Despite a harsh earnings environment in which drug price revisions to be implemented are leaving domestic market trends uncertain and the yen is appreciating ever more on foreign exchange markets, among others, the Company expects overseas subsidiaries to contribute to sales and earnings, therefore, no changes have been made to previously released net sales and operating income forecasts.
For non-operating income, regarding the gain/loss on valuation of derivatives for Ranbaxy, the valuation loss recorded during the first quarter for that company (January to March 2009) was previously factored into full-year forecasts, however, a calculation made based on the foreign exchange rate at the end of December 2009, that company's fiscal year-end, led to expectations that the loss would turn to a gain due to a change in the exchange rate for the Indian rupee vis-a-vis the US dollar. Therefore, considering other factors as well, the ordinary income and net income forecasts have been revised upwards.

The forecasted statement shown above are based on information currently available and certain assumptions that the Company regards as reasonable. Actual performance and other results may differ materially from these forecasted figures due to various factors.

End