Progress with Business and Equity Alliance by USS, IK and Japan Bike Auction

Company: USS Co., Ltd.
President and CEO: Yukihiro Ando
Stock code: 4732
Stock exchange listings: Tokyo and Nagoya (first sections)
Tel: +81-52-689-1129
Contact: Masafumi Yamanaka
Junior Managing Director, Officer, Supervisory Office

Company: IK Co., Ltd.
President and CEO: Yoshihiro Kato
Stock code: 3377
Stock exchange listing: Tokyo (second section)
Tel: +81-3-6803-8855
Contact: Takashi Yamagata
Director, Corporate Administration Division

Company: Japan Bike Auction Co., Ltd.
President: Ryu Nishimura
Tel: +81-798-44-4741
Contact: Masanobu Isaka
Director, General Manager of Corporate Administration Department

Background of the business and equity alliance
USS, IK and JBA believe that strengthening and enlarging their business operations through the effective use of their respective resources will lead to more growth in their corporate value. As a result, the three companies agreed to form an alliance concerning motorcycle auctions in which USS will rent its USS Yokohama and USS Kobe auction sites to IK and JBA. This alliance will facilitate the seamless combination of the outstanding auction sites and systems of USS, the industry-leading motorcycle procurement skills of IK and JBA’s considerable expertise involving the operation of motorcycle auctions. The goal is to use these collective resources to achieve more growth in the motorcycle auction business. In addition, USS will use the alliance to help upgrade the distribution infrastructure for the motorcycle auction business.

Activities involving the business and equity alliance

Start of JBA motorcycle auctions at USS Kobe
JBA will start holding motorcycle auctions at the USS Kobe auction site on November 1, 2011. USS will rent this auction site to JBA to allow conducting motorcycle auctions that use the latest auction facilities. Furthermore, IK will assist in procuring motorcycles and provide other forms of support in order to expand the motorcycle auction market.

Profile of JBA Kobe auction site
Location	1-4-6 Minatojima, Chuo-ku, Kobe, Hyogo
Buyer seats	1,100
Capacity	1,500 motorcycles
Start	November 1, 2011 (Tuesday)

Establishment of IK distribution base at USS Kobe auction site
IK will begin operating a distribution center at the USS Kobe auction site for the purpose of supplying motorcycles faster and achieving other operational efficiencies by centralizing locations used for distribution. USS will rent part of its vehicle stockyard at the USS Kobe auction site to IK for this distribution center.

Profile of IK Kobe Distribution Center
Location	1-4-6 Minatojima, Chuo-ku, Kobe, Hyogo
Stockyard area	1,700 square meters
Start	November 1, 2011 (Tuesday)

3.	Outlook USS, IK and JBA plan to hold discussions concerning motorcycle auctions at the USS Yokohama auction site. An announcement will be made promptly when more information is available.

4.	Effect on results of operations This business and equity alliance will not have a significant effect on the consolidated and non-consolidated performance of USS and IK in the current fiscal year.

(Supplementary information)

News release dated March 10, 2011

Announcement of Agreement in Principle for Business and Equity Alliance by USS, IK and Japan Bike Auction

News release dated April 7, 2011

Announcement of Signing of Contracts for Business and Equity Alliance by USS, IK and Japan Bike Auction and for Purchase of Stock