AOKI Holdings Announces Notice of Confirmation of Number of Shares of Treasury Stock for Disposal Through Third-Party Allotment

The above third-party allotment was approved by the Board of Directors on February 17, 2014 at the same time as the disposal of treasury stock by way of offering (the public offering) and secondary offering of stock (secondary offering by way of overallotment) were approved.

For more details concerning the third-party allotment, please refer to the press releases "Disposal of Treasury Stock and Secondary Offering of Stock” dated February 17, 2014 and "Determination of Disposal Price, Selling Price and Other Matters” dated February 25, 2014.

The third-party allotment will result in the following change in treasury stock

Number of shares of treasury stock at present

shares (as of March 19, 2014)

Number of shares to be sold through the
third-party allotment

shares

Number of shares of treasury stock after the
third-party allotment

shares

Use of proceeds from the third-party allotment

Estimated net proceeds are 1,482,360,000 yen for the third-party allotment and 9,882,900,000 yen for the public offering, which was approved by the Board of Directors on the same day, resulting in total estimated net proceeds of 11,365,260,000 yen. Of this amount, 11,300 million yen will be used for the AOKI Group’s capital expenditures between now and March 2015. The remainder is to be used for part of the repayment of a loan due in September 2014 that was taken out in association with ANNIVERSAIRE MINATO MIRAI YOKOHAMA that started operations in February 2014.

In the Fashion Business, the Group plans to make capital expenditures of 4,432 million yen to open 62 stores, 1,406 million yen to refurbish 72 stores (including one store to be rebuilt), and 498 million yen for an IT system for the centralized processing of operating data. In the ANNIVERSAIRE and Bridal Business, the Group plans to make capital expenditures of 634 million yen for the renovation of nine locations. In the Karaoke Facility Operations Business, the Group plans to make capital expenditures of 1,308 million yen for 16 new locations and 457 million yen to refurbish 15 locations. In the Café Complex Operations Business, the Group plans to make capital expenditures of 2,344 million yen for 36 new locations and 221 million yen to refurbish 14 locations.

Please refer to "Disposal of Treasury Stock and Secondary Offering of Stock” released on February 17, 2014 for the details of the facilities in which the intended capital expenditures will be made.