JCR has placed the rating on the issuer under Credit Monitor with Positive direction (#A/Positive).

Issuer: Oriental Yeast Co., Ltd. (2891)
Senior debts: #A/Positive

<Rationale>
(1) Oriental Yeast, Co., Ltd. and its parent company, Nisshin Seifun Group Inc.(owning 42.35% of the shareholder voting rights), resolved at each of their board of directors' meeting today that the Company would become a wholly-owned subsidiary of the parent company by tender offer.

(2) Nisshin Seifun Group Inc. is an important partner to the Company in its sales strategy for its food and overseas businesses. Its bio business, in particular, is considered a high growth business by Nisshin Seifun Group Inc. JCR strongly incorporates the relations with Nisshin Seifun Group Inc. in the rating for the Company. Its becoming a wholly-owned subsidiary of Nisshin Seifun Group Inc. will strengthen its unity with the parent company, and JCR will factor in the parent company's credit capability more than before in the rating for the Company. JCR places the rating on the Company under Credit Monitor (with Positive direction) and will announce a rating afresh after assessing several factors including results of the takeover bid, changes to be made in its position in the Nisshin Seifun Group, expected synergies, and orientation of its earnings and financial structure.