PRESS CONTACT:
Shigeyoshi Fujiwara
Corporate Communication,
Faith Inc.
ir@faith.co.jp
+81-3-5776-6255
 
Faith announces acquisition of business rights of Giga Networks,
a major ringtone site with 4 million subscribers,
for JPY 12 billion

- Services to be actively expanded in cooperation with the promising business partners -
 
Tokyo-April 3, 2006---Mobile Alliance Co., Ltd. (CEO: Keizo Odori/ Director of Faith, Inc.), (Mobile Alliance), a 100% subsidiary of Faith, Inc. (Faith) (TSE: 4295) concludes business transfer contract with San-ai Co.,Ltd., a 100% subsidiary of Ricoh Co., Ltd., as a result of which Faith acquires the business rights of Giga Networks (Giga), a mobile content delivery business.

As competition intensifies with the maturation of the mobile content market, companies must deal with important challenges, such as the need to establish an efficient management system for content delivery and to develop attractive content services.

Giga, which launched its mobile phone ringtone service in 1999, is currently a leading content service company with a total of 4 million subscribers and sales figures reaching JPY 6.5 billion in the last fiscal year.

Mobile Alliance seeks to develop attractive next-generation services characterized by high added value, in cooperation with mobile content providers and other powerful business partners of Faith, with which it seeks to establish strategic alliances. Furthermore, the company name is expected to change from Mobile Alliance to Giga Networks Inc. in April.
 
Outline of company from which business was acquired
  Name of company:
Representative:
Location:
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Business summary:
Fiscal year end:
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Shareholder:
San-ai Co., Ltd.
Sueo Baba, CEO
5-7-2 Ginza, Chuo-ku, Tokyo
August 31, 1948
Womenswear retail and content delivery services
August 31
76
4-33-10 Yoyogi, Shibuya-ku, Tokyo
JPY 4,653,500,000
78,890,000 shares
Ricoh Co., Ltd.; 100%
 
Subsidiary Outline
  Name of company:
Representative:
Location:
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Shareholder:
Mobile Alliance Co., Ltd.
Keizo Odori, CEO (Faith, Inc., Director)
566-1 Toraya-machi, Oikesagaru, Karasuma-dori, Nakagyo-ku, Kyoto
January 18, 2000
Content delivery services
March 31
4
Shiba-Matsura Bldg., 1-9-3 Shiba, Minato-ku, Tokyo (expected)
JPY 50 million
1,000 shares
Faith, Inc.; 100%
 
Outline of transferred business
  Transferred business:
Sales volume:
Operating profits:
Acquisition price:
Ringtone and other content distribution services for mobile phones
JPY 6.5 billion (for the term ending in August, 2005)
JPY 3.8 billion (for the term ending in August, 2005)
JPY 12 billion
 
Schedule
  Conclusion of business transfer contract:
Business transfer:
April 3, 2006
May 31, 2996
 
Influence of transfer on Faith and future outlook of consolidated results
  Data related to the expected influence of the acquisition on the business results for the fiscal year ending March 31, 2007 will be released upon confirmation of estimated figures.
 
About Giga
In addition to providing ringtone distribution services for mobile phones, Giga plans, develops and delivers entertainment content such as movie, music and concert information. gRingtone Gigah, which started in September 1999 as an imode menu site providing ringtone services, currently boasts a paid-membership of 4 million subscribers. For more information, visit http://www.giga.co.jp/
 
About Faith Inc.
Faith was the first company in the world to design and apply gring tonesh for mobile telephones and expanded its business activities not only within Japan, but also into 21 countries throughout the world including North America, Europe, the Asia-Pacific region and South America. Moreover, the company provides electronic money service used for settlement of accounts for on-line games, music distribution and e-commerce. In the United States, Faith also provides mobile telephone services (MVNO service) targeted towards a specific customer segment. In the future, Faith further aims to be a high added-value service company through the creation on a global scale of ga new scheme for the distribution of digital contentsh in various environments such as mobile telephones and PCs.
For more information, visit http://www.faith.co.jp/.
 
©2006 Faith, Inc, All Rights Reserved.