JCR has affirmed the A-/Stable rating on the senior debts of the issuer.

Issuer: Aoki Holdings Inc. (8214)
Senior debts: A-/Stable

<Rationale>
Sales at Aoki's existing stores (fashion business) have rebounded because of rising sales of clothes with distinguishing features after a sharp fall due to increasing price-sensitive consumers. Also while sales at existing stores in its Karaoke business were affected by weak economic conditions and did not match the previous year's performance, sales of its "Cafe Complex" business showed steady growth and the sales are expected to grow further, as it plans the opening of numerous new stores. Also sales of its "anniversaire bridal" business have been steady because of increasing per-wedding spending. Although the Company's overall sales are expected to decrease in FY 2009 ended March 31, 2010, it can maintain an adequate level of earnings in the period because of its efforts to control costs. In our view, the Company' businesses will generate stable earnings in FY 2010 ending March 31, 2011. JCR considers that it can maintain healthy financial structure, as it intends to invest within its operating cash flow.