Announcement Regarding Consolidated Results Forecast for Fiscal 2001

The following is an announcement of consolidated results forecast for Fiscal 2001, ended March 31, 2001 (hereinafter referred to as “the year”).

1. Consolidated Results Forecast for Fiscal 2001

2. Consolidated Revenues

As two of our major consolidated subsidiaries do not fall within the scope for inclusion in the consolidated accounts, a fall in revenues is indicated; however, due to our successful business activities both in Japan and abroad, actual revenues have increased.

Regarding business activities in Japan, as a result of the good performance of our e-finance, e-commerce and other businesses, we expect revenues to increase relative to the same term last year.

Overseas, the revenue of our consolidated U.S. subsidiary, Key3Media Group, Inc., has been steadily expanding. However, UTStarcom, Inc. is no longer a consolidated subsidiary due to the exercise of a warrant following its IPO. In addition, our consolidated U.S. subsidiary Ziff-Davis Inc. was sold. As a result, revenues are expected to fall. However, taking into consideration that revenues for both companies reached 24% of the revenues posted for the same term last year, consolidated revenues are increasing smoothly.

3. Consolidated Operating Income

Due to our successful business activities and the sale of Ziff-Davis, our operating income increased.

Our e-finance business, centered around our consolidated subsidiary, SOFTBANK INVESTMENT CORPORATION, and Key3Media Group, have achieved good results, and we have completed the sale of Ziff-Davis which incurred an operating loss in the previous term. These are the main factors which have enabled us to increase operating income and offset the increase in operating expenses, which occurred due to our establishment of new companies in Japan.

4. Consolidated Ordinary Income

There was also an increase in ordinary income due to the occurrence of remeasurement exchange gain and a reduction of interest expenses.

Exchange Gain

As of year-end, SOFTBANK Holdings Inc. held approximately 140 billion yen in yen denominated inter-company loans from SOFTBANK CORP., and SOFTBANK CORP. held approximately $700 million in U.S. dollar denominated loans to foreign subsidiaries. Due to the depreciating yen at the end of the year, we expect an exchange gain of approximately 28 billion yen.

Interest Expenses

With the sale of Ziff-Davis, interest-bearing debt held by that company of approximately US$1,100 million were decreased and interest expenses showed a decrease.

Equity in Losses

Although Aozora Bank, Ltd., and Yahoo! Inc. of the United States, showed equity in earnings, the investments of U.S.-based SOFTBANK Capital Partners Investment Inc. (Delaware, U.S.A., hereinafter, SBCP) showed equity in losses, resulting in a projected overall equity in losses.

Our ownership in Azami Life Insurance Co., Ltd., in which we invested in February-March 2001 through our wholly owned subsidiary, SOFTBANK FINANCE CORPORATION was 50% at the end of the term. However, because the infusion of capital from other companies was expected to reduce our ownership to less than 20% (effective April 26, 2001) from the onset of this venture, the equity method was not applied to Azami Life.

5. Consolidated Net Income

Net income increased for the year due to successful IPOs by Group companies and sales of investment securities as a result of a restructuring of our portfolio.

Extraordinary Gains

Main sources of extraordinary gains for this term include

Sale of shares of Cisco Systems K.K

Approximately 30.8 billion yen

Sale of shares of Yahoo! Inc

Approximately 36.2 billion yen

Sale of shares related to IPO of Sky Perfect Communications, Inc

Approximately 11.4 billion yen

Sale of shares related to IPO of SOFTBANK INVESTMENT CORPORATION

Approximately 15 billion yen