Regarding Losses on Revaluation of Investment Securities and Stocks of Subsidiaries and Affiliates

Tokyo, May 12, 2008

Fujitsu Limited today announced that in its financial results for fiscal 2007 ended March 31, 2008, it has recognized a loss on the revaluation of investment securities as well as a loss on the revaluation of stocks of subsidiaries and affiliates whose current market value or net worth has declined significantly and is unlikely to be recovered in the future. In addition, a gain on the sale of a portion of investment securities was recognized.

1. Loss on Revaluation of Investment Securities as of March 31, 2008

Unconsolidated basis

(billion yen)
(A) Total loss on revaluation of investment securities as of March 31, 2008	24.9
(B) Total net assets as of March 31, 2007 [A/B×100]	620.8 [4.0%]
(C) Ordinary income for fiscal year 2006 [A/C×100]	62.6 [39.8%]
(D) Average net income for last five fiscal years [A/D×100]	6.9 [360.7%]

Notes:
1) The fiscal year ends on March 31.
2) 19.8 billion yen of the 24.9 billion yen loss on the revaluation of investment securities had been recognized by the end of the third quarter of fiscal 2007.

Reference: Consolidated basis

(billion yen)
(E) Total loss on revaluation of investment securities as of March 31, 2008	25.1
(F) Total net assets as of March 31, 2007 [E/F×100]	1,160.7 [2.2%]
(G) Ordinary income for fiscal year 2006 [E/G×100]	147.2 [17.1%]
(H) Net income for fiscal year 2006 　 [E/H×100]	102.4 [24.5%]

Note: 19.8 billion yen out of 25.1 billion yen loss on the revaluation of investment securities had been recognized by the end of the third quarter of fiscal 2007.

2. Loss on Revaluation of Stocks of Subsidiaries and Affiliates as of March 31, 2008

Unconsolidated basis

(billion yen)
(A) Total loss on revaluation of stocks of subsidiaries and affiliates as of March 31, 2008	18.7
(B) Total net assets as of March 31, 2007 [A/B×100]	620.8 [3.0%]
(C) Ordinary income for fiscal year 2006 [A/C×100]	62.6 [30.0%]
(D) Average net income for last five years [A/D×100]	6.9 [271.9%]

Notes:
1) The loss on revaluation of stocks of subsidiaries and affiliates is related primarily to the shares of listed subsidiaries and affiliates whose market value declined significantly, and is a sum of the following: 27.4 billion yen of revaluation loss on stocks of subsidiaries and affiliates, 0.2 billion yen of provision for loss on guarantees, (8.9) billion yen of reversal of provision for loss on guarantees.
2) 3.8 billion yen of the 18.7 billion yen loss on revaluation of stocks of subsidiaries and affiliates had been recognized by the end of the third quarter of fiscal 2007.

3. Gain on Sale of Investment Securities

Fujitsu Limited and its consolidated subsidiaries sold a portion of investment securities in the fourth quarter of fiscal year 2007. The sale resulted in gains of 2.9 billion yen on an unconsolidated basis and 3.2 billion yen on a consolidated basis.

4. Revision of Earnings Projections

Fujitsu reported the above-stated loss on revaluation of investment securities and loss on stocks of subsidiaries and affiliates as “other losses” in its financial results for fiscal 2007. With regard to the effect on financial results, please refer to today’s release “Regarding Revision to Earnings Projections for Full Year Fiscal 2007.”