[Translation]
February 12, 2015

Company name

Sapporo Holdings Limited

Representative

Tsutomu Kamijo

President and Representative Director

Securities code

2501

Listed on

Tokyo Stock Exchange

Sapporo Securities Exchange

Inquiries

Toshihiko Umezato

Director, Corporate Communications Department

Tel.: +81-3-5423-7407

Notice of the Transfer of Trust Beneficiary Rights of Assets Held by a Consolidated Subsidiary and the Posting of Extraordinary Income

Sapporo Holdings Limited (the "Company") hereby announces that the Company at its Board of Directors' meeting held today resolved to transfer the trust beneficiary rights of assets held by Sapporo Real Estate Co., Ltd. (the "Rights"), as described below.
As a result of the transfer of the Rights, the Company will post extraordinary income.
1. Reason for the Transfer
The SAPPORO Group (the "Group") encourages each operating company of the Group to implement various growth strategies, with the aim to achieve sustainable growth. As part of such initiatives, we have addressed recombination of the portfolio to improve the efficiency of the assets held by Sapporo Real Estate, and to establish a foundation of medium- to long-term stable revenues.
We also took into account such aspects as current real estate market trends and the prospect of future profitability. After careful consideration of these issues, we have decided to conduct the transfer of the Rights.
2. Overview of the Subsidiary

(1) Company name

Sapporo Real Estate Co., Ltd.

(2) Location

20-3, Ebisu 4-chome, Shibuya-ku, Tokyo, Japan

(3) Position and name of

representative

Toshiyuki Ikoma, President and Representative Director

(4) Outline of businesses

Management of rental real estate, development of real estate and

hotel management, etc.

(5) Capital

¥2.08 billion

3. Description of the Assets to be Transferred

Description and location of

the assets

Transfer

price

Book value

Gains from

the transfer

Current use

Shibuya Sakuragaoka Square

(Trust beneficiary rights)

31-15 Sakuragaoka-cho, Shibuya-ku, Tokyo

Land: 1,200 m2*

Building: 8,656 m2* (Total floor space)

¥17.0 billion

¥9.6 billion

¥7.3 billion

Rental real estate

Note: The above amounts of the book value and the gains from the transfer are the values as of
December 31, 2014. Amounts less than ¥0.1 billion were truncated.
*The above square meterage of the land and the building is based on the amounts stated in the registry of land.
4. Outline of the Entity to Which the Rights Are to be Transferred
The Rights will be transferred to a domestic special-purpose company (SPC), the name of which shall be kept undisclosed based on the agreement between Sapporo Real Estate and the SPC.
There is no capital, human or transactional relationships, or special matters, that need to be mentioned as related parties between the SPC and the Company or Sapporo Real Estate, or other affiliated companies of the Company.
5. Schedule for the Transfer

(1) Resolution by the Board of Directors

February 12, 2015

(2) Conclude the transfer contract

February 13, 2015 (Scheduled)

(3) Implement the transfer

February 13, 2015 (Scheduled)

6. Posting of Extraordinary Income and Looking Ahead
As a result of the transfer of the Rights, a gain on sales of property, plant and equipment of ¥7.3 billion is to be posted under extraordinary income for the Company's first quarter of the fiscal year ending December 31, 2015 (January 1, 2015, through December 31, 2015).
[End of document]

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