AUTOBACS SEVEN : Announces Recording of Extraordinary Loss

NEWS RELEASE

May 9, 2017

AUTOBACS SEVEN Announces Recording of Extraordinary Loss

May 9, 2017 (Tokyo, Japan) - AUTOBACS SEVEN Co., Ltd. (the "Company," Representative Director

and CEO: Kiomi Kobayashi) announces that it recorded an extraordinary loss in its consolidated financial results for the fiscal year ended March 31, 2017. Details are as follows.

1．Details of Extraordinary Loss

The Company recorded an extraordinary loss of 2,645 million yen in the fiscal year ended March 31, 2017. The loss can be broadly broken down as follows: an impairment loss of 2,161 million yen on the impairment of non-current assets including welfare facilities and the land and buildings of stores; a loss on sales of shares of subsidiaries of 274 million yen associated with the transfer of the shares of consolidated subsidiaries of the Company to franchisees, and a loss on retirement of non-current assets of 209 million yen associated with the renovation of the Eastern Japan Logistics Center.

2．Impact on Business Results

The impact of the above extraordinary loss is reflected in the Consolidated Financial Results for the Year Ended March 31, 2017 [Japanese Standards] released today.

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