Shareholder Returns

What is Kao's policy on shareholder returns including dividends?

First, Kao secures an internal reserve for capital investment and acquisitions from a medium-to-long-term management perspective in order to achieve profitable growth, then places priority on providing shareholders with stable, continuous dividends. In addition, Kao flexibly considers the repurchase and retirement of shares from the standpoint of improving capital efficiency.

Kao has raised annual dividends to 62 yen per share for the fiscal year ended December 31, 2012, the 23rd consecutive increase in dividends.

In addition, to raise capital efficiency and further enhance shareholder returns, Kao Corporation had repurchased 10.0 million shares for a total of 30.0 billion yen, from February 6 to April 5, 2013, pursuant to the resolution made at the meeting of the Board of Directors held on February 5, 2013.

Aggregated to April 5, 2013, Kao Corporation had purchased 147.6 million shares at a cost of 393.8 billion yen.

See the following for more details.