(i) Dividends: The Act allows Japanese companies to pay
dividends at any time during the fiscal year in addition to the
year-end dividend upon resolution at the shareholders meeting.
For Japanese companies that meet certain criteria such as
having the Board of Directors, having independent auditors,
having the Board of Corporate Auditors, and the term of service
of the directors is prescribed as one year rather than two years
of normal term by its articles of incorporation, the Board of
Directors may declare dividends (except for dividends in kind)
if the company has prescribed so in its articles of incorporation.
The Act permits Japanese companies to distribute dividends
in kind (non-cash assets) to shareholders subject to certain
limitations and additional requirements. Semiannual interim
dividends may also be paid once a year upon resolution by the
Board of Directors if the articles of incorporation of the
Company so stipulate. The Act continues to provide certain