1. BUSINESS RESULTS (3)  Basic Policy Concerning Profit Distribution; Dividends in the Current Term and Next Term In addition to increasing corporate value over the medium- and long-term, NTT has identified the return of profits to shareholders as an important management goal. In determining the level of dividends, NTT, while giving consideration to stability and sustainability, takes into account a full range of factors, including business performance, financial standing and dividend payout ratio. It is planned that dividends for the current annual period will be 110 yen per share, comprising a 55-yen end-of-term dividend and a 55-yen interim dividend*. For the next annual period, dividends are planned to be 120 yen for the full year. While maintaining a good financial standing, NTT intends to use internal funds for investments in new business opportunities and a capital policy to improve capital efficiency. * On January 4, 2009, NTT carried out a 100-for-1 stock split. The interim dividend shown is calculated under the assumption such stock split took place at the beginning of the fiscal year (April 1, 2008). Copyright (c) 2009 Nippon telegraph and telephone corporation