Millea Holdings, Inc. has been stepping up efforts to make distributions of profits to shareholders by paying cash dividends and repurchasing its own shares. On May 24, 2006, the Board of Directors adopted the following resolutions regarding the payment of interim cash dividends for the fiscal year ending March 31, 2007 and the share repurchases with an annual ceiling.

1. Payments of interim cash dividends

Even though the Company has had a system in place to pay interim cash dividends to shareholders registered as of September 30 each year, it has never paid such dividends in the past. On May 24, 2006, the Company resolved to pay interim cash dividends starting with the fiscal year ending March 31, 2007 in line with its efforts to make distributions of profits to its shareholders when possible.

In late November 2006, the Board of Directors will approve the payment and the amount of interim cash dividends. 


(Reference) Expected cash dividends

	Interim cash dividends per share	Cash dividends per share at year-end	Annual cash dividends per share
Forecast for the fiscal year ending March 31, 2007	15.00 yen	15.00 yen	30.00 yen

At the meeting of the Board of Directors held on May 19, 2006, the Company resolved a split of its shares of common stock (one share into 500 shares). The per share cash dividends shown above reflect the stock split. At the same meeting, the Company also resolved to introduce a unit share system. The number of shares per one unit of shares will be 100 shares on and after October 2, 2006.

2. Share repurchases with an annual ceiling

The Company announced that, on May 24, 2006, its board of directors approved repurchases of its own shares with an annual ceiling on share repurchases at 150 billion yen during the period between June 29, 2006 and the Company's fifth ordinary general meeting of shareholders scheduled for June 2007. A part of Company's shares repurchased under this plan will be used for a stock-for-stock exchange announced on May 19, 2006 by the Company to make The Nisshin Fire & Marine Insurance Co., Ltd. its wholly-owned subsidiary.

Based on this plan of share repurchases with an annual ceiling, the Board of Directors will set the maximum aggregate purchase price and its maximum aggregate number of shares to be repurchased for each period in which repurchases may be made, pursuant to Article 165, paragraph 2 of the Corporation Law. The Company may modify this plan of share repurchases, depending upon fluctuations in share prices of the Company and changes in expected future environment surrounding the Company.