SATO Q3 results add to strong sales so far this fiscal year 2007/08

Singapore, February 28 2008 - SATO, a pioneer in the Automatic Identification and Data Collection (AIDC) industry and a leader in barcode printing, labelling, and EPC/RFID solutions, announced its financial results as of the third quarter of fiscal year 2007/08; the consolidated sales for April to December 2007 was US$567million, up by 7.4% from last year, while the operating income was in line with last year’s at US$35million.

Outside of Japan, sales for the nine-month period increased by 12% year-on-year on the back of solid growth particularly in transportation, retail and food processing industries across all the regions. On the other hand, the operating income performance of Europe was below expectation due to the slower than planned integration of the acquired businesses in Germany and Spain.

“Despite the delay, the German and Spanish operations are at the very final stage of the re-engineering process. We remain confident of the process completion by the end of this fiscal year for sustainable profitable growth going forward,” said Kaz Matsuyama, Managing Director of SATO International.

For Investor Relations, please visit http://www.sato.co.jp/english/ir/index.html

*Conversion used in the above News Release is based on an average exchange rate of 1US Dollar = 117.34 Japanese Yen.

About SATO
SATO is a pioneer in the Automatic Identification and Data Collection (AIDC) industry and the inventor of the world’s first electronic thermal transfer barcode printer. It revolutionised the barcoding industry by introducing the Data Collection System (DCS) & Labelling concept – a total barcode and labelling solution providing high quality barcode printers, scanners/hand-held terminals, label design software and consumables. SATO is one of the first in the industry to introduce a complete, multi-protocol EPC-compliant, UHF RFID solution.

SATO is publicly listed on the first section of Tokyo Stock Exchange in Japan. It has worldwide offices in the United States, Belgium, France, Germany, Spain, United Kingdom, Poland, Singapore, Malaysia, Australia, New Zealand, Thailand and China. For the fiscal year ended March 31, 2007, it reported revenues of US$705 million. More information about SATO Corporation can be found at www.sato.co.jp/english

About SATO International
SATO’s international global headquarters, SATO International Pte. Ltd is located in Singapore. Previously an international division, it was incorporated as a holding company in Singapore in 2001 to oversee the sales, marketing and customer services activities of all its Group Member Companies. More information about SATO International can be found at www.satoworldwide.com

*Conversion is based on an average exchange rate of 1US Dollar = 116.97 Japanese Yen.

Contact:
Yuji Shimizu
Manager, Corporate Planning
SATO International PTE. LTD.
438A, Alexandra Road #05-01/04
Alexandra Technopark
Singapore 119967
Tel: (65) 6271-2122
Fax: (65) 6271-2151
Email: communications@sato-int.com