Financial Overview

(in millions of JPY)

	FY2010	FY2009	Rate of Change (%)	Factors
Overall
Sales	26,836	17,710	51.5	-Consolidated sales for the entire year increased significantly over those recorded during the previous year because of the increase in demand from the truck industry mainly in developing countries and due to the eco-car sales incentives and tax reductions that were offered in Japan.  However, sales currently are stagnating, without any clear vision for the future, due to the drop in production volume by its customers in the truck, commercial, and construction-equipment industries as a result of electrical power shortages and disruptions in the supply chain that occurred after the Great East Japan Earthquake.
Operating income	2,044	60	3306.7	-Business operating profit grew as result of increased sales and more effective cost-cutting initiatives that were implemented company-wide.
Income from ordinary business activities	2,241	88	2701.3	-
Current net profit	1,470	(181)	-	-

>>>Financial Forecast for the Next Fiscal Year(Sales, Operating Income etc.)

R&D Expenditure

(in millions of JPY)

	FY2010	FY2009	FY2008
Overall	120	118	195

-The majority of R&D expenses for the year will be directed toward developing heat exchangers. R&D expenses totaled 120 million yen in Japan.

R&D Activities

-The Company is continuing to develop products that are in compliance with laws and regulations enacted worldwide, in addition to creating products that meet its customers’ needs, carrying out activities that that are eco-friendly and contribute to the enrichment of society.  
-The Company is developing EGR coolers, inter-coolers, and SCR (Selective Catalytic Reduction ) tanks that meet diesel-engine gas emission regulations and work to reduce fuel consumption. These products, which are lower in price, and offer higher performance and improved reliability, are being equipped on customers vehicles both in and outside Japan.
-The Company, in addition to developing technology on heat-transfer analysis, structural analysis, and fluidity analysis as fundamental technology, is developing systems based on heat management, working to build facilities that make it possible to create optimum systems proposals.
-The Company conducts market research into the needs of China and other developing countries, actively working to propose specifications for products designed to optimally suit the local needs.

Exported Technology Contracts

(As of Mar. 31, 2011)

Company name	Contract signed on	Contract period
Thai Radiator Mfg, Co., Ltd. (Thailand)	Manufacturing technology for radiators and fuel tanks	May 1, 1982 - Apr. 30, 2011
PT. Selamat Sempurna (Indonesia)	Manufacturing technology for radiators and fuel tanks	Apr. 11, 1979 - Apr. 10, 2011

Capital Investment

(in millions of JPY)

	FY2010	FY2009	FY2008
Overall	590	1,044	2,089

-In the Japan and China regions, the Company made capital investments in production facilities manufacturing radiators, new facilities to produce EGR coolers, upgrading and renewing current facilities while improving productivity. It invested 590 million yen in total, allotting 492 million yen to Japan and 129 million to China, eliminating facilities and equipment worth 31 million yen (minus) on a consolidated basis.

New Facilities

(As of Mar. 31, 2011)

Company name	Location	Purpose	Planned investment (in million JPY)	Starting Month	Completing Month	Capacity increase on completion
The Company	Kanagawa Pref. Japan	Installing and upgrading equipment at manufacturing facility producing Press Dies.	287	Apr. 2011	Mar. 2012	-