CONTENTS

Realizing the Social System Industry Vision ..............................................................................................
Realizing theSocial System Industry Vision

Geographic Information
Services

Security Services

Fire Protection
Services

Medical Services
Insurance Services

Information andCommunication Related
and Other Services

In line with its mission to contribute tosociety through its business activities,
SECOM is implementing a wide range ofinitiatives aimed at realizing its uniqueSocial System Industry vision.
SECOM declared 1989 as the first yearof its commitment to realizing this vision.
In the two decades since, SECOM has
maximized its capabilities to build on its
core security services business, broadening its focus to include fire protection services, medical services, insurance services,
geographic information services, and information and communication related andother services. SECOM has also promoted
close collaboration among these businesses with the aim of developing integrated packages of distinctive, value-addedproducts and services.
Looking ahead, SECOM will further
build on this unique approach to diversify
into new areas, with the aim of making
its services an essential part of life that isreadily accessible to people everywhere.
To this end, SECOM will promote the decisive investment of resources aimed at
reinforcing the framework of integrated
products and services that constitutes theSocial System Industry.

The success of SECOM’s efforts to datein realizing the Social System Industry isthanks in no small part to its original corporate philosophy, which emphasizes
challenging accepted norms and striving
to do what is appropriate. Challenging
accepted norms means not being content with the status quo, constantly seeking better and more suitable solutions.
Striving to do what is appropriate means
judging the legitimacy of our actions
based on whether they benefit society.
This philosophy has guided SECOM
since its establishment, and will continue to underscore its efforts to achieve
further growth by developing and offering new products and services that earn
the support of an ever-greater number ofcustomers. Going forward, SECOM recognizes that the most important condition
for achieving growth is that it remains acompany that is trusted by its customers.
“Providing reliable peace of mind.”This new corporate message encapsulates
the common goal of employees and management as SECOM pushes forward in its
drive to realize the Social System Industry.

2SECOM continues to pursue a wide range of initiatives aimed at realizing its
vision for the future—the Social System Industry.

A Message to Shareholders .................................................................................................................................

4

At the general shareholders’ meeting, shareholders
approved a resolution to raise annual cash dividendsby ¥5.00, to ¥85.00 per share.

Business Index . ...........................................................................................................................................................

8To ensure the quality of our services, we have established an integrated­process that enables us to maintain control of every aspect of our services,

Contents

from R&D in the area of security systems and equipment to manufacturing,Our Mission.......................................................................... 1
sales, security planning, installation, monitoring, emergency response
A Message to Shareholders................................................. 2­services and equipment maintenance.

Busuness Index................................................................... 5
Review of Operations. ......................................................... 6
Audited Financial Statements. ............................................. 25

SECOM Today ..............................................................................................................................................................

Other Financial Data............................................................. 54
Supplemental Consolidated

9We continue to draw on our wealth of expertise and extensive productand service lineup to offer security solutions to respond to increasingly

Financial Data (Based on Japanese GAAP).......................... 59
sophisticated and diverse security needs.
Supplemental Nonconsolidated.
.........................
Financial Data (Based on Japanese GAAP)
63
Corporate Information.......................................................... 67
SECOM Group’s BasicBusiness Areas................................ 69

Directors, Corporate Auditors
FinancialReview ......................................................................................................
and Executive Officers.......................................................
71

25

Audited Financial Statements . ...............................................................................

29

Other Financial Data ................................................................................................

60

Supplemental Consolidated Financial Data (Based on Japanese GAAP)............

65

Supplemental Nonconsolidated Financial Data (Based on Japanese GAAP)....

69

Corporate Information . ...........................................................................................

73

SECOM Group’s Basic Business Areas ..................................................................

77

Directors, Corporate Auditors and Executive Officers . ........................................

79

Note: Unless specified otherwise, all figures contained in this annual report are based on thefinancial statements, which have been calculated and are presented in accordance withaccounting principles generally accepted in the United States (U.S. GAAP).
Secom Co., Ltd.

Annual Report 20081