Financial Overview

(in millions of JPY)

	FY ended Mar. 31, 2012	FY ended Mar. 31, 2011	Rate of Change (%)	Factors
Overall
Sales	18,192	17,077	6.5	-
Operating income	630	238	164.7	-
Ordinary income	576	18	3,100.0	-
Current net income	(1,571)	62	-	-
Automotive components
Sales	17,699	16,096	10.0	-Sales rose year-on-year, thanks to two main factors: (1) the recovery in auto production after the horrific impact that Great East Japan Earthquake and the Flooding in Thailand had on business, and (2) the rise in consumer demand for autos that was the result of eco-car sales incentives.
Operating income	744	280	165.7	-The increase in assets and the successful cost cutting measures contributed to the rise in operating profit year-on-year.

New Company

-The Company announced that it will establish a new sales subsidiary Meiwa Industry (Thailand) Co., Ltd. in Thailand. The new company, which is capitalized at 2 million baht (approximately 5 million yen), will sell automotive interior components. The operations are scheduled to begin in April 2012. (From a press release on January 24, 2012)

Business Partnership

-The Company announced it had dissolved business and capital collaborations with Kaneka Corporation, a supplier of chemicals, as of May 13, 2011. The two companies had been engaged in joint development of automotive component materials. (From a press release on May 16, 2011)

Outlook for FY ending Mar. 31, 2013

(in millions of JPY)

	FY ending Mar. 31, 2013 (Forecast)	FY ended Mar. 31, 2012 (Actual Result)	Rate of Change (%)
Sales	18,800	18,192	3.3
Operating income	640	630	1.6
Ordinary income	600	576	4.2
Current net income	450	(1,571)	-

Major Objectives of the Mid-term Plan

-The Company announced its mid-term management plan, Long-term Vision 2020, that starts from April 2011 and ends in March 2014.

Performance Objectives
-As of the end of the fiscal year ending March 2014, the Company is aiming to achieve 19.0 billion yen in consolidated operating revenue and 900 million yen in operating profit.

Major Objectives of the Mid-term Plan
-Strengthening profitability to respond to a shrinking automotive market in Japan, by strictly adhering to thorough cost-cutting initiatives.
-Maintaining and even further increasing market share by speeding up the pace of developing new products and technologies.
-Aiming to meet the growing demand in the automotive markets in China and the ASEAN Region, in order to expand business on a global basis.
-Strengthening businesses in new fields such as the housing facilities and equipment field/building materials field.

R&D Expenditure

(in millions of JPY)

	FY ended Mar. 31, 2012	FY ended Mar. 31, 2011	FY ended Mar. 31, 2010
Overall	96	93	84
Automotive components	40	33	35

R&D Activities

Automotive components

• The Company will work on the following ideas in its R&D activities. It will be focusing on reducing costs, creating products that are both lighter in weight and more rigid, improving products to make them more commercially appealing, and making products that contribute to improving the environment.
• Improving the product performance of Meitone.
• Developing a light, highly durable, low-price deck board.
• Improving the product competitiveness of mats by lowering their prices.
• Cooperating with materials makers by conducting joint research on finding new applications for new materials and foaming technology.
• The Company is working to improve its technological capabilities in the area of recycling, as its work to reduce environmental impact.
• The Company is conducting research and development aimed at launching operations into new product sectors.
• The Company is strengthening its sales activities to expand sales outside Japan.

Product Development

GFPP sheets
-The Company added glass fiber to its existing PP base material for blow molded sheets.
-Reduction of materials thickness contributes to a 20 to 30 percent saving on product weight, while maintaining the strength level.

Reinforced urethane foam PP sheets with three-layer structure
-The Company developed a lightweight and high-strength material. Lightweight, foamed plastic core is sandwiched by reinforced PP sheets.
-Use of urethane foam as a core and adding glass fiber to conventional PP sheets further reduced product thickness, contributing to over a 25 to 40 percent saving on weight.

7th board (aluminum resin composite) jointly produced with Kobe Steel, Ltd.
-Stamping of 3-dimensional structure is possible.
-Reduces product weight by 80 percent compared with steel sheets, 60 percent compared with aluminum sheets.
-Offers superior vibration suppression property and heat insulating/shielding characteristics.

Capital Expenditure

(in millions of JPY)

	FY ended Mar. 31, 2012	FY ended Mar. 31, 2011	FY ended Mar. 31, 2010
Overall	914	1,469	926
Automotive components division	858	1,466	913

Automotive components division
-The Company mainly invested to acquire facilities and equipment for producing products in response to new program business it won. It also invested to increase its production capacity, rationalize operations, and renew facilities and equipment.

Planned Capital Investments

(As of Mar. 31, 2012)

Name	Location	Facilities	Total Planned Investment (in millions JPY)	Start	Planned completion
Gifu Plant	Gifu Pref., Japan	Buildings and facilities for R&D	270	Apr. 2011	Jun. 2012