(Ordinary income from HANWA after deducting dividend income from subsidiaries and resource investments) ② SPEEDY…Revenue from group companies
(Ordinary income from consolidated subsidiaries, dividends from non-consolidated subsidiaries and equity in earnings of affiliates (excluding resource investees))
③ STRATEGIC…Revenue from strategic investments
(Equity in earnings of affiliates from resource investees and dividends from strategic investments)
(2)Progress
Group business revenue consisting of "STEADY" and "SPEEDY" has been well and progress rate for the fiscal year forecast was 87.5%. "STRATEGIC" revenue from resource investments is expected to contribute to profit from FY2018. The situation of our "3S" is as follows.
① STEADY…Progress has been better than standard rate (75%), due to steady sales in all business segments, increase in dividend income from investment securities that are outside of our group companies and decrease in exchange losses.
② SPEEDY…Progress has been better than standard rate, due to strong business results of domestic and overseas subsidiaries and equity-method affiliates, except sales subsidiary in North America.
③ STRATEGIC…In this fiscal year, Samancor Chrome Holdings Proprietary Limited ("Samancor") became our equity method affiliate. However, significant decline in chromium price since 2nd quarter pushed down profit of Samancor attributable to Hanwa. In addition, expenses from elimination of unrealized profits and amortization of goodwill were incurred in first year of application. Thus, loss from "STRATEGIC" was 2.2 billion yen and progress rate was significantly lower than standard rate. please note HANWA received 1 billion yen in dividends from Samancor.
(Note) The numbers of quantitative objectives mentioned above were made based on the obtainable information as of February 9,
2018. The actual results may differ due to various factors. Especially, "STRATEGIC" results may fluctuate due to future trends of resources prices and/or currency.
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Hanwa Co. Ltd. published this content on 09 February 2018 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 09 February 2018 04:10:03 UTC.
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HANWA CO., LTD. is a Japan-based company mainly engaged in the sale of steel metal raw materials, non-ferrous metals, foods, petroleum and chemical products, wood and machinery. The Company operates through six business segments. The Steel business is engaged in the provision of steel bars, construction works, steel plates, special steels, wires, steel pipes, and scrap iron. It is also engaged in the metal processing and storage. The Metal Raw Materials business is engaged in the provision of nickel, chromium, silicon, manganese, and ferroalloys. The Overseas Sales Subsidiary business is engaged in the sale of products at major overseas bases. The Petroleum and Chemicals business is engaged in the sale of petroleum products, industrial chemicals, chemicals and waste fuels. The Food business provides seafood and livestock products. The Nonferrous Metals business supplies aluminum, copper and zinc, and conducts recycling business. It also manages and operates amusement facilities.
HANWA CO., LTD. 
