NTT Holding Company ("NTT") believes it is critically important to serve the best interests of its shareholders over the long run. The NTT Group has been making a concerted effort to enhance the corporate value and return to shareholders. At the same time, the NTT Group has been striving to improve the transparency of management through fair disclosure and IR activity so that they are duly evaluated by the shareholders, investors and other stakeholders.

Since the privatization in 1985, shares held by the government have been sold to the public six times. As of the end of March 2005, the number of NTT shareholders was as many as some 1,350,000. The individuals have 20.3% of total NTT Shares, domestic financial institutions and business corporations have 16.3%, foreigners have 17.6%, and the government have 40.8%^*.

* 

NTT repurchased its own shares on September 6, 2005, and the government sold a portion of the NTT shares. As a result, the proportion of the NTT shares owned by the government decreased to 33.7% and the large stock "overhang" (stock that, if put on the market, could upset the supply-and-demand balance and put downward pressure on share prices) almost disappeared

NTT has adopted as its basic principle the payment of stable dividends with due regard to overall operating trends and financial situation while acting to secure necessary levels of internal reserves. Since FY 2004, NTT has increased the dividend per share from ¥5,000 to ¥6,000.

Annual Report 2005

IR Homepage

NTT has listed its share on several stock exchanges (Tokyo, Osaka, Nagoya, Fukuoka, Sapporo, New York and London), and has issued domestic and foreign bonds. Therefore, NTT considers it extremely important to establish and maintain relationships with its shareholders and investors on the domestic and foreign capital markets. In order to discharge its accountability as a business corporation and secure the transparency of management, NTT discloses information on a timely, proper and fair manner. To help the shareholders and investors to better understand its management strategy, NTT also stages IR activity positively. As a place for direct communications between the shareholders and top management of the company, NTT holds not only general shareholders' meetings but also various presentation meetings (IR road show, corporate strategy meeting, financial results presentation, presentation meeting for debt investors.)

NTT also strives to use the web site for fair disclosure to the shareholders, investors and other stakeholders. This web site provides material and streaming videos used for presentation at various meetings as well as earnings release and annual reports.