the47th For the First Six Months of Fiscal Year Ending March 31, 2016 Business Report

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1 Securities Code: 8439 Nippon Rent-A-Car Service, Inc. is a company of the Century Tokyo Leasing Group. TV commercial now airing Musical : New version of the commercial in which Chinami Suzuki sings and dances On air during the Jobtune program sponsored by Nippon Rent-A-Car (Every Saturday from 7:56 pm 8:54 pm on TBS networks) Business Report From April 1, 215 to September 3, 215 the47th For the First Six Months of Fiscal Year Ending March 31, 216 To our shareholders Achieved Record-High Earnings for the Six Months Ended September 3 Expansion of overseas network continues TC-Letter from Overseas Offices in North America Special feature Together with our shareholders Corporate Governance Code FUJISOFT Bldg., 3 Kanda-neribeicho, Chiyoda-ku, Tokyo Japan

2 To our shareholders 1 Achieved Record-High Earnings President & CEO Shunichi Asada Please tell us about the financial results and business environment for the first six months of the fiscal year ending March 31, 216. For the business environment during the six months ended September 3, 215, the Japanese economy continued on its moderate recovery trend on the back of improvement in corporate earnings and the employment environment, despite showing signs of some uncertainties, such as concern over the impact of a slowdown in the Chinese economy. Under these circumstances, the Group s consolidated results for the six months ended September 3, 215 were strong, as the balance of operating assets increased 2.7% to 2,944.3 billion yen from the end of the previous consolidated fiscal year due to growth mainly in real estate and aircraft leasing transactions. In terms of profits and losses, operating income increased 2.1% to 34.8 billion yen year on year, ordinary income increased 21.7% to 36.4 billion yen year on year and net income attributable to owners of parent increased 34.7% to 22.3 billion yen year on year, thus achieving record-high figures at all profit levels for the six months ended September 3, due mainly to an expansion in aircraft leasing transactions and successful exit strategies from real estate financing. for the Six Months Ended September 3 Please tell us about the strengths of Century Tokyo Leasing. The Group is currently focused on four operating segments consisting of Equipment Leasing, Specialty Financing, Automobile Financing and International Business. The Group is working to provide added value which only it can offer with a view to becoming a leading company in each of the operating segments. The first operating segment is Equipment Leasing. Equipment Leasing boasts a customer base of around 25, corporate customers in Japan and constitutes the Company s revenue base, with consolidated subsidiaries cooperating with domestic leading manufacturers. In this operating segment, we are adding various services to our conventional leasing service to provide new value. The second operating segment is Specialty Financing. In Specialty Financing, an operating segment with the highest growth potential in the Group, we are developing a global market and working on capturing new growth. By demonstrating the Group s unique proposal capability, service and high level of expertise mainly in shipping, aviation, environment and energy, and real estate, we are accurately identifying customers needs and creating added value. The third operating segment is Automobile Financing. We are engaged in a well-balanced range of operations from automobile leasing to the car rental business for corporate customers and individuals, in response to their needs as the trend of the shift from ownership to use of automobiles accelerates. Through such operations, we have established a top-class structure in the industry. The last operating segment is International Business. Through our network of offices mainly in East Asia and the ASEAN region, we respond to the various needs of Japanese clients expanding overseas. We are also steadily expanding highly profitable transactions with local companies mainly in the growing Asian and U.S. markets through cooperation with companies, such as local companies in good standing and in the U.S. Please tell us about the forecast of consolidated results and return to shareholders for the fiscal year ending March 31, 216. Regarding the consolidated results forecast for the fiscal year ending March 31, 216, we are making steady progress with respect to the initial plan of a 3.1% year-on-year increase in total revenues to 91. billion yen, a 6.1% year-onyear increase in operating income to 62. billion yen, a 5.5% year-on-year increase in ordinary income to 64. billion yen, and a 6.9% year-on-year increase in net income attributable to owners of parent to 36.5 billion yen. As for dividends, the Group plans to pay annual dividends of 7 yen per share, up 5 yen year on year, based on an annual dividend payout ratio of 2%, as announced on May 12. The Company intends to continue engaging in business management that considers the balance between return to shareholders and investment for future growth, in order to meet the expectations of its shareholders and all its stakeholders. Corporate Profile Company name Century Tokyo Leasing Corporation (Abbreviation: TC-Lease) Address FUJISOFT Bldg., 3 Kanda-neribeicho, Chiyoda-ku, Tokyo Japan Company Chairman & Co-CEO Toshihito Tamba Representative President & CEO Shunichi Asada Founded July 1, 1969 Capital amount 34.2 billion yen Number of 4,226 (Consolidated) Employees 1,35 (Non-consolidated) Major Affiliates Domestic Nippon Car Solutions Co., Ltd. Orico Auto Leasing Co., Ltd. Nippon Rent-A-Car Service, Inc. Fujitsu Leasing Co., Ltd. IHI Finance Support Corporation S.D.L Co., Ltd. ITEC Leasing Co., Ltd. Orico Business Leasing Co., Ltd. TC Property Solutions Corporation TRY, Inc. TC Agency Corporation Overseas Century Tokyo Leasing China Corporation Century Tokyo Leasing Factoring China Corporation Century Tokyo Leasing (Singapore) Pte. Ltd. Century Tokyo Capital (Malaysia) Sdn. Bhd. PT. Century Tokyo Leasing Indonesia TISCO Tokyo Leasing Co., Ltd. HTC Leasing Co., Ltd. TC Aviation Capital Ireland Limited TC-CIT Aviation Ireland Limited President Tokyo Corporation Tong-Sheng Finance Leasing Co., Ltd. BPI Century Tokyo Lease & Finance Corporation 2

3 Consolidated Financial Information Assets and Liabilities (As of September 3, 215) Cash on hand and in banks 68,776 Operating assets 2,944,326 Other assets 229,372 Consolidated Statements of Income (Summary) (Amounts less than one million yen have been omitted.) Total Assets 3,242,474 Fiscal Year 214 2Q From April 1, 214 to September 3, 214 Interest-bearing debts 2,519,176 (millions of yen) Fiscal Year 215 2Q From April 1, 215 to September 3, 215 Revenues 438, ,48 Leasing 379, ,41 Installment sales 38,24 4,675 Finance 1,958 15,69 Other 9,568 1,72 Costs 376, ,27 Gross profit 61,876 68,452 SG&A expenses 32,94 33,75 Operating income 28,935 34,747 Non-operating income and expenses 93 1,61 Ordinary income 29,865 36,358 Extraordinary income and losses Net income attributable to owners of parent 16,555 22,296 (millions of yen) Other liabilities 365,112 Net assets 358,186 3,5 3, 2,5 1,5 1, 5 2, , , , , , Net income attributable to owners of parent Balance of operating assets Equipment Leasing Automobile Financing Full-year 28.9 First half 33.1 Specialty Financing International Business (36.5) ,944.3 billion yen billion yen billion yen (from the end of the previous fiscal year) Notes: As of the 47th Business Report for the first six months of fiscal year ending March 31, 216, business guarantees are deducted from the balance of operating assets, and certain standards for calculating totals for each business area have changed. Figures for previous fiscal years have been restated in accordance with the changes. Revenues Operating income Ordinary income Net income attributable to owners of parent 22.3 billion yen 5.7 billion yen (from the same period of the previous fiscal year) (64.) Full-year Ordinary income First half Market capitalization (Merger) Forecast of consolidated results for fiscal year ending March 31, billion yen (YoY 3.1% up) 62. billion yen (YoY 6.1% up) 64. billion yen (YoY 5.5% up) 36.5 billion yen (YoY 6.9% up) Net income per share Annual dividends Dividend payout ratio 2.2 % 6.5 billion yen (from the same period of the previous fiscal year) 44.9 billion yen Sevenfold increase from the point of merger * Based on the closing stock prices at the end of each month yen (YoY 23.1 yen up) 7 yen (YoY 5. yen up) 3 4

4 TC-Letter from Overseas Hello from TC-Lease around the world Hello Offices in North America Major subsidiaries and affiliates in North America Purchase, New York Establishment 1985 Main Business Offices General leasing Denver, Colorado New York, New York Establishment 214 Main Business Aircraft leasing and finance St. Louis, Missouri Establishment 1978 Main Business Information and communications equipment leasing Offices Approximately 4 offices in North America Fort Lauderdale, Florida Establishment 22 Main Business Provider of products, services and solutions to the commercial aerospace industry Offices Approximately 11 offices in North America Major Offices in North America Canada: Alberta Canada: Manitoba Denver Office Denver: A city woven by nature and art In April 215, we opened an office of in Denver, Colorado. Let us talk about Denver, which is called the Mile High City because it is located at an altitude of about 1 mile or 1,6 meters! Rocky Mountains The Rocky Mountains tower at a distance that is accessible on a day trip from Denver. Rich in nature, this mountain range has many national parks and natural heritage sites that are registered as World Heritage Sites. Beer Beer production is thriving in Denver, so much so that the city is named the Napa Valley of Beer. Benefitting from the limpid water from melting snow that flows from the Rocky Mountains, more than 2 types of local beers are brewed every day. Canada: Ontario Close UP Art Dotted with theaters and art museums, Denver is also a city where one feels a close connection to art. In particular, the Denver Art Museum, known for its unique architecture, boasts 6, items in its collection, mainly works of Native Americans. Shopping The 16th Street Mall is lined with distinctive shops along a milelong promenade. The beautiful streets which retain the scenery of the good old times are always bustling with people. Denver Town TOPICS Celebrating the 3th Anniversary of Founding! CTUSA, which pioneered U.S. operations of the TC- Lease Group, celebrated the 3th anniversary of its establishment. Employees of CTUSA and their families, expatriate employees of the TC-Lease Group throughout the U.S., and associates from partner companies attended the celebration party held in October 215 in commemoration of the 3th anniversary and pledged to aim for further development. Coors Fields A Hitter s Heaven At the party, we performed kagamiwari (sake cask breaking ceremony) together with the local staff. Coors Field, home of the MLB team Colorado Rockies, is called Mile High Stadium because it is located at an altitude of 1,6 meters. Since air resistance is lower due to the low air pressure, it is said that a baseball hit goes further. The stadium is therefore a hitter s heaven that annoys pitchers. The only pitcher who achieved a no-hitter in this stadium is the famous Hideo Nomo. Today, the ball is humidified to prevent it from flying too far. It is said that this change was inspired by Nomo, who threw a no-hitter in the rain. 5 6

5 Together with our shareholders 1 The Century Tokyo Leasing Group recognizes that the effective functioning of corporate governance is a key management issue for maximizing corporate value. We make efforts to provide information in a timely and appropriate manner to our shareholders in accordance with the Corporate Governance Code. Report on questionnaire findings We will report the findings of the questionnaire conducted in the Business Report of the 46th term. We would like to express our sincere gratitude for your kind cooperation. We will work on providing enhanced IR activities based on the opinions we received. Corporate Governance Code Fundamental Principle 1 Securing the rights and equal treatment of shareholders Measures for securing the rights and equal treatment of shareholders and for developing an environment for exercising such rights Fundamental Principle 2 Appropriate cooperation with stakeholders other than shareholders Recognizing a need for and establishing a framework that enables appropriate cooperation with various stakeholders other than shareholders Fundamental Principle 3 Ensuring appropriate information disclosure and transparency Taking the initiative to disclose information beyond that required by laws and regulations, mainly non-financial information, and to provide accurate and easy-to-understand information Fundamental Principle 4 Responsibilities of the Board of Directors, etc. Fully utilizing the functions of the Board of Directors to increase corporate value over the mediumto long-term, and effectively utilizing independent External Directors Fundamental Principle 5 Dialogue with shareholders Establishing a framework for promoting constructive dialogue with shareholders and providing clear explanations to shareholders PICK UP Establishment of Nomination and Compensation Committee At the Board of Directors meeting held on November 9, 215, the Board of Directors decided to establish the Nomination and Compensation Committee as an advisory body to the Board of Directors, with a view to further enhancing corporate governance. The Committee, mainly comprised of independent Directors, will discuss matters pertaining to the nomination and appointment of candidates for Directors and Corporate Auditors, and Executive Officers, as well as decision of the system and policy of officer compensation, and report to the Board of Directors. PICK UP Corporate briefing for individual investors In order to deepen the understanding of the Company s business and performance, we hold corporate briefings for individual investors. In fiscal 214, we held such briefings in Tokyo and Osaka, with about 35 people participating in each briefing. At the briefings, Mr. Asada, the Company s President & CEO, gave a presentation on becoming a robust comprehensive financial services enterprise and also answered many questions. We will continue to hold such briefings for the purpose of promoting communication with individual investors. A corporate briefing for individual investors What is your approach regarding the Company s shares? Undecided 19.1% Sell 4.% Voice of shareholders I look forward to seeing more opportunities for women to continue playing active roles in the company. Male, 4s Opportunities for women to play active roles at the TC-Lease Group are expanding in Japan and overseas as seen by the dispatch of the first female employee assigned overseas. Please look forward to more of such initiatives in the future. About our website TC-Lease s website provides useful information for shareholders and investors. Please visit our website, which contains information on our CSR initiatives, etc. in addition to IR information. Buy more 11.6% Hold for the long term 65.3% I hope that the dividend will increase as business performance improves further. Male, 6s TC-Lease s IR information for individual investors Which aspect of the Company s IR activities do you most want to see improved? No. 1 No. 2 No. 3 For the fiscal year ending March 31, 216, we plan to pay dividends of 7 yen per share, up 5 yen year on year, reflecting our strong performance. We will continue paying dividends in accordance with our business performance. Provision of information on the website Corporate briefings Information magazine for shareholders Please continue holding the corporate briefing that is held every year. Male, 7s We will continue holding the briefing as a precious opportunity for communicating with individual investors. We will also continue considering the possibility of increasing such opportunities. Major publications besides the Business Report Annual Report CSR Report 7 8

6 Together with our shareholders 2 To reward the shareholder s support, Century Tokyo Leasing Corporation distributes dividends twice a year and provides shareholder special benefit plan. Dividends Shareholder special benefit plan Our policy on dividends Guidance on the shareholder special benefit plan Shareholder information As a general rule, Century Tokyo Leasing Corporation distributes dividends to its shareholders twice a year (interim and full year-end dividends). As for our dividend policy, we view the long-term and stable return of profits to shareholders as its basis, and also intend to improve the dividend payout ratio upon realizing sustainable income growth, while continuing dividend increase. Century Tokyo Leasing Corporation will strive to enhance its corporate value while endeavoring to strengthen its capital, and work for further returns of profits to its shareholders. To express our gratitude toward shareholders for their support, we are offering original QUO Cards to shareholders under the shareholder special benefit plan (time of offering: the cards are delivered after the Annual General Meeting of Shareholders held in June each year). In addition, the content of shareholder special benefit plan is set to be more appealing to those who intend to hold the shares over the medium- to long-term period. Mailing address For inquiries Agencies for notices and other inquiries (change in address, change in methods of receiving dividends, etc.) Shareholders holding accounts with securities companies, etc. Securities companies, etc., managing your accounts Shareholders not holding accounts with securities companies, etc. (Shareholders holding special accounts) Izumi, Suginami-ku, Tokyo Japan Mizuho Trust & Banking Co., Ltd. Stock Transfer Agency Department Telephone: (toll free only in Japan) (available every day from 9: to 17: local time, excluding Saturdays, Sundays and national holidays) Website address: The head office, nationwide branches or Planet Booths (booths placed within Mizuho Bank, Ltd.) of Mizuho Securities Co., Ltd. The head office or nationwide branches of Mizuho Trust & Banking Co., Ltd. (Services are not available at Trust Lounges.) (Yen) Raising 5 yen per share on full-year basis or more but less than 1, shares 1, or more but less than 3, shares 3, or more shares (yen) 1, 8, 6, The longer you hold the Company s shares, the more benefits you receive! 8, 6, Attractive benefit contents directly relating to number of shares held and period of years Receiving unpaid dividends Notes The head office or nationwide branches of Mizuho Trust & Banking Co., Ltd. / The head office or nationwide branches of Mizuho Bank, Ltd. (Only agency service is available at Mizuho Securities Co., Ltd.) To request a payment statement, please contact the mailing address, telephone number or agencies for notices and other inquiries stated in the right column, Shareholders holding special accounts. Shares registered with our special accounts cannot be traded, except for the purpose of sale or additional purchasing of less-than-one-unit shares. An account must be opened at a securities company, etc. to conduct a transfer of shares , 4, 4, 212/3 213/3 214/3 215/3 216/3 (forecast) year 2 years* Holding period 9 *A holding period of two or more years refers to shareholders who have been on the shareholder register of the Company at the end of March and September each year for five or more consecutive times, with the same shareholder identification numbers. 1