27 Division Companies Over its long 150-year history, ITOCHU has swiftly adapted in response to changing condi- tions. The Company has steadfastly added to and extended its business areas—from Japan to the world; from textiles to natural resource development, machinery, food, consumer-related products, and financial services; and from midstream businesses to upstream and downstream businesses. To make that operational format more effective, we introduced a Division Company System in 1997 to accelerate decision-making speed and increase management efficiency. Further, the company-wide lateral functions of Headquarters maximize overall earnings by strength- ening collaboration among division companies. 28 Division Companies at a Glance 32 Textile Company 34 Machinery Company 36 Aerospace, Electronics & Multimedia Company 38 Energy, Metals & Minerals Company 40 Chemicals, Forest Products & General Merchandise Company 42 Food Company 44 Finance, Realty, Insurance & Logistics Services Company 46 Headquarters 28 Division Companies at a Glance ITOCHU Corporation and Subsidiaries Years ended March 31 Division Companies Net Income Before “Other, Adjustments & Total Assets Before “Other, Adjustments & Major Group Companies Major Products and Services Fiscal 2008 Eliminations” Fiscal 2008 Eliminations” Textile Company Prominent Apparel Ltd. • Textile materials ITOCHU TEXTILE (CHINA) CO., LTD. • Fabrics • Apparel products JOI’X CORPORATION • Fashion goods and accessories 9.6% 7.7% • Industrial textiles • Branded products based on total lifestyle-theme including apparel, food, and living Machinery Company ITOCHU Sanki Corporation • Gas, oil, and petrochemical plants ITOCHU Construction Machinery Co., Ltd. • Ships • Automobiles • Rolling stock • Power-generating equipment MCL Group Limited • Construction machinery • Textile machinery 10.6% 14.6% ITOCHU Automobile America Inc. • Industrial machinery • Food machinery • Plastics/polymer-related equipment Century Leasing System, Inc. • Electronic devices/electronics-related equipment • Water resources and environment-related equipment • New business related to renewable and alternative energy sources (solar power cells etc.) Aerospace, Electronics & Multimedia Company ITOCHU Techno-Solutions Corporation • Broadcasting and communication business • Electronic systems ITC NETWORKS CORPORATION • Internet-related business • Equipment for broadcasting and communication services • Programming supply and entertainment-related business Excite Japan Co., Ltd. 6.9% 10.8% • Mobile equipment and services • Life science business SPACE SHOWER NETWORKS INC. • Systems and related equipment for computers and information processing • Semiconductor equipment • Aircraft and in-flight equipment Division Companies • Air transportation management systems • Space-related equipment • Security equipment Energy, Metals & Minerals Company ITOCHU Metals Corporation • Iron ore • Coal ITOCHU Petroleum Japan Ltd. • Aluminum • Steel scrap • Steel products ITOCHU Minerals & Energy of Australia Pty Ltd • Crude oil 49.7% 19.3% ITOCHU Oil Exploration (Azerbaijan) Inc. • Petroleum products Marubeni-Itochu Steel Inc. • LPG • LNG • Nuclear fuel Chemicals, Forest Products & General Merchandise Company ITOCHU Kenzai Corp. • Building materials ITOCHU Pulp & Paper Corp. • Logs and lumber • Paper • Pulp ITOCHU CHEMICAL FRONTIER Corporation • Natural rubber • Tires • Ceramic products 9.3% 16.2% ITOCHU PLASTICS INC. • Basic chemicals • Fine chemicals PrimeSource Building Products, Inc. • Pharmaceutical products • Inorganic chemicals • Plastics • Various consumer products Food Company NIPPON ACCESS, INC. • Wheat and barley • Vegetable oils Japan Foods Co., Ltd. • Soybeans and corn • Beverage materials (juice, coffee) FamilyMart Co., Ltd. • Sugar, sweeteners • Dairy products 8.8% 22.5% • Marine, livestock and agri products • Frozen foods • Processed foods and pet foods • Soft drinks and liquor Finance, Realty, Insurance & Logistics Services Company ITOCHU Finance Corporation • Foreign exchange and securities trading, asset management business CENTURY 21 REAL ESTATE OF JAPAN LTD. • Loans • FX margin account trading • Credit card/shopping credit • Other financial services i-LOGISTICS CORP. • Property development,sales and purchase, and asset management 5.1% 8.9% Orient Corporation • Brokerage and advisory service • Equity investment to funds FX PRIME Corporation • Private finance initiatives (PFIs) • House construction • REIT management eGuarantee, Inc. • Golf courses • Insurance agent and insurance broker • Domestic and international 3PL • Chartering Division Companies at a Glance 29 Division Companies Net Income Before “Other, Adjustments & Total Assets Before “Other, Adjustments & Major Group Companies Major Products and Services Fiscal 2008 Eliminations” Fiscal 2008 Eliminations” Textile Company Prominent Apparel Ltd. • Textile materials ITOCHU TEXTILE (CHINA) CO., LTD. • Fabrics • Apparel products JOI’X CORPORATION • Fashion goods and accessories 9.6% 7.7% • Industrial textiles • Branded products based on total lifestyle-theme including apparel, food, and living Machinery Company ITOCHU Sanki Corporation • Gas, oil, and petrochemical plants ITOCHU Construction Machinery Co., Ltd. • Ships • Automobiles • Rolling stock • Power-generating equipment MCL Group Limited • Construction machinery • Textile machinery 10.6% 14.6% ITOCHU Automobile America Inc. • Industrial machinery • Food machinery • Plastics/polymer-related equipment Century Leasing System, Inc. • Electronic devices/electronics-related equipment • Water resources and environment-related equipment • New business related to renewable and alternative energy sources (solar power cells etc.) Aerospace, Electronics & Multimedia Company Division Companies ITOCHU Techno-Solutions Corporation • Broadcasting and communication business • Electronic systems ITC NETWORKS CORPORATION • Internet-related business • Equipment for broadcasting and communication services • Programming supply and entertainment-related business Excite Japan Co., Ltd. 6.9% 10.8% • Mobile equipment and services • Life science business SPACE SHOWER NETWORKS INC. • Systems and related equipment for computers and information processing • Semiconductor equipment • Aircraft and in-flight equipment • Air transportation management systems • Space-related equipment • Security equipment Energy, Metals & Minerals Company ITOCHU Metals Corporation • Iron ore • Coal ITOCHU Petroleum Japan Ltd. • Aluminum • Steel scrap • Steel products ITOCHU Minerals & Energy of Australia Pty Ltd • Crude oil 49.7% 19.3% ITOCHU Oil Exploration (Azerbaijan) Inc. • Petroleum products Marubeni-Itochu Steel Inc. • LPG • LNG • Nuclear fuel Chemicals, Forest Products & General Merchandise Company ITOCHU Kenzai Corp. • Building materials ITOCHU Pulp & Paper Corp. • Logs and lumber • Paper • Pulp ITOCHU CHEMICAL FRONTIER Corporation • Natural rubber • Tires • Ceramic products 9.3% 16.2% ITOCHU PLASTICS INC. • Basic chemicals • Fine chemicals PrimeSource Building Products, Inc. • Pharmaceutical products • Inorganic chemicals • Plastics • Various consumer products Food Company NIPPON ACCESS, INC. • Wheat and barley • Vegetable oils Japan Foods Co., Ltd. • Soybeans and corn • Beverage materials (juice, coffee) FamilyMart Co., Ltd. • Sugar, sweeteners • Dairy products 8.8% 22.5% • Marine, livestock and agri products • Frozen foods • Processed foods and pet foods • Soft drinks and liquor Finance, Realty, Insurance & Logistics Services Company ITOCHU Finance Corporation • Foreign exchange and securities trading, asset management business CENTURY 21 REAL ESTATE OF JAPAN LTD. • Loans • FX margin account trading • Credit card/shopping credit • Other financial services i-LOGISTICS CORP. • Property development,sales and purchase, and asset management 5.1% 8.9% Orient Corporation • Brokerage and advisory service • Equity investment to funds FX PRIME Corporation • Private finance initiatives (PFIs) • House construction • REIT management eGuarantee, Inc. • Golf courses • Insurance agent and insurance broker • Domestic and international 3PL • Chartering 30 Net Income (Loss) Total Asetts / ROA Financial Highlights Net Income (Loss) from Major Group Companies Frontier+ 2008 Strategies Total Assets (left) ROA (right) (Billions of Yen) (Billions of Yen) Textile Company (Billions of Yen) (Billions of Yen) (%) Years ended March 31 2004 2005 2006 2007 2008 • Pioneer and develop new businesses and aggressively 25 600 6 20.5 5.4 Gross trading profit ¥100.3 ¥112.8 ¥122.9 ¥124.6 ¥115.2 implement M&A activities 4.3 20 17.1 3.9 Net income 11.7 14.8 15.0 17.1 20.5 • Expand revenue and earnings from overseas operations 15.0 400 401.8 4 Identifiable assets at March 31 382.7 377.2 395.4 401.8 364.3 • Boost earning power of operating companies 15 395.4 364.3 ROA (%) 3.1 3.9 3.9 4.3 5.4 10 200 2 5 0 06 07 08 0 06 07 08 0 Machinery Company (Billions of Yen) (Billions of Yen) (%) Years ended March 31 2004 2005 2006 2007 2008 • Further expand core businesses, centered on automobiles, 25 21.1 22.6 800 3.8 3.4 4 Gross trading profit ¥ 51.1 ¥ 58.0 ¥ 69.5 ¥ 90.5 ¥100.5 2.9 ships, petroleum and chemical plants, and construction 20 Net income 3.9 10.5 13.7 21.1 22.6 600 635.8 690.9 3 machinery 13.7 Identifiable assets at March 31 433.6 451.4 489.0 635.8 690.9 15 489.0 • Develop new business fields, including environment, energy 400 2 ROA (%) 0.8 2.4 2.9 3.8 3.4 conservation, alternative energy sources (solar cells), IPPs and 10 water