The summary of non-consolidated financial results for the year ended March 31, 2003 is as follows.

Electricity sales increased from the previous term mainly due to the increase of electricity demand for heating. However, revenues from electricity sales decreased compared with fiscal 2002 principally because of the rate cut implemented last October.

We fulfilled early retirement scheme in order to reduce manpower cost in the future, and personnel expenses increased considerably last year. However, cost reductions, such as in fuel costs and maintenance costs offsets these adverse factors, and ordinary income resulted in an increase of JPY22.9bn compared with 2002. Ordinary income increased in fiscal 2003 compared with fiscal 2002.

As for special profit/loss, we discontinued construction of Kaneihara pumped-storage hydro electric power plant and sold investment securities in order to improve asset efficiency and downsize our balance sheet.

Finally, our total assets at the end of March 2003 went below JPY7 trillion mainly because of the reduction of capital expenditures. Interest-bearing debt decreased by JPY251.6bn from the previous fiscal year-end. We think that our financial position is improving steadily.