May 21, 2015

Toranomon 2-chome Tower, 2-3-17
Toranomon Minato-ku, Tokyo,
105-0001 JAPANTEL: +81-3-5511-2255
FAX: +81-3-5511-2259

Financial Report for the Fiscal Year Ended March 2015
Mori Trust Group recently announced its consolidated business performance for the year ended
March 31, 2015(FY 2015).
The Group consists of 21 consolidated companies, including MORI TRUST CO., LTD., MORI
TRUST BUILDING MANAGEMENT CO., LTD., and MORI TRUST HOTELS & RESORTS
CO., LTD., and two equity-method affiliates.

[Mori Trust Group Consolidated Financial Report] (April 1, 2014 – March 31, 2015)
Operating revenue for the fiscal year ended March 31, 2015 was a record high of 272.8 billion
yen (year-on-year increase of 82%) thanks to revenue increases in all areas of Leasing, Hotel,
Real Estate, and Other Businesses. Both operating income and net income increased to 42.3
billion yen (up 26% year on year) and 45.5 billion yen (up 201% year on year) respectively,
marking a record high for net income.

(Figures in millions of yen; figures less than one million yen are rounded down.)

FY2014
1 Operating revenue

FY2015FY2016(Projection)

149,779

272,868

165,000

Leasing

62,15465,09365,000Hotel

19,80324,96328,000Real estate sales

55,533

169,491

60,000Other

12,28813,32012,000(Subsidiaries’ construction subcontracting, etc.)2Operating income

33,76942,39340,0003

Ordinary income

37,03762,21137,0004

Net income *15,14545,58933,000* From the fiscal year ended March 31, 2016, the name of the account item “Net income” will be changed to “Net income attributable toparent company’s shareholders.”

1Overview of FY 2015 business performance

Revenue of the Leasing Business increased to 65 billion yen. Key contributors were full-year
operation of Kyobashi Trust Tower, which was completed in February 2014, improved occupancy
rates of existing buildings, and rent rises.



Revenue of the Hotel Business increased substantially to 24.9 billion yen. In addition to thecontributing factor of full-year operation of Courtyard by Marriott Tokyo Station, which opened in
April 2014, and Tokyo Marriott Hotel, which was rebranded and opened in December 2013, thebusiness demonstrated sound occupancy rates and stronger room prices, resulting from robust
tourism and business demand among Japanese and overseas visitors.



Revenue of the Real Estate Sales Business increased significantly to 169.4 billion yen, mainly due
to the sale of Meguro Gajoen, which was acquired during the year.



Revenue of Other Businesses increased to 13.3 billion yen, due to the sound performance ofsubsidiaries.



The consolidated financial position of Mori Trust Group as of March 31, 2015 comprised total
assets of 969.8 billion yen and net assets of 295.9 billion yen.



Leased and other real estate owned by our Group, and recorded on the consolidated balance sheet,totaled 531.8 billion yen, market value was 1,033.4 billion yen, and unrealized gains were 501.6
billion yen.

2

Business Performance Projections for FY 2016


Revenue from the Leasing Business is projected to be 65 billion yen, which is on a par with theprevious year, While high occupancy rates will be maintained and rent rises are expected, due tosolid demand for office buildings, the sale of Meguro Gajoen in March 2015 will have an impact.



Revenue from the Hotel Business is projected to increase to 28 billion yen as full-year operation of
Suiran, a Luxury Collection Hotel, Kyoto and the 2nd Laforet Shuzenji Sanshi Suimei are expectedin addition to sound occupancy rates and stronger room prices backed by continued strong demand
from Japanese and overseas visitors.



Revenue from the Real Estate Sales Business is projected to be 60 billion yen, with sales ofcondominiums and offices planned.



Revenue from Other Businesses is projected to be 12 billion yen.

As a result, operating revenue is projected to be 165 billion yen with operating income of 40
billion yen and net income attributable to parent company’s shareholders of 33 billion yen.

Projections contained in this document have been made on the basis of information available when it was
released. Due to various unforeseeable factors, actual performance may differ from such projections.

3

FY 2015 Key Business Topics
Real Estate Business

During the fiscal year ended March 31, 2015, we focused on growth and various projects were carriedout aggressively aiming for further expansion in the future. We promoted development plans flexibly,
while monitoring the business climate surrounding the management of our Company. In particular, welaunched an initiative for a large-scale development in the Toranomon-Akasaka Area, which is positioned
as strategically important by the Japanese government, as well as a development plan that looks to the
future in collaboration with surrounding developments in the Shinagawa-Mita Area, which is expected to
grow rapidly as a new transport hub.
Furthermore, focusing on existing development sites, our Company is engaged in various area
management activities aiming to create cosmopolitan and thriving urban lifestyles office workers,
residents, and visitors from around the world can enjoy and places where they can interact, as well as
improved disaster control capabilities within communities.
■ New projects◇Further promotion of TRANOMON TRUST CITY WORLD GATE —Accredited National
Strategic Special Zone.
Since March 2015, the Company has been promoting a re-development plan at the Toranomon
Pastoral Hotel site. TRANOMON TRUST CITY WORLD GATE (formally known as the Toranomon
4-chome Project, a tentative name) was accredited by the Prime Minister of Japan as an Architecture
Remodeling Project for National Strategic Urban Planning in the Tokyo Metropolitan National
Strategic Special Zone. The Project is a large-scale, complex re-development plan on a site area ofapproximately 16,300 m2 with a total floor area of 210,000 m2 set amidst lush greenery in a highlyinternational area at the heart of the Roppongi and Toranomon districts, where further development is
expected as a transportation hub. The development aims to improve business support facilities thatassist industrial development and overseas expansion by leveraging community resources and living
support facilities for residents from overseas, and provide a platform for strengthening international
industrial competitiveness and economic activities. We will promote implementation of the plan
aiming for a development that is conducive to enhancing the convenience and charm of the entire areawith its approximately 3,000 m2 of green space. The Forest of Fukishiro, tentative name, will provide
a tranquil and peaceful urban life and an improved pedestrian-sidewalk network linking surrounding
areas, which has been long sought-after by community residents.

4

＜ Development policy for TRANOMON TRUST CITY WORLD GATE ＞(1) Improve urban infrastructure and greeningImprove the road-pedestrian environment to resolve community concerns.
Form a pedestrian network in coordination with peripheral development.

Terrain-specific development of approximately 3,000 m2 of green spaces with consideration given tobio-diversity.
(2) Introduce urban functions to strengthen international competitiveness
Introduce a holistic function for supporting the daily lives of foreign residents.

Introduce a function for supporting industrial development and overseas expansion.
(3) Strengthen disaster control and improve the urban environmentStrengthen business continuity function during a disaster and disaster control in the community bycoordinating districts.
Promote initiatives for mitigating environmental impact and greening.

ProjectName
Address
Site area
Total floor area
Number of floors
Primary use
Planned term of works

TORANOMON TRUST CITY WORLD GATE
（Former name of the plan：（tentative name）
Toranomon 4-chome Project）
Toranomon 4-chome and 3-chome, Minato-ku, Tokyo
Approx. 16,300㎡
Approx. 210,000㎡
36 stories above ground, 4 stories below ground
Office, Hotel・Serviced Apartment,Shop,Conference,
Life-supporting facilities,Industrial development facilities,
Shinto shrines, etc.
FY2015 – FY2019◇Began distribution of FORETSEINE AKASAKA HINOKIZAKAIn November 2014, the Company started distribution of high-end condominium residences at
FORETSEINE AKASAKA HINOKIZAKA, which is located at the center of the Akasaka-Roppongiarea. Maximizing expertise in urban development accumulated by the Mori Trust Group, Foretseine
Akasaka Hinokizaka offers high-end residences worthy of this site, which is so rare in the city ofTokyo, based on the concept of “Luxury Courtesy” through designs that draw on Hinokizaka’s history,
culture, and traditions, with disaster control and security functions using cutting-the-edge technologies,
and refined services that put the comfort of residents first.
Name
Address
Site area
Total floor area
Number of floors
Total units
Start of construction
Building completion(schedule）

FORETSEINE AKASAKA HINOKIZAKA
1917 Akasaka 6-chome, Minato-ku, Tokyo
2,645.20㎡
12,145.78㎡
7 stories above ground, 2 stories below ground54
December 2013
January 2016

◇Promoting Reconstruction Plan for Akasaka Twin Tower

Akasaka Twin Tower Main and East Tower, completed in March 1983, ceased operations in March
2014, to be reborn as a complex more suited to the needs of today, with demolition starting in April.
In April 2015, demolition was completed and the Company is now considering implementing the
Project.

5

◇Acquisition and transfer at Meguro Gajoen

Land and buildings at Meguro Gajoen were acquired in August 2014 and sold in January 2015. Whileaccurately monitoring trends of real estate markets and investors, we will continue business activities
that are conducive to vitalizing the real estate markets by leveraging our strengths of a sound financial
position and ability to make management decisions quickly.

■Area management activities in each area
◇Shinagawa area

Area management activities in Gotenyama Trust City
Surrounded by the natural beauty of sylvan Gotenyama Garden, Gotenyama Trust City is engaged inarea management activities in cooperation with Tokyo Marriott Hotel, based on the concept of“Wellness City, a life with gardens, exquisite time to nurture urban life and people,” in order for office
workers, residents, and visitors from around the world to enjoy and create new lifestyles and to interact.
During the year ended March 2015, celebrating the first anniversary of the rebranding of Gotenyama
Trust City, it hosted Iceland Christmas in Gotenyama Trust City and Gotenyama Cheery Blossom
Festival.
Examples of area management activities in Gotenyama Trust City

Gotenyama Cherry Blossom Festival

Iceland Christmas in Gotenyama Trust City

6

◇ Sendai area

Area management activities in Sendai Trust City
Since its grand opening in August 2010, we have been engaged in area management activities at
Sendai Trust City with a view to reenergizing and enhancing the value of urban districts.
During the year ended March 31, 2015, we continued urban development by hosting the Trust City
Garden Café Tohoku - Thailand Festival, Tanabata (Star Festival) decorations, Date Gourmet Marche,and many other events, in order to be appreciated not only by local communities but also by visitors to
Sendai.
Examples of area management activities in Sendai Trust City

Tohoku - Thailand Festival

Tanabata (Star Festival)decorations

7

Hotel and Resort BusinessWith the tourism industry expected to blossom further in the run-up to the Tokyo Olympics in 2020, Mori
Trust Group has been pioneering a vision based on 40 years of history and experience with the first
corporate membership resort club in Japan, Laforet Club. We have focused on enhancing its charm,
successfully attracting overseas luxury hotel brands to Tokyo and Sendai.
During the year ended March 2015, the Company opened an overseas brand hotel, whose operator wasentering Japan for the first time, in Kyoto, which is expected to experience a dramatic growth of visitorsfrom overseas, and aggressively promoted new hotel project plans and renovations of existing hotels.
■New international hotel projects◇ Grand opening of Suiran, a Luxury Collection Hotel, Kyoto

In March 2015, the Luxury Collection, the premier category brand of Starwood Hotels & Resorts,
opened Suiran, a Luxury Collection Hotel, Kyoto, at Arashiyama in Kyoto, as its first property inJapan. Located adjacent to Tenryuji Temple, a UNESCO World Heritage Site, as well as
Arashiyama’s visitor attractions—Togetsukyo and Kameyama Park are within walking distance—thehotel is located in a luxury environment exposed to the natural beauty of Arashiyama and the history
and culture of Kyoto. Based on the concept of “Opening Future based on Tradition,” Suiran offers a
new lifestyle worthy of the Luxury Collection with 39 guest rooms—where the traditional andmodern beauty of Kyoto fuses—restaurants, and cafes in renovated historic buildings built more than
100 years ago, as well as a private spa linked to Arashiyama Hot Spring, along with a variety of
cuisines in which Japonism and modernism are beautifully harmonized.
Hotel Name

Suiran, a Luxury Collection Hotel, Kyoto
12 Sagatenryuji Susukinobaba-cho Ukyo-ku, Kyoto-shi,
Kyoto
39 rooms
March 2015

Address
Guest room
Starting date

◇ Grand opening of Courtyard by Marriott Tokyo Station

Courtyard by Marriott Tokyo Station had its grand opening in April 2014. It is located just four
minutes from Tokyo Station and within walking distance of the Ginza commercial area. Guest rooms,
designed on the concept of “Ginza-Kyobashi Luxury Apartments,” feature a diversity of individualinteriors, are well equipped with Wi-Fi and smartphone-operated locks, and provide comfortable andflexible spaces.
Hotel Name

Courtyard by Marriott Tokyo Station
1-3 Kyobashi 2-chome Chuo-ku, Tokyo(KYOBASHI TRUST TOWER 1-4F)
150 rooms
April 2014

Address
Guest room
Starting date8

■Existing hotel projects◇ Renovation of Laforet Hotels & Resorts facilities
Born as the 2nd Laforet Shuzenji Sanshi Suimei with open-air hot spring baths attached to all 16
rooms

In December 2014, Resort Hotel Laforet Shuzenji launched the 2nd
Laforet Shuzenji Sanshi Suimei with open-air hot spring baths
attached to 16 rooms, which is popular for views of the majestic Mount
Fuji from all rooms.Based on the concept of “One Rank Higher
Quality,” Sanshi Suimei (scenic beauty) opened in August 2012 with
open-air hot spring baths attached to all 16 rooms, pioneering a newstyle of “Japonism tranquility,” and has been well-received bynumerous guests. With the opening of the 2nd Sanshi Suimei, a total of
32 rooms in two buildings will be available.
Two barbecue restaurants launched

In August 2014, two new barbecue restaurants opened—Barbecue
Terrace, operated by Resort Hotel Laforet Biwako based on the conceptof a “stylish barbecue experience,” and Barbecue Garden, operated by
Resort Hotel Laforet Yamanakako based on the concept of “Yamanashi
Style French Barbecue.” As with the barbecue restaurant operated by
Resort Hotel Laforet Shuzenji, which was renovated in 2013, bothrestaurants use Weber Grills to offer a genuine barbecue experience inthe resort.

■New hotel projects◇ Acquisition of land and buildings of a hot spring inn in the Hakone Gora District

In October 2014, we acquired the land and buildings of a hot spring inn, Hakone Gora Hot Spring
Seihokaku Terumoto*.
The Hakone Gora District has flourished since the Meiji Era as a hot spring resort with views ofMount Fuji, located a short distance from Tokyo and popular among tourists from overseas with
future growth in demand expected. Adjacent to Laforet Club Hakone Gora Yunosumika, the site withan area exceeding 10,000 m2 offers great potential due to its proximity to Nakagora Station on the
Hakone Mountain Cable Car line.
We are planning to re-build luxury accommodation aiming to open around 2018 with a view toattracting an international brand.
*: The inn closed in November 2014.

9◇ Acquisition of first refusal right as a hotel business operator to redevelop the Nara

Prefecture-run pool site
The Redevelopment Project of Prefecture-run Pool Site led by the Nara Government aims tostrengthen Nara Prefecture’s function as a stop-over tourist destination with approximately 31,000 m2
of prefecture-operated pool sites at Sanjo Oji, Nara-city, by improving the functions of the facility
complex serving international hotels, conventions, public transportation, meals and product sales, andNHK Broadcasting Station.
Mori Trust acquired first refusal right in December 2014 as a business provider to develop and attract
international hotels. Currently, we are considering a concrete plan with the aim of opening in 2020.
■MICE (Meeting, Incentive Travel, Convention and Exhibition/Event) and tourism promotion projects◇ Tourist information projects at TIC TOKYO

Tourist Information Center (TIC) TOKYO, opened in December 2014 by Mori Trust Hotels &Resorts Co., Ltd. and located in Marunouchi Trust City in front of Tokyo Station, acquired Category
Three, the highest ranking under the foreign Tourist Information Center system accredited by theJapan National Tourism Organization (JNTO). As a new initiative, the information service provided
by a concierge targeting overseas tourists visiting Izu City Tourist Information Center (Izu, Shizuoka
Prefecture) and TIC TOKYO began operation in February 2015 using voice and videophones via theInternet. Through this service, tourists from overseas who visit TIC TOKYO to obtain information on
the Izu Area are able to communicate directly with the local tourist information center.
Taking the initiative as a first step, we plan to develop similar forms of cooperation with tourist
information centers across the country.

Investment Business

Leveraging its diverse strengths, Mori Trust Group has been carrying out investment activities in a wide
range of areas, targeting assets as well as corporate and business systems that are beneficial to society anddeliver value to urban centers in general.
In the future, we aim to achieve further growth of the Group, through aggressive investments andpartnerships inside and outside Japan, by developing the assets and corporate portfolios of the Group intune with the times.
◇ Matters related to REIT

Mori Trust cooperated in rebuilding the portfolios of MORI TRUST Sogo Reit, Inc. and acquired
Mita MT Building from the investment corporation in December 2014. In February 2015, Mori Trust
acquired 800 shares, 10.0% of the outstanding shares, of an asset management company, Mori Trust
Asset Management Co., Ltd. from PARCO Co., Ltd., increasing the retention ratio to 75.0%.
We will promote cooperation within the Group through the provision of information on propertytransactions and real estate as a sponsor of the investment corporation.

10

Environmental initiatives

Based on our management philosophy, “A Responsibility for Shaping the City,” Mori Trust Group is
actively involved in disaster readiness and environmental initiatives, taking both “hard” approaches,developing properties equipped with the latest technologies, and “soft” approaches, working with thesurrounding areas and tenants.
Through ongoing initiatives helping to shape cities that are safe, secure, and sustainable, we are aiming todevelop urban areas that are internationally competitive.
◇ Construction of the 2nd Phase Mori Trust Energy Park Izumizaki and completion andoperation of the Mori Trust Energy Park Biwako
In the mega solar business (large-scale solar power generation), which targets
the introduction and promotion of renewable energy and community and social
contributions, we launched the 2nd Phase Mori Trust Energy Park Izumizaki,
located at Izumizaki-mura, Nishi Shirakawa-gun, Fukushima.
Mori Trust Energy Park Biwako, located at Moriyama in Shiga Prefecture,completed its construction and started operation in December 2014. The 1st
Phase Mori Trust Energy Park Izumizaki started operation in August 2013 andthe latest project is our second.
Leveraging the management resources and expertise of Group companies, wewill continue initiatives that are conducive to sustainable development in urban
and rural areas.

11

Mori Trust Energy Park Biwako

Mori Trust Group: Total Floor Area Leased or Managed
Number of rental/managed facilities (as of March 31, 2015)○ Rental buildings: Approx. 1,280,000m² (96 buildings)○ Hotel & Resort facilities: 32 hotels (Number of rooms: Approx. 7,200)( Laforet Hotels & Resorts (12, including Tokyo Marriott Hotel); Laforet & Matsuo Golf Club;CONRAD TOKYO; Suiran, a Luxury Collection Hotel, Kyoto; The Westin Sendai;
Courtyard by Marriotto Tokyo Station; MAMPEI HOTEL;RIHGA ROYAL HOTELS & ASSOCIATE HOTELS (11, Capital & business tie-up partner);
Shangri-La Hotel, Tokyo (lease); Hotel Sunroute Plaza Shinjuku (lease) )Mori Trust Group: Summary of Consolidated Companies
MORI TRUST CO., LTD.

Toyo Green Building Co., Ltd.

Location
President
Established
CapitalBusiness sectors

Location
President
Established
CapitalBusiness sectors

Toranomon, M inato-ku, Tokyo
Akira M ori
June 10, 1970
10 billion yen
Real estate development, hotel management andinvestment business

Toranomon, M inato-ku, Tokyo
Nobuo Konomi
M arch 1, 1978
90 million yen
Condominium management service

MORI TRUST BUILDING MANAGEMENT CO., LTD.

URBAN LIFE Co., Ltd. (Code：8851)

Location
President
Established
CapitalBusiness sectors

Location
President
Established
CapitalBusiness sectors

Toranomon, M inato-ku, Tokyo
Yasutsugu Sakai
April 1, 2002
100 million yen
Comprehensive building services for property management,interior decorating, and technical consulting, etc.

M otoyamaminamimachi, Higashinada-ku, Kobe-shi, Hyogo
Nobuo Konomi
July 31, 1970
3.405 billion yen
Development, planning, sales, and rental of condominiums,
office buildings and stores

MORI TRUST HOTELS & RESORTS CO., LTD.

URBAN LIFE JUUTAKUHANBAI Co., Ltd.

Location
Chair
President
Established
CapitalBusiness sectors

Location
President
Established
CapitalBusiness sectors

Kitashinagawa, Shinagawa-ku, Tokyo
Nobuyuki Endo
M iwako Date
February 7, 1973
100 million yen
Operation of hotel chains & golf courses, M anagement of
tourism information center, M eeting room lease, Innovative R&D

M otoyamaminamimachi, Higashinada-ku, Kobe-shi, Hyogo
Kenkichi Takatsu
July 29, 1982
300 million yen
Planning and sales of condominiums, dealing,
brokerage of leasing and operations of real estate

MAMPEI HOTEL CO., LTD.

NIHON ESLEAD CORPORATION (Code：8877)

Location
Chair
President
Established
CapitalBusiness sectors

Location
President
Established
CapitalBusiness sectors

Toranomon, M inato-ku, Tokyo
M iwako Date
Yasutaka Yanai
1894
100 million yen
Ownership and operation of the M ampei Hotel

Fukushima，Fukushima-ku，Osaka-shi
Sugio Aramaki
M ay 8, 1992
1,983 million yen
Sale of condominiums, Real estate replacement business,
Real estate rental business, etc

MT&Hilton Hotel Co., Ltd.

ESLEAD KANRI CORPORATION

Location
Chair
President
Established
CapitalBusiness sectors

Location
President
Established
CapitalBusiness sectors

Toranomon, M inato-ku, Tokyo
Kazuhiko Oiwa
Kazuo Asano
October 22, 2004
20 million yen
M anagement of the Conrad Tokyo

Fukushima，Fukushima-ku，Osaka-shi
Sugio Aramaki
M ay 20, 1996
10 million yen
Condominium M anagement and Rental M anagement
Businesses

MT GOLF DEVELOPMENT CO., LTD.

SOUDEN CORPORATION

Location
President
Established
CapitalBusiness sectors

Location
President
Established
CapitalBusiness sectors

Toranomon, M inato-ku, Tokyo
Toshio Komatsu
November 19, 2004
100 million yen
Ownership and operation of Laforet & M atsuo Golf Club

Fukushima，Fukushima-ku，Osaka-shi
Hiroshi Nakazawa
M ay 17, 2006
90 million yen
Electricity M anagement Business

FORETSEINE CO., LTD.

E・L CONSTRUCTION CORPORATION

Location
President
Established

Location
President
Established
CapitalBusiness sectors

CapitalBusiness sectors

Toranomon, M inato-ku, Tokyo
Nobuo Konomi
M arch 31, 2011
(date of foundation since incorporation-type company split)
100 million yen
Planning and development of urban type condominium forsales and rental management

12

Fukushima，Fukushima-ku，Osaka-shi
Yasutaka Kidouchi
June 14, 2006
55 million yen
General Contract and Renovation Businesses

ESLEAD JYUTAKU RYUTU CO. LTD

MORI TRUST Asset Management Co., Ltd.

Location
President
Established
CapitalBusiness sectors

Location
President
Established
CapitalBusiness sectors

Fukushima，Fukushima-ku，Osaka-shi
Kouji M aeda
M ay 8, 2007
10 million yen
Real Estate Transaction,Asset M anagement

Akasaka, M inato-ku, Tokyo
Satoshi Horino
February 28, 2000
400 million yen
Operation of real estate investment trusts

and Real Estate Rental Businesses
MTL Fund No.1 Investment Limited Partnership

Shiroyama Heating & Cooling Supply Co., Ltd.

General Partner
Established

Location
President
Established
CapitalBusiness sectors

M T Labo Capital Co., Ltd.
August 31, 2007

MT GENEX CORPORATION (Code：9820)

AZMAX CORP.

Location
President
Established
CapitalBusiness sectors

Location
President
Established
CapitalBusiness sectors

Toranomon, M inato-ku, Tokyo
Hitoshi Suzuki
October 1945
Approx. 1.072 billion yen
Facelift of building and housing, andparking operation management, etc.

Toranomon, M inato-ku, Tokyo
M asahide Kasahara
November 6, 1989
300 million yen
Local heating and cooling services
in the Shiroyama Garden and adjacent area

Nihonbashi, Chuo-ku, Tokyo
M asayoshi Takahashi
August 11, 1947
499 million yen
M anufacturing and selling cold drawn special steel shapes

Toyo Housing Management, Inc.
Location
President
Established
CapitalBusiness sectors

Roppongi, M inato-ku, Tokyo
Nobuo Konomi
November 27, 1979
10 million yen
Leasing management and operations of real estate(as of M arch 31, 2015)

Mori Trust Group: Summary of Equity-Method Affiliates

THE ROYAL HOTEL, LIMITED (Code：9713)

MORI TRUST Sogo Reit, Inc. (Code：8961)

Location
Established
Business sectors

Location
Established
Business sectors

Nakanoshima, kita-ku, Osaka-shi, Osaka
February 10, 1932
Hotel management centered on lodgment,
banquet and restaurant, and hotel
incidental business

Akasaka, M inato-ku, Tokyo
October 2, 2001
Investment in real estate and asset-backed
securities investing primarily in real estate(as of M arch 31, 2015)13

Consolidated Financial Statements

Consolidated Balance Sheets (as of March 31, 2015 and 2014)
MORI TRUST CO., LTD. and its consolidated subsidiaries
AssetsⅠ．Current assets
1 Cash and deposits
2 Notes and accounts receivable-trade
3 Short-term investment securities
4 Real estate for sale
5 Real estate for sale in process
6 Real estate for development
7 Other inventories
8 Deferred tax assets
9 Other
Allowance for doubtful accounts
Total current assets
Ⅱ．Noncurrent assets
1 Property, plant and equipment（1) Buildings and structures, net（2) Machinery, equipment and vehicles, net（3) Tools, furniture and fixtures, net（4) Land（5) Construction in progress（6) Other, net
Total property, plant and equipment
2 Intangible assets（1) Leasehold right（2) Goodwill（3) Other
Total intangible assets
3 Ｉｎｖｅｓｔｍｅｎｔs and other assets（1) Investment securities
Investments in unconsolidated subsidiaries and（2)
affiliates（3) Long-term loans receivable（4) Deferred tax assets（5) Guarantee deposits（6) Other
Allowance for doubtful accounts
Total iｎｖｅｓｔｍｅｎｔs and other assets
Total noncurrent assets
Total assets
Note: Figures less than one million yen are rounded down.

14

2015

(\ millions)2014

85,9804,819
52,48846,388
152,513
618
1,445
6,869
2,764
(98)
353,789

25,136
14,07355,02861,740148,278
618
1,734
21,1283,035(117)
330,657

133,8262,894
1,239
434,879
987
1,873
575,700

133,477
2,585
1,104
402,061
1,516
1,832
542,576

3,258
168
422
3,849

3,258
251
282
3,791

25,54630,971

4,166

277

173
281
3,834
2,558
(89)
36,471
616,021969,810

211
376
4,230
2,486
(135)
38,419584,787
915,445

Liabilities
Ⅰ．Current liabilities
1 Notes and accounts payable-trade
2 Short-term loans payable
3 Current portion of long-term loans payable
4 Accounts payable-other
5 Income taxes payable
6 Accrued expenses
7 Advances received
8 Deposits received
9 Provision for bonuses
10 Other
Total current liabilities
Ⅱ．Noncurrent liabilities
1 Long-term loans payable
2 Long-term lease deposited
3 Long-term guarantee deposited
4 Long-term deposits received
5 Deferred tax liabilities
6 Net defined benefit liability
7 Asset Retirement Obligation
8 Other
Total noncurrent liabilities
Total liabilities
Net assets
Ⅰ．Shareholders' equity
1 Capital stock
2 Retained earnings
Total shareholders' equity
Ⅱ．Valuation and translation adjustments
1 Valuation difference on available-for-sale securities
2 Revaluation reserve for land
3 Remeasurements of defined benefit plans
Total valuation and translation adjustments
Ⅲ．Minority interests
Total net assets
Total liabilities and net assets
Note: Figures less than one million yen are rounded down.

15

2015

(\ millions)
2014

9,278
60,422
83,992
11,302
16,532
913
6,801
2,044
554
145
191,987

9,263
64,22088,6406,631
12,502
811
5,522
2,398
503
1,335
191,829364,505
49,96152,059312
10,492
2,571
1,043
897
481,844673,832

350,544
48,78053,171311
10,0862,557
1,031
466,484
658,313

10,000263,518
273,518

10,000227,799
237,799

4,708
14
(187)
4,535
17,923295,978
969,810

2,470
37
(130)
2,377
16,954
257,132
915,445

Consolidated Statements of Income (For the years ended March 31, 2015 and 2014)

Ⅰ．Operating revenue
Ⅱ．Operating cost
Operating gross profit
Ⅲ．Selling, general and administrative expenses
Operating income
Ⅳ．Non-operating income
1 Interest and dividends income
2 Gain on sales of securities
3 Gain on valuation of securities
4 Foreign exchange gain
5 Other
Total non-operating income
Ⅴ．Non-operating expenses
1 Interest expenses
2 Equity in losses of affiliates
2 Other
Total non-operating expenses
Ordinary income
Ⅵ．Extraordinary income
1 Gain on sales of noncurrent assets
2 Other
Total extraordinary income
Ⅶ．Extraordinary loss
1 Loss on retirement of noncurrent assets
2 Loss on sales of investment securities
3 Other
Total extraordinary losses
Income before income taxes
and minority interests
Income taxes-current
Income taxes for prior periods
Income taxes-deferred
Income before minority interests
Minority interests in income (loss)
Net income
Note: Figures less than one million yen are rounded down.

2015
272,868
217,033
55,834
13,441
42,393(\ millions)2014
149,779
103,003
46,776
13,00633,769

997
8,172
3,008
10,542
2,312
25,033

1,294
1,776
2,835
1,630
7,536

4,013
1,083
118
5,215
62,211

4,104
164
4,268
37,037

6,106
241
6,348

8,202
14
8,217

1,734
4,727
21
6,484

5,687
1,041
6,728

62,07538,52523,807(22,541)
13,88046,928
1,338
45,58916,74722,533(17,062)
16,306
1,160
15,145

Note: This translation may be used only for reference purposes. This English version is not an officialtranslation of the original Japanese document. In cases where any differences occur between
the English version and the original Japanese version, the Japanese version shall prevail.

16