Konami Grp Corp Regulatory News (KNM)

Consolidated Financial Results

for the Three Months Ended June 30, 2010

(Prepared in Accordance with U.S. GAAP)

August 5, 2010

KONAMI CORPORATION

Address:

7-2, Akasaka 9-chome, Minato-ku, Tokyo, Japan

Stock code number, TSE:

9766

Ticker symbol, NYSE:

KNM

URL:

www.konami.net

Shares listed:

Tokyo Stock Exchange, New York Stock Exchange and London Stock Exchange

Representative:

Kagemasa Kozuki / Representative Director and Chairman of the Board, President

Contact:

Noriaki Yamaguchi / Representative Director, Vice-President, Corporate Officer

(Phone: +81-3-5771-0222)

Beginning date of

dividend payment:

-

Adoption of U.S. GAAP:

Yes

1. Consolidated Financial Results for the Three Months Ended June 30, 2010

(Amounts are rounded to the nearest million)

(Millions of Yen, except per share data)

Net revenues

Operating

income

Income before income taxes and equity in net income of affiliated company

Net income attributable to KONAMI CORPORATION

Three months ended June 30, 2010

% change from previous period

53,183

(5.0)%

2,879

187.9%

2,452

171.2%

1,265

244.7%

Three months ended June 30, 2009

% change from previous period

55,975

(20.9)%

1,000

(91.4)%

904

(92.3)%

367

(93.5)%

Basic net income attributable to KONAMI CORPORATION per share (yen)

Diluted net income attributable to KONAMI CORPORATION per share (yen)

Three months ended June 30, 2010

9.48

9.48

Three months ended June 30, 2009

2.75

2.75

(Millions of Yen, except per share amounts)

Total assets

Total equity

KONAMI CORPORATION stockholders' equity

KONAMI CORPORATION stockholders'

equity ratio

KONAMI CORPORATION stockholders'

equity per share

June 30, 2010

285,847

184,989

180,144

63.0%

1,349.79

March 31, 2010

298,198

189,231

184,465

61.9%

1,382.16

2. Cash Dividends

Record Date

Cash dividends per share (yen)

First quarter end

Second quarter end

Third quarter end

Year end

Annual

Year ended March 31, 2010

-

27.00

-

27.00

54.00

Year ending March 31, 2011

-

-Forecast-

16.00

-

16.00

32.00

3. Consolidated Earnings Forecast for the Year Ending March 31, 2011

(Millions of Yen, except per share data)

Net revenues

Operating

income

Income before income taxes and equity in net income of affiliated company

Net income attributable to KONAMI CORPORATION

Net income attributable to KONAMI CORPORATION per share

Six months ending September 30, 2010

-

-

-

-

-

% change from the same period in previous year

-

-

-

-

-

Year ending March 31, 2011

% change from previous year

285,000

8.7%

24,500

31.3%

22,500

31.4%

13,500

1.4%

101.15

Note:

1. Change in earnings forecasts for the fiscal year ending March 31, 2011 during the three months ended June 30, 2010: None

2. We do not disclose consolidated earnings forecasts for the six months ending September 30, 2010

4. Other

Please refer to page 10 for details.

 1.

Changes accompanying amendment of accounting standard: None

 2.

Other: None

 1.

Number of shares issued: (Treasury stock included)

 Three months ended June 30, 2010

143,500,000

 shares

 Year ended March 31, 2010

143,500,000

 shares

 2.

Number of Treasury Stock:

 Three months ended June 30, 2010

10,039,513

 shares

 Year ended March 31, 2010

10,039,336

 shares

 3.

Average number of shares outstanding:

 Three months ended June 30, 2010

133,460,547

 shares

 Three months ended June 30, 2009

133,461,341

 shares

Cautionary Statement with Respect to Forward-Looking Statements:

Statements made in this document with respect to our current plans, estimates, strategies and beliefs, including the above forecasts, are forward-looking statements about our future performance. These statements are based on management's assumptions and beliefs in light of information currently available to it and, therefore, you should not place undue reliance on them. A number of important factors could cause actual results to be materially different from and worse than those discussed in forward-looking statements. Such factors include, but are not limited to: (i) changes in economic conditions affecting our operations; (ii) fluctuations in currency exchange rates, particularly with respect to the value of the Japanese yen, the U.S. dollar and the Euro; (iii) our ability to continue to win acceptance of our products, which are offered in highly competitive markets characterized by the continuous introduction of new products, rapid developments in technology and subjective and changing consumer preferences; (iv) our ability to successfully expand internationally with a focus on our Digital Entertainment business and Gaming & System business; (v) our ability to successfully expand the scope of our business and broaden our customer base through our Health & Fitness business; (vi) regulatory developments and changes and our ability to respond and adapt to those changes; (vii) our expectations with regard to further acquisitions and the integration of any companies we may acquire; and (viii) the outcome of existing contingencies.

Please refer to pages 8 and 9 for further information regarding our business forecasts.