Seven & i : Announcement of Consolidated Financial Results for the Fiscal Year ended February 28, 2017

Consolidated Financial Results for the Fiscal Year ended February 28, 2017 Seven & i Holdings Co., Ltd. (URLhttp://www.7andi.com/en) Securities Code No. 3382

President and COO : Ryuichi Isaka

The Company's shares are listed on the First Section of the Tokyo Stock Exchange. Date of the ordinary general meeting of shareholders: May 25, 2017Submission date of the annual securities report scheduled: May 26, 2017

Starting date of paying year-end dividend: May 26, 2017 Preparation of brief summary materials for financial results: Yes

Holding of financial results presentation: Yes

April 6, 2017

Note: All amounts less than one million yen have been disregarded.

1. Business Results for the Fiscal Year ended February 28, 2017 (from March 1, 2016 to February 28, 2017)

2. Results of Operations (Millions of yen, except per share amounts)

   	Revenues from Operations	Operating Income	Ordinary Income	Net Income
   Year ended February 28, 2017	5,835,689 (3.5) %	364,573 3.5 %	364,405 4.1 %	96,750 (39.9) %
   Year ended February 29, 2016	6,045,704 0.1 %	352,320 2.6 %	350,165 2.5 %	160,930 (7.0) %

   Note: Comprehensive income:

   Year ended February 28, 2017:116,175 million yen [(19.7)%] Year ended February 29, 2016: 144,603 million yen [(47.0)%]

   	Net Income per Share	Diluted Net Income per Share	Ratio of Net Income to Owners' Equity	Ratio of Ordinary Income to Total Assets	Ratio of Operating Income to Revenues from Operations
   Year ended February 28, 2017	109.42 (yen)	109.31 (yen)	4.1 %	6.7 %	6.2 %
   Year ended February 29, 2016	182.02 (yen)	181.84 (yen)	6.9 %	6.6 %	5.8 %

   Notes: 1. Equity in earnings of affiliates:

   Year ended February 28, 2017: 2,062 million yen Year ended February 29, 2016: 1,958 million yen

   2. Percentages represent increase (decrease) from the prior year unless otherwise stated.

   • Group's total sales include the sales of Seven-Eleven Japan and 7-Eleven, Inc. franchisees: Year ended February 28, 2017:10,621,530 million yen [(0.8)%]

     Year ended February 29, 2016:10,703,064 million yen [4.6%]

3. Financial Position (Millions of yen, except per share amounts)

   	Total Assets	Net Assets	Owners' Equity Ratio	Owners' Equity per Share
   As of February 29, 2016	5,508,888	2,475,806	42.4%	2,641.40 (yen)
   As of February 29, 2016	5,441,691	2,505,182	43.6%	2,683.11 (yen)

   Note: Owners' equity (net assets excluding minority interests in consolidated subsidiaries and subscription rights to shares) :

   As of February 28, 2017: 2,336,057 million yen As of February 29, 2016: 2,372,274 million yen

4. Cash Flows (Millions of yen)

   	Cash Flows from Operating Activities	Cash Flows from Investing Activities	Cash Flows from Financing Activities	Cash and Cash Equivalents at end of the Fiscal Year
   Year ended February 28, 2017	512,523	(371,602)	(78,190)	1,209,497
   Year ended February 29, 2016	488,973	(335,949)	(2,312)	1,147,086

5. Dividends

   	Dividends per Share (yen)			Total Amount of Dividends (Millions of yen)	Dividends Payout Ratio (Consolidated)	Ratio of Total Amount of Dividends to Net Assets (Consolidated)
   Cash Dividends	Interim	Year-end	Annual
   Year ended February 29, 2016	38.50	46.50	85.00	75,154	46.7 %	3.2%
   Year ended February 28, 2017	45.00	45.00	90.00	79,596	82.3 %	3.4%
   Year ending February 28, 2018 (forecast)	45.00	45.00	90.00		45.0 %

   Note: Breakdown of year-end dividend for the fiscal year ended February 29, 2016: Ordinary dividend 38.50 yen, commemorative dividend 8.00 yen, total 46.50 yen.

6. Forecast of Business Results for the Fiscal Year ending February 28, 2018 (From March 1, 2017 to February 28, 2018)

   (Millions of yen, except per share amounts)

   	Revenues from Operations	Operating Income	Ordinary Income	Net Income	Net Income per Share
   Interim Period Entire Year	2,989,000 4.3 % 6,100,000 4.5 %	190,800 5.1 % 386,500 6.0 %	188,100 3.0 % 385,000 5.7 %	95,800 186.1 % 177,000 82.9 %	108.34 (yen) 200.18 (yen)

   Note: Percentages represent increase (decrease) from the corresponding period in the prior year.

   • The forecast of Group's total sales include the sales of Seven-Eleven Japan and 7-Eleven, Inc. franchisees: Interim Period: 5,530,000 million yen [4.7%]

   Entire Year: 11,150,000 million yen [5.0%]

7. Others

8. Changes in significant subsidiaries during the fiscal year ended February 28, 2017 (changes in specific subsidiaries accompanying change in scope of consolidation): None Added: none Excluded: none

9. Changes in accounting policies, accounting estimates or restatements

10. Changes due to amendment of accounting standards: Yes

11. Changes due to other reasons: None

12. Changes in accounting estimates: None

13. Restatements: None

14. Number of shares outstanding (common stock)

15. Number of shares outstanding at the end of period (including treasury stock)

    As of February 28, 2017:

    886,441,983

    shares As of February 29, 2016:

    886,441,983

    shares

16. Number of treasury stock at the end of period

    As of February 28, 2017:

    2,039,799

    shares As of February 29, 2016:

    2,290,888

    shares

17. Average number of shares during the period

18. As of February 28, 2017:

    884,214,252

    shares As of February 29, 2016:

    884,132,485

    shares

    Note: For the number of shares as a basis of calculating net income per share (consolidated), please refer to Per Share Information on page 44 of attached materials.

    Reference: Summary of Nonconsolidated Financial Statements

19. Nonconsolidated Business Results for the Fiscal Year ended February 28, 2017 (from March 1, 2016 to February 28, 2017)

20. Results of Operations (Millions of yen, except per share amounts)

    	Revenues from Operations	Operating Income	Ordinary Income
    Year ended February 28, 2017	217,860 98.0%	194,297 111.3%	193,329 114.0%
    Year ended February 29, 2016	110,008 2.9%	91,964 (4.4)%	90,341 (4.6)%

    	Net Income	Net Income per Share	Diluted Net Income per Share
    Year ended February 28, 2017	73,558 1.0%	83.18 (yen)	83.11 (yen)
    Year ended February 29, 2016	72,803 (23.5)%	82.34 (yen)	82.27 (yen)

    Note: Percentages represent increase (decrease) from the prior year unless otherwise stated.

21. Financial Position (Millions of yen, except per share amounts)

22. 	Total Assets	Net Assets	Equity Ratio	Net Assets per Share
    As of February 28, 2017	1,845,861	1,479,210	80.0%	1,670.18 (yen)
    As of February 29, 2016	1,941,937	1,480,584	76.1%	1,671.77 (yen)

    Note: Owners' equity (net assets excluding subscription rights to shares) :

    As of February 28, 2017: 1,477,149 million yen As of February 29, 2016: 1,478,133 million yen

    NOTICE REGARDING AUDIT PROCEDURES FOR THE CONSOLIDATED FINANCIAL RESULTS

    This consolidated financial results statement is not subject to audit.

    FORWARD LOOKING STATEMENTS AND OTHER SPECIAL ITEMS

23. The information disclosed by the Company may contain forward-looking statements. These statements are based on management's judgment in accordance with materials available to the Company at the time of disclosure, with future projections based on certain assumptions.

    The forward-looking statements therefore incorporate various risks, estimates, and uncertainties, and as such, actual results and performance may differ from the future outlook included in disclosed information due to various factors, such as changes in business operations and

    the financial situation going forward.The forecast for the year ending February 28, 2018 is based on Seven & i Holdings' hypotheses, plans and estimates at the date of publication.

24. Brief summary for the fiscal year ended February 28, 2017 is posted on the Company's website (http://www.7andi.com/en/ir/library/kh/201702.html). The presentation materials related to management policy and financial results which will be used on financial results presentation planned to be held on April 7, 2017, will be posted as soon as possible after the presentation.

25. Attached Materials‌‌

    Contents

    1．Scope of Consolidated Subsidiaries and Affiliates・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・2

26. Consolidated Financial Statements

    (1) Consolidated Balance Sheets ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・6

    (2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income・・・・・・・・・・・・8(3) Consolidated Statements of Changes in Net Assets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・11(4) Consolidated Statements of Cash Flows・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・15(5) Doubts on the Premise of Going Concern・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・17

    (6) Accounting Policies for the Preparation of Consolidated Financial Statements・・・・・・・・・・・・・・・・・・・・・・・・17(7) Changes in accounting policies・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・21(8) Change in Method of Presentation・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・21(9) Supplementary Information・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・21

    (10) Notes to Consolidated Financial Statements

    Consolidated Balance Sheets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・23Consolidated Statements of Income・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・25Consolidated Statements of Comprehensive Income・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・29Consolidated Statements of Changes in Net Assets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・30Consolidated Statements of Cash Flows・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・33Segment Information・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・35Business Combination ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・41Related Parties Transactions・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・43Per Share Information・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・44Subsequent Event ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・45

27. Nonconsolidated Financial Statements

(1) Nonconsolidated Balance Sheets ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・48

(2) Nonconsolidated Statements of Income・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・50

(3) Nonconsolidated Statements of Changes in Net Assets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・51

(4) Doubts on the Premise of Going Concern・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・53

(5) Notes to Nonconsolidated Financial Statements

Nonconsolidated Balance Sheets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・53

Nonconsolidated Statements of Income・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・53

[Reference]

Seven-Eleven Japan Co., Ltd.

Nonconsolidated Balance Sheets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・54

Nonconsolidated Statements of Income・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・56

Ito-Yokado Co., Ltd.

Nonconsolidated Balance Sheets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・57

Nonconsolidated Statements of Income・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・59

York-Benimaru Co., Ltd.

Nonconsolidated Balance Sheets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・60

Nonconsolidated Statements of Income・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・62

Sogo & Seibu Co., Ltd.

Nonconsolidated Balance Sheets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・63

Nonconsolidated Statements of Income・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・65

Seven & i Food Systems Co., Ltd.

Nonconsolidated Balance Sheets・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・66

Nonconsolidated Statements of Income・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・68

1. Scope of Consolidated Subsidiaries and Affiliates Major Seven & i Group Companies

Seven & ｉGroup consists 176 diversified retail companies, mainly engaged in convenience store operations, superstore operations, department store operations, food services, financial services and mail order services.

Business segments, major group companies and number of companies are as follows.

This segmentation is same as the reportable segment shown in the section of segment information.

Business Segments	Major Group Companies	Number of Companies
Convenience Store Operations	Seven-Eleven Japan Co., Ltd. 7-Eleven, Inc. SEVEN-ELEVEN (CHINA) INVESTMENT CO., LTD. SEVEN-ELEVEN (BEIJING) CO., LTD. SEVEN-ELEVEN (TIANJIN) CO., LTD. SEVEN-ELEVEN (CHENGDU) CO., LTD. SEVEN-ELEVEN HAWAII, INC. SEJ Asset Management & Investment Company SHAN DONG ZHONG DI CONVENIENCE CO., LTD. TOWER BAKERY CO., LTD.	Consolidated Subsidiaries 81 Affiliates 6 Total 87
Superstore Operations	Ito-Yokado Co., Ltd. York-Benimaru Co., Ltd. Marudai Co., Ltd. Hua Tang Yokado Commercial Co., Ltd. Chengdu Ito-Yokado Co., Ltd. York Mart Co., Ltd. K.K. Sanei Oshman's Japan Co., Ltd. Akachan Honpo Co., Ltd. Seven Bi no Garden Co., Ltd. IY Foods K.K. Life Foods Co., Ltd. Ito-Yokado (China) Investment Co., Ltd. Seven Farm Co., Ltd. DAIICHI CO., LTD. Tenmaya Store Co., Ltd.	Consolidated Subsidiaries Affiliates Total	21 6 27
Department Store Operations	Sogo & Seibu Co., Ltd. THE LOFT CO., LTD. SHELL GARDEN CO., LTD. IKEBUKURO SHOPPING PARK CO., LTD. Yatsugatake Kogen Lodge Co., Ltd. GOTTSUO BIN CO., LTD. DISTRICT HEATING AND COOLING CHIBA CO., LTD.	Consolidated Subsidiaries 8 Affiliates 5 Total 13
Food Services	Seven & i Food Systems Co., Ltd.	Consolidated Subsidiary	1
Financial Services	Seven Bank, Ltd. Seven Financial Service Co., Ltd. Seven Card Service Co., Ltd. Seven CS Card Service Co., Ltd. SEVEN & i Financial Center Co., Ltd. FCTI, Inc.	Consolidated Subsidiaries	9
Mail Order Services	Nissen Holdings Co., Ltd. Nissen Co., Ltd. SHADDY CO.,LTD. GE Nissen Credit Co., Ltd.	Consolidated Subsidiaries 16 Affiliate 1 Total 17
Others	Seven & i Netmedia Co., Ltd. Seven Net Shopping Co., Ltd. SEVEN & i Publishing Co., Ltd. IY Real Estate Co., Ltd. K.K. York Keibi Seven & i Asset Management Co., Ltd. 7dream.com Seven-Meal Service Co., Ltd. K.K. Terre Verte Seven & i Create Link., Ltd. Seven Culture Network Co., Ltd. Barneys Japan Co., Ltd. I ing Co., Ltd. PIA CORPORATION Tower Records Japan Inc. BALS CORPORATION	Consolidated Subsidiaries 13 Affiliates 8 Total 21

Notes: 1. SHAN DONG ZHONG DI CONVENIENCE CO., LTD., TOWER BAKERY CO., LTD., DAIICHI CO., LTD., Tenmaya Store Co., Ltd.,

GE Nissen Credit Co.,Ltd., Tower Records Japan Inc., BALS CORPORATION, I ing Co., Ltd., and PIA CORPORATION are affiliates.

2. On November 30, 2016, Mall & SC Development Inc. changed its name to Seven & i Create Link Co., Ltd.