Principle of Primary Offering Allocation

1. Deutsche Securities Inc. (hereinafter referred to as the “DSI”), through underwriting activities, achieve its mission of fulfilling client needs of capital raising and investment management, promoting the allocation of securities, and contributing to the expansion and development of securities. DSI conduct public offering and secondary distribution of Share Certificates, etc. (including its arrangement) based on the principles of fair allocation.
   
   
2. DSI verify client’s relation and its transaction with DSI, client’s knowledge, experience, capital, investment purpose, etc. when conducting public offering or secondary distribution of Share Certificates, etc. and its arrangement, endeavour to the principles of suitability based fair allocation.
   
   DSI in principle conduct demand investigation and confirm the substance of client’s demand prior to the offering of Share Certificates, etc. (i. e. client’s demand accumulation method; Book Building method). DSI allocate fairly based on the points whether the client is eager to participate in the offering, whether the client have adequate understanding on the underlying risk, and whether the client is appropriately valuate the financial instrument being offered . Concrete criteria of deciding allocation to each client are as follow.
   (1) Responsiveness during demand investigation in primary market
   (2) Liquidity in secondary market
   (3) Understanding of disclosure documents
   (4) Interest to short term speculation
   (5) Potential of contribution to smooth secondary market formation
   
   In some special cases where allocation has to be decided outside of above criteria due to company’s particularity, the information will be disclosed on DSI’s homepage. 
   
   In the case when the total amount of the public offering or secondary distribution exceeds the total equity offered during demand investigation (hot issue company), allocation should be made as extensive as possible, if required, through drawing method.
   
   However, since DSI is focusing on wholesale client specialized business, allocation to individual client and allocation through drawing method are in principle not adopted.
   
   In the case when allocation is conducted by the method other than Book Building, the information will be disclosed on DSI’s homepage.
   
   
3. DSI do not sell to below designated parties when conducting Share Certificates, etc. Offering and its treatment.
   (1) Parties designated by Issuer (excluding sale to parties exempted from Preferential Allotment Prohibition Rules by Japan 
        Securities Dealers Association)
   (2) DSI employee
   (3) Parties that are potentially provide certain benefit to DSI etc., or potentially cause social unfairness.
   (4) Parties who are against social benefit, such as antisocial forces, antisocial forces related parties, or racketeer.
   
   In addition, DSI do not offer Share Certificates, etc. (including its arrangement) excessively to a particular client.
   
   DSI strictly comply with regulation on not compensating client’s loss, or allocating to a client or third party based on profit taking purpose.

Effective July 1st, 2006