FINANCIAL HIGHLIGHTS Oki Electric Industry Co., Ltd. and consolidated subsidiaries Years ended March 31 Thousands of U.S. dollars (Note 1) Millions of yen 2009* (Note 2) 2010* 2011* 2012* 2013 2013 ¥ 544,529 ¥ 442,949 ¥ 432,651 ¥ 423,480 ¥ 455,824 $ 4,901,333 (629) 6,508 6,308 11,980 13,475 144,892 Net income (loss) (46,188) (3,836) (31,809) 1,555 13,599 146,225 Net cash (used in) provided by operating activities 18,941 51,290 1,588 22,791 (11,619) (124,935) Net cash (used in) provided by investing activities 57,457 (12,992) (4,423) (9,392) (9,214) (99,075) Free cash flow 76,398 38,298 (2,835) 13,399 (20,833) (224,010) Ended March 31 For the year Net sales Operating income (loss) At the year end Total assets ¥ 398,188 ¥ 377,894 ¥ 368,822 ¥ 368,065 ¥ 349,322 $ 3,756,150 Shareholders’ equity 41,381 40,532 38,308 41,125 56,072 602,924 Interest-bearing debt 203,766 172,467 152,051 136,478 120,524 1,295,956 Return on assets (ROA) (%) (9.5) (1.0) (8.5) 0.4 3.8 Return on equity (ROE) (%) (73.8) (9.4) (80.7) 3.9 28.0 Shareholders’ equity (%) 10.4 10.7 10.4 11.2 16.1 Ratios U.S. dollars Yen (Note 1) Per share amounts Net income (loss) Net assets (shareholders’ equity, excluding warrants and minority interests in consolidated subsidiaries) Cash dividends (common stock) ¥ (67.63) ¥ (5.62) ¥ (44.00) ¥ 0.32 ¥ 17.24 $ 0.18 60.60 59.40 11.37 13.42 34.40 0.36 — — — — — — 17,415 18,111 16,697 16,736 17,459 Other information Number of employees *As restated (See Note 3) Note 1: The U.S. dollar amounts in this annual report are translated from yen, for convenience only, at ¥93 = U.S.$1.00, the approximate exchange rate prevailing on March 31, 2013. 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. Note 3: On August 8, 2012, the Company announced that improper accounting had been conducted at an overseas consolidated subsidiary. Based on the investigation reports by outside experts, the Company restated the consolidated financial statements and related notes for 2012 and previous years. 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 2013 FINANCIAL HIGHLIGHTS (Billions of yen) Net Sales (Billions of yen) 600 Operating Income (Loss) (Billions of yen) Net Income (Loss) and Return on Equity (ROE) 20 15 40 13.5 544.5 28.0 12.0 455.8 442.9 432.7 423.5 10 20 10 0 400 6.5 (%) (46.2) (3.8) 3.9 (31.8) 1.6 6.3 0 13.6 (9.4) -10 -20 -20 -40 -30 -60 5 200 (0.6) 0 -40 0 -5 (Ended March 31) 2009 2010 2011 2012 2013 (73.8) -80 (80.7) -50 (Ended March 31) 2009 2010 2011 2012 (Ended March 31) 2013 -100 2009 2010 2011 2012 2013 Net Income (Loss) (left scale) Return on Equity (ROE) (right scale) (Billions of yen) Total Assets (Billions of yen) Shareholders’ Equity and Shareholders’ Equity Ratio 100 500 (%) 18 (Billions of yen) 20 16.1 398.2 400 377.9 368.8 368.1 16.8 80 15 15 349.3 300 R&D Expenses 60 10.4 200 40 100 20 41.4 10.7 40.5 11.2 13.8 14.0 13.1 12 56.1 10 10.4 38.3 14.6 41.1 9 5 0 6 0 (As of March 31) 2009 2010 2011 2012 2013 0 (As of 2009 March 31) 2010 2011 2012 0 (Ended March 31) 2013 2009 2010 2011 2012 2013 Shareholders’ Equity (left scale) Shareholders’ Equity Ratio (right scale) (Billions of yen) 20 Capital Expenditures and Depreciation (property, plant and equipment, at cost) (Billions of yen) Interest-bearing Debt and Debt/Equity Ratio 250 4.9 200 203.8 18.8 (Times) 5 (Billions of yen) 90 76.4 4.3 15.9 Free Cash Flow 4.0 4 60 15 172.5 13.1 152.1 150 10.5 10 8.6 3.3 3 38.3 136.5 9.7 8.0 9.3 8.6 30 120.5 9.6 100 2.1 2 13.4 50 1 0 0 (Ended 2009 March 31) 2010 2011 2012 2013 Capital Expenditures Depreciation (property, plant and equipment, at cost) (20.8) (2.8) 0 5 0 (As of 2009 March 31) 2010 2011 2012 2013 -30 (Ended March 31) 2009 2010 2011 2012 2013 Interest-bearing Debt (left scale) Debt/Equity Ratio (right scale) Annual Report 2013 3