Change in Inventory Valuation Method Prompted by ERP Implementation

「Previously, inventories of merchandise, finished goods, raw materials, and supplies were valued using the cost method based on the first-in, first-out method, with the balance sheet amount calculated by writing down the carrying amount based on a decline in profitability. Work in process was valued using the cost method based on the moving-average method, with the balance sheet amount likewise calculated by writing down the carrying amount based on a decline in profitability. From the current interim accounting period, the Company has changed to the cost method based on the weighted-average method for all such inventories, with the balance sheet amount calculated by writing down the carrying amount based on a decline in profitability.」