TDK TDK

RNS Number:2735O
TDK Corporation
30 June 2005


Contacts:
Nobuyuki Koike
TDK Corporation
Corporate Communications Dept.
Tel: (81)-3-5201-7102
E-mail; pr@mb1.tdk.co.jp
http://www.tdk.co.jp/tetop01/index.htm

                              FOR IMMEDIATE RELEASE

                         Receipt of correction notices
                  based on transfer pricing taxation in Japan

TOKYO JAPAN, June 30, 2005-----TDK Corporation (the "Company") today announces
that, at about 4:30 p.m. on June 29 (yesterday), this Company received from the
Tokyo Regional Taxation Bureau (Nihonbashi Tax Office) the correction notices
for the five business years from the March 1999 Term through the March 2003 Term
based on the transfer pricing taxation according to the Bureau's judgment that
the prices in the transactions between this Company and its overseas
subsidiaries are different from the arm's length prices.

The incremental income amount as a result of the correction determinations is
approximately 21.3 billion yen and the total additional tax liabilities will be
approximately 12 billion yen (a trial calculation) including the Corporation
Tax, Enterprise Tax and Inhabitant Tax (the principal taxes and the additions to
taxes).

This Company is unconvinced by the correction determinations and is going to
file the request for reconsideration.

This Company have been using the arm's length prices set by taking into
consideration the transaction stages, transaction scale, market and other
differences on the basis of third party transaction prices.  This Company and
its overseas subsidiaries have sincerely coped with the transfer pricing
taxation issues in a consistent manner and have been appropriately reporting and
paying taxes.

This Company is not convinced that there is an adequate reason for the
correction notices.  It believes that it should be able to obtain a satisfactory
resolution of the matter by having its position understood under the fair
proceedings in the future.

Lastly, this Company is evaluating how the correction determinations will affect
its accounts and will report the result of the evaluation as soon as it is
finished.

                                    - more-




About TDK

TDK Corporation (NYSE: TDK) is a leading global electronics company based in
Japan. It was established in 1935 to commercialize "ferrite," a key material in
electronics and magnetics.  TDK's current product line includes ferrite
materials, electronic components, wireless computer networking products,
magnetic heads for HDD, and advanced digital recording media. For more
information about TDK, please visit http://www.tdk.co.jp/tetop01/index.htm



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