Oki Announces Financial Results for the Fiscal Year Ended March 31, 2006.

TOKYO -- Oki Electric Industry Co., Ltd. (TSE:6703) today announced its financial results for the fiscal year ended March 31, 2006 and the projections for the next fiscal year.

Summary of the Consolidated Financial Results

---------------------- ------------- ------------- -------------------
                         FY ended      FY ended          Changes
                       Mar. 31, 2005 Mar. 31, 2006
                                                   -------------------
                                                     Amount     Ratio
---------------------- ------------- ------------- ----------- -------
                         Billion yen   Billion yen Billion yen       %

Net sales                     688.5         680.5        (8.0)   (1.2)
Operating income
 (loss)                        27.2          10.6       (16.6)  (61.1)
Recurring income
 (loss)                        21.2           7.2       (14.0)  (65.8)
Income (loss) before
 taxes                         18.5          10.6        (7.9)  (42.7)
Net income (loss)              11.2           5.1        (6.1)  (54.7)
---------------------- ------------- ------------- ----------- -------
                                 Yen           Yen         Yen       %
Net income (loss) per
 share                        18.27          8.27      (10.00)  (54.7)
Diluted net income per
 share                        17.87          7.77      (10.10)  (56.5)
---------------------- ------------- ------------- ----------- -------
                         Billion yen   Billion yen Billion yen       %

Total assets                  608.0         618.9        10.9     1.8
Total shareholders'
 equity                       124.8         133.9         9.1     7.3
---------------------- ------------- ------------- ----------- -------
                                   %             %           %
Total shareholders'
 equity ratio                  20.5          21.6         1.1
---------------------- ------------- ------------- ----------- -------
                                 Yen           Yen         Yen       %
Shareholders' equity
 per share                   204.11        218.96       14.85     7.3
---------------------- ------------- ------------- ----------- -------
                         Billion yen   Billion yen Billion yen       %

Cash flows from
 operating activities          59.3          15.0       (44.3)  (74.8)
Cash flows from
 investing activities         (41.5)        (28.6)       12.9       -
Cash flows from
 financing activities         (26.9)          0.8        27.7       -
---------------------- ------------- ------------- ----------- -------




------------------------------------ -------------- ------------------
                                       FY ending         Changes
                                     Mar. 31, 2007
                                     (projections)
                                                    ------------------
                                                      Amount    Ratio
------------------------------------ -------------- ----------- ------
                                        Billion yen Billion yen      %

Net sales                                    720.0        39.5    5.8
Operating income (loss)                       15.0         4.4   41.6
Recurring income (loss)                        8.0         0.8   10.5
Income (loss) before taxes                     4.0        (6.6) (62.3)
Net income (loss)                              2.5        (2.6) (50.6)
------------------------------------ -------------- ----------- ------
                                                Yen         Yen      %

Net income (loss) per share                   4.09       (4.18)     -
Diluted net income per share                     -           -      -
------------------------------------ -------------- ----------- ------
                                        Billion yen Billion yen      %

Total assets                                     -           -      -
Total shareholders' equity                       -           -      -
------------------------------------ -------------- ----------- ------
                                                  %           %

Total shareholders' equity ratio                 -           -
------------------------------------ -------------- ----------- ------
                                                Yen         Yen      %

Shareholders' equity per share                   -           -      -
------------------------------------ -------------- ----------- ------
                                        Billion yen Billion yen      %

Cash flows from operating activities          54.2        39.2  262.2
Cash flows from investing activities         (54.2)      (25.6)     -
Cash flows from financing activities          (4.8)       (5.6)     -
------------------------------------ -------------- ----------- ------

-- Amounts are rounded to the nearest hundred million.

-- The projections in this release are subject to change depending upon the changes of business environments and other conditions.

About Oki Electric Industry Co., Ltd.

Founded in 1881, Oki Electric Industry Co., Ltd. is Japan's first telecommunications manufacturer, with its headquarters in Tokyo, Japan. With the corporate vision, "Oki, Network Solutions for a Global Society," Oki provides top-quality products, technologies and solutions to its customers through its info-telecom system business, semiconductor business and printer business. All three businesses function as a collective force to create exciting new products and technologies that satisfy a spectrum of customer needs in various markets. Visit Oki's global web site at http://www.oki.com/.