Consolidated Financial Statements
for the First Half of the Fiscal Year Ending December 31, 2014
August 8, 2014
These financial statements, prepared in accordance with accounting principles generally accepted in Japan, havebeen translated for reference only from the original Japanese-language document "KESSAN TANSHIN." The
entire format is pursuant to the requirements or guidance of Tokyo Stock Exchange. As for the contents, if there
are any differences or discrepancies between the original Japanese-language and the English translation, theoriginal Japanese-language supersedes this English translation.
Bridgestone Corporation
Stock exchange listings: Tokyo, Nagoya, Fukuoka
Code number:5108
URL:http://www.bridgestone.co.jp
Representative: Masaaki Tsuya, CEO and Representative Board Member Concurrently Chairman of the Board
Contact:
Satoshi Nakamura, Treasurer, General Manager
Telephone:+81-3-6836-3100
Scheduled date of quarterly securities report submission:
August 8, 2014
Scheduled date of dividend payment commencement:
September 1, 2014
Supplementary information for the quarterly financial statements to be prepared:
Yes
Meeting to explain for the quarterly financial statements to be held:
Yes(All amounts are rounded down to the nearest million yen)

1. Consolidated Results for the First Half of Fiscal 2014 (January 1, 2014 - June 30, 2014)(Percentage figures represent changes from the same period of previous year)(1) Consolidated Operating Results
Net sales

Operating income

Yen in millions

Six months ended
June 30, 2014
1,750,259
Six months ended
June 30, 2013
1,705,190(Note) Comprehensive Income:Net income%

Yen in millions%

Yen in millions%

Yen in millions%

2.6

223,152

17.2

219,96318.9

142,243

21.5

190,39942.3
184,96743.4
117,041Six months ended June 30, 2014
¥76,663 million [(69.2%)]
Six months ended June 30, 2013
¥248,524 million [156.6%]

55.5

14.5

Net income
per share
Six months ended
June 30, 2014
Six months ended
June 30, 2013

Ordinary income

Diluted net income
per share
Yen

Yen

181.64181.43149.52149.35(2) Consolidated Financial Position
Total assets

Ratio of total equity tototal assets

Net assets

Yen in millions

Yen in millions%

As of June. 30, 2014

3,416,759

1,915,198

54.3

As of December 31, 2013
(Reference) Total equity

3,577,045

1,862,963
As of June 30, 2014
As of December 31, 2013

50.5
¥1,855,784 million¥1,805,285 million

2. Dividends
2nd quarter
end

Annual Dividend
3rd quarter
end

Yen

Yen

Yen

Yen

Yen

－
－

27.00
40.00

－

30.00

57.00

－

40.00

80.00

1st quarterend
FY 2013
FY 2014

FY 2014(Projection)(Note) Changes from the latest forecasts released: No

Year -endTotal

3. Consolidated Projected Results for Fiscal 2014 (January 1, 2014 - December 31, 2014)(Percentage figures represent changes from the same period of previous year)
Net income
Operating income
Ordinary income
Net income
per share

Net sales
Yen in millions%

Yen in millions%

Yen in millions%

Yen in millions%

Yen

FY 20143,650,000
2.3
475,000(Note) Changes from the latest forecasts released: Yes

8.4

454,000

4.4

293,000

45.0

374.16

* Notes(1) Changes in principal subsidiaries during the six months ended June 30, 2014 : No
(Changes in specified subsidiaries involving change in consolidation scope)(2) Application of special accounting treatments for consolidated quarterly financial statements: Yes(3) Changes in accounting policy, changes in accounting estimates, and restatements
1) Changes due to revisions of accounting policies, etc.
: No
2) Changes in accounting policy other than 1): No3) Changes in accounting estimates: No4) Restatements: No(4) Outstanding number of shares (common stock)
1) Outstanding number of shares at period end (including treasury stock):
June 30, 2014
813,102,321 shares
December 31, 2013
813,102,321 shares
2) Number of shares of treasury stock at period end
June 30, 2014
December 31, 2013

29,969,911 shares
30,115,568 shares

3) Average outstanding number of shares (during the first half)First Half ended June 30, 2014
783,090,292 sharesFirst Half ended June 30, 2013
782,788,507 shares* Implementation status about the quarterly review
Although these financial statements are exempt from quarterly review procedures as required by the Financial
Instruments and Exchange Act, a part of quarterly review based on Financial Instruments and Exchange Act
were completed at the time of the disclosure of these financial statements.
* Statement regarding appropriate use of forward-looking statements and other notes
Projections of consolidated results for fiscal 2014 announced on February 18, 2014 are revised in thisdocument. The preceding descriptions of projections and plans are “forward-looking statements,” which involve
known and unknown risks and uncertainties. These variables could cause the Bridgestone Group’s actual
performance and financial results to differ substantially from management’s projections and plans, and thestatements are not guarantees of future business performance. For details, refer to “1. Qualitative Information
for the First Half of Fiscal 2014, (3) Explanation of Projections of Consolidated Results”, on page 5.

Bridgestone Corporation (5108)

First half results of fiscal 2014

[ Index ]1. Qualitative Information for the First Half of Fiscal 2014

…P2

(1) Explanation of Consolidated Operating Results…P2(2) Explanation of Consolidated Financial Position…P4(3) Explanation of Projections of Consolidated Results…P5

2. Other Information (Notes)…P5(1) Application of special accounting treatments for consolidated quarterly financial statements

3. Consolidated Quarterly Financial Statements

…P5

…P6

(1) Consolidated Balance Sheet…P6(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income…P8

Consolidated Statement of Income…P8

Consolidated Statement of Comprehensive Income…P9(3) Notes to the Consolidated Financial Statements…P10(Notes regarding going concern assumption)…P10(Notes regarding significant changes in the amount of shareholders’ equity)…P10(Segment Information)

…P10

1

Bridgestone Corporation (5108)

First half results of fiscal 2014

1. Qualitative Information for the First Half of Fiscal 2014
The Bridgestone Corporation is referred to as the “Company,” and the Company and its subsidiaries are referred
to as the “Companies.”(1) Explanation of Consolidated Operating Results
1) Sales and earnings
FY 2014 1H

FY 2013 1H(Six months ended(Six months ended

June 30, 2014)

June 30, 2013)

Increase(Decrease)

Yen in billions

Yen in billions

Yen in billions%

1,750.2

1,705.1

45.0

3Operating income

223.1

190.3

32.7

17

Ordinary income

219.9

184.9

34.9

19

Net income

142.2

117.0

25.2

22

Net sales

In the first half of fiscal 2014 (January 1 to June 30, 2014), the Companies’ operating environment was asfollows. The domestic economy showed signs of gradual recovery due to the effectiveness of economic andmonetary policies despite a temporary demand fluctuation associated with an increase in consumption tax rate
while maintaining the correction of the appreciated Japanese yen. The United States economy continues gradual
recovery due to an increase in consumer spending. The European economy has shown signs of recovery. The
Asian economic expansion continues to slow down, particularly in China and India. In addition, economic
stagnation was shown in Thailand. Overall, recovery by many overseas economies was continuously weak.
Under these operating conditions, the Companies continued working to realize the ultimate goal of becoming “atruly global company” and achieving “Dan-Totsu in all aspects of our business.” Stepping up our efforts on a
global scale, the Companies were trying to anticipate market trends and competitors’ movements, enhance
technology and promoting innovation to increase the sales of highly competitive products and services, andconstruction and enhancing business models that will extend beyond the mere sales of products. Moreover, theCompanies were striving to rapidly implement a range of initiatives to increase the sales of strategic products,
strengthen supply capacity, improve manufacturing productivity, effectively utilize our management resources,and develop eco-friendly products and businesses.
As a result, net sales in the first half of fiscal 2014 were ¥1,750.2 billion, an increase of 3% from the first half offiscal 2013; operating income was ¥223.1 billion, an increase of 17%; ordinary income was ¥219.9 billion, an
increase of 19%; and net income was ¥142.2 billion, an increase of 22%

2

Bridgestone Corporation (5108)

First half results of fiscal 2014

2) Segment Information
FY 2014

FY 2013

1H

1H
Increase(Six months ended(Six months ended

June 30, 2014)

June 30, 2013)(Decrease)

Yen in billions

Yen in billions

Yen in billions%

1,469.2

1,447.7

21.4

1

Operating income

202.0

173.2

28.8

17

Diversified
Products

Net Sales

288.8

264.4

24.3

9

Operating income

21.0

17.1

3.8

23

Consolidated
Results

Net Sales

1,750.2

1,705.1

45.0

3

223.1

190.3

32.7

17

Net Sales
Tires

Operating income

In the tires segment, the Companies worked to maximize sales momentum by introducing appealing new
products globally, enhancing strategic products and reinforcing fundamental competencies such as specification
optimization, and responding promptly to demand fluctuation in each region.
In Japan, due to last-minute demand associated with an increase in consumption tax rate, the unit sales of tires
for passenger cars and light trucks increased strongly and the unit sales of tires for trucks and buses increased
substantially compared to the first half of fiscal 2013. In the Americas, the unit sales of tires for passenger cars andlight trucks in North America increased steadily compared to the first half of fiscal 2013. The unit sales of tires fortrucks and buses increased strongly compared to the first half of fiscal 2013. In Europe, the unit sales of tires forpassenger cars and light trucks increased firmly compared to the first half of fiscal 2013. The unit sales of tires fortrucks and buses increased steadily compared to the first half of fiscal 2013. In Asia Pacific, the unit sales of tires
for passenger cars and light trucks decreased compared to the first half of fiscal 2013 as well as tires for trucks andbuses. In China, the unit sales of tires for passenger cars and light trucks increased substantially compared to thefirst half of fiscal 2013. In the specialty tire business, the sales volume of off-the-road radial tires for construction
and mining vehicles decreased compared to the first half of fiscal 2013 due to a decline in the demand of tires formining vehicles.
As a result, net sales and operating income in the tires segment in the first half of fiscal 2014 totaled ¥1,469.2
billion and ¥202.0 billion, an increase of 1% and an increase of 17% from the first half of fiscal 2013, respectively.
In the diversified products segment, net sales totaled ¥288.8 billion, an increase of 9% from the first half of fiscal
2013, and operating income was ¥21.0 billion, an increase of 23% from the first half of fiscal 2013 due to anincrease in the profit of BSAM Diversified Products and domestic business.

(Note) The amounts for segment results include inter-segment transactions that are eliminated in calculating theconsolidated results.

3

Bridgestone Corporation (5108)

First half results of fiscal 2014

(2) Explanation of Consolidated Financial Position
Assets, liabilities, and net assets positions at the end of the first half of fiscal 2014 were as follows.

(Assets)
In assets, while merchandise and finished products increased ¥29.2 billion, notes and accounts receivable,
short-term investments, and investments in securities decreased ¥56.5 billion, ¥50.1 billion, and ¥43.9 billion
respectively. As a result, assets decreased ¥160.2 billion compared with the end of the previous fiscal year, to¥3,416.7 billion.

(Liabilities)
In liabilities, while short-term borrowings increased ¥9.9 billion, provision for loss related to US antitrust laws,
accounts payable-other, and long-term borrowings decreased ¥44.7 billion, ¥46.2 billion, and ¥43.4 billion
respectively. As a result, liabilities decreased ¥212.5 billion compared with the end of the previous fiscal year, to¥1,501.5 billion.

(Net assets)
In net assets, cash dividends paid were ¥23.4 billion, and net unrealized gain on available-for-sale securities andforeign currency translation adjustments decreased ¥32.3 billion and ¥42.8 billion respectively, while net income
was ¥142.2 billion. As a result, net assets increased ¥52.2 billion compared with the end of the previous fiscal year,to ¥1,915.1 billion.
Consequently, the ratio of total equity to total assets increased 3.8% compared with the end of the previous
fiscal year, to 54.3%.

4

Bridgestone Corporation (5108)

First half results of fiscal 2014

(3) Explanation of Projections of Consolidated Results
1) Comparison with fiscal 2013
The Companies' operating environment will continue to require careful attention due to such factors asfluctuations in exchange rates and the prices of raw materials and feedstock, an ongoing lack of clarity in the
global economic situation and international political conditions that remain unstable.
Amid such a challenging business environment, the Companies project the following results through theimplementation of Mid-Term Management Plan initiatives.
.
FY 2014 projections
FY 2014 Projections(Revised)

FY 2013 Results

Increase(Decrease)

Yen in billions

Yen in billions

Yen in billions%

3,650.0

3,568.0

81.9

2Operating income

475.0

438.1

36.8

8

Ordinary income

454.0

434.7

19.2

4

Net income

293.0

202.0

90.9

45

Net sales

Exchange
Rate

Yen

Yen

yen/dollar

101

98

yen/euro

138

130

%

－

3
6

2) Revision of the projections
Actual results of operating income, ordinary income, and net income for the first half of the fiscal year
ending December 31, 2014, exceeded the projections previously announced on February 18, 2014. This
increase was the result of the favorable price of raw material and feedstock and initiatives to reduce expenses.
Additionally, the company reviewed its consolidated financial projections for the second half of the fiscal year
ending December 31, 2014, which were not updated on May 9, 2014, and revised its full-year consolidated
financial projections for the fiscal year ending December 31, 2014.

Forward-Looking Statements
The preceding descriptions of projections and plans are “forward-looking statements,” which involve known andunknown risks and uncertainties. These variables could cause the Bridgestone Group’s actual performance andresults to differ substantially from management’s projections and plans, and the statement are not guarantees of
future business performance.

2. Other Information (Notes)(1) Application of special accounting treatments for consolidated quarterly financial statements(Calculation for income tax expense)
Income tax expense was calculated based upon an estimated effective tax rate for fiscal 2014.

5

Bridgestone Corporation (5108)

First half results of fiscal 2014

3. Consolidated Quarterly Financial Statements(1) Consolidated Balance Sheet(Yen in millions)
FY 2013(As of December 31, 2013)

FY 2014 1H(As of June 30,2014)

AssetsCurrent Assets
Cash and deposits

286,558

281,727

Notes and accounts receivable

528,465

471,897

Short-term investments

152,161

102,025

Merchandise and finished products

354,370

383,651

Work in process

37,35337,530Raw materials and supplies

165,379

151,210

Other

204,965

189,605

Allowance for doubtful accounts(11,871)(11,353)

1,717,383

1,606,295

Buildings and structures, net

414,442432,829

Machinery, equipment and vehicles, net

454,423450,866

Other, net

466,193442,059

1,335,060

1,325,755

46,82662,425Investments in securities

320,954

277,043

Other

162,399

150,764

Allowance for doubtful accounts(5,578)(5,524)

Total investments and other assets

477,774

422,283

Total Fixed Assets

1,859,661

1,810,464

Total

3,577,045

3,416,759

Total Current Assets
Fixed Assets
Tangible assets

Total tangible assets
Intangible assets
Investments and other assets

6Bridgestone Corporation (5108)

First half results of fiscal 2014

(Yen in millions)
FY 2013(As of December 31,2013)

FY 2014 1H(As of June 30,2014)

Liabilities
Current Liabilities
Notes and accounts payable

188,693

184,513

Short-term borrowings

216,660

226,643

Current portion of bonds

63,79460,000

Lease obligations

1,093

1,000

Income taxes payable

54,571

48,906

Provision for loss related to US antitrust laws

44,790－

Provision for recall

21,132

16,033

Provision for plant restructuring in Japan

8,582

3,598

Accounts payable-other170,235

123,994

Other

289,731

262,263

1,059,285

926,953

Bonds

50,00050,000Long-term borrowings

221,384

177,914

Lease obligations

11,342

10,651

Accrued pension and liability for retirement
benefits

236,747

211,011

Other

135,321125,029

Total Long-term Liabilities

654,795

574,608

1,714,081

1,501,561

Common stock

126,354

126,354

Capital surplus

122,865

123,004

1,597,140

1,715,893

Treasury stock - at cost

(56,644)(56,372)

Total Shareholders’ Equity

1,789,714

1,908,880

Net unrealized gain(loss) on
available-for-sale securities

200,703

168,334

Deferred gain(loss) on derivative instruments(1,092)(1,235)

Foreign currency translation adjustments(86,177)(129,039)(97,863)(91,155)

15,570(53,095)

Stock Acquisition Rights

1,621

1,948

Minority Interests

56,05757,465

Total Net Assets

1,862,963

1,915,198

Total

3,577,045

3,416,759

Total Current Liabilities
Long-term Liabilities

Total Liabilities

Net Assets
Shareholders' Equity

Retained earnings

Accumulated Other Comprehensive Income

Post retirement liability adjustments forforeign consolidated companies
Total Accumulated Other Comprehensive
Income7

Bridgestone Corporation (5108)

First half results of fiscal 2014

(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income
Consolidated Statement of Income
First Half

(Yen in millions)
FY 2013 1H(Six months ended
June 30, 2013)

FY 2014 1H(Six months ended
June 30, 2014)

Net Sales

1,705,190

1,750,259

Cost of Sales

1,101,491

1,088,588

Gross Profit

603,699

661,671

72,071

72,977

Selling, General and Administrative Expenses
Goods freightage expenses
Advertising and promotion expenses

53,76159,937

Salaries, allowances and bonuses

109,523

115,241

Retirement benefit expenses

9,713

9,587

Depreciation

13,31913,910Research and development expenses

43,42144,503

Other

111,488

122,360

Total selling, general andadministrative expenses

413,299

438,518

Operating Income

190,399

223,152

Interest income

2,583

2,484

Dividend income

5,487

6,246

Other

9,419

10,919Total non-operating income

17,48919,649Interest expense

7,648

7,396

Foreign currency exchange loss

6,877

6,470

Other

8,396

8,970

Total non-operating expenses

22,921

22,838

Ordinary Income

184,967

219,963

3,073

5,210

－

3,316

Non-operating Income

Non-operating Expenses

Extraordinary Income
Gain on sales of tangible assets
Gain on sales of investment securities

3,073

8,527

Income before Income Taxes andMinority Interests

Total extraordinary income

188,040

228,491

Income Taxes

64,544

81,844

Income before Minority Interests

123,496

146,646

6,455

4,403

117,041

142,243

Minority Interests
Net Income

8Bridgestone Corporation (5108)

Consolidated Statement of Comprehensive Income
First Half

Income before Minority Interests

First half results of fiscal 2014

(Yen in millions)
FY 2013 1H(Six months ended
June 30, 2013)
123,496

FY 2014 1H(Six months ended
June 30, 2014)
146,646

Other Comprehensive Income (loss)
Unrealized gain (loss) on available-for-salesecurities
Deferred gain (loss) on derivative
instruments
Foreign currency translation adjustments

42,253(32,369)635

650

94,583(43,616)(12,984)

6,750

540

(1,399)125,028(69,983)

248,524

76,663

Shareholders of Bridgestone Corporation

237,252

73,577

Minority Interests

11,272

3,085

Postretirement liability adjustment forforeign consolidated companies
Share of other comprehensive income inaffiliates
Total other comprehensive income
Comprehensive Income
Comprehensive income attribute to:9Bridgestone Corporation (5108)

First half results of fiscal 2014

(3) Notes to the Consolidated Financial Statements(Notes regarding going concern assumption)
Not applicable(Notes regarding significant changes in the amount of shareholders’ equity)
Not applicable(Segment Information)
Information about Sales and Income (Loss) by reportable segment
FY 2013 First Half (Six months ended June 30, 2013)(Yen in millions)

Diversified

Adjustments

Tires

Total

Consolidated

Products(Note)Net sales:
External customers－

1,446,231

258,959

1,705,190

1,705,190

Inter-segment

1,484

5,511

6,996

(6,996)－

Total

1,447,716

264,470

1,712,186(6,996)

1,705,190

173,212

17,168190,38118

190,399

Segment income(Operating income)(Note) Adjustments of segment income refer to elimination of intersegment transactions.

FY 2014 First Half (Six months ended June 30, 2014)(Yen in millions)

Diversified

Adjustments

Tires

Total

Consolidated

Products(Note)Net sales:
External customers－

1,467,468

282,791

1,750,259

1,750,259

Inter-segment

1,732

6,062

7,795

(7,795)－

Total

1,469,201

288,853

1,758,054(7,795)1,750,259

202,088

21,060223,1484

223,152

Segment income(Operating income)(Note) Adjustments of segment income refer to elimination of intersegment transactions.

10