FINANCIAL HIGHLIGHTS Oki Electric Industry Co., Ltd. and consolidated subsidiaries Years ended March 31 Thousands of U.S. dollars (Note 1) Millions of yen 2008 Ended March 31 2009 2010 2012 2011 2012 For the year Net sales ¥719,677 ¥545,680 ¥443,949 ¥432,685 ¥428,104 Operating income Net income (loss) Net cash provided by operating activities 212,378 8,000 97,560 42,543 18,941 51,290 1,585 23,757 289,719 Net cash used in investing activities (22,876) 57,457 (12,992) (4,423) (114,536) Free cash flow 19,667 76,398 38,298 (2,837) 14,365 6,200 410 13,957 11,049 17,415 $5,220,780 567 (45,011) 3,619 (27,001) (9,392) 175,182 At the year end Total assets ¥570,819 ¥396,963 ¥383,640 ¥372,192 ¥374,829 $4,571,085 Shareholders’ equity 94,640 51,656 57,736 59,353 67,397 Interest-bearing debt 267,381 203,766 172,467 152,051 136,440 1,663,902 821,914 Ratios Return on assets (ROA) (%) 0.1 (9.3) 0.9 (7.1) 2.1 Return on equity (ROE) (%) 0.6 (61.5) 6.6 (46.1) 12.6 Shareholders’ equity (%) 16.6 13.0 15.0 15.9 18.0 U.S. dollars (Note 1) Yen Per share amounts Net income (loss) ¥ Net assets (shareholders’ equity, excluding warrants and minority interests in consolidated subsidiaries) 138.55 Cash dividends (common stock) 0.83 ¥ (65.90) ¥ — 5.30 ¥ (37.35) ¥ 9.14 $ 0.11 75.64 84.61 40.15 49.36 0.60 — — — — — Other information Number of employees 22,640 17,415 18,111 16,697 16,736 Note 1: The U.S. dollar amounts in this annual report are translated from yen, for convenience only, at ¥82 = U.S.$1.00, the approximate exchange rate prevailing on March 31, 2012. Note 2:Results prior to and including the second quarter of the year ended March 31, 2009 include OKI’s semiconductor business. In October 2008, OKI spun off the semiconductor business into a separate company. Forward-looking Statements This annual report contains forward-looking statements concerning the OKI Group’s future plans, financial targets, technologies, products, services and performance. These forward-looking statements represent assumptions and beliefs based on data and calculation methods currently available to OKI as of the date of publication, and therefore OKI does not guarantee the accuracy of statements are subject to changes attributable to business risks and uncertainties, which may affect OKI’s performance and consequently cause actual results to differ from our forecasts. 2 Annual Report 2012 Net Sales Net Income (Loss) and Return on Equity (ROE) Operating Income (Billions of yen) (Billions of yen) 800 (Billions of yen) 20 719.7 600 8.0 17.4 0 15 545.7 14.0 0.6 6.6 (45.0) 20 12.6 3.6 (27.0) 0 0.6 -10 11.0 443.9 432.7 428.1 400 (%) 10 -20 10 -20 6.2 200 5 -40 (46.1) -30 -60 (61.5) 0.4 0 2008 (Ended March 31) 2009 2010 2011 2012 0 2008 (Ended March 31) 2009 2011 2010 -50 2012 2008 (Ended March 31) 2009 2010 2011 2012 -80 Net Income (Loss) (left scale) Return on Equity (ROE) (right scale) 600 Total Assets Shareholders’ Equity and Shareholders’ Equity Ratio (Billions of yen) (Billions of yen) 100 570.8 400 383.6 372.2 374.8 18.0 94.6 16.6 18 18.2 16.8 15 13.0 67.4 57.7 60 (Billions of yen) 20 15.9 15.0 80 397.0 R&D Expenses (%) 59.4 14.6 15 13.8 13.1 12 51.7 10 40 9 20 6 200 0 2008 (As of March 31) 2009 2010 2011 2012 0 2008 (As of March 31) 2009 2010 2011 0 2012 5 0 (Ended March 31) 2008 2009 2010 2011 2012 Shareholders’ Equity (left scale) Shareholders’ Equity Ratio (right scale) Capital Expenditures and Depreciation (property, plant and equipment, at cost) Interest-bearing Debt and Debt/Equity Ratio (Billions of yen) (Billions of yen) 30 90 3 2010 9.7 8.0 2011 Capital Expenditures Depreciation (property, plant and equipment, at cost) 9.3 8.6 38.3 152.1 2.6 8.6 2009 60 3.0 172.5 2.8 10.5 10 76.4 203.8 200 18.8 (Ended 2008 March 31) 4 (Billions of yen) 267.4 15.9 0 3.9 300 26.8 25.4 20 Free Cash Flow (Times) 100 136.4 2.0 30 19.7 14.4 2 (2.8) 0 2012 0 2008 (As of March 31) 2009 2010 2011 2012 0 -30 2008 (Ended March 31) 2009 2010 2011 2012 Interest-bearing Debt (left scale) Debt/Equity Ratio (right scale) Annual Report 2012 3