Daiwa Securities Group Annual Report 2012 Consolidated Statements of Changes in Net Assets See accompanying notes. DAIWA SECURITIES GROUP INC. Years ended March 31, 2012 and 2011 Millions of yen Owners’ equity Accumulated other comprehensive income Number of  shares of  common stock  (thousands) Common stock Capital surplus Retained  earnings Treasury stock  at cost Valuation   difference on  available-for-sale  securities Deferred  gains or  losses on  hedges Translation  adjustment Stock  subscription  rights Minority  interests Balance at March 31, 2010 1,749,359  ¥247,385  ¥230,594  ¥452,456  ¥ (690) ¥20,366  ¥ 316  ¥(23,263) ¥3,242  ¥ 87,123 Issuance of new stocks 20 12 12 Cash dividends paid  (19,233) Net loss (37,332) Change in treasury stock, net 26 (26,365) Decrease due to exclusion of a  consolidated subsidiary 95 Change of scope of equity method (45) Net changes of items other than  owners’ equity 2,769 (231) (12,749) 1,144 (4,043) Balance at March 31, 2011 1,749,379 247,397 230,632 395,751 (27,055) 23,135 85 (36,012) 4,386 83,080 Cash dividends paid  (10,281) Net loss (39,435) Change in treasury stock, net 23 4,374 Decrease due to exclusion of a  consolidated subsidiary (52) Net changes of items other than  owners’ equity 204 (1,761) (4,506) 1,043 80,694 Balance at March 31, 2012 1,749,379 ¥247,397 ¥230,655 ¥345,983 ¥(22,681) ¥23,339 ¥(1,676) ¥(40,518) ¥5,429 ¥163,774 Thousands of U.S. dollars (Note 1) Owners’ equity Accumulated other comprehensive income Common stock Capital surplus Retained  earnings Treasury stock  at cost Valuation   difference on  available-for-sale  securities Deferred  gains or  losses on  hedges Translation  adjustment Stock  subscription  rights Minority  interests Balance at March 31, 2011 $3,017,037 $2,812,585 $4,826,231 $(329,939) $282,134 $ 1,037 $(439,171) $53,488 $1,013,171 Cash dividends paid  (125,378) Net loss (480,915) Change in treasury stock, net 281 53,341 Decrease due to exclusion of a   consolidated subsidiary (633) Net changes of items other than  owners’ equity 2,488 (21,476) (54,951) 12,719 984,073 Balance at March 31, 2012 $3,017,037 $2,812,866 $4,219,305 $(276,598) $284,622 $(20,439) $(494,122) $66,207 $1,997,244 64 Other Information Financial Section Management Systems & CSR Business Strategy Executive Messages Corporate Summary