MS&AD_en

4/22 Financial Results for First Half FY2012: Catastrophe Reserves, Devaluation Losses on Securities

Now let me review catastrophe reserves and the devaluation losses on securities. Please turn to page 3. The upper table shows reversals of catastrophe reserves and provisions for catastrophe reserves at MSI and ADI in the first half. Reversals of catastrophe reserves increased at both companies, primarily due to the expansion of claims payments associated with the major natural catastrophes described on the previous page. There was a net decrease of ￥40.8 billion in catastrophe reserves at MSI and ￥28.2 billion at ADI. The lower table gives a breakdown of the devaluation losses on securities, including consolidation adjustments, in the first half of FY2012.