· PDF fileNittetsu Mining Co., Ltd. and Consolidated Subsidiaries Years ended March 31, 2007 and 2006. 7 Millions of yen ... Inter-segment sales 549 8,639 310 —

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NittetsuMining Co., Ltd.

ANNUAL REPORTFor the year ended March 31, 2007

Financial Highlights

Millions of yen Thousands of US dollars

2007 2006 2005 2004 2003 2007

Net Sales ¥ 94,976 ¥ 77,885 ¥ 67,908 ¥ 63,636 ¥ 65,173 $ 804,541

Net Income (Loss) 5,328 4,063 1,256 1,157 (17,758) 45,134

Total Assets 172,777 157,233 126,077 125,526 121,180 1,463,595

Yen US dollars

Net Income(Loss) per Share ¥63.93 ¥48.15 ¥14.67 ¥13.46 ¥(212.71) $0.54


2007 2006 2005 2004 2003 2007

Net Sales ¥118,671 ¥ 96,445 ¥ 84,590 ¥ 82,468 ¥ 83,851 $1,005,265

Net Income (Loss) 5,710 4,494 2,002 2,096 (15,749) 48,372

Total Assets 213,183 195,966 154,356 152,703 141,746 1,805,875

Yen US dollars

Net Income (Loss) per Share ¥68.51 ¥53.32 ¥23.62 ¥24.71 ¥(188.65) $0.58

Note: US dollar amounts are translated from yen, for convenience only, at the rate of ¥118.05=US$1.

Non-ConsolidatedNittetsu Mining Co., Ltd.Years ended March 31

Contents

Message from the Management 1

Net Sales by Business Segment and Operating Group 3

Consolidated Balance Sheets 4

Consolidated Statements of Income 6

Segment Information 7

Consolidated Statements of Cash Flows 7

Notes to Consolidated Financial Statements 8

Corporate Data 11

Primary Businesses 11

Directors and Corporate Auditors 12

Directory 12

Organizational Chart 13

Major Subsidiaries 13

ConsolidatedNittetsu Mining Co., Ltd. and Consolidated Subsidiaries Years ended March 31

Message from the Management

Operating Conditions and Consolidated Results

During the fiscal year ended March 31, 2007, the Japanese economy was on a moderate recovery track despite

concerns including high crude oil prices, as favorable corporate profits backed an increase in private capital

investment and consumer spending, and employment saw signs of improvement. Under such favorable condi-

tions, the Nittetsu Mining Group posted significantly improved profits compared with the previous fiscal year,

with consolidated net sales of ¥118,671 million, up 23.0 percent. Major factors included historically high copper

prices and firm sales of limestone, our mainstay product. Net ordinary income was ¥14,087 million, a 68.6 per-

cent increase over the previous fiscal year, and net income totaled ¥5,710 million, a 27.0 percent increase.

Consolidated Business Results by Segment

Mineral Resources Group

Favorable performance at the Atacama Copper Mine in Chile supported by high copper prices, improved pur-

chase terms for copper ore and continued firm sales of limestone contributed to segment sales totaling

¥105,873 million, up ¥23,256 million or 28.1 percent, over the previous fiscal year. Operating income increased

year-on-year by ¥6,289 million, or 80.2 percent, over the previous fiscal year to ¥14,129 million.

Machinery and Environmental Engineering Group

Machinery sales were generally stable and sales of water treatment agents, the mainstay product of the

Environmental segment, remained firm. Overall segment sales rose to ¥9,024 million, up ¥499 million or 5.9

percent, over the previous fiscal year and operating income improved to ¥1,220 million, up ¥171 million or 16.3

percent.

Real Estate Group

The occupancy rate of existing leasehold properties remained generally stable and new leasehold properties

contributed to operations. Due to a decrease in sales of properties, however, segment sales decreased to

¥2,299 million, down ¥981 million or 29.9 percent, from the previous fiscal year. Operating income decreased

to ¥1,058 million, down ¥379 million or 26.4 percent.

Securities Group

Segment sales decreased to ¥1,474 million, down ¥547 million or 27.1 percent, from the previous fiscal year.

Operating income decreased to ¥57 million, down ¥321 million or 84.8 percent.

Capital Expenditures, Financing and Other Related Matters

During the fiscal year under review, capital expenditures of the Nittetsu Mining Group totaled ¥6,914 million, an

increase of 20.9 percent over the previous period. Major outlays were ¥2,695 million for the construction of the

No. 5 deposit station and ¥619 million for the third and fourth phases of the project to upgrade the No. 2 load-

ing pier at the Torigatayama Quarry Complex.

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Challenges Facing the Company

Supported by favorable corporate results, the Japanese economy is expected to continue on a moderate

recovery track. However, concerns such as a slowing U.S. economy and a possible interest rate hike, together

with uncertainty in trends in prices of crude oil and other resources, make the future of the economy difficult

to forecast.

The Nittetsu Mining Group will strive to respond in a timely manner to changes in the operating environ-

ment and to improve and enhance its management strengths by boosting sales, raising productivity, cutting

costs and taking other necessary measures. We will also strive to reinforce and expand our main resources

business with a view to improving our performance.

In doing so, we will continue to stress business activities and policies that encompass the environment

and surrounding communities, including such specific initiatives as obtaining ISO 14001 certification and

implementing greenification at mined sites.

We extend our appreciation to all shareholders and ask for your continued support and cooperation.

June 2007

Rokuro Matsumoto

Representative Director and President

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Operating Group Net Sales (Millions of yen) % Change from Previous Fiscal Year % of Total Net Sales

Mineral Resources Group

Non-Metallic Minerals ¥41,704 3.8 43.9Metallic Minerals 45,935 54.3 48.4Sub-total 87,640 25.3 92.3

Machinery & Environmental Engineering Group 5,030 8.2 5.3

Real Estate Group 2,304 (29.9) 2.4

Total ¥94,976 21.9 100.0

Mineral Resources Group—Non-Metallic Minerals: 43.9

Mineral Resources Group—Metallic Minerals: 48.4

Real Estate Group: 2.4Machinery &Environmental Engineering Group: 5.3

Sales Distribution Ratio (%)

Non-ConsolidatedNittetsu Mining Co., Ltd.

Business Segment Net Sales (Millions of yen) % Change from Previous Fiscal Year % of Total Net Sales

Mineral Resources ¥105,873 28.1 89.2Machinery & Environmental Engineering 9,024 5.9 7.6Real Estate 2,299 (29.9) 1.9Securities Business 1,474 (27.1) 1.3

Total ¥118,671 23.0 100.0

Securities Business: 1.3

Machinery & Environmental Engineering: 7.6

Mineral Resources: 89.2

Real Estate: 1.9

ConsolidatedNittetsu Mining Co., Ltd. and Consolidated Subsidiaries

Sales Distribution Ratio (%)

Net Sales by Business Segment and Operating GroupYear ended March 31, 2007

Note: Segment information does not include intersegment sales.

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Consolidated Balance SheetsNittetsu Mining Co., Ltd. and Consolidated SubsidiariesAs of March 31, 2007 and 2006

Assets Millions of yen Thousands of US dollars

2007 2006 2007

Current Assets:

Cash and deposits ¥ 16,847 ¥ 17,135 $ 142,718

Notes and accounts receivable—trade 29,618 25,250 250,898

Marketable securities 940 43 7,968

Inventories 13,920 11,720 117,923

Credit account assets 16,090 17,048 136,300

Deferred income taxes 279 961 2,367

Other 4,972 4,624 42,125

Less: Provision for doubtful receivables (179) (185) (1,523)

82,490 76,598 698,777

Fixed Assets:

Tangible Fixed Assets:

Buildings and Structures 23,260 22,295 197,036

Machinery, equipment and trucks 7,929 8,913 67,174

Land used for mining operations 2,672 2,980 22,642

Land for general use 11,043 10,525 93,550

Construction in progress 7,834 4,826 66,366

Other 389 382 3,299

53,130 49,923 450,070

Intangible Fixed Assets: 2,690 2,987 22,793

Investments and Other Assets:

Investment securities 69,234 61,070 586,481

Long-term loans 1,173 4,859 9,940

Deferred income taxes 378 298 3,205

Other 4,557 5,003 38,605

Less: Provision for doubtful receivables (471) (4,774) (3,997)

74,871 66,457 634,235

Total Assets ¥213,183 ¥195,966 $1,805,875

The accompanying notes are an integral part of these statements.Totals may not add up due to rounding.

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Liabilities and Shareholders’ Equity Millions of yen Thousands of US dollars

2007 2006 2007

Current Liabilities:

Notes and accounts payable—trade ¥ 14,220 ¥ 11,052 $ 120,461

Short-term borrowings 17,385 11,841 147,270

Bonds redeemable within one year 2,400 400 20,330

Accrued income taxes 1,232 659 10,441

Credit account liabilities 13,087 14,482 110,866

Accrued bonuses 786 727 6,662

Accrued bonuses for directors and corporate auditors 35 — 303

Other 11,778 12,490 99,779

60,927 51,653 516,115

Long-Term Liabilities:

Corporate bonds — 2,400 —

Long-term borrowings 20,855 26,618 176,670

Deferred income taxes 25,263 19,408 214,010

Reserve for retirement benefits 1,081 2,148 9,157

Reserve for retirement of directors and corporate auditors 776 663 6,577

Reserve for environmental safety measures 428 428 3,630

Reserve for reconstruction of collapsed business property 1,081 835 9,157

Other 6,841 5,869 57,952

56,328 58,371 477,154

Reserves and Allowances

Liability reserve for securities transactions 113 113 965

Minority Interests 4,169

Shareholders’ Equity:

Capital 4,176Capital surplus 6,149Retained earnings 41,980Unrealized holding gains on securities 29,409Translation adjustments (3)Treasury stock (54)Total Shareholders’ Equity 81,658Total Liabilities, Minority Interests and Shareholders’ Equity ¥195,966

Net Assets

Capital 4,176 35,376

Capital surplus 6,150 52,098

Retained earnings 46,975 397,929

Treasury stock (88) (747)

Shareholders’ equity 57,213 484,656

Unrealized holding gains on securities 33,953 287,616

Gain on deferred hedge 200 1,694

Translation adjustments 48 410

Adjustments for valuation and exchange difference 34,201 289,722

Minority interests 4,398 37,260

Total Net Assets 95,814 811,639

Total Liabilities and Net Assets ¥213,183 $1,805,875

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2007 2006 2007

Ordinary Income and Expenses:

Operating Income and Expenses:

Net Sales ¥118,671 ¥96,445 $1,005,265

Cost of Sales 86,493 70,493 732,689

Selling, General and Administrative Expenses 16,837 16,330 142,632

Operating Income 15,339 9,620 129,944

Non-Operating Income and Expenses:

Non-Operating Revenues:

Interest received 512 290 4,340

Dividends received 864 464 7,319

Equity in earnings of affiliates 381 210 3,234

Other non-operating revenues 239 253 2,024

1,997 1,219 16,919

Non-Operating Expenses:

Interest paid 1,169 963 9,907

Maintenance fees for closed and abandoned mines — 342 —

Transfer of provision for doubtful receivables — 317 —

Overseas taxes and public charges 1,043 261 8,836

Other non-operating expenses 1,036 599 8,783

3,249 2,483 27,526

Net Ordinary Income 14,087 8,356 119,336

Extraordinary Income and Expenses:

Extraordinary Gains and Revenues:

Gain from the sale of fixed assets 254 427 2,159

Gain from the sale of investment securities 103 — 874

Other extraordinary gains and revenues 69 66 585

427 493 3,619

Extraordinary Losses and Expenses:

Loss on disposal and sale of fixed assets 723 700 6,130

Loss on impairment of fixed assets 228 860 1,934

Settlement for occupational diseases 40 119 346

Transfer of reserve for reconstruction of collapsed business property 246 835 2,083

Transfer of reserve for environmental safety measures — 428 —

Special retirement fund — 364 —

Other extraordinary losses 251 126 2,128

1,490 3,434 12,624

Income before Taxes 13,024 5,415 110,331

Income Taxes:

Corporate, inhabitant’s and enterprise taxes 1,873 865 15,870

Deferred corporate taxes, etc. 3,352 (855) 28,399

5,225 10 44,269

Income from Minority Interests 2,088 910 17,689

Net Income ¥ 5,710 ¥ 4,494 $ 48,372


Consolidated Statements of IncomeNittetsu Mining Co., Ltd. and Consolidated SubsidiariesYears ended March 31, 2007 and 2006

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Millions of yen

2007

MineralMachinery &

Securities EliminationsResources

Environmental Real EstateBusiness and Corporate

TotalEngineering

Sales to external customers ¥105,873 ¥ 9,024 ¥2,299 ¥1,474 ¥ — ¥118,671

Inter-segment sales 64 1,019 36 — (1,121) —

Segment Revenue 105,938 10,044 2,335 1,474 (1,121) 118,671

Operating Income 14,129 1,220 1,058 57 (1,126) 15,339

Millions of yen

2006

MineralMachinery &



TotalEngineering

Sales to external customers ¥ 82,617 ¥ 8,525 ¥3,280 ¥2,021 ¥ — ¥ 96,445 Inter-segment sales 80 1,235 39 — (1,356) —Segment Revenue 82,698 9,761 3,320 2,021 (1,356) 96,445


Thousands of US dollars

2007

MineralMachinery &



TotalEngineering

Sales to external customers $896,851 $76,447 $19,475 $12,490 $ — $1,005,265

Inter-segment sales 549 8,639 310 — (9,499) —

Segment Revenue 897,400 85,087 19,786 12,490 (9,499) 1,005,265



Segment InformationNittetsu Mining Co., Ltd. and Consolidated SubsidiariesYears ended March 31, 2007 and 2006


2007 2006 2007

Net cash flow from operating activities ¥11,789 ¥11,210 $ 99,866

Net cash flow from investing activities (7,468) (4,711) (63,264)

Net cash flow from financing activities (4,499) (3,482) (38,111)

Effect of exchange rates on cash and cash equivalents (8) (480) (72)

(Decrease) increase in cash and cash equivalents (186) 2,535 (1,582)

Cash and cash equivalents at the beginning of the year 16,763 14,207 142,002

Increase in cash and cash equivalents from newlyconsolidated subsidiaries 3 20 25

Decrease in cash and cash equivalents fromsubsidiaries removed from consolidation — — —

Cash and cash equivalents at the year end ¥16,579 ¥16,763 $140,444


Consolidated Statements of Cash FlowsNittetsu Mining Co., Ltd. and Consolidated SubsidiariesYears ended March 31, 2007 and 2006

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1. Scope of Consolidation

(1) Number of consolidated subsidiaries: 18 companies

Main consolidated subsidiariesFunao Mining Co., Ltd., Nittetsu Mining Consultants Co., Ltd., Nittetsu Kagoshima Geothermal Co., Ltd., Shinwa Shoji Co., Ltd., Sociedad Contractual Minera Atacama Kozan, Kobukuro Techno Co., Ltd., Dojima Kanto Securities Co., Ltd.

Main unconsolidated subsidiariesNittetsu Kagoshima Geothermal Co., Ltd., which had been included as an affiliated company not accounted for by the equity method until the fiscal year ended March 31, 2006, was included in the scope of consolidation because the percentage of voting rights held by the Company increased during the fiscal year ended March 31, 2007.

(2) Names of principal unconsolidated subsidiaries

Shin Yaguki Mining Co., Ltd., Suzuki Sangyo Co., Ltd., Nittetsuko Real Estate Co., Ltd.

Reason for exclusion from scope of consolidation:The unconsolidated subsidiaries are small in scale, and their total assets, net sales, net income and retained earnings, etc., (commensurate with equity holdings) do not have a material effect on the consolidated financial statements.

2. Application of the Equity Method

(1) Number of affiliated companies accounted for by the equity method:

1 company: Hibi Kyodo Smelting Co., Ltd.Port Kembla Copper Pty. Ltd., which had been included as an affiliated company accounted for by the equity method until the fiscal year ended March 31, 2006, was excluded from the equity method because of a stock transfer.

(2) Unconsolidated subsidiaries (Shin Yaguki Mining Co., Ltd. and others) and affiliated companies (Amagiyama Greenification Development Co., Ltd. and others) not accounted for by the equity method are excluded from the scope of application of the equity method because they have no overall significance and their net income and retained earnings (commensurate with equity holdings) would have an immaterial effect on consolidated financial statements even if they were excluded from eligibility for the equity method.

(3) For affiliated companies accounted for by the equity method with account settlement dates different from the consolidat-ed account settlement date, financial statements for the relevant company's business year are used.

3. Business Years of Consolidated Subsidiaries

Companies with account settlement dates different from the consolidated account settlement date are as follows:

Company name Settlement dateSociedad Contractual Minera Atacama Kozan December 31Minera Nittetsu Chile Limitada December 31

The financial statements of the consolidated subsidiaries as of the account settlement date are used. Necessary adjustments are made in consolidation for significant transactions occurring between then and the consolidated account settlement date.

4. Summary of Significant Accounting Policies

(1) Standard and method of valuation of valuable assets

(a) Valuation of marketable securitiesSecurities designated for sale are evaluated by the mark-to-market method (calculated by the moving-average method).Held-to-maturity securities are calculated using the amortized cost method (straight-line).

Other marketable securities:Items with market values:

Valued at market based on market prices, etc. at the balance sheet date (Valuation differences are directly charged or credited to net assets, and selling prices are calculated using the moving-average method.)

Items without market value:Valued at cost using the moving-average method

(b) Standard for valuation of derivativesMarket price method

(c) Standard and method of valuation of inventoriesInventories are stated at the lower of cost or market using the moving-average method, or at cost using the first-in, first-out (FIFO) method, depending on the product line or type of business.

(2) Method of depreciation and amortization of valuable depreciable assets

(a) Tangible fixed assetsThe Company and its domestic consolidated subsidiaries primarily use the declining balance method. However, buildings (including machinery contained therein) acquired on or after April 1, 1998 and buildings used for the leasing business are depreciated using the straight-line method, and certain structures (major mineshafts) and all mining land are depreciated using the production output method. Non-domestic subsidiaries primarily use the straight-line method.

Notes to Consolidated Financial StatementsNittetsu Mining Co., Ltd. and Consolidated SubsidiariesYears ended March 31, 2007 and 2006

Estimated useful lives are as follows:Buildings and structures: 5-60 yearsMachinery and equipment and vehicles: 3-20 years

(b) Intangible fixed assetsThe Company mainly uses the straight-line method, except for mining rights and interests, which are amortized using the production output method. Software for internal use is amortized using the straight-line method based on the usable period in the company (5 years).

(3) Reserves and allowances

(a) Allowance for doubtful receivablesAt the end of each fiscal year, the Company sets aside an allowance for doubtful receivables in the estimated unrecoverable amount, based on the Company's loss experience for general credit and on the Company's individual estimates of future recoverability for specific receivables, including doubtful receivables.

(b) BonusesThe Company set aside a reserve for accrued bonuses, calculated based on estimated payments for the fiscal year ended March 31, 2007, to cover payment of bonuses to employees.

(c) Directors' and auditors' bonusesThe Company sets aside a reserve to match accrued bonuses, calculated based on estimated payments for the fiscal year ended March 31, 2007, to cover payment of bonuses to directors and auditors.

(d) Accrued employees' retirement benefitsAt the end of each fiscal year, the Company sets aside a reserve for accrued employees' retirement benefits in an amount equal to the amount required to be paid at the balance sheet date, based on the estimated amount of retirement benefit obligations and pension plan assets at the balance sheet date.

Calculation differences, which are prorated based on the straight method according to a stated number of years (13) within the employee average number of residual service hours in the fiscal year ended March 31, 2007, are expensed for the consolidated fiscal year in which they occurred.

(e) Accrued retirement benefits for directors and auditorsAt the end of each fiscal year, the Company sets aside a reserve for accrued retirement benefits for directors and corporate auditors according to internal company regulations.

(f) Environmental safety measuresIn accordance with the Special Measures Law for the Promotion of Proper Disposal of PCB Waste (Law No. 65, June 22, 2001), the Company sets aside a reasonable reserve in an amount equivalent to the estimated disposal expenses for stored PCB.

(g) Reconstruction of landslide areas on business-use landThe Company sets aside a reserve to cover payment of expenses for restoration construction of landslide areas on business-use land in an amount equivalent to construction expenses based on the reconstruction plan.

(h) Other reservesShinwa Shoji Co., Ltd. sets aside a “Reserve for Special Repairs” to cover expenses required for repairs to undergo periodic inspections under the Ship Safety Law, in the estimated amount required based on the previous special repair expenses.

Sociedad Contractual Minera Atacama Kozan sets aside a reserve for mine closure expenses in the amount expected to be incurred at the balance sheet date, based on the estimated mine closure expenses, to provide for payment of expenses related to the closure of a mine after the end of copper ore mining by order of the government of Chile.

Nittetsu Kagoshima Geothermal Co., Ltd. sets aside a “Reserve for Special Repairs” to cover estimated expenses for periodic repair of geothermal production transport equipment.

Dojima Kanto Securities Co., Ltd. provides a securities transaction liability reserve in accordance with Article 51 of the Securities Exchange Law to cover losses from securities trouble. The amount of the reserve is calculated pursuant to Article 35 of the “Cabinet Order concerning Securities Companies.”

Because the amounts of the Reserve for Special Repairs and the Reserve for Mine Closure Expenses have little effect on the consolidated balance sheets, they are included in “Other” under Fixed Assets.

(4) Other significant items for preparation of consolidated financial statements

(a) Accounting for significant lease transactionsThe Company and its domestic consolidated subsidiaries account for finance lease transactions, excluding those accounted for as purchase transactions, as ordinary lease transactions. Overseas subsidiaries mainly account for such lease transactions as ordinary sales transactions.

(b) Main hedge accounting methodsi. Hedge accounting method

The Company uses mainly deferred hedging. However, under certain conditions, interest rate swap trading contracts areaccounted for according to special conditions.

ii. Hedge instruments, hedge objects and hedge policy Interest rate swaps are carried out to avoid risk associated with loan interest rate fluctuations. In addition, the Company trades commodity futures to avoid the commodity price fluctuation risk for non-ferrous metals inventory assets and concludes forward contracts with customers for the price of non-ferrous metals.

iii.Method of assessing the effectiveness of hedgesOver the period from the beginning of a commodity future transaction to the point at which a decision of effectiveness is determined, the market fluctuations of the hedged commodity and the market fluctuations of the hedged instrument are compared and effectiveness determined. However, interest rate swap transactions are treated separately and are omitted from this effectiveness evaluation.

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(c) Accounting for consumption taxes, etc.Consumption taxes and local consumption taxes are not included in the consolidated financial statements.

5. Valuation of Assets and Liabilities of Consolidated Subsidiaries

The assets and liabilities of consolidated subsidiaries are valued using the full mark-to-market method.

6. Changes in Accounting Practices

(1) Accounting standards for presentation of net assets on the balance sheet and for treasury stock and reduction of

legal reserves

Effective from the year ended March 31, 2007, the Company applies “Accounting Standards for Presentation of Net Assets on the Balance Sheets” (Accounting Standards Board of Japan, Statement No. 5, issued December 9, 2005) and “Application Guidance on Accounting Standards for Presentation of Net Assets on the Balance Sheets” (Accounting Standards Board of Japan, Statement No. 8, issued December 9, 2005); and “Accounting Standard for Treasury Stock and Reduction of Legal Reserves” (Accounting Standards Board of Japan, Statement No. 1, issued August 11, 2006) and “Application Guidance on Accounting Standards for Treasury Stock and Reduction of Legal Reserves” (Accounting Standards Board of Japan, Statement No. 2, August 11, 2006).

The change had no impact on the Company's profits. The total amount corresponding to Shareholders' Equity as used in previous statements was ¥91,215 million.

(2) Bonuses for directors and corporate auditors

Effective from the year ended March 31, 2007, the Company applies “Accounting Standard for Directors’ Bonuses” (Accounting Standards Board of Japan, Statement No. 4, November 29, 2005). As a result of this change, operating income, ordinary income and income before income taxes decreased by ¥35 million for the year ended March 31, 2007.

7. Change in Presentation Method

According to Article 2, Paragraph 2 of the “Law Concerning Maintenance of Relevant Laws in Relation to Enforcement of the Company Law,” “Equity in affiliates,” which until the previous year had been included in “Other” under “Investments and Other Assets” in the Consolidated Balance Sheets, is included in “Investment securities.” “Equity in affiliates” included in “Other” in the previous year was ¥107 million.

8. Additional Information

Consolidated subsidiary Minera Nittetsu Chile Limitada has previously prepared its financial statements denominated in Chilean pesos. With the permission of the Chilean tax authorities, this subsidiary prepares financial statements denominated in U.S. dollars, its functional currency, as of its fiscal year of January to December 2006.

As a result of this change, foreign exchange gain decreased ¥46 million compared with the previous method. Ordinary income and income before income taxes decreased by the same amount.

Notes to the Consolidated Balance Sheets

1. Pledged assets and liabilities (Millions of yen)

Assets pledged as collateralTangible and intangible fixed assets ...................................................... ¥ 848Debt collateralized by the aboveShort-term borrowings........................................................................... 634Long-term borrowings ........................................................................... 3,134

Total .......................................................................................................... ¥ 3,768

OtherTangible fixed assets ............................................................................. ¥ 2,923Investment securities ............................................................................ 4,758

Total .......................................................................................................... ¥ 7,681

Debt collateralized by the aboveShort-term borrowings........................................................................... ¥ 1,177Credit account borrowings..................................................................... 9,575Long-term borrowings ........................................................................... 2,371Guarantees received.............................................................................. 10

Total .......................................................................................................... ¥13,135

2. Accumulated depreciation of tangible fixed assets: ¥99,336 million

3. Guaranteed liabilitiesWe guarantee the borrowings that unconsolidated companies have with financial institutions.

(Millions of yen)Total Consolidated

guarantee company debt

Shin Yaguki Mining Co., Ltd....................................................... ¥301 ¥(301)Iwaki Kyodo Tancal Co., Ltd....................................................... 304 (57)Other (3 companies) .................................................................. 107 (14)Total ........................................................................................... ¥714 ¥(373)

Primary Businesses As of March 31, 2007

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Date of Establishment May 20, 1939

Common Stock

Authorized: 200,000,000 shares

Issued and Outstanding: 83,523,195 shares(including 193,570 shares

of treasury stock)

Number of Shareholders 5,440

Major Shareholders % of total

Nippon Steel Corporation 14.86

The Master Trust Bank of Japan, Ltd. (trust account) 7.84

Nittetsu Kogyo Shogakukai* 7.69

Japan Trustee Services Bank, Ltd. (trust account) 6.08

Mizuho Corporate Bank, Ltd. 3.53

Sumitomo Mitsui Banking Corporation 3.48

Trust & Custody Services Bank, Ltd.(securities investment trust account) 2.94

Japan Trustee Services Bank, Ltd. (trust account 4) 2.16

The Bank of Tokyo-Mitsubishi UFJ, Ltd. 1.68

Sumitomo Osaka Cement Co., Ltd. 1.55

*Non-profit corporation

Number of Employees (Consolidated)

Mineral Resources 1,295

Machinery & Environmental Engineering 208

Real Estate 3

Securities Business 80

Corporate (shared) 78

Total 1,664

Number of Employees (Non-Consolidated) 695

Principal Lenders

Mizuho Corporate Bank, Ltd.

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

Sumitomo Mitsui Banking Corporation

Japan Bank for International Cooperation

The Norinchukin Bank

AEON Kyushu Co., Ltd.

Corporate Data As of March 31, 2007

Group Major Products

Mineral Resources Non-Metallic Minerals

Limestone, dolomite, crushed stone, calcium carbonate, silica rock, quicklime, cement, gypsum, ready-mixed concrete and concrete products, petroleum products, coal, LPG, chips for pulp, mineral water, specialty papers (fire-retardant, calcium carbonate), granulates, handling and transportation of mineral products, technological consulting for mining and civil engineering, supply of geothermal steam and brine, others

Metallic Minerals

Electrolytic copper, gold and silver, copper concentrate

Machinery & Machinery

Environmental Engineering Dust collectors, crushing and grinding equipment, mining machinery, construction-related machinery, civil engineering machinery, electric machinery, monorail for passenger transportation, ball valves, incinerators, powder/fluid-related machinery, maintenance/repair of baryta machinery, others

Environmental Engineering

Water treatment agents, deodorizers, others

Real Estate Rentals of office buildings, condominiums, commercial spaces, factories and warehouses and realestate sales

Securities Business Handling of stocks, bonds and investment trusts

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Domestic Offices

Head Office

Yusen Building

3-2, Marunouchi 2-chome

Chiyoda-ku, Tokyo 100-8377, Japan

URL: http://www.nittetsukou.co.jp/

General Administration Section

Tel : +81-3-3284-0516

Fax: +81-3-3215-8480

Public & Investor Relations Group

Tel : +81-3-3284-0518

Fax: +81-3-3215-8480

Limestone Sales Section

Tel : +81-3-3216-5261

Fax: +81-3-3284-0037

Limestone Powder and Aggregate

Sales Section

Tel : +81-3-3216-5260

Fax: +81-3-3284-0037

Fine Materials Sales Section

Tel : +81-3-3216-5254

Fax: +81-3-3215-7293

Non-Ferrous Metal & Ore Section

Tel : +81-3-3216-5265

Fax: +81-3-3284-0037

Environmental Sales Section

Tel : +81-3-3216-5320

Fax: +81-3-3216-5262

Machinery Sales Section

Tel : +81-3-3216-5321

Fax: +81-3-3216-5263

Resources Development Section

Tel : +81-3-3216-5281

Fax: +81-3-3215-8480

Information System Sect.

4-20-30, Shimorenjyaku,

Mitaka-city, Tokyo 181-0013, Japan

Tel : +81-422-79-1160

Fax: +81-422-79-1161

R&D Dept.

8-1, Hirai, Hinode-cho,

Nishitama-gun, Tokyo 190-0182,

Japan

R&D Administration Section

Tel : +81-42-597-7001

Fax: +81-42-597-7013

Overseas Office

Sydney Branch Office

Level 24, Royal Insurance Building

1 York Street

Sydney, NSW 2000, Australia

Tel : +61-2-9252-2076

Fax: +61-2-9252-2220

Representative Director and

President

Rokuro Matsumoto

Managing Directors

Hisashi Cho

Kazuharu Miyagi

Toshinobu Yanou

Directors

Akiharu Shiokawa(General Manger, GeneralAdministration Department, GeneralAccounting Department andSecretariat)

Nobuhide Miyazaki(General Manager, ResourcesDevelopment Department and SafetyAdministration Office)

Yutaka Moriwaki(General Manager, Raw Materials &Commodities Sales Department andBranch Sales Division)

Standing Corporate Auditors

Takao Yamashiro

Yoshiharu Aso

Corporate Auditors

Nozomu Otsuka

Kaoru Yamazaki

Directors and Corporate Auditors As of June 28, 2007

Directory As of March 31, 2007

General Meetingof Shareholders

Board of Directors

Corporate Auditors

Board ofCorporate Auditors

Shiriya Quarry Complex

Kuzuu Quarry Complex

Ikura Quarry Complex

Torigatayama Quarry Complex

Kyushu Branch Office

Hokkaido Branch Office

Sydney Branch Office

Tohoku Branch Office

Oita Quarry Complex

Higashi-shikagoeQuarry Complex

Osaka Branch Office

President

Management Council

Resources DevelopmentDepartment

General AdministrationDepartment

General AccountingDepartment

Raw Materials & CommoditiesSales Department

Non-Ferrous Metal & OreDepartment

Machinery & Environmental Sales Department

Secretariat

Safety Administration Office

Mining Department

R&D Department

Organizational Chart As of June 28, 2007

Major Subsidiaries As of March 31, 2007

13

Capital Company Subsidiaries (Millions of yen) Holdings (%) Primary Businesses

Geothermal assessment (including large-diameter drilling andNittetsu Mining geophysical exploration), mining consulting, construction Consultants Co., Ltd. 100 100.0 consulting (including geological assessment and drilling

survey), other

Shinwa Shoji Co., Ltd. 100 100.0Purchase and sales of industrial machinery and domestic resourcesLongshoring and transporting of limestone

Funao Mining Co., Ltd. 60 100.0Mining and sales of limestone Manufacture and sales of calcium carbonate

Kobukuro Techno Co., Ltd. 50 100.0 Manufacture and sales of dust collectors and electric machinery

Nittetsu Kagoshima245 85.7 Supply and sales of geothermal steam and brine

Geothermal Co., Ltd.

Dojima Kanto1,433 60.6

Handling stocks (market trading commissions, dealing, Securities Co., Ltd. underwriting, offering, sales dealing), bonds, investment trusts

(Thousands of US dollars) (%)

Sociedad Contractual3,750 60.0 Mining and sales of copper ore

Minera Atacama Kozan

Nittetsu Mining Co., Ltd.Yusen Building, 3-2, Marunouchi 2-chomeChiyoda-ku, Tokyo 100-8377, JapanTel: +81-3-3284-0516Fax: +81-3-3215-8480URL: http://www.nittetsukou.co.jp/ Printed in Japan

Documents

· PDF fileNittetsu Mining Co., Ltd. and Consolidated Subsidiaries Years ended March 31, 2007 and 2006. 7 Millions of yen ... Inter-segment sales 549 8,639 310 —