Fiscal Year 1999 First Half Financial Results

Summary of Unconsolidated Results

Yen
(millions)

U.S. dollars
(millions)

1st Half
FY1999

1st Half
FY1998

Change (%)

FY1998

1st Half
FY1999

Net Sales

Y 1,448,622

Y 1,418,818

2.1

Y 3,191,146

$ 13,538

Operating Income

29,265

2,701

983.2

39,863

273

Income (Loss)
Before Income Taxes

6,013

9,066

-33.7

(21,304)

Net Income (Loss)

7,413

6,966

6.4

(21,504)

Amounts Per Share of Common Stock:

Basic Earnings (Loss)
Cash Dividends

Y 3.9
Y 5.0

Y 3.7
Y 5.0

4.0

Y (11.5)
Y 10.0

$ 0.036
$ 0.047

Net Sales by Business Segment

Yen
(millions)

U.S. dollars
(millions)

1st Half
FY1999

1st Half
FY1998

Change (%)

FY1998

1st Half
FY1999

Telecommunications

Y 252,484

Y 234,934

7.5

Y 518,040

$ 2,360

Information Processing

654,666

673,485

-2.8

1,498,327

6,118

Services & Software

403,347

388,078

3.9

927,253

3,769

Electronic Devices

138,125

122,321

12.9

247,526

1,291

[Semiconductors]

[127,670]

[111,481]

[14.5]

[225,050]

[1,193]

TOTAL

Y 1,448,622

Y 1,418,818

2.1

Y 3,191,146

$ 13,538

Projections for FY1999 (April 1, 1999 - March 31, 2000)

Consolidated Earnings Forecast

Yen
(billions) Change(%)

Net Sales 5,500 5

Net Income 60

Unconsolidated Earnings Forecast

Yen
(billions) Change(%)

Net Sales 3,340 5

Net Income 35