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September 17, 2009
Improvement in financial management levels in response to the recent business recovery

DISCO Corporation (Headquarters: Ota-ku, Tokyo; President: Kazuma Sekiya) announced that the company decided to change its financial management levels responding to recent improvement in its business environment.

The company established a Global Recession Response Office in December 2008 in order to quickly respond to the deteriorating business environment and have been working to build a corporate structure that will not be vulnerable to shifts in the business cycle. The company has also been managing at the most severe of the six levels of expenditure control rules (our so called "level F.")
Although the current business cycle is still on its way to full recovery, the company decided to raise the expenditure control level by one level, corresponding to the recent recovery of the business environment as seen in our increased production volume.

Major Impacts of This Decision


The restart of construction at the suspended welfare facilities of the Kuwabata plant


Construction of the Kuwabata plant will be completed in January 2010.


Termination of the 10% cut back in the management salaries enacted in August 2009.


Ease in the terms of settlements that are not related to sales activities

Financial Management Levels

The company defines financial management levels from A to F corresponding to the forecasted ordinary profit margin in order to encourage autonomous management by each division.

The company is implementing a partial alleviation of its expenditure control; but will continuously work to control its expenditure in order to obtain the full recovery of our business.
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