ANNUAL REPORT

8. ACQUISITIONS OF SUBSIDIARIES AND MINORITY INTERESTS
8.1. Fiscal year ended March 31, 2008
On December 14, 2007, HIT completed the acquisition of Tafime, a high-end supplier of high-pressure die-cast aluminum and
thermoplastic injection components based in Madrid, Spain. The purchase price of JPY 14,163 million (EUR 90 million) was allocated to
specific assets and liabilities based on their estimated fair values as of the acquisition date, with JPY 7,987 million (EUR 50.7 million)
recorded as goodwill. The estimated fair values of assets and liabilities as of the acquisition date were based on preliminary estimates
of fair value and were subject to subsequent revisions. The purchase price for the acquisition of Tafime was partly funded by a capital
increase at HIT of JPY 5,337 million, which was fully subscribed by the Company and which resulted in additional goodwill of JPY 2,972
million. The allocation of the purchase price for the acquisition of Tafime was finalized during the fiscal year ended March 31, 2009 and
resulted in a reduction of goodwill of JPY 4,975 million, including JPY 985 million resulting from exchange rate fluctuations.
CME acquired 100% of TDK core, renamed Creative Core, from TDK Corporation. Creative Core is engaged in the production and sale
of music, game and educational software and was acquired to diversify CME’s activity and support further growth.
Following the acquisition in February 2006 of 66% of Techno-Metal, formerly known as Mitsubishi Fuso Techno-Metal, and in
accordance with the stock purchase agreement, Asahi Tec purchased the remaining 34% of Techno-Metal on August 29, 2007 for an
amount of JPY 1,670 million.
8.2. Fiscal year ended March 31, 2009
RHJI increased the capital of Asahi Tec by JPY 7,769 million for purposes of (a) curing a breach of covenants by its US based subsidiary
Metaldyne (JPY 1,800 million on July 15, 2008), (b) providing Metaldyne with additional liquidity (JPY 1,051 million on October 15, 2008),
and (c) funding Metaldyne's bond tender (JPY 4,918 million on November 25, 2008). The additional paid in capital in Asahi Tec resulted
in additional goodwill of JPY 1,685 million.
On June 20, 2008, September 23, 2008 and January 29, 2009, RHJI subscribed to new shares of Phoenix Seagaia Resort for an
aggregate amount of JPY 1,000 million, in order to cover scheduled reimbursements of its debt as well as to provide liquidity for
working capital requirements.
9. REVENUE
(in JPY millions) Continuing operations Discontinued operations Consolidated
2009 2008 2009 2008 2009 2008
Sales 395,060 547,781 49,553 120,206 444,613 667,987
Construction contract revenue 2,145 1,658 - - 2,145 1,658
Property rental income 95 84 - - 95 84
Other revenue - 543 - - - 543
Total 397,300 550,066 49,553 120,206 446,853 670,272
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