News Release fzgr081107b

4. Others

(1)

Material changes during the quarter and the six-month period ended September 30, 2008 regarding consolidated subsidiaries (changes in specific subsidiaries in conjunction with changes in the scope of consolidation): None

(2)

Adoption of simplified accounting or exceptional accounting for the preparation of quarterly consolidated financial statements: None

(3)

Changes in accounting treatment principles, procedures and presentation in preparing quarterly consolidated financial statements

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Fair Value Measurements

Effective April 1, 2008, NTT Group adopted U.S. Statement of Financial Accounting Standards No. 157 ("SFAS 157"), "Fair Value Measurements." SFAS 157 defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. The definition of fair value retains the exchange price notion, and SFAS clarifies that the exchange price is the price in an orderly transaction between market participants to sell an asset or transfer a liability at the measurement date. SFAS 157 emphasizes that fair value is a market-based measurement and not an entity-specific measurement. It also establishes a fair value hierarchy used in fair value measurements and demands expanded disclosures of assets and liabilities measured at fair value. The adoption of SFAS 157 did not have a material impact on the results of operations or financial position of NTT Group.

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The Fair Value Measurement Option for Financial Assets and Financial Liabilities

Effective April 1, 2008, NTT Group adopted Statement of Financial Accounting Standards No. 159 ("SFAS 159"), "The Fair Value Measurement Option for Financial Assets and Financial Liabilities - Including an Amendment of SFAS Statement No. 115." SFAS 159 permits entities to choose to measure many financial instruments and certain other items at fair market value that are not currently required to be measured at fair market value. Subsequent changes in fair value for designated items will be required to be reported in earnings or losses in the current period. SFAS 159 also establishes disclosure requirements for similar types of assets and liabilities measured at fair value. NTT Group has not elected the fair value option upon adoption of SFAS 159 for the six months ended September 30, 2008.