Consolidated Statements of Operations JS Group Corporation and Consolidated Subsidiaries  Years Ended March 31, 2010 and 2009 Millions of Yen Thousands of U.S. Dollars (Note 1) 2010 2009 2010 Net Sales ¥982,607 ¥1,046,854 $10,561,119 Cost of Sales  (Note 14) 683,573 741,067 7,347,077 Gross profit 299,034 305,787 3,214,042 Selling, General and Administrative Expenses  (Note 14) 273,050 280,184 2,934,768 Operating income 25,984 25,603 279,274 Other Income (Expenses): Interest and dividend income 2,505 3,110 26,920 Interest expense (3,885) (3,575) (41,761) Foreign exchange loss (445) (3,908) (4,782) Rent income 5,730 5,983 61,583 Cost of lease revenue (4,500) (4,706) (48,366) Amortization of negative goodwill 668 441 7,184 Equity in earnings of associated company 1,142 12,279 Gain (loss) on valuation of derivatives (Note 18) 766 (1,294) 8,230 Gain on sales of property, plant and equipment 637 111 6,847 Loss on sales and disposals of property, plant and equipment (2,482) (1,930) (26,675) Loss on valuation of stocks of subsidiaries and associated companies (2,553) (139) (27,435) Loss on impairment of long-lived assets (Note 5) (15,122) (6,623) (162,536) Loss on factory restructurings (4,153) (785) (44,632) Provision for doubtful accounts (5,095) Gain (loss) on transition to defined contribution pension plans from defined benefit plans 125 (757) 1,346 Loss on valuation of investment securities (Note 7) (529) (331) (5,683) Other—net (25) 495 (268) Other expenses—net (22,121) (19,003) (237,749) Income Before Income Taxes and Minority Interests 3,863 6,600 41,525 Income Taxes  (Note 13) : Current 10,109 8,438 108,648 Deferred (765) (1,770) (8,218) Total income taxes 9,344 6,668 100,430 Minority Interests (149) (543) (1,601) Net Income (Loss) ¥ (5,332) ¥ 475 $ (57,304) Yen U.S. Dollars 2010 2009 2010 Per Share of Common Stock  (Notes 2.u and 20) : Basic net income (loss) ¥ (19.12) ¥ 1.70 $ (0.21) Cash dividends applicable to the year 40.00 40.00 0.43 See notes to consolidated financial statements. JS Group Corporation Annual Report 2010 60