Today, President Kenji Kudo held a monthly press conference in Aomori City and talked about "Status of response to the New Regulatory Requirements" and "Overview of FY2015 Financial Results."

Status of Response to the New Regulatory Requirements

In the review meeting of the Reprocessing Plant, convened on June 15, JNFL described the company’s ideal schedule of such future proceedings as giving a briefing by mid-September about “accidents that occur under more severe conditions than designed conditions.” Based on this schedule, in the review tomorrow JNFL will offer a description of concrete steps to take in the event of simultaneous accidents at Reprocessing Plant buildings.

On June 22, JNFL submitted to Aomori Prefecture and Rokkasho Village a plan for new and additional installations at the Rokkasho Reprocessing Plant to establish new storage tanks and emergency headquarters etc. This plan was filed as a request for understanding based on the Safety Agreement.

Once our request is approved, JNFL plans to issue an amendment request of the application forms for making changes to the permissions, and we will continue to make every effort toward completing, in the first half of fiscal 2018, engineering works to achieve compliance with New Regulatory Requirements.

A review meeting was convened on the 27th for the Uranium Enrichment Plant. JNFL explained its fire, inundation, and criticality countermeasures by drawing on a list of items specified under the New Regulatory Requirements, and accordingly received general understanding from reviewers.

Overview of FY2015 Financial Results

Our net sales totaled 295.4 billion yen, which was a 4.5-billion-yen increase from the previous year, and costs of goods sold rose 4.1 billion yen from last year, thereby standing at 260.1 billion yen. These results have been mainly attributed to increased repairing expenses such as equipment inspections.

Our gross margin consequently reached 35.3 billion yen, and the operating profit, i.e. the gross margin with SGA deducted, marked 13.8 billion yen as a result of increasing 800 million yen from the previous year.

Our ordinary profit, i.e. an item that reflects non-operating profit/loss, rose 300 million yen year-on-year and stood at 2.6 billion yen. Meanwhile, the current net income, which is an amount that excludes corporate taxes and such special losses as costs associated with the retirement of fixed assets, dropped 500 million yen from the previous year and thereby stood at 100 million yen. Our final results accordingly indicated increased revenues and reduced profits.