Daiei, Inc. [ADR] (DAIEY)

The Daiei, Inc. is primarily engaged in the retail business, as well as finance and other businesses. The Company is organized into four business segments. The retail business segment is engaged in the operation of general merchandise stores, supermarkets, discount stores, convenience stores, department stores and specialty stores for clothing and sundry goods. The finance business segment is engaged in the sale of financial instruments and other finance and lease businesses. The development business segment is engaged in store development, operation and management and real estate services. The other business segment is involved in foodservice and the hotel and leisure business.

For the three months ended 31 May 2006, The Daiei, Inc.'s revenues decreased 21% to Y334.77B. The Company's net income decreased 97% to Y11.21B. Revenues reflect decreased sales from the retail business segment due to the effect of bad weather in April and May, and increased competition. Lower net income also reflects decreased special gains and increased special losses. The Company's headquarter is located in Hyogo.