WE SUPPORT AVIATION INDUSTRY ANNUAL REPORT Year Ended March 31, AIRPORT FACILITIES CO., LTD.

Transcription

1 WE SUPPORT AVIATION INDUSTRY ANNUAL REPORT 216 Year Ended March 31, AIRPORT FACILITIES CO., LTD.

2 Our Mission Our mission is to play a vital role in the progress of aviation as a pivotal private company operating mainly at airports, through creating and providing necessary facilities and functions at airports. Corporate Philosophy 1 We will continually advance ahead of the demands and changes of the times by producing creative innovation and we will endeavor to raise corporate value. 2 We make effort to be a reliable and trusted company that always provides value which satisfies customers and complies with public expectation. 3 We will foster our staff, and encourage and reward the efforts they make and the challenges they tackle. 4 As a member of civil society, we observe rules and respect fairness. CONTENTS Message from the President & Highlights of Business Result... 1 Business Outline... 3 Recent Efforts for Achieving Long-term Stable Growth... 5 Special Topic: Project Report Further Efforts in Overseas Businesses....7 Future Business Direction toward Further Value Creation... 9 Outline of Consolidated Financial Statement and the Forecast on the Performance and Dividend Next Year Financial Highlights (Five years) Corporate Governance President and CEO Message from the President & Highlights of We strive to reinforce our Business results, annual dividend and business environment of fiscal year ended March 216 Business results of our Group in the fiscal year ended March 216, net sales and operating income both decreased from the previous term, affected by the streamlining of airline companies under the severe competition environment. However, with an increase in commission fee, ordinary income and net profit increased from the previous term. As for dividend, we continuously strive to stably return 12. per share annually to our shareholders. Tokyo International Airport, our company s business base, is considering to further expand its airport function following significant increase in the number of inbound passengers to Japan. Airline companies face the issue of responding to the lack of pilots due to the increase in demand for aviation service, and Net sales Operating income The statements about future described on this report such as earnings forecasts have been made based on information currently available and some conditions that we judge rational. Actual earnings may differ greatly from the above forecasts for various reasons. 2.6billion 2.9billion - 2.% year on year - 7.% year on year 1 AIRPORT FACILITIES CO., LTD.

3 Business Result business foundation, aiming to achieve stable long-term growth. demand for training is increasing accordingly. In addition, demand for aviation service abroad, especially in Asia, is growing more than ever, and demand for airport-related facilities including pilot training facilities is increasing. Our Group grasps these demand trends adequately, and implements business by trying to utilize the existing facilities and expand the customer base. Business development in Japan There is a new movement in Tokyo International Airport to interpret the air cargo storage as a base for distributive processing. By further utilizing the air cargo storage, our company is putting effort into expanding the use of our facilities. At regions near Tokyo International Airport, a second hotel following Tokyu Stay Kamata is about to be completed in the near future in Haneda Asahi-cho, along with the increase in accommodation demand. Among regional airports, we started construction of a hangar in Kitakyushu Airport, and constructed a solar power plant plant in Mizunami City, Gifu Prefecture While trying to expand the customer base, we are also starting new businesses. Business development abroad In overseas, we provide aviation-related facilities such as hangars and engine maintenance plants to Airbus Group at Singapore Seletar Airport. The current issue there is a lack of pilots, as is in Japan, due to worldwide increase in demand for aviation service. As an effort to respond to the needs for the training of such pilots, our company newly started financing simulators and leasing training facilities for Airbus Group. Business development in the future Going forward, further reinforcement of Tokyo International Airport s function is expected along with the increase of inbound passengers to Japan, and training/maintenance needs among airline companies will increase according to demand expansion for aviation service. This will also lead to an increase in demand for aviation-related facilities, so we consider these as an important opportunity for the business of our Group. From the fiscal year ending March 217, we are expecting increases in both net sales and operating income with the start of the operation of new facilities and the expansion of business abroad. For further business recovery, we will implement our business by uniting the efforts of the entire Group. Ordinary income Profit attributable to owners of parent Cash dividends per share ROE Operating income before depreciation billion 1.9billion 3.9% 6.9billion +.3% year on year % year on year The same as the previous fiscal year +.8 points year on year +.17% year on year ANNUAL REPORT 216 2

4 Business Outline As a business portfolio unique to our company, we are engaged in businesses such as Real Estate Business mainly in airports and regions near the airport, Area Heating and Cooling Business that support airport infrastructure, and Water Supply and Drainage Service and Other Businesses. Water Supply & Drainage Service and Other Business 1.7% Area Heating & Cooling Business 15.3% Net Sales by Business Segment ( 16/3) Real Estate Business 74.% Real Estate Net sales ( 16/3) Business 15.3billion(-1.6% ) Component Maintenance Building Domestic Air Cargo Terminal (Tokyo International Airport) 12 Airports where we deploy our business Core business Leasing of real estate such as multi-purpose general buildings, hangars, maintenance plants, apartments, hotels, and plant buildings in airports in Japan and abroad and regions along the railway line connected to the airport Major companies Airport Facilities Co., Ltd., AIRPORT FACILITIES ASIA PTE. LTD. Major business investments ( 16/3) Haneda Asahi Cho hotel Kitakyushu Airport hangar Overseas (Singapore) Overseas location Other regional airports 3.3% Overseas.7% Osaka International Airport 1.6% Kansai International Airport 2.% Net Sales by Region ( 16/3) Outside Airport 9.7% Tokyo International Airport 82.7% Central Japan Int l (Centrair) Osaka Int l (Itami) Kobe Kitakyushu Fukuoka Kagoshima Naha Kansai Int l Hiroshima Heliport Net sales/operating income ( Million) 2, 15, 1, 5, Net sales New Chitose Sendai Tokyo Int l Airport, Tokyo Metropolitan area 214/3 215/3 216/3 Operating income Singapore: Seletar airport Although simulator facilities at Tokyo International Airport and two properties abroad started operation, with the business cancellation of the contracts in previous term and the rent reduction, net sales and operating income both decreased. 3 AIRPORT FACILITIES CO., LTD.

5 Area Heating & Cooling Business Net sales ( 16/3) Water Supply & Drainage Service and Other Business Net sales 3.1billion(-.8% ) ( 16/3) 2.2billion(-5.6%) Energy Center (Tokyo Airport Heating & Cooling Co., Ltd.) High-efficiency Electric Turbo Chiller Core business Provision of cooling and heating functions at Tokyo International Airport (area heating and cooling business) Major companies Tokyo Airport Heating & Cooling Co., Ltd. Major business investments ( 16/3) Renewal of chiller and cooling tower Water supply & drainage facilities in the reclaimed land area offshore (Tokyo International Airport) Shared Communication Service (Tokyo International Airport) Core business Water supply and drainage business, local area communication networks business at Tokyo International Airport, and solar power generation business Major companies Airport Facilities Co., Ltd. Major business investments ( 16/3) Solar power plant in Mizunami City, Gifu Prefecture Areas covered by our heating and cooling system in Tokyo International Airport Runway D Areas covered by our local area communication network Runway C Runway D Domestic cargo area Domestic passenger area New aircraft maintenance area Runway C Runway A Domestic cargo area Domestic passenger area New aircraft maintenance area Runway B Former aircraft maintenance area (1-chome district) International passenger and cargo area Runway B Former aircraft maintenance area (1-chome district) Runway A International passenger and cargo area Net sales/operating income ( Million) 4, Net sales Operating income 3, 2, 1, 214/3 215/3 216/3 While the area heating and cooling business at Haneda Airport 1-Chome District was terminated, with the sound business of Tokyo Airport Heating & Cooling Co., Ltd. and reduction in the price of electricity and fuel gas bills net sales decreased but operating income increased. Net sales/operating income ( Million) 2,5 2, Net sales Operating income 1,5 1, 5 214/3 215/3 216/3 Both net sales and operating income decreased due to partial cancellation of a shared telecommunication networks and increase in depreciation expenses associated with renewal of facilities, despite steady growth of water supply and drainage service and start of operation in the solar power plant in Mizunami City, Gifu Prefecture. ANNUAL REPORT 216 4

6 Recent Efforts for Achieving Long-term Stable Growth Aviation industry that will continue to develop in the future Worldwide air passenger demand ( ) Annual average growth of 4.9% is expected* Worldwide air cargo demand ( ) Annual average growth of 4.7% is expected* *Source: CURRENT MARKET OUTLOOK by The Boeing Company 1 Recent efforts in Tokyo International Airport and regions along the railway line connected to the airport Our Group will continuously strive to achieve long-term stable growth, by capturing business opportunities in Japan and abroad, and by continuously creating values with the original know-how of the supporting aviation industry Efforts for the further utilization of air cargo storage CSN ChihouSouseiNetwork Co., Ltd., which moved into the air cargo storage last June, is working to expand demand by utilizing the cargo storage facing the aircraft parking spots as a base for distributive processing and connecting the production area and consumption area of fishery products. [Outline] East Cargo Area (reference photo) Occupancy: June 215 Use: Haneda Fresh Fish Center, a fresh fish sorting facility within the airport The second hotel located along the railway line connected to the airport is under construction With the expected increase in demand of accommodation mainly for inbound users (those who visit Japan from abroad) in areas along the railroad line connected to Tokyo International Airport, the second hotel is currently under construction and scheduled to be completed in July 216. Image of the lobby floor [Outline] Location: Ohta-Ku, Haneda Asahi-Cho, Tokyo Scheduled completion date: July 216 (planned) 5 AIRPORT FACILITIES CO., LTD.

7 2 Recent efforts in regional airports and local cities 3 Efforts abroad Kitakyushu Airport Singapore Seletar Airport Airports where we deploy our business (12 airports in Japan) Operation of facilities and expansion of customer base at regional airports In December 215, our company started the construction of a hangar in Kitakyushu Airport. This hangar is scheduled to be used as an aircraft maintenance hangar, and the airport is one of the bases for conducting the test flight of the mass-production aircraft of MRJ (Mitsubishi Regional Jet) by Mitsubishi Aircraft Corporation. [Outline] Start of construction: December 215 Use: Aircraft maintenance hangar MRJ (Photo courtesy: Mitsubishi Aircraft Corporation) Coping with the needs in accordance with the increasing international demand for pilots Demand for aviation service is growing abroad, especially in Asia, and the international shortage of pilots is becoming an urgent issue. Under such situation, we started the leasing of pilot training facilities for Airbus Asia Training Centre in April 216. [Outline] (Training facility) Construction completed in: April 216 Use: Pilot training facility Leased to: Airbus Group Singapore Pte. Ltd. Seletar Airport Please refer to the Special Topic on pp Facilities provided by our company (Engine maintenance plant) Facilities provided by our company (Hangar) Facilities provided by our company (Pilot training facility) Offering services at Singapore Seletar Airport ANNUAL REPORT 216 6

8 Special Topic Project Report Further efforts in overseas businesses Provide aviation-related facilities in response to the booming demand in Asia Aviation-related demand is increasing worldwide, and, especially in Asia, it is expanding more than ever following the increase of population. In specific, in addition to demand for facilities related to the production and maintenance of aircraft, there is a need for training facilities in order to resolve the problem of pilot shortage. Accordingly, in order to take in such booming aviation-related demand, our company is actively developing its business overseas. We established a locally-incorporated company in Singapore (AFA) and in Canada (AFN). December 214 Business Development in Singapore March 214 November 213 [Outline of overseas subsidiary] *As of March 31, 216 Company name: AIRPORT FACILITIES ASIA PTE. LTD.(AFA) Established: November 213 Representative: Hiroshi Maruyama (President and CEO of the Company) Capital stock: 4,218 million yen (23.7 million Singapore dollars) Shareholder: Airport Facilities Co., Ltd. (1%) Started providing hangar for Airbus Helicopters Started the leasing of aircraft engine maintenance, repair and overhaul (MRO) plant for Vector Aerospace Asia [MRO business] MRO stands for maintenance, repair and overhaul. It includes various industries related to the maintenance and repair of aircraft. 7 AIRPORT FACILITIES CO., LTD.

9 April 216 Frontline Efforts VOICE Started the leasing of pilot training facilities for Airbus Asia Training Centre NEW A telephone meeting with the overseas worksite Executing an agreement overseas The facility that started to be leased from April 216 within the premises of Singapore Seletar Airport is a pilot training facility equipped with the highest level of technology, which can hold ten units of full flight simulators for Airbus aircraft (existing and new models). In addition, the company is financing the simulator to be installed and used in the facility from August 215. [Airbus Asia Training Centre] A flight training facility jointly established by Airbus (55%) and Singapore Airlines (45%). Provides pilot type rating and recurrent training courses for all in-production Airbus jetliner types. The starting point of our overseas business goes back to 211, when the company started providing hangars for Airbus Helicopters in Kobe Airport. Since then, the company has been actively working on business to provide facilities to customers abroad on-site, backed up by technologies and know-how developed through our years of experience in Japan. We consider the recent rapid increase in aviation-related demand worldwide, especially in Asia, as a significant business opportunity. We would like to actively reach not only aircraft manufacturers but also MRO business operators to expand our client base. ANNUAL REPORT 216 8

10 Future Business Direction toward Further Value Creation Airport Facilities Co., Ltd. will actively capitalize on business opportunities in Japan and abroad, including the further development of Tokyo International Airport, revitalization of regional airports, management reform by airline companies and the expansion of overseas demand. Changes in Business Environment Airports Reinforcement and expansion of airports in Tokyo Metropolitan Area Increase in the number of visitors to Japan, mainly via Haneda, and increase in demand for international flights Hosting Tokyo Olympic and Paralympic Games Diversification of materials used in regions Airline Companies Training and maintenance demand Coping with the lack of pilots Reinforcement of new and innovative equipment with superior fuelefficiency Overseas Demand abroad Strong demand for aviation services mainly in Asia Needs for training facilities and maintenance plants according to the increase in aircraft demand Trend in the number of air travelers, number or arrivals and departures, and the volume of handled cargo in Tokyo International Airport Number of air travelers and number of arrivals and departures (Million) 7 Number of international passengers (Ten thousand times) Number of arrivals and 7 departures of international flights Number of domestic passengers Number of arrivals and departures of domestic flights /3 13/3 14/3 15/3 16/3 (Forecast) Source: Report on the State of Airport Management by Calendar and Fiscal Years by the Ministry of Land, Infrastructure, Transport and Tourism *The forecast for the fiscal year ended March 216 is made by our company. 9 AIRPORT FACILITIES CO., LTD. Volume of air cargo handled (thousand tons) Domestic air cargo International air cargo /3 13/3 14/3 15/3 16/3 (Forecast) Source: Report on the State of Airport Management by Calendar and Fiscal Years by the Ministry of Land, Infrastructure, Transport and Tourism *Not including the volume handled as postal items *The forecast for the fiscal year ended March 216 is made by our company. Tokyo International Airport Plan to increase arrival/departure slots by 39, to 447, Increase in passenger-related business (hotel) Increase in those engaged in aviation-related business (bachelor apartments for employees, etc.) Further expansion of airport capacity is being considered Simulators and other training facilities

11 Future approaches by the Company Promotion of businesses in the airport and regions near the airport Efforts in Tokyo International Airport Providing airport function facilities (simulator facilities, etc.) Further utilization of air cargo storage (regional revitalization) Coping with the problem of vacant rooms Efforts in regions near Tokyo International Airport Construction of a hotel (Haneda Asahi Cho) Construction of apartments (along the Airport Line) Taking on the new frontier Efforts at regional airports Further efforts in overseas businesses Construction of a hangar (Kitakyushu) Participation in the concession based on laws on the operation of airports utilizing privatesector initiative Efforts towards the expansion of customer base Providing facilities in reaction to the strong demand for aviation services abroad Further excavation of projects in Singapore Providing facilities in Canada Facilities related to aircraft manufacturers in Japan and abroad Sales to MRO business operators Exploit the know-how developed in Japan also in overseas market. Expand the values we provide internationally MRO business support for the new customers (provision of facilities) Strive for further expansion Forecast of demand for commercial aircrafts abroad ( ) (Thousands) 5 Worldwide demand: 4 Doubling 3 Demand in Asia: Approx. threefold, 2 9% 1 Airbus Helicopters Japan [Kobe] TAMAGAWA AERO SYSTEMS [Haneda] Vector Aerospace Asia [Singapore] Approx.4 thousands 17% 18% developing into the world s 18% largest market 28% 214 Latin America Middle East /Africa Europe 22% 28% Russia, etc. 35% North America Asia 234 (Source: Average figure calculated from the data released by BOEING/AIRBUS) ANNUAL REPORT 216 1

12 Outline of Consolidated Financial Statement and Outlook for the Performance and Dividend Next Year Outline of Consolidated Financial Statement Outline of fiscal year ended March 216 ( Million) 21, ,697 21,63 2 2, ,49 3,173 3,165 3,164 3,29 FY ended March 31, 215 FY ended March 31, 216 FY ending March 31, 217 (Outlook) 1,55 4 1,935 2,13 Net sales Operating income Ordinary income Profit attributable to owners of parent 1 (Net sales) Despite the start of the operations of simulator facilities in Tokyo International Airport and a small-sized hangar and engine plant in Singapore, stable growth of the area heating and cooling business, and increase in water usage due to increase in the number of travelers, net sales decreased by 2.% from the previous term due to the impact of tenants moving out during the term, decrease in rent, and the termination of heating and cooling business at Haneda Airport 1-Chome District. 2 (Operating income) While there were factors for increase in income, including the reduction of electricity and fuel gas bills, the operating income decreased by 7.% from the previous term due to repair expenses due to the moving in of tenants and increase in depreciation expense associated with renewal of equipment for shared telecommunication network. 3 (Ordinary income) Increase in commission fee and the reactionary decline of provision for removal cost contributed in the increase of ordinary income by.3% from the previous term. 4 (Profit attributable to owners of parent) Profit attributable to owners of parent increased by 28.6% due to the recording of extraordinary income from the sale of non-current assets and also on the rebound from the previous term marking loss on retirement of non-current assets. Outline of Consolidated Balance Sheet ( Million) Current assets 1,996 Non-current assets 73,273 Total assets 84,27 Current liabilities 11,59 Non-current liabilities 22,45 Net assets 5,715 1 Total assets 85,214 Current assets Current liabilities 8,462 16,567 Non-current 2 liabilities 25,17 Non-current assets 68,647 Net assets 51,644 As of March 31, 215 As of March 31, Outlook for the next term As for the fiscal year ending March 217, we expect increase in both income and profit, with the start of the operations of new facilities, annual sales secured with tenants moved into existing facilities, and further expansion of overseas business. Financial position as of March 31, (Total assets) Total assets increased 944 million (1.1%) as a result of new investments in a consolidated subsidiary in Singapore as well as in hotel business and solar power generation business in Japan. 2 (Liabilities) Liabilities slightly increased 15 million (.%) mainly due to an increase in long-term loans payable and guarantee deposits received. 3 (Net assets) Net assets increased 929 million (1.8%) mainly due to an increase in retained earnings, resulted in increase of equity ratio to 58.5% (.2 points). 11 AIRPORT FACILITIES CO., LTD.

13 Outline of Consolidated Cash Flow ( Million) 5,891 1 Cash flows from 3 Cash flows from operating activities financing activities 89-2,453 2 Cash flows from investing activities 1,731-4 Effect of exchange rate change on cash and cash equivalents 5,974 1 Net cash provided by operating activities was 89 million, attributable to increases income before income taxes and depreciation. 2 Net cash used in investing activities was 2,453 million, attributable to the acquisition of non-current assets. 3 Net cash provided by financing activities was 1,731 million mainly attributable to new borrowings for the purpose of funding capital investments and overseas subsidiaries business expansion. 4 As a result, cash and cash equivalents as of March 31, 216 increased 83 million to 5,974 million. Cash and cash equivalents at beginning of 16/3 Changes in Major Financial Indicators Equity Ratio ROE Operating income before depreciation As a result of the increase of total assets by 944 million (1.1%) and equity capital by 78 million (1.6%), the equity ratio increased by.2 points. While equity capital increased by 78 million (1.6%), profit attributable to owners of parent increased by 43 million (28.6%), resulting in the increase of ROE by.8 points. 4 Cash and cash equivalents at end of 16/3 58.5% 3.9% 6.9billion +.2 points year on year +.8 points year on year +.17% year on year Increased by.17% with increases in depreciation and leasing costs. Outlook of Business Results and Dividend for the Next Term Outlook for consolidated business results and dividend for the year ending March 31, 217 Net sales 21,63 million (+ 4.5% year on year) Operating income 3,49 million (+ 18.5% year on year) Ordinary income Annual dividend (forecast) 3,29 million (+ 3.7% year on year) 12. (interim 6., year-end 6.) For more detailed financial information, please refer to our website Investor Relations Airport Facilities Co., Ltd. Search Home Investor Relations ANNUAL REPORT

14 Financial Highlights (Five years) Net sales 3, 2, 1, ( Million) 2,85 21,67 2,971 21,111 2,697 Operating income 4, 2, 2,77 ( Million) 3,362 3,498 3,165 2, /3 213/3 214/3 215/3 216/3 Ordinary income ( Million) 4, 2, Net assets 6, 4, 2,.2 4, ( Million) 2,711 Debt to equity (Times) ,49 3,9 3, /3 213/3 214/3 215/3 216/3 Business investment in plant and equipment/depreciation expense ( Million) 9, 7,177 7,527 Business investment in plant and equipment Depreciation expense 6, 3,381 3,166 3,222 3,93 3,433 2,973 3,551 3, 1,98 212/3 213/3 214/3 215/3 216/3 47,273 47,26 47,998 5,715 51, /3 213/3 214/3 215/3 216/ , /3 213/3 214/3 215/3 216/3 Operating income before depreciation ( Million) 8, 6,214 6,66 6,71 6,895 6,97 212/3 213/3 214/3 215/3 216/3 Profit attributable to owners of parent Equity ratio ROE , 1, 2 1 Total assets 9, 6, 3, (%) (%) 212/3 213/3 214/3 215/3 216/3 1,728 1,92 1, /3 213/3 214/3 215/3 216/3 ( Million) 74,864 1, /3 213/3 214/3 215/3 216/ ( Million) /3 213/3 214/3 215/3 216/3 Annual dividend ( : left axis) /Payout ratio (consolidated) (%: right axis) 1,55 212/3 213/3 214/3 215/3 216/ ,316 77,621 84,27 Annual dividend 85, /3 213/3 214/3 215/3 216/3 Payout ratio AIRPORT FACILITIES CO., LTD.

15 Corporate Governance Basic Philosophy We are fully aware of the managing duties entrusted by our shareholders as well as our social corporate responsibilities in doing our business which handles a large number of passenger traffic and a large volume of cargo. With our mission and corporate philosophy in mind, we strive to complete our corporate governance to improve our corporate value and for the common benefit of our shareholders. Structure of Organization We maintain the system where adequate business judgment and management supervision is constantly ensured, by regularly holding the Board of Directors meeting and Board of Corporate Auditors meeting, and holding them on a temporary basis when necessary. The number of directors shall be 17 or less, including both internal and Diagram of Internal Control System external directors. There are currently 13 directors. Also, based on the criteria General Meeting of Shareholders of independence set forth by the Board of Tokyo Stock Exchange, we appointed Accounting Auditors Corporate Auditors 2 independent external directors. In Board of Directors addition, we adopt the Corporate Officer System aiming at rapid decisionmaking, etc. Furthermore, we strive Directors Board of Compliance Committee Executive Risk Management President to ensure managerial compliance, Committee Board of appropriateness and efficiency by Corporate Officers Audit Bureau: maintaining and enhancing the internal Office General Affairs Department, control system shouldered by the Managers etc. Meeting Audit Office monitoring our business activities, Compliance Committee, and Departments and Consolidated Subsidiaries Risk Management Committee. Supervision Business Execution Internal Control Executives (As of June 29, 216) Directors Corporate Auditors Corporate Officers Chairman President and CEO Executive Vice President Executive Vice President Senior Managing Director Senior Managing Director Managing Director and Senior Corporate Officer Managing Director Director and Senior Corporate Officer External Director External Director External Director (Independent Officer) External Director (Independent Officer) Full-time Statutory Auditor Full-time Statutory Auditor Statutory Auditor (Independent Officer) Statutory Auditor (Independent Officer) Senior Corporate Officer Senior Corporate Officer Corporate Officer Corporate Officer Corporate Officer Corporate Officer Corporate Officer Tomoyuki Takahashi Hiroshi Maruyama Manabu Sato Toshitaka Watanabe Toshiyuki Nagayoshi Hiroyuki Hoshi Kosei Ashikaga Kazuo Katahira Keisuke Komatsu Toshiaki Norita Hiroyuki Ito Takehiko Sugiyama Kayo Aoyama Mineo Tsuguchi Kazuhiko Muraishi Akihiko Shiba Satoshi Iwamura Hiroki Osawa Yukihiko Takada Hiroshi Hokazono Minoru Kitajima Shigeo Tamura Keiji Fukumoto Ryuichi Yasuda ANNUAL REPORT

16 Corporate Profile Corporate Name: Airport Facilities Co., Ltd. (AFC) Established: February 197 Capital: 6,826.1 million yen Employees: 17 (Consolidated as of March 31, 216) Main Banks: Development Bank of Japan Resona Bank Mizuho Bank The Bank of Tokyo-Mitsubishi UFJ Sumitomo Mitsui Banking Corporation Sumitomo Mitsui Trust Bank Stock Information (as of March 31, 216) Sock Listings: Total Number of Shares Authorized: 124,8, Total Number of Shares Issued: 54,93,75 Number of Shareholders: 6,592 Share Unit Number Tokyo Stock Exchange (TSE) 1st Section (Ticker Code: 8864) 1 shares Major Shareholders Shareholder Number of Shares Owned (thousands) Ratio of Shareholding (%) Japan Airlines Co., Ltd. 1, ANA HOLDINGS INC. 1, Development Bank of Japan Inc. 6, KOKUSAI KOGYO HOLDINGS CO., LTD. 1, RBC ISB S/A DUB NON RESIDENT/TREATY RATE UCITS-CLIENTS ACCOUNT 1, Composition of Shareholders Securities Companies.76% Foreign Investors 13.39% The Company (Treasury Stock) 5.91% Individuals Other Japanese Corporations 44.95% 15.29% Financial Institutions 19.7% Stock Price and Trading Volume (Monthly) ( ) Stock price /4 15/5 15/6 15/7 15/8 15/9 15/1 15/11 15/12 16/1 16/2 16/3 (Thousand shares) Trading volume 2, 1,5 1, 5