Nomura Research Institute, Ltd., (NRI) has announced that it will post extraordinary losses, such as on valuation losses on marketable securities and other losses, and therefore has revised its financial results forecasts for the fiscal year ending March 31, 2009 (April 1, 2008 to March 31, 2009), which were released on January 29, 2009, as described below:

(1)

Reasons for revisions

With the global financial crisis and the resulting economic recession becoming increasingly severe, conditions in the stock market have deteriorated, as evidenced by new post-bubble lows in the Nikkei Stock Average. These factors are also leading to rapid changes in the business environment for NRI’s customers. In this harsh environment, NRI expects to post extraordinary losses on stock valuation losses resulting from the decline in the market value of its stock holdings as well as on valuation losses on software, whose profitability is expected to fall rapidly as a result of the financial crisis. Accordingly, the Group has revised its full-year financial results forecast as shown below from the estimate announced on January 29, 2009. The amount of the stock valuation loss may fluctuate, or may not be posted at all, depending on stock prices on March 31, 2009.

(2)	Revised forecasts of consolidated financial results for the fiscal year ending March 31, 2009 (April 1, 2008 to March 31, 2009)
Sales Operating profit Ordinary profit Net income Net income per share Previous forecasts (A) Million yen 340,000 Million yen 48,000 Million yen 50,000 Million yen 28,500 Yen 145.77 Current forecasts (B) 340,000 48,000 50,000 22,500 115.08 Decrease (B-A) - - - -6,000 -30.69 Change (%) - - - -21.1 -21.1 Reference: Results for the fiscal year ended March 31, 2008 342,289 52,664 55,517 28,157 138.52

(3)	Revised forecasts of non-consolidated financial results for the fiscal year ending March 31, 2009 (April 1, 2008 to March 31, 2009)
Sales Operating profit Ordinary profit Net income Net income per share Previous forecasts (A) Million yen 323,000 Million yen 43,500 Million yen 45,500 Million yen 25,500 Yen 130.43 Current forecasts (B) 323,000 43,500 45,500 19,500 99.74 Decrease (B-A) - - - -6,000 -30.69 Change (%) - - - -23.5 -23.5 Reference: Results for the fiscal year ended March 31, 2008 327,933 48,161 50,346 25,202 123.98

(4)	Extraordinary loss
1.	Valuation loss on marketable securities for the fiscal year ending March 31, 2009
Consolidated Non-consolidated (A) Total valuation losses on marketable securities during the fourth quarter of the fiscal year ending March 31, 2009 (January 1 to March 31, 2009) (=a - b) 4,061 million yen 5,561 million yen   (a) Total valuation losses on marketable securities during the fiscal year ending March 31, 2009 (April 1, 2008 to March 31, 2009) 5,100 million yen 6,600 million yen   (b) Total valuation losses on marketable securities during the cumulative period (April 1, 2008 to December 31, 2008) through the most recent quarter (third quarter) 1,038 million yen 1,038 million yen
* The amount of the stock valuation loss may fluctuate, or may not be posted at all, depending on stock prices on March 31, 2009.

Proportion of net assets, ordinary profit, and net profit

Consolidated Non-consolidated (B) Net assets in fiscal year ending March 31, 2009 207,363 million yen 189,481 million yen   (A/B x 100) 2.0% 2.9%   (a/B x 100) 2.5% 3.5% (C) Ordinary profit in fiscal year ending March 31, 2009 55,517 million yen 50,346 million yen   (A/C x 100) 7.3% 11.0%   (a/C x 100) 9.2% 13.1% (D) Net income in fiscal year ending March 31, 2009 28,157 million yen 25,202 million yen   (A/D x 100) 14.4% 22.1%   (a/D x 100) 18.1% 26.2%

2.	Software valuation losses in fiscal year ending March 31, 2009 NRI expects to post approximately 3 billion yen in valuation losses on software for the financial services industry as a result of the rapid deterioration in the business environment provoked by the financial crisis.

Note:

Sales and profit figures forecast in this release are based on information available to management at the present time. As such, this forecast contains risk and uncertainty. Readers should be aware that actual sales and profits may differ from this forecast.

[For general inquiries, please contact:]
Shin Ueoka, Investor Relations Department
Tel: +81-3-5533-3910
E-mail:

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