Revision of forecast

Maruwa Co Ld
07 February 2005


                                                                                           7 February 2005
MARUWA CO., LTD.
3-83 Minamihonjigahara-cho, Owariasahi-city, Aichi-pref., 488-0044 JAPAN

                                                (Translation)

                 Notice regarding the revision of operating results forecast for fiscal 2005

MARUWA CO., LTD. ('MARUWA') announced that the operating results forecast for fiscal 2005 (1 April 2004 - 31
March 2005) announced on 5 November 2004 with the interim results were revised as follows;

1. Consolidated operating results
                                                                Net sales          Net income
    Previously announced forecast (A)       JPY million                 15,700                870
    Revised forecast (B)                    JPY million                 15,700              1,200
    Change (B - A)                          JPY million                      0                330
    Change rate                                  %                         0.0               37.9
    Fiscal 2004 ended 31 March 2004         JPY million                 12,003                475

2. Non-consolidated operating results
                                                                Net sales          Net income
    Previously announced forecast (A)       JPY million                 11,590                310
    Revised forecast (B)                    JPY million                 12,600                810
    Change (B - A)                          JPY million                  1,010                500
    Change rate                                  %                         8.7              161.3
    Fiscal 2004 ended 31 March 2004         JPY million                  9,390                324

3. Reasons for revision

  According to the outlook for the second half when the interim results was announced, a profit level was
likely to drop since the passive components market turned into an adjustment period, and the
semiconductor-equipment market was forecasted to slow down.

  MARUWA successfully made profits with the products, which had heavily cost for development while we
enhanced to build up a flexible production system, focusing on the reduction of in-process inventories
totally at MARUWA through the first half of the year.  Thanks to those efforts beginning to bear a fruit in
the second half which covered a decrease of profits due to slumping demands, we expect to post a profit
larger than the previous outlook.  EMC Components particularly realized high profitability due to a large cut
of inventories.  Our quartz glass business of Machinery Ceramics division also contributed to earning profits
due both to effective restructuring and positive approach to the markets even though we took into account
restructuring expenses after M&A.

  Also, the merger of a consolidated subsidiary dated on 1 January 2005 brought a more-than-estimated tax
effect so as to increase net income significantly from the previous forecast.




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