Financial Results Briefing for the December 2005 Term

1. Financial Results Briefing for the December 2005 Term March 3, 2006 SBS Co., Ltd. Securities code: 2384

2. Table of Contents І.Financial Results for the December 2005 Term & Earnings Forecast for the December 2006 Term ІІ.Post-M&A Activities and Business Strategies III. Briefing on Balance Sheet IV. Future Efforts

3. Financial Results for the December 2005 Term & Earnings Forecast for the December 2006 Term

4. Consolidated Statement of Income for December 2005 Term (Unit: Million Yen) Foods Lec contributed to the consolidated results for the full year. TL Logicom (former Tokyu Logistics) and two other companies contributed for the half-year. Same-day delivery business and human resources business continued steady growth

5. Consolidated Segment Information for December 2005 Term (Unit: Million Yen) (Unit: Million Yen)

6. Logistics business  General distribution and food distribution: Foods Lec’s performance has been strong TL Logicom started to contribute to earnings from the second half. Post M&A activities of Foods Lec (former Yukijirushi Butsuryu) & TL Logicom (former Tokyu Logistics)  (Refer to case study in later slides) Same-day delivery service: Income & profit increased thanks to competitor withdrawal Expanded base for network logistics Moving service business: Explored marketing methods/incurred costs in organizational realignment Retreated from unprofitable free paper business  (Refer to case study in later slides) Consolidated Segment Information for December 2005 Term

7. Consolidated Segment Information for December 2005 Term • Marketing business • Income increased, yet competition remains stiff in preparation for postal privatization. Earnings are sluggish. • Move of industry reorganization. This fiscal year would be the bottom in terms of financial performance. • PAM Co.,Ltd. joinedSBS Group. Financial contribution from FY2006. • Human resources business • New operational bases aggressively launched during the first half made positive contribution to sales • Significant rise in recruitment cost suppressed earnings • Other businesses Environmental services business • Cost forYokohamaFacility launchwas a burden, resulting in red for the full year, Financial services business • Re-acquisition of Omiya Center Building. Built qualificationsin real estate liquidation techniques.

8. Consolidated Balance Sheet for December 2005 Term (Unit: Million Yen)

9. Consolidated Cashflow Statement for December 2005 Term (Unit: Million Yen) CF from operating activities: Increase in profits due to group expansion. Increase in depreciation expense CF from Investing/financing activities： Acquisition of TL Logicom. Funds procured by arranging a loan for the acquisition.

10. Consolidated Performance Forecast for December 2006 Term (Unit: Million Yen) Full-year contributions will bemade by TL Logicom, Zentsu, etc. Focus on 3PL/Joint-distribution business (rollout of LAOX project) Integration of headquarters function (April). Pursuit of existing M&A synergy Seek further business expansion

11. Consolidated Earnings Forecast by Segment for December 2006 Term (Unit: Million Yen) (Unit: Million Yen) Logistics business: Focus on growth of 3PL business Marketing business: Industry trend will be set this year ahead of postal service privatization Expectation of business opportunities for SBS is high. Human resources business: Strong demands for general assistance work/work in warehouses, but impact of staff shortage is a concern. Earnings improved at new operational bases from FY2005.

12. Post-M&A Activities and Business Strategies

13. Recognizing business environment Changes in business environment Challenges Measures (strategies) • Expansion in size and business offerings • Integrated business expansion strategy of M&A+ internal growth • Enhancing business portfolio • Enhance corporate strength（Examplesin Case Studies） 1) Strengthen sales capability 2) Pursuesynergy of SBS group 3) Strengthen capability to respond to clients’ needs • Privatization of postal services • Sophisticated demands from Clients • Industry trend toward oligopoly • Escalating fuel cost • Rise in labor cost • Establish competitive advantage by strengthening comprehensive capability of SBS group • Much closer relationship-building with customers • Secure earnings by building more effective business model

14. Integrated Business Expansion Strategy of M&A + Internal Growth • Selecting M&A targets in alignment of our aim of being a business infrastructure provider • Build track records in turn-around businesses 1) Execution of strategic and sound M&A • Enhance Corporate Strength • Strengthen sales capability • Reviseincentives • Reform corporate culture • Sharesuccess experiences via post-M&A support to groupcompanies • Pursuit of synergy effects 2) Swiftintegration of newly acquired companies (Business co-ordination /Group-wide network) M&A + Internal Growth • Build advancedlogistics facilities by providing know-how in logistics system design/development • Review/Assess effective use of real estate • Liquidation • Logistics REIT • Know-how for efficient use of assets (One of our core competency) 3) Efficient and effective use of assets(Group-wide)

15. Strengthening Business Portfolio Provide comprehensive service catering to outsourcing needs of businesses – as a business infrastructure provider Realize cost competitiveness and capability to respond to sophisticated needs Recent efforts • Logistics business：Acquired Zentsu (Sales: 10 billion yen), which is highly regarded for its fresh foodsstoring/processing skills and home-delivery service (deal closing on January 5) • Financial services business：In 2005, acquired Carlyle-held interest in real estate which had been acquired jointly by our A-MAX financial subsidiary and Carlyle in 2004. • Marketing business：Took 20% stake in PAM, which engages in advertisement planning and production (mainly brochures for financial products) and later made it a wholly-owned subsidiary through a stock swap. Current three pillars Human resources business Marketing business • Temporary staffing service • Staff subcontracting service • Market research • Sales promotion • Online mail order business, etc. Logistics business • Same-day delivery/nationwide delivery • Food distribution/Vehicle transportation • Overseas distribution/moving service business Expand current business segments from 3 pillars to 6 Environmental services business Financial services business Business areas to drive growth in the future • Collaboration with logistics business • Collection of large refuse from households • Strengthening industrial waste disposal business • Establish leasing business • Securitization/liquidation of real estate • Others Information service business • Warehouse management system　（WMS) • Medical analysis system solution • Logistics system

16. Case Study 1: Efforts in Foods Lec ① At the time of acquisition by SBS • Foods Lec sales were mainly generated through transportation service, work in warehouses, and auto-leasing business contracted fromSnow Brand Group and its affiliates. (including formerSnow Brand Group companies and its affiliates) (Approx. 70% of the total sales) • Sales environment has been tough. • Vehicle finance lease to partner transportation companies is a unique business area. Challenges • Maintain quality level, expand into broader range of refrigerated/general food area and secure earning base • Drive deployment of consolidated distribution business (3PL) leveraging the synergy of SBS group • Expand auto-leasing business to the entire group

17. Case Study 1: Efforts in Foods Lec ② Efforts and specific results • New customer cultivation • Contracted the entire logistics business from Sweet Garden and created a business division. • Strengthen Consolidated distribution business • Strengthen consolidated inland distribution business leveraged on the Sweet Garden case • Cooperate/coordinate with Zentsu in business deployments within the Kanto region • Leasing business division rollout • Expand service provision by the entire group from the current scope of service provision to partner companies. • Study growth strategy towards specializing in finance lease business for trucks • Staff and system enhancement • Planned investment amount for 2006: 2.4 billion yen • Improvement ofvehicle dispatching/hiring control and efficiency in wide-area transportation • Concentrated vehicle dispatch control centers for wide-area transportation in the Chubu Branch Office, and improved loading and capacity operating rates.

18. Case Study 1: Efforts in Foods Lec ③ Performance Trend • Refrigerated logistics business grew steadily, focused on consolidated distribution business • Improving logistics profit rate is a challenge. • Impact of accounting standard change in leasing business

19. Case Study 2: Efforts in TL Logicom ① At the time of acquisition by SBS • Performance of logistics business was stable. • Larger profit contribution provided from real estate leasing business. • Existing customer base has been stable. New customer base remained small. • Close to 20 percent of sales from Tokyu Group companies • Sotetsu Transportation, Tokyu Unyu, and Tokyo Tsuun have merged over the course of the past two years. (Integration process, both in terms of HR and business operations, of the three former companies is ongoing) Challenges • Cultivation of new customers • Increase profitability of logistics business • Effective use of real estate • Faster information sharing among sales offices and further strengthening of operational coordination. • Organizational Reformation

20. Case Study 2: Efforts in TL Logicom ② Efforts and specific results • Strengthening sales capability in logistics business • Promotion of new customer cultivation by efforts such as establishment of Sales Development Division. Example：　SBS group won a contract to handle the entire logistics operation for LAOX. (Refer to the next slide for details) • Group-wide sales efforts based on coordination among SBS group companies, led by TL Logicom. (A-Max：real estate asset management, AT&C：warehouse management system) • Drive further business deployments of 3PL service, taking the LAOX deal as a model case • Established a real estate division in order to promote effective use of real estate • Concentrated real estate-related businesses. Promotion of more effective use of assets and efficient business operations. • Refinementof operation management • Execute efficient vehicle dispatch controlby enhancing information sharing and operational coordination among branch offices. • Staff enhancement • Reformationof management/human resources • Concentrate into a 3-business-division system from 8 divisions. Quicker management decisions • Reform in business management and promotion of junior staff

21. Case Study 2: Efforts in TL Logicom ③ Business tie-up with LAOX • SBS group coordination led by TLLogicom. Provision of a total solution. • Better correspondencetomore detailed clientneeds throughenhancedsales capability. Group effort topursue synergy, utilizing group resources. Laox’s business management strategy SBS’s sales approach • Formed a project team as SBS group (Studied solutions to respond to various customer needs in addition to efforts to cut costs and improve efficiency) • Proposed a one-stop solution responding to customer needs • Switch over to “Lifestyle providing business” capable of responding to changes in the needs of consumers and society. • Capture unyielding support from customers by building “a business model for small trade area” in close relationship with local communities. Details of solution (Contract signed on December 20) Needs of logistics/supply chain management • Won a contract to handle entire logistics center operation and distribution to stores • TL Logicom: Center operation. Distribution to stores • AT&C: Logistics system design • Set up a joint venture: home appliance installation service in conjunction with moving service • Converge LAOX home-appliance sales channel and SBS group moving service channels such as Duck • Packaged sales of moving service and home appliance installation service • Recycling business of home appliance disposal • LAOX and SBS’s environmental service division (Sogo Butsuryu System) are jointly working on the recycling business for home appliances disposed of by LAOX customers • Realize improved operational efficiency and cost reductions • Service enhancement including same-day delivery • Improvement in logistics by bringing down logistics costs • Needs for supply chain management • Remove unprofitable products by thorough item-by-item control • Enhance fresh atmosphere of sales floors by placing more popular products. • Higher added value • Renewal of E-commerce system and strengthening home-delivery function • Strengthen home appliance handling service at the time of moving • Handling of home appliance disposal

22. Case Study 2: Efforts in TL Logicom ④ Performance Trend • Aim for increased income and profit for FY 2006. • Operating profit ratio expected to improve 1 point from FY2004, the most recent financial results for a full 12 months.

23. Case Study 3: Summary of Efforts in Moving Service Business • Duck Moving Group joined SBS Group in January 2005 and Sakura Transport Joined it in March 2005 • Entered moving service (for individual customers) , first B2C business for SBS group. At the time of acquisition by SBS Challenges • Both Duck and Sakura Transportation have been struggling in its core moving business. • Sakura Transport’s free paper/flyer distribution business has been incurring losses. • Concentrate on the core business. Increase profitability. • Strengthening marketing capability (Making the company name well known to customers is the important issue. ) Efforts and specific results • Establish “new Duck”(Duck Moving Group and Sakura Transportation integrated their businesses in July 2005) • Promote efficiency in business management by integration ofB2Cmoving services • Withdraw from unprofitable free paper business • Focus on the core business of moving service • Change in marketing policy • Switch to marketing via TV commercials instead of via flyers • Promote Duck brand recognition through TV commercials which converged with the Internet.

24. III.Briefing on Balance Sheet

25. Financial Standings: Balance Sheet Summary • Actual net debt/equity ratio is lower than 1.00 • Current consolidated balance sheet • Appraisal gains in real estate/investment securities（*） • Goodwill on consolidation (negative goodwill) • Net debt/equity ratio2.01 • Equity ratio 17% • Actual consolidated balance sheet (image) • Consideration (1)Depreciation of goodwill on consolidation (negative goodwill) • Consideration (2)Conversion of Alpine bond (CB) • Net debt/equity ratio (actual) 0.86 • Equity ratio (actual) 33% Current liabilities 12.5 billion yen Cash and cash equivalents 7.7 billion yen Current liabilities12.5 billion yen Cash and cash equivalents7.7 billion yen Current assets 15.5 billion yen Current assets 15.5 billion yen Interest-bearing debt 30.3 billion yen Interest-bearing debt 30.3 billion yen Fixed assets56.2 billion yen (Real estate)* (Investment securities)* Fixed assets56.2 billion yen (Real estate)* (Investment securities)* CB5 billion yen Fixed liabilities 10.4 billion yen Fixed liabilities 10.4 billion yen Fixed liabilities 10.4 billion yen CB5 billion yen Goodwill on consolidation7.5 billion yen Goodwill on consolidation 7.5 billion yen Minority interests 1.8 billion yen Minority interests1.8 billion yen Shareholders’ equity 11.9 billion yen Shareholders’ equity 11.9 billion yen Total assets79.4 billion yen Net asset13.7 billion yen Total assets 79.4 billion yen Actual net asset26.2 billion yen

26. Balance Sheet: Assets owned by SBS Group(Major commercialproperties for lease)

27. Balance Sheet: Assets owned by SBS Group(Major logistic facilities)

28. Balance Sheet: Assets Held by SBS Group(Investment Securities) • Investment securities(This summary only relates to listed stocks)  Listed stocks:46 issues • Breakdown : Financial institutions9 issues Client companies27 issues Partner companies, etc. 10 issues  Book value (as of December 31, 2005) : Approx. 3.2 billion yen  Market value (as of December 31, 2005) : Approx. 6.1 billion yen

29. IV.Future Efforts

30. Efforts in FY 2006 ■Strategic Priorities • Promote 3PL business • *Efforts by TL: • Execute LAOX project • Receive continuous orders for ongoing projects • *Efforts by FL: • Promote joint distribution business • Promote cooperation with Zentsu • Drive facility development leveraged on real estate liquidation technique *Effective use of assets owned by TL • Develop logistics facility in Yokohama area • Expand warehouse in the scope of our mid-term plan • (Approx. 50,000 tsubo nowApprox. 100,000 tsubo)*1 • *SBS’s efforts • Real estate development in view of mid-term strategy for the entire SBS group • (Approximately 30,000 – 50,000 tsubo planned) *1 • More efficientbusiness management through integration of headquarters function • Improvement in unprofitable businesses • Acting on issuesregarding environmental concern Targets to be achieved in this term ☆Consolidated sales: 125 billion yen ☆　Consolidated ordinary profit: 4.4 billion yen Note *1 ： 1 Tsubo = Approx. 3.3㎡

31. Future Efforts: Image of Strategy　～Efficient Service Model Leveraged on SBS’s Comprehensive Capabilities　～ • Realize high added-value for our customers via 3PL solution driven by SBS group’s collective strength SBS Group Distribution support service in warehouse/ general assistance work (Temporary staff dispatching service) General distribution/ consolidated distribution SBS Staff Acquisition/development of logistics sites (Use of real estate liquidation scheme) WMS development (Warehouse management system) TL Logicom Foods Lec SBS Logitem Zentsu AT&C A-MAX Build closer Client Relationships based on trust Comprehensive 3PL solution based on coordination among SBS group member companies • Provide high value-added 3PL service for customers • Improve efficiency in logistics operation • Lower costs Optimized logistics facilities/warehouses (Use facilities within/outside SBS group effectively)

32. Summary of SBS Group  As of March 2006 Mailing service business SBS Postway Co., Ltd. Forward, Inc. Marketing planning/proposal offering Mailing service Marketing planning business Environmental services business Recycling Marketing Partner Co., Ltd.PAMCo., Ltd. Sogo Butsuryu System Co., Ltd. Transportation System integration service Clients Staff dispatching System development business Human resources outsourcing business CS-Net Co., Ltd. AT&C Co., Ltd. Big Bang Co., Ltd. General assistance work SBS Staff Co., Ltd. Real estate liquidation service Logistics consulting Financial services business Logistics consulting business A-MAX Co., Ltd. Fuji Sogo Logistics Research Center Co., Ltd. Same-day delivery/general logistics service Refrigerated logistics service Logistics/same-day delivery/3PL/moving service SBS Logitem Co., Ltd./ Duck Co., Ltd. Foods Lec Co., Ltd. / Transworld Co., Ltd. TL Logicom Co., Ltd. (Former business name: Tokyu Logistics) Nihon Kamotsu Kyuso Co., Ltd. / Izu Express Trucking, Inc. Zentsu Corporation(Joined SBS group in January 2006)

33. Inquires Regarding Investor Relations Please visit our web site for IR information and inquires regarding IR issues. Contact Information • Division: Corporate PlanningPhone: 03-5655-6110 • FAX： 03-5655-6180 • E-mail： irinfo@sbs-group.co.jp IR information page TOP page Cautionary Statement on this Forecast The purpose of this document is to provide information to investors. It is not meant to solicit sales. Descriptions related to future prospects in this document are based on our targets and forecasts and do not provide any assurance or guarantee. Please use this document with the full understanding that future earnings of SBS may differ from our present forecasts. While our descriptions on performance are prepared based on various data that are deemed reliable, SBS does not guarantee the accuracy or safeness of such. This document is provided on the basis that investors may use this document for their own purposes, upon their own judgment and responsibility, thus SBS, under any circumstances, does not accept any responsibility for the results of such use.