(Translation)
February 10, 2009
Dear Sirs,
Name of Company:
SEGA SAMMY HOLDINGS INC.
Name of Representative:
Hajime Satomi, Chairman, President and Representative Director (CEO)
(Code No. 6460, Tokyo Stock Exchange 1st Section)
Further Inquiry:

Takatoshi Akiba, Executive Officer (TEL: 03-6215-9955)

Notice of Solicitation for Voluntary Retirement
by the Company's Subsidiary (SEGA CORPORATION)

It is hereby notified that SEGA CORPORATION (Head office: Ota-ku, Tokyo,
President, Representative Director and COO: Okitane Usui; hereinafter "SEGA"), a subsidiary of SEGA SAMMY HOLDINGS INC. (the "Company"), at the meeting of its Board of Directors held on February 10, 2009, adopted a resolution for soliciting voluntary retirement, as described below:
Description

1.
Reason for the solicitation for voluntary retirement:

SEGA , which has failed to swiftly respond to sharp changes in the business conditions,
is expected to record substantial operating losses in its amusement facilities business and consumer business in two consecutive years. For SEGA to restore profitability with certainty in the next fiscal year, it is essential to further reduce fixed cost, including labor cost, among others. Hence, SEGA has determined again to solicit voluntary retirement of employees to maintain the appropriate size of its work force compatible with its current revenues.
Additionally, to enhance profitability, in the amusement facilities business, SEGA will
close further 110 of the amusement facilities with poor future potential and profitability to establish an earnings structure that may produce profits with certainty even if net sales for the next fiscal year or thereafter are estimated strictly. Furthermore, in the amusement machine business and consumer business, SEGA will reduce research and development cost by approximately 20% compared with fiscal year 2008 for the next fiscal year by consolidating titles to be developed and otherwise. 2.
Summary of the solicitation for voluntary retirement:

(1) Number of applications sought:
Approximately
560
employees
(Number
of
employees of SEGA as of December 31, 2008: 3,127)
(2) Period of solicitation:
About two weeks from February 10, 2009
(3) Date of retirement:
During the year ending March 31, 2009 (expected)
3. Future
outlook:

If applications for voluntary retirement are made in the number as solicited, the
Company is expected to report, on a consolidated basis, an extraordinary loss of approximately ¥4,000 million on the payment of special severance allowances and other benefits. Consequently, SEGA will be able to reduce annual labor cost by approximately ¥5,000 million for the year ending March 31, 2010. (For reference) Forecast of whole-year consolidated operating results for the year ending
March 31, 2009 (publicized on February 10, 2009) and the actual operating results for the previous fiscal year
(million yen except otherwise indicated)

Net sales
Operating
income
Ordinary
income
Net
income
Net income
per share
(yen)
Forecast of operating results for the current year (from April 1, 2008 to March 31, 2009) 435,000
2,500
500
(-)21,500
(-)85.34
Operating results for the previous year (from April 1, 2007 to March 31, 2008) 458,977
(-)5,829
(-)8,224
(-)52,470
(-)208.26
*
The forecast of operating results stated herein is made based on information available to
management as of the date hereof. The actual results may differ from the forecasted figures due
to various factors in the future.
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