Tokyo-The Yokohama Rubber Co., Ltd., announced today that its sales and earnings in the fiscal year to March 31, 2009, will be lower than the projections announced on January 21, 2009. Management now projects consolidated net sales of 520.0 billion yen, down 5.7% from the previous fiscal year; consolidated operating income of 11.5 billion yen, down 65.3%; and a consolidated net loss of 8.0 billion yen, down from a consolidated net profit of 21.1 billion yen in the previous fiscal year. The revised projection for net sales is 0.6% lower than the projection Yokohama announced on January 21; the projection for operating income 17.9% lower; and the projected net loss is 1.0 billion yen larger.

Yokohama attributes the downward revision in its sales projection to a worse-than-expected deterioration of demand in markets worldwide. Profitability is suffering, meanwhile, from the decline in net sales and from production adjustments necessitated by declines in unit sales volume.