In this fiscal year, we regret to announce that we had to revise the performance forecast set at the beginning of the term and issue a downward revision.

We sincerely apologize for the concern and inconvenience caused to our shareholders, customers, business partners, employees and their families, and many others who support us.

As we have reported, unfortunately, we were unable to achieve an increase in the first quarter.
The main reason for this is that we were unable to recover the lost sales of FPD (Flat Panel Display) related products, especially hard coat films.
As we have explained since the beginning of the term, we have spent the past few years preparing the environment as a technology development company and are ready for an upward trend. We believe in ourselves and will strive for recovery.

The main measures we are currently working on include strengthening sales of FPD-related products that lost sales, achieving early profitability for overseas affiliates that are finally seeing a path forward, enhancing the development of the geographic information-related business that has emerged from a 20-year slump, launching new products other than FPD-related products, and expanding the communication design business as a new business.

We view this downward revision of the performance forecast as a necessary trial towards becoming a 100-year continuous company, and we will work together as a company to strive for recovery.

We sincerely ask for your continued guidance and encouragement.
We will continue to steadily walk the path we should take as a technology development company.

July 30, 2014
KIMOTO Co., Ltd.
President and Representative Director Kazunobu Kimoto