Consolidated Financial Highlights JS Group Corporation and Consolidated Subsidiaries Notes: 1. The U.S. dollar amounts have been translated, for convenience only, at ¥93.04=US$1, the rate of exchange at March 31, 2010. 2. “Total equity,” “Equity ratio,” and “Total equity per share” as of March 31, 2006 are the figures of previous “Shareholders’ equity,” “Shareholders’ equity ratio,” and “Sharehold- ers’ equity per share.” “ROE” at March 31, 2006 is the figure calculated based on the previous consolidated financial statement regulations. 3. All amounts less than one hundred million yen or one million U.S. dollars have been rounded to the nearest whole number. Performance Highlights Net Sales Operating Income and Operating  Income Ratio Net Loss JS Group Corporation Annual Report 2010 08 Billions of Yen Millions of  U.S. Dollars For the years ended March 31 2006 2007 2008 2009 2010 2010 Results of Operations Net sales ¥ 1,057.7 ¥ 1,124.1 ¥ 1,103.8 ¥ 1,046.9 ¥ 982.6 $10,561 Operating income 43.8 57.0 35.7 25.6 26.0 279 Recurring profit 58.7 67.5 37.7 22.2 27.9 299 Net income (loss) 22.1 35.2 17.7 0.5 (5.3) (57) Cash flows from operating activities 31.4 61.7 60.2 63.9 68.1 732 Research and development expenses 16.2 15.4 15.7 16.0 14.8 159 Capital expenditures 41.7 37.5 35.4 35.1 30.8 332 Financial Position Total assets 1,086.0 1,149.7 1,061.0 1,048.8 1,033.5 11,108 Total equity 561.4 594.3 556.1 533.1 516.3 5,549 Interest-bearing debt 224.1 225.9 229.6 263.8 257.5 2,767 Per Share Data  (Yen/U.S. Dollars) Net income (loss) per share 75.80 119.64 61.20 1.70 (19.12) (0.21) Total equity per share 1,913.12 1,998.58 1,983.79 1,903.69 1,842.78 19.81 Dividends per share 40 40 40 40 40 0.43 Key Ratios ROE (%) 4.1 6.1 3.1 0.1 (1.0) ROA (%) 2.1 3.1 1.6 0.04 (0.5) Operating income ratio (%) 4.1 5.1 3.2 2.4 2.6 Total assets turnover (times) 1.0 1.0 1.0 1.0 0.9 Equity ratio (%) 51.7 51.4 52.1 50.6 49.7 Dividend payout ratio (%) 52.8 33.4 65.4 2,352.9 — Number of employees 30,252 31,212 31,838 32,700 35,976 Overseas business growth and new  consolidations lifted sales. However,  overall net sales declined 6.1% year on  year due to the large impact of lower  new housing starts. Despite the large drop in net sales,  operating income rose 1.5%, the result  of progress with efforts to strengthen  cost competitiveness and reduce SG&A  expenses. The operating income ratio  improved 0.2 of a percentage point. We recorded a net loss of ¥5.3 billion,  compared with net income of ¥0.5   billion in the previous fiscal year. This  result reflected extraordinary items total- ing ¥24.8 billion, including impairment  losses of ¥15.1 billion and loss on   factory restructurings of ¥4.2 billion.