The Japan Research Institute, Limited (JRI),  an intelligence engineering company, provides  high value-added information system, con- sultation and think-tank services. In addition  to providing financial consultation services  on management reform, IT, the planning and  development of strategic information systems  and outsourcing, it also conducts diverse  activities including domestic and international  economic research and analysis, policy rec- ommendations and business incubation. SMBC Friend Securities Co., Ltd. is a secu- rities company with one of the best financial  foundations and efficient operations in the  industry, and provides a full range of securi- ties services focusing mainly on retail clients.  SMBC Friend Securities provides highly effi- cient nationwide network operations offering  services closely tailored to the needs of its  clients and the communities while operating  a new business model of online financial con- sulting services. SMBC Friend Securities will continue to  develop consistently toward its goal of becom- ing “one of the leading Japanese securities  companies in the retail securities market,”  offering high-quality products and services  accommodating the needs of its clients and  building trust for its clients. SMBC Nikko Securities Inc. (formerly Nikko  Cordial Securities Inc.), which was established  in July 1918, has developed solid relation- ships of trust with its corporate clients over  the last nine decades. It became a member  of the SMFG Group in October 2009, bring- ing its accumulated knowledge and sub- stantial client base to closely work with and  leverage the extensive service network and  business relations of SMBC. In April 2011,  its corporate name was changed to SMBC  Nikko Securities from Nikko Cordial Securities  in order to define its status as the principal  securities company of the Group. As such,  SMBC Nikko Securities provides comprehen- sive and highly sophisticated financial services  by consistently working closely with SMBC in  order to pursue comprehensive securities and  investment banking businesses. SMFG  2011 18 www.jri.co.jp/english/ Financial Information  (Years ended March 31) www.smbc-friend.co.jp (Japanese only) Financial Information  (Years ended March 31) www.smbcnikko.co.jp/en Credit Ratings  (as of June 30, 2011) Financial Information  (Years ended March 31) *1 Formerly Nikko Cordial Securities (1H) *2 Nikko Cordial Securities, June 2009 (expenses related  to preparatory costs prior to the start of operations were  posted during the period from June to September) *3 Formerly Nikko Cordial Securities Billions of yen 2010 2009 2011 *1 *2 *3 For the Year: Operating revenue ......... ¥218.6 ¥85.6 ¥104.9 ¥164.1 Operating income .......... 38.5 20.9  23.5  19.6 Long-term Short-term Moody’s Aa3 P–1 Standard & Poor’s A+ A–1 R&I A+ a–1 JCR AA– — Billions of yen 2011 2010 2009 2008 For the Year: Operating revenue ... ¥53.2 ¥67.4 ¥43.2 ¥60.5 Operating profit ...... 10.2 22.7 2.3 19.0 Billions of yen 2011 2010 2009 2008 For the Year: Operating revenue .... ¥84.8 ¥81.7 ¥88.0 ¥88.1 Operating profit ........ 1.5 0.9 1.0 3.8 Company Name: The Japan Research Institute,  Limited Business Profile: Systems engineering, data  processing, management  consulting, think-tank services Establishment:  November 1, 2002 Head Office: Tokyo Head Office: 16, Ichibancho,   Chiyoda-ku, Tokyo Osaka Head Office: 2-2-4, Tosabori,  Nishi-ku, Osaka President & CEO:  Yasuyuki Kimoto Number of Employees: 2,101 Company Name: SMBC Friend Securities Co., Ltd. Business Profile: Securities services Establishment:  March 2, 1948 Head Office:   7-12, Kabuto-cho, Nihonbashi,  Chuo-ku, Tokyo President & CEO:  Osamu Endo Number of Employees: 2,034 Company Name: SMBC Nikko Securities Inc.  (name changed on April 1, 2011) Business Profile: Securities services Establishment: June 15, 2009 Head Office:   3-1, Marunouchi 3-chome,  Chiyoda-ku, Tokyo President & CEO:  Eiji Watanabe Number of Employees: 6,975 SMBC Nikko Securities strives to become  the leading securities and investment banking  company in Japan.