February 20, 2012For Immediate Release

Ryosan Co., Ltd.
Representative: Naoto Mimatsu, President
Listing Code No.: 8140
Listing:First Section, Tokyo Stock Exchange
Inquiries: Kiyoshi Suzuki
General Manager
Corporate Planning Headquarters
IR and Publicity Office
TEL: +81-3-3862-3816

Notice of Revision of Earnings and Dividends Forecasts
Ryosan Co., Ltd. (“Ryosan” or “the Company”) has announced that the Company has resolved to revise the earningsand dividends forecasts for the fiscal year ending March 31, 2012 (April 1, 2011 to March 31, 2012) that wereannounced on June 14, 2011 at a meeting of the Board of Directors held on February 20, 2012 , based on recent
trends in business performance. Details are as follows.

●Revision of Earnings Forecasts
Revised consolidated earnings forecasts for the fiscal year ending March 31, 2012
(April 1, 2011 to March 31, 2012)(Millions of yen)
Net sales
Previously announced forecasts(A)
Revised forecast (B)Change (B-A)
Rate of change (%)(Reference) Actual results for theprevious fiscal year (the fiscalyear ended March 31, 2011)

Net Income

Net Income
Per Share (yen)Operating Income

Ordinary Income

230,000

3,5004,200

2,500

72.54

220,000(10,000)(4.3)

3,300(200)
(5.7)

4,300
100
2.4

2,100(400)(16.0)

61.48

216,154

6,078

6,883

4,130

119.85

Reasons for the revision
The Company’s performance has been affected by mainly a worldwide decline in demand for semiconductors
and electronic components and a slowdown in production activities triggered by the flooding in Thailand as wellas the financial crisis in Europe and the prolonged appreciated yen. As a result, both revenues and earnings areexpected to decrease as compared to the previously announced forecasts. Net income is expected to besignificantly lower than the previous forecast due primarily to an increase in tax expense resulting from disposalof differed tax asset, accompanied by the corporate tax reforms.

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●Revision of Dividends Forecasts(yen)Annual dividends
End of 1Q
Previously announced forecasts(Announced June 14, 2011)
Revised forecast
Actual results for this fiscal year
Actual results for the previous fiscal year(the fiscal year ended March 31, 2011)

End of 2Q

―
―
―

20.00

―

20.00
40.00

―

―

End of 3Q

End of 4Q

Total

40.00

60.00

―
―

20.0040.00―40.0080.00

Reasons for the revision
Ryosan recognizes that the return of profits to shareholders is an important business priority. At the same time,
the Company is working to increase consolidated basic net income per share. Accordingly, Ryosan’sfundamental policy is to continue high dividend payout in profits returned to shareholders. Furthermore, theCompany is targeting a consolidated dividend payout ratio of 50% or more.
Based on the revised consolidated earnings forecasts for the fiscal year ending March 31, 2012 stated above, wehave, with regret, revised the year-end dividend forecast to 20 yen per and accordingly the annual dividend
forecast to 40 yen.

Note: The aforementioned forecasts were made based on the information available to the Company, which we
assume reasonable, as of the date of this report. Actual results could differ significantly from forecasts due to avariety of factors.

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