2. QUALITATIVE INFORMATION RELATING TO CONSOLIDATED FINANCIAL STANDING Consolidated cash flows from operating activities for the six months ended September 30, 2009 were 1,242.5 billion yen (an increase of 153.3 billion yen (14.1%) in cash flows compared to the same period of the previous fiscal year). This was due, despite the decrease in net income for the quarter, to the effect of lower expenditures arising from a review of secondment policies compared to the same period of the previous fiscal year and a decrease in trade accounts receivable resulting from increased collection of installment loans for mobile handsets. Consolidated cash flows from investing activities showed outlays of 1,068.7 billion yen (a decrease of 81.3 billion yen (7.1%) compared to the same period of the previous fiscal year). This was due in part to the decrease in expenditures for capital investment, while gains from sales of real property, plant and equipment also fell. Consolidated cash flows from financing activities showed outlays of 275.7 billion yen (an increase of 113.6 billion yen (70.1%) compared to the same period of the previous fiscal year). This resulted from a relative decrease in expenditures associated with the buyback of treasury stocks compared to the same period of the previous fiscal year, although revenues from fund procurement decreased and expenditures for debt redemption increased. As a result of the above, NTT Group's consolidated cash and cash equivalents as of September 30, 2009 were 952.4 billion yen, a decrease of 100.3 billion yen (9.5%) from the end of the previous fiscal year. Copyright (c) 2009 Nippon telegraph and telephone corporation