Annual Financial Report

FIDELITY JAPANESE VALUES PLC                          

        ANNUAL FINANCIAL REPORT, PROXY FORM AND ADDITIONAL DISCLOSURES         

          TO THE PRELIMINARY RESULTS FOR THE YEAR TO 31 DECEMBER 2010          

Further to the voluntary disclosure of the Company's annual results for the
year ended 31 December 2010 by way of a preliminary announcement dated 18 March
2011, in accordance with the Disclosure and Transparency Rules ("the Rules")
4.1.3 and 6.3.5(2) this announcement contains the text of the preliminary
announcement dated 18 March 2011 together with the additional text in
compliance with the Rules.

The Company's annual report and financial statements for the year ended 31
December 2010 together with the accompanying proxy form have been submitted to
the UK Listing Authority, and will shortly be available for inspection on the
National Storage Mechanism (NSM):

www.hemscott.com/nsm.do

(Documents will usually be available for inspection within two business days of
this notice being given)

The annual report and financial statements will shortly be available on the
Company's website at www.fidelity.co.uk/static/pdf/common/investment-trusts/
japanese/annual-report10.pdf

Rebecca Burtonwood

FIL Investments International

Company Secretary

4 April 2011

01737 836 869

FIDELITY JAPANESE VALUES PLC

Preliminary Announcement of Results

For the year ended 31 December 2010

Chairman's Statement

For the year ended 31 December 2010

The Year's Results: NAV (undiluted) 68.44p (+12.88p; +23.2%)

The ordinary share price: 57.25p (+8.75p; +18.0%)

The subscription share price: 11.75p (+3.47p, +41.9%)

Discount: 16.4% (12.7% in 2009)

PERFORMANCE REVIEW

Over the year to 31 December 2010, your Company's net asset value increased
23.2%, outperforming the benchmark Index by 4.6 percentage points in sterling
terms.

The increase in value was primarily due to currency gains, as the yen
appreciated against sterling by 18.4% over the year. Stock selection, gearing
and the rise in the stockmarket also contributed to performance as detailed in
the attribution analysis below. The use of Contracts For Difference ("CFDs")
offered the most cost effective means of obtaining leverage in
prevailing market conditions.

Attribution Analysis

                                                                 Year ended
                                                                           
                                                           31 December 2010
                                                                           
                                                                    (pence)
                                                                           
NAV at 31 December 2009                                               55.56
                                                                           
Impact of the Index (in yen terms)                                     0.11
                                                                           
Impact of the Index Income (in yen terms)                              0.97
                                                                           
Impact of the Exchange Rate                                           10.50
                                                                           
Impact of Stock Selection                                              2.13
                                                                           
Impact of Gearing                                                      0.48
                                                                           
Impact of Charges                                                     -1.11
                                                                           
Cash/Residual                                                         -0.20
                                                                           
NAV at 31 December 2010                                               68.44

The Company's positive stock selection was largely attributable to holdings in
fast growing internet-related businesses and niche auto parts makers. A rapid
increase in demand for smartphones and tablet PCs created new business
opportunities for internet-based service providers. At the same time, signs of
a cyclical recovery buoyed investor confidence in automobiles and auto parts
makers. Despite a sharp appreciation of the yen, these companies were set to
report record profits thanks to growing demand from developing countries and
aggressive cost-cutting efforts.

As a result of the tragic events of the last week, referred to later in my
statement, our share price has inevitably fallen back.

MARKET REVIEW

After peaking in mid-April 2010, Japanese equities corrected sharply at the end
of August. Mounting concerns about rapid yen appreciation, the uncertain
outlook for the US economy and a lack of meaningful policy action by the
Japanese authorities depressed share prices and the Japanese market
significantly underperformed its global counterparts.

In the autumn, large scale currency intervention and additional monetary easing
by the Bank of Japan appeared to put a stop to this underperformance. However,
investor interest was short lived and share prices tailed off under pressure
from further yen appreciation.

It was the advent of further quantitative easing in the US in the first week of
November that proved to be the key turning point for the Japanese market.
Expectations of a brighter outlook for the US economy led to a reversal in the
yen and a subsequent rebound in share prices. Thereafter, comparatively stable
overseas economic data, robust interim earnings, the announcement by the
Japanese government of a 5% cut in the rate of corporation tax and an extended
tax break on securities investment contributed to a further upswing in share
prices.

Meanwhile, overseas investors, encouraged by the reversal in the yen, stepped
up their net purchases of Japanese stocks. December marked a fourth consecutive
month of net buying and total purchases for the year sharply exceeded the 2009
level.

Over the year, the performance of mid/small-cap stocks compared favourably with
that of larger companies. A recovery in corporate earnings became clear from
the middle of the 2009 fiscal year and smaller companies appeared undervalued.

GEARING

The Company gears through the use of CFDs. Total portfolio exposure was £80.14m
as at the year end, equating to gearing of 22.4%.

THE BOARD

Your Board continues to monitor corporate governance issues, reviewing and
updating processes as appropriate. In accordance with the Listing Rules, Simon
Fraser, following an evaluation of his performance by his fellow Directors and
on their recommendation, will seek re-election at the forthcoming Annual
General Meeting. Simon Fraser retired from his executive responsibilities at
Fidelity in 2008. He seeks re-election on an annual basis due to his recent
employment relationship with the Manager and his directorship of another
investment trust managed by Fidelity, namely Fidelity European Values PLC.

Having been on the Board for more than nine years, Nicholas Barber is subject
to re-election at the forthcoming Annual General Meeting. He has proved to be a
most diligent member of the Board and has discharged his duties as Senior
Independent Director conscientiously. The Board recommends to shareholders that
they vote in favour of the proposal.

I have also been on the Board for more than nine years and, following an
evaluation of my performance by my fellow Directors and on their
recommendation, I will seek re-election at the forthcoming Annual General
Meeting.

In accordance with the Company's Articles of Association, which require that a
Director retires by rotation at the third annual general meeting after his last
appointment, and following an evaluation of their performance by their fellow
Directors and on the other Directors' recommendation, Philip Kay and David
Miller will seek re-election at the forthcoming Annual General Meeting. They
both continue to provide an invaluable contribution to the direction of the
Company.

It is my intention to step down from the Board at the conclusion of the
business of the Annual General Meeting in 2012 and Nicholas Barber has
indicated his intention to retire later that year. In preparation for this, and
following a review of Board composition, we were pleased to welcome Sir Laurie
Magnus and David Robins to the Board on 1 October 2010 and 1 February 2011
respectively. Their experience in financial matters and investment trusts is
well suited to the Company's needs and their previous exposure to Asia and
Japan respectively is most pertinent.

Although the appointment of two new non-executive Directors leads to a
temporary increase in the size of the Board, it ensures sufficient scope for
succession planning. Having been appointed during the course of the year, both
will seek election to the Board at this year's Annual General Meeting and the
Board is happy to recommend the proposals. It is the Board's intention to
appoint Sir Laurie Magnus to the position of Audit Committee Chairman at the
conclusion of the business of the Annual General Meeting in 2011.

The Directors have a wide range of appropriate skills and experience to make up
a balanced Board for your Company.

I have, together with representatives of the Manager (including Shinji Higaki)
and the Company's broker, continued to hold meetings with shareholders during
the year.

SUBSCRIPTION SHARES

The rights attaching to a total of 107,067 subscription shares were exercised
during the year ended 31 December 2010, at which point the total number of
subscription shares in issue was 19,008,314. Since the year end the rights
attaching to a further 1,612,509 subscription shares have been exercised.
Further details on the subscription shares may be found in the Directors'
Report.

SHARE REPURCHASES

Purchases of ordinary and subscription shares for cancellation are made at the
discretion of your Board and within guidelines set from time to time by the
Board in the light of prevailing market conditions. Share repurchases will only
be made when they will result in an enhancement to the net asset value of
ordinary shares for the remaining shareholders. In recent years share
repurchases have been used sparingly due to their impact on liquidity and
gearing. Your Board continues to believe that the ability to repurchase shares
is a valuable tool and therefore a resolution to renew your Company's authority
to repurchase shares will be proposed at the forthcoming Annual General
Meeting.

ANNUAL GENERAL MEETING - 12 MAY 2011

The Annual General Meeting will be held at midday on 12 May 2011 at Fidelity's
offices at 25 Cannon Street in the City of London and all investors are
encouraged to attend. It is the one occasion in the year when shareholders can
meet the Directors and the Portfolio Manager. Following the meeting the
Portfolio Manager will give a presentation on the past year and the prospects
for the current year.

OUTLOOK

The horrific pictures that we have seen of the devastating effects of the
Sendai earthquake and subsequent tsunami confirm to us all that our thoughts
should be with the people of Japan. We are confident that their natural
resilience will prevail during these difficult times. Fortunately, Fidelity's
Tokyo office has not been directly impacted and the personnel are working to
ensure that a normal level of service is provided. Contingency plans are in
place if the situation should worsen in any way.

It is extremely difficult to write an outlook so close to the events. Although
it appears that most companies in our portfolio have little direct exposure to
the heavily affected region, the disruptions to infrastructure, transport and
power are of serious concern. In particular this applies to the nuclear
problems.

At the time of writing, the Bank of Japan has demonstrated its willingness to
support the Japanese economy by injecting liquidity into money markets and
increasing the size of its asset purchase programme. These moves have been
welcomed although concerns have been raised regarding the Japanese government's
increasing debt position.

The disaster came at a time when the outlook for Japan was starting to look
more positive, for the reasons set out in the Manager's Review in the Annual
Report. We hope that, despite the effects of the disaster, this improved state
of affairs will return soon. The Board considers that it is important to retain
perspective when considering the outlook and to maintain a long term view
supporting long term investment in Japan.

William Thomson

Chairman

18 March 2011

Manager's review

Please Note:

The Manager's Review reflects the position of the market and the portfolio
prior to the tragic events of the Sendai earthquake and subsequent tsunami. The
impact of this catastrophe on the market and the portfolio are referenced at
the end of the Manager's Outlook section below.

Following a market rally during the first four months of the year, the Japanese
market underwent a sharp correction, hitting year to date lows. A string of
weaker than expected economic indicators in the US and policy tightening in
China gave rise to doubts about the sustainability of the global recovery.
Furthermore, mounting concerns about sovereign credit risk in Europe and a
sharp upturn in the yen, which climbed to a 15 year high against the US dollar
and a 9 year high against the euro, exacerbated a flight from risk among
overseas investors. While the resignation of Prime Minister Yukio Hatoyama and
subsequent appointment of Naoto Kan did little to stir the stockmarket, reports
of further capital raising in the banking sector renewed concerns about equity
supply/demand.

Having underperformed the global equity market for nearly six months, the
Japanese equity market finally reversed its course in the first week of
November in response to the quantitative easing in the US. A reversal in the
yen was triggered and overseas investors stepped up their net purchases of
Japanese stocks. Relatively stable macroeconomic data in the US, Japanese
companies' robust interim earnings and domestic policy support measures further
fuelled a rally towards the end of the year.

Over the year, valuations of Japanese stocks remained at historically
attractive levels. In particular, valuations of mid/small cap stocks compared
favourably with large cap stocks, with many trading on single-digit earnings
multiples and/or below their book value and this contributed to outperformance.

At a sector level, the best performers over the year were commodity related.
Consumer lenders and leasing firms also performed well amid signs of an
earnings recovery. In contrast, equity financing depressed performance in the
mining sector and general market weakness hampered securities stocks.

PORTFOLIO REVIEW

The Company outperformed the Russell Nomura Mid/Small Cap Index (in Sterling
terms) for the second consecutive year.

We are pleased to report that many of the Company's top holdings, where the
Manager maintained strong convictions, performed well and contributed to
performance. A stock selection strategy with an emphasis on fast growing mid/
small cap internet-related businesses paid off. The leading contributor was M3,
which provides web-based two-way marketing/customer support services for
pharmaceutical companies and doctors. Its quarterly sales growth had been
stronger than forecast with a solid increase in average annual revenue per user
for the top ten clients. Its US operations have been gathering momentum with a
higher number of drugs marketed through the website and its launch in the UK
market is expected through the acquisition of a UK based healthcare research
firm, EMS Research. The second largest contributor was Kakaku.com which
operates a price comparison website. It continued to hit new highs as rising
demand for price comparison and restaurant search services highlighted its
growth potential. In addition, strong quarterly earnings growth and an increase
in dividends boosted investors' confidence in Bit-Isle, which operates internet
data centres.

Elsewhere, a holding in Asahi Diamond Industrial assisted performance. Its
share price rose on the expectation of the increased application of
electroplated diamond wire in the solar cell and LED markets.

Holdings in niche auto parts makers also added value. The strong share price
performance of Takata (seat belts and airbags), Sanden (compressors for air
conditioners) and Exedy (clutches) mirrored their solid quarterly earnings
growth driven by strong demand from emerging markets. Takata has a high global
market share and car sales in China and India have been growing rapidly. Until
recently, cars sold in these developing markets did not have to have safety
equipment such as seat belts and airbags. However, the introduction of more
stringent safety regulations is likely to increase demand for safety equipment
and Takata is well positioned to benefit from this trend. On the other hand,
the performance of Toyota Boshoku was disappointing, as concerns about
deteriorating profit margins weighed on its share price. Despite a near term
earnings slowdown, we believe Toyota Boshoku remains undervalued relative to
other auto parts makers. It is well positioned to benefit from a cyclical
recovery in global automobile production.

Another detractor was LEC, a producer of plastic goods, which sustained a
setback before rising towards the end of the review period. We maintained the
overweight position in LEC throughout the year as we believed that the market
underestimated its earnings growth potential. Furthermore Mixi, which runs
Japan's largest social networking site, suffered from a slowdown of advertising
sales growth which negatively affected investor sentiment. We sold out of the
position in Mixi as its valuations looked increasingly stretched.

Within the technology sector, relatively large overweight positions were built
in electronic component makers Megachips, Mitsumi Electric and Murata
Manufacturing. They offer a technological advantage in high end electronic
components required by smart phones and tablet PCs. The Manager also continued
to favour factory automation equipment makers including Sanyo Denki and Fanuc
that stand to benefit from Chinese companies' strong capital spending.

OUTLOOK

In recent months, we have started to see signs of a tentative improvement in
the outlook for global growth and some leading indicators are pointing towards
a reacceleration in the US economy. In particular, the US and China have shown
an increase in new orders. A combination of strong growth in China and a
rebound in the US should underpin a cyclical recovery in Japan, whereby a
pickup in export growth drives broader economic activity. Furthermore, it is
hoped that confidence will increase due to Japanese fiscal policy.

If the global economy continues to expand by 4% to 5%, as predicted by the IMF
in its latest World Economic Outlook report, then Japanese companies should be
able to deliver material recurring profit growth. In addition, the government's
recent proposal to cut the corporation tax rate by 5% should provide a further
boost. Looking ahead to 2012, if the US economy and dollar recover through 2011
there is a possibility that recurring profits will approach the record level
set in 2007.

Despite the recent turnaround in the Japanese market, valuations remain at
historically attractive levels.

As corporate balance sheets have improved significantly, there is also the
potential for companies to use their unprecedented levels of free cash flow to
enhance shareholder returns through dividend increases and share buybacks. A
combination of the record level of cash and the record low level of share price
valuations should create a favourable environment for corporate activity.

In the mid/small cap space, many stocks trade on single digit earnings
multiples and are returning to peak earnings. Furthermore, around 60% of mid/
small caps continue to trade below book value despite a clear improvement in
fundamentals. A substantial valuation gap with larger companies suggests the
potential for future outperformance.

The above comments reflected our view as of the end of February 2011. Since
then, to our horror, the unprecedented tragedy struck the north-eastern part of
Japan on Friday 11 March 2011. Thousands of lives were lost and many are still
missing. We would like to offer our deepest sympathy to all whose families have
been devastated by the events and who are enduring extreme hardship.

At this early stage, however, it is difficult to gauge the ultimate impact, as
news flow regarding the nuclear power plant crisis is continually evolving and
markets will remain sensitive to any negative developments. Furthermore, the
absence of a clear resolution to this disaster will hamper relief and
reconstruction efforts. Only once this process begins will we be able to gauge
the impact of the earthquake on Japan's economy and corporate earnings.

The tragic events triggered a wave of panic selling in the following days. As
the selling was indiscriminate, we believe that there are an increasing number
of opportunities in oversold names. Stepping away from the current situation,
we believe that the Company's portfolio is well positioned to capitalise on a
secular growth trend, particularly in internet-related services and factory
automation equipment.

FIL Investments International

18 March 2011

Principal Risks, Uncertainties and Risk Management

The Board confirms that there is an ongoing process for identifying, evaluating
and managing the principal risks faced by the Company. The Board, with the
assistance of the Manager, has developed a risk matrix which, as part of the
internal controls process, identifies the key risks that the Company faces. The
matrix has identified strategic, marketing, investment management, statutory
and administrative and operational and support function risks. The Board
reviews and agrees policies for managing these risks. The process is regularly
reviewed by the Board in accordance with the FRC's "Internal Control: Revised
Guidance for Directors on the Combined Code". Risks are identified, introduced
and graded. This process, together with the policies and procedures for the
mitigation of risks, is updated and reviewed regularly in the form of
comprehensive internal controls reports considered by the Audit Committee.

The Board also determines the nature and extent of any risks it is willing to
take in order to achieve its strategic objectives. The key risks identified
within this matrix are:

Market

The Company's assets consist mainly of listed securities and the principal
risks are therefore market related such as market recessions, interest rate
movements, deflation/inflation, terrorism and protectionism. Risks to which the
Company is exposed and which form part of the market risks category are
included in Note 17 to the financial statements together with summaries of the
policies for managing these risks. These comprise: market price risk (including
other price risk; interest rate risk and foreign currency risk); liquidity
risk; counterparty risk and credit risk.

The Company had no loan facilities in place during 2010. The extent to which
any loan facilities will be renewed will be kept under the most careful
scrutiny. In November 2009 shareholder authority was obtained to amend the
Company's investment policy to permit gearing by way of CFDs. In addition a day
to day overdraft facility can be used if required. The impact of limited
finance from counterparties including suppliers has not affected the Company to
date, however there are alternative suppliers available in the market place
should the need arise.

The Company relies on a number of main counterparties, namely the Manager,
Registrar and Custodian. The Manager is the member of a privately owned group
of companies on which a regular report is provided to the Board. The Manager,
Registrar and Custodian are subject to regular audits by Fidelity's internal
controls team and the counterparties' own internal controls reports are
received by the Board and any concerns investigated

Investment management

The Board relies on the Manager's skills and judgement to make investment
decisions based on research and analysis of individual stocks and sectors. The
Board reviews the performance of the asset value of the portfolio against the
Company's benchmark and competitors and the outlook for the market with the
Manager at each Board meeting. The emphasis is on long term investment
performance and the Board accepts that by targeting long term results the
Company risks volatility in the shorter term.

Share price

The Board is not able to control the prices at which the Company's ordinary and
subscription shares trade; they may not reflect the value of the underlying
investments. However, it can have a modest influence in the market by
maintaining the profile of the Company through an active marketing campaign
and, under certain circumstances, through repurchasing shares.

Currency

The Company's total return and balance sheet are affected by foreign exchange
movements because the Company has assets and income which are denominated in
yen whilst the Company's base currency is sterling. While it is the Company's
policy not to hedge currency, the fact that borrowings by way of CFDs are in
yen means that part of the investment portfolio funded by borrowing is
naturally hedged against changes in the yen:sterling exchange rate. Further
details can be found in Note 17 to the financial statements.

Governance/regulatory, financial, operational administration

While it is believed that the likelihood of poor governance, compliance and
operational administration by other third party service providers is low, the
financial consequences could be serious, including the associated reputational
damage to the Company. Your Board is responsible for the Company's system of
internal controls and for reviewing its effectiveness. Details of this process
are provided in the Corporate Governance Statement within this Annual Report.

Financial instrument risks

The financial instrument risks faced by the Company are shown in Note 17 to the
financial statements. The additional risk to the Company of using CFDs rather
than traditional forms of borrowing is that the Company does not own the
Japanese equities to which the CFDs give exposure and is at risk if the
counterparty defaults, for example for insolvency reasons. The balance on all
outstanding CFDs is calculated on a daily basis with collateral then adjusted
so that collateral equal to the outstanding balance has been recognised,
although no collateral adjustment is made where the balance is less than US$1
million. This results in a potential exposure which could be increased due to
settlement practices and timing differences, to a maximum of US$1 million plus
three days' unrealised trading profits.

Other risks

Other risks monitored on a regular basis include loan covenants in times when
the Company takes out loans, which are subject to daily monitoring, together
with the Company's cash position, and the continuation vote (at a time of poor
performance).

Related Parties

Simon Fraser was employed by Fidelity International until the end of December
2008. FIL Investments International is a member of the Fidelity International
group of companies. Since the year end, FIL Limited has exercised the rights
attaching to its entire holding of subscription shares in the Company and was
allotted 1,310,820 ordinary shares. As at the date of this report FIL Limited
has an interest in 8,224,920 ordinary shares in the Company (8.45%) on its own
account.

No Director is under a contract of service with the Company and no contracts
existed during or at the end of the financial period in which any Director was
materially interested and which was significant in relation to the Company's
business, except as disclosed in relation to Simon Fraser's interest in the
Management Agreement. There have been no other related party transactions
requiring disclosure under Financial Reporting Standard ("FRS") 8.

Statement of Directors' Responsibilities

The Directors are responsible for preparing the annual report and financial
statements in accordance with applicable law and regulations. Company law
requires the Directors to prepare financial statements for each financial
period. Under the law they have elected to prepare the financial statements in
accordance with UK Generally Accepted Accounting Practice.

The financial statements are required by law to give a true and fair view of
the state of affairs of the Company and of the profit or loss for the period.

In preparing these financial statements the Directors are required to:

• select suitable accounting policies and then apply them consistently;

• make judgements and estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards have been followed, subject
to any material departures disclosed and explained in the financial statements;
and

• prepare the financial statements on the going concern basis unless it is
inappropriate to presume that the Company will continue in business.

The Directors are responsible for ensuring that adequate accounting records are
kept which disclose with reasonable accuracy at any time the financial position
of the Company and to enable them to ensure that the financial statements
comply with the Companies Act 2006. They are also responsible for safeguarding
the assets of the Company and hence for taking reasonable steps for the
prevention and detection of fraud and other irregularities.

Under applicable law and regulations the Directors are also responsible for
preparing a Directors' Report, including a Business Review, a Directors'
Remuneration Report and a Corporate Governance Statement that comply with that
law and those regulations. The Directors are responsible for the maintenance
and integrity of the corporate and financial information included on the
Company's pages of the Manager's website. Visitors to the website need to be
aware that legislation in the United Kingdom governing the preparation and
dissemination of the financial statements may differ from legislation in their
own jurisdictions.

We confirm that to the best of our knowledge the financial statements, prepared
in accordance with the applicable set of accounting standards, give a true and
fair view of the assets, liabilities, financial position and profit or loss of
the Company; and the Directors' Report includes a fair review of the
development and performance of the business and the position of the Company
together with a description of the principal risks and uncertainties it faces.

Approved by the Board on 18 March 2011 and signed on its behalf.

William Thomson

Chairman

18 March 2011

Enquiries:

Chris Davies, FIL Investments International - 01737 837 723

Rebecca Burtonwood, FIL Investments International, Company Secretary - 01737
836 869

FIDELITY JAPANESE VALUES PLC

Income Statement

for the year ended 31 December 2010

                                       2010                       2009         
                                                                               
                           revenue  capital   total  revenue   capital    total
                                                                               
                             £'000    £'000   £'000    £'000     £'000    £'000
                                                                               
Gains/(losses) on                -   10,584  10,584        -     (668)    (668)
investments designated at                                                      
fair value through profit                                                      
or loss                                                                        
                                                                               
Net gains on derivative          -    1,562   1,562        -     1,694    1,694
instruments held at fair                                                       
value through profit or                                                        
loss                                                                           
                                                                               
Income                                                                         
                                                                               
- Overseas dividends           838        -     838      920         -      920
                                                                               
- Dividends on long            250        -     250        6         -        6
Contracts For Difference                                                       
                                                                               
Investment management fee    (760)        -   (760)    (682)         -    (682)
                                                                               
Other expenses               (458)        -   (458)    (639)         -    (639)
                                                                               
Exchange (losses)/gains       (24)      466     442        2   (1,419)  (1,417)
on other net assets                                                            
                                                                               
Exchange gains on loans          -        -       -        -     2,980    2,980
                                                                               
Net (loss)/return before     (154)   12,612  12,458    (393)     2,587    2,194
finance costs and                                                              
taxation                                                                       
                                                                               
Finance costs                 (75)        -    (75)    (239)         -    (239)
                                                                               
Net (loss)/return on         (229)   12,612  12,383    (632)     2,587    1,955
ordinary activities                                                            
before taxation                                                                
                                                                               
Taxation on (loss)/return     (58)        -    (58)     (64)         -     (64)
on ordinary activities *                                                       
                                                                               
Net (loss)/return on         (287)   12,612  12,325    (696)     2,587    1,891
ordinary activities after                                                      
taxation for the year                                                          
                                                                               
(Loss)/return per          (0.30p)   13.19p  12.89p  (0.73p)     2.71p    1.98p
ordinary share (1)                                                             

A Statement of Total Recognised Gains and Losses has not been prepared as there
are no gains and losses other than those reported in this Income Statement.

The total column of the Income Statement is the profit and loss account of the
Company. All revenue and capital items in the above statement derive from
continuing operations. No operations were acquired or discontinued in the year.

* This relates to overseas taxation only

FIDELITY JAPANESE VALUES PLC

Reconciliation of Movements in Shareholders' Funds

for the year ended 31 December2010

                      share    share    capital   other  capital  revenue  total
                             premium redemption reserve  reserve  reserve equity
                    capital  account    reserve                                 
                                                                                
                      £'000    £'000      £'000   £'000    £'000    £'000  £'000
                                                                                
Opening              23,894       44      2,437  58,911 (21,620) (12,453) 51,213
shareholders'                                                                   
funds:                                                                          
                                                                                
1 January 2009                                                                  
                                                                                
Net recognised            -        -          -       -    2,587        -  2,587
capital gains for                                                               
the year                                                                        
                                                                                
Bonus issue of          956        -          -   (956)        -        -      -
subscription shares                                                             
                                                                                
Net revenue loss          -        -          -       -        -    (696)  (696)
after taxation for                                                              
the year                                                                        
                                                                                
Closing              24,850       44      2,437  57,955 (19,033) (13,149) 53,104
shareholders'                                                                   
funds:                                                                          
                                                                                
31 December 2009                                                                
                                                                                
Net recognised            -        -          -       -   12,612        - 12,612
capital gains for                                                               
the year                                                                        
                                                                                
Exercise of rights      (5)        5          -       -        -        -      -
attached to                                                                     
subscription shares                                                             
and conversion into                                                             
ordinary shares                                                                 
                                                                                
Issue of ordinary        27       32          -       -        -        -     59
shares on exercise                                                              
of rights attached                                                              
to subscription                                                                 
shares                                                                          
                                                                                
Net revenue loss          -        -          -       -        -    (287)  (287)
after taxation for                                                              
the year                                                                        
                                                                                
Closing              24,872       81      2,437  57,955  (6,421) (13,436) 65,488
shareholders'                                                                   
funds:                                                                          
                                                                                
31 December 2010                                                                

FIDELITY JAPANESE VALUES PLC

Balance Sheet

as at 31 December 2010

                                                             2010          2009
                                                                               
                                                            £'000         £'000
                                                                               
Fixed assets                                                                   
                                                                               
Investments designed at fair value through profit          62,564        49,743
or loss                                                                        
                                                                               
Current assets                                                                 
                                                                               
Derivative assets held at fair value through                2,339         1,692
profit or loss                                                                 
                                                                               
Debtors                                                       191           926
                                                                               
Cash at bank                                                1,237         2,403
                                                                               
                                                            3,767         5,021
                                                                               
Creditors                                                                      
                                                                               
Derivative liabilities held at fair value through           (363)         (101)
profit or loss                                                                 
                                                                               
Other creditors                                             (480)       (1,559)
                                                                               
                                                            (843)       (1,660)
                                                                               
Net current assets                                          2,924         3,361
                                                                               
Total net assets                                           65,488        53,104
                                                                               
Capital and reserves                                                           
                                                                               
Share capital                                              24,872        24,850
                                                                               
Share premium account                                          81            44
                                                                               
Capital redemption reserve                                  2,437         2,437
                                                                               
Other reserve                                              57,955        57,955
                                                                               
Capital reserve                                           (6,421)      (19,033)
                                                                               
Revenue reserve                                          (13,436)      (13,149)
                                                                               
Total equity shareholders' funds                           65,488        53,104
                                                                               
Net asset value per ordinary share                                             
                                                                               
Basic                                                      68.44p        55.56p
                                                                               
Diluted                                                    66.21p        55.47p

FIDELITY JAPANESE VALUES PLC

Cash Flow Statement

for the year ended 31 December2010

                                                               2010        2009
                                                                               
                                                              £'000       £'000
                                                                               
Operating activities                                                           
                                                                               
Investment income received                                      780         906
                                                                               
CFD dividends received                                          238           -
                                                                               
Investment management fee paid                                (733)       (696)
                                                                               
Directors' fees paid                                          (104)        (94)
                                                                               
Other cash payments                                           (405)       (489)
                                                                               
Net cash outflow from operating activities                    (224)       (373)
                                                                               
Servicing of finance                                                           
                                                                               
Interest paid on CFDs and bank loans                           (80)       (273)
                                                                               
Net cash outflow from servicing of finance                     (80)       (273)
                                                                               
Financial investment                                                           
                                                                               
Purchase of investments                                    (76,205)    (90,680)
                                                                               
Disposal of investments                                      74,025     106,195
                                                                               
Net cash (outflow)/inflow from financial investment         (2,180)      15,515
                                                                               
Derivative activities                                                          
                                                                               
Proceeds of derivatives instruments                           1,176         103
                                                                               
Net cash inflow from derivative instruments                   1,176         103
                                                                               
Net cash (outflow)/inflow before financing                  (1,308)      14,972
                                                                               
Financing                                                                      
                                                                               
Exercise of rights attached to subscription shares               58           -
                                                                               
1.565% fixed rate unsecured loan repaid                           -     (9,475)
                                                                               
1.34% fixed rate unsecured loan repaid                            -    (11,497)
                                                                               
Cash collateral held with lender                                  -       7,045
                                                                               
Net cash inflow/(outflow) from financing                         58    (13,927)
                                                                               
(Decrease)/Increase in cash                                 (1,250)       1,045

 1. Basic (losses)/returns per ordinary share are based on the revenue loss on
    ordinary activities after taxation in the year of £287,000 (2009: £
    696,000), the capital return in the year of £12,612,000 (2009: £2,587,000)
    and the total return in the year of £12,325,000 (2009: £1,891,000) and on
    95,653,233 ordinary shares (2009: 95,577,453) being the weighted average
    number of ordinary shares in issue during the year.
   
There is no dilution (2009: none) of the (losses)/returns per ordinary share
because the average ordinary share price for the year was below the exercise
price of the subscription shares.

The above statements have been prepared on the basis of the accounting policies
as set out in the financial statements in the annual report to 31 December
2010. This preliminary statement, which has been agreed with the Auditor, was
approved by the Board on 18 March 2011. It is not the Company's statutory
financial statements.  The statutory financial statements for the financial
year ended 31 December 2009 have been delivered to the Registrar of Companies.
The statutory financial statements for the financial year ended 31 December
2010 have been approved and audited but have not yet been filed. The statutory
financial statements for the financial years ended 31 December 2009 and 31
December 2010 received unqualified audit reports, did not include a reference
to any matters to which the Auditor drew attention by way of emphasis without
qualifying the report and did not contain statements under section 498(2) and
(3) of the Companies Act 2006.

 
The annual report and financial statements will be posted to shareholders as
soon as is practicable and in any event no later than 7 April 2011.