Distribution of Profits

Basic Policy Regarding Distribution of Profits

In addition to reflecting consolidated performance trends, dividend levels are to be determined based on consideration of such factors as the level of cash required for capital and R&D investments needed to support future business expansion as well as other measures aimed at increasing the Company's corporate value in the future. As a means of supplementing dividends, the Company will also flexibly move to employ surplus cash flow to buyback shares in a manner that contributes to greater capital efficiency.
Considering the current time as a period of “Second Foundation”, the Company is intensively implementing capital investments, M&A transactions, and R&D investments in its priority business fields. In view of this situation, the Company has targeted a return to shareholders ratio of 25%, which represents the ratio of total of cash dividends and share buybacks consolidated net income.

Cash dividends applicable to the fiscal year ended March 31, 2008, were expected to total ¥35.00 per share, up ¥10.00 per share from the previous fiscal year.

Dividend Trends

Date of the beginnings of cash dividends for the fiscal year ended March : June 30, 2008

Annual Dividend per Share(¥)

Fiscal Year	Annual Dividend per Share (Yen)	Interim	Year-End
FY2008 (ending March 2008)	35.00	17.50	17.50
FY2007 (ending March 2007)	25.00	12.50	12.50
FY2006 (ending March 2006)	25.00	12.50	12.50
FY2005 (ending March 2005)	25.00	12.50	12.50
FY2004 (ending March 2004)	25.00	12.50	12.50
FY2003 (ending March 2003)	25.00	12.50	12.50
FY2002 (ending March 2002)	25.00	12.50	12.50
FY2001 (ending March 2001)	22.50	11.25	11.25

*During the abovementioned period, the Company has not implemented a stock allocation.

Shares Buyback

The buyback will be conducted to increase the return to shareholders and improve capital efficiency as well as to enable the Company to implement a more flexible capital policy going forward, including the conduct of exchange of shares.

Period of Share Buyback	Method of Buyback	Aggregate Number of Shares Buyback (Thousand Shares)	Aggregate Price of Shares Buyback (Billions of yen)
Nov.12-Nov.29, 2007	Purchase on the Tokyo stock Exchange	4,000	19.4
Oct.1-Oct.15, 2007	Purchase on the Tokyo stock Exchange	2,700	14.7
Mar.4-Mar.18, 2005	Purchase on the Tokyo stock Exchange	1,097	4.3
Feb.1-Mar.3, 2005	Purchase on the Tokyo stock Exchange	2,760	10.7

Reduction of the Basic Trading Unit of Shares

Regarding the reduction of the basic trading unit of its shares, Fujifilm believes it is important to provide investment opportunities to a greater number of investors, particularly individuals, and to increase market liquidity. Accordingly, as of September 1, 2004, the trading unit size was reduced from 1,000 shares to 100 shares.