Financial Overview

(in millions of JPY)

	FY2009	FY2008	Rate of change (%)	Factors
Overall
Sales	13,101	14,872	(11.9)	-Sales decreased as a result of lower production volumes at its customers, which are automakers.
Operating income	438	182	140.7	-Income increased as a result of the Company reducing all its costs.
Ordinary income	451	51	784.3
Current net income	388	(1,114)	-
Precision forged products
Sales	7,225	9,148	(21.0)	-
Screws
Sales	5,563	5,455	(2.0)	-

R&D Expenditure

(in thousands of JPY)

	FY2009	FY2008	FY2007
Overall	3,492	3,445	3,346
Precision forged products	2,935	1,749	1,378
Screws	557	1,696	1,968

Expenditures on precision forged products
-Synchronizer rings: To respond to the market needs, the Company works to develop lower cost products through reviewing materials and processes. It is also developing products produced under a new method handling friction to respond to the market needs.  

Expenditures on screws
-Screws: The Company works to develop route lock screws that are lower in cost and that improve locking performance (without damaging mating screws when being fastened) compared to existing screws with seal lock agents.

Technology Agreements Licensed-in

(As of Mar. 31, 2010)

Company	Country	Products under agreement	Details of agreement	Contract period
Japan Fastener Research & Engineering Co., Ltd.	Japan	Trilobular screws	1. Establishing the usage rights to trademark rights. 2.Consenting to both manufacturing and sales rights 3.Providing technical information	From Jan. 1, 2010 to Dec. 31, 2010
Acument Global Technologies, Inc.	Netherlands	Torx	1. Establishing the usage rights to trademark rights. 2.Consenting to both manufacturing and sales rights 3.Providing technical information	From Apr. 23, 2008 to Apr. 22, 2011
		Torx Plus		From Dec. 28, 1993 to Dec. 31, 2011
		Strux		From June 20, 2007 to June 19, 2010
Ejot GmbH & Co. KG, Industrial Fastener Division	Germany	PT screws Delta PT screws	1. Establishing the usage rights to trademark rights. 2.Consenting to both manufacturing and sales rights 3.Providing technical information	From June 21, 2004 to July 27, 2018
ITW Automotive C&F Japan	Japan	Locks	1. Establishing the usage rights to trademark rights. 2.Consenting to both manufacturing and sales rights 3.Providing technical information	From June 15, 2009 to June 14, 2010
MAThread, Inc.	USA	MATheard MATpoint	1. Establishing the usage rights to trademark rights. 2.Consenting to both manufacturing and sales rights 3.Providing technical information	From Oct. 30, 2009 to Oct. 29, 2024

Technology Agreements Licensed-out

(As of Mar. 31, 2010)

Company	Country	Products under agreement	Details of agreement	Contract period
Hexas Precision (Jiaxing) Co., Ltd.	China	Bolts	Technical assistance regarding production, application and sales	From Sep. 1, 2008 to Aug. 31, 2011

Capital Expenditure

(in millions of JPY)

	FY2009	FY2008	FY2007
Overall	105	979	783
Machinery	43	803	513
Precision forged products	16	270	178
Screws	26	219	148

-The Company invested mainly in machinery to maintain and update facilities.

Investments in screws
-The Company made a capital investment of 33 million yen to purchase a plant site that its subsidiary, Asahi Tekkojo Co., Ltd., had rented.