Revision to Consolidated Performance Forecast for the
Fiscal Year Ending March 31, 2016
TOKYO, March 29, 2016– Based on a resolution of its Board of Directors at a meeting held today, Ajinomoto Co., Inc. (“Ajinomoto Co.”) has revised its consolidated performance forecast for the fiscal year ending March 31, 2016 (April 1, 2015 – March 31, 2016), which was announced on November 5, 2015, as outlined in the following table.

1. Revision to the Consolidated Performance Forecast for the Fiscal Year Ending March 31, 2016
　　(April 1, 2015 – March 31, 2016)
(JPY millions)
　 Net Sales Operating
Income		 Ordinary
Income		 Profit
Attributable to
Owners of
Parent		 Net Income
per Share
(Yen)
Forecast announced at
beginning of fiscal year (A)		 1,263,000 82,000 85,000 50,000 84.49
Previous forecast (B) 1,263,000 86,000 89,000 67,500 114.72
Revised forecast (C) 1,263,000 93,000 94,000 61,500 104.50
Amount of change
(C – B)		 － 7,000 5,000 (6,000) －
Percentage change (%) － 8.1% 5.6% (8.9)% －
[Reference]
Results for the fiscal year ended March 31, 2015		 1,006,630 74,519 82,808 46,495 78.54

2. Reasons for the Revision
Compared with the forecast announced on November 5, 2015, Ajinomoto Co. has revised each level of income from operating income to the bottom line.

Operating income is forecast to be JPY 93.0 billion, surpassing the target of JPY 91.0 billion for the final year of the FY2014-2016 Medium-Term Management Plan a year in advance. Despite the negative impact of currency translation due to the appreciation of the yen, the contribution of “Grow” (investments for profit growth) and the results of “Fit” (structural reform) are steadily becoming apparent.

The increase of JPY 7.0 billion in the operating income forecast from the previous JPY 86.0 billion to JPY 93.0 billion is mainly due to firm performance by the Japan Food Products business – particularly, strong restaurant and institutional-use sales due to measures with customers, the contribution of frozen foods, and the contribution to increased income from consolidation of Ajinomoto General Foods, Inc. and the contribution in the International Food Products business from continuing strong sales of umami seasonings for processed food manufacturers due to the impact of the exchange rate for trade and stable purchase prices for raw materials and other factors at Ajinomoto Windsor, Inc.

Meanwhile, EA Pharma Co., Ltd., owned 60% by Eisai Co., Ltd. and 40% by Ajinomoto Co., will be inaugurated on April 1, 2016. Ajinomoto Co. will record an extraordinary loss of approximately JPY 18.5 billion in the fiscal year ending March 31, 2016 as pharmaceutical business structural reform expenses in connection with the new integrated company’s business specialization to become a specialty pharmaceutical company in the gastrointestinal field.

The extraordinary loss will include an impairment loss of approximately JPY 5.0 billion related to Ajinomoto Co.’s fixed assets for pharmaceutical manufacturing and intellectual property rights, a loss on sale of shares in affiliated companies of approximately JPY 5.0 billion related to the equity transfer of Ajinomoto Co.’s equity-method affiliate in the infusion and dialysis business, and approximately JPY 7.0 billion for cancellation of contracts with multiple companies. Besides the extraordinary loss, Ajinomoto Co. will incur approximately JPY 1.5 billion as operating expenses related to the integration.

In addition to the above, Ajinomoto Co. will record an impairment loss on fixed assets related to unprofitable businesses, among other losses. Based on these factors, Ajinomoto Co. has revised the forecast for profit attributable to owners of parent announced on November 5, 2015 from JPY 67.5 billion to JPY 61.5 billion.

Note:
The performance forecast above is based on information available to Ajinomoto Co. as of the date of this news release. Various factors could cause actual results to differ materially from the above forecast.

About Ajinomoto Co.
Ajinomoto Co. is a global manufacturer of high-quality seasonings, processed foods, beverages, amino acids, pharmaceuticals and specialty chemicals. For many decades Ajinomoto Co. has contributed to food culture and human health through wide-ranging application of amino acid technologies. Today, the company is becoming increasingly involved with solutions for improved food resources, human health and global sustainability. Founded in 1909 and now operating in 27 countries and regions, Ajinomoto Co. had net sales of JPY 1,006.6 billion (USD 9.17 billion) in fiscal 2014. For more about Ajinomoto Co. (TYO: 2802), visit www.ajinomoto.com.

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