Annual Report 2002

For the Year Ended March 31, 2002

In Japan,
we’ve already achieved a 43%
market share in themothproofing productmarket, andin three years
we’ve expanded to a morethan 10% market sharein the deodorizer and air
freshener market.
The name S.T.Chemical will
always mean . . .

Consolidated Financial Highlights
S.T.Chemicals Co., Ltd. and Subsidiaries
Years ended March 31, 2002 and 2001, nine months ended March 31, 2000, and years ended June 30, 1999 and 1998.
Thousands of
U.S. dollars

Millions of yen

Net Sales

1998

1999

2000

2001

2002

2002

¥37,336¥35,441¥26,550¥37,896¥36,921$277,084

2,127

2,806

2,048

2,399

1,983

14,881

418

247

275

750

509

3,820

Operating Income
Net Income
R&D Expenses

505

393

281

343

408

3,060

Capital Expenditures

1,229

800

1,160

1,600

1,137

8,534

Total Assets

34,09031,84334,53834,382

32,921

247,058

Shareholders’ Equity

26,831

26,35026,16525,78225,606

192,164

Equity Ratio (%)

78.7

82.7

75.8

75.0

77.8

ROA (%) (Note 3)

7.34

9.86

6.59

7.98

6.89

Yen

U.S. dollars

Per Share
Net Income¥ 12.46¥

Total Assets

800.23804.538.00

8.00

Cash Dividends

7.40

¥

8.45

¥

23.60

¥ 16.37$0.12

816.29822.21

833.01

6.25

6.00

8.00

8.00

0.06

Notes: 1. During the period under review, S.T.Chemical changed its fiscal year from the 12-month period from July 1 through June 30 of the following
year to the 12-month period from April 1 through March 31 of the following year. To adjust to this change, the period under review was a ninemonth period from July 1, 1999 through March 1, 2000.
2. All dollar figures herein refer to U.S. currency. Yen amounts have been translated, for convenience only, at ¥133.25=$1, the approximate
exchange rate at March 31, 2002. Billion is used in the American sense of a thousand million.
3. ROA = (Operating Income + Interest and Dividends Received + Purchase Discount) / Total Assets

Net Sales

Net Income(Millions of yen)

(Millions of yen)

40,000800

30,000600

Shareholders’ Equity(Millions of yen)
30,00020,00020,000400

10,000200

10,000

0

98

99

00*

01

02

0

98

99

00*

01

02

0

98

99

00*

01

02

* For the nine-month period ended March 31, 2000

Projections:
Future-oriented information in this annual report is provided only as a reference for investors. Our projections are based on the company’s plans andexpectations, which may differ from the actual results owing to changes in the economic and business climate.

To Our Shareholders

Fiscal 2002 Performance
Fiscal 2002, ended March 31, 2002, was plagued by aneconomic downturn marked by deflationary pressure, anddomestic consumption continued to stagnate as a result.
In these circumstances, we executed a strategy that called fora thorough streamlining of product offerings. For efficientutilization of business resources invested on a selective basis,
we discontinued about 100 unprofitable products while
monitoring the selection of new products to be introduced tothe market to ensure customer acceptance. The strategy
resulted in successful products such as Shoshu Riki and
Dasshutan, which have grown into Power Brand products.
They contributed greatly to the overall performance of theCompany, whose consolidated net sales of ¥36,921 million(US$277 million), operating income of ¥1,983 million (US$15
million), and net income of ¥509 million (US$3,820 thousand)were virtually in line with projections.
Business Reforms to Be Centered on Innovation
Innovation is the key focus of our managerial plans during the new fiscal year. In light ofthe short-term economic outlook, which is increasingly unclear, we must implement a
policy of creative destruction – innovation – without compromising ourselves as weface a challenging situation.
We aim to maximize business efficiency by advancing our strategy of selectivity andfocus. Moreover, with the goal of enhancing our corporate value, we are pursuinginnovation in all of our undertakings in all fields, ranging from the creation of innovative
products and services to the establishment of rational business models emphasizing cost
efficiency.
Strengthening of “Core Business”
At S.T.Chemical, the core business segments consist of the Cloth Care and Air Care
product groups.
In the Cloth Care Group, we plan to fortify our position in the market bystrengthening the Mushuda brand and designing new marketing promotions to raise1consumer awareness about the need to use mothproofing products at the time ofseasonal wardrobe change.
In the Air Care Group, we are stepping up efforts to concentrate our businessresources more aggressively on Toilet no Shoshu Riki Spray and Shaldan Crystal Air tofacilitate their growth into Power Brands capable of capturing greater market share.
We believe these efforts will boost S.T.Chemical’s corporate brand image evenfurther and increase the confidence that customers and business partners place in us.
Attempts to Highlight Our Corporate Brand Image
All of our products are designed and developed based on our fundamental belief that
customers should be able to identify our products easily “by the name, by the package
design, and by the performance.” We pay particular attention to the containers andingredients to make each product stand out, while striving

Value Chain

to give unique names to our products, so that customers

Efficient
Sales

Selective
Focus

will immediately understand their special features andother characteristics.
These undertakings are supplemented further by
advertising and sales promotions, so that a wider range ofCustomer
Orientation

customers will become familiar with our products andrecognize them. We are confident that consumers will
understand the quality of our products once they actuallyEffective
AdvertisingPower
Productspick them up and use them. In addition, we seek to createa value chain, in which consumers’ opinions andsuggestions are directly fed into our R&D Division, which

in turn devises products that better meet their needs. Eventually, such products will be
released to the market to satisfy customers. This value chain is also a process that
boosts the Company’s corporate brand image.
Building a New Business Infrastructure
S.T.Chemical will build a structure based on information-oriented strategies andaccelerate its managerial efforts to ensure that consumer opinions are communicateddirectly to R&D staff, to create products that precisely satisfy customer needs as well as
boost sales and profitability.
As a first step, we have already streamlined our divisions and departments byreorganizing the entire corporation into just four divisions-R&D, Sales, Manufacturing,2

Key Measures Implemented
after the Appointment of
Takashi Suzuki as President• Constructive elimination of
products (from 862 items in1998 to 297 items in March
2002)

and Corporate Staffs-to facilitate information sharing and decision making. At the sametime, the hierarchical structure was simplified into just four tiers with the president,• Development of Power Brand
products such as Shoshu Riki,
Dasshutan, Shoshu Pot, andShoshu Plug

executive directors in charge of divisions, managers and those responsible for individual• Organizational reform

Company to take full advantage of synergies within each division and among different– A flatter organizational
structure, characterized by thefour-tier corporate hierarchy
ranging from president all theway down to those in chargeof individual staff, combinedwith the reorganization ofdivisions and departments into
just four business divisions:
R&D, Sales, Manufacturing,and Corporate Staffs

divisions.

– Aggressive appointment offemale staff to managerial
posts• Announcement of our
Medium-Term Business Plan,
Dantotsu (Absolutely No. 1)
Five-year Plan

staff. The new organizational structure helps clarify the corporate-wide strategies aswell as responsibilities of each division within the organization. It also allows the

In June 2001, the S.T. R&D Center, which serves as a fully integrated, seamless
R&D base, was put into operation. In August 2001, a task force was set up to achieve
reductions in production costs across the entire Company. It is building a solid
foundation to enable cost-cutting.
In terms of personnel, we instituted a performance-based system to motivate
employees to strive for a higher level of performance on an ongoing basis and heighten
their morale. Parallel to this was the launch of a stock option program for 24 executives
and managers, which was intended to further promote the Company’s commitment toshareholders in its execution of business.
We will plan to shape and reinforce our corporate brand image for upcoming
products as well, so that consumers’ level of confidence in our products and services
will increase to the extent that they will purchase our products because they trust the• Implementation of aperformance-based evaluation
systemS.T.Chemical brand.

• Retirement of treasury shares(2,342 thousand shares, orabout 7.0% of the outstanding
shares)creator” capable of generating innovative products and services offering a number of• Disposal of idle assets

shareholders.

Looking ahead, we are committed to transforming ourselves into a “new value
outstanding added values, in an effort to better respond to the expectations of ourshareholders. In all our efforts, I look forward to the continued support of our• Introduction of a corporate
officer system• Reduction of the number of
directors serving on the Boardof Directors from 10 to 7
• Introduction of a stock option
program• Speedier announcement offinancial results (results areavailable 30 days after the
year-end in 2001, as opposed
to 40 days in 2000 and 75
days in 1999)

Takashi Suzuki
President and Representative Director,
Executive Committee Member• Early scheduling of theCompany’s shareholders’meeting (from 75 days to 30
days)

3

S.T.Chemical at a Glance

Air Care

Air Care: There is latent demand in the
deodorizer and air freshener market in Japan,
and the market has tremendous growthpotential. We maintain high growth expectations
for this market and we have a large assortmentof power brands like Shoshu Riki.

Cloth Care: Domestically, we hold a

Cloth Care

43% share of the mothproofing
product market, and globally we are
the market leader. Our mainstay
products in this category, Mushuda
and Neopara Ace, are widely
recognized among Japanese
consumers.

All Care7.2%
Hand Care
8.2%

Humidity Care
8.7%

Air Care
43.0%

Air Care

Cloth Care

Millions of yen

Millions of yen

20,00015,000

Cloth Care
33.0%

12,00015,0009,000
10,000
6,000
5,000
3,000

0

4

0
01

02

03
(Est.)

01

02

03(Est.)

Humidity Care

Humidity Care: Our global-market-leading
DryPet dehumidifier is available in two versions:a disposable tank version that clearly indicatesfullness level, and a disposable sheet version that
captures the moisture in a gel form.

Hand Care
Hand Care: While giving full consideration toenvironmental and hygienic concerns, we
mainly produce household and working gloves.

All Care
All Care: The products of this category are notbroken down in our four categories. Major
products, for example, are a laundry deodorizer
and antibacterial agent and detergents used in
Finish automatic dishwashers.

Humidity Care

Hand Care

Millions of yen

Millions of yen

All CareMillions of yen

4,000

3,500

3,000

3,500

3,000

2,500

3,000

2,500
2,000

2,500
2,000

1,500

2,000
1,500
1,500

1,000
1,000

1,000

500

500

500
0

0
01

02

03
(Est.)

0
01

02

03
(Est.)

01

02

03(Est.)

5

Review of Operations

Nurturing of Power Brands
Shoshu Riki, a Power Brand in the Deodorizer and Air Freshener Market
One of the characteristics of our product development lies in the painstaking
process of narrowing down the merchandise offering. The underlying strategy forthis selectivity is thorough marketing. The better we understand customers’ needs,
which are directly fueled into our R&D efforts, the more value our products willoffer to our customers.
S.T.Chemical’s merchandise fortified with extraordinary value is developed
through comprehensive marketing efforts. The market recognition of ourmerchandise is further reinforced through the effective use of advertising, and with
the increased recognition, more suggestions can be generated from the market,
which are consciously fed back to the R&D team for the creation of new andimproved products. The entire process ensures that S.T.Chemical’s merchandise
will be equipped with more brand power.
One successful example of the above process can be observed in themarketing of Shoshu Riki, which was introduced to the market in 2000.
S.T.Chemical undertook a series of R&D efforts to come up with adeodorizer/air freshener that is both long-lasting and effective compared with anyother product on the market. Prior to its release, we held rounds of internal
discussions before deciding to name the new product Shoshu Riki (which literallymeans “deodorizing force”) to highlight its power and long-lasting features.
In April 2000, we launched the first version of Shoshu Riki for bathroom use.
At the same time, we began to step up advertising efforts to promote the new
product and thereby boost product recognition among consumers. Owing to such
efforts, the product sold over 10 million units during the first year.
Subsequently, attempts were made to obtain customer feedback in retail
outlets, which were directly passed on to the R&D team in charge of Shoshu Riki.
Such marketing efforts culminated in the release of a new version of Shoshu Riki
called Oheya no Shoshu Riki, which is designed for ordinary rooms. This chain ofundertakings brought success to the Company, and all versions of the Shoshu Rikiline are selling well.
The latest addition to the Shoshu Riki line of products, Toilet no Shoshu Riki
Spray, a spray-type deodorizer designed for bathroom use, was released in the6

Shoshu Riki Series(top: Oheya no Shoshu Riki, which is designed forordinary rooms.)(bottom: Toilet no Shoshu Riki Spray, which isdesigned for bathroom use)

spring of 2002 to meet customers’ needs for more instantaneous and more powerfuldeodorizers. Owing to the new product’s wide-angle jet injection system, a single
blast of just one second is three times more effective than conventional spray-type
deodorizers. Sales have been growing steadily since the sales launch.
After the release of new products to the market, a series of marketing efforts
must be performed on an ongoing basis to find wider applications for the products
and expand product lines through scrupulous marketing, with the goal of nurturing
the products to transform them into Power Brands. This process also enhances thevalue of our own merchandise and helps shape and create a stronger corporate
brand image.

7

Review of Operations

Innovation in Each and Every
Field
Our corporate managerial focus on “innovation” signifies the proactive transfer andsharing of the successful innovation-related expertise accumulated in the businessdevelopment of the Air Care Group to the rest of the Company.
Natuleaf, a Power Brand That Will Open Up New Markets
The example of Natuleaf, a new mothproofing product in the Cloth Care Group, is acase in point.
Despite the diminishing market size for cloth care products, we believe that
consumers still welcome new products as long as they offer attractive benefits.
Based on this belief, we conducted thorough marketing initially, to gather opinions
of consumers, which were fed directly to the R&D team in charge.
As a result, a variety of opinions and needs were unveiled regarding
mothproofing products. We overcame many obstacles by technological prowess andcreated Natuleaf to successfully address all the needs expressed by customers.
One important feature of Natuleaf is the use of natural ingredients. Thisfeature gives the feeling of safety, particularly to those who have never used
mothproofing products or who have discontinued their use. Furthermore, ourdecision to make the product refillable offers additional benefits to consumers interms of less trash to throw away and cost-effectiveness. We are confident that thisinnovative type of thinking will enable us to cope successfully with deflationarypressure on the retail price.
The product has been well received by the consumers who actually use it,and sales of the product have been growing steadily since its release in March 2002.

8

Natuleaf (right: refill pack)

Needs presented by the market regarding
mothproofing products

Characteristics of Natuleaf• Safe to use• Active ingredients for mothproofing are derived from tea leaves; therefore, this product• No odor

with natural ingredients boasts outstanding safety and has no odor.

• Highly effective mothproofing ability• The first liquid-type product in the naturally derived mothproofing category; it allows
effectiveness to permeate into every nook and cranny.

• Easy to detect when replacing with a new one• It comes with a large indicator that lets users know at a glance when to refill the
product with fresh content.

• Economical• It is less expensive, because the container can be retained and refilled with fresh
content. Additional benefits include less material to be disposed of as trash.

9

Management’s Discussion and Analysis

Operating Results

customer support and steady sales growth. Other new products

Based upon its corporate slogan of “A sinewy and compact

introduced by the Company such as Shoshu Plug, a plug-type electriccompany,” S.T.Chemical made an intensive effort to reduce theroom deodorizer, and Ambipur Fresh, a deodorizing fragrance fornumber of new products and existing product lines. From a

toilet tanks, also contributed to growth in Group sales. In addition, inmarketing perspective, the Company simultaneously positioned its

February we launched sales of our Toilet no Shoshu Riki Spray, which

Air Care product line of deodorizers and air fresheners as its mostcontributes to the Shoshu Riki brand, and in March began selling theimportant product category, and continued to concentrate its

room air freshener Shaldan Crystal Air manufactured by Reckitt

management resources in an effort to expand market share and boost

Benckiser of United Kingdom, as part of our global alliance. Bothnet sales and earnings. To increase cost-competitiveness, theitems have enjoyed good market acceptance, and we continue toCompany continued to implement measures first introduced threesteadily develop sales of these products.

years ago, such as reducing the number of products offered for sale,

As a result, with the exception of the Cloth Care Group, theshrinking inventories, trimming idle assets and concentrating sales on

Company was able to achieve record sales in the Air Care Group.

specific suppliers. These efforts were accompanied by the full-scale

million. The price-cutting competition faced by the Company’s

aimed at lowering manufacturing costs throughout the entire

disposable-type dehumidifier product Dry Pet Skit continued for theCompany. Faced by a slump in domestic consumer goods market

second year, growing more intense. Sales for sheet-type dehumidifier

spending that was much more severe than anticipated, however,products were also sluggish.

consolidated net sales for the fiscal year declined 2.6% in comparison
with the prior fiscal year, to ¥36,921 million.
By segment, sales in the Company’s mothproofing and hygiene-

In the All Care Group, the automatic dishwasher detergent Finish
manufactured by Reckitt Benckiser of United Kingdom continued toenjoy strong sales, and sales of the liquid detergent Powers Fragrance

related products business, which encompasses the Cloth Care andCleaner doubled as the result of a product renewal campaign. Net

Hand Care Groups, were down 12.3% from the previous fiscal year,

sales for the Group as a whole, however, fell 7.5% from the priorto ¥15,192 million, and operating income totaled ¥1,494 million,

year’s level, to ¥2,667 million, as the Company pursued further

32.2% below the level of a year earlier.

reductions of unprofitable product lines.

In the Cloth Care (mothproofing products) Group, the Company

Sales were also strong in the Air Care Group, as the Company

implemented price reductions on selected products to meet the

kept a tight rein on selling, general and administrative (SG&A)

challenge of increased volume competition from other firms and low-

expenses by limiting advertising and public relations expenditures topriced market competition, and introduced to the market products¥3,075 million and concentrating this public relations spending onthat are expected to enjoy good growth but did not have an

new products that are expected to enjoy sales growth. By controlling

immediate effect on sales. As a result, net sales for the Group were

advertising expenditures and efficiently utilizing sales promotion¥12,167 million, down 14.1% from the prior year.

expenditure, the Company was able to reduce SG&A expenses 5.4%,

In our Hand Care (gloves) Group, sales declined 4.0%, to ¥3,024

to ¥14,497 million. As a result, operating income declined 17.3%, tomillion, despite strong sales of work gloves, as the demand for gloves¥1,983 million, and the operating margin fell 0.9 percentage point,

for home use remained weak.

to 5.4%.

The Company’s household environment-related business includes

Under the effect of lower stock prices, based upon the accounting

the Air Care Group, Humidity Care Group and All Care Group. Net

standards for financial instruments the Company incurred asales for these operations increased 5.6% over the previous year’svaluation loss of ¥243 million related to the write-off of valuationlevel, to ¥21,729 million, and operating income jumped 152.1%, tolosses on marketable securities and investment securities. Of this¥489 million.

amount, ¥9 million was charged to non-operating expenses as a

Net sales in the Air Care Group (deodorizers and air fresheners)

valuation loss on marketable securities and ¥233 million was charged

rose 14.0%, to ¥15,861 million. The Company believes this Groupto extraordinary losses as a valuation loss on investment securities. As

has the highest future growth potential, and is focusing its efforts on

a result, net income for the fiscal year under review was ¥509 million.

this Group as the sector where the Company can take advantage ofits technology and research and development capabilities.
Sales of the Company’s Shoshu Riki brand and Dasshutan brand,which the Company launched last year, continued to enjoy strong

10

Sales for the Humidity Care Group decreased 15.2%, to ¥3,200

launch in August 2001 of activities by the Cost Reduction TeamNet income per share for the period under review was ¥16.37.
The cash dividend per share, including both the interim and fiscal
year-end dividend, was ¥8.00, as originally planned, resulting in a
dividend payout ratio of 69%.

Financial Position

Net cash used in investing activities during the fiscal year underDuring the fiscal year under review, the Company continued toreview totaled ¥38 million. Total investment in plant, property andpursue its policy of further reducing its assets.

equipment for the fiscal year was ¥1,450 million. This mainly

As of March 31, 2002, the Company’s current assets totaled

reflected investment in the construction of a new plant, warehouse¥20,519 million, down 5.0% compared to the end of the prior fiscal

facility and deodorizer and air freshener production facilities (mainly

year. Cash and time deposits and trade notes and accounts

Shoshu Riki for room use) at the Saitama plant, and investment inreceivables declined to ¥6,186 million (down 9.1%) and ¥5,695

mothproofing product manufacturing equipment at the Kyushu andmillion (down 5.9%), respectively, together with the decline in net

Saitama plants. Other expenditures included investments forsales. The Company also decreased inventories, based upon its

maintenance, renewal and rationalization of production facilities atstrategy of reducing the number of product categories from 862 toeach plant and the purchase of metal molds and dies.

297 items over the past three years.
During the fiscal year under review, we increased our investment

Net cash used in financing activities totaled ¥603 million. Under
its policy of returning profits to its shareholders, the Company paidin building and structures with the establishment of our new R&D

dividends of ¥310 million, and executed ¥451 million in stock

Center. At the same time, we reduced our investment in marketablebuybacks of common stock using cash provided by operating

securities 2.7%, to ¥2,161 million, and reduced long-term loans

activities and repurchases of treasury stock for the Company’s stock

15.9%, to ¥226 million. As a result, total fixed assets decreased ¥389

option plan.

million, to ¥12,402 million, 3.0% below the level of the prior fiscalyear.
On the liabilities side, the Company reduced bills and accounts
payable.
Fixed liabilities grew as the Company increased its long-term

The Company maintained a high level of cash flow similar to theprior fiscal-year level, but currently has no major capital investment
plans. The Company projects capital expenditures of approximately¥1,100 million for the fiscal year ending March 31, 2003.
Earnings before interest, taxes, depreciation and amortization

borrowing 141.2% from the prior fiscal year-end level, to ¥246

(EBITDA) amounted to ¥3,003 million. The principal reason was themillion. The change reflected the rise in long-term borrowing at thedrop in operating income compared with the prior fiscal year.

Company’s overseas subsidiary. As a result of the above changes, theBecause the Company produces many products of comparatively

Company’s total liabilities decreased by ¥1,307 million (16.1%)

small size, it does not require extensive investment in production

compared to the prior fiscal year-end, to ¥6,793 million.

lines. Management adopts a “low-risk, medium-return” strategy with

Total shareholders’ equity was ¥25,606 million. In addition torespect to products, avoiding excessive capital investment initially inunrealized valuation loss on land loss of ¥103 million, in order tothe manufacture of new products and relying on its human resources

retire the Company's own stock the Company acquired treasury

to the extent possible. Only after determining that a given product’s

stock for ¥558 million at the end of the fiscal period under review.

sales potential is favorable does the Company undertake substantial

The shareholders’ equity ratio was 77.8%. Return on assets(ROA) was 6.89%, but the return on equity (ROE) fell to 2.0%

investment in systematizing and automating production lines.
Accordingly, while low at the outset, the profit margins of mostbecause of the decrease in shareholders’ equity during the periodof the Company’s products will rise significantly in line with theunder review. To improve ROE, the Company will take steps to

growth in production volumes.

abolish rebates on some products, reduce its material procurement

One of management’s primary intentions is to use the Company’s

costs and terminate the sale of unprofitable products to ensure futurehigh cash levels to the benefit of shareholders. To this end, we areprofitability. We will also continue our efforts to improve profitability,

pursuing a policy of buying back shares and have already reduced

such as our profit margin, which will enable us to maintain a highthe number of shares issued and outstanding as of the end of Junelevel of shareholders’ equity and raise our ROE to a target of 10%.

1998 by 7.0%. The Company fully intends to continue this policy ofbuying back shares.

Cash FlowsNet cash provided by operating activities for the fiscal year underreview was ¥1,522 million. The Company improved its capitalefficiency by reducing inventories and trade notes and accounts
receivables through its policy of reducing the number of products
handled, which offset the decline in net income.

11

Board of Directors and Auditors (August 1, 2002)
Takashi Suzuki

Tsuyoshi Sato

President and Representative Director, Executive Committee

Director (concurrently, President and Managing Director,

Member

S.T. Trading Co., Ltd.)

Akira Iwai

Toshihiko Hasegawa

Senior Managing Director, Executive Committee Member,

Executive Committee Member,Research and Development Division General Manager

Sales Division National Accounts Group General Manager

Nobuhiro Mine
Director, Executive Committee Member,
Sales Division General Manager

Hideaki Okuda
Senior Auditor
Tsunehachi Tagaya

Toshiharu Nagasawa
Director, Executive Committee Member,
Manufacturing Division General Manager

Auditor
Motohiko Kogo
Auditor

Mitsuo Tsuchihashi
Executive Committee Member,
Corporate Division General Manager

Corporate Data
Company name:

S.T.Chemical Co., Ltd.

Headquarters address:

4-10, Shimo-Ochiai, 1-Chome, Shinjuku-ku, Tokyo 161-8540, Japan

Establishment:

August 31, 1948

Paid-in capital:¥7,065,500,000

Employees:

750 (Consolidated)
473 (Non-consolidated)

Contact:

Nobuo Shimizu, President’s OfficeE-mail:n-shimiz@st-c.co.jp

Tel:+81-3-5906-0734

Fax:+81-3-5906-0741

Group Companies
Family Glove (Thailand) Co., Ltd.

S.T. Trading Co., Ltd.

624/1-4 Moo 11 Sukhapiban 8 Road,

4-10, Shimo-Ochiai, 1-Chome,

Nongkharm Sriracha Cholburi, 20280, Thailand

Shinjuku-ku, Tokyo 161-8540, Japan

Manufacture and sales of hand gloves

Sales of hand gloves, car equipments, and gifts

Family Glove (Taiwan) Co., Ltd.
No.33 Ta-Yeh St., Ta-Fa Industrial District,
Ta-Liao Hsiang, Kaohsiung Hsien, Taiwan, R.O.C.
Manufacture and sales of hand gloves

12Investor Information (March 31, 2002)
Fiscal year-end:

March 31

Shares issued and outstanding:

31,604,851

Listed exchange:

Tokyo Stock Exchange, First Section

Shareholders:

5,400

Primary shareholders:Shares held(Thousands)(% of total)

Shaldan Co., Ltd.

4,937

15.6

Seiichi Suzuki

1,751

5.5

Nippon Life Insurance Company

1,725

5.5

Akio Suzuki

1,547

4.9

Bank of New York Europe Limited, Luxembourg

1,469

4.6

The Fuji Bank, Limited

885

2.7

The Mitsubishi Trust & Banking Corporation,
Trust Account

853

2.7

Hiromu Fujii

760

2.4

The Bank of Tokyo-Mitsubishi, Ltd.

681

2.2

Mizuho Trust & Banking Co., Ltd.
(securities investment trust account)

588

1.9

Registered transfer agent:

Japan Securities Agents, Ltd.

Auditor:Shin Nihon & Co.

Annual shareholders’ meeting:

Late June of each year (June 14, 2002)

Non-Japanese institutions
6.7%

Others3.1%

Financial institutions
21.8%

Individuals
44.1%

Other Japanese institutions
24.3%

Stock chart:
Nikkei 225 (Yen)
25,000Stock Price (Yen)
1,000

800

20,000600

15,000Thousands of Shares

400

1,000 10,000

200

500

5,000

0

0

0
00/6

7

8

Stock Price

9

10

11

Volume12 01/1

2

3

4

5

6

7

8

9

10

11

12 02/1

2

3

4

5

Nikkei 225

31

Printed in Japan