FINANCIAL REPORT
April 2008 March 2009
1. Basic Management Policy
Throughout its history, Amano has adhered to a basic policy of putting the customer fi rst. This has meant paying heed to what its customers say, based on the corporate themes of “people and time” and “people and the environment,” and giving pivotal im- portance to customer satisfaction throughout its business activities, particularly in sales, production, and development activities.
In accordance with this fundamental policy, Amano continues to undertake business activities with the goal of earning the trust and high regard of all those who support it: customers, employees, shareholders, suppliers and other entities with which it does business, and the local community. It achieves this by providing a variety of products, systems, services, and solutions that match the needs of customers in relation to the themes of “people and time” and “people and the environment.”
Amano and its Group companies direct their efforts towards maximizing corporate val- ue by fostering innovation in management and by ensuring a strong earnings structure and sustained growth in business performance.
2. Basic Policy on Distribution of Profi ts, and Dividend for This and Next Term
Amano places great importance on its policy for dividends to shareholders. Fundamen- tal to this is its policy for the return of profi t to shareholders, based on maintaining a stable ordinary dividend of ¥26 annually (¥13 interim and ¥13 year-end), together with appropriate results-based distributions and fl exible purchasing of treasury stock. The Company aims to maintain a payout ratio of at least 35% on a consolidated basis and a ratio of dividend to net assets of at least 2.5%. It also aims to improve capital effi ciency by setting a target ratio of 60% for total distributions (return to shareholders), combin- ing dividends and purchase of treasury stock.
In line with this policy and considering this term’s results, we plan to pay a year-end dividend of ¥13 per share, ¥4 lower than the amount paid at the end of the previous year. As a result, the annual per-share dividend will be ¥30 (including the ¥17 per share paid as the interim dividend), ¥4 lower than the previous year. This corresponds to a dividend payout ratio of 105.9% and a 2.9% ratio of dividends to net assets on a consolidated basis. Due to purchases of treasury stock, this year’s total payout ratio (re- turn to shareholders) will be 241.4%.
Retained earnings will be used to fund effective investment aimed at the fundamental enhancement of the Company’s capacity to conduct its business operations. This will include the expansion and strengthening of existing business fi elds, strategic invest- ment in growth fi elds, and spending on research and development, as well as the ra- tionalization of production plant and equipment for the purpose of reducing costs and further improving product quality.
With regard to the dividend for the next fi scal year, faced with an extremely diffi cult environment we will redouble our efforts to improve business performance, and will aim to pay a dividend for the year of ¥30 (interim dividend of ¥13, and year-end divi- dend of ¥17).
Management Policy
3. New Medium-Term Management Plan
Amano and its Group companies each continue the tradition of evolving continuously in response to changes in the times, while maintaining the following four immutable strategies of the Amano Group.
1) Emphasis on Time & Ecology business fi elds, and enhancement of core business 2) Being a niche leader in the business fi elds in which we excel
3) Constant restructuring
4) Management based on cash fl ow
Based on these four fundamental strategies, in April 2008 Amano inaugurated a new three-year medium-term management plan. An outline of the plan is set out below.
(1) Basic Policies
Building on the success of the previous management plan, which aimed at “a strong profit structure and sustainable growth,” under the new medium-term management plan the Group is positioning Amano McGann, Inc. of the U.S. and Horosmart, S.A. of France as key drivers for global development of parking system and information system businesses, particularly in the U.S. and Europe, and focusing on business expansion in Japan.
Priority issues under the new plan are listed below.
1. Business Strategy
• Expanding business in the North American and European markets
In North America we will merge Amano McGann’s parking management systems with Amano Group systems and equipment, and expand the market for parking sys- tems by strengthening direct sales structures to work closely with customers in pro- posing solutions.
In Europe we will merge Horosmart’s French systems, equipment, and customer base with Amano Group systems and equipment. We will also expand our information system business in the French market and use this as a springboard for expansion into the wider European market, including the UK and the Benelux region.
• Expanding business in the Japanese market
In the Japanese market we will reinforce ties with domestic group companies, par- ticularly in the information system and parking system fi elds. We will also further expand our existing customer base and create new markets by strengthening our ser- vice and total solution capabilities and launching new products.
2. Enhancing Profi tability
• Boosting profi tability in the information system and parking system businesses In overseas markets we will increase profi tability by implementing our business strat- egies for Amano McGann and Horosmart to maximize these profi table companies’ contribution to consolidated results. This will be achieved through increased sales in the North American and European markets, particularly sales of high-added-value products.
As for the Japanese market, in the information systems fi eld we will continue to stan- dardize large-scale solution systems and increase added value by expanding sales of software to small and medium-sized businesses. In the parking systems fi eld we will boost profi tability by developing cost-competitive products and strengthening cost control for each site.
3. Improving Capital Effi ciency
• Return on equity (ROE)
As well as focusing on enhancing the profi tability of all businesses, we will strive to improve capital effi ciency through steps such as fl exible purchasing of treasury stock and aim for ROE of 10.0% on a consolidated basis.
(2) Numerical Targets
From the latter part of 2008, the worldwide fi nancial crisis stemming from the sub- prime mortgage issue in the U.S. seriously affected the real economy on a global scale. Since the business environment envisaged when we formulated the new medium-term management plan has changed dramatically, we intend to revise the numerical targets of ¥114,000 million in net sales and ¥12,700 million in operating profi t that we originally set for the fi scal year ending March 31, 2011.
Management Plan Target Results (Unit: Millions of yen)
Year ending March 31, 2009 - (results) Year ended March 31, 2010 - (Forecast) Year ending March 31, 2011 - (Forecast) Amount YOY change (%) Amount YOY change (%) Amount YOY change (%)
Net sales 91,812 (1.6%) 88,000 (4.2%) − −
Operating profi t 5,371 (46.3%) 4,800 (10.6%) − −
Operating profi t to sales 5.9% − 5.5% − − −
Ordinary profi t 5,294 (49.8%) 5,200 (1.8%) − −
Net income 2,214 (63.7%) 2,700 22.0% − −
Kaoru Haruta President and CEO
Analysis of Business Results
Business Results in the Year Ended March 31, 2009
The Japanese economy deteriorated rapidly as the effects of the world- wide fi nancial crisis stemming from the subprime mor tgage issue in the United States affected the real economy on a global scale. Rapid contraction of expor ts, which had been a driver of economic growth, led to generally disappointing cor- porate performance, and personal consumption dropped off as the employment situation tightened.
Amid this difficult operating en- vironment, we pur sued Group growth strategies based on our new medium-term management plan, which began in April 2008. The en- tire company is working in unison to achieve sustained growth driven by global development of products and markets in every business segment and to improve profi tability through the cultivation of new business and enhancement of our capacity to propose comprehensive solutions underpinned by cooperation with Group companies in Japan.
During the year the company re-
corded sales of ¥91,812 million, down by 1.6% year-on-year. Operat- ing profit fell by 46.3% to ¥5,371 million, ordinary profit declined by 49.8% to ¥5,294 million, and net in- come dropped by 63.7% to ¥2,214 million.
The following is an over view by business division:
Sales by business division
(Unit: Millions of yen)Year ended March 31, 2008
Year ended
March 31, 2009 Change
April 1, 2007, to March 31, 2008 April 1, 2008, to March 31, 2009
Amount Ratio (%) Amount Ratio (%) Amount % Time Information System Business
Information Systems 16,266 17.4 19,848 21.6 3,582 22.0
Time Management Equipment 6,628 7.1 5,361 5.8 (1,267) (19.1)
Parking Systems 40,062 42.9 38,968 42.5 (1,094) (2.7)
Subtotal 62,956 67.4 64,177 69.9 1,221 1.9
Environment System Business
Environmental Systems 20,808 22.3 19,066 20.8 (1,742) (8.4)
Cleaning Systems 9,587 10.3 8,569 9.3 (1,018) (10.6)
Subtotal 30,395 32.6 27,635 30.1 (2,760) (9.1)
Total 93,351 100.0 91,812 100.0 (1,539) (1.6)
Time Information Systems Business
• Information Systems:
Time & attendance (T&A), Payroll, Human-resource management, Access control, Cafeteria manage- ment systems
• Time Management Equipment: Time recorders, Time stamps
• Parking Systems
Parking lot and bicycle-parking space management equipment, Management services
Information Systems
Demand remains robust in the do- mestic market for this business, since companies are reviewing and rebuild- ing T&A systems to enhance legal compliance as the Ministry of Health, Labour and Welfare continues to issue notifications and strengthen guidance on appropriate management of work- ing hours. Since the latter part of last year, however, the market environment has changed dramatically as the sud- den economic downturn has further restricted investment, especially in the manufacturing sector. While potential demand is strong, orders have slowed markedly as customers postpone ne- gotiations over new equipment. In response to this market environ- ment, Amano has focused on propos- ing solutions that match customer needs, including reinforcing its market- ing strategy of direct sales.
Hardware sales fell by ¥864 million (12.1%) year-on-year and software sales declined by ¥480 million (11.2%), while sales generated by maintenance and
supply operations rose by ¥108 million (3.5%). The reduction in hardware sales was due to falling orders for large-scale solutions, while the drop in software sales was attributable to falling demand from medium-sized businesses. Sales in the field of T&A systems declined by
¥851 million (8.0%) and those in the fi eld of access control systems fell by
¥187 million (12.4%).
Overseas, European sales increased with the addition of and strong perfor- mance by newly-consolidated French subsidiary Horosmart, S.A., acquired in January 2008. Sales declined in North America, but rose slightly in Asia. Total overseas sales leapt by ¥4,758 million (up 382.6%).
As a net result of the above, overall sales in this business division totaled
¥19,848 million, representing an in- crease of 22.0% from the previous year.
Time Management Equipment
Sales and demand in this segment remained sluggish during the period under review as time recorder store sales lost ground to Internet sales and the shift toward low-priced equipment accelerated in the Japa- nese market. The deteriorating eco- nomic climate further compounded the situation.
Unit sales and sales revenue de- clined year-on-year in both the domestic and expor t markets. Ag- gregate domestic and export sales
fell by ¥901 million (19.6%).
Over seas, revenues declined in Nor th America, Europe, and Asia. Overall, overseas sales were down by ¥579 million (21.0%).
As a result of the above, the time management equipment business division generated sales totaling
¥5,361 million, down by 19.1% from the previous year.
Parking Systems
Although the impact of gasoline price hikes has lessened, the domes- tic parking lot market is maturing and the business environment for this segment remains challenging amid falling automobile sales and reduced vehicle use.
Faced with such market conditions, the Company has stepped up ef- for ts to make recommendations from the customers’ perspective on enhancing profi tability and effi ciency of parking lot management, while also focusing on creating demand for renewal projects, developing the promising bicycle parking lot system market, and cultivating the market for specialized gate systems.
Sales of automobile and bicycle parking system devices decreased by
¥2,701 (16.0%) from a year earlier, while revenues from maintenance and supply operations rose by ¥303 million (3.8%).
EX-3500N
RX-100
The number of parking spaces man- aged by Group subsidiar y Amano Management Service Corporation in its commissioned par king lot management business increased by 23,400 (18.2%) from March 31, 2008, and the company’s perfor- mance is making steady progress. Overseas, North American opera- tions achieved sales growth, steadily improving their performance with the help of large orders secured by Amano McGann, Inc. European sales slipped as vigorous demand in the Spanish market fell away. In Asia, although South Korea continued to show strong results with double- digit growth in local-currency terms, exchange rate fl uctuations resulted in reduced revenue on a yen basis. Overall, overseas sales rose by ¥703 million, (up 5.9%).
As a net result of the above, the parking systems business division achieved sales totaling ¥38,968 mil- lion, representing a decrease of 2.7% from the previous year.
Environment System Business
• Environmental Systems:
Standard dust collectors, Large dust collection systems, Pneumatic powder conveyance systems, High-temperature hazardous-gas removal systems, Deodorization systems, Electrolytic water genera- tors
• Cleaning Systems:
Cleaning equipment, Dr y-care cleaning systems, Cleanliness man- agement service
Environmental Systems
The business environment in Japan remained challenging for this division as capital investment contracted in the face of declining capacity utiliza- tion levels associated with rapidly deteriorating conditions in the man- ufacturing sector-especially in the automobile industr y-and a freeze on investment in new plant.
In response to this economic envi- ronment, Amano has strengthened environmental management efforts aimed at compliance with environ- mental legislation and reduction of environmental impact, and rein- forced marketing strategies relating to safety and security,
In the large-scale systems segment, sales fell by a relatively small ¥191 million (2.5%) year-on-year, par tly due to a backlog of orders for ma- jor projects in the early part of the fi scal year. On the other hand, stan- dard equipment sales dropped by
¥871 million (12.4%) and revenues from maintenance and supply op- erations were down by ¥414 million (9.9%).
In overseas operations, Japanese companies in China and the rest of Asia placed fewer orders for large- scale systems from the third quarter as the deteriorating economic envi- ronment impacted on their head of- fi ces in Japan. Consequently, overall sales declined by ¥72 million (5.9%). As a result of the above, the sales of this business division fell by 8.4% year-on-year, to ¥19,066 million.
GT-6700
energy-saving, and cost-saving tech- nologies, and offering cleaning con- tract services.
In addition to falling demand for buffing machines, floor cleaning equipment sales were affected by restricted capital investment in fl oor cleaning machines for factories. In consequence, year-on-year sales declined by ¥497 million (16.7%) and revenues from maintenance and supply operations were down by
¥69 million (2.1%).
Over seas sales in this segment slowed in Nor th America, Europe, and Asia. Overall, sales decreased by
Outlook for the Fiscal
Year Ending March 31,
2009
With the global economic crisis showing no signs of improvement and contraction likely in the Euro- pean and U.S. markets, downward pressure will also mount in Japan as declining exports hinder capital in- vestment and rising unemployment continues to constrain per sonal consumption.
Amid this economic environment, Amano Corporation and its group companies launched a new medi- um-term management plan covering a period of three years from April 2008. In line with the Group growth strategies set out in the plan, we will work to drive ongoing growth through the global development of markets and products in each of our business fi elds and to improve profitability by creating new busi- ness, and committing greater efforts to address accumulation business.
Cleaning Systems
This business division continued to face a difficult operating environ- ment in Japan as companies opened fewer new commercial facilities and strove to reduce cleaning costs. Increasing restrictions on capital in- vestment also had a negative effect on the factory market.
In response to the prevailing condi- tions, the Company has devoted effor ts to reigniting demand by strengthening its sales strategies. These effor ts include launching products featuring new labor-saving,
¥577 million (down 22.6%). As a result of the above, sales gener- ated in this segment totaled ¥8,569 million, down by 10.6 % from the previous year.
The following business results are projected for the fiscal year end- ing March 31, 2010: Sales ¥88,000 million, operating profi t ¥4,800 mil- lion, ordinary profit ¥5,200 million, and net income ¥2,700 million. The above projections assume currency exchange rates of US$1 to ¥95 and
€1to ¥125.
SE-840e
Analysis of Financial Condition
Analysis of Assets, Liabilities, and Net Assets
• Assets
Total assets at March 31, 2009, amounted to ¥102,192 million, down by ¥14,759 million from the previous fi scal year-end. This was chiefl y due to a ¥8,098 million reduction in current assets resulting from factors including a ¥5,098 million drop in notes and ac- counts receivable, and a ¥6,661 million reduction in fi xed assets largely attrib- utable to a ¥5,182 million decrease in intangible fixed assets and a ¥2,384 million fall in investment securities.
• Liabilities
Total liabilities at fiscal year-end amounted to ¥26,797 million, down by ¥3,847 million year-on-year. This was attributable primarily to a ¥4,233 million decrease in cur- rent liabilities resulting from factors including a ¥3,080 million decline in notes and accounts payable and a
¥1,185 million drop in accrued in- come taxes.
• Net Assets
To t a l n e t a s s e t s a m o u n t e d t o
¥75,395 million, down by ¥10,912 million from the previous fi scal year end. The principal factors behind this were a reduction of ¥2,180 million in retained earnings due to distri- bution of surpluses and changes in accounting standards at overseas consolidated subsidiaries, a drop of
¥3,004 million due to purchase of treasury stock, and a fall of ¥5,414 million resulting from foreign cur- rency translation adjustments.
• Analysis of Cash Flows
Consolidated cash and cash equiva- lents declined by ¥483 million, or 2.8%, year-on-year, to a total of
¥16,709 million at the year-end. The following is a description of the sta- tus of each type of cash fl ow during the year, and the underlying factors.
• Cash fl ow from operating activities Net cash provided by operating activities totaled ¥6,233 million, down by 33.4% from the previous year. Income before income taxes totaled ¥4,723 million, deprecia-
tion and amortization amounted to
¥4,769 million, and trade notes and accounts receivable decreased by
¥3,576 million, while income taxes paid totaled ¥3,597 million and ac- counts payable decreased by ¥2,584 million.
• Cash fl ow from investing activities Net cash used in investing activities was ¥2,453 million, indicating an increase of 88% over the previous year. Although proceeds from with- drawal of time deposits amounted to ¥4,170 million, payment for ac- quisition of intangible assets totaled
¥2,674 million, increase in time deposits amounted to ¥2,644 mil- lion, and payment for purchase of property, plant, and equipment was
¥1,925 million.
• Cash fl ow from fi nancing activities Net cash used in fi nancing activities totaled ¥5,693 million, indicating a decrease of 111.1%. This was chiefl y due to payment for purchase of treasury stock amounting to ¥3,004 million and dividends paid by parent company of ¥2,540 million.
Notes: Equity ratio: Equity capital/Total assets
Fair value equity ratio: Gross market capitalization/Total assets
Ratio of cash fl ow to interest-bearing liabilities: Interest-bearing liabilities/Cash fl ow from operating activities Interest coverage ratio: Cash fl ow from operating activities/Interest payments
Assumptions
1. All indicators are calculated on the basis of consolidated fi nancial values.
2. Gross market capitalization is calculated by multiplying the closing price of the Company’s shares at the year-end by the number of shares of common stock issued and outstanding at the year-end (less treasury stock).
3. Cash fl ow from operating activities refers to cash fl ow from operating activities posted under the consolidated statements of cash fl ows. Interest-bearing liabilities refers to those of the liabilities stated in the consolidated balance sheets on which interest is paid. Interest payments equate with interest paid stated in the consolidated statements of cash fl ows.
Reference: Trend of cash fl ow indicators
At Mar. 31, 2005 At Mar. 31, 2006 At Mar. 31, 2007 At Mar. 31, 2008 At Mar. 31, 2009
Equity ratio (%) 72.5 74.8 74.4 73.0 72.9
Fair value equity ratio (%) 95.0 156.0 103.6 70.6 58.8
Ratio of cash fl ow to interest-bearing liabilities (%) 26.0 42.2 36.2 17.5 24.1
Interest coverage ratio 255.8 88.1 125.3 166.6 200.7
Operating and Other Risk
Among the matters relating to the qualitative information contained in these summary fi nancial statements and relating to the consolidated financial statements, the following are those that could be envisaged as having a possible material impact on investors.
Matters that are considered to be potential risk factors in the under- taking of business by the Amano Group either now or in the future are estimated to the greatest extent possible, and the risk factors are then addressed and eliminated in the course of business activities. Matters relating to the future are those that are adjudged to be so as of the date of the release of these fi nancial results (May 8, 2009). (i) Impact on earnings of changes in the operating environment The Amano Group uses its accumu- lation of unique technologies and know-how to provide customers with high-quality products, services and solutions, gaining large market shares in each sphere of business in Japan, North America, Europe, and Asia, and developing business glob- ally.
In the year ended March 31, 2009, the time information system busi- ness accounted for 69.9% of total sales, and the environment system business accounted for 30.1%. Be-
fore deduction of unallocated ex- penses the time information system business contributed 60.8% to oper- ating profit, while the environment system business contributed 39.2%. In terms of weighted average sales over the most recent five year s, time information system business accounted for 66.9% of total sales and for 71.3% of operating profi t. With respect to future risk factors, in each business activity within the time information system business segment, which accounts for a large proportion of the Group’s business, if market expansion is expected for such reasons as a signifi cant change in the demand str ucture or the creation of a new market, it can be expected that this will attract entry by entities in other industries or by other powerful competitors. In that event, if a competitor were to enter with innovative products or solutions that surpass Amano’s, the Amano Group’s market advantage would decline, and that may have a material impact on its business per- formance.
(ii) Fluctuations in exchange rates The Group engages in business activities on a global scale and has production and sales bases overseas. In view of this, the Group’s busi- ness results may be impacted by fl uctuations in exchange rates when transaction amounts overseas are translated into yen.
(iii) Information security
In order to offer system solutions and undertake the application ser- vice provider business, the Amano Group handles confi dential informa- tion such as personal information concerning customers or provided by customers. In view of this, the Group has developed a structure for the management of confi dential information, implements thorough staff training, and uses software to prevent leaks of information for the purpose of preventing network ac- cess to confi dential information and of preventing leaks of confidential information through the removal of data and information. To that end it has also established an Information Security Management Committee to ensure a foolproof str ucture. Never theless, in the event that an unforeseen situation were to arise, and information of the kind de- scribed above were to be disclosed externally, resultant factors such as loss of confi dence may have a mate- rial impact on the Group’s business performance.
Issues to be Addressed
The Company will take the following steps to achieve the goals set out in its revised new medium-term manage- ment plan.
1) Time information systems business
• Information systems business Amid continuing efforts by labor au- thorities to more strictly monitor un- paid overtime and long working hours (overwork) in order to eradicate these practices, there is strong poten- tial demand as companies establish T&A systems aimed at appropriately managing working hours. However, the rapidly deteriorating economic sit- uation is restricting capital expenditure and market conditions are worsening week by week, with falling numbers of large-scale system projects and post- ponement of negotiations for new orders.
In this market environment, we will fo- cus on spurring latent demand in our T&A solutions business targeted at both large companies and the public sector, launching enhanced software and strengthening marketing struc- tures by increasing system engineers. We also aim to expand business in the door security field, where the need to protect personal information has raised the priority placed on con- trol of access to offi ces in which such information is handled.
To enhance the profitability of this business we will cut costs by standard- izing system software for our solutions business and expand sales of standard software packages to small and medi- um-scale business establishments, so as to boost earnings capacity.
Overseas, we aim to merge the sys- tems, equipment, and customer base
of Horosmar t, S.A. (France) with Amano systems and equipment to continue increasing business in the French market and using this as a springboard to extend sales channels across Europe as a means of expand- ing our business in this region.
• Parking systems business
Although the impact of gasoline price hikes has lessened, the parking systems business continues to face a difficult environment as the parking lot market matures, the trend towards restraint in vehicle use becomes more pronounced, and vehicle sales decline. In this environment we will focus on spurring demand for replacement of existing parking lot equipment driven by growing use of electronic money. We will steadily meet the needs of existing customers by offering added- value products with in-built IT func- tions and forging ahead with compre- hensive solutions business, including maintenance and parking lot manage- ment services. We will also increase sales of systems equipment to meet the market for bicycle parks that has arisen as a result of the problem of illegal parking of bicycles, and take fur- ther steps to expand the market for expressway-crossing safety gates and gate systems controlling entry and exit to and from sites such as factories. In order to boost profi tability, we will make efforts to standardize special- order products and strengthen profi t control for each site.
Overseas, we aim to expand business and establish ourselves as the top manufacturer of parking systems in the North American market, leverag- ing the strengths of Amano McGann, Inc. to further boost sales by building closer relationships with customers. We also aim to secure the largest
market shares in Europe and Asia, proactively expanding our global op- erations.
2) Environment systems business
• Environment systems business Potential demand in environment systems business remains steady, un- derpinned by companies’ efforts to comply with environment-related laws and regulations in their plants and to reduce the burden they place on the environment. However, the rapidly deteriorating business situation for manufacturers-especially Japanese automakers-is restricting capital ex- penditure, and uncertainty over future market conditions is growing.
Given these circumstances, we will strengthen our capability of develop- ing new products with less environ- mental impact, launch new products to match the reduction in size and the diversification of machine tools, and enhance our lineup of dust-explosion- proof technologies to raise safety standards. We also aim to spur latent demand by expanding our mainte- nance business and further strengthen profi t control for each site in order to boost profi tability.
In overseas markets, we will expand business in Asia by building stronger ties with overseas Group companies in order to enhance our services to Japanese companies operating in Chi- na, Thailand, and other Asian countries. 3) Human resource development Recognizing that people are the most important management resource for the operation of our business, we have positioned human resource de- velopment as a priority issue and will focus on developing employees who have no fear of change and are willing to meet the challenges.
Information Systems
Strengthened products lineups with new Time & Attendance Information Systems released
Amano’s Time & Attendance Informa- tion Systems are used in various scenes such as small and large businesses, including shops regardless of locations of the business. With diversified data entry, ranging from IC cards - growing use for Employee cards and ID cards, to biometrics (finger vein identification) - recent development to attract market attention, Amano delivers an optimal system to suite for customer’s network environment and enhances the benefi ts of customers to their individual needs. Amano’s lineups have been reinforced with additional new products released to further support the Time & Atten- dance Information Systems already avail- able with the best features for various scenes. In particular, “AGX-300AV/AGX- 350AV” series, a “Finger Vein (Biometrics) Identifi cation Model” released in January 2009, has high expectations as a suc- cessor model of “AGX-30N/AGX-30V” series, which is already receiving good market acceptance. Also, “SX-100” se- ries, released at the end of April 2009, is another Time & Attendance Information System designed for a low-cost model to be used in large volume by national accounts of ser vice/distribution busi- nesses.
Time Management Equipments Strengthened sales efforts for Atten- dance Package Software to comply with the new Labor Standards Act to be effective in April 2010.
“TimePro-XG” series, “TimeAsset”
“Amendment to the Labor Standards Act” will become effective on April 1, 2010 with objectives to maintain work- ers” health and achieve work-life balance by seeking to limit long working hours. The new Act is intended to increase the overtime work compensation rate and allow to take annual paid leave by the hour. Amano is providing Attendance System “TimePro-XG” series supporting every size of businesses / industries, and proactively strengthening the feature of the package software for expected new and upgrading requirements to be driven by the law amendment. Also,
“TimeAssets,” an Attendance System Application for large businesses with larger number of employees now has additional “SQL-Server Version” to its basic package to manage data under central control. Amano continues to support our customers with full-lineups of hardware, newly released models and package software with strong features and unique solutions that best meet the needs of our customers.
Parking Systems
Prevents unauthorized entry to build- ing/factory, Simultaneously manage IN/ OUT history of “Vehicle” and “People”
<Dedicated Security Gate> IC Card Reader
Amano has been providing an array of Parking Management System, and cur- rently is strengthening the product com- petitiveness with the latest technology for a wide variety of IC cards (including electronic money), IC tags, and ETC radio technology to our parking system products and solutions. Also, by integrat-
ing parking products with Time Informa- tion Systems and recommending holistic solutions by combining time & atten- dance with access control management, Amano aims at provoking new demands to market expansion. Our new product,
“Proximity IC Card Reader GT-3200M/ F”, a dedicated card reader for security gate, combined with “TimePro-XG Ac- cess”software, is a security unit with new concept realizing car gate access control with real time communications. It allows using access control system within the same site by using one single IC card, which realizes to build a total security system of “vehicle” and “people”. With abundant operational modes complying with security levels, additional access his- tory control of “vehicle” to factories/of- fi ces, access control of “people” to man- agement sites is possible at the same time to build a true security control with consolidated data.
Amano Management Service Corpora- tion, starts to seek membership for Electronic Money at parking lots Recently, installation of pay stations sup- porting transportation electronic money cards (“Suica*” or “PASMO*” in Tokyo metropolitan area and “ICOCA*” in Kansai area) is growing rapidly.
In an effor t to penetrate the market with this pay station to support elec- tronic money cards, Amano Manage- ment Service Corporation, which has full know-how of parking lot management and commissioned business services has started seeking membership for parking lots to accept electronic money cards
Small/low-cost Model SX-100 Series
Business Activities
Finger Vein Identifi cation Model AGX-350AV Series
セキュリティ
ソリューション ソリューションターミナル
ICカード
ソリューション Proximity IC Card
Reader GT-3200M/F
Exclusive for Security Gate
Amano Time & Attendance Solution Integrated System
in January 2009. An environment where a wide variety of payment methods are available is expected to better serve the benefi ts of parkers.
*Suica is a registered trademark of JR East Japan Railway Company
*PASMO is a registered trademark of PASMO Co., Ltd.
*ICOCA is a registered trademark of JR West Japan Railway Company.
Environmental Systems New Mist Collectors’ released one after another
As part of our growth strategy of en- vironmental business, new small size environmental products were released in April 2009 one after another.
Mist collector “MJ” series is designed to remove mists with larger particles in size coming from various machine tools in- cluding machining center. As opposed to fi ltering method, a new “Cyclone & Ro- tating Disk” for a mist collecting method reduces plant/operational cost since it does not require any labor or cost to replace the fi lter. Existing electronic mist collectors are designed to electronically remove oily smoke (oil mist), hazardous substances to eyes or lungs of workers generated from various cutting ma- chines, with charged electrodes, which require regular cleaning. On the contrary, the newly released “EM-SC” series is a carefree mist collector with “self-cleaning
function” (patent pending), which cleans the electrodes without using water or detergent.
Cleaning Systems
<Water-Saving> Automatic fl oor scrub- bers “SE-500ss” reduces environmental stress
Amano provides a var iety of user friendly automatic floor scr ubber s ranging from walk-behind models - compact/light and por table design, to ride-on models for scrubbing floors of large commercial facilities, public transportations such as airport/station and large warehouse/factory with large cleaning area. Recently, “reduction of environmental stress” is becoming more impor tant when selecting a product. A new model “SE-500ss” is the latest design, addressing environmental aspects with an “Air Sealing Mechanism”(patent pending) using a new cleaning water saving technology, based on our best seller machine “SE-500e” designed for a hard fl oor scrubber. The new model re- duces cleaning water to about half over our existing “SE-500e”. Advantageous effect of reducing the cleaning water to half do not just save water but also reduce disposal of collected wastewater and detergent to reduce environmental stress.
Domestic Group Companies Electrolytic water effective in preventing infection of infl uenza virus and Norovi- rus“
α
-CUTE,”a Compact Electrolytic Water Generator for handwashingnow on market
<Amano Eco Technology Corporation> Amano Eco Technology Corporation, fo- cusing on research and development of applied technology to electrolytic water, released “
α
-CUTE, a Compact Electro- lytic Water Generator for Handwashing” which is the smallest/lightest in the in- dustry and effective in preventing infec- tion viruses such as fl u and Norovirus by washing hands in a hygienic way (Wash hands by using alkaline electrolytic water first and then acidic electrolytic water for 15 seconds each), and started deliv- ery from March 2009. Electrolytic water is generated by electrolysis of thin salt solution, which is made by adding a small amount of salt to tap water. Acidic elec- trolytic water is used for washing and sterilizing hands and endoscopes in the medical fi eld. In the food area, it is used as food additives (as cleaning disinfectant of foods) with the name Hypochlorous acid water and authorized by Ministry of Health, Labour and Welfare. Also, the alkaline electrolytic water produced at the same time when acidic electrolytic water generate, has an effect to degrade and clean oil and fat content, and is used as a new aquatic cleaner for industrial purpose such as cleaning par ts. The“
α
-CUTE” designed with the concept of “Hygiene Controls begin and end with “Handwashing,” is expected to be used in various “Handwashing” scenes such as restaurants, schools, day care centers, pet shops, senior care facilities, company canteens and backyard (ware- house and kitchen) of grocery stores.Pay Station sup- porting Electronic Money
Filterless Mist Collector MJ-5
Equipped with Self-cleaning Function Electric Mist Collector EM-15SC
Water-saving type Automatic Floor Scrubber SE-500ss
SE-500ss cleaner
“α-CUTE” Compact Electrolytic Water Generator Current cleaner
Amano Europe Holdings, N.V.
The entry of the French work force management solution provider HOROQUARTZ into the AMANO group as from February 1st 2008 can be called suc- cessful. In 2009 we entered into the second phase of the post acquisition integration plan focusing on both the preservation of our leadership position in the French market and on exporting the successful busi- ness model to other countries.
This geographical expansion is supported by continuous innovation and development of the work force manage- ment suite for which a seamless integration of the several sub-components like planning, time management, job- costing, access control, IT security, and identity manage- ment modules is one of the key factors of success. Profound understanding of the customers needs, in his continuous search for optimization, but with respect of human values is essential in order to establish a long term fruitful relationship. Indeed it is the second pillar of our successful approach.
We have been setting up strategic partnerships and integrations with ERP vendors, system integrators and HR solution providers. Because of our global presence we also show the ability to handle international accounts. In the entry level market of time recorders and smaller time and attendance systems for mainly SME(small and medium-sized enterprise), the traditional market seg- ment of Amano in Europe, we launched new and in- novative solutions with iTR-10, an out of the box time and attendance terminal with embedded software, and iTime, a SaaS(Software as a Service) time and at- tendance solution, focusing on reducing the total cost of ownership and on a service based business model. Both solutions have proven to be a valid alternative in the low and middle end segment of the time and attendance market. Additionally these solutions offer the basis for a seamless migration to bigger systems whenever these needs might emerge.
Case study: International account Alstom. The group is structured around 2 major divi- sions: POWER which provides equipment for the energy production and TRANSPORT which is specialized in railway equipment like TGV. The group is present in 70 countries with about 60 000 employees.
In 2006 the Transport division decided to deploy the Horoquartz solutions on all its sites over several years to answer different needs:
• Personnel identifi cation and badge issuing with ‘Card manager‘ solution,
• Access control and visitor management with ‘Protec- sys‘ solution,
• Time and activity management with ‘eTemptation‘ solution.
In the mean time we have successfully installed these WFM(Work Force Management) solutions in several Alstom subsidiaries in North and South America, Eu- rope and China.
Amano launched a new Parking prod- uct in Europe
In Europe, the most innovative parking market in the world, Amano has been successfully searching to get a foothold in that market as Amano already has in the other continents.
To succeed in Europe, Amano developed a new parking product, called Xparc, in a joint venture with Axxteq GmbH. The product is based on a full network solution using barcode as basic card technology. In addition, the system is able to handle all other card technologies as option.
The system supports a full IP integration of video and intercom, which obliges the customer to use the Xparc system as a total management system of car parks. The modular structure of the Software and data exchange makes it possible to connect the parking management system with other systems like ERP systems, card facility systems etc. The Software has been developed to offer a solution for each cus- tomer in several market segments without customization.
Xparc was launched in 2008 in the Netherlands, a market with high requirements in the fi eld of integra- tion and use of video as supporting tool for managing the car park facility.
The team in the Netherlands showed the success of Xparc by winning 50% of the public tenders in the market. Also the introduction in other markets like Bel- gium was showing a good interest in the product and changed Amano’s image to a company with an innova- tive product with an exclusive design. The sales team in Belgium achieved with this product the objective of being back as preferred supplier of parking manage- ment systems in the Hospital and Hotel segment. Also, the introduction in the East European market shows Amano to be on the right track and to have a product ready for success in the near future.
Amano USA Holdings, Inc.
Amano USA Holdings, Inc. continues to pursue its goal “to achieve sustainable and profi table growth and be the very best in our chosen markets”. This goal requires constant innovation in the design and devel- opment of our products, and the provision of superior service to our customers.
Amano McGann, Inc. — Parking Continued growth in the parking division through acquisition and consolidation Amano McGann, Inc. (AMI) acquired ASSI Security (California) in February 2008 and merged it with its Yorba Linda, CA support center to create a direct sales and support business. In addition to this key ac- quisition, AMI integrated the parking operations of fi ve other Amano businesses in Atlanta, St. Louis, Cincin- nati, Connecticut and California.
Engineering milestone
AMI implemented its new hot staging operations in the Ohio factory. This initiative has signifi cantly improved the testing process as well as created a very positive image of our park- ing operations with Customers and consultants alike.
Product development
The new iParc Professional Parking Management Soft- ware was released. It provides web based reporting and parking facility management and allows owners and operators to consolidate staffi ng and manage mul- tiple facilities from a central or mobile location. The new look AMG Lane equipment was introduced at the International Parking Institute Show in May 2008. The new look is highlighted with blue LED illuminated issuing throat, stainless buttons, new display, stainless message plate that can be customized with facility name, integrated proxim- ity reader option and other innovative enhancements to be announced.
Success stories
AMI was awarded the contract to install and main- tain the parking revenue control systems for the Meadowlands Xanadu project, the largest retail and entertainment complex in the United States and the third largest in the world with 4,500,000 square feet of entertainment, sports, retail, offi ce, and hotel space. The project calls for 120+ lanes of parking control equipment, 50+ central pay stations, 30 fee+ fee computers along with revenue, count, event, hotel and valet system software and hardware components.
Other major installations include Indianapolis Airport, Colorado Springs Airport, Mount Auburn Hospital, Calhoun Square Expansion, University of St Thomas, Idaho Falls Airport,
Bangor International Airport, Water Garden Los Angeles, the Gates Foundation Project, Se- attle Airport Marriott, and more.
Amano Cincinnati, Inc. — Time Man- agement Solutions
Amano introduces its newest all-in-one fi ngerprint Time & Attendance system Amano Cincinnati, Inc. (ACI) released its first fin- gerprint Time & Attendance system, Time Guardian FPT-40, for small to large enterprises. This time clock system minimizes payroll, eliminates the cost of issuing and reissuing cards and badges, while reducing manual calculation errors. This economical biometric system also interfaces with most common payroll applications, thereby providing a complete turn-key solution to ac- curately and effi ciently manage your payroll. Amano Time Guardian receives great market reviews
ACI was awarded the Gold Developer status for Time Guardian’s integration with QuickBooks, possibly the most recognized small busi- ness accounting software. Time Guardian also received a
“spectacular” rating (9.0/10.0) from QuickBooks ProAdvi- sor for its performance. The ProAdvisor Program rates
XP-7900
are used by the private sector, government institutions and other industrial entities.
Amano Pioneer Eclipse — Cleaning Technologies New product launch
After the launch of the PowerStar Concrete and Stone Care Division late last year, APEC presented several new products at the World of Concrete Show to include the Mongrel and PowerStar CG1 Concrete Grinders along with their line of accessories, cleaners and degreasers.
Expansion of the EnviroStar green line The EnviroStar Green line was expanded with the ad- dition of BrightStar, a new fl oor coating with improved clarity, brightness and buff response. Also added is a low odor stripper recognized by DfE (Design for the Environment) program for Safer Chemistry and certi- fi ed by Green Seal.
Business expansion and major installations United Cleaning expanded the use of APEC machines with the purchase of 106 SpeedStar Burnishers for in- stallation in Loblaw Supermarkets. In addition, Loblaw Company in Canada has agreed to gradually convert 900+ Supermarkets to an EnviroStar Green Floorcare Program. Columbia University selected APEC Enviro- Star Green Systems for 10 additional buildings. Distributor programs for PowerStar products were installed at 21 Sherwin Williams stores, the largest producer of paints and coatings in the United States. APEC also successfully started a floorcare program with Brookshire Foods (44 Stores). Brookshire Gro- cery Co. has more than 150 supermarkets operating in Texas, Louisiana, Arkansas and Mississippi.
Amano Integrated Systems
Business development & industry recognition Amano Integrated Systems, Inc. (AIS) expanded its product portfolio by adding Fire Systems monitoring. A sales team member was added for the coverage of the New York area for access and multi-space meters. In addition, AIS was recognized by Notifier, a top manufacturer of Fire Alarm Systems, as Best Perform- ing Distributor for reaching $1M in sales.
Amano Time&Air Singapore Pte. Ltd.
EPS delivered to “Singapore American School” Amano Time&Air Singapore Pte. Ltd. (ATAS) won an order of EPS* (Electric Parking System) from “Singapore American School” in November 2008, and delivered the parking management system in December the same year.
The delivered system is with one entrance and one exit (1IN-1OUT) with separate lanes for entrance and exit. There are two EPS antennas installed at the en- trance to verify that an entering vehicle is a contracted vehicle. If it is a contracted vehicle, the entrance gate compatible software solution to help clients grow their
practice.
All new web-based dealer system ACI rolled out Phase II of its Dealer Portal to include the ordering of brochures and customized mailers directly online; the viewing of training schedules and events, product releases and the list of certifi ed techni- cians.
New packaging for the retail market
New packaging for its retail partners in the United States, Mexico and Canada were re- leased.
Amano Cincinnati, Inc. — Security Systems On the move
To accommodate the rapid growth in the Security Systems business, the Florida offi ce was relocated to a recently renovated 3,800 square feet location offer- ing larger conference and training space, more offi ce space, storage space for inventory.
New product development ACI successfully introduced the Nexus 220 System to United States, Canadian and Latin American markets. Nexus 220 is the next generation in access control which bridges the gap between small and medium ac- cess applications. The system is produced in the United States. Success stories
ConocoPhillips oil refi nery in Texas, one of the largest in North America, chose ACI for its Access Control System. The installation began with the deployment of Amano’s Digital Video Recorders for surveillance. The system will expand to support 200 cameras along with the existing AmanoNet access control system that already includes approximately 400 proximity card readers and 10 000 card holders.
ACI installed nearly 100 DVRs and some 1600 Amano branded cameras located in schools and administration facilities including approximately 37 buildings all across Albany, Georgia.
Other major installations include the Capitol One building in downtown Lake Charles, LA; Edmond Public Schools; Huntington College; HCA Hospitals in FL; the City of Greensboro; Youth Villages in Memphis; First Baptist Campus in Tennessee; The State of Maine Court System; Rockland County and Lawrence Air- port; Dongara Recycling Plant in Canada.
Expansion in Latin America
ACI signed a distribution contract with International Security & Trading (ISTC) to be one of our major dis- tributors in Latin America. ISTC specializes in offering complete security solutions to all of Latin and South American as well as the Caribbean markets, offering the latest in security technologies. Their product offer- ings feature over 120 of the industry’s leading manu- facturers providing CCTV Security System Equipment, Access Control Systems, Fire Alarm Systems, Burglar A l a r m , a n d L i f e S a f e t y Equipment. These systems
will open to allow it to enter. On the other hand, the exit is free to exit.
Before the system was installed, the guard had to man- ually identify that an entering vehicle was a contracted vehicle, which generated a congestion during morning and evening rush hours with vehicles for picking-up /dropping-off.
By implementing this EPS system, smooth entrance and exit became possible without any congestion. Moreover, they were able to reduce workforce at the entrance and exit, while ensuring good security to their great satisfaction.
Currently, “Singapore American School” is considering adding a similar system to their rear gate. This school is the largest internation-
al school in Singapore, and we expect that this will trigger other international schools to consider installing similar systems to their school as well.
* EPS: EPS (Electric Parking System) is a ticketless parking system based on ERP (Electric Road Pricing) hightway toll collection system in Sigapore.
Amano Malaysia Sdn. Bhd.
Situation of Parking Lot Business Amano Malaysia Sdn. Bhd. was established in 2005, separating from Amano Cleantech Malaysia Sdn. Bhd. (Specialized in sales/maintenance of environmental products), with objectives to strengthen the sales of Parking Systems and Time Information System in Malaysia. Amano Malaysia Sdn. Bhd. is in business of selling Parking Equipment, Time Information Systems in Malaysia, and expanding sales of parking equipment to areas including India and Australia.
In Southeast Asia including Malaysia, since public transportation infrastructure is still underdeveloped, they have no choice but to depend on private cars and motorcycles for transportation, which makes early- morning and evening commuter jam very common. It is not unusual that many large parking lots have over 1,000 spaces in Malaysia to accommodate a large num- ber of commuter/shopper vehicles.
Albeit presence of many European manufacturers, local manufacturers as well as many other parking operation companies in this dynamic competitive market, Amano receives high recognition for our high performance, good quality and stability and we are steadily growing in market shares by delivering systems that accept membership cards and parking fees tied to large shopping malls in Malaysia and Australia. We were also successful in airport projects both in New Deli and Mumbai in India, where it is recently developing rapidly. With the number of registered vehicles in the Asian markets sure
to increase, it is expected that the market will further expand with grow- i n g d e m a n d f o r parking equipment.
Yen in millions and U.S.dollars in thousands, except per share amounts - See Note 5 to the Consolidated Financial Statements.
Note: U.S.dollar amounts have been translated at the rate of ¥98 = US $1, the rate prevailing on March 31, 2009. -See Note 5 to the Consolidated Financial Statements.
AMANO Corporation and Subsidiaries
Financial Highlights
For the years ended March 31, 2009 and 2008.
2009 2008 2009
For the years ended March 31:
Net Sales ... Net Income ... Per share data (Yen and U.S. Dollars):
Net income per share (Basic) ... Cash dividends per common share ... At March 31:
Total assets ... Working capital ... Total net assets ... Sales by product:
Time information systems ... Time management equipment ... Parking systems ... Environmental systems ... Cleaning systems ...
'08 '06 '07
'05 '09
Net Sales Net Income Net Income Per Share
'08 '06 '07
'05 '09 '05 '06 '07 '08 '09
(Millions of Yen) (Millions of Yen) (Yen)
0 10000 20000 30000 40000 50000 60000 70000 80000 90000 100000
0 1000 2000 3000 4000 5000 6000 7000
0 10 20 30 40 50 60 70 80
¥91,812 2,214
¥28.14 30.00
¥102,192 32,456 75,395
¥19,848 5,361 38,968 19,066 8,569
¥93,351 6,104
¥75.96 34.00
¥116,951 36,321 86,307
¥16,266 6,628 40,062 20,808 9,587
Millions of Yen dollars (Note 5) Thousands of U.S.
$936,857 22,592
$0.287 0.306
$1,042,776 331,184 769,337
$202,530 54,704 397,633 194,551 87,439
AMANO Corporation and Subsidiaries
Consolidated Balance Sheets
As at March 31, 2009 and 2008.
ASSETS 2009 2008 2009
Current assets:
Cash and bank deposits ... Marketable securities ... Notes and accounts receivable:
Trade ... Less allowance for doubtful accounts ... Inventories... Deferred tax assets ... Other current assets ... Total current assets ... Property, plant and equipment at cost:
Buildings ... Machinery and equipment ... Lease assets ... Less accumulated depreciation ... Land ... Construction in progress ... Total property, plant and equipment ...
Intangible fi xed assets :
Goodwill ... Software ... Software in progress ... Other Intangible fi xed assets ... Total intangible fi xed assets ...
Investments and other assets:
Investments in unconsolidated subsidiaries and affi liates ... Investments in securities ... Leasehold deposits ... Deferred tax assets ... Other assets ... Less allowance for doubtful accounts ... Total investments and other assets ... Total ...
¥18,720 1,192
23,651 (199) 23,452 6,485 1,313 1,478 52,640
26,187 19,156 810 46,153 (31,720) 14,433 7,156 1,258 22,847
7,402 4,357 1,145 632 13,536
1,177 3,347 1,099 2,599 5,402 (455） 13,169
¥102,192
¥20,545 1,000 28,749 (150) 28,599 7,825 1,377 1,392 60,738
26,528 19,880
–
46,408 (31,121) 15,287 6,582 183 22,052
12,637 4,512 1,443 126 18,718
962 5,947 1,064 2,232 5,705 (467) 15,443 ¥116,951
$191,020 12,163
241,337 (2,031) 239,306 66,173 13,398 15,083 537,143
267,214 195,470 8,265 470,949 (323,673) 147,276 73,020 12,837 233,133
75,531 44,459 11,684 6,448 138,122
12,010 34,154 11,214 26,520 55,123 (4,643) 134,378
$1,042,776
Millions of Yen dollars (Note 5) Thousands of U.S.
The accompanying notes are an integral part of these statements.
LIABILITIES AND NET ASSETS 2009 2008 2009 Current liabilities:
Short-term bank loans ... Lease obligations ... Trade notes and accounts payable ... Accrued expenses ... Accrued income taxes ... Other current liabilities ... Total current liabilities ...
Long-term liabilities:
Accrued retirement benefi ts to employees ... Long-term accounts payable ... Lease obligations ... Accrued retirement benefi ts to directors and corporate auditors ... Deferred tax liabilities ... Other long-term liabilities ... Total long-term liabilities ...
Net assets:
Shareholders' equity: Common Stock
Authorized- 185,476,000 shares Issued:
March 31, 2009 - 81, 257, 829 shares ... March 31, 2008 - 81, 257, 829 shares ... Capital surplus ... Retained earnings ... Treasury stock at cost, 4,656,810 shares in 2009 and 866,647 shares in 2008 ...
Valuation and translation adjustments
Net unrealized gains (losses) on other securities .... Foreign currency translation adjustments ...
Minority interests in consolidated subsidiaries .... Total net assets ... Total ...
¥44 174 8,960 4,983 688 5,335 20,184
4,208 932 719 – 394 360 6,613
18,240 – 19,567 47,045
(3,715) 81,137
(304) (6,370) (6,674)
932
75,395
¥102,192
$449 1,776 91,429 50,847 7,020 54,438 205,959
42,939 9,510 7,337 – 4,020 3,674 67,480
186,122 – 199,663 480,052
(37,908) 827,929
(3,102) (65,000) (68,102)
9,510
769,337
$1,042,776
Millions of Yen dollars (Note 5) Thousands of U.S.
The accompanying notes are an integral part of these statements.
¥191 – 12,040 4,974 1,873 5,339 24,417
4,372 – – 715 726 414 6,227
– 18,240 19,567 49,225 (711) 86,321
66 (956) (890) 876 86,307 ¥116,951
AMANO Corporation and Subsidiaries
Consolidated Statements of In come
For the years ended March 31, 2009 and 2008.
2009 2008 2009
Net sales ... Cost of sales ... Gross profi t ... Selling, general and administrative expenses ...
Operating income ... Other income ( expenses ) :
Interest and dividend income ... Interest expense ... Equity in earnings of affi liates ... Foreign exchange losses ... Gain on abolishment of retirement benefi t plan ... Gain on sale of fi xed assets ... Loss on disposal of fi xed assets ... Loss on sale of fi xed assets ... Gain on sale of investments in securities ... Loss on sale of investments in securities ... Loss on sale of investments in consolidated subsidiaries Loss on write-down of investments in securities ... Other, net ... Income before income taxes and minority interests .... Income taxes :
Current ... Deferred ... Income before minority interests ... Minority interests in net income of consolidated subsidiaries
Net income
Net income per share, basic ... Cash dividends per common share ...
¥91,812 51,617 40,195 34,824 5,371
310 (38) 62 (655) 281 13 (132) (9) 13 (44)
– (576) 127 4,723
2,264 78 2,381 (167) ¥2,214
¥28.14 30.00
¥93,351 53,348 40,003 29,992 10,011
332 (58) 47
– – 15 (175) (12) – – (93) (30) 91 10,128
4,007 (151) 6,272 (168) ¥6,104
¥75.96 34.00
Millions of Yen dollars (Note 5) Thousands of U.S.
The accompanying notes are an integral part of these statements.
U.S. dollars (Note 5) Yen
$936,857 526,704 410,153 355,347 54,806
3,163 (388) 633 (6,684) 2,867 133 (1,347) (92) 133 (449) – (5,877) 1,296 48,194
23,102 796 24,296 (1,704) $22,592
$0.287 0.306
