AGC : Notice regarding Impairment losses and Revision to Full Year Consolidated Financial Forecast for Fiscal Year Ending December 31, 2019 (PDF 220KB)

October 8, 2019

Corporate Name: AGC Inc.

President & CEO: Takuya Shimamura

(Code Number: 5201; TSE 1st section)

Contact: Kazumi Tamaki, General Manager,

Corporate Communications & Investor Relations Division

(Tel: [phone])

Notice regarding Impairment losses and Revision to Full Year Consolidated

Financial Forecast for Fiscal Year Ending December 31, 2019

AGC Inc. (the Company) hereby announces that the Company is expected to post the following impairment losses in the accounts for the cumulative nine months ending September 30, 2019. Due to the recognition of impairment losses, the Company has revised its consolidated financial forecast for the full year ending December 31, 2019, which was announced on July 30, 2019.

1. Recognition of impairment losses
   In the light of the declining vehicle production and a shift in vehicle models in North America, the Company examined the future collectability of the fixed assets in its automotive glass business in the region, and is expected to post impairment losses of approximately ¥23 bn.
2. Revision to the consolidated financial results forecast

1. The revised FY2019 consolidated financial results forecast
   [January 1 through December 31, 2019]

					(Unit: Millions of yen; %)
					Profit for the	Basic
					period
		Operating	Profit	Profit for	earnings
	Net sales	attributable to
	profit	before tax	the period	per share
		owners of the
					(Yen)
					parent
Previous forecast announced	1,540,000	105,000	98,000	74,000	64,000	289.30
on July 30, 2019 (A)
Revised forecast (B)	1,540,000	105,000	75,000	51,000	41,000	185.33
Change (B - A)	-	-	△23,000	△23,000	△23,000	-
Change (%) (B - A)/A	-	-	△23.5	△31.1	△35.9	-
(Reference)	1,522,904	120,555	128,404	101,991	89,593	399.51
Actual results for FY2018

1. Reasons for the revision
   The Company is in process of consolidating its accounts for the cumulative period ending September 30, 2019, which are scheduled to be announced on October 30. Due to the expected impairment losses as mentioned above, the Company has revised its forecast for Profit before

tax, Profit for the period and Profit for the period attributable to owners of the parent for the year

ending December 31, 2019.

There is no change for the dividend payment forecast.