| PRESS RELEASES > December 21, 2004 |
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| December 21, 2004 |
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| TAIHEIYO CEMENT CORPORATION (TAIHEIYO) and its affiliated company announced transfer of their fixed assets. And the details are as follows;
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1. Reasons for the Transfer
TAIHEIYO has established the "04 Mid-Term Management Plan" in order to strengthen its financial structure and business prospects. In view of restructuring its total investments and real estate business activities, TAIHEIYO has taken decision to liquidate the land owed by TAIHEIYO and its affiliated company, CHICHIBU ONODA FUDOSAN CORPORATION, for real estate investment trust, and to transfer its beneficial interest in trust. |
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2. Details of Transaction
I. TAIHEIYO's own land
| Property |
Former site for cement terminal |
| Location |
2-cyome, Shinonome Koto-ku, Tokyo |
| Book Value |
0.2 million yen |
| Sales Price |
6.1 billion yen |
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II. Its affiliated company's own land
| Property |
Land for lease |
| Location |
2-cyome, Shinonome Koto-ku, Tokyo |
| Book Value |
0.5 million yen |
| Sales Price |
6.1 billion yen |
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3. Purchaser
Shinonome Butsuryu Center Special Purpose Company
(There is no capital relationship between TAIHEIYO and this company.) |
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4. Schedule for Selling
Contract date for real estate trust : December 24, 2004
Contract date for transferring beneficial interest in trust : December 27, 2004
Transferring date for beneficial interest in trust : December 28, 2004
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| 5. Proposed Prospect
By selling of above-mentioned real estate, an extraordinary profit of about 5.8 billion yen (non-consolidated) and about 11.1 billion yen (consolidated) will be generated. This is already considered in the expected consolidated and non-consolidated mid-term financial statement of March 2005 and this figure was already disclosed on November 16, 2004. |
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