<PAGE>
THE TOTAL NUMBER OF PAGES CONTAINED IN THIS DOCUMENT IS 18
FORM 6-K
--------
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of the
Securities Exchange Act of 1934
For the month of May 1999
NIPPON TELEGRAPH AND TELEPHONE CORPORATION
(Translation of registrant's name into English)
19-2, NISHI-SHINJUKU 3-CHOME
SHINJUKU-KU, TOKYO 163-19, JAPAN
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover of Form 20-F or Form 40-F.
Form 20-F X Form 40-F ___
---
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ___ No X
---
If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b):
82-___________.
<PAGE>
2
ANNOUNCEMENT OF FINANCIAL RESULTS FOR FISCAL YEAR ENDED MARCH 31, 1999
On May 26, 1999, the registrant filed with the Tokyo Stock Exchange and
other stock exchanges in Japan information as to the registrant's financial
condition and results of operations at and for the fiscal year ended March 31,
1998. Attached hereto is a copy of a press release dated May 26, 1999 pertaining
to such financial condition and results of operations, as well as forecasts for
the registrant's operations for the fiscal year ending March 31, 2000. The
financial information included in the press release was prepared on the basis of
accounting principles generally accepted in Japan and, accordingly, will not be
directly comparable to the financial information to be included in the
registrant's Annual Report on Form 20-F for the fiscal year ended March 31,
1999, which information will be prepared on the basis of accounting principles
generally accepted in the United States.
The earning projections for the fiscal year ending March 31, 2000
included in the attachment contain forward-looking statements. The registrant
desires to qualify for the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995, and consequently is hereby filing cautionary
statements identifying important factors that could cause the registrant's
actual results to differ materially from those set forth in the attachment.
The registrant's earning projections are based on a series of projections
and estimates regarding the economy and the telecommunications industry in Japan
in general. The projections and estimates regarding the telecommunications
industry may be affected by the pricing of services, the effects of competition,
and the success of new products, services and new business.
No assurance can be given that the registrant's actual results will not
vary significantly from the projected earnings.
<PAGE>
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
NIPPON TELEGRAPH AND TELEPHONE
CORPORATION
By /s/ Kazuto Tsubouchi
---------------------------------
Name: Kazuto Tsubouchi
Title: Senior Manager
Department V
NTT-Holding Provisional
Headquarters
Date: May 26, 1999
<PAGE>
[LETTERHEAD OF NTT NEWS RELEASE APPEARS HERE]
May 26, 1999
FOR IMMEDIATE RELEASE
NTT Announces Financial Results
for Fiscal Year Ended March 31, 1999
Nippon Telegraph and Telephone Corporation (NTT) announced today the
nonconsolidated financial results for its fiscal year ended March 31, 1999.
Operating revenues decreased 2.9% from the previous fiscal year to 6,137 billion
yen, recurring profit dropped 33.4% to 237.3 billion yen, and net income soared
118.6% to 386.2 billion yen. The substantial increase in net income was due
largely to a profit of 823.9 billion yen realized through NTT's sale of partial
holdings in NTT Mobile Communications Network Inc. (NTT DoCoMo), a former wholly
owned subsidiary that was listed on the first section of the Tokyo Stock
Exchange in October 1998.
On a consolidated basis, the group posted operating revenues of 9,729.6 billion
yen, a 3.0% increase from the previous fiscal year, recurring profit of 648.6
billion yen, a 8.0% increase, and net income of 602.6 billion yen, a 107.9%
increase.
The Japanese economy remained stagnant, with capital investment down sharply and
other factors showing no sign of significant improvement, although there were
indications of recovery in certain areas of consumer spending and residential
construction towards the end of the year.
The telecommunications market entered a new era of full-scale competition in
services, both domestic and international. Competition in domestic services
included local as well as long-distance markets. Also, foreign companies began
to operate in the domestic market on a full-fledged basis.
<PAGE>
Cross-border and cross-business competition took place on a dramatic scale, as
increases in inter-LAN communications and Internet users around the world fueled
expectations of the growth potential in computer-based communications.
NTT, operating on a strong base of highly advanced digitized networks,
strengthened its competitiveness and developed its international business by
introducing new discount services, further developing and opening up the
information market through the expansion of its optical fiber access networks
according to market demand, and the development of services for computer-based
telecommunications such as the Internet.
NTT enriched its Open Computer Network (OCN) service menu. It introduced "Super
OCN" a secure, high-quality service designed for high-traffic Internet users
such as universities and corporations, and "OCN Dial-Access Long" for Internet
dial-up access by users who are on-line for extended periods of time. "Digital
Access 1500" was added to existing services that provide easy-to-operate,
low-cost leased lines for short and medium distances. "Digital Reach" was
introduced for medium- to long-distance leased-line services.
The "Telesse" desktop multimedia telephone was launched for people who want
simplified access to the Internet, thereby creating new demand for on-line
communications between homes and offices.
Competitiveness was further strengthened by the introduction of new discount
services. "Time Plus," launched in selected markets in February 1998, was made
available nationwide. New service plans were added for "TeleChoice." NTT made
INS services more flexible with "INS Area Plus," which enables users to pay a
fixed fee to access the INS at distances of up to 20 kms for (Yen) 10 for 3
minutes ((Yen) 10 for 4 minutes during late night and early morning periods).
"INS Time Plus" is a new plan that offers local dialing at the rate of (Yen) 10
for 5 minutes ((Yen) 10 for 7 minutes during late night and early morning
periods).
The popularity of these new services enabled NTT to realize steadily rising
profits with its ISDN and other information networks.
The NTT group worked to expand the market for its global services. NTT
subsidiaries began providing Arcstar-brand services in September 1997 as a
<PAGE>
lead-up to full-scale participation in the international field following NTT's
reorganization in July 1999. Arcstar services were extended to 16 countries and
areas to meet the expanding telecom needs of individuals and corporations
operating in the global environment. NTT America Inc., NTT's wholly-owned
subsidiary, formed a strategic investment and business alliance with Verio Inc.,
a U.S.-based Internet service provider. It also began providing the Arcstar
Internet service for corporate customers in the U.S. through its wholly owned
subsidiary. NTT Worldwide Network Corporation became a signatory in the
Japan-U.S. Cable Network Construction and Maintenance Agreement to help meet
increasing demand for telecommunications in the greater Asia-Pacific region.
NTT developed its global business with a focus on Asia. StarHub, a consortium
formed by British Telecom, two Singaporean firms and NTT, received licenses to
provide basic telecommunications service and cellular mobile telephone services
in Singapore. Preparations were made for launching these services in April 2000.
NTT also established Beijing Telecom NTT Engineering Co., Ltd., a joint-venture
company with Beijing Telecommunications Administration, and began providing
system integration services, mainly in Beijing, shortly thereafter.
Personnel were reorganized to operate more efficiently and to expand into new
business fields. NTT finished outsourcing all directory assistance operations in
September 1998. In December 1998, NTT established NTT Directory Services Co. to
produce telephone books and handle information assistance operations, as well as
to expand and develop business opportunities for telephone number information.
In January 1999, NTT Infrastructure Network Corporation was set up to
concentrate technical know-how for more effective operation of basic facilities.
NTT continued to carry out research and development (R&D) and capital investment
aimed at the establishment of advanced telecommunications networks early in the
21st century, as well as the provision of high-quality telecommunications
services to underpin socio-economic activity.
Recognizing the importance of reinforcing the company's business performance and
financial performance as well as pursuing shareholders' interests over the long
term, NTT intends to pay fair dividends to shareholders, balanced with the need
for internal reserves. Based on this policy, NTT will pay a year-end
<PAGE>
dividend of 2,500 (Yen) per share, which, combined with the special dividend of
5,000 (Yen) due to the listing of NTT DoCoMo and the interim dividend of 2,500
(Yen), brings the annual dividend to 10,000 (Yen) per share.
Internal reserves will be used for future operations, including R&D and capital
expenditure for telecommunications networks, and to strengthen the corporation's
financial performance.
For the current fiscal year that will end on March 31, 2000, NTT forecasts
non-consolidated operating revenue of 1,701 billion yen, recurring profit of 93
billion yen and net income of 77 billion yen. On a consolidated basis, NTT
forecasts operating revenue of 10,236 billion yen, recurring profit of 713
billion yen and net income of -133 billion yen.
After adjusting the cumulative effect of a change in accounting principle for
income tax, net change in Retained earnings for the fiscal year ending March 31,
2000 will increase 477 billion yen.
All financial information stated in this release has been prepared on the basis
of Japanese accounting principles.
MILLENNIUM BUG (Y2K) PROBLEM
Compliance Status
(1) Policy
NTT, having responsibility for much of Japan's telecommunications infrastructure
and recognizing the Y2K problem to be a crucial managerial issue, has taken
great precautions in implementing Y2K countermeasures to ensure that
telecommunications services continue on a stable, uninterrupted basis.
(2) Organization
NTT began implementing measures to handle the Y2K problem, such as evaluating
internal systems, as early as March 1995, then launched a project to
<PAGE>
deal with the problem among all group companies in November of the same year. A
project to deal with Y2K problems in systems sold to NTT customers was started
in December 1997.
NTT, as part of the preparations for its reorganization in July 1999, made
large-scale changes in its systems and organizational structure, including
dividing the company into four provisional headquarters, each of which was given
a Y2K Compliance Committee. The Solution for System Crisis (SOS) Committee
coordinated Y2K measures among the headquarters and ensured that efforts
continued unabated after the headquarters were set up.
(3) Compliance Status
NTT's computer system that makes up its telecommunications services is divided
into two, the node system for network equipment, and business and customer
support systems for billing, network design and management.
(a) Node systems (network equipment)
NTT's network systems for telecommunication services use a four-digit date
format. Interconnections, transmissions and switching do not, moreover,
involve date-based data processing, so NTT anticipates no obstruction of
communications in these systems. Tests conducted with the systems, now
completed, revealed no problem.
Since date-sensitive information, such as accounts clearing, is not
exchanged between NTT and other telecommunications companies, there should
be no connection problem with such services.
Some video transmission services that use two-digit as well as four-digit
date formats needed to be modified. This work has been completed.
Manufacturers who have provided NTT with systems for network services, such
as toll-free services, have been asked to make necessary compliance
modifications in their hardware and/or operating systems by the end of June
1999.
<PAGE>
(b) Business and Customer Support Systems
NTT aims to complete Y2K required modifications of business and customer
support systems by the end of June 1999, in conjunction with work being
carried out for the NTT reorganization.
The breakdown of Y2K compliance work for key systems, including node,
business and customer support systems as of December 1998 was:
Systems requiring modification: 38%
Systems not requiring modification: 37%
Systems being discontinued or upgraded: 25%
Among the above, the compliance status of NTT-designated "crucial" systems
as of March 1999 was:
Completed modifications for node systems: 92%
Completed modifications for support systems: 85%
Completed simulation tests for node systems: 81%
Completed simulation tests for support systems: 66%
(c) In the future, to further ensure that NTT is fully ready to provide stable,
reliable service in the coming millennium, the corporation is considering
conducting simulated interconnections with other telecom carriers and
general companies and commissioning outside personnel to conduct audits.
Expenses for Y2K Measures
NTT has been promoting the digitization of networks since the 1980s and uses the
four-digit date format for switches. In 1992, NTT adopted a four-digit date
format for its internal business and customer support systems. NTT has made
capital investment for new developments with respect to the Y2K problem.
The estimated cumulative cost for all Y2K modifications made to existing systems
is 4 billion yen. These expenses are being treated as special development costs
as part of NTT's reorganization.
<PAGE>
Following the reorganization in July 1999, expenses will be allocated as ongoing
maintenance and repairs, or development costs.
Contingency Plan
As a provider of telecommunications infrastructure, NTT has always had
contingency systems and procedures in place to handle disasters, such as
earthquakes. In addition, NTT has always given high priority to designing vital
equipment and key operational systems with high reliability for customer support
and telecommunications services.
Since the date and time of Y2K problems can be accurately predicted, unlike
general disasters, it is possible to prepare for the problem and take necessary
precautions based on the level of estimated danger. In accordance with the
government's Y2K action plan, NTT is preparing its own Y2K contingency plans
based on existing contingency plans and procedures, but with special
consideration of the unique factors characteristic to this problem. These
contingency plans will be completed by the end of June 1999.
After the reorganization in July 1999, each newly formed company will develop
its own contingency plans and specific preparedness systems, encompassing
everything from customer support to vendors. These plans will continue to be
implemented until April 2000.
# # #
For further information, please contact:
Tomoyoshi Kosugi or Kenya Nakatsuka
NTT Public Relations
Telephone: (03) 3509-3101
e-mail: [email protected]
<PAGE>
Attachment 1
NIPPON TELEGRAPH AND TELEPHONE CORPORATION
------------------------------------------
NON-CONSOLIDATED BALANCE SHEET
------------------------------
(Based on Japanese Accounting Principles)
<TABLE>
<CAPTION>
March 31, 1998 March 31, 1999
-------------- ---------------
Millions Millions Millions
ASSETS of Yen of Yen of US$
- ------ ------ ------ ------
<S> <C> <C> <C>
FIXED ASSETS 9,404,747 9,361,082 78,009
CURRENT ASSETS 1,433,898 2,106,312 17,552
TOTAL ASSETS 10,838,646 11,467,394 95,561
=========== =========== =======
LIABILITIES
- -----------
LONG-TERM LIABILITIES:
Long-term debt 2,315,090 2,218,977 18,491
Liability for employees' severance payments 2,059,139 2,030,752 16,922
Other 74,916 19,444 162
Total long-term liabilities 4,449,146 4,269,174 35,576
----------- ----------- -------
CURRENT LIABILITIES:
Current portion of long-term debt 403,823 447,562 3,729
Accounts payable, trade 520,734 699,936 5,832
Accrued taxes on income 30,122 425,924 3,549
Other 833,685 717,208 5,976
Total current liabilities. 1,788,365 2,290,631 19,088
----------- ----------- -------
TOTAL LIABILITIES 6,237,512 6,559,806 54,665
----------- ----------- -------
SHAREHOLDERS' EQUITY
- --------------------
Common stock 795,600 795,600 6,630
Additional paid-in capital 2,530,476 2,530,476 21,087
Legal reserve 99,477 107,453 895
Special depreciation reserve 59,507 64,196 534
General reserves 895,000 895,000 7,458
Unappropriated retained earnings 221,072 514,861 4,290
TOTAL SHAREHOLDERS' EQUITY 4,601,133 4,907,588 40,896
----------- ----------- -------
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 10,838,646 11,467,394 95,561
=========== =========== =======
</TABLE>
Note: Yen amounts have been translated, for convenience only, at Y120 =
US$1.00, the approximate exchange rate on March 31 1999. Factors are
rounded down.
<PAGE>
Attachment 2
NIPPON TELEGRAPH AND TELEPHONE CORPORATION
------------------------------------------
NON-CONSOLIDATED STATEMENTS OF INCOME
-------------------------------------
(Based on Japanese Accounting Principles)
<TABLE>
<CAPTION>
Fiscal Year Ended March 31
------------------------------
1998 1999
-------- -----------------------
Millions Millions Millions
of Yen of Yen of US$
------ ------ ------
<S> <C> <C> <C>
OPERATING REVENUES 6,322,344 6,137,003 51,141
OPERATING EXPENSES 5,913,700 5,893,171 49,109
OPERATING INCOME 408,643 243,831 2,031
NON-OPERATING REVENUES 94,773 112,897 940
NON-OPERATING EXPENSES 146,800 119,359 994
RECURRING PROFIT 356,616 237,368 1,978
EXTRAORDINARY PROFIT -- 823,929 6,866
EXTRAORDINARY LOSSES 64,679 175,587 1,463
INCOME BEFORE TAXES 291,936 885,711 7,380
CORPORATION AND INHABITANT TAXES 115,300 -- --
INCOME TAXES -- 499,500 4,162
NET INCOME 176,636 386,211 3,218
------- ------- -----
PER SHARE DATA (in exact) of Yen of Yen of US$
------ ------ ------
NET INCOME 11,100 24,271 202
CASH DIVIDEND 5,000 10,000 83
</TABLE>
Note: Yen amounts have been translated, for convenience only at Y120=US$1.00,
the appropriate exchange rate on March 31, 1999. Fractions are rounded
down.
<PAGE>
Attachment 3
Proposal of Appropriation of Unappropriated Retained Earnings
-------------------------------------------------------------
<TABLE>
<CAPTION>
(Millions of Yen)
------------------------------------------------------------------------------------------------------------
Fiscal Year Fiscal Year
Ended March 31, 1998 Ended March 31, 1999
------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Unappropriated Retained Earnings 221,072 514,861
for the Year
Reversal of Special Depreciation 12,007 14,393
Reserve
Total 233,080 529,255
Proposal of Appropriation:
Legal Earned Reserve 3,998 11,953
Cash Dividends 39,779 119,339
(Y2,500 per share) (Y7,500 per share)
(Cash Dividends Y2,500)
(Special Dividends Y5,000)
Bonuses to Directors and 197 190
Corporate Auditors
(Portion to Corporate (21) (21)
Auditors)
Reserve for buy-back of shares --- 120,000
Special Depreciation Reserve 16,696 4,456
Profits Brought Forward 172,408 273,316
------------------------------------------------------------------------------------------------------------
</TABLE>
Note: 1. An interim dividend of Y39,779 million (Y2,500 per share) was
paid to shareholders on December 11, 1998.
2. Reserves for buy-back of shares is for both acquisition of own stock
through profit allocation and retirement of stock.
3. Reversal and provision of the special depreciation reserve are in
accordance with the Special Taxation Measures Law.
<PAGE>
Attachment 4
Business Results (Non-consolidated Operating Revenues)
------------------------------------------------------
(Based on Japanese Accounting Principles)
<TABLE>
<CAPTION>
(Millions of Yen)
- ---------------------------------------------------------------------------------------
Service Fiscal Year Ended Fiscal Year Ended Increase
March 31, 1998 March 31, 1999 (Decrease)
- ---------------------------------------------------------------------------------------
<S> <C> <C> <C>
Voice Transmission Services 4,867,802 4,599,272 (268,529)
Major Items:
ISDN Services 411,568 596,051 184,483
Data Transmission Services 82,911 111,669 28,758
Leased Circuit Services 605,761 640,020 34,259
Telegram Services 90,781 84,423 (6,358)
Other Services 314,828 313,017 (1,810)
Telecommunications 5,962,085 5,748,404 (213,680)
Total Revenues
- ---------------------------------------------------------------------------------------
Related Business 360,258 388,699 28,340
Total Revenues
- ---------------------------------------------------------------------------------------
Total Operating Revenues 6,322,344 6,137,003 (185,340)
- ---------------------------------------------------------------------------------------
</TABLE>
Note: Fractions are rounded down.
<PAGE>
Attachment 5
NIPPON TELEGRAPH AND TELEPHONE CORPORATION
------------------------------------------
CONSOLIDATED BALANCE SHEET
--------------------------
(Based on Japanese Accounting Principles)
<TABLE>
<CAPTION>
March 31, 1998 March 31, 1999
-------------- --------------
Millions Millions Millions
of Yen of Yen of US$
------ ------ ------
<S> <C> <C> <C>
ASSETS
- ------
FIXED ASSETS 12,751,322 13,703,898 114,199
CURRENT ASSETS 2,371,958 3,708,290 30,902
TOTAL ASSETS 15,123,280 17,412,188 145,101
========== ========== ==========
LIABILITIES
- -----------
LONG-TERM LIABILITIES:
Long-term debt 4,671,113 4,511,390 37,594
Liability for employees' severance payments 2,197,699 2,193,662 18,280
Other 180,878 233,103 1,942
Total long-term liabilities 7,049,592 6,938,155 57,817
---------- ---------- ----------
CURRENT LIABILITIES:
Current portion of long-term debt 811,781 854,242 7,118
Accounts payable, trade 635,523 875,987 7,299
Short-term borrowings 341,995 232,159 1,934
Accrued taxes on income 192,553 492,775 4,106
Other 1,173,748 1,054,407 8,786
Total current liabilities 3,155,601 3,509,572 29,246
---------- ---------- ----------
TOTAL LIABILITIES 10,205,193 10,447,728 87,064
---------- ---------- ----------
MINORITY INTEREST IN CONSOLIDATED
SUBSIDIARIES 118,826 750,538 6,254
SHAREHOLDERS' EQUITY
- --------------------
Common stock 795,600 795,600 6,630
Additional paid-in capital 2,530,476 2,530,476 21,087
Legal reserve 99,477 -- --
Retained earnings 1,373,748 2,888,757 24,072
Treasury stock (42) (911) (7)
TOTAL SHAREHOLDERS' EQUITY 4,799,260 6,213,922 51,782
---------- ---------- ----------
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY 15,123,280 17,412,188 145,101
========== ========== ==========
</TABLE>
Note: Yen amounts have been translated, for convenience only, at 120 (Yen)= US
$1.00, the approximate exchange rate on March 31, 1999. Fractions are
rounded down. Pursuant to an amendment of the Regulations Concerning
Terminology, Forms and Preparation Method of Consolidated Financial
Statements, minority interest is shown independently between liabilities
and assets for the fiscal year ended March 31, 1999 and, accordingly, the
same has been done for the fiscal year ended March 31, 1998. Pursuant to
an amendment of the Regulations Concerning Terminology, Forms and
Preparation Method of Consolidated Financial Statements, "Legal reserve"
as of March 31, 1999 has been reclassified and included in "Retained
earnings."
<PAGE>
Attachment 6
NIPPON TELEGRAPH AND TELEPHONE CORPORATION
------------------------------------------
CONSOLIDATED STATEMENTS OF INCOME
---------------------------------
(Based on Japanese Accounting Principles)
<TABLE>
<CAPTION>
Fiscal Year Ended March 31
------------------------------------------
1998 1999
------------- ------------------------------
Millions Millions Millions
of Yen of Yen of US$
------ ------ ------
<S> <C> <C> <C>
OPERATING REVENUES 9,450,013 9,729,673 81,080
OPERATING EXPENSES 8,643,605 8,859,402 73,828
OPERATING INCOME 806,408 870,270 7,252
NON-OPERATING REVENUES 63,036 69,743 581
NON-OPERATING EXPENSES 268,863 291,376 2,428
RECURRING PROFIT 600,582 648,638 5,405
EXTRAORDINARY PROFIT --- 785,420 6,545
EXTRAORDINARY LOSS --- 132,450 1,103
INCOME BEFORE TAXES 600,582 1,301,607 10,846
CORPORATION AND 285,027 --- ---
INHABITANT TAXES
CORPORATION, INHABITANT --- 659,112 5,492
AND ENTERPRISE TAXES
MINORITY INTEREST IN CONSOLIDATED 25,691 39,804 331
SUBSIDIARIES
NET INCOME 289,863 602,690 5,022
------- ------- -----
</TABLE>
Note: Yen amounts have been translated, for convenience only, at 120 (Yen) =
US$1.00, the approximate exchange rate on March 31, 1999. Fractions are
rounded down. Pursuant to an amendment of the Regulations Concerning
Terminology, Forms and Preparation Method of Consolidated Financial
Statements, enterprise tax has been reclassified and included in
"Corporation Inhabitant and Enterprise Tax."
<PAGE>
Attachment 7
NTT's New Board of Directors
----------------------------
(subject to shareholders' approval)
Chairman
Shigeo Sawada
President
Jun-ichiro Miyazu
Senior Executive Vice Presidents
Norio Wada
Yusuke Tachibana
Executive Vice President
Toshiyuki Mineshima
Senior Vice Presidents
Kunihiro Kato Kanji Koide Shigehiko Suzuki
Hiromi Wasai Toyohiko Takabe Takashi Imai
Yotaro Kobayashi
Corporate Auditors
Tadashi Yamamoto Keisuke Sada Makoto Yoshida
Hideaki Toda
Note: The first four members of this list are nominated for positions with
representative authority.
<PAGE>
Attachment 8
Shares and Shareholders
1. Classification by Holders
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
Details
------------------------------------------------------------------------------------------------------------------------------
Government Financial Securities Other Foreign Domestic Total Odd-lot
and public Institutions Firms Domestic Corporations Individuals Shares
bodies Corporations (Individuals, etc.) etc.
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Total Holders 1,195
4 754 152 15,511 (81) 1,366,125 1,383,741
- ------------------------------------------------------------------------------------------------------------------------------------
Total 1,662,449
Shares 9,419,393 1,642,913 27,008 364,707 (325) 2,749,472 15,885,942 46,058
----------------------------------------------------------------------------------------------------------------------------------
% % 10.48
59.37 10.35 0.17 2.50 (0.00) 17.35 100
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
1. "Other Domestic Corporations" includes 2,350 shares under the name of Japan
Securities Depository Center and "Odd-lot Shares" includes 0.72 shares also
under the name of Japan Securities Depository Center.
2. "Domestic Individuals, etc." includes 134 shares of treasury stock and "Odd-
lot Shares" includes 0.14 shares of treasury stock. The actual number of
treasury stocks at the end of March 31, 1999 was 117.14.
3. The number of shareholders who own only odd-lot shares is 184,676.
2. Classification by Number of Shares
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
Details
------------------------------------------------------------------------------------------------------------------------------
At Least At Least 500 At Least 100 At Least 50 At Least 10 At Least 5 At Least 1
1,000
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
- ------------------------------------------------------------------------------------------------------------------------------------
Number of
Holders 341 166 1,265 1,342 25,626 62,349 1,292,652
----------------------------------------------------------------------------------------------------------------------------------
%
0.02 0.01 0.09 0.10 1.85 4.51 93.42
- ------------------------------------------------------------------------------------------------------------------------------------
Total
Shares 12,797.694 113,686 245,529 86,277 994,285 372,137 1,852,334
----------------------------------------------------------------------------------------------------------------------------------
%
80.66 0.72 1.57 0.54 2.49 2.35 11.67
- ------------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
Details
------------------------------------------------------------------------------------------------------------------------------
Odd-lot
Total Shares
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Number of
Holders 1,383,741
----------------------------------------------------------------------------------------------------------------------------------
% 100
- ------------------------------------------------------------------------------------------------------------------------------------
Total
Shares 15,865,942 46,058
----------------------------------------------------------------------------------------------------------------------------------
% 100
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
1. "At Least 1,000" includes 2,350 shares under the name of Japan Securities
Depository Center "Odd-lot Shares" includes 0.72 shares under the name of
Japan Securities Depository Center.
2. "At Least 100" includes 134 shares of treasury stock and "Odd-lot Shares"
includes 0.14 shares of treasury stock.
3. Principal Shareholders
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
Name Share Holdings Percent of Total Shares Issued
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
%
Minister of Finance 9,419,339.24 59.20
The State Street Bank and Trust Company 206,523.00 1.30
The Sumitomo Trust & Banking Co., Ltd. 171,730.00 1.08
NTT Employee Share-Holding Association 151,184.22 0.95
The Mitsubishi Trust and Banking Corporation 121,105.00 0.76
Boston Safe Deposit BSDT Treaty Clients 102,439.00 0.64
Omnibus
The Chase Manhattan Bank, N.A. London 99,751.00 0.63
Morgan Stanley Trust Company-Taxable 92,943.00 0.58
Client Account
Nippon Life Insurance Company 85,717.68 0.54
The Chuo Trust & Banking Co., Ltd. 80,862.00 0.51
- ------------------------------------------------------------------------------------------------------------------------------------
Total 10,531,594.14 66.19
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
