Asahi Kasei Corporation
Head Office: 1-105 Kanda Jinbocho, Chiyoda-ku, Tokyo, Japan
Security code: 3407
Contact: Corporate Communications, Phone +81-3-3296-3008, Fax +81-3-3296-3162

May 11, 2017

Consolidated Results for Fiscal 2016:
April 1, 2016 – March 31, 2017
(All figures in millions of yen, rounded to the nearest million, unless otherwise specified)

I. Summary of Consolidated Results
1. Operating results (percent change from previous year in brackets)
Net sales
Operating income
Ordinary income
Net income attributable to owners of the parent
Net income per share*
Diluted net income per share*
Net income/shareholders’ equity
Ordinary income/total assets
Operating income/net sales

FY 2016
1,882,991 [−3.0%]
159,229 [−3.6%]
160,633 [−0.5%]
115,000 [+25.3%]
82.34
—
10.5%
7.2%
8.5%

FY 2015
1,940,914 [−2.3%]
165,203 [+4.6%]
161,370 [−3.1%]
91,754 [−13.2%]
65.69
—
8.6%
7.6%
8.5%
* Yen

Notes:
 Comprehensive income was ¥138,979 million during fiscal 2016, and ¥(11,925) million during
fiscal 2015.
 Equity in earnings (losses) of affiliates was ¥4,899 million during fiscal 2016, and ¥(854) million
during fiscal 2015.
2. Financial position
At fiscal year end March
Total assets
Net assets
Net worth/total assets
Net worth per share*

2017
2,254,500
1,168,115
51.1%
824.362016
2,211,729
1,057,399
47.1%
745.94* Yen
Notes:
 Net worth consists of shareholders’ equity and accumulated other comprehensive income.
 Net worth as of March 31, 2017, was ¥1,151,344 million; as of March 31, 2016, ¥1,041,901 million.
3. Cash flows

Cash flows from operating activities
Cash flows from investing activities
Cash flows from financing activities
Cash and cash equivalents at end of period

Asahi Kasei
Consolidated Results

FY 2016
168,965(89,920)(73,959)
144,077

FY 2015
216,218(285,287)
101,365
145,307

May 11, 2017
1/15

II. Cash Dividends

Fiscal year
2015
2016
2017
(forecast)

Cash dividends per share*
Total
Q1
Q2
Q3
Q4
annual— 10.00 — 10.00 20.00— 10.00 — 14.00 24.00
—

—

—

—

Total annual
dividend
amount27,93633,520

Dividends/
consolidated
net income
30.4%
29.1%

24.00

Dividends/
consolidated
net worth
2.6%
3.1%

29.1%
* Yen

III. Forecast for Fiscal 2017 (April 1, 2017 – March 31, 2018)(percent change from same period of previous year in brackets)

Net sales
Operating income
Ordinary income
Net income attributable to owners of the parent
Net income per share*

For Q1–Q2
950,000 [+6.7%]
71,500 [+1.0%]
73,500 [+5.2%]
49,000 [−7.4%]
35.08

For the fiscal year
1,990,000 [+5.7%]
165,000 [+3.6%]
170,000 [+5.8%]
115,000 [+0.0%]
82.34
* Yen

Note:
Performance forecasts are based on the best information available at this time, but actual results may
diverge from these forecasts due to a variety of factors which cannot be foreseen.

IV. Other Information
1. Changes in significant subsidiaries which affected scope of consolidation during the period
Asahi Kasei Chemicals Corp., a consolidated subsidiary and specified subsidiary of Asahi Kasei
Corp., was dissolved by absorption in a merger with Asahi Kasei Corp. as the surviving company,
and therefore eliminated from the scope of consolidation beginning with the fiscal year ended March
31, 2017.
Furthermore, although not specified subsidiaries, Asahi Kasei Fibers Corp. and Asahi Kasei Ematerials Corp. were also dissolved by absorption in a merger with Asahi Kasei Corp. as thesurviving company, and therefore similarly eliminated from the scope of consolidation.
2. Changes in accounting policies, changes in accounting estimates, and retroactive restatementi. Changes in accounting policy
Application of revised implementation guidance on recoverability of deferred tax assets:
The Accounting Standards Board of Japan (ASBJ) issued revised Guidance No. 26“Implementation Guidance on Recoverability of Deferred Tax Assets.” This revised guidance isapplied from the fiscal year ended March 31, 2017. Accordingly, the method of accounting related
to recoverability of deferred tax assets has been partially amended.
In accordance with the transitional accounting provisions set forth in Article 49, Paragraph 4, of
the revised Guidance No. 26, the difference between the amount of deferred tax assets at the
beginning of the fiscal year ended March 31, 2017, as calculated in accordance with the applicableprovisions of Article 49, Paragraph 3, Items 1 through 3, of the revised Guidance No. 26, and theamount of deferred tax assets at the end of the fiscal year ended March 31, 2016, is added to retained
earnings at the beginning of the fiscal year ended March 31, 2017.
The effect of this change on deferred tax assets (investments and other assets) and retained
Asahi Kasei
Consolidated Results

May 11, 20172/15

earnings at the beginning of the fiscal year ended March 31, 2017, is immaterial.
Application of practical solution on a change in depreciation method due to Tax Reform 2016:
The ASBJ issued Practical Issues Task Force (PITF) No. 32 “Practical Solution on a change indepreciation method due to Tax Reform 2016.” This practical solution is applied from the fiscal
year ended March 31, 2017. Accordingly, the method of depreciation of buildings andaccompanying facilities and of structures is changed from the declining-balance method to thestraight-line method.
The effect of this change on operating income, ordinary income, and income before income taxes
during the fiscal year ended March 31, 2017, is immaterial.
ii. Changes in presentation
Consolidated statements of income:In the fiscal year ended March 31, 2017, contribution, which had previously been included inothers under non-operating expenses, exceeded 10% of total non-operating expenses, and is reported
separately. The consolidated statements of income for the fiscal year ended March 31, 2016, havebeen adjusted accordingly, resulting in others under non-operating expenses being ¥851 million
lower than previously reported, reflecting the separation of the same amount as contribution.
3. Number of shares outstanding

Number of shares outstanding at end of period
Number of shares of treasury stock at end of period
Average number of shares outstanding during period

2017
1,402,616,332
5,958,904
1,396,714,882

2016
1,402,616,332
5,861,678
1,396,812,330

V. Summary of Non-Consolidated Results
1. Results for fiscal 2016 (April 1, 2016 – March 31, 2017)(1) Operating results (percent change from previous year in brackets)
FY 2016
572,645 [—]30,051 [−8.0%]
79,182 [+126.1%]
198,660 [+396.0%]
142.23—

Revenue
Operating income
Ordinary income
Net income
Net income per share*
Diluted net income per share*

FY 2015
46,790 [−15.9%]
32,655 [−21.8%]
35,023 [−20.5%]
40,055 [−2.1%]
28.68
—
* Yen

(2) Financial position
At fiscal year end, March
Total assets
Net assets
Net worth/total assets
Net worth per share*

2017
1,630,936
706,30743.3%
505.712016
1,325,089
500,06437.7%
358.02* Yen

Notes:
 Net worth as of March 31, 2017, was ¥706,307 million; as of March 31, 2016, ¥500,064 million.
 Large differences are attributable to absorption of 3 consolidated subsidiaries on April 1, 2016.

Asahi Kasei
Consolidated Results

May 11, 20173/15

VI. Overview of Consolidated Results
1. Consolidated group results
During fiscal 2016, the outlook for the global economy remained obscure with increased politicaluncertainty related to the withdrawal of the UK from the EU and increased concern regarding the
economic policy of the new US administration, as well as concern of economic slowdown inemerging economies. Meanwhile, the Japanese economy continued a path of gradual recovery
with strong corporate performance while consumer spending became firm as the employment
situation and income environment improved.
Consolidated net sales of Asahi Kasei Corp. and its consolidated subsidiaries and equitymethod affiliates (the Asahi Kasei Group) decreased by ¥57.9 billion (3.0%) from a year ago to¥1,883.0 billion, operating income decreased by ¥6.0 billion (3.6%) to ¥159.2 billion, and ordinary
income decreased by ¥0.7 billion (0.5%) to ¥160.6 billion with negative impacts from the stronger
yen, reduced reimbursement prices in pharmaceutical operations, and a full-year effect ofamortization of goodwill, etc., related to the acquisition of Polypore International, LP and its
consolidated subsidiaries (collectively “Polypore”) in electronics operations. Net income
attributable to owners of the parent increased by ¥23.2 billion (25.3%) to ¥115.0 billion withsignificant gain on sales of investment securities and lower total income taxes.
2. Results by operating segment
In April 2016, the Asahi Kasei Group reorganized its business portfolio together with the beginningof a new strategic management initiative. The previous four reportable segments of Chemicals &Fibers, Homes & Construction Materials, Electronics, and Health Care, together with an “Others”
category, have been changed to the three reportable segments of Material, Homes, and Health Care,
together with an “Others” category. The figures for the year-ago period have been recalculated inaccordance with the new segment configuration for comparison purposes.
MATERIAL
Sales decreased by ¥31.3 billion (3.1%) from a year ago to ¥973.2 billion, and operating income
increased by ¥5.3 billion (6.6%) from a year ago to ¥84.5 billion.
In fibers & textiles, shipments of Bemberg™ cupro fiber, Lamous™ artificial suede, andLeona™ nylon 66 filament increased, but selling prices declined due to competition, and eachproduct in fibers & textiles operations was impacted by the stronger yen.
Among chemical operations, in petrochemicals, shipments of styrene decreased following
the strengthening of petrochemical operations in Japan, while terms of trade improved foracrylonitrile. Shipments of synthetic rubber for fuel-efficient tires and engineering plastics
increased, but each product in performance polymers was impacted by the stronger yen. In
performance materials and consumables, ion-exchange membranes were impacted by the stronger
yen, but sales of electronic materials and Saran Wrap™ cling film were firm.
Among electronics operations, shipments of each battery separator product increased.
While results of Polypore, consolidated from the second quarter of fiscal 2015, were included,amortization of goodwill, etc., was recorded for the full year, and the stronger yen had an impact.
In electronic devices, shipments of audio devices for smartphones increased but the stronger yen
had an impact.
HOMES
Sales decreased by ¥13.5 billion (2.1%) from a year ago to ¥619.0 billion, and operating income
decreased by ¥6.9 billion (9.7%) from a year ago to ¥64.1 billion.
Among homes operations, in order-built homes, deliveries of Hebel Haus™ unit homes andHebel Maison™ apartment buildings decreased as an effect of orders received during the previous
period, while selling, general and administrative (SG&A) expenses such as advertising expenses
increased. In remodeling, SG&A expenses such as labor costs increased, but in real estate,
management of rental units was firm.
In construction materials operations, sales of Neoma™ phenolic foam insulation panels were
firm, while shipments of autoclaved aerated concrete (AAC) and foundation systems decreased.

Asahi Kasei
Consolidated Results

May 11, 2017
4/15

HEALTH CARE
Sales decreased by ¥15.3 billion (5.4%) from a year ago to ¥270.1 billion, and operating income
decreased by ¥4.3 billion (11.9%) from a year ago to ¥31.9 billion.
Shipments of Teribone™ osteoporosis drug and Recomodulin™ recombinant
thrombomodulin increased, but pharmaceuticals operations were impacted by reduced
reimbursement prices, while Flivas™ agent for treatment of benign prostatic hyperplasia was
impacted by competition from generics.
Shipments of Planova™ virus removal filters increased, but medical devices operations were
impacted by the stronger yen and, in Japan, reduced reimbursement prices for dialysis-related
products.
In critical care operations, on a local-currency basis, the LifeVest™ wearable defibrillator
business continued to expand well, and sales of other products such as defibrillators and related
accessories increased, but SG&A expenses grew with reinforced sales activity. The higher
exchange value of the yen had an impact on the translation of results into consolidated accounts.
OTHERS
Sales increased by ¥2.1 billion (11.2%) from a year ago to ¥20.7 billion, and operating income
increased by ¥2.3 billion (59.8%) from a year ago to ¥6.0 billion.

Asahi Kasei
Consolidated Results

May 11, 20175/15

VII. Consolidated Financial Statements
1. Balance sheets

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable–trade
Short-term investment securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Deferred tax assets
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
Land
Lease assets
Accumulated depreciation
Lease assets, net
Construction in progress
Other
Accumulated depreciation
Other, net
Subtotal
Intangible assets
Goodwill
Other
Subtotal
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Other
Allowance for doubtful accounts
Subtotal
Total noncurrent assets
Total assets

Asahi Kasei
Consolidated Results

At end ofMarch 2016

At end ofMarch 2017

146,054
280,095
1,534
159,441
108,684
68,61818,13375,324(1,865)856,018

145,289
302,751—
159,395
116,481
70,806
20,27981,816(2,272)894,545495,817(268,635)
227,183
1,348,103(1,149,544)
198,559
61,046
12,928(11,183)
1,745
49,240147,286(129,072)
18,215555,989

508,713(278,122)
230,590
1,376,029(1,176,686)
199,343
62,391
12,367(11,381)986
45,958150,073(132,460)
17,613556,881305,112
189,470
494,582285,622
177,149
462,772

244,598
16,35320,09824,280(189)
305,140
1,355,711
2,211,729

284,137
18,9189,309
28,154(215)
340,3021,359,955
2,254,500

May 11, 20176/15

Liabilities
Current liabilities
Notes and accounts payable–trade
Short-term loans payable
Commercial paper
Current portion of bonds payable
Lease obligations
Accrued expenses
Income taxes payable
Advances received
Provision for periodic repairs
Provision for product warranties
Provision for removal cost of property, plant andequipment
Asset retirement obligations
Other
Total current liabilities
Noncurrent liabilities
Bonds payable
Long-term loans payable
Lease obligations
Deferred tax liabilities
Provision for periodic repairs
Provision for removal cost of property, plant andequipment
Provision for loss on litigation
Net defined benefit liability
Asset retirement obligations
Long-term guarantee deposits
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Accumulated other comprehensive income
Net unrealized gain on other securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

Asahi Kasei
Consolidated Results

At end ofMarch 2016

At end ofMarch 2017

126,653
313,587——919
98,71732,73574,667
3,908
2,355

147,543
113,475
56,00020,000305
100,419
16,202
72,882
5,003
2,461

2,130

1,800

568
69,423725,662572
58,217594,880

40,00094,632537
64,930558

20,000
192,584467
59,759
165

7,228

4,390

2,171
186,300
3,480
20,131
8,702
428,669
1,154,330

2,162
178,368
3,436
20,4799,695
491,506
1,086,385

103,389
79,410763,076(3,150)942,724

103,389
79,443
850,532(3,242)
1,030,122

92,280(179)
48,429(41,353)
99,177
15,4981,057,399
2,211,729

113,475
55
40,831(33,140)
121,222
16,771
1,168,115
2,254,500

May 11, 20177/15

2. Statements of income and statements of comprehensive income
1) Statements of income

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Equity in earnings of affiliates
Other
Total non-operating income
Non-operating expenses
Interest expense
Equity in losses of affiliates
Foreign exchange loss
Contribution
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of investment securities
Gain on sales of noncurrent assets
Total extraordinary income
Extraordinary loss
Loss on valuation of investment securities
Loss on disposal of noncurrent assets
Impairment losses
Business structure improvement expenses
Litigation settlement
Loss on piling businessBusiness integration expense
Special retirement expenses and other
Loss on discontinuation of joint sales agreement
Total extraordinary loss
Income before income taxes
Income taxes—current
Income taxes—deferred
Total income taxes
Net income
Net income attributable to non-controlling interests
Net income attributable to owners of the parent

Asahi Kasei
Consolidated Results

FY 2015
1,940,914
1,354,698
586,216
421,013
165,203

FY 2016
1,882,991
1,296,255
586,736
427,506
159,229

1,417
4,757
—
5,148
11,322

1,425
5,170
4,899
3,854
15,347

3,611
854
3,679
851
6,159
15,154
161,370

4,435
—
1,228
3,930
4,351
13,944
160,633

8,275
917
9,192

9,918
165
10,083

363
5,214
3,493
3,606
1,201
1,456
1,547
2,027
5,266
24,173
146,389
55,419(2,441)
52,97893,412
1,658
91,754

101
4,863
1,484
6,189
—
—
690
—
—
13,328157,388
49,017(8,293)40,724
116,663
1,663
115,000

May 11, 2017
8/15

2) Statements of comprehensive income

Net income
Other comprehensive income
Net increase (decrease) in unrealized gain on othersecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Share of other comprehensive income of affiliates
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:
Owners of the parent
Non-controlling interests

Asahi Kasei
Consolidated Results

FY 2015
93,412

FY 2016
116,663(21,098)

21,177

1,519(48,860)(33,331)234(8,020)8,114(3,567)810(105,337)(11,925)

22,315
138,979(12,708)
783

137,045
1,934

May 11, 20179/15

3. Statements of changes in net assets

Shareholders’ equity
Capital stock
Balance at beginning of fiscal year
Balance at end of fiscal year
Capital surplus
Balance at beginning of fiscal year
Changes during the fiscal year
Disposal of treasury stock
Capital increase of consolidated subsidiaries
Total changes of items during the period
Balance at end of fiscal year
Retained earnings
Balance at beginning of fiscal year
Cumulative effect of changes in accounting policies
Restated balance
Changes during the fiscal year
Dividends from surplus
Net income attributable to owners of the parent
Change of scope of consolidation
Change of scope of equity method
Total changes of items during the period
Balance at end of fiscal year
Treasury stock
Balance at beginning of fiscal year
Changes during the fiscal year
Purchase of treasury stock
Disposal of treasury stock
Total changes of items during the period
Balance at end of fiscal year
Total shareholders’ equity
Balance at beginning of fiscal year
Cumulative effect of changes in accounting policies
Restated balance
Changes during the fiscal year
Dividends from surplus
Net income attributable to owners of the parent
Purchase of treasury stock
Disposal of treasury stock
Change of scope of consolidation
Change of scope of equity method
Capital increase of consolidated subsidiaries
Total changes of items during the period
Balance at end of fiscal year

Asahi Kasei
Consolidated Results

FY 2015

FY 2016

103,389
103,389

103,389
103,389

79,40879,4102—
2
79,410033
33
79,443

699,259—699,259

763,07610
763,086(27,937)
91,754——63,817763,076(27,935)
115,000418(37)
87,446
850,532(3,041)(3,150)

(113)
4
(109)
(3,150)

(93)
1
(92)
(3,242)879,014—879,014942,724
10
942,734(27,937)
91,754
(113)
6
—
—
—
63,710942,724(27,935)
115,000
(93)
1
418
(37)
33
87,3881,030,122

May 11, 201710/15

Accumulated other comprehensive income
Net unrealized gain on other securities
Balance at beginning of fiscal year
Changes during the fiscal year
Net changes of items other than shareholders’ equity
Total changes of items during the period
Balance at end of fiscal year
Deferred gains or losses on hedges
Balance at beginning of fiscal year
Changes during the fiscal year
Net changes of items other than shareholders’ equity
Total changes of items during the period
Balance at end of fiscal year
Foreign currency translation adjustment
Balance at beginning of fiscal year
Changes during the fiscal year
Net changes of items other than shareholders’ equity
Total changes of items during the period
Balance at end of fiscal year
Remeasurements of defined benefit plans
Balance at beginning of fiscal year
Changes during the fiscal year
Net changes of items other than shareholders’ equity
Total changes of items during the period
Balance at end of fiscal year
Total accumulated other comprehensive income
Balance at beginning of fiscal year
Changes during the fiscal year
Net changes of items other than shareholders’ equity
Total changes of items during the period
Balance at end of fiscal year
Non-controlling interests
Balance at beginning of fiscal year
Changes during the fiscal year
Net changes of items other than shareholders’ equity
Total changes of items during the period
Balance at end of fiscal year
Total net assets
Balance at beginning of fiscal year
Cumulative effect of changes in accounting policies
Restated balance
Changes during the fiscal year
Dividends from surplus
Net income attributable to owners of the parent
Purchase of treasury stock
Disposal of treasury stock
Change of scope of consolidation
Change of scope of equity method
Capital increase of consolidated subsidiaries
Net changes of items other than shareholders’ equity
Total changes of items during the period
Balance at end of fiscal year
Asahi Kasei
Consolidated Results

FY 2015

FY 2016

113,562

92,280(21,282)(21,282)
92,28021,19521,195
113,475(1,697)

(179)

1,519
1,519
(179)

234
234
55

99,531

48,429(51,102)(51,102)48,429(7,597)(7,597)
40,831(7,757)(41,353)(33,596)(33,596)(41,353)

8,213
8,213
(33,140)

203,639

99,177(104,462)(104,462)
99,17722,04522,045
121,222

15,06815,498430
430
15,498

1,273
1,273
16,771

1,097,722—
1,097,722

1,057,399
10
1,057,409(27,937)
91,754
(113)
6
—
—
—
(104,032)(40,323)
1,057,399(27,935)
115,000
(93)
1
418
(37)
33
23,318110,705
1,168,115
May 11, 201711/15

4. Statements of cash flows

Cash flows from operating activities
Income before income taxes
Depreciation and amortization
Impairment loss
Amortization of goodwill
Amortization of negative goodwill
Increase in provision for periodic repairs(Decrease) increase in provision for product warranties
Decrease in provision for removal cost of property, plant andequipment
Decrease in net defined benefit liability
Interest and dividend income
Interest expense
Equity in losses (earnings) of affiliates
Gain on sales of investment securities
Loss on valuation of investment securities
Gain on sale of property, plant and equipment
Loss on disposal of noncurrent assets
Decrease (increase) in notes and accounts receivable–trade
Decrease (increase) in inventories(Decrease) increase in notes and accounts payable–trade(Decrease) increase in accrued expenses
Increase (decrease) in advances received
Other, net
SubtotalInterest and dividend income, received
Interest expense paid
Income taxes paid
Net cash provided by operating activities
Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
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
Purchase of shares in subsidiaries resulting in change in scopeof consolidation
Payments for transfer of business
Payments of loans receivableCollection of loans receivable
Other, net
Net cash used in investing activities

Asahi Kasei
Consolidated Results

FY 2015

FY 2016

146,389
93,811
3,493
15,821
(159)
824
(193)

157,388
91,3871,484
17,806
(159)
703
108

(1,339)(3,168)(9,227)(6,173)3,611
854(8,275)
363
(917)
5,214
48,513
12,901(24,104)(3,980)120(4,863)
272,687
7,558(3,596)(60,431)
216,218(8,150)(6,595)
4,435(4,899)(9,918)
101
(165)
4,863
(20,756)(9,840)18,6192,467(1,886)(6,721)
227,105
7,733(4,428)(61,444)
168,965(6,360)17,364(85,184)774(10,330)(7,017)
10,197(4,105)
5,232(82,983)
3,178(8,810)(9,846)
12,018(193,680)—(200)(11,131)2,520(2,241)(285,287)—(5,218)2,169(1,553)(89,920)

May 11, 201712/15

Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Increase in commercial paper
Proceeds from long-term loans payable
Repayment of long-term loans payable
Repayments of lease obligations
Purchase of treasury stock
Proceeds from disposal of treasury stock
Cash dividends paid
Cash dividends paid to non-controlling interests
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
Cash and cash equivalents at beginning of period
Increase in cash and cash equivalents resulting from changes inscope of consolidation
Cash and cash equivalents at end of period

FY 2015

FY 2016

213,417—
9,445(91,760)(1,411)(113)
6(27,937)(653)
371
101,365(5,560)26,736112,297(193,760)
56,000138,812(45,513)
(965)
(93)
1
(27,935)(712)
207(73,959)(6,759)(1,673)
145,307

6,273

443

145,307

144,077

5. Notes to consolidated financial statements
Consolidated balance sheets
Contingent liabilities
In October 2015 Asahi Kasei Corp. disclosed that Asahi Kasei Construction Materials Corp., aconsolidated subsidiary of Asahi Kasei Corp., which performed pile installation work as secondary
subcontractor for the construction of a condominium complex in Yokohama, Kanagawa, Japan,
submitted incorrect data in the pile installation report for the precast concrete piles installed for thisproject. There was manipulation of ammeter data and flowmeter data for the installation of piles.
Asahi Kasei Corp. established a task force and an internal fact-finding committee as well as anindependent commission to advance investigation, and on October 22, 2015, Asahi Kasei
Construction Materials Corp. reported its record of similar pile installation work over the past 10
years to Japan’s Ministry of Land, Infrastructure, Transport and Tourism (MLIT).
On November 24, 2015, Asahi Kasei Construction Materials Corp. completed all possible
investigation of whether or not there was manipulation of data regarding the installation of precast
concrete piles, and reported the results to the MLIT. Out of the 3,052 projects subject toinvestigation, manipulation of data was found for 360 projects.
Regarding projects where manipulation of data was found, Asahi Kasei Construction Materials is
cooperating with the prime contractors and the owners of the buildings in efforts to confirm safety
based on instructions from the MLIT. Regarding projects where a Specific Administrative Agency
has confirmed safety, the Specific Administrative Agency has issued a report to the MLIT. (At ameeting of the House of Councillors Committee on Land and Transport held on April 5, 2016, it wasreported that the safety of 357 of the 360 projects had been confirmed.)
Although there is a possibility that an effect on the consolidated results of Asahi Kasei Corp. may
emerge such as the recording of an additional reserve, etc., no such effect is reflected in the
consolidated financial statements due to the difficulty of making a rational estimate of the amount offinancial impact from this matter as of the time of preparation of the consolidated financial statements.

Asahi Kasei
Consolidated Results

May 11, 2017
13/15

VIII. Segment Information
1. Reporting segments(1) Fiscal 2015
Total

1,004,438
3,761

632,41853

285,40448

1,922,261
3,862

18,65341,854

1,940,914
45,716

1,008,198
79,2091,224,287

632,472
71,000449,289

285,452
36,235474,265

1,926,123
186,444
2,147,842

60,508
3,781
101,418

1,986,630
190,225
2,249,260

Subtotal

Others1

AssetsHealthCare

Total
Operating income

Homes

Sales
Customers
Intersegment

Material

Reporting segments

Other items
Depreciation and
51,337
9,529
21,53982,406
4,624
87,030amortization2
Amortization of
5,887
—
9,646
15,533288
15,821
goodwill
Investments inassociates accounted
31,993——31,993
17,54149,534for using equity
methodIncrease in property,
plant and equipment,
57,185
11,947
19,38288,514
4,706
93,220and intangible assets
1
Electricity supply, plant and environmental engineering, research and analysis, employment agency/staffing
operations, etc.
2
Excluding amortization of goodwill.

(2) Fiscal 2016
Total

973,169
4,174

618,964
1,761

270,12034

1,862,252
5,969

20,73830,384

1,882,991
36,352

977,342
84,472
1,231,592

620,725
64,100455,242

270,154
31,921
459,251

1,868,221
180,493
2,146,086

51,122
6,041
109,178

1,919,343
186,534
2,255,264

Subtotal

Others1

AssetsHealthCare

Total
Operating income

Homes

Sales
Customers
Intersegment

Material

Reporting segments

Other items
Depreciation and50,836
9,411
18,18778,435
4,637
83,072amortization2
Amortization of
8,766
—
8,780
17,546260
17,806
goodwill
Investments inassociates accounted
35,055
4,796
111
39,962
17,873
57,835for using equity
methodIncrease in property,
plant and equipment,
47,205
12,13915,60474,947
6,836
81,783and intangible assets
1
Electricity supply, plant and environmental engineering, research and analysis, employment agency/staffing
operations, etc.
2
Excluding amortization of goodwill.

Asahi Kasei
Consolidated Results

May 11, 201714/15

2. Differences between total amounts of reporting segments and recorded amounts on consolidated
financial statements

Sales
Total of reporting segments
Net sales in “Others” category
Elimination of intersegment transactions
Net sales on consolidated statements of income

Fiscal 2015
1,926,123
60,508(45,716)
1,940,914

Fiscal 2016
1,868,221
51,122(36,352)
1,882,991

Operating income
Fiscal 2015
Fiscal 2016
Total of reporting segments
186,444
180,493
Operating income in “Others” category
3,781
6,041
Elimination of intersegment transactions
149
220
Corporate expenses, etc.*(25,171)(27,525)
Operating income on consolidated statements of income
165,203
159,229* Corporate expenses, etc. include corporate revenue, basic research expense, and groupmanagement expense, etc. which are not allocated to reporting segments.

AssetsFiscal 2015
Fiscal 2016
Total of reporting segments
2,147,842
2,146,086
Assets in “Others” category
101,418
109,178
Elimination of intersegment transactions(318,969)(304,452)
Corporate assets*
281,439
303,688
Total assets on consolidated balance sheets
2,211,729
2,254,500* Corporate assets include assets of Asahi Kasei Corp.—surplus operating funds (cash anddeposits), long-term investment capital (investment securities, etc.), and land, etc.
IX. Geographic information
1. Fiscal 2015
(1) Net salesJapan
1,261,203

China
185,241(2) Property, plant and equipment
Japan
United States
361,825
91,425

Other regions
494,470

Total
1,940,914

Other regions
102,739

Total
555,989

Other regions
490,877

Total
1,882,991

Other regions
98,447

Total
556,881

2. Fiscal 2016
(1) Net salesJapan
1,226,633

China
165,481(2) Property, plant and equipment
Japan
United States
371,654
86,780Asahi Kasei
Consolidated Results

May 11, 201715/15