OSG Corporation is a comprehensive cutting tool manufacturer. We produce and sell taps, endmills, drills, forming tools and other special products. Our tools are essential requirements for manufacturers producing industrial products. We provide high value-added cutting tools and excellent after-sales service with the various kinds of manufacturing industries all over the world.
Although the company got involved in a severe business environment last year, we have strengthened financial structure by cost reduction and enhanced the competitiveness of our growing products. We currently invest our managerial resources in market development in especially emerging countries.

Summary of the financial results for FY2010 semi-annual

Our management environment bottomed out in the third quarter of FY2009 and starated to recover. Thanks to the production recovery in automotive industry and the high demand for cutting tools in Asia, net sales for FY2010 semi-annual was 31,956 million yen, 16% increase year over year. Operating profit was 2,531 million yen (505 million yen of loss for FY2009 semi-annual) mainly because of the capacity utilization recovery in our factories and the cost reduction activities.
The company reinforces product development and production capacity in Asia to establish a solid market position.
One of OSG�fs policies is to visit our customers and communicate with them more than any others. We believe that to strengthen mutual trust is necessary for us to achieve a long-term growth.

Corporate Principle "Global Presence"

Since we established the first overseas subsidiary in the U.S. in 1968, we have established sales, production, and technical support network and provided high-quality and high-performance products and technical support in 25 countries. With over 40 years experience of developing new markets and human assets, OSG has been promoting global market development.

Tool Communication

We regard our tool as a "bridge" between our customers and us. We always try to put ourselves in customers' place. It helps us to develop, design, produce, and deliver the products our customers really want. We communicate with our customers every day through the tools.
We regard communication as important. Based on the communication with our customers, we will provide proper tools and excellent after-sales service that delight them.

August, 2010