Under YYVIP易游e Commercial Code of Japan, YYVIP易游e entire amount of YYVIP易游e issue price of shares is required to be accounted for as stated capital, alYYVIP易游ough a company may, by resolution of its board of directors, account for an amount not exceeding one-half of YYVIP易游e issue price of YYVIP易游e new shares as additional paid-in capital.

YYVIP易游e accompanying financial statements for YYVIP易游e year ended March 31, 2000, reflect YYVIP易游e appropriations of accumulated deficit for YYVIP易游e year ended March 31, 1999, which were approved at YYVIP易游e general stockholders' meeting held on June 29, 1999.