At the Company's board meeting on August 26, it was decided that Information Services International-Dentsu, Ltd. (ISID, head office: Nakano-ku, Tokyo, Representative: Jutaro Takinami, President & CEO) will absorb its wholly-owned subsidiary, Account One Corporation by a merger effective on October 31, 2003. 
    

1. Background and purpose of the merger

   ISID has decided to absorb Account One Corporation by a merger effective on October 31, 2003. Account One has been providing "account aggregation service" which enables individuals to collect and see various contents on Internet requiring each own IDs and/or passwords on the same screen, such as account information of Internet banking. 
   We believe that account aggregation is an important infrastructural element that improves the conveniences enjoyed by our modern Internet society. However, in the interest of expanding this service further, we came to the conclusion that it would be more effective to provide comprehensive consulting service as one of contents provided in conjunction with development of large new Internet sites by working within the Financial Industry Business Operations than continuing with the Account One account aggregation business on its own.
   We are also pursuing plans that will help cut the cost of account aggregation system management and administration.

(1) Schedule of the merger

August 26, 2003 (Tuesday)       Board meeting to approve merger agreement
August 26, 2003 (Tuesday)       Conclusion of merger agreement
September 16, 2003 (Tuesday)  Shareholders meeting to approve merger agreement
                                              (Account One Corporation)
October 31, 2003 (Friday)        Effective date of merger
October 31, 2003 (Friday)        Official registration of merger

(2) Method of the merger

   ISID, as an ongoing concern, shall absorb Account One, which shall be subsequently dissolved. Pursuant to the provisions of Clause 3 of Article 413 of the Commercial Code of Japan, ISID shall perform the merger with Account One without the approval of the merger agreement by its shareholders.

   Due to the fact that Account One is a wholly-owned subsidiary of ISID, there shall be no issuance of new shares nor increase of share capital.

There shall be no subsidy paid.

3. Summary of parties (As of March 31,2003)

(1)Trade name	Information Services Internationl-Dentsu, Ltd.	Account One Corporation
(2)Field of business	Development of information systems and sales of software products	Provision of account aggregation service
(3)Date of incorporation	December 11, 1975	August 1, 2001
(4)Location of head office	4-11-10, Nakano, Nakano-ku, Tokyo	2-21-6, Hacchobori, Chuo-ku, Tokyo
(5)Representative	Jutaro Takinami, President & CEO	Shinsuke Hisanaga, President
(6)Share capital	JPY 8,180 million	JPY 480 million
(7)Total number of shares issued and outstanding	32,591,240 shares	9,600 shares
(8)Shareholders' equity	JPY 30,507 million	JPY 8 million
(9)Total assets	JPY 45,170 million	JPY 424 million
(10)Date of settlement	March 31	March 31
(11)Number of employee	773	7
(12)Major customers	Manufacturing, financial, distribution and service companies in Japan, and Denstu, Inc.	Information Services International-Dentsu, Ltd.
(13)Major shareholders and shareholding ratios (As of August 1,2003)	Dentsu, Inc. 61.8%	Information Services International-Dentsu, Ltd. 100% (*1)
(14)Main banks	Mizuho Corporate Bank, Ltd. The Bank of Tokyo-Mitsubishi, Ltd.	The Bank of Tokyo-Mitsubishi, Ltd.

*1 Account One Corporation was initially set up as a joint venture by three firms: Hitachi, Ltd., Softbank Technology Holdings Corp. and ISID. However, Account One is now a wholly owned subsidiary of ISID, which acquired Softbank's equity stake in March 2003 and Hitachi's stake in June 2003.

• ISID implemented a 1.1-for-1 stock split on August 20, 2001 and a 2-for-1 stock split on November 20, 2002.
• Account One had an eight-month business term in the year ended March 2002 because it was established on August 1, 2001.

(1) Trade name                    Information Services International-Dentsu, Ltd.
(2) Field of business             Development of information systems, Sales of software products
(3) Location of head office     4-11-10 Nakano, Nakano-ku, Tokyo
(4) Representative                Jutaro Takinami, President & CEO
(5) Share capital                  Upon this merger the amount of share capital shall not change.
(6) Total assets                    This merger will not have a material impact on total assets.
(7) Date of settlement           March 31
(8) Effect on business results  This merger will not have a material impact on ISID's consolidated
                                          business results forecast. 

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