ORIX (IX) 20-F29 Jun 102010 FY Annual report (foreign)Financial data

Company Profile

Document and Entity Information

Document and Entity Information
	Mar. 31, 2010
Entity Common Stock, Shares Outstanding	110,229,948

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS
In Millions	Mar. 31, 2010 JPY (¥)		Mar. 31, 2010 USD ($)		Mar. 31, 2009 JPY (¥)
ASSETS
Cash and Cash Equivalents	639087		$6,869		459969
Restricted Cash	77,486		833		128,056
Time Deposits	548		6		680
Investment in Direct Financing Leases	756,481		8,131		914,444
Installment Loans	2,464,251		26,486		3,304,101
Allowance for Doubtful Receivables on Direct Financing Leases and Probable Loan Losses	(157,523)		(1,693)		(158,544)
Investment in Operating Leases	1,213,223		13,040		1,226,624
Investment in Securities	1,104,158		11,868		926,140
Other Operating Assets	186,396		2,003		189,560
Investment in Affiliates (The amount of yen 10,245 million of investment in affiliates at March 31, 2009 is measured at fair value by electing the fair value option under FASB Accounting Standards Codification 825-10.)	409,711		4,404		264,695
Other Receivables	210,521		2,263		228,581
Inventories	153,256		1,647		197,960
Prepaid Expenses	45,420		488		34,571
Office Facilities	96,831		1,041		86,945
Other Assets	539,954		5,802		565,954
Total Assets	7,739,800		83,188		8,369,736
Liabilities:
Short-Term Debt	573,565		6,165		798,167
Deposits	853,269		9,171		667,627
Trade Notes, Accounts Payable and Other Liabilities	311,113		3,344		370,310
Accrued Expenses	101,917		1,095		96,662
Policy Liabilities	409,957		4,406		442,884
Income Taxes:
Current	22,769		245		9,119
Deferred	160,905		1,729		151,239
Security Deposits	125,479		1,349		168,890
Long-Term Debt	3,836,270		41,233		4,453,845
Total Liabilities	6,395,244		68,737		7,158,743
Redeemable Noncontrolling Interests	28,095	[1]	302	[1]	25,396	[1]
Equity:
Common stock: Authorized 259,000,000 shares Issued 92,217,067 shares in 2009 and 110,229,948 shares in 2010	143,939		1,547		102,216
Additional paid-in capital	178,661		1,920		136,313
Retained earnings	1,104,779		11,874		1,071,919
Accumulated other comprehensive income (loss)	(79,459)		(854)		(92,384)
Treasury stock, at cost: 2,816,847 shares in 2009 and 2,745,701 shares in 2010	(49,236)		(529)		(50,534)
ORIX Corporation Shareholders' Equity	1,298,684		13,958		1,167,530
Noncontrolling interests	17,777	[1]	191	[1]	18,067	[1]
Total Equity	1,316,461		14,149		1,185,597
Total Liabilities and Equity	7739800		$83,188		8369736
[1]Pursuant to FASB Accounting Standards Codification 810-10-65-1 ("Consolidation-Noncontrolling Interests in Consolidated Financial Statements"), noncontrolling interests, except for redeemable noncontrolling interests, previously classified between liabilities and equity should now be classified as equity. Prior year amounts have been reclassified to conform to the current year presentation.

1_CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS (Parenthetical)
In Millions, except Share data	Mar. 31, 2010 USD ($)	Mar. 31, 2009 JPY (¥)	Mar. 31, 2009 USD ($)
Investment in Affiliates, at fair value by electing the fair value option under FASB Accounting Standards Codification 825-10		10245
Common stock, Authorized	259,000,000		259,000,000
Common stock, shares Issued	110,229,948		92,217,067
Treasury stock, shares	2,745,701		2,816,847

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME
In Millions, except Per Share data	12 Months Ended Mar. 31, 2010 JPY (¥) JPY / shares		12 Months Ended Mar. 31, 2010 USD ($) USD / shares		12 Months Ended Mar. 31, 2009 JPY (¥) JPY / shares		12 Months Ended Mar. 31, 2008 JPY (¥) JPY / shares
Revenues:
Direct financing leases	50115		$539		63349		78197
Operating leases	277,217		2,980		285,384		284,064
Interest on loans and investment securities	135,167		1,453		196,164		226,577
Brokerage commissions and net gains (losses) on investment securities	23,317		251		(12,330)		23,520
Life insurance premiums and related investment income	115,598		1,242		117,751		128,616
Real estate sales	40,669		437		71,088		88,445
Gains on sales of real estate under operating leases	6,841		74		24,346		16,756
Other operating revenues	283,917		3,050		307,769		289,163
Total revenues	932,841		10,026		1,053,521		1,135,338
Expenses:
Interest expense	82,503		887		102,522		105,254
Costs of operating leases	192,678		2,071		194,216		182,144
Life insurance costs	92,348		993		105,899		112,869
Costs of real estate sales	46,757		503		79,058		81,057
Other operating expenses	162,839	[1]	1,750	[1]	185,121	[1]	172,405	[1]
Selling, general and administrative expenses	223,061	[1]	2,397	[1]	235,328	[1]	252,885	[1]
Provision for doubtful receivables and probable loan losses	71,532		769		77,027		33,226
Write-downs of long-lived assets	6,977		75		3,673		1,741
Write-downs of securities	23,637		254		18,631		8,290
Foreign currency transaction loss (gain), net	938		9		(1,309)		(87)
Total expenses	903,270		9,708		1,000,166		949,784
Operating Income	29,571		318		53,355		185,554
Equity in net income (loss) of affiliates (excluding interest on loans)	8,550		92		(42,937)		48,343
Gains (losses) on Sales of Subsidiaries and Affiliates and Liquidation Losses, net	17,487		188		(1,731)		12,222
Income before Income Taxes, Discontinued Operations and Extraordinary Gain	55,608		598		8,687		246,119
Provision for Income Taxes	23,353		251		(2,675)		97,671
Income from Continuing Operations	32,255		347		11,362		148,448
Discontinued Operations:
Income from discontinued operations, net	13,438		144		21,231		40,062
Provision for income taxes	(4,756)		(51)		(8,796)		(15,944)
Discontinued operations, net of applicable tax effect	8,682	[2]	93	[2]	12,435	[2]	24,118	[2]
Income before Extraordinary Gain	40,937		440		23,797		172,566
Extraordinary Gain, net of applicable tax effect							933
Net Income	40,937		440		23,797		173,499
Net Income Attributable to the Noncontrolling Interests	704	[3]	8	[3]	1,175	[3]	1,952	[3]
Net Income Attributable to the Redeemable Noncontrolling Interests	2,476	[3]	26	[3]	698	[3]	1,950	[3]
Net Income Attributable to ORIX Corporation	37,757		406		21,924		169,597
Income attributable to ORIX Corporation:
Income from continuing operations	28,865		310		9,567		144,559
Discontinued operations	8,892		96		12,357		24,105
Extraordinary gain							933
Net Income Attributable to ORIX Corporation	37757		$406		21924		169597
Basic:
Income from continuing operations	2.8		3.04		1.1		15.9
Discontinued operations	87.26		0.94		1.4		2.6
Extraordinary gain							10.24
Net income attributable to ORIX Corporation	3.7		3.98		2.5		18.6
Diluted:
Income from continuing operations	2.4		2.62		1		15.5
Discontinued operations	71.91		0.77		1.3		2.6
Extraordinary gain							9.93
Net income attributable to ORIX Corporation	3.2		3.4		2.3		18.2
Cash Dividends	70		0.75		2.6		1.3
[1]Expenses directly related to operations in the Real Estate segment, which had been included in Selling, general and administrative expenses in the previous fiscal years, were reclassified into Other operating expenses from this fiscal year. These amounts in the previous fiscal year had been reclassified retrospectively.
[2]Pursuant to FASB Accounting Standards Codification 205-20 ("Presentation of Financial Statements-Discontinued Operations"), the results of operations which meet the criteria for discontinued operations are reported as a separate component of income, and those related amounts that had been previously reported are reclassified.
[3]Pursuant to FASB Accounting Standards Codification 810-10-65-1 ("Consolidation-Noncontrolling Interests in Consolidated Financial Statements"), presentation of consolidated statements of income is reclassified. This statement's presentation and disclosure requirements are to be applied retrospectively.

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
In Millions	12 Months Ended Mar. 31, 2010 JPY (¥) JPY / shares	12 Months Ended Mar. 31, 2010 USD ($) USD / shares	12 Months Ended Mar. 31, 2009 JPY (¥) JPY / shares	12 Months Ended Mar. 31, 2008 JPY (¥) JPY / shares
Net income	40937	$440	23797	173499
Other comprehensive income (loss), net of tax:
Net change of unrealized gains (losses) on investment in securities	13,499	145	(42,167)	(36,883)
Net change of defined benefit pension plans	7,125	77	(12,098)	(7,727)
Net change of foreign currency translation adjustments	(8,462)	(91)	(18,820)	(35,203)
Net change of unrealized gains (losses) on derivative instruments	(1,460)	(16)	(1,101)	1,069
Total other comprehensive income (loss)	10,702	115	(74,186)	(78,744)
Comprehensive Income (Loss)	51,639	555	(50,389)	94,755
Comprehensive Income (Loss) Attributable to the Noncontrolling Interests	(306)	(3)	1,159	2,057
Comprehensive Income (Loss) Attributable to the Redeemable Noncontrolling Interests	876	9	(383)	(2,351)
Comprehensive Income (Loss) Attributable to ORIX Corporation	51069	$549	-51165	95049

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
In Millions	Common Stock USD ($)	Additional Paid-in Capital JPY (¥)	Retained Earnings JPY (¥)	Accumulated Other Comprehensive Income (Loss) USD ($)	Treasury Stock USD ($)	Total ORIX Corporation Shareholders' Equity USD ($)	Noncontrolling Interests USD ($)	Total JPY (¥) JPY / shares
Beginning Balance at Mar. 31, 2007	$98,755	119402	924043	$55,253	($3,219)	$1,194,234	$14,485	1208719
Contribution to subsidiaries							8,494	8,494
Transaction with noncontrolling interests							(3,910)	(3,910)
Comprehensive income (loss), net of tax:
Net income			169,597			169,597	1,952	171,549
Other comprehensive income (loss)
Net change of unrealized gains (losses) on investment in securities				(36,708)		(36,708)		(36,708)
Net change of defined benefit pension plans				(7,727)		(7,727)		(7,727)
Net change of foreign currency translation adjustments				(31,182)		(31,182)	105	(31,077)
Net change of unrealized gains (losses) on derivative instruments				1,069		1,069		1,069
Total other comprehensive income (loss)						(74,548)	105	(74,443)
Total comprehensive income (loss)						95,049	2,057	97,106
Cash dividends			(11,863)			(11,863)	(3,897)	(15,760)
Conversion of convertible bond	2,361	1,848				4,209		4,209
Capital transactions of equity-method investee			1,641			1,641		1,641
Exercise of stock options	991	986				1,977		1,977
Compensation cost of stock options		2,150				2,150		2,150
Share swap merger		10,215				10,215		10,215
Acquisition of treasury stock					(30,749)	(30,749)		(30,749)
Disposal of treasury stock					190	190		190
Other, net		558	21		285	864		864
Ending Balance at Mar. 31, 2008	102,107	135,159	1,083,439	(19,295)	(33,493)	1,267,917	17,229	1,285,146
Contribution to subsidiaries							2,162	2,162
Transaction with noncontrolling interests							(1,426)	(1,426)
Comprehensive income (loss), net of tax:
Net income			21,924			21,924	1,175	23,099
Other comprehensive income (loss)
Net change of unrealized gains (losses) on investment in securities				(41,901)		(41,901)	(5)	(41,906)
Net change of defined benefit pension plans				(12,098)		(12,098)		(12,098)
Net change of foreign currency translation adjustments				(17,989)		(17,989)	(11)	(18,000)
Net change of unrealized gains (losses) on derivative instruments				(1,101)		(1,101)		(1,101)
Total other comprehensive income (loss)						(73,089)	(16)	(73,105)
Total comprehensive income (loss)						(51,165)	1,159	(50,006)
Cash dividends			(23,529)			(23,529)	(1,057)	(24,586)
Exercise of stock options	109	108				217		217
Compensation cost of stock options		1,370				1,370		1,370
Acquisition of treasury stock					(29,294)	(29,294)		(29,294)
Disposal of treasury stock		(533)	(9,915)		12,043	1,595		1,595
Other, net		209			210	419		419
Ending Balance at Mar. 31, 2009	102,216	136,313	1,071,919	(92,384)	(50,534)	1,167,530	18,067	1,185,597
Cumulative effect of applying accounting for "Contracts in entity's own equity"			1,758			19		1,758
Beginning Balance Restated	1,099	136,313	1,073,677	(993)	(543)	12,568	194	1,187,355
Issuance of common stock	448	41,347				892		83,024
Contribution to subsidiaries							27	2,473
Transaction with noncontrolling interests		(32)		(4)		(4)	0	(359)
Comprehensive income (loss), net of tax:
Net income			37,757			406	8	38,461
Other comprehensive income (loss)
Net change of unrealized gains (losses) on investment in securities				145		145	0	13,499
Net change of defined benefit pension plans				77		77	0	7,125
Net change of foreign currency translation adjustments				(63)		(63)	(11)	(6,862)
Net change of unrealized gains (losses) on derivative instruments				(16)		(16)	0	(1,460)
Total other comprehensive income (loss)						143	(11)	12,302
Total comprehensive income (loss)						549	(3)	50,763
Cash dividends			(6,261)			(67)	(27)	(8,778)
Conversion of convertible bond	0	7				0		14
Exercise of stock options	0	38				0		77
Compensation cost of stock options		611				7		611
Acquisition of treasury stock					0	0		(3)
Disposal of treasury stock			(531)		9	3		291
Other, net		377	137		5	10		993
Ending Balance at Mar. 31, 2010	$1,547	178661	1104779	($854)	($529)	$13,958	$191	1316461

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS
In Millions	12 Months Ended Mar. 31, 2010 JPY (¥) JPY / shares	12 Months Ended Mar. 31, 2010 USD ($) USD / shares	12 Months Ended Mar. 31, 2009 JPY (¥) JPY / shares	12 Months Ended Mar. 31, 2008 JPY (¥) JPY / shares
Cash Flows from Operating Activities:
Net income	40937	$440	23797	173499
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	167,266	1,798	189,215	168,767
Provision for doubtful receivables and probable loan losses	71,532	769	77,027	33,226
Decrease in policy liabilities	(32,927)	(354)	(43,495)	(5,567)
Deferred tax benefit	(27,814)	(299)	(43,583)	(10,472)
(Gains) losses from securitization transactions	(331)	(4)	233	(3,481)
Equity in net (income) loss of affiliates (excluding interest on loans)	(6,682)	(72)	42,937	(48,343)
(Gains) losses on sales of subsidiaries and affiliates and liquidation losses, net	(17,487)	(188)	1,731	(12,222)
Extraordinary Gain, net of applicable tax effect				(933)
Gains on sales of available-for-sale securities	(6,907)	(74)	(3,334)	(7,563)
Gains on sales of real estate under operating leases	(6,841)	(74)	(24,346)	(16,756)
Gains on sales of operating lease assets other than real estate	(7,552)	(81)	(11,426)	(15,217)
Write-downs of long-lived assets	6,977	75	3,673	1,741
Write-downs of securities	23,637	254	18,631	8,290
Decrease (increase) in restricted cash	4,520	49	23,661	(23,219)
Decrease (increase) in loans held for sale	1,052	11	8,740	(23,721)
Decrease (increase) in trading securities	(29,725)	(319)	20,048	3,275
Decrease (increase) in inventories	39,061	420	9,332	(19,606)
Decrease (increase) in other receivables	(518)	(6)	54,931	(53,975)
Increase (decrease) in trade notes, accounts payable and other liabilities	(35,011)	(376)	(36,185)	26,990
Other, net	26,124	281	(2,808)	(18,426)
Net cash provided by operating activities	209,311	2,250	308,779	156,287
Cash Flows from Investing Activities:
Purchases of lease equipment	(389,413)	(4,185)	(857,126)	(1,088,237)
Principal payments received under direct financing leases	352,316	3,787	431,984	546,964
Net proceeds from securitization of lease receivables, loan receivables and securities	28,305	304	30,859	174,922
Installment loans made to customers	(589,814)	(6,339)	(1,038,625)	(2,267,527)
Principal collected on installment loans	937,895	10,080	1,469,672	1,893,172
Proceeds from sales of operating lease assets	162,988	1,752	161,645	229,065
Investment in affiliates, net	(28,256)	(304)	(17,919)	(30,350)
Proceeds from sales of investment in affiliates	12,532	134	1,936	102,383
Purchases of available-for-sale securities	(456,364)	(4,905)	(301,030)	(595,445)
Proceeds from sales of available-for-sale securities	181,033	1,946	242,702	187,095
Proceeds from redemption of available-for-sale securities	162,292	1,744	128,669	127,084
Purchases of held-to-maturity securities	(43,748)	(470)
Purchases of other securities	(19,656)	(211)	(73,578)	(90,088)
Proceeds from sales of other securities	26,034	280	36,378	46,964
Purchases of other operating assets	(4,898)	(53)	(14,615)	(38,922)
Proceeds from sales of other operating assets	1,767	19	12,727	1,324
Acquisitions of subsidiaries, net of cash acquired	(10,218)	(110)	(752)	(15,220)
Sales of subsidiaries, net of cash disposed	123,613	1,329	28	3,948
Other, net	(13,620)	(146)	(41,772)	(25,463)
Net cash provided by (used in) investing activities	432,788	4,652	171,183	(838,331)
Cash Flows from Financing Activities:
Net decrease in debt with maturities of three months or less	(121,399)	(1,305)	(237,544)	(69,644)
Proceeds from debt with maturities longer than three months	1,083,310	11,643	2,091,575	2,777,541
Repayment of debt with maturities longer than three months	(1,678,649)	(18,042)	(2,343,124)	(1,920,865)
Net increase in deposits due to customers	185,076	1,989	196,973	24,695
Issuance of common stock	83,101	893	217	1,977
Dividends paid	(6,261)	(67)	(23,529)	(11,863)
Net increase (decrease) in call money	(13,400)	(144)	9,900	21,500
Acquisition of treasury stock	(3)	0	(29,294)	(30,749)
Other, net	1,301	14	239	374
Net cash provided by (used in) financing activities	(466,924)	(5,019)	(334,587)	792,966
Effect of Exchange Rate Changes on Cash and Cash Equivalents	3,943	42	(6,061)	(5,430)
Net Increase in Cash and Cash Equivalents	179,118	1,925	139,314	105,492
Cash and Cash Equivalents at Beginning of Year	4,944	4,944	320,655	215,163
Cash and Cash Equivalents at End of Year	639087	$6,869	4944	320655

Significant Accounting and Repo

Significant Accounting and Reporting Policies (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Significant Accounting and Reporting Policies	1. Significant Accounting and Reporting Policies In preparing the accompanying consolidated financial statements, ORIX Corporation (the Company) and its subsidiaries have complied with accounting principles generally accepted in the United States of America (US GAAP), modified for the accounting for stock splits (see (o)). Significant accounting and reporting policies are summarized as follows: (a) Basis of presenting financial statements The Company and its subsidiaries in Japan maintain their books in conformity with Japanese accounting practices, which differ in certain respects from US GAAP. The accompanying consolidated financial statements have been prepared in conformity with USGAAP and, therefore, reflect certain adjustments to these companys books and records. The principal adjustments relate to initial direct costs to originate leases and loans, use of the straight-line method of depreciation for operating lease equipment, deferral of life insurance policy acquisition costs, calculation of insurance policy liabilities, accounting for goodwill and intangible assets resulting from business combinations, accounting for pension plans, and a reflection of the income tax effect on such adjustments and reclassification of discontinued operations. (b) Principles of consolidation The consolidated financial statements include the accounts of the Company and all of its subsidiaries. Investments in affiliates, where the Company has the ability to exercise significant influence by way of 20%50% ownership or other means, are accounted for by using the equity method. For certain entities where the Company holds majority voting interests but minority shareholders have substantive participation rights to decisions that occur as part of the ordinary course of their business, the equity method is applied pursuant to FASB Accounting Standards Codification (ASC) 810-10-25-2 to 14 (ConsolidationThe effect of Noncontrolling Rights on Consolidation). In addition, the consolidated financial statements also include variable interest entities to which the Company and its subsidiaries are primary beneficiaries pursuant to ASC 810-10 (ConsolidationVariable Interest Entities). A lag period of up to three months is used on a consistent basis when considered necessary and appropriate for recognizing the results of subsidiaries and affiliates. All significant intercompany accounts and transactions have been eliminated in consolidation. (c) Use of estimates The preparation of the consolidated financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company has identified ten areas where it believes assumptions and estimates are particularly critical to the financial statements. These are the selection of valuation techniques and determination of assumptions used in fair value measurements (see Note 2), the determination

Fair Value Measurements

Fair Value Measurements (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Fair Value Measurements	2. Fair Value Measurements The Company and its subsidiaries adopted ASC 820-10 (Fair Value Measurements and Disclosures). This Codification Section defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. This Codification Section classifies and prioritizes inputs used in valuation techniques to measure fair value into the following three levels: Level 1Inputs of quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2Inputs other than quoted prices included within Level 1 that are observable for the assets or liabilities, either directly or indirectly. Level 3Unobservable inputs for the assets or liabilities. This Codification Section differentiates between those assets and liabilities required to be carried at fair value at every reporting period (recurring) and those assets and liabilities that are only required to be adjusted to fair value under certain circumstances (nonrecurring). The Company and its subsidiaries measure mainly cash equivalents, trading securities, available-for-sale securities, investment funds, certain investment in affiliates and derivatives at fair value on a recurring basis. However, for fiscal 2009, the Company and its subsidiaries adopted FSP No. FAS 157-2 (Effective Date of FASB Statement No.157). This Staff Position defers the effective date of FASB Statement No.157 which was replaced by ASC 820-10 (Fair Value Measurements and Disclosures) to fiscal years beginning after November15, 2008, and interim periods within those fiscal years for nonfinancial assets and liabilities, except for items that are recognized or disclosed at fair value in the financial statements on a recurring basis. From fiscal 2010, these nonfinancial assets and liabilities elected for the partial deferral of SFAS No.157 has been recognized or disclosed at fair value in the financial statements. The following table presents recorded amounts of major financial assets and liabilities measured at fair value on a recurring basis as of March31, 2009 and March31, 2010: March31, 2009 Millions of yen Total Carrying Value in Consolidated BalanceSheets QuotedPrices in Active Markets for IdenticalAssets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level3) Financial Assets: Cash equivalents 34,990 34,990 Trading securities 7,410 1,787 5,457 166 Available-for-sale securities 729,273 40,473 240,941 447,859 Japanese and foreign government bond securities 70,432 70,432 Japanese prefectural and foreign municipal bond securities 16,739 16,739 Corporate debt securities 150,982 140,806 10,176 Specified bonds issued by SPEs in Japan 300,765 300,765 CMBS and RMBS in the U.S., and other asset-backed securities 144,824 7,906 136,918 Equity securities 45,531 40,473 5,058

Acquisitions

Acquisitions (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Acquisitions	3. Acquisitions During fiscal 2008, the Company and its subsidiaries acquired entities for a total cost of 35,476million, which was paid in cash of 25,261million and the Companys common stocks of 10,215 million. In accordance with the finalization of purchase price allocation during fiscal 2009, the amount of goodwill was adjusted to 9,734million, which is not deductible for income tax calculation purposes and the amount of acquired intangible assets other than goodwill recognized in these transactions was adjusted to 3,996 million. Acquisitions were mainly included in the Real Estate segment. During fiscal 2009, the Company and its subsidiaries acquired entities for a total cost of 11,207million, which was mainly paid in cash. In accordance with the finalization of purchase price allocation during fiscal 2010, the amount of goodwill was adjusted to 3,466million, which is not deductible for income tax calculation purposes and the amount of acquired intangible assets other than goodwill recognized in these transactions was adjusted to 201 million. Acquisitions were mainly included in the Real Estate segment. During fiscal 2010, the Company and its subsidiaries acquired entities for a total cost of 12,142million ($131 million), which was paid in cash. Goodwill initially recognized in these transactions amounted to 1,786million ($19 million), which is not deductible for income tax calculation purposes. The Company reflected certain preliminary estimates with respect to the value of the underlying net assets of these entities in determining amounts of the goodwill. The amount of the goodwill and intangible assets other than goodwill could possibly be adjusted upon completion of the purchase price allocation. Acquisitions were mainly included in the Investment Banking segment. The segment in which goodwill is allocated is disclosed in Note 13 (Goodwill and Other Intangible Assets).

Cash Flow Information

Cash Flow Information (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Cash Flow Information	4. Cash Flow Information Cash payments during fiscal 2008, 2009 and 2010 are as follows: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Cash payments: Interest 113,941 111,435 84,259 $ 906 Income taxes 142,751 110,962 43,927 472 As non-cash investing activities, the Company and its subsidiaries assumed 19,957million, 38,120million and 27,688million ($298 million) of liabilities in connection with acquisitions in fiscal 2008, 2009 and 2010, respectively. In addition, the Companys common stocks of 10,215million and 1,673million were exchanged in connection with acquisitions in fiscal 2008 and 2009 respectively. Affiliates common stocks of 9,439million and 26,617million ($286 million) were exchanged in connection with a sale of subsidiary in fiscal2009 and 2010, respectively. In addition, the Company sold a portion of a subsidiarys ownership interest and the subsidiary became an equity-method affiliate after the sale. As a result, a loan of 95,547million ($1,027 million) provided to the former subsidiary became a loan to the affiliate, and with the equity investment in the affiliate of 25,828million ($278 million), the balance of investment in affiliates increased by a total of 121,375million ($1,305 million). The sale of the subsidiarys ownership interest is disclosed in Note 12, Investment in Affiliates. Moreover, 39,905million and 83,018million ($892 million) of real estate under operating leases were transferred from installment loans and investment in securities in fiscal 2009 and 2010, respectively, as a result of real estate collateral acquired from non-recourse loans in order to maximize collections. As non-cash financing activities, 4,209million of convertible bonds were converted to common stocks in fiscal 2008.

Investment in Direct Financing

Investment in Direct Financing Leases (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Investment in Direct Financing Leases	5. Investment in Direct Financing Leases Investment in direct financing leases at March31, 2009 and 2010 consists of the following: Millions of yen Millionsof U.S.dollars 2009 2010 2010 Minimum lease payments receivable 999,325 840,453 $ 9,033 Estimated residual value 54,292 46,460 499 Initial direct costs 9,544 7,848 84 Unearned lease income (148,717 ) (138,280 ) (1,485 ) 914,444 756,481 $ 8,131 Minimum lease payments receivable are due in periodic installments through fiscal 2039. At March31, 2010, the amounts due in each of the next five years and thereafter are as follows: Years ending March31, Millionsofyen Millionsof U.S.dollars 2011 309,435 $ 3,326 2012 192,250 2,066 2013 124,014 1,333 2014 65,225 701 2015 32,491 349 Thereafter 117,038 1,258 Total 840,453 $ 9,033 Gains and losses from the disposition of direct financing lease assets were not significant for fiscal 2008, 2009 and 2010.

Investment in Operating Leases

Investment in Operating Leases (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Investment in Operating Leases	6. Investment in Operating Leases Investment in operating leases at March31, 2009 and 2010 consists of the following: Millions of yen Millionsof U.S.dollars 2009 2010 2010 Transportation equipment 582,104 580,009 $ 6,234 Measuring and information-related equipment 178,062 170,047 1,828 Real estate 788,749 826,398 8,882 Other 19,867 19,267 207 1,568,782 1,595,721 17,151 Accumulated depreciation (358,616 ) (399,747 ) (4,296 ) Net 1,210,166 1,195,974 12,855 Accrued rental receivables 16,458 17,249 185 1,226,624 1,213,223 $ 13,040 Gains and losses from the disposition of real estate under operating leases are disclosed separately as gains on sales of real estate under operating leases or income from discontinued operations, net in the accompanying consolidated statements of income. For fiscal 2008, 2009 and 2010, gains on sales of operating lease assets other than real estate are 15,217million, 11,426million and 7,552million ($81 million), respectively, and are included in operating lease revenues. Costs of operating leases include depreciation and various expenses (insurance, property tax and other). Depreciation and various expenses for fiscal 2008, 2009 and 2010 are as follows: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Depreciation expenses 136,687 140,886 138,761 $ 1,491 Various expenses 45,457 53,330 53,917 580 182,144 194,216 192,678 $ 2,071 The operating lease contracts include non-cancelable lease terms ranging from one month to 20 years. The minimum future rentals on non-cancelable operating leases are as follows: Years ending March31, Millionsofyen Millionsof U.S.dollars 2011 133,726 $ 1,437 2012 85,346 917 2013 55,526 597 2014 30,687 330 2015 14,896 160 Thereafter 26,191 282 Total 346,372 $ 3,723

Installment Loans

Installment Loans (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Installment Loans	7. Installment Loans The composition of installment loans by domicile and type of borrower at March31, 2009 and 2010 is as follows: Millions of yen Millionsof U.S.dollars 2009 2010 2010 Borrowers in Japan: Consumer Housing loans 702,788 731,184 $ 7,859 Card loans 337,403 Other 45,081 13,663 147 1,085,272 744,847 8,006 Corporate Real estate companies 651,597 447,181 4,806 Commercial, industrial and other companies 1,097,086 904,729 9,724 1,748,683 1,351,910 14,530 Overseas corporate, industrial and other borrowers 321,162 244,521 2,628 Purchased loans* 148,984 122,973 1,322 3,304,101 2,464,251 $ 26,486 * Purchased loans represent loans with evidence of deterioration of credit quality since origination and for which it is probable at acquisition that collection of all contractually required payments from the debtor is unlikely and consist mainly of housing loans, loans to real estate companies and commercial, industrial and other companies in Japan. Generally, all installment loans, except card loans, are made under agreements which require the borrower to provide collateral or guarantors. At March31, 2010, the contractual maturities of installment loans except purchased loans for each of the next five years and thereafter are as follows: Years ending March31, Millionsofyen Millionsof U.S.dollars 2011 381,099 $ 4,096 2012 414,465 4,455 2013 382,505 4,111 2014 266,929 2,869 2015 205,144 2,205 Thereafter 691,136 7,428 Total 2,341,278 $ 25,164 Included in interest on loans and investment securities in the consolidated statements of income is interest income on loans of 204,137million, 172,406million and 114,731million ($1,233 million) for fiscal 2008, 2009 and 2010, respectively. Certain loans, which the Company has the intent and ability to sell or securitize to outside parties in the foreseeable future, are considered held-for-sale and are carried at the lower of cost or market value determined on an individual basis. These loans held for sale are included in installment loans and the outstanding balance of these loans as of March31, 2009 was 36,896million but there are no such loans as of March31, 2010, due to the sluggish securitization market under the continued stagnation of finance market. For loans with evidence of deterioration of credit quality since origination and for which it is probable at acquisition that collection of all contractually required payments from the debtors is unlikely, ASC 310-30 (ReceivablesLoans and Debt Securities Acquired with Deteriorated Credit Quality) requires that the investor recognize the excess of the loans cash flows expected at acquisition over the investors initial investment as interest income

Allowance for Doubtful Receivab

Allowance for Doubtful Receivables on Direct Financing Leases and Probable Loan Losses (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Allowance for Doubtful Receivables on Direct Financing Leases and Probable Loan Losses	8. Allowance for Doubtful Receivables on Direct Financing Leases and Probable Loan Losses Changes in the allowance for doubtful receivables on direct financing leases and probable loan losses for fiscal 2008, 2009 and 2010 are as follows: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Beginning balance 89,508 102,007 158,544 $ 1,704 Provisions charged to income 33,226 77,027 71,532 769 Charge-offs (20,310 ) (21,027 ) (60,412 ) (649 ) Recoveries 1,742 1,296 2,615 28 Other* (2,159 ) (759 ) (14,756 ) (159 ) Ending balance 102,007 158,544 157,523 $ 1,693 * Other includes foreign currency translation adjustments, amounts reclassified to discontinued operations and decrease in allowance related to sales of subsidiaries. The balance of the allowance broken down into investment in direct financing leases and installment loans at March31, 2009 and 2010 is as follows: Millions of yen Millionsof U.S.dollars 2009 2010 2010 Balance of allowance related to: Investment in direct financing leases 27,540 23,969 $ 258 Installment loans 131,004 133,554 1,435 Total 158,544 157,523 $ 1,693 Under ASC 310-10-35 (ReceivablesSubsequent Measurement) impaired loans shall be measured based on the present value of expected future cash flows discounted at the loans original effective interest rate. As a practical expedient, impairment is measured based on the loans observable market price or the fair value of the collateral if the loan is collateral dependent. Certain loans, such as large groups of smaller-balance homogeneous loans (these include individual housing loans which are not restructured) and lease receivables, are collectively evaluated for impairment. When the measure of the impaired loan is less than the recorded investment in the loan, the impairment is recorded through a valuation allowance. The Company and its subsidiaries consider that large balance non-homogeneous loans are impaired when principal or interest is past due 90 days or more, or earlier, if management determines that it is probable that the Company and its subsidiaries will be unable to collect all amounts due according to the contractual terms of these loans, and consider that smaller balance homogeneous loans, including housing loans and card loans are impaired when these terms of loans are modified in a troubled debt restructuring. The recorded investments in loans considered impaired are 449,705million and 348,143million ($3,742 million) as of March31, 2009 and 2010, respectively. Of these amounts, it was determined that a valuation allowance was required with respect to loans which had outstanding balances of 262,145million and 268,145million ($2,882 million) as of March31, 2009 and 2010, respectively. For such loans, the Company and its subsidiaries recorded

Investment in Securities

Investment in Securities (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Investment in Securities	9. Investment in Securities Investment in securities at March31, 2009 and 2010 consists of the following: Millions of yen Millionsof U.S.dollars 2009 2010 2010 Trading securities 7,410 49,596 $ 533 Available-for-sale securities 729,273 845,234 9,085 Held-to-maturity securities 43,732 470 Other securities 189,457 165,596 1,780 Total 926,140 1,104,158 $ 11,868 Gains and losses realized from the sale of trading securities and net unrealized holding gains (losses) on trading securities are included in net gains (losses) on investment securities, (see Note 22). For fiscal 2008, 2009 and 2010, net unrealized holding gains and losses on trading securities were losses of 5,264million, losses of 13,065million and gains of 7,211million ($78 million), respectively. During fiscal 2008 and 2009, the Company and its subsidiaries sold available-for-sale securities for aggregate proceeds of 198,584million and 242,702million, respectively, resulting in gross realized gains of 8,534million and 8,266million, respectively, and gross realized losses of 333million and 4,932million, respectively. During fiscal 2010, the Company and its subsidiaries sold available-for-sale securities for aggregate proceeds of 181,033million ($1,946 million), resulting in gross realized gains of 7,547million ($81 million) and gross realized losses of 640million ($7 million). The cost of the securities sold was based on the average cost of each such security held at the time of the sale. During fiscal 2008, 2009 and 2010, the Company and its subsidiaries charged losses on securities of 8,290million, 18,631 million and 23,637million ($254 million), respectively, to the accompanying consolidated statements of income for declines in market value of securities where the decline was considered as other than temporary. Other securities consist mainly of non-marketable equity securities, preferred capital shares carried at cost and investment funds carried at an amount that reflects equity income and loss based on the investors share. The aggregate carrying amount of other securities accounted for under the cost method totaled 98,498million and 72,347million ($778 million) at March31, 2009 and 2010. Investments with an aggregate cost of 94,643million and 62,208million ($669 million) were not evaluated for impairment because the Company and its subsidiaries did not identify any events or changes in circumstances that might have had significant adverse effect on the fair value of those investments and it was not practicable to estimate the fair value of the investments. The amortized cost basis amounts, gross unrealized holding gains, gross unrealized holding losses and fair values of available-for-sale securities and held-to-maturity securities in each major security type at March31, 2009 and 2010 are as follows: March31, 2009 Millions of yen Amortized cost Gross unrealized gains Gross unrealized losses Fair value Available-for-sale: Japane

Securitization Transactions

Securitization Transactions (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Securitization Transactions	10. Securitization Transactions The Company and its subsidiaries have securitized various financial assets such as direct financing lease receivables, installment loans (commercial mortgage loans, housing loans and other) and investment in securities. In the securitization process, these financial assets are transferred to various vehicles (the SPEs), such as trusts and special-purpose companies that issue beneficial interests of the securitization trusts and securities backed by the financial assets to investors. The cash flows collected from these assets transferred to the SPEs are then used to repay these asset-backed beneficial interests and securities. As the transferred assets are isolated from the Company and its subsidiaries, the investors and the SPEs have no recourse to other assets of the Company and its subsidiaries in cases where the debtors or the issuers of the transferred financial assets fail to perform under the original terms of those financial assets. The Company and its subsidiaries account for the transfer of the financial assets as a sale to the extent that consideration other than beneficial interests in the transferred financial assets is received in exchange when control over the financial assets is surrendered. In addition, the Company and its subsidiaries are not required to consolidate these SPEs if they are qualifying SPEs as defined in ASC 860 (Transfers and Servicing) or the Company and its subsidiaries are not primary beneficiaries of the SPEs pursuant to ASC 810-10 (ConsolidationVariable Interest Entities). The Company and its subsidiaries often retain interests in the SPEs in the form of the beneficial interest of the securitization trusts. Those interests that continue to be held include interests in the transferred assets and are often subordinate to other tranche(s) of the securitization. Those beneficial interests that continue to be held by the Company and its subsidiaries are subject to credit risk, interest rate risk and prepayment risk on the securitized financial assets. With regards to these subordinated interests that the Company and its subsidiaries retain, they are subordinated to the senior investments and are exposed to different credit and prepayment risks, since they first absorb the risk of the decline in the cash flows from the financial assets transferred to the SPEs for defaults and prepayment of the transferred assets. If there is any excess cash remaining in the SPEs after payment to investors in the securitization of the contractual rate of returns, most of such excess cash is distributed to the Company and its subsidiaries for payments of the subordinated interests. The Company and its subsidiaries periodically estimate the fair value of these interests that continue to be held and test whether the interests that continue to be held are recoverable. During fiscal 2008, 2009 and 2010, certain information with respect to these transactions accounted for as sales is as follows: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Direct financing leases: Balance sold 116,445 37,88

Variable Interest Entities

Variable Interest Entities (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Variable Interest Entities	11. Variable Interest Entities The Company and its subsidiaries use special purpose companies, partnerships and trusts (hereinafter referred to as SPEs) in the ordinary course of business. These SPEs are not always accompanied by and are not generally controlled by voting rights. ASC 810-10 (ConsolidationVariable Interest Entities) addresses consolidation by business enterprises of SPEs within the scope of the ASC Section. Generally these SPEs are entities where a) the total equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support provided by any parties including the equity holders or b) as a group the holders of the equity investment at risk do not have (1)the direct or indirect ability to make decisions about an entitys activities through voting rights or similar rights, or (2)the obligation to absorb the expected losses of the entity or (3)the right to receive the expected residual returns of the entity. There are certain exceptions to these general criteria. Entities within the scope of the ASC Section are called variable interest entities (VIEs). The variable interest holder who will absorb a majority of the expected losses or receive a majority of the expected residual returns or both is defined as the primary beneficiary of the entity. VIEs are consolidated by the primary beneficiary of the entity. All facts and circumstances are taken into consideration when determining whether the Company and its subsidiaries have variable interests that would deem it the primary beneficiary and, therefore, require consolidation of the related VIE or otherwise rise to the level where disclosure would provide useful information to the users of the Companys financial statements. In most of cases, it is qualitatively clear based on the extent of the involvements of the Company and its subsidiaries or seniority of its investments, whether the Company and its subsidiaries are the primary beneficiary or not. The Company and its subsidiaries generally consider the following types of involvement to be significant, when making such determination. designing the structuring of a transaction providing an equity investment and debt financing being the investment manager and receiving variable fees providing liquidity and other financial support Information about significant VIEs for the Company and its subsidiaries are as follows: (a) VIEs for liquidating customer assets The Company and its subsidiaries may use VIEs in structuring financing for customers to liquidate specific customer assets. The VIEs are typically used to provide a structure that is bankruptcy remote with respect to the customer and the use of VIEs structure is requested by such customer. Such VIEs typically acquire assets to be liquidated from the customer, borrow non-recourse loans from financial institutions and have an equity investment made by the customer. By using cash flows from the liquidated assets, these VIEs repay the loan and pay dividends to equity investors if sufficient funds exist. The Company and its subsidiaries pro

Investment in Affiliates

Investment in Affiliates (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Investment in Affiliates	12. Investment in Affiliates Investment in affiliates at March31, 2009 and 2010 consists of the following: Millions of yen Millionsof U.S.dollars 2009 2010 2010 Shares 260,155 293,488 $ 3,155 Loans 4,540 116,223 1,249 264,695 409,711 $ 4,404 Certain affiliates are listed on stock exchanges. The aggregate investment in and quoted market value of those affiliates amounted to 50,395million and 33,980million, respectively, as of March31, 2009 and 55,531 million ($597 million) and 69,071million ($742 million), respectively, as of March31, 2010. In fiscal 2008, 2009 and 2010, the Company and its subsidiaries received dividends from affiliates of 5,781million, 11,046million and 1,702million ($18 million), respectively. The balance of excess of cost over the underlying equity at acquisition dates of investment in affiliates amounted to 13,740million and 24,856million ($267 million) as of March31, 2009 and 2010, respectively. ORIX JREIT Inc. (ORIX JREIT), an equity method affiliate, entered into an asset management agreement with one of the Companys subsidiaries and paid 1,323million of management fees for fiscal 2008, 1,672million for fiscal 2009 and 1,572million ($17 million) for fiscal 2010, respectively. The Company and its subsidiaries sold office buildings under operating leases to ORIX JREIT and recognized 13,682million, 23,895million and 3,564million ($38 million) of gains on the sales, which were included in gains on sales of real estate under operating leases in the accompanying consolidated statements of income for fiscal 2008, 2009 and 2010, respectively. The related intercompany profits have been eliminated based on the Companys proportionate share. During fiscal 2008, upon completion of valuation of the assets and liabilities of affiliates that were acquired, it was determined that the fair value of the investees net assets exceeded the purchase price paid. This excess of fair value of the Companys proportionate interest in the net assets of the investee upon acquisition has been recorded first as a reduction of non-current assets of the investee with the excess reported as an extraordinary gain of 933million, net of tax of 646million, during fiscal 2008. During fiscal 2008, the Company and its subsidiaries acquired an additional interest in DAIKYO INCORPORATED (DAIKYO) in a share swap. DAIKYO acquired Fuso Lexel Incorporated (Fuso Lexel) through a share swap. As the Company and its subsidiaries had held shares of Fuso Lexel, the Company and subsidiaries acquired an additional interest in DAIKYO through this share swap. As a result of the transaction, the interest of the third parties increased, and the ownership interest of the Company and its subsidiaries in DAIKYO decreased from 43% to 41%. Because the issuance price per share issued by DAIKYO was more than the average carrying amount per share of the Company and its subsidiaries, the Company and its subsidiaries was required to adjust the carrying amounts of its investments in DAIKYO by 2,377million and recognized gains in earnings.

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Goodwill and Other Intangible Assets	13. Goodwill and Other Intangible Assets Changes in goodwill by reportable segment for fiscal 2008, 2009 and 2010 are as follows: Millions of yen Corporate Financial Services Maintenance Leasing RealEstate Investment Banking Retail Overseas Total Balance at March31, 2007 Goodwill 1,081 282 18,718 5,138 4,452 55,241 84,912 Accumulated impairment losses (656 ) (15 ) (274 ) (945 ) 425 282 18,718 5,123 4,452 54,967 83,967 Acquired 5,530 5,639 1,776 1,369 14,314 Impairment (955 ) (955 ) Other (net)* (52 ) (6,512 ) (450 ) (8,116 ) (15,130 ) Balance at March31, 2008 Goodwill 6,559 282 17,845 6,464 4,452 48,494 84,096 Accumulated impairment losses (656 ) (970 ) (274 ) (1,900 ) 5,903 282 17,845 5,494 4,452 48,220 82,196 Acquired 39 5,298 20 5,357 Impairment (1,698 ) (281 ) (1,979 ) Other (net)* (3,422 ) (3,913 ) 353 (1,348 ) (8,330 ) Balance at March31, 2009 Goodwill 3,176 282 19,230 6,822 4,452 46,872 80,834 Accumulated impairment losses (2,354 ) (1,236 ) (3,590 ) 822 282 19,230 5,586 4,452 46,872 77,244 Acquired 173 1,473 140 1,786 Impairment (749 ) (1,939 ) (2,688 ) Other (net)* 135 (2,167 ) (1,047 ) (2,189 ) (5,268 ) Balance at March31, 2010 Goodwill 3,484 282 18,536 5,047 4,452 44,683 76,484 Accumulated impairment losses (3,103 ) (2,307 ) (5,410 ) 381 282 18,536 2,740 4,452 44,683 71,074 Millions of U.S. dollars Corporate Financial Services Maintenance Leasing RealEstate Investment Banking Retail Overseas Total Balance at March31, 2009 Goodwill $ 34 $ 3 $ 207 $ 73 $ 48 $ 503 $ 868 Accumulated impairment losses (25 ) (13 ) (38 ) 9 3

Short-Term and Long-Term Debt

Short-Term and Long-Term Debt (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Short-Term and Long-Term Debt	14. Short-Term and Long-Term Debt Short-term debt consists of notes payable to banks, bank overdrafts, commercial paper and medium-term note program. The composition of short-term debt and the weighted average contract interest rate on short-term debt at March31, 2009 and 2010 are as follows: March31, 2009 Millionsofyen Weighted averagerate Short-term debt in Japan, mainly from banks 370,507 1.5 % Short-term debt outside Japan, mainly from banks 198,169 3.1 Commercial paper in Japan 225,846 1.2 Commercial paper outside Japan 145 2.5 Medium-term note program in Japan 3,500 1.2 798,167 1.8 March31, 2010 Millionsofyen Millionsof U.S.dollars Weighted averagerate Short-term debt in Japan, mainly from banks 158,469 $ 1,703 1.6 % Short-term debt outside Japan, mainly from banks 112,765 1,212 2.6 Commercial paper in Japan 282,781 3,039 0.3 Medium-term note program in Japan 19,550 211 1.7 573,565 $ 6,165 1.2 The composition of long-term debt, the weighted average contract interest rate on long-term debt and the repayment due dates at March31, 2009 and 2010 are as follows: March31, 2009 Due (FiscalYear) Millionsofyen Weighted averagerate Banks: Fixed rate 2010~2023 327,623 2.2 % Floating rate 2010~2020 1,621,558 1.3 Insurance companies and others: Fixed rate 2010~2018 440,001 1.6 Floating rate 2010~2021 286,947 1.2 Unsecured bonds 2010~2018 1,130,563 1.4 Unsecured convertible bonds with stock acquisition rights 2014 150,000 1.0 Unsecured bond with stock acquisition rights 2023 38,791 0.0 Unsecured notes under medium-term note program 2010~2018 99,393 1.6 Payables under securitized lease receivables 2010~2016 114,260 1.7 Payables under securitized loan receivables and investment in securities 2010~2025 244,709 1.5 4,453,845 1.4 March31, 2010 Due (FiscalYear) Millionsofyen Millionsof U.S.dollars Weighted averagerate Banks: Fixed rate 2011~2025 293,479 $ 3,154 2.6 % Floating rate 2011~2025 1,406,442 15,117 1.2 Insurance companies and others: Fixed rate 2011~2018 372,556 4,004 1.7 Floating rate 2011~2028 241,900 2,600 1.1 Unsecured bonds 2011~2019 1,028,994 11,060 1.8 Unsecured convertible bonds with stock acquisition rights 2014 149,987 1,612 1.0 Unsecured bond with stock acquisition rights 2023 36,378 391 0.0 Unsecured notes under medium-term note program 2011~2018 104,310 1,121 1.6 Payables under securitized lease receivables 2011~2016 101,860 1,095 1.8 Payables under securitized loan receivables and investment in securities 2011~2026 1

Deposits

Deposits (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Deposits	15. Deposits Deposits at March31, 2009 and 2010 consist of the following: Millions of yen Millionsof U.S.dollars 2009 2010 2010 Time deposits 638,591 788,525 $ 8,475 Other deposits 29,036 64,744 696 Total 667,627 853,269 $ 9,171 The balances of time deposits, including certificates of deposit, issued in amounts of 10million ($107 thousand) or more were 396,088million and 462,743million ($4,974 million) at March31, 2009 and 2010, respectively. The maturity schedule of time deposits at March31, 2010 is as follows: Years ending March31, Millionsofyen Millionsof U.S.dollars 2011 395,571 $ 4,252 2012 137,933 1,483 2013 120,959 1,300 2014 36,962 397 2015 97,100 1,043 Total 788,525 $ 8,475

Income Taxes

Income Taxes (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Income Taxes	16. Income Taxes Income before income taxes, discontinued operations and extraordinary gain, and the provision for income taxes in fiscal 2008, 2009 and 2010 are as follows: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Income before income taxes, discontinued operations and extraordinary gain: Japan 189,553 (16,027 ) 14,336 $ 154 Overseas 56,566 24,714 41,272 444 246,119 8,687 55,608 $ 598 Provision for income taxes: Current Japan 103,381 40,877 33,614 $ 361 Overseas 4,762 31 17,553 189 108,143 40,908 51,167 550 Deferred Japan (26,944 ) (51,951 ) (22,387 ) (241 ) Overseas 16,472 8,368 (5,427 ) (58 ) (10,472 ) (43,583 ) (27,814 ) (299 ) Provision for income taxes 97,671 (2,675 ) 23,353 $ 251 In fiscal 2008, 2009 and 2010, the Company and its subsidiaries in Japan are subject to a National Corporate tax of 30%, an Inhabitant tax of approximately 6% and a deductible Enterprise tax of approximately 8%, which in the aggregate result in a statutory income tax rate of 40.9%. Reconciliation of the differences between tax provision computed at the statutory rate and consolidated provisions for income taxes in fiscal 2008, 2009 and 2010 are as follows: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Income before income taxes, discontinued operations and extraordinary gain 246,119 8,687 55,608 $ 598 Tax provision computed at statutory rate 100,663 3,553 22,744 $ 244 Increases (reductions) in taxes due to: Change in valuation allowance 1,359 6,792 1,859 20 Non-deductible expenses for tax purposes 2,067 1,755 1,640 18 Effect of lower tax rates on foreign subsidiaries and a domestic life insurance subsidiary (1,480 ) (1,479 ) (3,699 ) (40 ) Effect of a revision of the taxation system (10,970 ) Other, net (4,938 ) (2,326 ) 809 9 Provision for income taxes 97,671 (2,675 ) 23,353 $ 251 The effective income tax rate is different from the statutory tax rate primarily because of certain non-deductible expenses for tax purposes, a change in valuation allowance and the effect of lower income tax rates on foreign subsidiaries and a domestic life insurance subsidiary. In March 2009, the Japanese tax code was revised to reduce the taxes on dividends of foreign

Pension Plans

Pension Plans (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Pension Plans	17. Pension Plans The Company and certain subsidiaries have contributory and non-contributory funded pension plans covering substantially all of their employees. Those contributory funded pension plans include defined benefit pension plans and defined contribution pension plans. Under the plans, employees are entitled to lump-sum payments at the time of termination of their employment or pension payments. Defined benefit pension plans consist of a plan of which the amounts of such payments are determined on the basis of length of service and remuneration at the time of termination and a cash balance plan. The Company and its subsidiaries funding policy is to contribute annually the amounts actuarially determined. Assets of the plans are invested primarily in interest-bearing securities and marketable equity securities. The funded status of the defined benefit pension plans, a substantial portion of which consists of domestic pension plans, as of March31, 2009 and 2010 is as follows: Millions of yen Millionsof U.S.dollars 2009 2010 2010 Change in benefit obligation: Benefit obligation at beginning of year 52,458 57,094 $ 615 Service cost 3,049 3,255 35 Interest cost 1,327 1,265 14 Plan amendments 210 2 Actuarial loss (gain) 2,071 (3,229 ) (35 ) Foreign currency exchange rate change (146 ) (144 ) (2 ) Benefits paid (1,683 ) (1,830 ) (20 ) Settlements (64 ) (1 ) Acquisition and other 18 (167 ) (2 ) Benefit obligation at end of year 57,094 56,390 606 Change in plan assets: Fair value of plan assets at beginning of year 84,792 74,111 796 Actual return on plan assets (15,035 ) 9,382 101 Employer contribution 5,961 4,291 46 Benefits paid (1,549 ) (1,713 ) (18 ) Foreign currency exchange rate change (58 ) (104 ) (1 ) Fair value of plan assets at end of year 74,111 85,967 924 The funded status of the plans 17,017 29,577 $ 318 Amount recognized in the consolidated balance sheets consists of: Prepaid benefit cost included in prepaid expenses 20,181 32,589 $ 350 Accrued benefit liability included in accrued expenses (3,164 ) (3,012 ) (32 ) Net amount recognized 17,017 29,577 $ 318 Amount recognized in accumulated other comprehensive income (loss), pre-tax, at March31, 2009 and 2010 consisted of: Millions of yen Millionsof U.S.dollars 2009 2010 2010 Net prior service credit 11,486 10,095 $ 109 Net actuarial loss (38,455 ) (25,010 ) (269 ) Net transition obligation (377 ) (381 ) (4 )

Redeemable Noncontrolling Inter

Redeemable Noncontrolling Interests (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Redeemable Noncontrolling Interests	18. Redeemable Noncontrolling Interests Changes in redeemable noncontrolling interests in fiscal 2008, 2009 and 2010 are as follows: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Beginning Balance 24,680 24,057 25,396 $ 273 Adjustment of Redeemable Noncontrolling Interests to Redemption Value (20 ) 23 (139 ) (1 ) Transaction with noncontrolling interests 1,748 1,699 1,962 21 Comprehensive income (loss) Net Income 1,950 698 2,476 26 Other comprehensive income (loss) Net change of unrealized gains (losses) on investment in securities (175 ) (261 ) Net change of foreign currency translation adjustments (4,126 ) (820 ) (1,600 ) (17 ) Total other comprehensive income (loss) (4,301 ) (1,081 ) (1,600 ) (17 ) Comprehensive income (loss) (2,351 ) (383 ) 876 9 Ending Balance 24,057 25,396 28,095 $ 302

Stock-Based Compensation

Stock-Based Compensation (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Stock-Based Compensation	19. Stock-Based Compensation The Company has a number of stock-based compensation plans as incentive plans for directors, executive officers, corporate auditors and selected employees. Stock-option program In fiscal 2001, the Company granted stock options to directors, executive officers and certain employees of the Company. The fiscal 2001 plan had a vesting period of three years and the exercise period is 10 years from the grant date. Under the plan, option holders have the right to purchase in the aggregate 316,700 treasury shares of the Company for options granted during fiscal 2001. In fiscal 2002, the Company granted another option plan with the vesting period of two years and the exercise period of 10 years from the grant date. Under this plan, the Company issued warrants to directors, executive officers and certain employees of the Company to purchase, in the aggregate, 300,900 shares of the Companys common stock at an exercise price. Since fiscal 2003, the Company has granted stock acquisition rights that have a vesting period between 1.67 and 1.92 years and an exercise period between 9.67 and 9.92 years. The acquisition rights were to purchase the Companys common stock at an exercise price and were distributed to directors, executive officers, corporate auditors and certain employees of the Company, subsidiaries and capital tie-up companies such as affiliated companies. A summary of information related to the Companys stock acquisition rights is as follows: YearsendedMarch31, Exercise period Numberofshares Initially granted Exercise price Yen U.S.dollars 2003 From June 27, 2004 to June 26, 2012 453,300 7,206 $ 77 2004 From June 26, 2005 to June 25, 2013 516,000 6,991 75 2005 From June 24, 2006 to June 23, 2014 528,900 11,720 126 2006 From June 22, 2007 to June 21, 2015 477,400 18,903 203 2007 From June 21, 2008 to June 20, 2016 194,200 29,611 318 2008 From July 5, 2009 to June 22, 2017 144,980 31,009 333 2009 From July 18, 2010 to June 24, 2018 147,900 16,888 182 For the stock-option programs, the exercise prices, which are determined by a formula linked to the price of the Companys common stock on the Tokyo Stock Exchange, are equal or greater than the fair market value of the Companys common stock at the grant dates. The following table summarizes information about the activity of these stock options for the year ended 2010: Number of shares Weightedaverage exercise price (*) Weightedaverage remaining contractual life Aggregateintrinsicvalue Yen U.S.dollar Years Millionsofyen Millionsof U.S.dollar Outstanding at beginning of the year 1,455,320 18,017 $ 193.65 Exercised (11,000 ) 7,089 76.19 Forfeited or expired (73,940 ) 15,107 162.37 Outstanding at end of year 1,370,380 18,261 196.27 4.94 $ Exercisable at end of year 1,224

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss) (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Accumulated Other Comprehensive Income (Loss)	20. Accumulated Other Comprehensive Income (Loss) Changes in each component of accumulated other comprehensive income (loss) attributable to ORIX Corporation in fiscal 2008, 2009 and 2010 are as follows. Comprehensive income (loss) and its components attributable to ORIX Corporation and noncontrolling interests have been reported, net of tax, in the consolidated statements of changes in equity, and information about comprehensive income (loss) and its components attributable to redeemable noncontrolling interests is provided in Note18 (Redeemable Noncontrolling Interests). Total comprehensive income (loss) and its components have been reported, net of tax, in the consolidated statements of comprehensive income. Millions of yen Netunrealized gains(losses) on investment in securities Defined benefit pension plans Foreign currency translation adjustments Netunrealized gains (losses) on derivative instruments Accumulated other comprehensive income (loss) Balance at March31, 2007 72,994 3,604 (22,620 ) 1,275 55,253 Net unrealized losses on investment in securities, net of tax of 23,159million (33,751 ) (33,751 ) Reclassification adjustment included in net income, net of tax of 1,506million (2,957 ) (2,957 ) Defined benefit pension plans, net of tax of 4,865million (7,032 ) (7,032 ) Reclassification adjustment included in net income, net of tax of 485million (695 ) (695 ) Foreign currency translation adjustments, net of tax of 9,101million (28,490 ) (28,490 ) Reclassification adjustment included in net income net of tax of 1,863million (2,692 ) (2,692 ) Net unrealized gains on derivative instruments, net of tax of (889)million 965 965 Reclassification adjustment included in net income, net of tax of (42)million 104 104 Change during year (36,708 ) (7,727 ) (31,182 ) 1,069 (74,548 ) Balance at March31, 2008 36,286 (4,123 ) (53,802 ) 2,344 (19,295 ) Net unrealized losses on investment in securities, net of tax of 30,939million (48,225 ) (48,225 ) Reclassification adjustment included in net income, net of tax of (3,406)million 6,324 6,324 Defined benefit pension plans, net of tax of 8,169million (11,804 ) (11,804 ) Reclassification adjustment included in net income, net of tax of 193million (294 ) (294 ) Foreign currency translation adjustments, net of tax of 2,309million (18,275 ) (18,275 ) Reclassification adjustment included in net income, net of tax of (198)million 286 286 Net unrealized losses on derivative instruments, net of tax of 274million

ORIX Corporation Shareholders'

ORIX Corporation Shareholders' Equity (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
ORIX Corporation Shareholders' Equity	21. ORIX Corporation Shareholders Equity Changes in the number of shares issued and outstanding in fiscal 2008, 2009 and 2010 are as follows: Number of shares 2008 2009 2010 Beginning balance 91,518,194 92,193,067 92,217,067 Issuance of common stock 18,000,000 Exercise of stock options 136,700 24,000 11,000 Conversion of convertible bonds 213,279 1,881 Share swap merger 324,894 Ending balance 92,193,067 92,217,067 110,229,948 The Japanese Companies Act (the Act), effective on May1, 2006, provides that an amount equivalent to 10% of any dividends resulting from appropriation of retained earnings be appropriated to the legal reserve until the aggregate amount of the additional paid-in capital and the legal reserve equals 25% of the issued capital. The Act also provides that both additional paid-in capital and the legal reserve are not available for dividends but may be capitalized or may be reduced by resolution of the general meeting of shareholders. However, by specifying in the Companys articles of incorporation, dividends can be declared by the Board of Directors instead of the general meeting of shareholders. In accordance with this, the Board of Directors of the Company resolved in May 2010 that a total of 8,061million ($87 million) dividends shall be distributed to the shareholders of record as of March31, 2010. The liability for declared dividends and related impact on total equity is accounted for in the period of such Board of Directors resolution. In fiscal 2009 after approving at the general meeting, the Company reclassified the legal reserve of 2,220million to retained earnings for the purpose of simplifying the presentation of total equity. The Act provides that at least one-half of amounts paid for new shares are included in common stock when they are issued. In conformity therewith, the Company has divided the principal amount of bonds converted into common stock and proceeds received from the issuance of common stock, including the exercise of warrants and stock acquisition rights, equally between common stock and additional paid-in capital, and set off expenses related to the issuance from the additional paid-in capital.On July21, 2009, the Company issued 18,000,000 shares of common stock primarily by way of a Japanese public offering and an international offering. As a result of those offerings, common stock and additional paid-in capital increased by 41,677million ($448million) and 41,347million ($444million), respectively. The amount available for dividends under the Act is calculated based on the amount recorded in the Companys non-consolidated financial statements prepared in accordance with accounting principles generally accepted in Japan. As a result, the amount available for dividends is 227,047million ($2,440 million) as of March31, 2010. Retained earnings at March31, 2010 include 13,804million ($148 million) relating to equity in undistributed earnings of the companies accounted for by the equity method. As of March31, 2010, the restricted net assets of certain subsidiarie

Brokerage Commissions and Net G

Brokerage Commissions and Net Gains on Investment Securities (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Brokerage Commissions and Net Gains on Investment Securities	22. Brokerage Commissions and Net Gains on Investment Securities Brokerage commissions and net gains (losses) on investment securities in fiscal 2008, 2009 and 2010 consist of the following: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Brokerage commissions 6,879 5,025 3,418 $ 37 Net gains (losses) on investment securities 13,300 (22,088 ) 14,826 159 Dividends income 3,341 4,733 5,073 55 23,520 (12,330 ) 23,317 $ 251 Trading activitiesNet gains (losses) on investment securities include net trading losses of 4,712million, net trading losses of 13,143million and net trading gains of 8,762million ($94 million) for fiscal 2008, 2009 and 2010, respectively. Net gains of 6,807million, net gains of 3,874million and net losses of 239million ($3 million) on derivative trading instruments are also included in net gains (losses) on investment securities for fiscal 2008, 2009 and 2010, respectively.

Life Insurance Operations

Life Insurance Operations (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Life Insurance Operations	23. Life Insurance Operations Life insurance premiums and related investment income in fiscal 2008, 2009 and 2010 consist of the following: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Life insurance premiums 120,527 115,214 104,133 $ 1,119 Life insurance related investment income 8,089 2,537 11,465 123 128,616 117,751 115,598 $ 1,242 The benefits and expenses of life insurance operations, included in life insurance costs in the consolidated statements of income, are recognized so as to associate with earned premiums over the life of contracts. This association is accomplished by means of the provision for future policy benefits and the deferral and subsequent amortization of policy acquisition costs (principally commissions and certain other expenses relating to policy issuance and underwriting). These policy acquisition costs are amortized over the respective policy periods in proportion to premium revenue recognized. Amortization charged to income for fiscal 2008, 2009 and 2010 amounted to 10,446million, 11,771million and 10,994million ($118 million), respectively.

Other Operations

Other Operations (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Other Operations	24. Other Operations Other operating revenues and other operating expenses in fiscal 2008, 2009 and 2010 consist of the following: Millions of yen Millionsof U.S.dollars Other operating revenues: 2008 2009 2010 2010 Revenues from integrated facilities management operations 35,418 35,391 9,075 $ 98 Revenues from the vehicle maintenance and management services 44,865 44,958 41,408 445 Revenues from commissions for MA advisory services, financing advice, financial restructuring advisory services and related services 53,302 45,894 54,996 591 Revenues from facilities management of golf courses 18,806 21,556 23,354 251 Other 136,772 159,970 155,084 1,665 289,163 307,769 283,917 $ 3,050 Millions of yen Millionsof U.S.dollars Other operating expenses: 2008 2009 2010 2010 Expenses from integrated facilities management operations 30,797 29,384 5,074 $ 55 Expenses from the vehicle maintenance and management services 36,524 38,129 34,837 374 Expenses from facilities management of golf course 15,672 18,033 19,793 213 Other 89,412 99,575 103,135 1,108 172,405 185,121 162,839 $ 1,750 Other items consist of revenues and expenses from hotels and training facilities, operating results from a real estate related business, commissions for the sale of insurance and other financial products, and revenues and expenses from other operations, of which there were no items exceeding 10% of total other operating revenues and expenses in fiscal 2008, 2009 and 2010, respectively. Gains and losses from the disposition of operating facilities included in other operating assets are not significant for fiscal 2008, 2009 and 2010.

Write-downs of Long-Lived Asset

Write-downs of Long-Lived Assets (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Write-downs of Long-Lived Assets	25. Write-downs of Long-Lived Assets In accordance with ASC 360-10 (Property, Plant, and EquipmentImpairment or Disposal of Long-Lived Assets), the Company and its subsidiaries perform tests for recoverability on assets for which events or changes in circumstances indicated that the assets might be impaired. The Company and its subsidiaries consider an assets carrying amount as not recoverable when such carrying amount exceeds the undiscounted future cash flows estimated to result from the use and eventual disposition of the asset. The net carrying amount of assets not recoverable is reduced to fair value if lower than the carrying amount. We determine fair value based on appraisals prepared by independent third party appraisers or our own staff of qualified appraisers, based on recent transactions involving sales of similar assets or other valuation techniques. During fiscal 2008, 2009 and 2010, the Company and certain subsidiaries recognized impairment losses for the difference between carrying amounts and fair values in the amount of 2,169million, 3,829million and 9,483million ($102 million), respectively, which are reflected as write-downs of long-lived assets and income from discontinued operations. Of these amounts, 1,741million, 3,673million and 6,977million ($75 million) are reflected as write-downs of long-lived assets in the accompanying consolidated statements of income for fiscal 2008, 2009 and 2010, respectively. Breakdowns of these amounts by segment are provided in Note32 (Segment Information). The details of significant write-downs are as follows. Office BuildingsThere was no impairment for the office buildings in fiscal 2008. During fiscal 2009, the Company and its subsidiaries recorded impairment losses of 3,590million on five office buildings. A breakdown is for two office buildings for which the carrying amount exceeded the estimated undiscounted future cash flows, and for the other three office buildings which were held for sale in fiscal 2008, the Company decided that it was impossible for the customer to buy them due to a difficult financial condition of the customer, and they were written down to fair value at the date of the decision to classify them as held and used during fiscal 2009. During fiscal 2010, the Company and its subsidiaries recorded impairment losses of 1,025million ($11 million) on four office buildings, mainly because the carrying amount exceeded the estimated undiscounted future cash flows. Condominiums There was no impairment for condominiums in fiscal 2008. During fiscal 2009 and 2010, write-downs of 156million for 25 condominiums and 2,451million ($26 million) for 43 condominiums were recorded respectively, primarily in connection to a change in status of these condominiums from held and used to held for sale. Commercial Facilities Other Than Office There was no impairment for commercial facilities other than office in fiscal 2008 and 2009. During fiscal 2010, impairment loss of 1,461million ($16 million) on four buildings was recorded mainly because the carrying amount exceeded the estimated undiscounted future cash flows. OthersDuring fiscal 2008, 2009 and 2010, th

Discontinued Operations

Discontinued Operations (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Discontinued Operations	26. Discontinued Operations ASC 205-20 (Presentation of Financial StatementsDiscontinued Operations) requires that the Company and its subsidiaries reclassify the operations sold or to be disposed of by sale without significant continuing involvement in the operations to discontinued operations. Under this Codification Section, the Company and its subsidiaries report the gains on sales and the results of these operations of subsidiaries, business units, and certain properties, which have been sold or are to be disposed of by sale, as income from discontinued operations in the accompanying consolidated statements of income. Revenues and expenses generated by the operations of such subsidiaries, business units and properties recognized in fiscal 2008 and 2009 have also been reclassified as income from discontinued operations in the accompanying consolidated statements of income. During fiscal 2009, the Company sold a subsidiary in Japan which operated a real-estate appraising business, and earned 2million of gain. During fiscal 2010, the Company completed the liquidation procedure for a subsidiary in Europe. A subsidiary sold its subsidiary which operated a spa in Japan, and the Company also sold a subsidiary which operated a real estate management and brokerage business in Japan. In addition, the Company recorded a gain in line with the dilution of the Companys ownership share resulting from the issuance of new shares of its subsidiary which operated amusement parks in Japan. As a result, the Company recognized 2,810million ($30 million) of aggregated gain during fiscal 2010. Furthermore, the Company and its subsidiary determined to terminate the Private Finance Initiative (PFI) contract for a hospital management business with one of its subsidiaries in Japan during fiscal 2010. The assets and liabilities of the subsidiary mainly include trade notes, accounts payable and other liabilities of 2,170million ($23 million), other receivables of 2,098million ($23 million), and cash and cash equivalents of 845million ($9 million) in the accompanying consolidated balance sheets at March31, 2010. The Company and its subsidiaries own various real estate properties, including commercial and office buildings, for rental operations. In fiscal 2008, 2009 and 2010, the Company and its subsidiaries recognized 42,148million, 19,651million and 11,246million ($121 million) of aggregated gains on sales of such real estate properties, respectively. In addition, the Company and its subsidiaries determined to dispose by sale of rental properties of 8,721million and 31,611million ($340 million) which are included in investment in operating leases at March31, 2009 and 2010, respectively. Discontinued operations in fiscal 2008, 2009 and 2010 consist of the following: Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Revenues 81,752 43,721 30,494 $ 328 Income from discontinued operations, net* 40,062 21,231 13,438 144 Provision for income taxes (15,944 ) (8,796 ) (4,756 ) (51 )

Per Share Data

Per Share Data (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Per Share Data	27. Per Share Data Reconciliation of the differences between basic and diluted earnings per share (EPS) in fiscal 2008, 2009 and 2010 is as follows: In fiscal 2008, the diluted EPS calculation excludes stock options for 336thousand shares, as they were antidilutive. In fiscal 2009, the diluted EPS calculation excludes convertible bond for 2,299thousand shares and stock options for 1,227thousand shares, as they were antidilutive. In fiscal 2010, the diluted EPS calculation excludes convertible bond for 2,475thousand shares and stock options for 1,411thousand shares, as they were antidilutive. Millions of yen Millionsof U.S.dollars 2008 2009 2010 2010 Income attributable to ORIX Corporation from continuing operations 144,559 9,567 28,865 $ 310 Effect of dilutive securities Expense related to convertible bond 1,232 392 1,305 14 Income from continuing operations for diluted EPS computation 145,791 9,959 30,170 $ 324 Thousands of shares 2008 2009 2010 Weighted-average shares 91,150 88,910 101,901 Effect of dilutive securities Conversion of convertible bond 2,379 6,472 21,664 Exercise of stock options 446 64 86 Weighted-average shares for diluted EPS computation 93,975 95,446 123,651 Yen U.S.dollars 2008 2009 2010 2010 Earnings per share for income attributable to ORIX Corporation from continuing operations: Basic 1,585.94 107.61 283.26 $ 3.04 Diluted 1,551.38 104.35 244.00 2.62

Derivative Financial Instrument

Derivative Financial Instruments and Hedging (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Derivative Financial Instruments and Hedging	28. Derivative Financial Instruments and Hedging Risk management policy The Company and its subsidiaries manage interest rate risk through asset liability management systems. The Company and its subsidiaries use derivative financial instruments to hedge interest rate risk and avoid changes in interest rates having a significant adverse effect. As a result of interest rate changes, the fair value and/or cash flow of interest sensitive assets and liabilities will fluctuate. However, such fluctuation will generally be offset by using derivative financial instruments as hedging instruments. Derivative financial instruments that the Company and its subsidiaries use as part of the interest risk management include interest rate swaps. The Company and its subsidiaries employ foreign currency borrowings, foreign exchange contracts, and foreign currency swap agreements to hedge risks that are associated with certain transactions and investments denominated in foreign currencies due to the potential for changes in exchange rates. Similarly, in general, overseas subsidiaries structure their liabilities to match the currency-denomination of assets in each region. By using derivative instruments, the Company and its subsidiaries are exposed to credit risk in the event of nonperformance by counterparties. The Company and its subsidiaries attempt to manage the credit risk by carefully evaluating the content of transactions and the quality of counterparties in advance and regularly monitoring regarding the amount of notional principal, fair value, type of transaction and other factors pertaining to each counterparty. (a) Cash flow hedges The Company and its subsidiaries designate interest rate swap agreements, foreign currency swap agreements and foreign exchange contracts as cash flow hedges for variability of cash flows originating from floating rate borrowings and forecasted transactions and for exchange fluctuations. The forecasted transactions related to the above-mentioned agreements and contracts as of March31, 2010 mature at various dates through 2012. Net gains (losses) before deducting applicable taxes on derivative contracts were reclassified from accumulated other comprehensive income (loss) into earnings when earnings were affected by the variability in cash flows of the designated hedged item. The amounts of these net gains (losses) after deducting applicable taxes were net losses of 104million, net gains of 157million and 824million ($9 million) during fiscal 2008, 2009 and 2010, respectively. Net losses of 4million and net gains of 3million, which represent the total ineffectiveness of cash flow hedges, were recorded in earnings for fiscal 2008 and 2009. No amount of these net gains (losses) was recorded in earnings for fiscal 2010. Approximately 116million ($1 million) of net derivative losses included in accumulated other comprehensive income (loss), net of applicable income taxes at March31, 2010 will be reclassified into earnings within fiscal 2011. (b) Fair value hedges The Company and its subsidiaries use financial instruments designated as fair value hedges to hedge their exposure to interest rate risk

Significant Concentrations of C

Significant Concentrations of Credit Risk (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Significant Concentrations of Credit Risk	29. Significant Concentrations of Credit Risk The Company and its subsidiaries have established various policies and procedures to manage credit exposure, including initial credit approval, credit limits, collateral and guarantee requirements, obtaining rights of offset and continuous oversight. The Company and its subsidiaries principal financial instrument portfolio consists of investment in direct financing leases which are secured by title to the leased assets and installment loans which are secured by assets specifically collateralized in relation to loan agreements. When deemed necessary, guarantees are also obtained. The value and adequacy of the collateral are continually monitored. Consequently, the risk of credit loss from counterparties failure to perform in connection with collateralized financing activities is believed to be minimal. The Company and its subsidiaries have access to collateral in case of bankruptcy and other losses. However, a significant decline in real estate markets could result in a decline in fair value of the collateral real estate below the mortgage setting amount, which would expose the Company and certain subsidiaries to unsecured credit risk. The Company and its subsidiaries make investment in securities for various purposes. The risk of incurring great loss during a certain period is believed to be minimal due to the diversification in the investment portfolio. However, various factors, including the issuers credit risk and market trends, would expose the Company and its subsidiaries to a risk of unexpected loss. At March31, 2009 and 2010, no concentration with a single obligor exceeded 1% of consolidated total assets. With respect to the Company and its subsidiaries credit exposures on a geographic basis, 5,340 billion, or 86%, at March31, 2009 and 4,809 billion ($51,692 million), or 85%, at March31, 2010 of the credit risks arising from all financial instruments are attributable to customers located in Japan. The largest concentration of credit risks outside of Japan is exposure attributable to obligors located in the United States of America. The gross amount of such exposure is 451 billion and 387 billion ($4,164 million) as of March31, 2009 and 2010, respectively. The Company and its subsidiaries run businesses such as development and rental of commercial real estate and office buildings, condominium development and sales, hotel, golf course, and training facility operation. Real estate in development and rental business is mainly recorded in investment in direct financing leases and operating leases. In connection with investment in direct financing leases and operating leases, the percentage of investment in real estate to consolidated total assets is 12.8% and 14.4% as of March31, 2009 and 2010, respectively.

Estimated Fair Value of Financi

Estimated Fair Value of Financial Instruments (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Estimated Fair Value of Financial Instruments	30. Estimated Fair Value of Financial Instruments The following information is provided to help readers gain an understanding of the relationship between amounts reported in the accompanying consolidated financial statements and the related market or fair value. The disclosures include financial instruments and derivatives financial instruments, except for investment in direct financing leases, investment in subsidiaries and affiliates, pension obligations and insurance contracts. March31, 2009 Millions of yen Carrying amount Estimated fair value Trading instruments Trading securities 7,410 7,410 Futures, Foreign exchange contracts: Assets 307 307 Liabilities 303 303 Credit derivatives held/written: Assets 322 322 Liabilities 218 218 Options held/written, Caps held: Assets 550 550 Liabilities 89 89 Non-trading instruments Assets: Cash and cash equivalents 459,969 459,969 Restricted cash 128,056 128,056 Time deposits 680 680 Installment loans (net of allowance for probable loan losses) 3,173,097 3,059,280 Investment in securities: Practicable to estimate fair value 729,273 729,273 Not practicable to estimate fair value 189,457 189,457 Liabilities: Short-term debt 798,167 798,167 Deposits 667,627 680,740 Long-term debt 4,453,845 4,233,800 Futures, Foreign exchange contracts: Assets 1,172 1,172 Liabilities 6,984 6,984 Foreign currency swap agreements: Assets 17,361 17,361 Liabilities 14,553 14,553 Interest rate swap agreements: Assets 88 88 Liabilities 4,852 4,852 March31, 2010 Millions of yen MillionsofU.S.dollars Carrying amount Estimated fair value Carrying amount Estimated fair value Trading instruments Trading securities 49,596 49,596 $ 533 $ 533 Futures, Foreign exchange contracts: Assets 1,198 1,198 13 13 Liabilities 766 766 8 8 Credit derivatives held/written: Assets 528 528 6 6 Liabilities 40 40 0 0 Options held/written, Caps held: Assets 555 555 6 6 Liabilities 189 189 2 2 Non-trading instruments Assets: Cash and cash equivalents 639,087 639,087 $ 6,869 $ 6,869 Restricted cash 77,486 77,486 833 833 Time deposits 548 548 6 6 Installment loans (net of allowance for probable loan losses) 2,330,697 2,318,466 25,050 24,919 Investment in securities: Practicable to estimate fair value 903,658 902,943 9,713 9,705 Not practicable to estimate fair value 150

Commitments, Guarantees and Con

Commitments, Guarantees and Contingent Liabilities (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Commitments, Guarantees and Contingent Liabilities	31. Commitments, Guarantees and Contingent Liabilities CommitmentsAs of March31, 2010, the Company and its subsidiaries have commitments for the purchase of equipment to be leased, having a cost of 8,308million ($89 million). The minimum future rentals on non-cancelable operating leases are as follows. Years ending March31, Millionsofyen Millionsof U.S.dollars 2011 3,870 $ 42 2012 3,064 33 2013 2,300 25 2014 1,848 20 2015 1,485 16 Thereafter 14,351 153 Total 26,918 $ 289 The Company and its subsidiaries lease office space under operating lease agreements, which are primarily cancelable, and made rental payments totaling 9,895million, 10,422million and 9,571million ($103 million) in fiscal 2008, 2009 and 2010, respectively. Certain computer systems of the Company and its subsidiaries have been operated and maintained under non-cancelable contracts with third-party service providers. For such services, the Company and its subsidiaries made payments totaling 2,673million, 985million and 1,029million ($11 million) in fiscal 2008, 2009 and 2010, respectively. The longest contract of them will mature in fiscal 2013. As of March31, 2010, the amounts due are as follows: Years ending March31, Millionsofyen Millionsof U.S.dollars 2011 718 $ 8 2012 310 3 2013 60 1 Total 1,088 $ 12 The Company and its subsidiaries have commitments to fund estimated construction costs to complete ongoing real estate development projects and other commitments, amounting in total to 159,812million ($1,718million) as of March31, 2010. The Company and its subsidiaries have agreements to commit to execute loans for consumers, and to invest in funds, as long as the agreed-upon terms are met. As of March31, 2010, the total unused credit and capital amount available is 88,548million ($952 million). GuaranteesThe Company and its subsidiaries apply ASC 460-10 (Guarantees), and at the inception of a guarantee recognize a liability in the consolidated balance sheets for the fair value of the guarantee within the scope of ASC 460-10. The following table represents the summary of potential future payments and book value recorded as guarantee liabilities of the guarantee contracts outstanding as of March31, 2009 and 2010: Millions of yen Millions of U.S. dollars 2009 2010 2010 Guarantees Potential future payment Bookvalueof guarantee liabilities Potential future payment Bookvalueof guarantee liabilities Potential future payment Bookvalueof guarantee liabilities Housing loans 21,834 3,148 18,798 2,644 $ 202 $ 28 Consumer loans 35,701 2,818 Corporate loans 258,589 7,131 321,448 2,986 3,455 33 Other 264 2 3 1 0 0 Total 316,388 13,099 340,249 5,631 $ 3,657 $ 61

Segment Information

Segment Information (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Segment Information	32. Segment Information Financial information about operating segments reported below is information that is separately available and evaluated regularly by the management in deciding how to allocate resources and in assessing performance. An overview of operations for each of the six segments follows below. CorporateFinancialServices : Lending, leasing, commission business for the sale of financial products, and environment-related business MaintenanceLeasing : Automobile leasing and rentals, car sharing, and precision measuring equipment and IT-related equipment rentals and leasing Real Estate : Development and rentals of commercial real estate, condominium development and sales, hotel, golf course, and training facility operation, senior housing development and management, REIT asset management, and real estate investment and advisory services Investment Banking : Real estate finance, commercial real estate asset securitization, loan servicing (asset recovery), principal investment, MA advisory, venture capital and securities brokerage Retail : Life insurance, trust and banking services, card loan business and online securities brokerage operated by affiliates Overseas Business : Leasing, lending, investment in bonds, investment banking, real estate-related operations, and ship- and aircraft-related operations Financial information of the segments for fiscal 2008, 2009 and 2010 is as follows: Millions of yen Year ended March31, 2008 Corporate Financial Services Maintenance Leasing Real Estate Investment Banking Retail Overseas Business Total Revenues 139,874 236,411 288,795 127,199 198,858 218,227 1,209,364 Interest revenue 58,409 3 2,306 61,386 60,078 46,058 228,240 Interest expense 24,819 6,779 10,993 16,736 10,690 38,190 108,207 Depreciation and amortization 19,534 89,623 13,140 6,554 2,342 41,546 172,739 Other significant non-cash items: Provision for doubtful receivables and probable loan losses 14,672 504 61 2,609 9,768 5,612 33,226 Write-downs of long-lived assets 6 1,736 (1 ) 1,741 Decrease in policy liabilities 5,567 5,567 Equity in net income (loss) of affiliates and gains (losses) on sales of subsidiaries and affiliates and liquidation losses, net (608 ) 61 20,305 16,881 (135 ) 22,131 58,635 Discontinued operations (102 ) 40,904 (5,257 ) 4,517 40,062 Segment profits 35,412 37,235 83,065 47,483 27,463 57,862 288,520 Segment assets 1,993,390 649,814 1,077,560 1,698,452 1,450,241 1,037,311 7,906,768 Long-lived assets 38,959 304,427 743,052 80,834 178,434 1,345,706 Expenditures for lon

Subsequent Events

Subsequent Events (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Subsequent Events	33. Subsequent Events There are no applicable subsequent events.

Schedule II.-Valuation and Qual

Schedule II.-Valuation and Qualifying Accounts and Reserves (Additional Paid-in Capital)
	12 Months Ended Mar. 31, 2010
Schedule II.-Valuation and Qualifying Accounts and Reserves	Schedule II.Valuation and Qualifying Accounts and Reserves ORIX Corporation and Subsidiaries For the year ended March31, 2008 Millions of yen Description Balanceat beginning of period Acquisitions Addition: Chargedto costs and expenses Deduction Translation adjustment Balanceat endofperiod Restructuring cost: Closed office lease obligations 664 1 (82 ) (83 ) 500 Disposal of equipment Severance and other benefits to terminatedemployees 66 (39 ) (3 ) 24 Other costs 6 (1 ) 5 Total 664 73 (121 ) (87 ) 529 Deferred Tax Assets: Valuation Allowance* 23,233 16,393 5,279 (2,753 ) (587 ) 41,565 For the year ended March31, 2009 Millions of yen Description Balanceat beginning of period Acquisitions Addition: Chargedto costsand expenses Deduction Translation adjustment Balanceat endofperiod Restructuring cost: Closed office lease obligations 500 202 (472 ) (82 ) 148 Disposal of equipment 28 (28 ) Severance and other benefits to terminatedemployees 24 20 (44 ) Other costs 5 (4 ) (1 ) Total 529 250 (548 ) (83 ) 148 Deferred Tax Assets: Valuation Allowance* 41,565 1,351 7,743 (5,059 ) (965 ) 44,635 For the year ended March31, 2010 Millions of yen Description Balanceat beginning of period Acquisitions Addition: Chargedto costsand expenses Deduction Translation adjustment Balanceat endofperiod Restructuring cost: Closed office lease obligations 148 9 (85 ) 25 97 Disposal of equipment 3 (3 ) Severance and other benefits to terminatedemployees 16 16 Other costs Total 148 28 (88 ) 25 113 Deferred Tax Assets: Valuation Allowance* 44,635 100 3,501 (5,448 ) 58 42,846 * The amount of deduction includes reductions of goodwill, expiry of loss carryforwards and sales of subsidiary.