Article 1(1)From among finance and accounting documents to be submitted pursuant to the provisions of Article 5, Article 7, paragraph (1), Article 9, paragraph (1), Article 10, paragraph (1), or Article 24, paragraph (1) or (3) of the Financial Instruments and Exchange Act (Act No. 25 of 1948; hereinafter referred to as the "Act") (including the cases where any of these provisions are applied mutatis mutandis pursuant to Article 24-2, paragraph (1) of the Act and cases where these provisions are applied mutatis mutandis, pursuant to Article 27 of the Act, to a corporation which has been designated by the Commissioner of the Financial Services Agency pursuant to the provisions of Article 1, paragraph (1) of the Regulation on Terminology, Forms, and Preparation Methods of Financial Statements (Ministry of Finance Order No. 59 of 1963; hereinafter referred to as the "Regulation on Financial Statements") (hereinafter referred to as a "designated corporation")), the terminology, forms, and preparation methods of consolidated financial statements (meaning consolidated balance sheets, consolidated profit and loss statements, consolidated statements of comprehensive income, consolidated statements of changes in net assets, consolidated cash flow statements, and consolidated supplementary schedules or, if they are prepared pursuant to any designated international accounting standards (meaning any designated international accounting standards prescribed in Article 93; hereinafter the same applies in this paragraph and item (ii) of the following Article) pursuant to the provisions of Article 93 or if they are prepared pursuant to Japan's modified international standards (meaning Japan's modified international standards prescribed in Article 94; hereinafter the same applies in this paragraph and Article 1-3, item (ii)) pursuant to the provisions of Article 94, the equivalents to consolidated balance sheets, consolidated profit and loss statements, consolidated statements of comprehensive income, consolidated statements of changes in net assets and consolidated cash flow statements which are required to be prepared pursuant to the relevant designated international accounting standards or the relevant Japan's modified international standards; the same applies hereinafter) are governed by the provisions of this Regulation, except for those for which the provisions of Article 1-3 of the Regulation on Financial Statements are applied, and any particulars that are not provided for under this Regulation are following the business accounting standards generally accepted as fair and appropriate.

(2)The business accounting standards published by the Business Accounting Council specified in Article 24, paragraph (1) of the Cabinet Order for Organization of the Financial Services Agency (Cabinet Order No. 392 of 1998) are to fall under the business accounting standards generally accepted as fair and appropriate specified in the preceding paragraph.

(3)Those from among the business accounting standards prepared and published by organizations that research, study, and prepare business accounting standards on a regular basis, and that satisfy all of the following requirements (referred to as "specified organizations" in Article 94), which are specified by the Commissioner of the Financial Services Agency as those that are found to have been prepared and published under the fair and proper procedures and are expected to be generally accepted as fair and appropriate business accounting standards are to fall under the business accounting standards generally accepted as fair and appropriate specified in paragraph (1):

Article 1-2The terminology, forms, and preparation methods of consolidated financial statements that are to be submitted by an issuer (meaning an issuer specified in Article 2, paragraph (5) of the Act; the same applies in the following Article) of the securities set forth in paragraph (1), item (v) or (ix) of that Article, which is a stock company satisfying all of the following requirements (hereinafter referred to as a "specified company complying with any designated international accounting standards") may be prepared in accordance with the provisions of Chapter VII, Section 1:

Article 1-3The terminology, forms and preparation methods of consolidated financial statements that are to be submitted by an issuer of the securities set forth in Article 2, paragraph (1), item (v) or (ix) of the Act, which is a stock company satisfying all of the following requirements (hereinafter referred to as a "specified company complying with Japan's modified international standards") may be prepared in accordance with the provisions of Chapter VII, Section 2:

Article 2In this Regulation, the meanings of the terms set forth in the following items are as prescribed respectively in those items:

Article 3(1)A company submitting consolidated financial statements is to specify the last day of its fiscal year as its consolidated closing date, and prepare consolidated financial statements based on the relevant date.

(2)In the case referred to in the preceding paragraph, the period for which consolidated financial statements are prepared (hereinafter referred to as the "consolidated fiscal year") is the period from the day following the consolidated closing date preceding the relevant consolidated closing date to the relevant consolidated closing date.

(3)If the consolidated closing date is changed, a statement to that effect, the reason for the change, and the period of the consolidated fiscal year due to the change must be set down in the notes in the consolidated financial statements.

Article 4(1)The terms, forms and methods used for preparation of consolidated financial statements to be submitted pursuant to the provisions of the Act must comply with the following standards:

(2)The same methods must be used for preparation of the same contents to be included in consolidated financial statements, throughout each consolidated fiscal year for which consolidated financial statements are prepared; provided, however, that this does not apply if there is justifiable grounds to change the methods.

Article 5(1)A company submitting consolidated financial statements must include all of its subsidiary companies in the scope of consolidation; provided, however, that a subsidiary company falling under any of the following items must not be included in the scope of consolidation:

(2)Any subsidiary company which should be included in the scope of consolidation pursuant to the provisions of the preceding paragraph that is immaterial in terms of its assets, net sales (including the revenues from services ; the same applies hereinafter), profit or loss, retained earnings and cash flows and any other items, to the extent that its exclusion from the scope of consolidation would not prevent reasonable determination on the financial position, financial performance and cash flow situation of the business group, may be excluded from the scope of consolidation.

(3)If there is any material contents concerning the financial position, financial performance or cash flow situation of a company, etc. set forth as follows, which is found to have exert influence on the determination on the financial position, financial performance and cash flow situation of the business group, the details thereof must be set down in the notes in the consolidated financial statements:

Article 6A consolidated balance sheet must be prepared based on the amount of assets, liabilities, and net assets recorded on the balance sheets of consolidated companies for the period corresponding to the consolidated fiscal year of the company submitting consolidated financial statements (with regard to any relevant consolidated subsidiary company which settles its accounts under Article 12, paragraph (1), the balance sheet pertaining to the settlement of accounts).

Article 7A consolidated balance sheet must be prepared based on the amount of revenues, expenses, etc. reported on the profits and loss statements of consolidated companies for the period corresponding to the consolidated fiscal year of the company submitting consolidated financial statements (with regard to any relevant consolidated subsidiary company which settles its accounts under Article 12, paragraph (1), the profit and loss statement pertaining to the settlement of accounts).

Article 7-2A consolidated statement of comprehensive income must be prepared based on the amount of the net income for the period and other comprehensive income of consolidated companies for the period corresponding to the consolidated fiscal year of the company submitting consolidated financial statements.

Article 8A consolidated statement of changes in net assets must be prepared based on the amounts of increases or decreases in net assets of consolidated companies for the period corresponding to the consolidated fiscal year of the company submitting consolidated financial statements.

Article 8-2A consolidated cash flow statement must be prepared based on the amounts recorded on the cash flow statements of consolidated companies for the period corresponding to the consolidated fiscal year of the company submitting consolidated financial statements (with regard to any relevant consolidated subsidiary company which settles its accounts under Article 12, paragraph (1), the cash flow statement pertaining to the settlement of accounts).

Article 8-3consolidated financial statements for the current consolidated fiscal year must be prepared by including, being a part of the consolidated financial statements, comparative information (meaning the contents pertaining to the previous consolidated fiscal year corresponding to the contents recorded in the consolidated financial statements (excluding the consolidated supplementary schedules) for the current consolidated fiscal year).

Article 9When preparing consolidated financial statements, assets and liabilities of consolidated subsidiary companies must be valuated, investments by the company submitting consolidated financial statements in its consolidated subsidiary companies must be offset against the corresponding equity in the consolidated subsidiary companies, and any other necessary items that are transacted between the consolidated companies must be offset.

Article 10(1)Investments in any non-consolidated subsidiary company or affiliated company must be recorded on a consolidated balance sheet by indicating the values calculated by using the equity method; provided, however, that the equity method does not apply to investments in a company that falls under any of the following items:

(2)Any non-consolidated subsidiary company or affiliated company to which the equity method should be applied pursuant to the provisions of the preceding paragraph, which does not, in terms of its profit or loss, retained earnings and any other items, have a significant influence on consolidated financial statements even if that company is excluded from the companies for which the equity method is applicable, may be excluded from the companies for which the equity method is applicable.

Article 11With regard to consolidated companies' corporation tax and any other taxes that are imposed on amounts related to profits as the tax base (hereinafter referred to as "corporation tax, etc."), consolidated financial statements must be prepared by using tax effect accounting (meaning an accounting procedure which, when there are differences between the amount of assets and liabilities recorded on the consolidated balance sheet and the amount of assets and liabilities which is calculated based on the taxable income, reasonably matches the amount of net income for the period before the corporation tax, etc. is deducted with the applicable amount of corporation tax, etc. through appropriate interperiod allocation of the amount of corporation tax, etc. pertaining to the differences; the same applies hereinafter).

Article 12(1)Any consolidated subsidiary company whose last day of its fiscal year is different from the consolidated closing date must, on the consolidated closing date, settle its accounts necessary for preparing financial statements that serve as the basis for preparation of consolidated financial statements; provided, however, that this does not apply if the length of time between the last day of the fiscal year of the consolidated subsidiary company and the consolidated closing date is not more than three months, and consolidated financial statements are prepared based on financial statements for that fiscal year.

(2)When preparing consolidated financial statements pursuant to the provisions of the proviso to the preceding paragraph, any material discrepancy in accounting records pertaining to the transactions between consolidated companies that result from the fact that the last day of the fiscal year of the consolidated subsidiary company is different from the consolidated closing date, must be adjusted.

Article 13(1)Particulars for the scope of consolidation and other material particulars that serve as the basis for preparing consolidated financial statements must be set down in the notes separately for the following particulars:

(2)With regard to the particulars for the scope of consolidation set forth in item (i) of the preceding paragraph, the following particulars are to be included; provided, however, that, with regard to the particulars set forth in item (i), if those particulars are recorded in the securities registration statement and the annual securities report, in a section other than consolidated financial statements, the those particulars may be omitted by making a statement to that effect:

(3)With regard to the particulars for the application of the equity method set forth in paragraph (1) (ii), the following particulars are to be provided:

(4)With regard to the particulars for the fiscal year, etc. of consolidated subsidiary companies set forth in paragraph (1), item (iii), if there is any consolidated subsidiary company whose last day of its fiscal year is different from the consolidated closing date, the details thereof and whether or not the consolidated subsidiary company has settled its accounts for preparing financial statements that serve as the basis for preparation of consolidated financial statements are to be stated.

(5)With regard to the particulars for accounting policies set forth in paragraph (1), item (iv), the particulars that serve as the basis for preparation of consolidated financial statements that contribute to the understanding of investors and other users of consolidated financial statements are to be stated.

Article 13-2The provisions of Article 8-2-2 (excluding paragraphs (3) and (4)) of the Regulation on Financial Statements apply mutatis mutandis to material accounting estimates. In this case, the terms "fiscal year" and "financial statements" in paragraph (1) of that Article are deemed to be replaced with "consolidated fiscal year" and "consolidated financial statements" respectively.

Article 14If the scope of consolidation or the scope of application of the equity method among the material particulars that serve as the basis for preparation of consolidated financial statements has been changed, a statement to that effect and the reason for the change must be set down in the notes:

Article 14-2The provisions of Article 8-3 (excluding the proviso to paragraph (1), the proviso to paragraph (2), and the proviso to paragraph (3)) of the Regulation on Financial Statements apply mutatis mutandis to the case where a change in accounting policies is made due to the revision, etc. of accounting standards, etc. (meaning the accounting standards, etc. prescribed in the main clause of paragraph (1) of that Article; the same applies hereinafter). In this case, the terms "fiscal year" and "financial statements" in Article 8-3 of the Regulation on Financial Statements are deemed to be replaced with "consolidated fiscal year" and "consolidated financial statements" respectively.

Article 14-3The provisions of Article 8-3-2 (excluding the proviso to paragraph (1) and the proviso to paragraph (2)) of the Regulation on Financial Statements apply mutatis mutandis to the case where a change in accounting policies is made based on justifiable grounds other than a revision, etc. of accounting standards, etc. In this case, the terms "fiscal year" and "financial statements" in that Article are deemed to be replaced with "consolidated fiscal year" and "consolidated financial statements" respectively.

Article 14-4The provisions of Article 8-3-3, paragraphs (1) and (2) of the Regulation of Financial Statements apply mutatis mutandis to the case where there is any accounting standard which is not applied among the accounting standards, etc. which have already been published. In this case, the term "financial statements" in paragraph (1), item (iii) of that Article is deemed to be replaced with "consolidated financial statements".

Article 14-5The provisions of Article 8-3-4 (excluding paragraph (4)) of the Regulation on Financial Statements apply mutatis mutandis to the case where a change in presentation method is made. In this case, the terms "financial statements" and "fiscal year" in that Article are deemed to be replaced with "consolidated financial statements" and "consolidated fiscal year" respectively.

Article 14-6The provisions of Article 8-3-5 of the Regulation on Financial Statements apply mutatis mutandis to the case where a change in accounting estimates is made. In this case, the term "financial statements" in item (ii) of that Article is deemed to be replaced with "consolidated financial statements" and the term "fiscal year" in item (iii) of that Article is deemed to be replaced with "consolidated fiscal year".

Article 14-7The provisions of Article 8-3-6 of the Regulation on Financial Statements apply mutatis mutandis to the case where it is difficult to distinguish a change in accounting policies from a change in accounting estimates. In this case, the term "financial statements" in item (iii) of that Article is deemed to be replaced with "consolidated financial statements" and the term "fiscal year" in item (iv) of that Article is deemed to be replaced with "consolidated fiscal year".

Article 14-8The provisions of Article 8-3-7 of the Regulation on Financial Statements apply mutatis mutandis to the case where a restatement is made. In this case, the terms "financial statements" and "fiscal year" in that Article are deemed to be replaced with "consolidated financial Statements" and "consolidated fiscal year" respectively.

Article 14-9If any event that has a significant influence on the financial position, financial performance and cash flow situation of consolidated companies, as well as non-consolidated subsidiary companies and affiliated companies to which the equity method is applied, in and after the following consolidated fiscal year should occur after the consolidated closing date hereinafter referred to as "material post-balance sheet events"), those events must be set down in the notes; provided, however, that, with regard to any subsidiary company or affiliated company whose last day of its fiscal year is different from the consolidated closing date, the events that occur after the balance sheet date of the subsidiary company or affiliated company must be set down in the notes.

Article 15In addition to the notes particularly specified by this Regulation, if there are any particulars that are found to be necessary for interested parties of the company submitting consolidated financial statements to make adequate determination on the financial position, financial performance and cash flow situation of the business group, those particulars must be set down in the notes.

Article 15-2(1)With regard to information on an enterprise unit (hereinafter referred to as a "reporting segment") (hereinafter referred to as "segment information"), the following particulars must be set down in the notes as specified in Form No. 1:

(2)With regard to information related to a reporting segment (referred to as "related information" in Form No. 2), the following particulars must be set down in the notes as specified in that form:

(3)If the following items are recorded on the consolidated balance sheet or the consolidated profit and loss statement, the outline of each reporting segment must be set down in the notes as specified in Form No. 3:

(4)Notwithstanding the provisions of the preceding three paragraphs, notes on immaterial particulars may be omitted.

Article 15-3The provisions of Article 8-6 (excluding paragraph (4)) of the Regulation on Financial Statements apply mutatis mutandis to lease transactions. In this case, the term "company submitting financial statements" in paragraphs (1) and (3) of that Article is deemed to be replaced with "consolidated companies", the term "as of the end of the current fiscal year" in paragraph (1), item (i), (a), and item (ii) of that paragraph, and paragraph (2) of that Article is deemed to be replaced with "as of the end of the current consolidated fiscal year", the term "balance sheet date" in paragraph (1), item (ii), (b) of that Article is deemed to be replaced with "consolidated closing date", and the term "balance sheet" in paragraph (3) of that Article is deemed to be replaced with "consolidated balance sheet".

Article 15-4The term "related party" as used in this Regulation means any of the following persons:

Article 15-4-2(1)If a company submitting consolidated financial statements has business transactions with any related party (including the business transactions that the related party has with the company submitting consolidated financial statements for the benefit of a third party and any business transactions made between the company submitting consolidated financial statements and a third party where the related party that has its significant influence on the company submitting consolidated financial statements with regard to the business transactions), the following particulars set forth in the following items must be set down in the notes on material business transactions with each related party, in principle:

(2)Notwithstanding the provisions of the preceding paragraph, the particulars set forth in items (ix) and (x) of that paragraph may be provided in total amount by each type of related party set forth in the items of Article 15-4.

(3)The provisions of the preceding two paragraphs apply mutatis mutandis to the case a consolidated subsidiary company has business transactions with a related party.

(4)For any business transactions with a related party which have been offset when preparing consolidated financial statements, the notes are not required.

(5)For any transactions with a related party, which are specified in the following items, the notes specified in paragraph (1) are not required:

(6)The particulars set forth in paragraph (1) (including as applied mutatis mutandis pursuant to paragraph (3)) must be set down in the notes as specified in Form No. 1 of the Regulation on Financial Statements

Article 15-4-3(1)If companies set forth in the following items exist for a company submitting consolidated financial statements, the particulars specified in those items must be set down in the notes:

(2)The amount of items set forth in item (ii), (a) and (b) of the preceding paragraph may, notwithstanding the provisions of that paragraph, be recorded by any of the following methods. In this case, a statement to that effect must be provided:

Article 15-5(1)When tax effect accounting is used pursuant to the provisions of Article 11, the particulars set forth in the following items must be set down in the notes:

(2)If any amount is deducted from the deferred tax assets when calculating the deferred tax assets (hereinafter referred to as the "valuation allowance" in this Article), the particulars set forth in the following items must be set down in the notes in addition to the particulars set forth in item (i) of the preceding paragraph:

(3)If losses carried forward (meaning net operating loss (meaning the excess amount of loss in the case where deductible expenses for a fiscal year exceed gross profits for the fiscal year, when calculating the amount of income for each fiscal year under the provisions of laws and regulations pertaining to corporation tax, etc.) that can be carried forward up to the time when carryover is permitted under the provisions of laws and regulations pertaining to corporate tax, etc. (referred to as the "carryover limit" in item (i)); hereinafter the same applies in this paragraph) are provided in the particulars set forth in paragraph (1), item (i) and the losses carried forward are material, the particulars set forth in the following items must also be set down in the notes:

(4)With regard to the particulars set forth in paragraph (1), item (ii), the notes may be omitted if the difference between the normal effective statutory tax rates and the corporate tax rates, etc. after the tax effect accounting is used is not more than five percent of the normal effective statutory tax rates.

Article 15-5-2(1)With regard to financial instruments, the following particulars must be set down in the notes; provided, however, that notes may be omitted for immaterial particulars:

(2)Notwithstanding the provisions of the main clause of the preceding paragraph, the particulars set forth in item (ii) of that paragraph are may be omitted for shares without a market price, capital investments, and other financial instruments equivalent thereto. In this case, a statement to that effect, as well as the outline of the financial instruments and the amounts recorded on the consolidated balance sheet, must be set down in the notes.

(3)With regard to a consolidated company of which financial assets (meaning the financial assets specified in Article 8, paragraph (41) of the Regulation on Financial Statements; hereinafter the same applies in this paragraph) and financial liabilities (meaning the financial liabilities specified in paragraph (41) of that Article; hereinafter the same applies in this paragraph) respectively account for a large portion of the total amount of assets and the total amount of liabilities, and both of the financial assets and financial liabilities are material in light of the business purpose of the company, if the fluctuation rate in the values of the financial assets and financial liabilities against the fluctuations in the market price and other indicators, which are the causes of major market risks of the financial assets and financial liabilities (meaning risk due to fluctuations in the money rates, values of currencies, market prices in financial instrument market (meaning the financial instrument markets specified in Article 2, paragraph (14) of the Act; hereinafter the same applies in this paragraph) and other indicators; hereinafter the same applies in this paragraph and the following paragraph) are material, the particulars specified in the following items for the respective categories of financial instruments set forth in those items must be set down in the notes:

(4)If the particulars set forth in item (ii), (b) of the preceding paragraph do not appropriately reflect the actual situation of market risks faced by the consolidated company, a statement to that effect and the reason therefor must be set down in the notes.

(5)With regard to monetary claims (excluding those held for the purpose of earning profits from fluctuations in market prices) and securities (excluding trading securities) that have maturities, the total amount of the claims or securities to be redeemed within a certain period of time must be set down in the notes.

(6)With regard to corporate bonds, long-term borrowings, lease obligations and any other debts on which interests must be paid, the total amount of the debts to be paid back within a certain period of time must be set down in the notes; provided, however, that if the amount is recorded in a schedule of corporate bonds or a schedule of borrowings, etc. prescribed in Article 92, paragraph (1), a statement to that effect may be set down in the notes in lieu of the notes on the amount.

Article 15-6(1)In addition to the particulars specified in the preceding Article, with regard to securities, the particulars specified in the following items for the respective categories of securities set forth in those items must be set down in the notes; provided, however, that notes may be omitted for immaterial particulars:

(2)If the purpose for holding securities held for trading, bonds held to maturity, subsidiary company shares, affiliated company shares, or other securities has been changed during the current consolidated fiscal year, a statement to that effect, the reason for the change (limited to the case where the purpose for holding bonds held to maturity has been changed), and details of the impact of the change on the consolidated financial statements must be set down in the notes; provided, however, that notes may be omitted for immaterial particulars.

(3)If impairment losses on securities have been recognized during the current consolidated fiscal year, a statement to that effect and the amount of the impairment losses must be set down in the notes; provided, however, that notes may be omitted for immaterial particulars.

Article 15-7(1)In addition to the particulars prescribed in Article 15-5-2, with regard to derivative transactions, the particulars specified in the following items for the respective categories of transactions set forth in those items must be set down in the notes; provided, however, that notes may be omitted for immaterial particulars:

(2)The particulars prescribed in item (i) of the preceding paragraph must be provided respectively according to the transaction types (meaning futures transactions, options transactions, forward transactions, swap transactions and any other derivative transactions; the same applies in the following paragraph), market transactions (meaning the market transactions specified in Article 8, paragraph (10), item (iii) of the Regulation on Financial Statements) and transactions other than market transactions, those pertaining to purchase contracts and those pertaining to sale contracts, the length of time from the consolidated closing date to the settlement date of the transaction or to the date on which the contract ends, and other particulars.

(3)The particulars prescribed in paragraph (1), item (ii) must be provided respectively for the method of hedge accounting, the type of transactions, the hedged items (meaning the hedged items prescribed in Article 8, paragraph (69) of the Regulation on Financial Statements; the same applies in Article 43-2, paragraph (1), item (ii)), and other particulars.

Article 15-8(1)If a defined benefit plan (meaning the defined benefit plan prescribed in Article 8-13, paragraph (1) of the Regulation on Financial Statements; the same applies in item (i)) is adopted for retirement benefits, the following particulars must be set down in the notes:

(2)Either one of the items set forth in item (ii), (f), item (iii), (e), item (vi), (c), and item (vii), (c) of the preceding paragraph must be recorded with the name that indicates the item, unless its amount is found to be immaterial.

Article 15-8-2The provisions of Article 8-13-2, paragraph (1) of the Regulation on Financial Statements apply mutatis mutandis to the case where a defined-contribution plan (meaning the defined-contribution plan prescribed in Article 8-13, paragraph (1) of the Regulation on Financial Statements) is adopted for retirement benefits.

Article 15-8-3The provisions of Article 8-13-3 (excluding paragraph (3)) of the Regulation on Financial Statements apply mutatis mutandis to the case where a multi-employer plan (meaning the multi-employer plan prescribed in paragraph (1) of that Article) is adopted for retirement benefits. In this case, the terms the " provisions of Article 8-13" and "company submitting financial statements" in paragraph (1) of that Article are deemed to be replaced with the "provisions of Article 15-8" and "consolidated companies" respectively, the term "Article 8-13, paragraph (1), items (ii) through (viii)" in item (i) of that paragraph is deemed to be replaced with "Article 15-8, paragraph (1), items (ii) to (x)", and the term "Article 8-13, paragraph (1)" in paragraph (2) of that Article is deemed to be replaced with "Article 15-8, paragraph (1)".

Article 15-9The provisions of Article 8-14, paragraph (1) of the Regulation on Financial Statements apply mutatis mutandis to cases where stock options or options on the company's own shares are granted or the company's own shares are issued. In this case, the term "fiscal year" in item (i) of that paragraph is deemed to be replaced with "consolidated fiscal year".

Article 15-10The provisions of Article 8-15 (excluding paragraph (9)) of the Regulation on Financial Statements apply mutatis mutandis to the cases where stock options are granted. In this case, the term "in the current fiscal year" in paragraph (1), item (ii), (b), (c), (e) and (f), the term "during the current fiscal year" in item (ix) of that paragraph, the term "granted during the current fiscal year" in paragraph (4) of that Article, and the term "during the relevant fiscal year" in paragraph (7) of that Article are deemed to be replaced with "in the current consolidated fiscal year", "during the current consolidated fiscal year", "granted during the current consolidated fiscal year", and "during the relevant consolidated fiscal year", respectively, the terms "end of the previous business year" and "end of the current fiscal year" in paragraph (1), item (ii), (d) and (g) and the term "end of the fiscal year" in paragraph (7) of that Article are deemed to be replaced with "end of the previous consolidated fiscal year", "end of the current consolidated fiscal year", and "end of the consolidated fiscal year" respectively, and the term "conditions during the current fiscal year" in paragraph (4) of that Article is deemed to be replaced with "conditions during the current consolidated fiscal year".

Article 15-11The provisions of Article 8-16 (excluding paragraph (3)) of the Regulation on Financial Statements apply mutatis mutandis to cases where options on the company's own shares are granted or the company's own shares are issued in consideration for the receipt of service or acquisition of goods.

Article 15-12(1)If a business combination through acquisition of another enterprise or a business segment of another enterprise has been carried out during the current consolidated fiscal year, the following particulars must be set down in the notes:

(2)Notwithstanding the provisions of the preceding paragraph, the notes may be omitted if the transaction pertaining to the business combination is not material; provided, however, that although the transactions pertaining to individual business combinations during the current consolidated fiscal year are not material, yet the transactions pertaining to multiple business combinations during the current consolidated fiscal year are material as a whole, the particulars set forth in item (i) and items (iii) to (x) of that paragraph must be set down in the notes for the business combinations as a whole.

(3)The estimated amount that has impact set forth in paragraph (1), item (xii) is any of the following amounts and, if the notes have not received an audit certification, a statement to that effect must be made:

(4)If a material review of the initially allocated amounts of the acquisition costs has been conducted in the current consolidated fiscal year occasioned by the determination of the provisional accounting process pertaining to the business combination implemented in the previous consolidated fiscal year, the details and amounts of the review must be set down in the notes.

Article 15-13Deletion

Article 15-14(1)If a common control transaction, etc. has been carried out during the current consolidated fiscal year, the following particulars must be set down in the notes:

(2)Notwithstanding the provisions of the preceding paragraph, the notes may be omitted if the common control transaction, etc. is not material; provided, however, that although individual common control transactions, etc. during the current consolidated fiscal year are not material, yet multiple common control transactions, etc. during the current consolidated fiscal year are material as a whole, the particulars set forth in the items of that paragraph must be set down in the notes for the common control transactions, etc. as a whole.

Article 15-15The provisions of Article 8-22 (excluding paragraph (3)) of the Regulation on Financial Statements apply mutatis mutandis to a formation of jointly controlled enterprise (meaning a formation of a jointly controlled enterprise prescribed in paragraph (1) of that Article; the same applies in paragraph (1) of the following Article). In this case, the term "fiscal year" in Article 8-22 of the Regulation on Financial Statements is deemed to be replaced with "consolidated fiscal year".

Article 15-16(1)If a material business divestiture was carried out during the current consolidated fiscal year, and the business divestiture falls under neither a common control transaction, etc. nor a formation of a jointly controlled enterprise, the divesting enterprise must set down the following particulars in the notes, in the consolidated fiscal year in which the business divesture was carried out:

(2)The notes may be omitted for the particulars set forth in item (v) of the preceding paragraph if the continuing involvement is insignificant.

(3)Although the transactions pertaining to individual business divestures during the current consolidated fiscal year are not material, yet the transactions pertaining to multiple business divestures during the current consolidated fiscal year are material as a whole, the particulars set forth in items (i) and (ii) of that paragraph, notwithstanding the provisions of paragraph (1), must be set down in the notes for the transactions pertaining to business divestures as a whole.

Article 15-17The provisions of Article 8-24, paragraph (1) of the Regulation on Financial Statements apply mutatis mutandis to a business divesture that does not fall under a business combination.

Article 15-18(1)If a subsidiary company no longer falls under a subsidiary company as a result of a business combination, a company submitting consolidated financial statements must set down the following particulars in the notes, in the consolidated fiscal year in which the business combination was carried out:

(2)The notes may be omitted for the particulars set forth in item (v) of the preceding paragraph if the continuing involvement is insignificant.

(3)Notwithstanding the provisions of paragraph (1), the notes may be omitted if the transaction pertaining to the business combination is not material; provided, however, that although the individual transactions pertaining to business combinations during the current consolidated fiscal year are not material, yet the multiple transactions pertaining to business combinations during the consolidated fiscal year are material as a whole, the particulars set forth in items (i) and (ii) of that paragraph must be set down in the notes.

Article 15-19The provisions of Article 8-25 (excluding paragraph (3)) of the Regulation on Financial Statements apply mutatis mutandis to a material post-balance sheet event related to a business combination and a business combination for which the major requirements have been agreed prior to the consolidated closing date and which has not been completed by that date. In this case, the term "balance sheet date" in that Article is deemed to be replaced with "consolidated closing date".

Article 15-20The provisions of Article 8-26, paragraph (1) of the Regulation on Financial Statements apply mutatis mutandis to a material post-balance sheet event related to a business divestiture and a business divesture for which major requirements have not been agreed prior to the consolidated closing date and which has not been completed by that date. In this case, the term "balance sheet date" in that paragraph is deemed to be replaced with "consolidated closing date".

Article 15-21If a business combination through which a subsidiary company is merged (limited to the case where it no longer falls under a subsidiary company through the business combination) falls under the case set forth in the following items, the particulars specified in those items must be set down in the notes:

Article 15-22The provisions of Article 8-27 of the Regulation on Financial Statements apply mutatis mutandis to a company submitting consolidated financial statements. In this case, the term "balance sheet date" in that Article is deemed to be replaced with "consolidated closing date" and the term "financial statements" in item (iv) of that Article is deemed to be replaced with "consolidated financial statements".

Article 15-23The provisions of Article 8-28, paragraph (1) of the Regulation on Financial Statements apply mutatis mutandis to asset retirement obligations. In this case, the terms "balance sheet" and "the relevant fiscal year" in that paragraph are deemed to be replaced with "consolidated balance sheet" and "the current consolidated fiscal year" respectively.

Article 15-24If there is any real property for rent, etc. (meaning a real property which is other than a real property classified as an inventory asset and is owned to earn revenues or profits from rental or transfer; hereinafter the same applies in this Article), the following particulars must be set down in the notes; provided, however, that if the total amount of real properties for rent, etc. is not material, the notes may be omitted:

Article 15-25(1)If a company submitting consolidated financial statements or its consolidated subsidiary company is an operating right holder of a public facility, etc. (meaning an operating right holder of a public facility, etc. prescribed in Article 9, item (iv) of the Act on Promotion of Private Finance Initiative (Act No. 117 of 1999; hereinafter referred to as the "Private Finance Act" in this paragraph and the following paragraph); the same applies in the following paragraph) of a public facility operating project (meaning a public facility operating project prescribed in Article 2, paragraph (6) of the Private Finance Act; the same applies in the following paragraph), the company submitting consolidated financial statements must set down the following particulars in the notes on each right to operate a public facility, etc. (meaning the right to operate a public facility, etc. prescribed in Article 2, paragraph (7) of the Private Finance Act; the same applies hereinafter):

(2)With regard to replacement investment (meaning maintenance and administration of a public facility, etc. (meaning a public facility, etc. prescribed in Article 2, paragraph (1) of the Private Finance Act; hereinafter the same applies in this paragraph) in a public facility operating project implemented by an operating right holder of a public facility, etc.; hereinafter the same applies in this paragraph), the particulars specified in the following items must be set down in the notes on each right to operate a public facility, etc. for the respective cases set forth in those items:

(3)Notwithstanding the provisions of the preceding two paragraphs, the particulars specified in the following items may be provided collectively in the cases set forth in those items:

Article 15-26The provisions of Article 8-32 (excluding paragraphs (4) and (5)) of the Regulation on Financial Statements apply mutatis mutandis to revenues from contracts with customers. In this case, the term "financial statements" in paragraph (1) of that Article is deemed to be replaced with "consolidated financial statements" and the term "fiscal year" in item (iii) of that paragraph is deemed to be replaced with "consolidated fiscal year".

Article 15-27Inventory assets held to earn a profit through fluctuations in market prices must be set down in the notes as specified in the provisions of Article 15-5-2, paragraph (1), item (iii); provided, however, that notes may be omitted for immaterial particulars.

Article 16(1)The notes under Article 13 must be included immediately after the consolidated cash flow statement.

(2)The notes under Articles 13-2 to 14-3 must be included immediately after the notes under Article 13.

(3)The notes to be included pursuant to the provisions of this Regulation (excluding the notes under Articles 13 to 14-3) must be included immediately after the notes under Articles 13-2 to 14-3; provided, however, that this does not apply in the following cases:

(4)Notwithstanding the provisions of the preceding paragraph, the notes under Article 15-22 must be included immediately after the consolidated cash flow statement. In this case, notwithstanding the provisions of paragraph (1), the notes under Article 13 must be included immediately after the notes under Article 15-22.

(5)If a note related to a specific account title is included pursuant to the provisions of this Regulation, the association between the account title and the note must be made clear by appending a symbol to the account title or by other methods similar thereto.

Article 16-2The amounts of the account titles and any other particulars recorded in consolidated financial statements are to be presented in million yen or thousand yen.

Article 91The methods to make entries in consolidated supplementary schedules are governed by the provisions of this Chapter.

Article 92(1)There are three types of consolidated supplementary schedules including a schedule of corporate bonds, a schedule of borrowings, etc., and a schedule of asset retirement obligations.

(2)The forms of the schedule of corporate bonds, schedule of borrowings, etc., and schedule of asset retirement obligations specified in the preceding paragraph are specified as Form No. 9 through Form No. 11.

Article 92-2(1)If the amount of asset retirement obligations at the beginning of the current consolidated fiscal year and at the end of the current consolidated fiscal year are not more than one percent of the total amount of liabilities and net assets at the beginning of the current consolidated fiscal year and at the end of the consolidated fiscal year, the preparation of supplementary schedule of asset retirement obligations prescribed in paragraph (1) of the preceding Article may be omitted.

(2)If the preparation of a supplementary schedule of Asset retirement obligations is omitted pursuant to the provisions of the preceding paragraph, a statement to that effect must be set down in the notes.

Article 95If the Commissioner of the Financial Services Agency approves a company submitting consolidated financial statements that has registered consolidated financial statements prepared by using the terms, forms, and preparation methods that are required for the issuance, etc. of American depositary receipts (hereinafter referred to as "U.S.-Style consolidated financial statements") with the U.S. Securities and Exchange Commission to submit the U.S.-Style consolidated financial statements as the consolidated financial statements under the Act, which will not impair the public interests or protection of investors, the terms, forms, and methods used for preparation of the consolidated financial statements submitted by that company may, except for particulars instructed by the Commissioner of the Financial Services Agency as necessary, may use the terms, forms, and preparation methods required for the issuance, etc. of American depositary receipts.

Article 96The provisions of the preceding Article do not apply if the company submitting consolidated financial statements no longer registers U.S.-Style consolidated financial statements with the U.S. Securities and Exchange Commission.

Article 97The consolidated financial statements under Article 95 must be written in Japanese.

Article 98The consolidated financial statements under Article 95 must also contain the following particulars in the notes: