Foster Electric Company, Limited

From April 1, 2007,

to March 31, 2008
Business Report
for the 74th Fiscal Term
010_0727302982006.indd 1 2008/07/08 4:10:05
1
Contents
Yasuo Higashi
President
To Our Shareholders 2
Review of Operations (Consolidated) ,
Changes in Operating Results and Total Assets 3, 4
Consolidated Balance Sheets (Condensed) ,
Consolidated Statements of Income (Condensed) 5
Consolidated Statement of Changes in Shareholders'
Equity 6
Consolidated Statements of Cash Flows (Condensed) 6
Nonconsolidated Balance Sheets (Condensed) ,
Nonconsolidated Statements of Income (Condensed) 7
Topics 8
Company Profle, Directors and Corporate Auditors 9
Group Companies 10, 11, 12
Stock Information 13
Introduction of Our Products 14
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2
To Our Shareholders
During the 74th fscal term, the year ended March 31, 2008, the
di gi tal i zati on of home appl i ances fur ther advanced i n the
el ectroni cs i ndustr y, accel erati ng the di ssemi nati on of fl at
televisions, mobile phones, portable audio products and game
machines in Japan. On the other hand, starting with the subprime
loan crisis in the United States that led to financial concerns
worldwide, uncertainty increased in the markets especially in
Japan, the United States and Europe. Rising prices of crude oil and
raw materials also became conspicuous.
In this business circumstances, the Foster Group enhanced
aggressive proactive marketing activities to pursue orders and
sales, as well as new structural reforms.
In Vietnam, second factory started operation during the year in
Binh Duong province and management decided to construct a new
factory in Da Nang.
The Group has established a new production subsidiary in
Nanning, China, and its factory started partial operation during the
year. The Group endeavored to establish more efficient production
activity by promoting Production Innovation Activity centered in
the factory at Panyu, China. As for marketing, a new sales office
was opened in Germany and it was determined to open offices in
Thai l and and the Uni ted States to devel op the group-wi de
marketing system to have closer contact with customers.
As a result, net sales and proft for the year under review each
reached a record high on a consolidated basis.
Management decided to distribute a year-end dividend of 20 per
share as a perfor mance-based profi t appropri ati on and i n
appreciation of the support of our shareholders. As a consequence,
the annual dividend for the year under review has been 36 per
share, which has been an increase of 12 per share compared with
the previous fscal year.
For the 75th fscal term, the year ending March 31, 2009, market
growth toward further digitalization is expected to continue in the
electronics industry although sluggishness will likely remain in the
global economy.
The Companys annual management guideline for the 75th fscal
term (FY2008) is To maximize corporate value, by increase both in
sales and proft through quality evolution. Based on the Medium-
Term Business Plan, we will conduct various policies to raise our
corporate value in the pursuit of target achievement and endeavor
to become a soci al l y appreci ated company t hrough t he
development of corporate activities with an emphasis on the CSR.
We deeply appreciate your ongoing support and encouragement
and wish you all the best.
Yasuo Higashi, President
and Representative Director
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3
1,775
53,285
2,047
27,912
16,061
52,720
66,047
3,139
5,623
1,648
2,842
30,853
17,665
38,635
22,867
75,705
86,666
4,650
6,883
25,482
43,169
2,821
4,099
25,719
43,752
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
(Millions of yen)
Net Sales
(Millions of yen)
Ordinary Income
(Millions of yen)
Net Income
(Millions of yen)
Total Assets and
Net Assets
Consolidated
Total Assets
Net Assets
812
27,287
31,669
1,291
45,465
972
2,451
3,487
17,857
13,377
21,122
14,446
26,084
17,098
1,283
53,537
63,247
3,765
4,725
28,476
19,083
32,295
20,710
2,402
2,785
Nonconsolidated
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
(Millions of yen)
Net Sales
(Millions of yen)
Ordinary Income
(Millions of yen)
Net Income
(Millions of yen)
Total Assets and
Net Assets
Total Assets
Net Assets
Review of Operations (Consolidated)
Changes in Operating Results and Total Assets
Consolidated net sales for the year ended March 31, 2008,
amounted to 86,666 million, up 14.5% from 75,705 million for the
previous fscal year. This sales increase was mainly attributable to
favorable shipments of headphones for portable audio products,
headsets for mobile phones, speakers for flat televisions and
automotive speakers.
Consolidated ordinary income increased to 6,883 million, up
48.0% from 4,650 million for the previous fscal year, mainly due to
an increase in net sales and the positive effect of cost-cutting
activities despite the general trend of declining selling prices of
products in the electronics industry and the hike of raw material
prices. Consolidated net income increased 45.3% year over year to
4, 099 mi l l i on f rom t he previ ous year s 2, 821 mi l l i on.
Consequently, net sales and profit for the year under review all
reached record highs.
Electronic Equipment Segment:
Shipments of our mainstay speaker systems, principally for digital
consumer appliances such as fat televisions, were favorable despite
the shift to lower selling prices of products in the market.
Sales continued to rise for automotive speakers and active speakers
with built-in amplifers. Meanwhile, sales were stagnant in the domestic
and overseas markets due to weak demand for commercial automotive
use and hi-f component stereo sets.
The FOSTEX-branded products suffered from intense market
competition not only in Japan but also in Western countries.
As a result, the segments overall consolidated net sales increased
4.9% year over year to 22,970 million.
010_0727302982006.indd 3 2008/07/08 4:10:08
4
1,775
53,285
2,047
27,912
16,061
52,720
66,047
3,139
5,623
1,648
2,842
30,853
17,665
38,635
22,867
75,705
86,666
4,650
6,883
25,482
43,169
2,821
4,099
25,719
43,752
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
(Millions of yen)
Net Sales
(Millions of yen)
Ordinary Income
(Millions of yen)
Net Income
(Millions of yen)
Total Assets and
Net Assets
Consolidated
Total Assets
Net Assets
812
27,287
31,669
1,291
45,465
972
2,451
3,487
17,857
13,377
21,122
14,446
26,084
17,098
1,283
53,537
63,247
3,765
4,725
28,476
19,083
32,295
20,710
2,402
2,785
Nonconsolidated
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
70th 71st 72nd 73rd 74th
(Fiscal term)
(Millions of yen)
Net Sales
(Millions of yen)
Ordinary Income
(Millions of yen)
Net Income
(Millions of yen)
Total Assets and
Net Assets
Total Assets
Net Assets
Electronic
Components
70%
Electronic
Equipment
27%
Other
3%
Other
3%
North America
16%
Europe
24%
Asia
42%
Japan
15%
Net Sales by
Product Segment
Net Sales by
Geographical Segment
Electronic Components Segment:
Given the continued price declines in the AV (audiovisual)
equipment markets in Japan and overseas, sales of speakers for
TV sets and automotive speaker units increased substantially,
thereby contributing to a rise in overall sales. Sales of micro
speakers increased primarily in the notebook computer market.
Headphones for portable audio products and headsets for mobile
phones continued to perform steadily.
Sales of microphones tended to recover in the telecommunications
equipment market following the previous fscal year.
As a consequence, the segments overall consolidated net sales
advanced 19.9% year over year to 61,020 million.
Other Segment:
The segments consolidated net sales of dies and other items to
our customers decreased 8.7% year over year to 2,675 million.
Net Sales
010_0727302982006.indd 4 2008/07/08 4:10:09
5
Consolidated Balance Sheets (Condensed)
(Millions of yen)
74th Fiscal Term
As of March 31, 2008
73rd Fiscal Term
As of March 31, 2007
(Assets)
Current Assets 28,262 28,679
Fixed Assets 14,907 15,073
Total Assets 43,169 43,752
(Liabilities)
Current Liabilities 15,927 15,632
Long-term Liabilities 1,522 2,637
Total Liabilities 17,450 18,270
(Net Assets)
Shareholders' Equity
Common stock 3,770 3,770
Capital surplus 4,564 4,564
Retained earnings 21,552 18,199
Treasury stock (2) (0)
Total Shareholders' Equity 29,884 26,533
Valuation, Translation Adjustments and Others
Net unrealized gain on securities 94 544
Foreign currency translation adjustments (4,260) (1,595)
Total Translation Adjustments and Others (4,165) (1,050)
Total Net Assets 25,719 25,482
Total Liabilities and Net Assets 43,169 43,752
Note: All amounts less than 1 million are truncated.
Consolidated Statements of Income (Condensed)
74th Fiscal Term
From April 1, 2007,
to March 31, 2008
73rd Fiscal Term
From April 1, 2006,
to March 31, 2007
Net sales 86,666 75,705
Cost of goods sold 70,677 62,889
Gross proft 15,988 12,816
Selling, general and administrative expenses 8,859 8,068
Operating income 7,129 4,747
Nonoperating income 472 258
Nonoperating expenses 719 355
Ordinary income 6,883 4,650
Extraordinary gains 307 202
Extraordinary losses 951 164
Income before income taxes 6,239 4,688
Income taxescurrent 1,769 1,702
Income taxes for prior periods 1,497 -
Refund of income taxes for prior periods (209) -
Income taxesdeferred (917) 165
Net income 4,099 2,821
(Millions of yen)
Note: All amounts less than 1 million are truncated.
010_0727302982006.indd 5 2008/07/08 4:10:09
6
Consolidated Statement of Changes in Shareholders' Equity
74th Fiscal Term (From April 1, 2007, to March 31, 2008) (Millions of yen)
Consolidated Statements of Cash Flows (Condensed)
Shareholders' equity
Common
stock
Capital
surplus
Retained
earnings
Treasury
stock
Total
shareholders'
equity
Balance as of March 31, 2007 3,770 4,564 18,199 (0) 26,533
Changes in the period of
74th Fiscal Term
Cash dividends paid (747) (747)
Net income for the period 4,099 4,099
Purchases of treasury stock (1) (1)
Net changes in items other than
those in shareholders' equity
Total of changes in the
period of 74th Fiscal Term
- - 3,352 (1) 3,351
Balance as of March 31, 2008 3,770 4,564 21,552 (2) 29,884
Valuation, translation adjustments and others
Total net
assets
Net unrealized
holding gain
on securities
Foreign
currency
translation
adjustments
Total valuation,
translation
adjustments and
others
Balance as of March 31, 2007 544 (1,595) (1,050) 25,482
Changes in the period of
74th Fiscal Term
Cash dividends paid (747)
Net income for the period 4,099
Purchases of treasury stock (1)
Net changes in items other than
those in shareholders' equity
(449) (2,664) (3,114) (3,114)
Total of changes in the
period of 74th Fiscal Term
(449) (2,664) (3,114) 236
Balance as of March 31, 2008 94 (4,260) (4,165) 25,719
Note: All amounts less than 1 million are truncated.
(Millions of yen)
74th Fiscal Term
From April 1, 2007,
to March 31, 2008
73rd Fiscal Term
From April 1, 2006,
to March 31, 2007
Net cash used in operating activities 3,696 2,680
Net cash used in investing activities (4,835) (4,838)
Free cash fows (1,138) (2,157)
Net cash used in fnancing activities 1,345 (196)
Effect of exchange rate changes on cash and cash equivalents (429) 208
Net (decrease) increase in cash and cash equivalents (221) (2,145)
Cash and cash equivalents at the beginning of the period 3,036 5,182
Cash and cash equivalents at the end of the period 2,813 3,036
Note: All amounts less than 1 million are truncated.
010_0727302982006.indd 6 2008/07/08 4:10:09
7
(Millions of yen)
Nonconsolidated Balance Sheets (Condensed)
74th Fiscal Term
As of March 31, 2008
73rd Fiscal Term
As of March 31, 2007
(Assets)
Current Assets 15,754 15,598
Fixed Assets 16,541 12,878
Tangible fxed assets 1,226 1,657
Intangible assets 815 185
Investments and other 14,498 11,035
Total Assets 32,295 28,476
(Liabilities)
Current Liabilities 11,486 8,791
Long-term Liabilities 98 601
Total Liabilities 11,585 9,393
(Net Assets)
Shareholders' Equity
Common stock 3,770 3,770
Capital surplus 4,564 4,564
Retained earnings 12,297 10,258
Treasury stock (2) (0)
Total Shareholders' Equity 20,629 18,592
Valuation, Translation Adjustments and Others
Net unrealized holding gain on securities 80 490
Total Valuation, Translation Adjustments and Others 80 490
Total Net Assets 20,710 19,083
Total Liabilities and Net Assets 32,295 28,476
Note: All amounts less than 1 million are truncated.
(Millions of yen)
Nonconsolidated Statements of Income (Condensed)
74th Fiscal Term
From April 1, 2007,
to March 31, 2008
73rd Fiscal Term
From April 1, 2006,
to March 31, 2007
Net sales 63,247 53,537
Cost of goods sold 55,546 46,955
Gross proft 7,701 6,582
Selling, general and administrative expenses 4,625 4,096
Operating income 3,076 2,485
Nonoperating income 2,190 1,359
Nonoperating expenses 541 79
Ordinary income 4,725 3,765
Extraordinary gains 266 197
Extraordinary losses 590 86
Income before income taxes 4,401 3,876
Income taxescurrent 1,511 1,587
Income taxes for prior periods 1,497 -
Refund of income taxes for prior periods (209) -
Income taxesdeferred (1,183) (114)
Net income 2,785 2,402
Note: All amounts less than 1 million are truncated.
010_0727302982006.indd 7 2008/07/08 4:10:09
8
Cash dividends increased
The Company achieved record highs in net sales and proft for the
74th fiscal term. Management highly appreciates the continued
support of shareholders for this excellent operating performance.
The Company therefore deci ded to di stri bute a year-end
di vi dend of 20 per share as a perfor mance-based profi t
appropriation for the 74th fiscal term and in appreciation of the
support of our shareholders. As a consequence, the annual
dividend for the year under review was 36 per share, which was
an increase of 12 per share compared with the previous fiscal
years annual dividend of 24.
The Company will strive to continuously maintain the targeted
20% consolidated payout ratio to meet the expectations of
shareholders.
Factory established in Nanning, China
In November 2007, FOSTER ELECTRIC CO. (HONG KONG),
LTD., one of the Companys subsidiaries, established FOSTER
ELECTRIC CO. (NANNING) LTD. as its wholly owned production
subsidiary in the Guangxi Zhuang Autonomous Region of China.
Thi s pl ant st ar t ed
production in February
2008 in anticipation of
a f ut ur e pr oduct i on
increase for headphones
and headsets.
The construction of a
second bui l di ng f or
production is scheduled
to be completed on the
premises in July 2008,
and production will be
expanded to a maximum
capacity of 10 million
uni t s, t he i nt ended
monthly peak production
during the year.
Monthly production of headphones and headsets reached a record high
In November 2007, the Groups monthly total production of
headphones and headsets reached a record high of 22.5 million.
The increased production capacity at the Vietnam Factory of
FOSTER ELECTRIC (VIETNAM) CO., LTD. much contributed to
this achievement, in addition to the mainstay GUANGZHOU
PANYU JIU SHUI KENG FOSTER ELECTRIC FACTORY in China.
The factory facilities will be further improved to prepare for
business development in the future.
Sales offices opened overseas
To promote a more customer-oriented marketing system, the
Company decided to establish an IPO office in Thailand in
December 2007, and the office is scheduled to open in June 2008.
Meanwhile, the MUENCHEN OFFICE opened in Germany in
February 2008. Similarly, the Company decided to establish a
sales office in Boston, Massachusetts, in the United States, and
the BOSTON OFFICE was opened in April 2008.
We will strive to improve efficiency and expand the scale of
business operations through aggressive activities and mutual
collaboration among our sales offices.
Topics
The NANNING No. 1 Factory in China
010_0727302982006.indd 8 2008/07/08 4:10:28
9
Company Profle
Directors and Corporate Auditors
(As of March 31, 2008)
Trade Name Foster Electric Company, Limited
Founded June 20, 1949
Capital Stock 3,770,360,135
Listed on the First Section of the Tokyo
Stock Exchange
Head Office 512, Miyazawa-cho, Akishima, Tokyo
196-8550, Japan
Phone: +81-42-546-2311 (switchboard)
FAX: +81-42-546-2317
FOSTEX COMPANY 2-35, Musashino 3-chome, Akishima,
Tokyo 196-0021, Japan
Phone: +81-42-545-6111
FAX: +81-42-546-9222
Kansai Sales Office 7-18, Nishinakajima 4-chome, Yodogawa-
ku, Osaka, Osaka 532-0011, Japan
Phone: +81-6-6100-0718
FAX: +81-6-6885-6718
Chubu Sales Office Sungreen Building 2F, 7-17, Toei-cho 2-
chome, Anjo, Aichi 446-0007, Japan
Phone: +81-566-97-6180
FAX: +81-566-97-6183
Iga Warehouse 310 Kitada, Kawahigashi, Iga, Mie 519-
1424, Japan
Phone: +81-595-45-3222
FAX: +81-595-45-6808
Tachikawa Warehouse 100-1, Takamatsu-cho 1-chome,
Tachikawa, Tokyo 190-0011, Japan
Phone: +81-42-524-1471
FAX: +81-42-524-1478
Number of Employees 430 (Foster Electric Company, Limited,
only); total of group companies: 32,266
(Total number of employees of group companies
includes the employees of GUANGZHOU PANYU JIU
SHUI KENG FOSTER ELECTRIC FACTORY,
outsourcee of Panyu in China)
(As of June 24, 2008)
President and
Representative Director
Yasuo Higashi
Senior Managing Director
Assistant to the President,
General Manager, HP Business Division
Yukio Miyata
Senior Managing Director
General Manager, SP Business Division
Rintaro Kohara
Managing Director
Deputy General Manager,
SP Business Division
Yoichi Takahashi
Director
General Manager, Administration Division,
Management Planning Division
Hiromi Yoshizawa
Director
President, FOSTER ELECTRIC CO.,
(HONG KONG) Ltd.
Lu San Tie
Director
President, FOSTER ELECTRONICS LTD.
Shigeki Osawa
Director
Outside Director
Kaoru Matsumoto
Standing Corporate Auditor
Outside Corporate Auditor
Masashi Ikeuchi
Corporate Auditor
Outside Corporate Auditor
Osamu Nakamoto
Corporate Auditor Takeshi Shiobara
Senior Executive Officer
General Manager, Production Division
Chairman, FOSTER ELECTRIC CO.,
(HONG KONG) Ltd.
Yoshimi Hamana
Executive Officer
In Charge of Vietnam Project
Akira To
Executive Officer
President, FOSTEX COMPANY
Hiroyuki Makiura
Executive Officer
General Manager, R&D Division, In
Charge of Quality Assurance
Yuji Izumi
Executive Officer
Deputy General Manager,
HP Business Division
Kazuhiro Kishi
Executive Officer
Deputy General Manager,
SP Business Division Deputy General
Manager, Engineering Dept. 1 and 2 Manager
Terushige Nagasawa
Executive Officer
International Dept. Manager
Administration Division
Haruo Shirasu
010_0727302982006.indd 9 2008/07/08 4:10:28
10
Group Companies
North America
FOSTER ELECTRIC (U.S.A.), INC.
Sal e of vari ous t ypes of speakers, speaker systems,
microphones, headphones and electronic equipment and
components
1000 E. State Parkway, Suite G, Schaumburg, IL. 60173 U.S.A.
Phone 1-847-310-8200 FAX 1-847-310-8212
EL PASO OPERATIONS
1216 Don Haskins Drive, El Paso, TX. 79936 U.S.A.
Phone 1-915-872-9160 FAX 1-915-872-9165
DETROIT OFFICE
47689 Avante Drive, Wixom, Ml. 48393 U.S.A.
Phone 1-248-449-3076 FAX 1-248-449-3176
LOS ANGELS OFFICE
28338 Constellation Road, Unit910,Valencia, CA. 91355 U.S.A.
Phone 1-661-295-2200 FAX 1-661-295-5900
SAN JOSE OFFICE
19925 Steavens Creek Blvd., Cupertino,
CA.95014 U.S.A.
Phone 1-408-973-7853 FAX 1-408-973-7854
BOSTON OFFICE
1661 Worcester Road, Suite 202 Framingham,
M.A. 01701 U.S.A.
Phone 1-508-405-2810 FAX 1-508-405-2812
FOSTER ELECTRIC (MEXICO), S.A. DE C.V.
Manufacture of various types of speakers and speaker
systems
Henry Dunant #6340 Parque Industrial Omega
Cd. Juarez, Chih. Mexico C.P. 32419
Phone 52-656-627-0170 FAX 52-656-627-0426
Europe
FOSTER ELECTRIC (EUROPE) GmbH
Sal e of vari ous t ypes of speakers, speaker systems,
headphones, microphones and electronic components
Gotenstrae 19, D-20097 Hamburg, Germany
Phone 49-40-239120 FAX 49-40-23912-222
STUTTGART OFFICE
lm Hgleskies 7, D-72666 Neckartailfngen, Germany
Phone 49-(0)7127-973820 FAX 49-(0)7127-973829
SWEDEN OFFICE
Hantverksvgen 15 SE-43633 Askim Sweden
Phone 46-(0)31-7484343 FAX 46-(0)31-7484377
MUENCHEN OFFICE
Schtzweg 11. D-80935 Mnchen. Germany
Phone 49-(0)89-35466844 FAX 49-(0)89-35466951
010_0727302982006.indd 10 2008/07/08 4:10:28
11
Asia
FOSTER ELECTRIC CO., (HONG KONG) LTD.
Manufacture and sale of various types of speakers, speaker
systems, headphones, mi crophones and el ect roni c
components
Block"D", 12th Floor, Kaiser Estate, 41 Man Yue
Street, Hung Hom, Kowloon, Hong Kong
Phone 852-2362-6233 FAX 852-2764-2466
GUANGZHOU PANYU JIU SHUI KENG
FOSTER ELECTRIC FACTORY *outsourcee
Jiu Shui Keng Xiang, Shi Ji Zhen, Pan Yu Qu,
Guangzhou, Guangdong, 511450 China
Phone 86-(0)20-8462-1172 FAX 86-(0)20-8462-0158
FOSTER ELECTRIC CO., (GUANGZHOU) LTD.
Sale of various types of speakers, speaker systems,
headphones, microphones and electronic components
Jiu Shui Keng Xiang, Shi Ji Zhen, Pan Yu Qu,
Guangzhou, Guangdong, 511450 China
Phone 86-(0)20-3456-9181 FAX 86-(0)20-3456-9280
SHANGHAI OFFICE
Room B, 11th Floor, Golden Bridge Plaza,
585 Xizang Middle Road, Shanghai, 200003, China
Phone 86-(0)21-6358-6170 FAX 86-(0)21-6358-6173
FOSTER ELECTRIC CO., (CHANGZHOU) LTD.
Manufacture of various types of dies
No.8 Xi Hu Road, (JINTON International Industrial Park)
Wu Jin, Changzhou, Jiangsu, 213164, China
Phone 86-(0)519-8619-1602 FAX 86-(0)519-8622-6156
FOSTER ELECTRIC CO., (NANNING) LTD.
Manufacture of various types of headphones and headsets
Workshop No.7 1 ZongBu Rd. Nanning New&High-tech
Industrial Development Zone Nanning,
Guang Xi, 530007. China
Phone 86-(0)771-3210002 FAX 86-(0)771-3212391
FOSTER ELECTRIC CO., (TAIWAN) LTD.
Sale of various types of speakers and speaker systems
6 East 12th Street Kaohsiung Export Processing
Zone, Kaohsiung, 806-81, Taiwan
Phone 886-(0)7-831-9101 FAX 886-(0)7-841-4810
TAIPEI OFFICE
No.119, Sec.1, Hsin Nan Rd. Nan Kang Village,
Lu Chu Hsiang, Tao Yuan Hsien, 338-58, Taiwan
Phone 886-(0)3-212-3334 FAX 886-(0)3-321-1897
Group Companies
010_0727302982006.indd 11 2008/07/08 4:10:28
12
FOSTER ELECTRIC (SINGAPORE) PTE. LTD.
Sal e of vari ous t ypes of speakers, speaker systems,
headphones, microphones and electronic components
159 Kampong Ampat #03-01/02 KA Place Singapore 368328
Phone 65-67478811 FAX 65-67460062
P.T. FOSTER ELECTRIC INDONESIA
Manufacture of vari ous t ypes of speakers, speaker
systems and microphones
Kawasan Industri Batamindo, Lot 3, Jalan Beringin
Mukakuning, Batam 29433 Indonesia
Phone 62-(0)770-611635 FAX 62-(0)770-611258
FOSTER ELECTRIC IPO (THAILAND) LTD.
Sale of various types of speakers and speaker systems
and procurement of electronic components
31/11 Moo 3 Bangna-Trad Road KM23, T. Bangsaothong.
A. Bangsaothong, Samutprakarn 10540 Thailand
Phone 66-(0)2-740-0853 FAX 66-(0)2-740-0855
FOSTER ELECTRIC (VIETNAM) CO., LTD.
Manufacture of various types of headphones
No.6A,VSIP Street.6, Vietnam Singapore Industrial Park,
Thuan An District, Bihn Duong Province, Vietnam
Phone 84-(0)650-767-547 FAX 84-(0)650-767-548
VIETNAM FACTORY 2
Manufacture of various types of headphones
No. 20, VSIP II Street 5,Vietnam Singapore Industrial Park II,
Binh Duong Industry Service-Urban Complex,
Ben Cat District, Binh Duong Province, Vietnam
Phone 84-(0)650-635-060 FAX 84-(0)650-635051
Japan
FOSTER ELECTRONICS LIMITED
Sal e of vari ous t ypes of speakers, speaker systems,
headphones, microphones and electronic components
Noguchi Bldg 6F., 7-1, Nakano 4-chome, Nakano-ku
Tokyo 164-0001, Japan
Phone: +81-3-5345-9383, Fax: +81-3-5345-9352
FOSTER TRANSPORTATIONS LIMITED
Transportation, vehicle maintenance, sheet metal coating,
warehouse management and non-life insurance agency
business
35-1, Inadaira 2-chome, Musashi-Murayama, Tokyo 208-0023, Japan
Phone: +81-42-560-6631, Fax: +81-42-560-5371
Group Companies
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13
Stock Information
(As of March 31, 2008)
Financial institutions 48.2% Foreign entities, etc. 28.0%
Individuals and other 17.5%
Securities companies 2.7%
Domestic corporations, etc. 3.6%
3,600
3,200
2,400
2,000
1,600
1,200
2,800
3
2007
4 5 6 7 8 9 10 11 12 2 3
(Month)
1
2008
(Yen)
Major Shareholders
Stock Price Range
Total number of shares authorized
to be issued by the Company: 80,000,000 Shares
Total number of shares issued: 24,106,015 Shares
Number of shareholders: 5,691
Distribution of Shareholders by Shareholder Type
Status of Shares
Shareholder's Name
Number of
Shares Held
(thousand)
Ratio of
Shares Held
(%)
Japan Trustee Services Bank, Ltd. (trust account) 2,480 10.28
The Master Trust Bank of Japan, Ltd.
(Retirement Benefit Trust Hitachi Metals Account)
1,685 6.98
The Master Trust Bank of Japan, Ltd. (trust account) 1,214 5.03
Mizuho Bank, Ltd. 1,016 4.21
The Bank of Tokyo-Mitsubishi UFJ, Ltd. 945 3.92
Trust & Custody Services Bank, Ltd.
(Securities investment trust account)
659 2.73
Morgan Stanley and Company, Inc. 655 2.72
The Nomura Trust and Banking Co., Ltd. (trust account) 644 2.67
Japan Trustee Services Bank, Ltd. (Portion re-trusted to Mitsui
Asset Trust and Banking Company, Limited, and the trust account
for the TDK Corporation's retirement benefit fund)
587 2.43
Goldman Sachs International 560 2.32
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14
Introduction of Our Products
G 1302
speaker systems
Headphones Speakers
Speaker systems
PD606
location recorder
Micro speakers
As a sound specialist, Foster Electric delivers a variety of sound-
related products for customers around the world. In addition to the
mai nstay OEM and ODM products, the Company del i vers
commercial FOSTEX-brand products that have gained high
appraisal in the music and broadcasting equipment markets.
OEM and ODM products
FOSTEX-brand products
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Closing of accounts March 31
Ordinary general meeting
of shareholders June
Record date March 31
If necessary, another day can be designated
with public notice.
Fixed date to determine shareholders who can
receive dividends
Year-end dividends: March 31
Interim dividends: September 30
Number of unit (tangen)
shares 100
Transfer agent Mizuho Trust & Banking Co., Ltd.
2-1, Yaesu 1-chome, Chuo-ku, Tokyo
Transfer agent branch Stock Transfer Agency Department,
Head Office
Mizuho Trust & Banking Co., Ltd.
2-1, Yaesu 1-chome, Chuo-ku, Tokyo
Agencies Mizuho Trust & Banking Co., Ltd., all branches
nationwide
Mizuho Investors Securities Co., Ltd., head
office and all branches nationwide
Media for Public Notice Nihon Keizai Shimbun (daily newspaper)
issued in the Metropolis of Tokyo
Securities code 6794
(Share Handling Affairs, Inquiries and Mailing Address)
Stock Transfer Agency Department,
Mizuho Trust & Banking Co., Ltd.
17-7, Saga 1-chome, Koto-ku, Tokyo 135-8722
+81-0120-288-324 (toll-free)
Dedicated Web site: Some of the notifcation forms can be output
from the Otetsuzuki Naiyo (Procedure)
http://www.mizuho-tb.co.jp/daikou/
http://www. foster.co.jp/
Foster Electric Company, Limited
Shareholder Information
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