SANYO

SANYO Electric Co., Ltd. (SANYO) announces its consolidated results for the nine months up to the third quarter of fiscal year (FY) 2008 (Apr.1, 2008 to Dec. 1, 2008).

The nine month period from April 1, 2008 to December 31, 2008 ended with the onsolidated net sales total from the beginning of the fiscal year declining in the third quarter y approximately 6.4% to leave a total of 1,434.2 billion yen, compared to the same nine month period last year. For the third quarter only, there was a decrease of 22.4% over the same quarter last year, finishing with a total of 427.5 billion yen.

For the Japanese market, while sales of commercial refrigeration systems used for transferring goods in the cold chain were favorable, sales of large-scale air conditioners were bearish, ending the nine months with an overall decrease of 5.0%, totaling 528.8 billion yen compared to the same period last year.

As for overseas markets, favorable conditions existed for increased sales for solar panels, especially in Europe, commercial showcases in Asia, and reasonable growth for large-scale air conditioners. However, due to the increasingly difficult market circumstances, especially for products such as digital cameras, semiconductors, etc., the sales totals were approximately 7.3% lower than the same period last year, to 905.4 billion yen.

As for income, because of high raw materials costs and the increasingly stronger yen, operating income for the same period last year has decreased 25.1 billion yen to end at 30.8 billion yen.

Income before tax, compared to the same period last year that included the sale of SANYO’s share in SANYO Electric Credit Co., Ltd., was 47.5 billion lower, finishing the nine month total with a loss of 2.5 billion yen. The net income for the end of the nine month period decreased 10.4 billion yen overall over the same period last year, bringing the total net income for the nine months of FY 2008 to 18.3 billion yen.

Koichi Maeda, Executive Vice President of SANYO, commented, “Though business environment deteriorated dramatically, we were able to maintain a positive operating income at the three-month period ended December 2008.

We will continue to reduce expenses and accelerate structural transformation so that we can achieve the revised annual target, announced on January 15th, and ensure that the entire workforce moves forward as a "leading company for energy and environment".

The forecast for FY 2008 is unchanged from the changes announced on January 15, 2009 as below.

Consolidated Results Forecast                                                                                 (Units: 100 million Yen) 

*The forecasts above are based on assumptions deemed reasonable at the time they were prepared, actual results may differ significantly from forecasts. Actual results may be influenced but not limited to changes in political and economic regions, increased material costs and fluctuations in the foreign exchange markets.