NISSIN FOODS HOLDINGS / Management Policy

(1) Basic Management Policy
   Under its founding philosophy of “People Can Only Be Content When There Is Enough Food,” Nissin has established a corporate philosophy of bringing enjoyment to people’s lives through the creation and development of new foods. As the company that invented instant noodles, Nissin will continue to develop products and technologies to offer satisfaction to all people in all countries and regions. Nissin contributes to people’s health with its customer-focused marketing policies. Moreover, Nissin works to maximize corporate value while building a solid management base to further strengthen brand strategies in a global competitive framework.

(2) Basic Policy for Allocating Earnings
   Nissin’s primary management task is to continue to provide stable dividends to shareholders by constantly working to strengthen its sales and earning capabilities to raise shareholder profits. Under its dividend policy, Nissin works to achieve a target payout ratio of 30 percent on a non-consolidated basis. Dividends for the fiscal year under review, the fiscal year ended March 31, 2009, totaled ¥50.00 per share, consisting of an interim dividend of ¥25.00 per share and a year-end dividend of ¥25.00 per share.
   In addition, Nissin strives to further expand corporate value through the priority allocation of retained earnings toward capital investment, research and development costs, and mergers and acquisitions in order to expand its operations globally from a long-term perspective, and to effectively manage surplus funds in consideration of risks, based on ensuring the safety of principal value.

(3) Views and Policy Regarding Reduction of Minimum Investment Unit
   Nissin manufactures and sells food products closely related to its customers’ lives, so it would like to create a closer presence among many individual investors. To raise the liquidity of its stock and expand its investor base, Nissin reduced the minimum trading unit of its stock from 1,000 to 100 in August 1999. In addition, Nissin executed a secondary market offering in February 2003 to increase the number of individual shareholders.

(4) Medium- to Long-Term Management Strategies
    Nissin has set the medium-term objective of raising its share of the domestic instant noodle market, its core business, to 50 percent on a sales value basis.
   The number of young people, the target population of our products, continues to shrink due to the declining birth rate and rapid aging of Japanese society. At the same time, consumers’ needs are diversifying even more, and Nissin will attempt to respond by developing high-value-added and healthy products.
   In this changing environment, Nissin will work to achieve efficient, value-added marketing, build greater brand value and expand its business by incorporating preferred consumer promotions such as the “Frequent Shoppers Program” (FSP) and “Target Marketing” to enhance its responsiveness to consumers.
   Overseas, Nissin will move forward with its global strategy of bringing happiness and great taste to people in every country and region as the pioneer in the field of instant noodles, a product created in Japan that has become an international food. At the same time, Nissin will promote the procurement of ingredients and materials on an international basis, using its overseas network to purchase higher-quality raw materials at lower prices.

(5) Company Initiatives
   As a manufacturer of food products, Nissin complies strictly and thoroughly with laws and regulations, and believes that its mission is to provide safe and reliable products to customers.
   As a quality control system, Nissin has established the Food Safety Research Institute as a specialized organization that carries out strict food safety inspections. Moreover, all of Nissin’s domestic company plants as well as the Food Safety Research Institute have obtained ISO 9001 certification of their quality assurance systems, and quality management systems based on ISO 9001 are being established at overseas plants.
   Nissin will consider the global environment in carrying out business activities that take into account the protection of the environment and the conservation of natural resources in co-existence with the natural environment. Nissin’s four company plants and the head offices in Tokyo and Osaka have obtained ISO 14001 certification, the international standard for environmental management. In addition, Nissin introduces and discloses the results of environmental accounting in order to quantitatively determine the costs of environmental protection.