This time, we regret to announce yet another downward revision. We sincerely apologize.

The reason for this is the depletion of deferred tax assets.
During the downward revision this February, the expected reversal of deferred tax assets was 1.88 billion yen. By forecasting a break-even performance from the fiscal year ending March 2017 onwards, it further increased by 4.11 billion yen, totaling 5.99 billion yen, which was below the previously announced forecast.
We apologize again.
Furthermore, the sales, operating profit, and ordinary profit forecasts announced previously have progressed as expected.

We plan to announce our mid-term management plan this month (scheduled for May 17) and will take three months to explain KIMOTO's future to our shareholders, business partners, customers, employees, and their families, hoping to gain their understanding.

The entire company is united, and everyone is working diligently.

We kindly ask for your continued support as KIMOTO fans.

May 12, 2016
KIMOTO Co., Ltd.
President and Representative Director Kazunobu Kimoto