full Annual Report 2001

Transcription

Kajima Corporation
Annual Report 2001
For the year ended March 31, 2001
c1
Profile
Twenty years after its founding in 1840, Kajima Corporation constructed Japan’s first
Western-style building—the Eiichiban kan—in Yokohama. Since then, Kajima has
rapidly developed its operations by anticipating future trends in all types of construction-related needs. The Company’s activities have encompassed the railway construction and electric power development that propelled Japan’s initial modernization as well
as the coastal industrial developments, high-rise structures, nuclear power plants, and
maritime-related projects that helped the nation rise quickly to economic superpower
status. Today, as one of Japan’s leading construction companies Kajima maintains
subsidiaries in North America, Europe, and Asia and is active in construction and real
estate development business around the world.
With an eye to the dynamic changes under way in the operating and social environments, Kajima will continue to evolve, supported by superior technological expertise,
rich human resources, and a pioneer spirit. By working in close cooperation with our
stockholders, customers, and local communities, we are confident we can contribute
to a brighter future for all.
Contents
Research and Development
18
1
Environmental Engineering
20
Message from the Management
2
Renewal Technologies
22
Domestic Operations:
6
Financial Section
24
6
Overseas Network
66
Financial Highlights (Consolidated and
Non-Consolidated)
Construction Business
Real Estate Development
10
Principal Subsidiaries and Affiliates
68
Other Business
12
Board of Directors
70
14
Corporate Data
70
Overseas Operations:
14
16
Financial Highlights (Consolidated and Non-Consolidated)
KAJIMA Corporation (and Consolidated Subsidiaries)
For the years ended March 31
Fiscal Year
Consolidated:
Revenues
2001
2000
2001
(Thousands of
U.S. Dollars)
(Millions of Yen)
¥1,909,948
¥1,727,871
$15,402,806
Net Income
9,275
9,018
74,798
Total Assets
2,438,041
2,423,542
19,661,621
235,192
176,058
1,896,710
Stockholders’ Equity
Per Share:
Net Income
Non-Consolidated:
Revenues
(Yen)
(U.S. Dollars)
¥9.70
¥9.43
(Thousands of
U.S. Dollars)
(Millions of Yen)
¥1,330,729
$0.078
¥1,174,910
$10,731,685
Net Income
7,127
7,633
57,476
Total Assets
1,998,802
2,017,756
16,119,371
271,464
215,020
2,189,226
Contract Awards
1,245,516
1,287,623
10,044,484
Total Contract Backlog
2,054,294
2,139,507
16,566,887
Per Share:
Net Income
Cash Dividends
(Yen)
(U.S. Dollars)
¥7.41
¥7.94
$0.060
7.00
7.00
0.056
Notes: 1. The U.S. dollar amounts included herein are presented solely for convenience. Such dollar amounts have been translated from yen at the approximate
exchange rate on March 31, 2001, of ¥124=U.S.$1. The translations should not be construed as representations that Japanese yen have been, could have
been or could in the future be converted into U.S. dollars at that or any other rate.
2. Computation of net income per share is based on the weighted average number of shares of common stock outstanding during each fiscal year.
3. In fiscal 2001 and 2000, diluted net income per share is not disclosed because of the anti-dilutive effect in the unconsolidated and consolidated results.
1
Message from the Management
Operating Environment
In fiscal 2001, ended March 31, 2001, the Japanese economy turned away from what at the beginning
of the year was described as a gradual recovery. In the latter half of the year, the sense of buoyancy
deteriorated rapidly in the face of a declining U.S. economy, a sluggish stock market, concerns over the
retirement of bad debts, uncertainty in the financial industry, and political and government turmoil. Fears
arose, particularly in the field of information technology (IT), that private-sector capital investment would
stall, despite having previously been on an upward path. Positive signs are hard to identify, given the
state of employment, personal consumption, and exports.
Overseas, in the latter half of 2000 the U.S. economy showed clear signs of a drop, and while the
Rokuro Ishikawa
Chairman
European economy sustained its expansionary tone, in some regions there were signs of worsening
business conditions. The Asian economies, which had appeared to be on the road to recovery, bore the
brunt of the decline in the U.S. economy and increasing political turmoil, and by the end of the year were
showing signs of a slowdown in recovery.
The domestic construction market was in an upturn, primarily due in the first half of the year to capital
investment in the manufacturing sector, but in the latter half, investment in non-manufacturing sectors
decreased, creating an overall outcome commensurate with last year. Public works was characterized
by tight restraint by administrations at both the national and regional level concerning the placement of
contracts. As a result, the volume of public works contracts was down compared to the previous year.
In the overseas construction market, the trend was comparatively bullish in Europe, but as a result of the
worsening economy, the U.S. market has been characterized since the latter half of last year by limited
capital investment. The Asian construction market had been on the road to recovery, but declining
exports due to the slumping U.S. economy manifested in the latter half of last year as a sudden drop in
investment in plant and equipment.
2
Results
In this operating environment, the Kajima Group’s consolidated performance was as follows.
Consolidated revenues were up 10.5% in comparison with the previous fiscal year, to ¥1,909.9 billion,
primarily as a result of two factors: improved sales in the construction division largely due to the adoption
of the percentage-of-completion method in recording construction revenues, by both the parent and
domestic subsidiaries; and the completion of some large-scale real estate development projects.
Despite a 2.9% drop in gross profit on sales, consolidated operating income fell only 0.1%, to ¥51.5 billion, as a result of reduced general and administrative expenses. Consolidated net income for the period
Sadao Umeda
President
was up 2.8%, to ¥9.2 billion, as a result of a significant improvement in the profitability of offshore entities, and despite a decline in the parent company’s net income.
Medium-Term Management Plan
The domestic construction market is in a period of structural transition. It is difficult to avoid the conclusion that the traditional pattern of construction investment will gradually disappear in the medium to long
term.
Recognizing that fact, the Company set as its goal the establishment of a company structure that
is appropriate to ensuring stable profits at the required level. To that end, the Company previously
formulated a medium-term management plan, the New Three-Year Plan, which applied to the three
years from fiscal 1999 to fiscal 2001 and consolidated the Kajima Group in a powerful push to improve
performance.
The outcomes were the aforementioned results in fiscal 2001, and achievement of the expected performance targets set forth in the plan. To follow up and ensure that the Group continues to grow and
develop in the 21st century, the Company has formulated a new medium-term management plan, the
“Next Three-Year Plan,” effective fiscal 2002.
3
Under the new plan, existing business processes and areas of activity will be reviewed with the intention
of expanding the business of the Group overall and making it more cost-efficient. At the same time,
operational innovation and productivity improvements will be pursued through the use of IT, and strategic development will focus on technology development.
Specific business strategies designed to consolidate total Group strength include
—boosting marketing capability and priority given to technology and greater cost-competitiveness,
all aimed at securing orders and profits;
—focusing on renovation (renewal) works, housing, and environmental engineering fields;
—targeting greater diversity in sources of revenue throughout the entire life cycle of a structure;
—placing an emphasis on and enhancing the efficiency of R&D;
—bolstering profitability from the real estate development and overseas business operations;
—improving consolidated performance; and
—achieving a more robust financial profile.
As part of structural management reform, the Company will look at organizational restructuring, reducing
total staff levels and marketing and management costs, and reforming its human resources systems. It
will also build an integrated database network, improve the overall efficiency and productivity of business
activity, and speed up management processes.
The Company thanks its stockholders for their support and looks forward to ongoing endorsement from
stockholders of its activities.
4
Rokuro Ishikawa
Sadao Umeda
Chairman
President
Outline of the Next Three-Year Plan
Basic Business Strategy
“To improve productivity and operational efficiency, and establish a cost-efficient organization, through fundamental reform of production and operational systems using
information technology.”
1.
Augment orders and profits through better marketing capability and
stringent cost-cutting measures.
(1) Improve marketing capability
(2) Demonstrate technological excellence
(3) Boost cost-competitiveness
2.
3.
4.
Target renovation and housing.
Provide environmental and engineering services.
Diversify sources of income throughout the life cycle of a structure.
(1) Become more involved in the life-cycle engineering (LCE) field
(2) Develop new areas of business
5.
6.
7.
8.
9.
Focused and efficient R&D activities.
Boost profitability of real estate operations.
Enhance profitability of overseas operations.
Improve group company synergies and consolidated profit.
Strengthen the financial base.
5
Kajima
Corporation
The Japanese economy, which had previously displayed signs of
gradual recovery, is increasingly giving indications that it is indeed
reversing course. The domestic construction market is no exception,
and the business climate for the industry is transforming rapidly. The
overall scale of annual construction investment may shrink from the
current ¥70 trillion to a level just short of ¥60 trillion by 2005. Builders
are locked in a trend in which they must fight for portions of a shrinking
pie, but at the same time they are pursuing growth strategies based
on responding flexibly to changing customer needs. The industry
Harumi Island Triton Square
Office Tower Y
faces a crucial point at which true value will be determined by how
companies adapt to the severe climate. The 21st century for the construction market will be, in every sense, a time of competition and
weeding out. Kajima will seek to succeed both on quality and quantity, and to establish a strong, “trustworthy Kajima” brand by securing
required profits. Kajima will also achieve ongoing growth and development by implementing reforms that will build a new corporate
constitution.
The New Three-Year Plan, which has guided the entire Corporate
Group since fiscal 1999, has generally succeeded in focusing the
Universal Studios Japan
Design & Construction (Area 2)
Company as a whole on rationalizing contracting and production systems by a combined effort including the head office and jobsite
offices. The result has been achieved despite a worsening contract
placement climate during the planing period. In relation to new
domestic contracts in fiscal 2001, although a decline in public works
projects caused the civil engineering sector in particular to drop, the
overall decline was halted at ¥1,359.3 billion, a reduction of only 6.3%
compared to the previous year. Total domestic turnover, affected by
the adoption of the percentage-of-completion method in the
DOMESTIC
OPERATIONS
6
Annual Report
2001
Onagawa Nuclear Power Plant
Project No. 3 Main Building
Saitama Stadium 2002
corporate accounting system, was ¥1,438.7 billion, up 7.7%.
Regarding total income from completed projects, the gross profit
margin fell to 7.8%, from 8.5% in the prior year, due particularly to the
effect of the fiercely competitive environment in the building sector.
Despite that result, gross profit rose ¥600 million, to ¥122.4 billion.
As indicated at the outset, in this fiscal year under review the
Company formulated a new medium-term management plan for the
next three years, setting out basic guidelines and performance targets. The building sector is a core area of prime importance to the
plan, and by enunciating clear and specific directions the Company
aims to inspire staff to achieve the targets.
In terms of new contract awards, the Company will seek to
improve its success rate and ensure returns through greater costcompetitiveness and demonstration of the Company’s technical
excellence, and by positioning its marketing capability against that
backdrop. That will inevitably mean cutting back in traditional areas,
and greater involvement in growth areas that offer the potential for
7
greater rewards, such as renewal, residential, environmental and
engineering projects. To that end, an Environmental Engineering
Division was established in October last year, and the Company is
also working on other organizational and personnel issues. The
Kajima Group overall is seeking to diversify sources of revenue over
the life of structures and secure sources of income by developing
new business areas. For example, the Customer Building Support
Center is being established and other system-based improvements
are in progress. In addition, the Company is aiming to improve its
Metropolitan Subway
Route No. 12 Shiodome,
Hamamatsucho Section
systems and strengthen its links with affiliated companies. In a proactive response to ever more diverse proposal methods, the Company
has set up a PM Solution Office, and is establishing a track record
in work on commission in the project management/construction
management (PM/CM) field.
As far as production is concerned, further enhancement of pricecompetitiveness is a major topic, and the Company is in the process
of developing a unified cost-management system that will use IT to
handle everything from the original quote to the settlement of
accounts. The Production Center has been established in order to
Tunneling Project for 3rd Segment
of the Metropolitan Area Outer
Discharge Channel
rationalize management processes in design/build projects, such as
estimations and construction drawings. The R&D area has focused
on the use of technology to achieve shorter works schedules and
lower costs, and the use of advanced technologies, such as those
applied in extreme underground works. The maximization of IT in production methods and fundamental reform of management practices
are essential to the process of improving productivity. The Kajima
Digital Network Service (KDNS) established last year as a guideline for
all the Company is moving us forward as one. In the current fiscal
year, an efficient operational system will be configured using a variety
of information and communications technologies.
Itagi Tunnel
The primary response in a time of drastic change such as this is to
return to basics, and to think carefully. Sourcing and coordinating the
very great number of people and goods needed to optimize customer
needs, and the overall ability to design and build in budget and on
8
time, are the very basis of the value-added service that Kajima offers.
The nature of our business is to provide services of benefit to our
customers and derive a profit thereby, and it is the credibility we gain
by responding appropriately to customer needs that is our greatest
asset. The present age of “competition and weeding out” presents
significant opportunities to companies that have the requisite desire
and capabilities. Kajima will seize these opportunities, and do
Hoshinofurusato-Ohashi Bridge
its utmost to expand the total group and fulfill its role as a good
corporate citizen.
Kubogawa Retarding Basin
New Building Construction Contracts
New Civil Engineering Contracts
Sapporo Station South Exit Tower
Commercial facilities, offices, accommodation—Steel structure; 38 floors
above ground, 3 below;
Floor area: 65,490 m2; Gross floor area: 117,977 m2
Revetment Works of Tomari Electric Power Station
Length: 657 m; Located in Hokkaido Prefecture
The New Headquarters Building of Nippon Express
Office building; SRC and steel structure; 28 floors above ground, 4 below
ground, 1 PH;
Floor area: 5,5185.55 m2; Gross floor area: 54,214.22 m2
Hayasaka Tunnel
Excavated length: 3,115 m; Cross-sectional area: 53.6 m2;
Width: 6.5 m; Located in Iwate Prefecture
Higashi Yamada Train Station on Rapid Transit Line No. 4
Length of works section: 325 m; Train station portion: 126 m; Single rail tunnel
portion: 199 m; Located in the City of Yokohama
Kyodo News New Headquarters Building and Annex
Office building—SRC and steel structure; 34 floors above ground, 4 below
ground;
Construction of a Tunnel from Section SJ11 to SJ31 on the Shinjuku Line
of the Central Circular Route
External diameter of tunnel excavation:13.05 m; Excavated length: 2,650 m
Shiga Nuclear Power Plant Project No. 2, Main Building
Atomic power plant (atomic reactor building, turbine building, waste disposal
building, seawater heat exchange facility, visitor gallery)—RC, SRC and steel
structure; (atomic reactor building) 2 basements, 5 floors above ground; Floor
area: 1.6 million m2; Gross floor area: 73.696 (all buildings) m2
Construction of the Suzuka Tunnel on the Down-Track of the No. 2
Meishin Expressway
Excavated length: 3,923 m; Cross-sectional area: 147 to 189 m2 (including
19.6 m2 of driftway for tunnel boring machine); Located in Shiga and Mie
Prefectures
Bandaijima Redevelopment Project
Offices (main objective), hotel (secondary objective)—CFT (MSC columns)
structure;
1 basement, 31 floors above ground, 2 PH; Area and gross floor area;
Floor area: 145,431 m2; Gross floor area: 51,154.14 m2
Supply of Fill Materials for Land Reclamation, Phase 2 of Kansai
International Airport
Supply of one-third of 250 million m3 of fill for phase 2 of Kansai International
Airport, equating to 85 million m3; Total volume carried: 85 million m3 (over 57
months); Located in Wakayama Prefecture
Tobata Station South Exit Complex
Building complex (hotel, welfare offices)—SRC structure; 13 floors above
ground, 1 PH;
Construction of Oranda Zaka Tunnel
Excavated length: 961.5 m; Cross-sectional area: 68.7 m2; Length of asphalt
pavement: 2,961.5 m; Located in Nagasaki Prefecture
9
Kajima
Corporation
In fiscal 2001, land prices in Japan continued their decade-long
decline. Well-located areas in Tokyo showed some signs of either
turnaround or upturn, but in outlying suburbs there is no apparent
relief from the downward trend. Plentiful supply in the apartment market has not impeded a positive trend supported by large-scale, welllocated properties. New, large office buildings with superior location,
size, and plant and equipment attributes are in short supply, and are
a market that continues to be positive. Well-located and inherent
property values are causing disparity and polarizing demand, a
Daikanyama Address
phenomenon that is expected to be a continuing issue for apartments and offices.
Japanese real estate investment trusts (J-REITs) are mooted, and real
estate has become increasingly liquid through securitization. Several
real estate funds have already been established.
Daikanyama Address
Daikanyama District Urban Redevelopment Project
(March 1985 to September 30, 2000)
Location:
Daikanyama-cho, Shibuya-ku, Tokyo
Project Outline:
In this prevailing environment, Kajima’s energetic pursuit of development business is focused primarily on redevelopment contracts for
Development complex incorporating
large building projects, and large-scale residential projects. In the
apartments; commercial facilities;
case of the Daikanyama redevelopment (Daikanyama Address, com-
public service facilities; and strategic
pleted in August 2000), the Company built a 36-story high-rise, high-
substation. With 36 aboveground
floors and 4 basement floor.
value property of some 214 units, which were sold out on the day of
Site Area:
17,262 m2
release. The Toyotama-Kita 6-chome redevelopment (Dear Marks
Gross Floor Area:
96,513 m2
Capital Tower, completed in March 2001), involved a 35-story high-
Residential Units:
214
DOMESTIC
rise building of some 290 units, all of which were sold out on the day
OPERATIONS
10
Annual Report
2001
Daikanyama Address
Dear Marks Capital Tower
Dear Marks Capital Tower
of release. These successful projects were the result of the
Toyotama Kita 6-chome Redevelopment Project
Company’s ability to consolidate landowners, formulate a project
(November 1989 to March 19, 2001)
plan, and carry through an entire project from construction to sales,
Location:
6-2-1, Toyotama-Kita, Nerima-ku,
Tokyo
and are evidence of high regard in the marketplace for Kajima’s
Project Outline:
Equivalent exchange and residential
technical expertise in development and its level of credibility.
subdivision
Scale:
Reinforced concrete (RC) doubletube construction. With 35 above-
In October 2000, a new division, the Asset Management Division,
ground floors and 1 basement floor.
was established to provide consultancy services in due diligence and
Site Area:
3,492 m2
property management and brokerage, and to manage the rental of
Gross Floor Area:
31,746 m2
Residential Units:
286
some 50 properties owned and managed by Kajima. In this latter
case, the division has maintained a very high occupancy rate, of
approximately 96%. The division also undertook due diligence on 200
properties in fiscal 2001, worth in excess of ¥200 million, and is
winning high regard in the market place for that work.
Real estate can be expected to become increasingly liquid in the
future. The Company’s divisions, particularly the Asset Management
Division, are therefore well placed to capitalize on Kajima’s
development expertise both in Japan and overseas.
11
Kajima
Corporation
Kajima’s Architectural and Engineering Design Division forms part of a
global design system built on close liaison with the Company’s incountry local entities: Kajima Associate Inc.; Kajima Design Europe
Ltd.; and Kajima Design Asia Pte. Ltd. Global marketing activities and
a collaborative design system aligned to world conditions form the
basis for a dynamic intercompany relationship. Having obtained ISO
9001 and ISO 14001 accreditation, the reliability of the service
delivered by each member of the network is guaranteed.
Issei Miyake Headquarters
In fiscal 2000, the Architectural and Engineering Design Division
received 777 commissions with a combined value of ¥545.4 billion
and was engaged to provide consulting services for 1,047 projects.
Major projects included three skyscrapers in the Shiodome
Redevelopment District. Design is still ongoing on the 38-floor Kajima
Tower, which will incorporate a city hotel and offices, the 34-floor
Kyodo News Shiodome Media Tower and Annex, and the 28-floor
New Headquarters Building of Nippon Express. The division is also
planning three high-rise buildings in Higashi Shinagawa as part of a
central city redevelopment project.
United Colors of Benetton,
Omotesando
Construction of the 25-floor Shiba Park Tower is due for completion in
June 2001, and employs Kajima’s “free plan” high-rise housing system.
The project to design the Press Conference and Working Center and
Cafeteria completed in time for the G-8 Kyushu-Okinawa Summit
2000 were awarded to the division as the winner of a competition.
The structures were dismantled and converted to alternative uses
after the summit in an example of the effective use of resources.
Universal Studios Japan has been completed in Osaka and is
DOMESTIC
OPERATIONS
Other Business
drawing many tourists.
Consultancies undertaken related to life-cycle engineering (LCE),
renewal projects, earthquake resistance, energy conservation and
due diligence.
12
Annual Report
2001
Seibu Dome
Organizational Profile
Kajima’s Architectural and Engineering Design Division forms part
of a global design system built on close liaison with the
Company’s in-country local entities: Kajima Associate Inc., Kajima
Design Europe Ltd. and Kajima Design Asia Pte. Ltd. Global marketing activities and a collaborative design system aligned to world
conditions form the basis for a dynamic intercompany relationship.
Having obtained ISO 9001 and ISO 14001 accreditation, the reliability of the service delivered by each member of the network is
guaranteed.
Volume of Business in Fiscal 2001
Design commissions:
777
Value:
¥545.4 billion
Consultancies:
1,047
Main Design Projects
•C Precinct, Shiodome Kajima Tower
•D Precinct North, Shiodome: The New Headquarters Building of
Nippon Express
•E Precinct, Kyodo News Shiodome Media Tower and Annex
•Stage 2 Development Plan for Higashi Shinagawa
•Press Conference and Working Center and Cafeteria
for the G-8 Kyushu-Okinawa Summit 2000
•Shiba Park Tower
•Dear Marks Capital Tower
•Universal Studios Japan
•Japan Telecom Data Center
•United Colors of Benetton, Omotesando
The New Headquarters Building of Nippon Express
•Itopia Building, Tomigaya (Issei Miyake Headquarters)
Consultancies
LCE, renewal projects, seismic risk assessment, deterioration
In the area of technology development, work has progressed on a
assessment, functional assessment, energy conservation assess-
3-D database computer-aided design (CAD) system that allows data
ment, environmental assessment, environmental due diligence,
to be shared and integrated at all stages of a project, from design to
building due diligence
construction, and the final testing stage prior to implementation has
Technology Development
been completed. A production center was launched in April 2001,
Development and real JOB application of 3-D database CAD,
and the technology is being applied to actual design work. The divi-
launch of production center, real JOB application, adaptation of
sion has also addressed the transfer to performance requirements for
construction standards legislation, and has developed new methods
performance specifications (fire prevention and resistance, evacuation and safety, earthquake resistance), use of external cladding
tiles made from a high proportion of recycled materials
of design for evacuation and safety, fire resistance and earthquake
resistance. In response to growing environmental concerns, the division has made successful use of exterior cladding tiles that contain a
Awards
BCS Special Prize
•Seibu Dome
high proportion of recycled material. The tiles have been awarded the
JIA Environmental Architecture Award
Eco-Mark of the Japan Environment Association.
•Nagano Olympic Memorial Arena
Good Design Award
In recognition of the excellence of its design and technical skills, the
division received a total of 28 awards, including a Special Prize from
the Building Contractors Society (BCS) for the Seibu Dome; an
Environmental Architecture Award from the Japan Institute of
Architects for the Nagano Olympic Memorial Arena; and the Good
Design Award for the Kokura Station Building.
•Kokura Station Building
28 other awards
13
Kajima
Corporation
The total value of offshore construction in fiscal 2001, on a yen basis,
was ¥133 billion, a significant turnaround from the decline for the
three years to fiscal 2000. The major contribution was made by the
Company’s North American operations, which experienced healthy
growth in contracts for construction from local U.S. companies in the
information and communications field through the end of 2000,
reflecting the booming economy.
Proposals from local players in the North American region saw 3.5
Sri Lanka–Japan Friendship Bridge
times as many contracts as in fiscal 2000. Proposals from Japanese
investment, on the other hand, were down 13% compared to the
previous year. By continuing to provide a high value-added design
and construction service we expect to secure a stable supply of
contracts.
Investment in construction in Southeast Asia is clearly recovering, and
the Company has begun to win a growing number of contracts, primarily in Singapore. Including Taiwan, contracts from the area are up
61% compared with the prior year. In Thailand and Malaysia in particular, there is growing competition for business from Japanese investment, but the Company’s comprehensive track record will be used to
good effect in winning contracts.
In the European region, our British operations are being converted to
local management, which has resulted in several ongoing contracts
from local companies. It is a very difficult market for Japanese construction firms, however, which means that ongoing market trends
will have to be watched closely and responded to appropriately.
In civil engineering arena, the Company has grown its business in
OVERSEAS
OPERATIONS
Southeast Asia and Africa through Japanese government official
14
Annual Report
2001
Anwiankwanta-Kumasi Road
Rehabilitation Project
Suez Canal Bridge
New Contracts
development assistance (ODA) projects, achieving contracts worth
Surabaya Airport Construction Project
Airport in Surabaya, Indonesia—Sealing Taxiway:
178,000 m2 (96 cm); Sealing apron: 148,000 m2 (45 cm)
¥25.1 billion in fiscal 2001, and adding to a strong performance in
fiscal 2000 of ¥23.9 billion. The Company will focus on risk management as it moves into new markets to expand its business.
New GIC Office at 168 Robinson Road
Office renovation project in Singapore;
Gross floor area: 25,000 m2
Tostem Assembly Factory-3
Aluminum sash assembly plant in Thailand;
Major contracts in this fiscal year included extensions to the Surabaya
airport in Indonesia; the Longmen Nuclear Power Plant No. 4 circulation cooling-water discharge tunnel in Taiwan; interior fitout work for
the GIC office in Singapore; Tostem’s Assembly Factory No. 3 in
ASDA Havant
Supermarket in Portsmouth, United Kingdom;
The Longmen Nuclear Power Plant No. 4 Circulation CoolingWater Discharge Tunnel
Departure shaft x 2; Arrival shaft x 2; Discharge tunnel x 2 (internal
diameter 6.7 m x 1,250 m and 1,245 m)
Thailand; and some new stores for supermarket ASDA in the United
Kingdom. In North America, the Company has continued to receive
orders for data centers, this year from Qwest and Verio, and a particularly noteworthy achievement was winning the contract for a new
head office for CNBC, the economic news division of NBC, one of the
three major U.S. networks.
Major completed projects included a bridge across the Suez Canal in
Egypt; improvement of Highway No. 6 in Ghana; the Sri Lanka-Japan
Friendship Bridge Project, Phase II; construction of the Double Lucky
Mansion in Taiwan; an office building for Itochu at 120 Fleet Street in
London; Pacific Bell Park, the new home of the San Francisco Giants in
the United States; and Fuji Photo Film’s K-5 Factory in the United States.
15
Kajima
Corporation
In general, fiscal 2001 marked an excellent year for Kajima’s overseas
development business, although, by the end of 2000, the United
States started to show signs of economic slowdown and its effects
began to be felt around the globe.
Due to enhanced efforts to improve the profitability of projects already
in operation, coupled with the tailwinds of favorable exchange rates,
successful financial results were reported from various Asian operations such as the Millenia in Singapore, a mixed-use project featuring
The Ritz-Carlton Millenia in
Singapore
the Ritz-Carlton and the Conrad hotels, and the Senayan commercial/residential complex in Indonesia. As a reflection of exerted efforts
to achieve timely turnover of projects under development, the
Stockley Park project in the United Kingdom has become an important mainstay of income for the real estate development business in
Europe, while in the United States the Company was able to generate
stable returns for consecutive years from the industrial real estate
development undertaken by Industrial Developments International,
Inc. (IDI). In Hawaii, Hualalai Resort also celebrated a successful year
with a record profit from residential sales and hotel/resort operations.
Industrial Real Estate Developed
for IDI's Client in Chicago
Kajima’s current strategy for overseas real estate businesses is twofold. The strategy for facilities already in business (e.g., hotels, shopping centers, office buildings, serviced apartments and others) is to
maximize the operating income by improving the management of the
existing facilities, while the strategy for new projects is to focus solely
on those with a short-term turnover cycle (e.g., IDI’s industrial real
estate development and the new phases of the Stockley Park office
development), thereby improving the Company’s overall cash flow.
OVERSEAS
OPERATIONS
16
PFI Development for DEFRA (MAFF) in Cambridge, United Kingdom
One London Wall, United Kingdom
In the United Kingdom, the Company is currently seeking early acquisition of planning permission to start construction on the new
Cambridge office for the Department for Environment, Food and Rural
Affairs (DEFRA), formerly known as MAFF. It is the first private finance
initiative (PFI) project in the United Kingdom to be undertaken by a
Japanese company solely on its own. The One London Wall (an office
building development with total floor area of approximately 28,000
square meters), designed by the internationally renowned architectural firm, Foster & Partners, is a project in joint venture with Hammerson
plc. in the City of London. The joint venture will be granted a new
150-year lease by the Corporation of London. With the demolition of
the existing structure commenced in the spring of 2001, construction
of the new building is due for completion in 2003.
17
Kajima
Corporation
The aims of the New Three-Year Plan that Kajima has been pursuing
technology to widen and enable branching in shield tunnels (the octo-
since fiscal 1999 were to build up the Group’s revenue base and
pus shield tunneling method); a new method for constructing under-
improve the Company’s financial structure. By fiscal 2001, the final
ground building frame: intelligent structural oil-dampers (HiDAX);
year of the plan, the Company had broadly succeeded in achieving
methods of designing for earthquake resistance and fire prevention in
the performance targets originally set. As in other areas of corporate
accordance with performance-based specifications; contaminated
endeavor, prioritizing and achieving greater efficiency in R&D activities
soil treatment technology; and organic waste treatment technology
were key factors for selecting research subjects. Cost-reduction tech-
(Metakles). The Company is working hard to achieve application and
nology for winning more work was the first priority as an urgent
commercialization of emerging technologies, including the new con-
research subject in addition to newly increased research needs in
struction method of tunnel boring machine (TBM); an automatic sys-
environment, renewal and life-cycle engineering (LCE). The result was
tem for excavating caissons in bedrock; free-plan housing technology
a 28% reduction in the number of technology development topics,
for high-rise residences; concrete-filled steel tubular (CFT) structures;
from 226 in fiscal 2000 to 162. Research investment totaled ¥12.5
seismic retrofitting methods for existing reinforced concrete struc-
billion, which was 0.94% of net sales.
tures; and the Air Refrigerant System (AIRS).
Organizational restructuring and system configuration were also key
The Kajima Technical Research Institute, which is the core of Kajima’s
topics for the R&D Division in the New Three-Year Plan. The
R&D, undertook R&D projects on 53 topics (including 12 priority top-
Company adopted a more strategic and efficiency-driven approach to
ics) defined by the business strategy for research laid down for the
the R&D system in general, in response to internal and external
Group. The major topics were analysis of subterranean cavities in
change precipitated by the emergence of new areas of need and the
bedrock; high-durability lightweight concrete; LCE technology for
effects of the economic downturn, seen in greater cost competition, a
existing civil engineering structures; flat plate frames; dew proofing
shrinking construction market, leaner companies, and reduced R&D
and moisture control systems; photovoltaic engineering assessment
expenditure. The Company’s R&D system was restructured for
tools; effective use of construction and industry by-products;
relaunch in fiscal 2002.
environment-friendly revegetation technology; creation of coastal
environments; and control of electromagnetic environments.
The main themes of technological development for the Company as a
whole in fiscal 2001 included a method of building large-section tunnel-
Some of the key R&D achievements of fiscal 2001 were as follows.
ing in urban areas; renewal technology for civil engineering structures;
RESEARCH
&
DEVELOPMENT
R&D
18
Annual Report
2001
Multi Ground Forepiling (MGF)
method
Large-Section Tunneling in Urban Areas
The importance of auxiliary tunneling methods is growing as tunnels with generally larger sections
for urban region construction. Particular effort has been invested in developing facing stabilization
and forepiling, which gives a high degree of control of ground surface settlement.
The division developed the Multi Ground Forepiling (MGF) method, which improves the control of
ground surface settlement by increasing the thickness of improved zones. It also put forward the
cylindrical shell theory as a design calculation method that enables forepiling deformation characteristics to be evaluated. The efficacy of the construction method and the reliability of the theory have
been confirmed in model testing using the geotechnical centrifuge and on-site measurements.
Multi Ground Forepiling (MGF)
method
Photovoltaic Engineering Assessment Technology
In this era of heightened concern for conservation of the global environment, photovoltaic systems
are winning increased acceptance as a source of clean energy. There is a growing number of practical examples in the building field. A part of the Company’s development work on photovoltaic system engineering has been involved in linking such systems with CAD to develop a basic planning
tool that enables the power generation performance of photovoltaic systems adapted for a variety
of construction forms to be evaluated. The tool visually displays yearly power generation characteristics, and is useful both in presentations for project clients considering the introduction of such
systems, and as a design support tool. The division is currently developing a practical design tool
for optimum system design.
Treatment Technology for Contaminated Soil
The division developed a way to design an efficient vacuum extraction method for use in the treatment of VOC-contaminated soil, which led to improvements in the efficiency using the Kajimadeveloped sequenced foaming method for treating soil contaminated with oil. The development
Treatment of contaminated soil
using the sequenced foaming
method
also led to cost savings. A further achievement was the practical application of bio-remediation
technology to treating soil contaminated with low concentrations of oil. The technology was applied
to treatment of soil contaminated with crude oil and benzene. Kajima participated in a technology
development project under the Ministry of Economy, Trade and Industry to conduct verification
trials and verify the effect of technology to treat in situ organisms.
Effective Use of Construction and Industry By-Products
One of the technologies for recycling waste products that the division has developed and applied is
a synthetic multi-function aggregate, the primary raw material for which is coal ash from thermal
power plants (60%). The aggregate clears JIS standards for lightweight structural concrete aggregate, and is 30% cheaper than traditional synthetic aggregates. The division has also developed an
external cladding tile and paving blocks that are made from waste incinerator ash, and waste glass
or waste ceramics. The raw material for both products is between 50% and 80% waste, and
the division has further developed and is marketing tiles that are coated with a dirt-resistant,
Synthetic multi-function aggregate
made from carbon ash
photocatalytic film. The products have all been awarded an Eco Mark.
New Fire Safety Technology for Performance-Based Specifications
Amendment of the Building Standard Law has seen the introduction of performance-based specifications to design for fire safety, and performance labels. The new legislation has made it essential
for the Company to improve its technical capabilities, boost its capability to deal with disputes and
litigation, and secure the cost of warranties. The division is therefore working on three fire safety
technologies: (1) a support tool for performance design; (2) a method of assessing the cost associated with the risk of fire safety; and (3) a tool for reaching agreement on the fire safety performance
of residential structures. The example of output at left depicts part of (3), developed using virtual
reality technology. It is an experiential tool that allows potential clients to experience via a computer
screen how the spread of fire changes according to the safety measures they choose. The tool
depicts what would happen when a fire from oil for deep frying breaks out in the kitchen and smoke
spreads to the lounge.
Example of output from tool for
reaching agreement on the fire
safety performance of residential
structures
19
Kajima
Corporation
Growing global awareness means that the environment is now a field
Hyper clay construction
(impervious soil cement construction)
that holds great potential for new business growth.
Kajima has made the environment a priority in its Next Three-Year
Waste
Upper
protective layer
Plan, positioning the Group to become more active in the pursuit of
business in the environmental arena.
Impervious material
The Environment Division was established in October 2000. It draws
Impervious material (sheeting)
together all in-house environment-related technology and resources
Foundation ground
in one section of the Company.
The specific areas Kajima is targeting within the broader context of
the environment are treatment of waste and its conversion to a
resource; water treatment; soil rehabilitation; and environmental consulting. In addition to developing and improving Kajima’s own technology in each area, the Company actively seeks partners in a range
of industries in order to boost its sales in the environmental field.
ENVIRONMENTAL
ENGINEERING
The Environment
20
High-molecular
coagulant material
Dihydrogen dioxide
Mixing and separation
Sulfuric acid
Sequenced foaming
Ferric chloride
Contaminated
water treatment
Recycling of oil
Oil
Water
Sequenced Foaming Method
Oil-contaminated soil
Purifying tank
Cleaning tank
Treatment tank
Cleaned soil
Recycling as
backfill etc.
Solution tank
Recycling of
cleaning solution
Waste Treatment and Waste-to-Resource Conversion
Forecasts by the Ministry of Economy, Trade and Industry indicate that by 2010 the market for
waste treatment and recycling in Japan will be worth ¥22 trillion.
The Waste Environment Group in the Environment Division is the focus of Kajima’s push into the
market, and in fiscal 2001, Kajima was awarded projects worth ¥15 billion.
Kajima’s key marketing strengths in waste treatment facilities are its proprietary Hyper Clay construction method, its electronic inspection system, and the technology incorporated in the construction of roofed waste treatment facilities, for which increasing demand is expected. Using these
competencies, the Company will seek to win business.
Metakles
Kajima’s proprietary technology in the area of conversion of organic wastes to resources is known
as Metakles (a high-temperature methane fermentation system). Organic waste is broken down at
high temperatures to generate biogas, which is then used in power generation. Kajima is marketing
the technology to commercial facilities.
Another proprietary technology is in the area of recycled resources. The Para-Eco Recycling
System, Eco-Chart, and Eco-Pure Clay are all products involving technologies that recycle
substances such as incinerator ash, or sludge from mains water. The products are sold as
environmentally friendly recycled construction materials.
Soil Rehabilitation
Rehabilitation of contaminated soil on former industrial land is estimated by the Geo-Environmental
Protection Center to be worth ¥200 billion a year.
Green Square Eco-Curtain Wall
Kajima has established the Soil Environment Group in the Environment Division to pursue business
in this area. In fiscal 2001, Kajima won approximately ¥11 billion of business.
Kajima enjoys several strengths in field of soil rehabilitation. The Company’s contamination survey
technology allows it to conduct artesian water surveys under any type of ground, to accurately
delineate the extent of contamination. Based on its engineering capabilities, Kajima can suggest the
most appropriate rehabilitation method for given conditions. Finally, the Company possesses
unique rehabilitation technologies, including sequenced foaming and bio-treatment methods, which
enable it to deal with any contaminant.
Water Treatment
Kajima excels in the field of water treatment, backed by its strong track record in mains water and
sewerage facilities for local government, and septic facilities in water areas. The size of the current
market is approximately ¥600 billion a year for mains and sewerage facilities, and ¥50 billion a year
for septic facilities in the vicinity of water areas such as rivers and lakes.
The Water Environment Group in the Environment Division works in close contact with regional
sales teams and focuses intensively on marketing. In fiscal 2001, the Company won approximately
¥10 billion of business in the field.
To expand business in the area of water treatment, the Company will leverage its strong track
record and extensive water treatment technology, including the NAM process, a sequencing batch
activated sludge method.
Rooftop Gardens
Rooftop gardens are seen as a countermeasure to the “heat island” phenomenon that is becoming
common in urban centers. The Tokyo metropolitan government has enacted legislation to require
proposed new structures over a certain size to include roof gardens. This move is expected to
stimulate the growing market.
Kajima has developed a product, “K-Soil,” a lightweight artificial potting soil for use in rooftop
gardens. In combination with the Company’s other gardening technologies, it is the focus of
aggressive marketing.
Kajima has also perfected and is marketing the Green Square Eco-Curtain Wall, a vertical garden
technology for use on walls.
21
Kajima
Corporation
Building renewal work has arisen out of the emerging need to update
structures put up during Japan’s period of high economic growth. It
is an area with clear growth prospects. The Ministry of Land,
Infrastructure and Transport forecasts that the current renewal market, which is worth approximately ¥22 trillion, will increase at an average annual rate of 2.2%, reaching ¥25 trillion by 2005 and ¥27 trillion
by 2010.
Kajima has placed priority on renewal business in its Next Three-Year
Taisho Pharmaceutical Co., Ltd.
Plan, setting a target for renewal contracts in fiscal 2004 of ¥200 billion, 1.3 times the current level.
The Company is engaged in a strong marketing push in all regions,
on the basis of its wealth of project experience, and its technical ability in construction work to respond appropriately to customer needs
for “Renewal in Residence.”
The “Renewal in Residence” principle allows clients to continue to
market and operate their business while renewal works are underway.
It enables customers to avoid the additional cost associated with relocating to temporary quarters, or the lost opportunity due to business
interruption. Part of Kajima’s extensive “in residence” offerings include
installing dampers around the exterior of buildings, even though, as
earthquake-resistant reinforcement, it is a very large-scale measure,
installing new foundations under existing buildings, and carrying out a
“quake absorption retrofit” by building quake absorption equipment
into them.
Specific steps to achieve targets include enhancing the division’s
assessment and consultation capabilities under the theme, the
RENEWAL
TECHNOLOGIES
“Seven Diagnostics.” These include assessing the earthquake resistance of existing buildings, looking at building deterioration, and
Renewals
assessing energy conservation. The Company will establish a
Customer Building Support Center that will seek to build long-term
relationships with clients subsequent to the completion of a new
structure.
22
The intent of all these measures is to put in place a system that provides comprehensive support over a building’s life. Kajima is seeking
to go beyond simply designing and implementing the works program
for new structures or renewal projects, and to provide support for
management to maintenance, and even to operations.
Annual Report
2001
Examples of Building Renewal Projects
Renewal of Gunma Bank’s Offices
The head office of the Gunma Bank, originally designed and built by Kajima in 1972, was the site of
a three-phase “Renewal in Residence” project lasting from 1997 to June 2001. The first phase
incorporated overall equipment repairs. The second phase was devoted to repairs around the core
office building, while the third phase primarily involved repair of the interior of the headquarters
building.
In implementing the “Renewal in Residence” of bank offices, a new dimension was introduced to
the normal priority issues of fire prevention, safety and the environment, and that of crime preven-
Gunma Bank offices
renewal project
tion. A higher than normal level of site security was required. Staff and workers were obliged to
carry ID cards and wear armbands as part of comprehensive security management of entry and exit
to site. Fire prevention was addressed with the fitting of temporary smoke detectors to the floors on
which work was being done, to prevent any fires caused by construction work. Everything possible
was done to minimize the effect of works on what is primarily a client service business. That included limiting chipping and anchoring works to nights and weekends, and requiring welding equipment
to be “earthed” within a meter from where it was used, to prevent possible damage to office
automation equipment.
Murakami City Municipal Offices in Niigata Prefecture
The Company carried out renewal work on the municipal offices of the City of Murakami, built in
1974. The contract was the first “in residence” project commissioned by a government authority in
Japan. The work involved applying the earthquake absorption method to middle floors of the building. Assessment of earthquake resistance in the aftermath of the Great Kobe Earthquake indicated
that reinforcement was necessary. Kajima’s technical proposal was adopted after a proposal com-
Renewal of Murakami City
municipal offices
petition. Earthquake absorption equipment was fitted to the top of columns on the first floor, in the
form of 26 high-strength laminated rubber dampers and four sliding bearings. As it was an “in residence” project, when the columns were cut, low-noise equipment such as wire saws was used in
the dismantling works, and a concrete floor was fitted in the central atrium. The works also included
renewal of deteriorated internal and external facings, the installation of an elevator for disabled
persons, and the introduction of barrier free access.
This project was the first in a long line of earthquake absorption retrofits completed by Kajima. That
experience has formed the basis for the development of an earthquake absorption system for
existing waste incineration facilities, a system now largely promoted to local governments.
Seven Diagnostics
1. Initial Assessment
Identify current problems (symptoms), propose most appropriate method of treatment, and
estimate tasks and costs.
2. Assessment of Earthquake Resistance
Determine safety of building and fixtures and fittings in event of earthquake.
3. Assessment of Deterioration
Survey deterioration due to changes over time. Plan maintenance.
4. Assessment of Functionality
Resolve issues of growing functional sophistication in office automation, greater diversity, and
changing use.
5. Energy Conservation Assessment
Propose an energy-conserving low-cost system that considers the total lifecycle of the structure
without wasting what currently exists.
6. Environmental Assessment and Environmental Due Diligence
Comprehensive resolution of waste product problems. Identifying environmental risk.
7. Building Due Diligence
Assess asset value of facilities owned, and carry out ranked due diligence. Respond to due
diligence reports at all levels.
23
Selected Financial Data
For the years ended March 31
Fiscal Year
2001
2000
Consolidated:
Revenues
Net Income (Loss)
Total Assets
1999
1998
1997
2001
(Thousands of
U.S. Dollars)
(Millions of Yen)
¥1,909,948
¥1,727,871
¥1,658,884
¥1,938,933
¥2,100,701
$15,402,806
9,275
9,018
(198,557)
(7,604)
7,345
74,798
2,438,041
2,423,542
2,402,481
2,684,328
2,868,379
19,661,621
235,192
176,058
174,595
366,445
383,102
1,896,710
718,760
771,982
862,539
919,290
943,457
5,796,451
Short-Term Borrowings, Commercial Paper
and Long-Term Debt
Non-Consolidated:
Revenues
Contract Awards
Net Income (Loss)
Total Assets
(Thousands of
U.S. Dollars)
(Millions of Yen)
¥1,330,729
¥1,174,910
¥1,250,260
¥1,512,804
¥1,602,150
$10,731,685
1,245,516
1,287,623
1,280,287
1,324,485
1,524,289
10,044,484
7,127
7,633
(196,675)
6,003
10,025
57,476
1,998,802
2,017,756
2,027,805
2,264,296
2,418,751
16,119,371
271,464
215,020
214,117
405,241
408,189
2,189,226
508,615
568,808
619,405
670,168
684,335
4,101,733
Short-Term Borrowings, Commercial Paper
and Long-Term Debt
Per Share:
Cash Dividends
(Yen)
¥7.00
¥7.00
¥7.00
(U.S. Dollars)
¥9.00
¥9.00
961,312
961,312
(Yen)
Number of Shares Issued
24
961,312
961,312
961,312
$0.056
Revenues
(billion ¥)
2,500
Contract Awards
(billion ¥)
2,000
2,000
1,500
1,500
1,000
1,000
500
500
0
1997
1998
1999
Consolidated
2000
2001 (FY)
0
1997
1998
1999
Non-Consolidated
Operating Income
(billion ¥)
60
2000
2001 (FY)
Non-Consolidated
Net Income (Loss)
(billion ¥)
20
50
10
40
30
0
20
–10
10
0
–200
1997
1998
1999
Consolidated
2000
2001 (FY)
Non-Consolidated
Interest-Bearing Debt
1997
1998
Consolidated
1999
2000
2001 (FY)
Non-Consolidated
(billion ¥)
1,000
25
800
600
400
200
0
1997
1998
Consolidated
1999
2000
2001 (FY)
Non-Consolidated
Summary of Business Performance for Fiscal 2001
Overview
Consolidated operating income remained mostly unchanged from last
Hopes for a mild and steady economic recovery dissipated as the
year at ¥51.5 billion, a result of reduced selling, general and adminis-
outlook for the Japanese economy deteriorated rapidly from the
trative expenses offsetting a 2.9% decline in gross profit.
autumn: the U.S. economy began decelerating, stock markets contin-
Consolidated net income grew 2.8 % from last year to ¥9.2 billion.
ued to stagnate, concerns persisted over the financial system with its
This is largely because overseas subsidiaries posted higher profits
bad debt problems, and additionally, uncertainties mounted over the
that more than offset a slippage in profit from domestic operations.
direction of Japan’s political leadership. There was a risk of business
investment faltering, despite earlier strengths seen in technology-
The ratio of net income on a consolidated versus non-consolidated
related industries. Positive signs were hard to identify, given lackluster
basis comes to 1.3.
conditions in private consumption, employment and price levels, and
export earnings.
Segment Performance
Largely driven by investments by manufacturing firms, private-sector
Construction
demand for construction services remained strong during the first half
(1) Domestic Operations
of the fiscal year. However, non-manufacturing sector investment
Contracts awarded to the Group companies during the year rose to
dropped in the second half of the year, bringing the year-round total
¥1,359.3 billion, a 3.9% increase over last year. The Company alone
down to last year’s levels. On the other hand, national and local gov-
accounted for ¥1,136.5 billion (a 2.3% decline from last year), which
ernments cut back on spending, resulting in a year-on-year drop in
consisted of ¥295 billion in civil engineering orders (down 6.3% from
public works.
last year) and ¥841.4 billion in building construction orders (down 0.8%
from last year). Civil engineering orders declined as the Company
Globally, demand for construction services seems to have peaked.
received fewer public works awards from governments. Total awards
As the U.S. economy entered a cyclical downturn, Asian economies,
of building construction jobs remained roughly constant from last
with their political instabilities, and even parts of the EU, started to
year, because variations in orders from different business sectors
show signs of weakness.
cancelled out.
Against this economic backdrop, the Kajima group performed as
With the adoption of the percentage-of-completion method, Group
follows:
revenues rose 7.7% from last year to ¥1,438.7 billion. The Company
recorded revenues of ¥325.3 billion from civil engineering works
Consolidated revenues reached ¥1,909.9 billion, a year-on-year gain
(down 2.6% from last year) and ¥851.7 billion from building construc-
of 10.5%. The increase is largely attributable to the adoption of the
tion jobs (up 15.1% from last year), for total construction revenue of
percentage-of-completion method in recording domestic construction
¥1,177.1 billion (9.6% growth from last year).
revenues, and the completion of some large real estate development
projects.
26
(2) Overseas Operations
Forecasting Business Performance for Fiscal 2002
Orders surged 72.4% to ¥131.5 billion, which breaks down to
The outlook for the Japanese economy is mixed at best. Personal
¥106.4 billion awarded to overseas subsidiaries and ¥25 billion
consumption could falter, and business investment could once again
secured by the Company. Similarly, revenues rose sharply to ¥133.2
weaken. Structural reforms would help dispel these concerns, if they
billion, with ¥114.8 billion attributable to the overseas subsidiaries and
are implemented speedily to stabilize the financial system and to
¥18.3 billion to the Company.
activate the stock and real estate markets.
(3) Profits
We expect levels of public works awarded by national and local gov-
While the gross profit margin on completed construction jobs for the
ernments to continue falling. Given worsened business confidence,
Group companies slipped from 8.5% to 7.8% this year, on an
a slowdown in demand from the private sector seems a possibility.
increased revenue base, this year’s gross profit matched last year’s
On the overseas front, uncertainties persist over the extent to which
at ¥122.4 billion. The Company saw its gross profit margin decline
the U.S. economy will decelerate and the degree to which that will
from 9.9% to 8.9% this year.
affect other major markets in Asia and the EU.
Consolidated operating income jumped 37.7% to ¥41.2 billion,
The foregoing analysis leads us to forecast our performance for the
thanks to a reduction in selling, general and administrative expenses.
next period as follows.
Real Estate Operations
The construction contract award target for the Group is ¥1,470 billion
Consolidated revenues from real estate operations reached ¥198.3
for the year, with ¥1,330 billion from domestic operations and ¥140
billion, up 53.6% from last year. Of this total, ¥130.1 billion was from
billion from overseas. The contract award target for the Company is
domestic markets, and ¥68.2 billion was from overseas. On the other
¥1,250 billion, with ¥1,180 billion in construction contracts and ¥70
hand, operating income dropped 52% to ¥9.3 billion.
billion in real estate projects.
Others
Other segments consist chiefly of processing and selling construction
materials, and providing design, engineering and property management services. Consolidated revenues totaled ¥139.5 billion (down
16.6% from last year) with operating income of ¥1.3 billion (down
49.1% from last year).
27
Consolidated Balance Sheets
March 31, 2001 and 2000
28
29
Consolidated Statements of Income
Years ended March 31, 2001 and 2000
30
Consolidated Statements of Stockholders’ Equity
31
Consolidated Statements of Cash Flows
32
33
Notes to Consolidated Financial Statements
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
Non-Consolidated Balance Sheets
KAJIMA Corporation
March 31, 2001 and 2000
52
53
Non-Consolidated Statements of Income
KAJIMA Corporation
54
Non-Consolidated Statements of Stockholders’ Equity
KAJIMA Corporation
55
Non-Consolidated Statements of Cash Flows
KAJIMA Corporation
56
Notes to Non-Consolidated Financial Statements
KAJIMA Corporation
57
58
59
60
61
62
63
64
65
Overseas Network
HEAD OFFICE
OVERSEAS DISTRICT AND REPRESENTATIVE OFFICES, SUBSIDIARIES, AND AFFILIATES
2-7, Motoakasaka 1-chome,
Minato-ku, Tokyo 107-8388, Japan
Tel: 81-3-3404-3311
Fax: 81-3-3470-1444, 1445
(International Division)
28th Floor, Shinjuku Park Tower
Building, 7-1, Nishishinjuku
3-chome, Shinjuku-ku,
Tokyo 163-1028, Japan
Tel: 81-3-5324-5880
Fax: 81-3-5324-5827
CHINA
KAJIMA CORPORATION
China District Office
Tower A-605, Pacific Century Place,
No. 2 A Gong Ti North Road,
Chaoyang District, Beijing, 100027
People's Republic of China
Tel: 86-10-6539-2171
Fax: 86-10-6539-1716
KAJIMA TECHNICAL
RESEARCH INSTITUTE
19-1, Tobitakyu 2-chome,
Chofu-shi, Tokyo 182-0036, Japan
Tel: 81-424-85-1111
Fax: 81-424-88-3394
EGYPT
KAJIMA CORPORATION
Egypt District Office
Al Nahda Tower, 23rd Floor,
21, Ahmed Orabi Str., Sphinx Square,
Mohandessein, Giza, A.R.E.
Tel: 20-2-302-3025,
303-4580
Fax: 20-2-303-5998
INDIA
KAJIMA CORPORATION
New Delhi Liaison Office
S-71, Greater Kailash Part-I,
New Delhi-110048, India
Tel: 91-11-647-8505
Fax: 91-11-647-8506
TURKEY
KAJIMA CORPORATION
Turkey District Office
Balmumcu, Sekir Kesebir Sok.
Plaza-2 No. 32-10, 80700
Besiktas, Istanbul, Turkey
Tel: 90-212-275-4620
Fax: 90-212-275-4626
66
TANZANIA
KAJIMA CORPORATION
Tanzania District Office
Jangwani, Dar es Salaam, Tanzania
Tel: 255-22-2170510, 2170438
Fax: 255-22-2170438, 2170510
PHILIPPINES
KAJIMA CORPORATION
Philippines District Office
12F Sky Plaza, 6788 Ayala Avenue,
Makati City, Philippines
Tel: 63-2-886-6818
Fax: 63-2-886-6817
KENYA
KAJIMA CORPORATION
Kenya District Office
4th Floor, Utumishi Co-operative House,
Mamlaka Road, Nairobi, Kenya
Tel: 254-2-725023, 725024,
Fax: 254-2-729493
VIETNAM
KAJIMA CORPORATION
Vietnam District Office
10 Hang Bot Lane,
Ton Duc Thang Street,
Hanoi, Vietnam
Tel: 84-4-843-2055, 2056,
Fax: 84-4-843-2057
MYANMAR
KAJIMA CORPORATION
Myanmar District Office
55-A, University Avenue, Bahan,
Yangon, Myanmar
Tel: 95-1-513237, 513238
Fax: 95-1-513308
SINGAPORE
Kajima Overseas Asia Pte. Ltd.
80 Marine Parade Road,
#14-01/03 Parkway Parade Road,
Singapore 449269, Singapore
Tel: 65-344-0066
Fax: 65-344-3777
Kajima Design Asia Pte. Ltd.
80 Marine Parade Road,
#14-01/03 Parkway Parade Road,
Singapore 449269, Singapore
Tel: 65-339-8890
Fax: 65-339-1985
INDONESIA
Kajima Overseas Asia Pte. Ltd
Indonesia District Office
P.T. Kajima Indonesia
Sentral Senayan 1, 17th Floor, Unit #117A,
JL. Asia Afrika No. 8,
Jakarta 10270, Indonesia
Tel: 62-21-572-4477
Fax: 62-21-572-4433
TAIWAN
Chung-Lu (Sino-Kajima)
Construction Co., Ltd.
Chia Hsin Building, Room 601-B,
96, Chung Shan North Road,
Section-2, Taipei, Taiwan, R.O.C.
Tel: 886-22-541-0812
Fax: 886-22-522-3092
HONG KONG
Hong Kong District Office
RM 1901, 19th Floor,
Allied Kajima Building,
138 Gloucester Road,
Wanchai, Hong Kong, S.A.R.,
People’s Republic of China
Tel: 852-2598-6767
Fax: 852-2598-0696
MALAYSIA
Kajima (Malaysia) Sdn. Bhd.
16th Floor, Menara Promet
Jalan Sultan Ismail, 50250
Kuala Lumpur, Malaysia
Tel: 60-3-2141-4391
Fax: 60-3-2142-0322
THAILAND
Thai Kajima Co., Ltd.
19th Floor, Ramaland Building,
952 Rama IV Road, Bangrak,
Bangkok 10500, Thailand
Tel: 66-2-632-9300
Fax: 66-2-632-9312
NETHERLANDS
Kajima Europe B.V.
Biesbosch 225, 1181 JC
Amstelveen, The Netherlands
Tel: 31-20-347-32-50
Fax: 31-20-347-32-60
U.S.A.
Kajima U.S.A. Inc.
1251 Avenue of America, 9th Floor,
New York, NY 10020-1104, U.S.A.
Tel: 1-212-355-4571
Fax: 1-212-355-4576
UNITED KINGDOM
Kajima Europe U.K. Holding Ltd.
Kajima Construction Europe (U.K.) Ltd.
Kajima Property Holdings Ltd.
Grove House 248 A, Marylebone Road,
London NW1 6JZ, U.K.
Tel: 44-20-7465-0007
Fax: 44-20-7465-8788
Kajima International Inc.
395 West Passaic Street, 3rd Floor,
Rochelle Park, NJ 07662, U.S.A.
Tel: 1-201-518-2100
Fax: 1-201-518-1539
Kajima Design Europe Ltd.
Grove House 248 A, Marylebone Road,
London NW1 6JZ, U.K.
Tel: 44-20-7465-0007
Fax: 44-20-7465-0654
FRANCE
Kajima France Engineering S.A.R.L.
Kajima France Development S.A.R.L.
10, rue de la Paix, 75002
Paris, France
Tel: 33-1-42-61-20-53
Fax: 33-1-42-61-20-56
GERMANY
Kajima (Deutschland) GmbH
Niedenau 61-63, 60325
Frankfurt/Main, Germany
Tel: 49-69-740372~740374
Fax: 49-69-742514
BELGIUM
Kajima Engineering Belgium S.A.
Rue Defacqz, 113-115 1060,
Brussels, Belgium
Tel: 32-2-537-98-85, 95-27
Fax: 32-2-537-32-47
Kajima Engineering and Construction, Inc.
901 Corporate Center Drive,
Suite 201, Monterey Park,
Pasadena, CA 91754, U.S.A.
Tel: 1-323-475-2200
Fax: 1-323-475-2201
East West Development Corporation
250 East First Street, Suite 812,
Los Angeles, CA 90012, U.S.A.
Tel: 1-213-485-1177
Fax: 1-213-687-4324
Kajima Kona Company
100, Ka'upulehu Drive,
Ka'upulehu-Kona, HI 96740, U.S.A.
Tel: 1-808-325-8550
Fax: 1-808-325-8551
Kajima Real Estate Development Inc.
395 West Passaic Street, 3rd Floor,
Rochelle Park, NJ 07662, U.S.A.
Tel: 1-201-518-2100
Fax: 1-201-518-1539
67
Principal Subsidiaries and Affiliates
DOMESTIC
68
Katabami Kogyo Co., Ltd.
Head Office: Tokyo
Established: 1941
Shinrinkohen Golf Club
Head Office: Saitama
Established: 1984
Kajima Tenant Planning Co., Ltd.
Head Office: Tokyo
Established: 1986
Taiko Trading Co., Ltd.
Head Office: Tokyo
Established: 1947
Ilya Corporation
Head Office: Tokyo
Established: 1985
Kajima Regional Engineering
Support & Service Tokyo
Head Office: Tokyo
Established: 1987
Kajima Road Co., Ltd.
Head Office: Tokyo
Established: 1958
KOCAMB Co., Ltd.
Head Office: Tokyo
Established: 1985
Nippon Foundation Engineering Co., Ltd.
Head Office: Tokyo
Established: 1959
F.R.C. Corporation
Head Office: Tokyo
Established: 1988
Kajima Resort Corporation
Head Office: Tokyo
Established: 1960
Kajima Mechatro Engineering Co., Ltd.
Head Office: Tokyo
Established: 1989
Chemical Grouting Co., Ltd.
Head Office: Tokyo
Established: 1963
Kajima Karuizawa Resort Inc.
Head Office: Gunma
Established: 1991
Kajima Institute Publishing Co., Ltd.
Head Office: Tokyo
Established: 1963
Kajima Hotel Enterprises, Ltd.
Head Office: Tokyo
Established: 1989
Kajimavision Productions Co., Ltd.
Head Office: Tokyo
Established: 1963
Hotel Kajima no Mori
Head Office: Karuizawa
Established: 1977
Japan Sea Works Co., Ltd.
Head Office: Tokyo
Established: 1965
Act Technical Support Inc.
Head Office: Tokyo
Established: 1989
Yaesu Book Center Co., Ltd.
Head Office: Tokyo
Established: 1977
Kajima Aquatech Corporation
Head Office: Tokyo
Established: 1990
Kajima Services Co., Ltd.
Head Office: Tokyo
Established: 1978
Clima-Teq Co., Ltd.
Head Office: Tokyo
Established: 1998
Kajima Leasing Corporation
Head Office: Tokyo
Established: 1984
Kobori Research Complex Inc.
Head Office: Tokyo
Established: 1986
Support & Service Yokohama
Head Office: Yokohama
Established: 1989
Support & Service Osaka
Head Office: Osaka
Established: 1991
KRC Co., Ltd.
Head Office: Tokyo
Established: 1994
Armo Architects & Engineers
Head Office: Tokyo
Established: 1987
ARTES Corporation
Head Office: Tokyo
Established: 1990
Kajima Tokyo Kaihatsu Corporation
Head Office: Tokyo
Established: 1989
Nasu Resort Corporation
Head Office: Tokyo
Established: 1990
East Real Estate Co., Ltd.
Head Office: Tokyo
Established: 1994
Creative Life Corporation
Head Office: Tokyo
Established: 1984
OVERSEAS
Human Life Services Co., Ltd.
Head Office: Tokyo
Established: 1987
Kajima Tourist Co., Ltd.
Head Office: Tokyo
Established: 1988
Plus Alpha, Ltd.
Head Office: Tokyo
Established: 1991
Public Relations Officer Corporation
Head Office: Tokyo
Established: 1998
Engineering & Risk Services Corporation
Head Office: Tokyo
Established: 1998
Techno-Wave Corporation
Head Office: Tokyo
Established: 1999
NORTH AMERICA
Kajima U.S.A. Inc.
Head Office: New York, NY
Established: 1987
ASIA
Head Office: Singapore
Established: 1988
Kajima International Inc.
Head Office: Rochelle Park, NJ
Established: 1964
Kajima Design Asia Pte. Ltd.
Head Office: Singapore
Established: 1992
Kajima Real Estate Development Inc.
Head Office: Rochelle Park, NJ
Established: 1999
P.T. Kajima Indonesia
Head Office: Jakarta
Established: 1975
Kajima Engineering and Construction, Inc.
Head Office: Pasadena, CA
Established: 1984
Chung-Lu (Sino-Kajima)
Construction Co., Ltd.
Head Office: Taipei
Established: 1983
East West Development Corporation
Head Office: Los Angeles, CA
Established: 1973
EUROPE
Kajima Europe B.V.
Head Office: Amstelveen
Established: 1987
Thai Kajima Co., Ltd.
Head Office: Bangkok
Established: 1985
Kajima (Malaysia) Sdn. Bhd.
Head Office: Kuala Lumpur
Established: 1989
Kajima Europe U.K. Holding Ltd.
Head Office: London
Established: 1990
Kajima Design Europe Ltd.
Head Office: London
Established: 1992
Kajima Europe S.A.R.L.
Head Office: Paris
Established: 1989
Kajima (Deutschland) GmbH
Head Office: Frankfurt/Main
Established: 1991
Kajima Engineering Belgium S.A.
Head Office: Brussels
Established: 1991
69
Board of Directors and Auditors
CHAIRMAN
Rokuro Ishikawa
PRESIDENT
Sadao Umeda
EXECUTIVE VICE PRESIDENTS
Kinya Arai
Yoshifumi Tokunaga
Yoshihiko Iwamatsu
Masaru Kawai
Yuji Sugimoto
Mikio Shoji
SENIOR MANAGING DIRECTORS
Ryosuke Hirota
Naoyuki Tsunoda
Yukio Sano
Kazuhito Amikura
Suguru Akiyama
Naoki Atsumi
Kiyoshi Ogami
Yasuo Uebori
Osamu Minamitani
Takehisa Iho
MANAGING DIRECTORS
Takahiko Nishio
Keiichiro Namai
Seisuke Nakano
Kinji Ohashi
Mitsuhiro Hirata
Seiichiro Tomioka
Mitsuyoshi Nakamura
Yoshihiro Nakahora
Yukihiro Omika
Tasaburo Shimizu
Takashi Tokuda
Susumu Ukai
Hisaya Igarashi
Tatsuo Hatanaka
Masataka Moriyama
Akira Okamoto
DIRECTOR AND SENIOR ADVISOR
Shoichi Kajima
DIRECTORS
Komao Yasuda
Takayasu Mimura
Takeshi Katano
Hiroaki Hoshino
Hiroshi Kaneko
Noboru Ikebata
Takaji Mineo
Shuji Horita
Hirohisa Takita
Hiroshi Ishikawa
Mamoru Kai
Kaoru Someya
Yasuo Morimitsu
Kunio Yanagisawa
CORPORATE AUDITORS
Kozo Takahara
Junsuke Kajima
Isao Oikawa
Shoh Nasu
Shigeru Kobori
(As of June 30, 2001)
Corporate Data
70
HEAD OFFICE
2-7, Motoakasaka 1-chome, Minato-ku,
Tokyo 107-8388, Japan
Tel: +81-3-3404-3311
Fax: +81-3-3470-1444, 1445
URL: http://www.kajima.co.jp/
NUMBER OF EMPLOYEES
11,670
TRANSFER AGENT
The Chuo Mitsui Trust & Banking Co., Ltd.
PAID-IN CAPITAL
¥64,071 million
INDEPENDENT AUDITORS
Deloitte Touche Tohmatsu
FOUNDED
1840
COMMON STOCK
Authorized: 1,920,000,000 shares
Issued: 961,312,022 shares
LISTINGS
Common stock is listed on the Tokyo, Osaka,
Nagoya, and London stock exchanges.
ESTABLISHED
1930
NUMBER OF STOCKHOLDERS
81,730
(As of March 31, 2001)
KAJIMA CORPORATION
ANNUAL REPORT 2001
2-7, Motoakasaka 1-chome,
Minato-ku, Tokyo 107-8388, Japan
TEL: +81-3-3404-3311
FAX: +81-3-3470-1444, 1445
URL: http://www.kajima.co.jp/
Printed in Japan

full Annual Report 2001

Transcription

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