synergies within our group, further
strengthening Miyata Industry's earning power, developing it into thecore company of the Morita Group and finally improving the group's
overall corporate value.

Miyata Industry Becomes a Wholly-owned Company
The Morita Group places the highest priority on developing its disasterprevention business, which includes fire extinguishers and disasterprevention equipment, as the second pillar of our business, in addition
to further reinforcing its core pump business, in order to achieve highearning power and become a high-growth business group. For thisreason, we have decided to wholly own Miyata Industry through share01exchange from August 1st this year, advancing a step further from therelationship with the company as a consolidated subsidiary that was
implemented last November, with an aim to integrate our governancesystems and achieve a speedier decision-making process for faster andfocused business management. We hope this new system will allow us
to ride through the tough business environment by further
consolidating the management resources of both the Morita Group and
Miyata Industry, integrating the production function of disasterprevention products and improving the efficiency of our production
system.

Technologies for Rescue Operations
MSC-25, Morita's aerial
platform

truck

with

telescopic/refractive
boom has been widely
appreciated

for

its

contribution in rescue
operations. Its smaller
body allows it to turn ina smaller radius, and theone-side outrigger mode
function allows it to
stand on narrow streets.
Further, the telescopic/refractive boom capable of lowering itself below
the ground level helps better avoid electric poles and other high-altitude
obstacles that can often hinder rescue operations, as well as lifesaving
operations at river and sea. Morita will continue to present technologies
that are useful and effective in rescue operations.

02

Development of Large-scale Scrap Cutting
Machine Guillotine Press 1250HAK
MORITA ENVIRONMENTAL TECHCORPORATION developed a new
cutting machine for large-sized scraps
and started selling it in fiscal 2008. By
incorporating oil pressure system, thecutting speed capacity was dramatically
improved to four times a minute (noload). Development with a focus on theenvironment has also helped us achieve a decrease of 40% in power
consumption. The new high performance guillotine is an addition to the
Guillotine Press Series that has already established itself as a popular
scrap machine capable of handling various types of scraps including
construction waste, heavy scrap, and lengthy waste.
MORITA ENVIRONMENTAL TECH CORPORATION has also
developed the Remote Maintenance System, an Internet-based
maintenance and inspection system designed to monitor the operating
situations of machineries, designed to offer repair services in a speedy
manner and take proactive measures to prevent mechanical failures,
which we hope will contribute to a higher stability of machinery
operations and achievement of higher customer satisfaction.

Kitchen eye ー Morita Fire Extinguisher(Original Design)
MORITA BOHSAI TECHCORPORATION has launched
Kitchen eye,a household

fire extinguisher (original
design), which combines afire

extinguishing

agent,

vinegar, and food ingredients.
Manufactured

using

safe

food ingredients approved by the Ministry of Health, Labour andWelfare, Kitchen eye is both environment and user friendly, capable of03
01extinguishing fire caused by tempura oil, heater, and electric failure. It
contains a neutral reinforced solution, which makes it easy to clean
after use. Kitchen eye comes in four sparkling colors with the originaland stylish Morita design.

Sanda Factory Receives Sanda City
Regional Corporate Award!!
In May 2009, Morita was awarded by the Mayor of Sanda City (Hyogo
Pref.) in honor of its social action program.
Sanda Factory accepts around 1,200 third-grade students in Sanda City
each year for field trips and over 100 plant tours, offering visitors
opportunities to see how its products are manufactured, how theemployees go about their work, and help them become more aware of
the importance of disaster prevention by showing them fire trucks andhelp them understand how Morita is committed to environmental
preservation through greening its factories. Having also obtained
ISO14001 at West Factory, Morita is working hard to reduce CO2
emission from its operations with consideration for the environment.
We treat water used in discharge tests with our own unique treatment
method and ensure that no foam water runs into the public sewage
system. We have also planted around 200 cherry trees on the propertyof Sanda Factory, which has been in operation since last April, and havebeen regularly cleaning the roads around the factory on a day
designated as Techno Clean Day each month. These activities aimed forthe preservation of local environments have led Morita to this award.

Cover page
A drawing by Masashi Mizushima (third grade student, Sanda
City, Hyogo), selected for the best award in the 4th Future Fire
Truck Idea Contest for elementary school students throughout
Japan.

04
02

Message from Top Management
We would first like to extend our deep appreciation for your continued
support for Morita.
We are pleased to provide you with the Business Report on the 76th
term and report on the state of our business.

State of Business
The Japanese economy in the current consolidated fiscal year has
experienced rapid deterioration in terms of falling share prices and anumber of bankruptcies due to the global financial confusion triggeredby the US subprime housing loan issue.
Under such circumstances, we have made the transition to being aholding company and are striving to strengthen the group-wide earning
power and improve our corporate value. In particular, we are placing thehighest priority on reinforcing earnings from our mainstay Pump
Division and developing the Disaster Prevention Division as the second
pillar of our business. Last November, we acquired common shares of
Miyata Industry through a tender offer, making it a consolidated
subsidiary of Morita Holdings. We hope that Miyata Industry will bringabout synergies to the group and develop into one of the corecompanies of the Morita Group, making significant contribution tofurther improving our corporate value.
Our group sales increased by 10,347 million yen, or 22.3%, from theprevious term to 56,704 million yen. The operating income was 2,383
million yen, an increase of 59 million yen, or 2.5%, from the previous
term. The ordinary profit marked 2,783 million yen, an increase of 129
million yen, or 4.9%, from the previous term. Our net income for thisterm was 1,119 million yen, an increase of 52 million yen, or 5.0%, fromthe previous term.

05
01

Business Condition by Segment
蚪 Disaster Prevention BusinessSales(millions)
50,00039,23940,00030,00032,02831,26027,67420,00010,0000
2006.3 2007.3 2008.3 2009.3

Sales of the Disaster Prevention Business increased by 7,210 million
yen, or 22.5%, from the previous term to 39,239 million yen, due toaddition of sales achieved by Miyata Industry, which has become aconsolidated subsidiary of the Morita Group, and sales of high-capacity
foam discharge system achieved in the Pump Division. The operating
income was 1,836 million yen, a decrease of 34 million yen, or 1.8%,
from the previous term due to an increase in depreciation costs
associated with relocation to the new Sanda Factory.

蚪 Environmental BusinessSales(millions)
20,00015,00014,722

14,51914,94915,82910,0005,000
02006.3 2007.3 2008.3 2009.3

With regard to the Environmental Business, the industrial machinery
segment showed a steady growth in this term through the sales of
Guillotine Press and Scrap Baling Press, marking 15,829 million yen insales, an increase of 879 million yen, or 5.9%, from the previous term.
The operating income was 487 million yen, an increase of 34 million
yen, or 7.6%, from the previous term.

06
02

蚪 Other Businesses
The Bicycle Division of Miyata Industry, a consolidated subsidiary of
the Morita Group, has marked 2,281 million yen in sales and 57 million
yen in operating income.

Issues we need to address
Our business environment is expected to rapidly change and get morechallenging. To deal with such situations, we will strive to establish astrong brand with loyal clientele by revisiting our principles of technologicalimprovement and achievement of customer satisfaction. Following
are the specific issues we need to address:
1) Increase the earning power of the existing businesses
2) Increase the earning power of the overseas businesses
3) Increase the market share through the launch of highvalue-added products
4) Human resource development
The Morita Group will further strive to improve its corporate value
through speedier management and strengthened earning power.
We would like to take this opportunity to ask our shareholders for theircontinued support and encouragement.

June 2009

Masahiro Nakajima
President

07
01

FINANCIAL HIGHLIGHTS（Consolidated）●Net Sales●Ordinary Profit（Millions of yen）
60,00050,00056,7043,000

46,35745,413（Millions of yen）
3,500 3,419
2,653

41,5922,500

40,000

2,783

2,376

2,000
30,0001,500
20,0001,000

10,000500

002006.3 2007.3 2008.3 2009.3●Net Income

2006.3 2007.3 2008.3 2009.3●Return on Assets（ROA）（％）（Millions of yen）
2,500

7

2,101

2,000

6

1,500

6.0

1,336
1,066

1,119

5

1,000

4.4
4.1

4

500

4.0

0

3
2006.3 2007.3 2008.3 2009.3

2006.3 2007.3 2008.3 2009.3●Shareholders' Equity Ratio●Interest-Bearing Liabilities（％）
60（Millions of yen）
20,00052.3

18,31415,000

50.2

50
46.5
9,850

10,000
7,312

40

6,230

37.5

5,000

30

0
2006.3 2007.3 2008.3 2009.3

2006.3 2007.3 2008.3 2009.3

08
02

Consolidated Summary● Consolidated Balance Sheets

Morita Holdings Corporation and Consolidated Subsidiaries
As of March 31, 2008 and 2009
Millions of yen

2008

2009

¥ 25,408¥ 37,178

29,170289
5,587¥ 60,456

30,686451
5,993¥ 74,310¥ 21,922¥ 29,506

10,12532,04815,45344,9604,746
4,365
21,345(2,496)
27,9594,746
4,362
23,400(2,711)
29,798

345
(0)
(244)
49
149

(269)
(4)
(1,600)(61)(1,935)298
28,408¥ 60,456

1,486
29,349¥ 74,310

Assets               

Total assets
Liabilities     

Net assets           ! 
           
"      # 
$%  &  '  (   
)(  &  '  
$%  &  '    ( *      #         # +             

Total liabilities and net assets

09
01

● Consolidated Statements of Income

Morita Holdings Corporation and Consolidated Subsidiaries
For the Years Ended March 31, 2008 and 2009
Millions of yen

Net sales
Cost of sales

,

 (

Selling, general and administrative expenses-   

Other income
Other expenses
Income before income taxes
Income taxes
)(

2008

2009

¥ 46,357¥ 56,704

35,301
11,055
8,731
2,324
879
1,384
1,820

44,794
11,910
9,526
2,383
1,033
1,904
1,512

877
(139)
737

1,189
(942)
246

+      (     
Net income

16

147

¥ 1,066¥ 1,119
Yen

2008

2009

¥ 25.11¥ 26.63

Per share of common stock.    )          

−

−

10.00

10.00

● Consolidated Statements of Cash Flows
Morita Holdings Corporation and Consolidated Subsidiaries
For the Years Ended March 31, 2008 and 2009
Millions of yen

2008

2009

Cash flows from operating activities¥ 1,057¥ 2,269

Cash flows from investing activities(2,972)(3,509)Cash flows from financing activities

982

6,492

Net increase (decrease) in cash and cash equivalents

(932)

5,252

Cash and cash equivalents at beginning of year

4,856

3,947

Cash and cash equivalents of newly consolidated subsidiaries

23−¥ 3,947¥ 9,200

Cash and cash equivalents at end of year

1002

● Consolidated Statement of Changes in Net Assets(in millions of yen)

Morita Holdings Corporation and Consolidated Subsidiaries
For the Year Ended March 31, 2009

   ,  - ./ 0112
  &   
3     &    '  &      &       &  &     
!  &   &   3        
,  - ./ 0114

4,746

     !     
 
   
  


4,365

(2,496)

21,34527,959

(419)

(419)

1,119

1,119

(2)

(10)

(10)

5

3

(210)

(210)
1,355

1,355

−
−

(2)

2,055

(215)

1,838

4,746

4,362

23,400(2,711)

29,798"      # - 
$% '& $% 5      
       ( ) (  )     
&  

 

&  # 

,  - ./ 0112
  &   
3     &    '  &      &       &  &     
!  &   &   3        
,  - ./ 0114

11
01

345

(0)

(244)

49

298

28,408

(419)
1,119
(10)
3
(210)
1,355
(1,388)

4

(240)

9

11

(896)

(1,388)

4

(240)

9

11

941

1,043

4

(484)

58

309

29,349

Nonconsolidated Summary● Nonconsolidated Balance Sheets
As of March 31, 2008 and 2009

Millions of yen

Assets               

Total assets
Liabilities     

2008

2009

¥ 18,057¥ 13,291¥ 17,400¥ 10,838

4,746
4,365
19,657(2,496)26,272

4,746
4,362
20,425(2,501)
27,03327,562
171
7,350¥ 53,141

9,384
26,78522,755174
11,386¥ 47,607

11,50822,346

Net assets           ! 
           
"      # 
$%   &   
'&  (  )  
$%  (  )    &         #     

Total liabilities and net assets

330
(1)
(244)
84
26,356¥ 53,141(172)−(1,600)1,772

25,260¥ 47,607● Nonconsolidated Statements of Income
For the Years Ended March 31,2008 and 2009
Millions of yen

2008¥ 30,511

2009¥ 10,223

Income before income taxes

29,439
1,072
1,444
1,465
1,051

Net income

400
(105)
¥ 756

105
(526)
(¥ 153)Operating revenue
Operating expenses
Operating income*  * +    +
'&

10,674
(451)
1,518
1,641
(574)

12
02

Company Profile
Overview
Company name

MORITA HOLDINGS CORPORATION

Inauguration of business
Establishment
CapitalApril 23, 1907

July 23, 1932

¥4,746mil

Osaka Head Office

5-5-20 Shoji-Higashi, Ikuno-ku, Osaka-shi, Osaka

Tokyo Head Office

3-25-31 Nishishinbashi, Minato-ku, Tokyo

Type of BusinessControl/management of business activities
of group companies, and undertaking of
indirect management operations on acommission basis

Group Companies
MORITA CORPORATION
1-5 Techno Park, Sanda-shi, Hyogo, 669-1339, Japan
Manufacturing and sale of ladder trucks, pumpers, and otherfire trucks and specialty vehicles
MORITA BOHSAI TECH CORPORATION
3-25-31 Nishishinbashi, Minato-ku, Tokyo, 105-0003, Japan
Manufacturing and sales of disaster prevention equipment including dry chemical fire
extinguishers, and design, conservation and inspection of disaster prevention facilities
MORITA ENVIRONMENTAL TECH CORPORATION
1530 Konoda-cho, Funabashi-shi, Chiba, 274-0081, Japan
Design of waste recycling facilities and other waste disposal
facilities, and manufacturing and sales of large hydraulic equipment
MORITA ECONOS CORPORATION
1-48 Jinmu-cho, Yao-shi, Osaka, 581-0067, Japan
Manufacturing and sales of environment preservation vehicles
such as sanitation vehicles and garbage trucks
MORITA TECHNOS CORPORATION
5-5-20 Shoji-Higashi, Ikuno-ku, Osaka-shi, Osaka, 544-8585, Japanafter-service and maintenance of equipment and materials for fire trucks and rescue activities, and manufacturing
and sales of electronic applied machinery/equipment and information processing machinery/equipment
MIYATA INDUSTRY CO.,LTD.
1-1-1 Shimomachiya, Chigasaki-shi, Kanagawa, 253-8588, Japan
Manufacturing and sales of fire extinguishers, fire fighting
equipment, disaster prevention-related equipment and bicycles

1301

MORITA SOGO SERVICE CORPORATION
5-5-20 Shoji-Higashi, Ikuno-ku, Osaka-shi, Osaka, 544-8585, Japan
MORITA U.G. CORPORATION
2-3-5 Kandasuda-cho, Chiyoda-ku, Tokyo, 101-0041, Japan
MORITA ENGINEERING CORPORATION
1-48 Jinmu-cho, Yao-shi, Osaka 581-0067, Japan
HOKKAIDO MORITA CORPORATION
13-2-17 Naebo-cho, Higashi-ku, Sapporo-shi, Hokkaido, 065-0043, JapanKAGOSHIMA MORITA PUMP CORPORATION
12-32, Matsubara-cho, Kagoshima-shi, Kagoshima, 892-0833, Japan
MORITA TOYO CORPORATION
1700-2 Konjinzuka, Sanagu-cho, Iga-shi, Mie, 518-0001, Japan
ALUVO CORPORATION
1479-1 Kamikanzo, Iwata-shi, Shizuoka, 438-0115, JapanSICHUAN MORITA FIRE SAFETY APPLIANCES CO., LTD
No.8, Xinhua Avenue, Chengdu Cross-Straits TechnologicalIndustry Park, Wenjiang District, Chengdu City, 611130, China
NANJING CHENGUANG MORITA ENVIRONMENT PROTECTIONSCIENCE & TECHNOLOGY CO., LTD
No.188 Tianyuanzhong Road, Jiangning Economic & TechnicalDevelopment Zone, Nanjing, 211100, China
MORITA HOLDRICH (HONG KONG) COMPANY LIMITED
FLAT/RM, 1909, 19/F, Hutchison HSE., 10 Harcourt RD., Central, Hong Kong
MORITA VIETNAM COMPANY LTD.
Minh Duc Commune, My Hao District, Hung Yen Province, Vietnam

Executives
Chairman & CEO

Toshio Shinmura

President

Masahiro Nakajima

Director

Kouki Shirai

Director

Kenichi Kitamura

Director

Kazuhiro Tsuchiya

Director

Kazuｍi Kawaguchi

Full-Time Corporate Auditor

Kyo Hirose

Full-Time Corporate Auditor

Eiji Asada

Full-time Corporate Auditor

Atsushi Sasaki

AuditorKazuyoshi Matsumura

Corporate Executive Officer

Toshihiko Iwamuro

Corporate Executive Officer

Hiroko Urano

1402ShareholderÕs MemoIntroduction to the Share
April 1st to March 31st

Business Year

Annual General Meeting of Shareholders

June

Reference date

Annual General Meeting of Shareholders Ð March 31stYear-end Dividend Ð March 31st
Interim Dividend Ð September 30th
Other dates published in advance as necessary

Notification Method

Posted on company website
http://www.morita119.com/kohkoku/index.html

Administrator of the shareholders list
The Sumitomo Trust & Banking Co., Ltd.
4-5-33, Kitahama, Chuo-ku, Osaka-shi
Place of clerical office for the above
Stock Transfer Agency Department, The Sumitomo Trust & Banking Co., Ltd.
4-5-33, Kitahama, Chuo-ku, Osaka-shi（Postal Address）

Stock Transfer Agency Department, The Sumitomo Trust & Banking Co., Ltd.
1-10 Nikko-cho, Fuchu-shi, Tokyo 183-8701（Telephone Inquiries）+81-120-176-417（Internet Website URL）

http://www.sumitomotrust.co.jp/STA/retail/service/daiko/index.html
Tokyo Stock Exchange, Osaka Securities Exchange

Stock Listing[Special Account]

For shareholders who did not use JASDEC (Japan Securities Depository
Center, Inc.) before the share certificates were computerized, an account(special account) has been opened above Sumitomo Trust & banking Co.,
Ltd., the shareholder register administrator. For details regarding the special
account, notification of address change, and so on, please inquire with theabove contact.

[Notification of address change and inquiries]
For shareholders who have an account at a securities firm, please contact
the firm where your account is established for notification of address change
and so on. For shareholders who do not have an account at a securities firm,
please inquire with the above contact.

Osaka Head Office
5-5-20 Shoji-Higashi, Ikuno-ku, Osaka-shi, Osaka, 544-8585, Tel. +81-6-6756-0100
Tokyo Head Office
3-25-31 Nishishinbashi, Minato-ku, Tokyo 105-0003, Tel. +81-3-5777-5777

http://www.morita119.com
Printed using
environmentallyfriendly soy ink.

This leaflet is written in universal design font so thateven the weak-sighted and elderly can easily gather
information from it.