November 9, 2001

To whom it may concern:

NIPPONKOA Insurance Co., Ltd.
President: Ken Matsuzawa

1. Revision of the Forecast of Financial Results

NIPPONKOA Insurance Co., Ltd. ("the Company") has revised its forecast of non-consolidated financial results for the first half of fiscal 2001 (from April 1, 2001 to September 30, 2001,) published on May 18, 2001, and its forecast of consolidated financial results for the same period, published on May 25, 2001.

(1) Revision of Forecast of Non-consolidated Financial Results for the First Half of Fiscal 2001 (From April 1, 2001 to September 30, 2001)

Note: Figures of non-consolidated financial results for the first half of fiscal 2000 are combined total of those for The Nippon Fire & Marine Insurance Co., Ltd. and The Koa Fire & Marine Insurance Co., Ltd.   This note also applies to the consolidated financial results.

(2)    Revision of Forecast of Consolidated Financial Results for the First Half of Fiscal 2001 (From April 1, 2001 to September 30, 2001)

(3)    Reason for Revision
The Company has revised its forecast of ordinary profit downward, because of a large increase of revaluation loss on securities compared with the previous forecast.  The unexpected size of the increase was due to the impact of stock market decline.

(Reference)

On the assumption that revaluation loss on securities similar to the first half year will occur over the full fiscal year, the Company has altered its forecast of non-consolidated financial results for fiscal 2001 (from April 1, 2001 to March 31, 2002,) published on May 18, 2001, and its forecast of consolidated financial results for the same period, published on May 25, 2001, as follows:

(1) Forecast of Non-consolidated Financial Results for Fiscal 2001 (From April 1, 2001 to March 31, 2002)

Note: Figures of financial results for fiscal 2000 are, in principle, the combined total of those of The Nippon Fire & Marine Insurance Co., Ltd. and The Koa Fire & Marine Insurance Co., Ltd.  With regard to ordinary profit, however, an amount for reversal of bad debt reserve included in special income of The Nippon Fire & Marine Insurance Co., Ltd. is deducted from provision of bad debt reserve included in ordinary expense of The Koa Fire & Marine Insurance Co., Ltd.  The resulting amount is regarded as provision of bad debt reserve to be included in ordinary expense for the combined company.  This note also applies to the following chart(s)

(2) Forecast of Consolidated Financial Results for the Fiscal 2001 (From April 1, 2001 to March 31, 2002)

2. Revaluation Loss on Securities

The Company records the valuation difference resulting from application of the mark-to-market method to "other securities"(*), which are defined under the Article 8, paragraph 21 of Regulations Concerning Financial Statements, using the full direct equity method.

(*) "Other securities" are defined as securities other than trading securities, held-to-maturity debt securities and equity investments in subsidiaries and affiliates.  Net unrealized gains(losses) on "other securities" are recognized, net of applicable taxes, as a component of shareholders' equity.

Revaluation loss on securities resulting from write-down due to impairment as of September 30, 2001 is shown as follows:

Notes:
1.      In respect of write-down of securities with a market price due to impairment, the Company recognizes revaluation loss on all securities the market value of which has declined by 50% or more to the book value.  As for the securities whose decline ratio is 30% or more but less than 50%, the Company recognizes revaluation loss in cases where there is no possibility of recovery.
2.      The valuation difference (market value less historical cost) on "other securities" as of September 30, 2001 is 268.1 billion yen.

Cautionary Statement

Estimates, projections, targets and other statements contained in this material that are not historical facts are forward-looking statements about the future performance and plans of NIPPONKOA Insurance Co., Ltd. (the "Company").  Such forward-looking statements are based on the Company's assumptions and beliefs in light of the information currently available to it.  Therefore, those statements do not guarantee future performance, but involve risks and uncertainties.  The Company cautions you that a number of important factors could cause actual results to differ materially from those contained in the forward-looking statements.  Such factors include, but are not limited to, (1) general economic conditions in the Company's market, mainly Japan, (2) business conditions in the insurance industry, especially, increased competition, (3) fluctuation of exchange rates, and (4) the regulatory environment.