February 7, 2017

Listed Company Name: Sumitomo Metal Mining Co., Ltd. Listings: Tokyo Stock Exchange

Code: 5713

Representative: Yoshiaki Nakazato, President Contact: Tsuyoshi Nozawa, Deputy

General Manager, PR & IR Dept.

Tel: +81-3-3436-7705

Revision of Results Forecast and the Return of Executive Compensation

The following revisions have been made to the results forecast announced on November 11, 2016 for the fiscal year ending March 2017 (April 1, 2016 - March 31, 2017), in consideration of recent trends in the Company's business performance and other factors.

  1. Revision of Results Forecast
    1. Revision of consolidated results forecast for the year ending March 2017 (April 1, 2016 - March 31, 2017)

      (yen in millions; %)

      Net Sales

      Operating Income

      Ordinary Income

      Profit attributable to owners of parent

      Net profit per share

      Previous revised forecast (A)

      714,000

      48,000

      33,000

      19,000

      34.44

      Revised forecast (B)

      775,000

      76,000

      1,000

      -15,000

      -27.19

      Net increase/decrease ((B)-(A))

      61,000

      28,000

      -32,000

      -34,000

      Net increase

      /decrease (percentage)

      8.5%

      58.3%

      -97.0%

      (Reference) Actual results for the fiscal year ended March 2016

      855,407

      59,720

      -12,764

      -309

      -0.56

    2. Reasons for forecast revisions

    3. Key non-ferrous metal prices have risen since the previous announcement of forecast on November 11, 2016, and the yen has depreciated rapidly through the end of the third quarter accounting period due to expectations toward U.S. economic policy. In light of these conditions, we have revised the results forecast with reference to the current exchange rate and key non-ferrous metal prices. Although operating income is expected to increase compared with the previous results forecast, we expect ordinary income to decline significantly and expect net profit for the period attributable to owners of the parent company to yield a loss, due to factors including the recording of an equity method investment loss resulting from the impairment loss recorded by Sierra Gorda SCM in the third quarter consolidated accounting period.

    4. Dividend Forecast

      There are no changes to the year-end dividend forecast of ¥6.00 per share announced on November 11, 2016.

    5. Return of Executive Compensation
    6. Regarding this situation, executive officers have offered to return a part of their compensation as below:

      President & Representative director 30% of monthly compensation Senior Managing Executive Officer (1 person)

      30% of monthly compensation

      Managing Executive Officer(1 person) 20% of monthly compensation Executive Officer (3 persons) 20% of monthly compensation

      Period: 3 months from February to April, 2017

      Metal price and exchange rate assumptions are as follows.

      Unit

      FY 2016 forecast

      Previous

      Current

      Copper

      $/t

      4,726

      5,046

      Gold

      $/TOZ

      1,273.4

      1,240.8

      Nickel

      $/lb

      4.54

      4.46

      Exchange rate (TTM)

      ¥/$

      102.66

      108.74

      Cautionary statement: The results forecast and dividend forecast above were created on the basis of information available at the time of the release of these materials. Actual results may diverge from the above forecast values, dependent on a variety of factors.

    Sumitomo Metal Mining Co. Ltd. published this content on 07 February 2017 and is solely responsible for the information contained herein.
    Distributed by Public, unedited and unaltered, on 08 March 2017 11:38:17 UTC.

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