Press Release
(English translation)
February 9, 2004
Summary of Consolidated Results of Operations
for the Nine Months Ended December 31, 2003
in the Fiscal Year Ending March 31, 2004

1. Basic principles of preparation for quarterly results of operations
There are certain differences in recognition of net premiums written between the accounting method applied to the reporting quarter and the one applied to the previous year-end;
The primary difference is that, the premiums of reinsurance contracts are recognized on the transaction occurrence basis in the quarterly periods, however the actual basis is adopted in the interim and fiscal periods.

2. Summarized business results for the nine months in FY2003
(Apr.1,2003 - Dec.31,2003)
Note:
 The amounts which respectively represent less than the relevant unit are discarded, and the ratios are rounded to the nearest one-tenth, with five one-hundredths or more considered to be a full tenth. The same applies hereunder.
(1) Net Premiums Written
 
 
Nine months
ended December 31, 2003
Nine months
ended December 31, 2002
    millions of yen     %
* ( 1,045,734 )
1,042,239
* ( 6.0 )
6.9
* ( 986,943 )
975,392		      
(cf.)For the year ended
March 31, 2003
* ( 1,319,154)
1,303,946
Note: 1. The figures stated in percentage represent increased ratio of net premiums written compared to the same period in the previous fiscal year.
  2. *The upper line of net premiums written in parenthesis exclude of Good Result Return premiums ("GRR premiums") of "ModoRich," for the purpose of easy comparison with other non-life insurance companies. "ModoRich" is a unique automobile insurance product developed by the Company which contains a special clause of premium adjustment and refund at maturity.
   
  For the nine months ended December 31, 2003, net premiums written increased to 1,045,734 million yen by 6.0% compared to the same period of fiscal 2002, after adjusting the GRR premiums. At the Company, the increased premiums were primarily due to the effect of abolition of the reinsurance to the government related to compulsory automobile liability insurances ("CALI"), and also the consolidated subsidiaries, e.g. overseas subsidiaries in Europe and North America, earned larger revenues.
  Moreover, even after adjustment of the effect from abolition of reinsurance to the government related to CALI and exclusion of the GRR premiums, net premiums written marked a 3.6% increase compared to the same period of the previous year.
   
(2) Material events affecting the group's financial conditions and results in the quarter
  There was nothing applicable here.

3. Forecast business results for the fiscal year ending March 2004

There are no revisions to the business results forecasts for the fiscal year ending March 31, 2004 at this point of time.


excluding GRR premiums of automobile insurance "ModoRich" Consolidated

Premiums Received and Claims Paid by Lines of Insurance

Direct Premiums Written by Lines of Insurance (including deposit premiums from policyholders)
(millions of yen)
  Nine months ended
December 31, 2002		 Nine months ended
December 31, 2003		 (cf) FY2002
(Mar. 31, 2003)
Lines of Insurance Amount Share (%) Amount Change (%) Share (%) Amount Change (%) Share (%)
Fire 219,399 17.1 231,069 5.3 17.4 273,450 3.4 16.1
Marine 52,652 4.1 56,103 6.6 4.2 69,699 3.9 4.1
Personal Accident 264,079 20.6 284,047 7.6 21.4 352,110 3.3 20.7
Voluntary Automobile 449,859 35.1 446,403 -0.8 33.5 593,996 0.0 34.9
CALI 136,552 10.7 137,387 0.6 10.3 181,560 21.1 10.7
Other 159,538 12.4 175,986 10.3 13.2 230,809 9.5 13.5
Total
(Deposit premiums from policyholders)		 1,282,081
(229,202) 		100.0
(17.9) 		1,330,998
(240,862) 		3.8
(5.1) 		100.0
(18.1) 		1,701,627
(306,757) 		4.6
(3.4) 		100.0
(18.0)

Net Premiums by Lines of Insurance
(millions of yen)
  Nine months ended
December 31, 2002		 Nine months ended
December 31, 2003		 (cf) FY2002
(Mar. 31, 2003)
Lines of Insurance Amount Share (%) Amount Change (%) Share (%) Amount Change (%) Share (%)
Fire 138,882 14.1 154,610 11.3 14.8 170,821 2.4 12.9
Marine 41,385 4.2 46,208 11.7 4.4 57,502 6.9 4.4
Personal Accident 94,138 9.5 94,933 0.8 9.1 123,290 -1.1 9.3
Voluntary Automobile 448,733 45.5 444,605 -0.9 42.5 593,142 -0.1 45.0
CALI 115,840 11.7 145,295 25.4 13.9 165,034 82.3 12.5
Other 147,963 15.0 160,079 8.2 15.3 209,363 7.9 15.9
Total 986,943 100.0 1,045,734 6.0 100.0 1,319,154 7.8 100.0

(cf) Figures after excluding the effect of abolition of reinsurance to government related to CALI.
CALI 73,069   77,583 6.2   99,060 9.4  
Total 944,172 978,022 3.6 1,253,181 2.4

Note:
 GRR premiums of the automobile insurance "ModoRich" excluded from "Direct Premiums Written" and "Net Premiums" are as below;
 
Nine Months (December 31), 2002
 -11,551 million yen
Nine Months (December 31), 2003 -3,495 million yen
Year ended March 31, 2003 -15,208 million yen

Net Claims Paid by Lines of Insurance
(millions of yen)
  Nine months ended
December 31, 2002		 Nine months ended
December 31, 2003		 (cf) FY2002
(Mar. 31, 2003)
Lines of Insurance Amount Share (%) Amount Change (%) Share (%) Amount Change (%) Share (%)
Fire 42,769 8.5 45,321 6.0 9.1 57,051 9.4 8.8
Marine 17,825 3.5 22,086 23.9 4.4 25,870 -12.4 4.0
Personal Accident 37,863 7.5 38,076 0.6 7.6 50,643 -1.7 7.8
Voluntary Automobile 253,084 50.1 253,381 0.1 50.7 338,566 -1.0 52.4
CALI 45,426 9.0 59,312 30.6 11.9 60,948 7.9 9.4
Other 108,426 21.4 81,747 -24.6 16.3 113,477 3.0 17.6
Total 505,396 100.0 499,927 -1.1 100.0 646,557 0.7 100.0

(cf) Figures after excluding the effect of abolition of reinsurance to government related to CALI.
CALI 45,332   46,607 2.8   60,124 6.5  
Total 505,302 487,221 -3.6 645,733 0.6

Note:
 The amounts stated above are before inter-line eliminations.
 
GRR premium:
Good Result Return premium; see also 2 (1) Note 2 on page 1.
CALI: compulsory automobile liability insurance; see also 2 (1) Net Premiums Written on page 1.

Consolidated
Securities
(millions of yen)
  Nine months
(as of December 31, 2002)		 Nine months
(as of December 31, 2003)		 (cf) FY 2002
(as of March 31, 2003)
Item Acquisition cost Fair value Difference Acquisition cost Fair value Difference Acquisition cost Fair value Difference
Domestic Bonds 2,115,336 2,206,343 91,006 2,186,136 2,235,175 49,039 2,090,592 2,197,835 107,242
Domestic Stocks 915,049 1,482,182 567,133 761,620 1,619,908 858,287 855,358 1,356,803 501,444
Foreign Securities 781,100 864,212 83,112 869,185 930,739 61,554 730,929 822,169 91,240
Others 39,207 37,937 -1,269 82,097 84,648 2,550 64,714 63,920 -794
Total 3,850,693 4,590,675 739,982 3,899,040 4,870,472 971,432 3,741,594 4,440,728 699,133

Note:
 1. The table set above is a summary of the marketable "other securities", which are not classified as "securities for trading purpose", "securities held to maturity" or "stocks of subsidiaries and affiliates".
2. For acquisition cost, the amounts outstanding as of December 31, 2002 and 2003 are before amortization/accumulation and impairment whereas those as of March 31, 2003 are after such adjustments have been made. As to recognition of transactions, securities were accounted on a trade date basis as of December 31 and March 31, 2003 though they were booked on a delivery date basis as of December 31, 2002.
3. A fair value of securities is a market price quoted on the end of each accounting period, or otherwise assumed similarly based on the market and other relevant conditions at that point.

Consolidated
Derivatives Transactions
(millions of yen)
Type Transaction Nine months ended
December 31, 2002		 Nine months ended
December 31, 2003		 (cf)FY 2002
(as of March 31, 2003)
Contract
amount		 Fair value Unrealized
gain / loss		 Contract
amount		 Fair value Unrealized
gain / loss		 Contract
amount		 Fair value Unrealized
gain / loss
Currencies Forward
foreign exchange 		                 
Sold 53,728 53,079 648 19,831 18,215 1,615 - - -
Bought 1,210 1,202 -7 - - - - - -
Options                  
Sold 1,109 0 9 - - - - - -
(9 )     (- )     (- )    
Bought 3,814 1 -17 1,055 39 0 - - -
(18 )     (39 )     (- )    
Interest
rates		 Interest rate futures                  
Sold - - - 2,495 2,497 -1 - - -
Options                  
Sold 19,300 128 123 10,225 48 178 9,500 26 202
(251 )     (227 )     (228 )    
Bought 13,500 115 -108 3,500 52 -145 3,500 25 -173
(223 )     (198 )     (198 )    
Swaps 52,946 239 239 45,807 171 171 51,074 222 222
Stocks Options on
stock price index 		                 
Sold 1,092 8 25 - - - - - -
(34 )     (- )     (- )    
Bought - - - 33 0 0 - - -
(- )     (0 )     (- )    
Bonds Bond index futures                  
Sold 282 284 -1 - - - - - -
OTC options                  
Sold 83,668 0 15 - - - 2,953 - 7
(15 )     (- )     (7 )    
Bought 1,415 2 0 - - - - - -
(2 )     (- )     (- )    
Credit Credit derivatives                  
Sold 526,449 -6,980 -6,980 416,514 -582 -582 561,964 -7,391 -7,391
Bought 22,781 67 67 15,000 -58 -58 22,838 60 60
Others Weather derivatives                  
Sold 122 40 2 962 -10 -54 16 21 4
(38 )     (49 )     (25 )    
Bought 0 1 0 851 108 70 0 1 0
(1 )     (37 )     (0 )    
Others - 82 82 - 178 178 - 70 70
Natural disaster
derivatives 		                 
Sold 230 8 3 1,010 12 8 280 9 4
(12 )     (20 )     (14 )    
Other                  
Sold - - - 10 0 2 0 3 -
(- )     (3 )     (3 )    
Total 781,649 48,283 -5,896 517,295 20,673 1,382 652,128 -6,952 -6,991

Note:
 1. The figures stated in parenthesis represent the option premiums.
2. Those contracts which are eligible for the hedging accounting are excluded from the valuation table shown above.
3. For recognition of contracts, the trade date basis is applied to those outstanding as of December 31 and March 31, 2003 while the settlement date basis applied to as of December 31, 2002.

excluding GRR premiums of automobile insurance "ModoRich" Non-consolidated

Premiums Received and Claims Paid by Lines of Insurance

Direct Premiums Written by Lines of Insurance (including Deposit premiums from policyholders)
(millions of yen)
  Nine months ended
December 31, 2002		 Nine months ended
December 31, 2003		 (cf) FY2002
(Mar. 31, 2003)
Lines of Insurance Amount Share (%) Amount Change (%) Share (%) Amount Change (%) Share (%)
Fire 196,995 16.1 198,304 0.7 16.0 261,883 2.4 16.2
Marine 44,481 3.6 45,918 3.2 3.7 59,166 1.1 3.7
Personal Accident 263,426 21.6 283,319 7.6 22.8 351,398 3.3 21.7
Voluntary Automobile 439,797 36.0 435,971 -0.9 35.2 581,640 -0.2 35.9
CALI 136,552 11.2 137,387 0.6 11.1 181,560 21.1 11.2
Other 139,997 11.5 139,109 -0.6 11.2 182,541 -4.8 11.3
Total
(Deposit premiums from policyholders)		 1,221,251
(229,202) 		100.0
(18.8) 		1,240,011
(240,862) 		1.5
(5.1) 		100.0
(19.4) 		1,618,190
(306,757) 		2.5
(3.4) 		100.0
(19.0)

Net Premiums by Lines of Insurance
(millions of yen)
  Nine months ended
December 31, 2002		 Nine months ended
December 31, 2003		 (cf) FY2002
(Mar. 31, 2003)
Lines of Insurance Amount Share (%) Amount Change (%) Share (%) Amount Change (%) Share (%)
Fire 121,880 13.1 126,770 4.0 13.0 166,317 2.9 13.3
Marine 37,462 4.0 40,459 8.0 4.2 52,506 5.4 4.2
Personal Accident 93,688 10.1 94,374 0.7 9.7 122,726 -1.2 9.8
Voluntary Automobile 437,677 46.9 434,185 -0.8 44.7 579,490 -0.1 46.3
CALI 115,840 12.4 145,295 25.4 14.9 165,034 82.3 13.2
Other 126,105 13.5 130,872 3.8 13.5 164,445 -2.9 13.2
Total 932,653 100.0 971,957 4.2 100.0 1,250,521 6.4 100.0

(cf) Figures after excluding the effect of abolition of reinsurance to government related to CALI.
CALI 73,069   77,583 6.2   99,060 9.4
Total 889,882 904,245 1.6 1,184,547 0.8

Note:
 GRR premiums of the automobile insurance "ModoRich" excluded from "Direct Premiums Written" and "Net Premiums" are as below;
 
Nine Months (December 31), 2002
 -11,551 million yen
Nine Months (December 31), 2003 -3,495 million yen
Year ended March 31, 2003 -15,208 million yen

Net Claims Paid by Lines of Insurance
(millions of yen)
  Nine months ended
December 31, 2002		 Nine months ended
December 31, 2003		 (cf) FY2002
(Mar. 31, 2003)
Lines of Insurance Amount Share (%) Amount Change (%) Share (%) Amount Change (%) Share (%)
Fire 38,894 8.0 40,648 4.5 8.5 53,094 7.4 8.6
Marine 16,658 3.4 20,711 24.3 4.3 23,901 -15.5 3.9
Personal Accident 37,591 7.7 37,814 0.6 7.9 50,308 -2.0 8.1
Voluntary Automobile 246,547 50.6 246,876 0.1 51.4 330,411 -1.3 53.2
CALI 45,426 9.3 59,312 30.6 12.4 60,948 7.9 9.8
Other 102,043 21.0 74,580 -26.9 15.5 102,015 -0.8 16.4
Total 487,162 100.0 479,944 -1.5 100.0 620,679 -0.4 100.0

(cf) Figures after excluding the effect of abolition of reinsurance to government related to CALI.
CALI 45,332   46,607 2.8   60,124 6.5
Total 487,068 467,239 -4.1 619,855 -0.5

GRR premium: Good Result Return premium; see also 2 (1) Note 2 on page 1.

CALI:

 compulsory automobile liability insurance; see also 2 (1) Net Premiums Written on page 1.

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