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UNCLAS SECTION 01 OF 11 TOKYO 002655 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA; 
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION; 
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE; 
SECDEF FOR JCS-J-5/JAPAN, 
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA 
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR; 
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA. 
 
E.O. 12958: N/A 
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 06/13/07 
 
 
1) Top headlines 
 
2) Editorials 
 
3) Prime Minister's daily schedule 
 
Political agenda: 
 
4) Latest in Asahi Internet poll on upcoming Upper House election 
shows exodus of voters in 20s and 30s away from Prime Minister Abe 
 
5) Former Prime Minister Koizumi's private secretary Iijima predicts 
a huge loss for the LDP in the Upper House election, possibly only 
taking 40 seats 
 
6) Minshuto President Ozawa, slammed for using political funds to 
buy real estate, is considering selling the property 
 
7) North Korea-affiliated Chosen Soren sold headquarters to company 
owned by former head of government's Public Security Information 
Agency (PSIA) 
 
8) Abe unhappy with sale of Chosen Soren property to company owned 
by former PSIA director general     6 
 
9) Governor Ishihara sounds out for post of deputy governor author 
Inose, a well-known advisor to then Prime Minister Koizumi on 
highway policy reform 
 
10) SIA bombarded with 470,000 calls in 24 hours inquiring about 
pension issue but could only handle 17,000 
 
Defense and security affairs: 
 
11) Defense Minister Kyuma: SDF, operating with US warships on the 
high seas, may use individual right of self-defense to respond to 
enemy if US attacked 
 
12) Japan restarts defense exchanges with China in September, with 
possibility of ship visit in October 
 
13) Japan to restart economic assistance to Palestinian Authority 
 
 
14) Talks between US, Japan for easing beef-import restrictions 
focusing on changing age limit from 20 months to 30 months 
 
Economic policy: 
 
15) Draft economic policy guidelines contain controversial "hometown 
tax" 
 
16) Governors of four major metropolitan cities protest new hometown 
tax 
 
17) WTO negotiations start next month, but Japan fears it may be 
left out of the loop by EU, US 
 
 
18) Founder of US fund: Japan is the worst place in the world in 
terms of measures to protect corporate acquisitions     11 
 
 
TOKYO 00002655  002 OF 011 
 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi, Mainichi, and Yomiuri: 
State eyes settling damages suits by ex-tunnel workers suffering 
pneumoconiosis 
 
Nihon Keizai: 
Honda to debut clean, fuel-saving diesel cars in Japan by 2009 
 
Sankei: 
Social Insurance Agency making recordkeeping errors since 50 years 
ago 
 
Tokyo Shimbun: 
20,000 people have more than two insurance policy numbers 
 
Akahata: 
Ogata grills defense minister over SDF's surveillance of civilians 
 
2) EDITORIALS 
 
Asahi: 
(1) People's participation essential for flood control 
(2) Growing suicides a serious problem 
 
Mainichi: 
(1) Weak yen and low interest rates don't suit growing economy 
(2) Flood summit held 
 
Yomiuri: 
(1) Proceed carefully on civil service reform 
(2) New World Bank president must restore international trust and 
review system 
 
Nihon Keizai: 
(1) Basic Policies for Economic and Fiscal Management and Structural 
Reform must be free from pork-barrel largesse 
(2) Mitsubishi-UFJ scandals undermine public trust of banks 
 
Sankei: 
(1) Former Public Security Intelligence Agency chief must clarify 
events leading up to acquisition of Chongryon headquarters 
(2) Revision of Private Information Protection Law requires probing 
discussion 
 
Tokyo Shimbun: 
(1) Mitsubishi-UFJ must go back to the basics 
(2) Rising land prices 
 
Akahata: 
(1) LDP, New Komeito must not put end to office expense issue by 
revising Political Funds Control Law 
 
3) Prime Minister's schedule, June 12 
 
NIHON KEIZAI (Page 2)  (Full) 
June 13, 2007 
 
08:45 
Attended a meeting of the Postal Privatization Promotion 
 
TOKYO 00002655  003 OF 011 
 
 
Headquarters in the Diet building. Followed by a cabinet meeting. 
Health, Labor and Welfare Minister Yanagisawa and Chief Cabinet 
Secretary Shiozaki stayed behind. 
 
SIPDIS 
 
09:27 
Met Shiozaki and Deputy Chief Cabinet Secretary Matoba. 
 
09:49 
Posed for photos for the Upper House election at the Dentsu Photo 
Studio in Higashi Shinbashi, with LDP Public Information Bureau 
Director General Katayama present. Joined by Public Information 
Department Head Futada. 
 
14:06 
Met at the Kantei with Matoba. Followed by Foreign Vice Minister 
Yachi. 
 
14:58 
Met members of the New Japan-China Friendship 21st Century 
Committee, including Fuji Xerox Supreme Advisor Yotaro Kobayashi, 
chairman of the Japanese side. 
 
15:56 
Attended ceremony marking the 13th anniversary of Takeo Fukuda's 
death at the Grand Prince Hotel Akasaka. 
 
17:09 
Met members of the association of nationwide crime victims "Asu no 
Kai" at the Kantei, with Lower House members Yoko Kamikawa and 
Yasufumi Tanahashi. Attended a meeting of the Council on Economic 
and Fiscal Policy. 
 
18:06 
Met Policy Research Council Chairman Nakagawa, Policy Research 
Council Acting Chairman Kawamura, Upper House Policy Deliberation 
Council Chairman Masuzoe, and others. Nakagawa stayed behind. 
 
19:19 
Dined with Sankei Shimbun President Takehiko Kiyohara and others at 
a French restaurant in Nishi-Azabu. 
 
21:26 
Returned to his official residence. 
 
4) Young people distant from Abe in online poll 
 
ASAHI (Page 1) (Abridged) 
June 13, 2007 
 
People in their 20s and 30s are said to have shored up former Prime 
Minister Koizumi's high popularity. How will they move now in the 
run-up to this summer's election for the House of Councillors? The 
Asahi Shimbun conducted an online poll of these younger voters over 
the past five weeks from mid-May. Among them, the nonsupport rate 
for the Abe cabinet is almost twice the support rate. The Abe 
cabinet's support rate is now even lower. In the popularity rating 
of political parties, the ruling Liberal Democratic Party is down, 
and the leading opposition Democratic Party of Japan (Minshuto) is 
up. However, 54% still predict that the LDP will win in the 
election, while 25% pick the DPJ. The figures show that their 
critical views of the Abe cabinet have yet to affect the election. 
 
 
TOKYO 00002655  004 OF 011 
 
 
In 2005, Prime Minister Koizumi dissolved the House of 
Representatives for a general election over his initiative to 
privatize state-run postal services. At that time, a large number of 
voters in their 20s and 30s are said to have backed the LDP. The LDP 
also sees them as holding the key in campaigning for the House of 
Councillors election. It is difficult for telephone-based and 
face-to-face surveys to grasp the opinions of people in these 
generations. The Asahi Shimbun therefore conducted an online poll 
for the first time. Given the peculiarities of online polling, which 
lends itself to extreme results, the Asahi Shimbun analyzed trends 
in serial polling. 
 
In the first poll, the Abe cabinet's support rate was 28%, far below 
its nonsupport rate at 50%. In the fifth poll, the support rate was 
down to 16%, with its nonsupport rate up to 67%. In mid-May, when 
public opinion surveys showed steady support for the Abe cabinet, 
those in their 20s and 30s were already distancing themselves from 
Abe. The figures show that the Abe cabinet has further lost public 
support in the wake of the Social Insurance Agency's pension 
record-keeping flaws and Agriculture, Forestry and Fisheries 
Minister Matsuoka's suicide. 
 
Respondents were also asked which political party or which political 
party's candidate they would vote for in the upcoming House of 
Councillors election. In response to this question, the LDP stood at 
23%, 22%, 22%, 20%, and 18% for its candidates in electoral 
districts. The DPJ was at 23%, 25%, 27%, 30%, and 29%. A similar 
trend was shown for proportional representation as well. 
 
In the first poll, 16% were "very interested" in the House of 
Councillors election. In the fifth poll, the figure was up slightly 
to 20%. However, it remains low on the whole. The response of those 
"very interested" is noteworthy. Among them, 47% picked the DPJ 
while 37% chose the LDP when the fifth poll asked them which 
political party they thought would win the election. 
 
5) Former Koizumi secretary Iijima fears LDP will be suffer major 
defeat in Upper House election, ending up with 40 seats 
 
TOKYO (Page 2) (Excerpt) 
June 13, 2007 
 
Kaoru Iijima, who served as private secretary to Prime Minister 
Junichiro Koizumi when he was in office, commented in a speech in 
Tokyo yesterday on the Upper House election that will take place on 
July 22: "Looking at the issues, such as pensions, I see (the ruling 
parties) falling into a terrible situation, ending up with 12 or 13 
seats below a majority." He revealed his outlook that the Liberal 
Democratic Party (LDP) will suffer a major defeat, ending up with 
about 40 seats. 
 
For the ruling parties to maintain their majority in the Upper 
House, adding the seats that are not up for election this time, they 
need to win 64 seats. Iijima said that the New Komeito would 
"perhaps win about 11 seats," expressing his view it would be 
difficult for the party to hold on to its current 13 seats. 
 
6) DPJ's Ozawa considering selling properties 
 
SANKEI (Page 5) (Full) 
June 13, 2007 
 
 
TOKYO 00002655  005 OF 011 
 
 
At a press conference in Kanazawa City yesterday, Ichiro Ozawa, 
president of the major opposition Democratic Party of Japan 
(Minshuto or DPJ), referred to the real estate his fund managing 
organization had purchased and that is registered under his name: 
"If that is viewed as a problem, I'll sell it anytime." He indicated 
his intention to consider selling it if needed. 
 
His fund management organization "Rikuzankai" purchased 12 
properties in Tokyo, Iwate Prefecture and other places, the assessed 
value of which amounts to 1.019 billion yen. Ozawa, however, did not 
make any specific reference to when, how, and which of the real 
estate holdings would be sold. 
 
7) Chongryon sold its headquarters to company headed by ex-PSIA 
chief 
 
SANKEI (Page 1) (Excerpts) 
June 13, 2007 
 
The pro-Pyongyang General Association of Korean Residents in Japan 
(Chosen Soren or Chongryon) had sold its headquarters -- land and 
building -- at Fujimi in Chiyoda Ward, Tokyo to a Tokyo-based 
investment management company at the end of May, sources revealed. 
The background of this deal is drawing attention as the investment 
company is headed by the former director-general of the Public 
Security Intelligence Agency (PSIA), a government body tasked with 
investigating the movements of such organizations as Chongryon. 
 
According to the registers for land and buildings, the headquarters' 
land that was some 2,390 square meters and its 10-story concrete 
building with two basement levels with the total floor space of 
11,700 square meters were sold. The purchase price is unknown, but 
given the local government tax on the headquarters' property, the 
assessed value of fixed assets is likely to be 3 or so billion yen. 
The deal was completed on May 31. 
 
The new owner of the property is Harvest Toshikomon K.K. (Harvest 
Investment Management Company), which was founded in September 2006 
in Chuo Ward, Tokyo, for such business purposes as investment 
management and money lending. The initial representative director of 
the company was a man living in Bunkyo Ward, Tokyo, but this past 
April, he was replaced by former PSIA Director-General Shigetaka 
Ogata (73). The address of the company also was transferred to that 
of Ogata's residence in Meguro Ward. 
 
Ogawa became PSIA director-general in July 1993 after serving as 
such posts as prosecutor at the Supreme Public Prosecutors' Office 
and director of the Supreme Public Prosecutors' Offices' Public 
Safety Department. Afterwards, he served as chief public prosecutor 
at the Sendai High Public Prosecutors' Office and the Hiroshima High 
Public Prosecutors' Office, and in June 1997, he retired from the 
post. He still works as a lawyer. 
 
Chongryon operates in the same place even after the sale of its 
headquarters. Reportedly, it obtained approval of its parent country 
North Korea for this deal. 
 
8) Prime Minister Abe expresses displeasure with the deal 
 
SANKEI (Page 1) (Full) 
June 13, 2007 
 
 
TOKYO 00002655  006 OF 011 
 
 
Prime Minister Shinzo Abe yesterday expressed displeasure with this 
sales transaction of the pro-Pyongyang General Association of Korean 
Residents in Japan's (Chongryon) headquarters land and building. He 
said, "I'd like (the former director-general of the Public Security 
Intelligence Agency (PSIA) to be fully aware of his past career, 
even though he now works at a private company." "It has become 
evident that Chongryon's members were engaged in crimes, including 
abductions," Abe continued. He was replying to questions by 
reporters at the Prime Minister's Official Residence. 
 
9) Tokyo governor sounds out Naoki Inose on vice governor's post 
 
ASAHI (Page 1) (Full) 
June 13, 2007 
 
It has been leaned that the Tokyo Metropolitan Government began 
coordination to appoint Naoki Inose, 60, a writer, as vice governor. 
Gov. Shintaro Ishihara plans to pick a person from the private 
sector to serve the vice governor's post. Inose's stance of having 
dealt with administrative reforms, including reform of public 
highway corporations, appears to be highly valued. Ishihara has 
said, "Private sector's intellectual power is needed" for the post 
of vice governor. 
 
According to those involved, Gov. Ishihara has already approached 
Inose to serve in the post. Inose is known for his aggressive calls 
for abolishing and privatizing special public corporations. He was 
appointed in 2002 by Prime Minister Junichiro Koizumi as a member of 
the committee to promote privatization of four public 
highway-related corporations. He proposed reform of public-interest 
corporations at the administrative implementation council, which 
chaired by then Administrative Reform Minister Nobuteru Ishihara, 
the eldest son of Gov. Ishihara. He now serves as a member of the 
government's Tax Commission and a member of the Decentralization 
Promotion Committee. 
 
10) Telephone counseling on pension fiasco: Although there are 
470,000 calls in 24 hours, SIA responds to only 17,000 calls 
 
ASAHI (Page 1) (Excerpts) 
June 13, 2007 
 
The Social Insurance Agency (SIA) announced yesterday that its new 
toll-free telephone service and the hitherto telephone service were 
flooded with 469,448 calls asking about pension premium records for 
24 hours from 8:30 a.m. on June 11 to 8:30 a.m. on June 12. Of the 
469,448 calls, the SIA was able to respond to only 16,979 or 
one-28th. At Prime Minister Shinzo Abe's instruction, the agency 
hastily increased the number of manpower to respond to calls from 
530 to 830. It will mull increasing more the number of manpower to 
respond inquiries. 
 
According to the SIA, there were about 20,000 calls in an hour and 
the number of calls during the nighttime and the daytime was almost 
the same. But many people seem to have called several since their 
calls did not get through. 
 
The number of calls on June 8, Friday, was the largest of 262,000, 
and the calls decreased to 55,000 on the 9th and 36,000 on the 10th. 
The reason for the flood of calls appears to be the SIA's lack of 
publicity that it provides the telephone services on weekends as 
well. 
 
TOKYO 00002655  007 OF 011 
 
 
 
11) Individual self-defense right applicable for SDF vessels to 
defend US warships on the open seas, even if far off from each 
other: Kyuma 
 
SANKEI (Page 5) (Full) 
June 13, 2007 
 
Defense Minister Fumio Kyuma, meeting the press yesterday, referred 
to a Self-Defense Forces vessel's act of fighting back if and when a 
US warship came under attack on the high seas. "These two ships may 
be far off from each other, but if one of the two ships were 
attacked when they are working together, it's possible to take it 
that the attack is the same as an attack on the other." With this, 
Kyuma indicated that an SDF vessel would be allowed to defend a US 
naval vessel-even if the two ships are far off from each other-with 
an expanded concept of individual self-defense, instead of 
exercising the right of collective self-defense. Kyuma also said, "I 
think we can do something more in other cases as well with the 
concept of individual self-defense." 
 
Meanwhile, a government advisory panel of experts met on June 11 to 
study cases that allow Japan to exercise the right of collective 
self-defense. In the meeting, the panel took the position that the 
SDF would be allowed to "use weapons in order to protect weaponry, 
etc.," as stipulated in SDF Law Article 95, if and when these two 
vessels are close to each other at sea under normal circumstances. 
However, the question is what to do if a US naval vessel comes under 
attack when it is separated from an SDF vessel. In this case, the 
panel mostly opined that the SDF's counteraction in that event 
should be interpreted as act under the right of collective 
self-defense, not under the right of individual self-defense. Kyuma 
appears to have raised an objection to that panel's view. 
 
12) Japan, China to resume defense exchanges 
 
NIHON KEIZAI (NIKKEI) (Page 1) (Full) 
June 13, 2007 
 
The governments of Japan and China are now in the final stage of 
coordination for a visit to Japan by Chinese Defense Minister Cao 
Gangchuan in September. If realized, the Chinese defense minister 
will visit Japan for the first time in nine and a half years since 
Chi Haotian in February 1998. Coordination is also underway for the 
first visit to Japan in October by a naval vessel of the People's 
Liberation Army (PLA). Tokyo and Beijing intend to strengthen 
Japan-China relations by resuming defense exchanges, which have been 
postponed due to visits to Yasukuni Shrine by former Prime Minister 
Junichiro Koizumi and other factors. 
 
During the Asia Security Conference, held in Singapore in earlier 
this month, Chinese authorities informally conveyed to Japan 
Beijing's desire to realize Cao's Japan visit between July and 
September. In view of the upcoming House of Councillors election and 
the mid-August Bon holiday break in Japan, Cao is likely to visit 
Japan in September. A PLA naval vessel is expected to visit Japan 
after Cao's visit, according to a senior Defense Ministry official. 
The Maritime Self-Defense Force plans to send its vessel to China 
next year in return. 
 
Through exchanges of defense leaders, Tokyo is expected to urge 
Beijing to increase transparency in China's growing defense spending 
 
TOKYO 00002655  008 OF 011 
 
 
and explain that the ongoing Japan-US missile defense development 
project is not against any specific countries. The government eyes 
greater regional stability through efforts to build relations of 
trust between defense authorities of the two countries. 
 
13) Japan to resume aid to Palestinian government 
 
YOMIURI (Page 4) (Full) 
June 13, 2007 
 
Foreign Minister Aso late yesterday held cabinet-level political 
talks with Palestinian Foreign Minister Abu Amr at the Iikura State 
Guesthouse in Tokyo. Aso told the Palestinian foreign minister that 
Japan was considering resuming the now-suspended official 
development assistance to the Palestinian government. 
 
14) US beef-exporting facilities, system confirmed; Japan, US to 
hold talks on easing import condition to 30 month age limit 
 
NIHON KEIZAI (NIKKEI) (Page 5) (Abridged slightly) 
June 13, 2007 
 
The Agriculture, Forestry and Fisheries Ministry and the Health, 
Labor and Welfare Ministry will make public possibly today the 
results of their inspections of beef-exporting facilities in the 
United States. The report says that although the manual contained 
some inappropriate points, the system is capable of meeting Japanese 
import conditions, such as removal of specified risk materials. 
Tokyo plans to resume talks with Washington as early as July on 
easing import conditions after explaining the results to the public 
and notifying the US of the results. 
 
The two ministries inspected eight US facilities late last year. 
Inspected this May were the remaining 27 facilities of the 35 plans 
authorized to export beef to Japan, plus one that is expected to 
join the US list of beef-exporting plants. 
 
In the wake of the World Organization for Animal Health's (OIE) 
designation of the US as a country allowed to export beef 
irrespective of cattle age, Washington has been urging Tokyo to 
remove the 20-month age limit from its import conditions. But in 
view of successive cases suspected to have violated the import 
conditions since resuming imports last July, the government is 
skeptical that the US request for removing the import condition 
would obtain consumer understanding. 
 
Tokyo is expected to conduct talks with Washington centering on 
easing the condition to the international standard of cattle up to 
30 months old. 
 
15) Draft guidelines on economic and fiscal policy propose hometown 
tax, boosting labor productivity 
 
MAINICHI (Page 1) (Excerpts) 
June 13, 2007 
 
The government's Council on Economic and Fiscal Policy, chaired by 
Prime Minister Shinzo Abe, held a meeting yesterday, in which the 
draft 2007 guidelines for economic and fiscal policy were unveiled. 
The first guidelines under the Abe administration take over the 
challenge of administrative and fiscal reforms from the Koizumi 
administration. They also include considerable measures from the 
 
TOKYO 00002655  009 OF 011 
 
 
viewpoint of spurring the economy. In the run-up to the House of 
Councillors election, the guidelines will be the Abe cabinet's 
campaign pledge in effect. 
 
Main points in the (draft) 2007 economic and fiscal policy 
guidelines 
 
7 Initiate radical tax system reform, including the consumption tax, 
this fall or later. 
 
7 Reduce expenditures in the central and local government budgets as 
much as possible in fiscal 2008. 
 
7 Map out a reorganization and streamlining plan for all independent 
administrative corporations. 
 
7 Work out a new tax to enable contributions to hometowns. 
 
7 Try to build consensus between the government, labor and 
management on raising the minimum wage. 
 
7 Study creating a regional revitalization organ. 
 
7 Start reviewing the distribution of subsidies for managing 
national university corporations. 
 
7 Promote preparations for starting negotiations on economic 
partnership agreements. 
 
7 Aim at eliminating idle farmland. 
 
7 Look into early introduction of daylight savings time. 
 
16) Four major governors oppose "hometown tax payment" 
 
MAINICHI (Page 5) (Full) 
June 13, 2007 
 
The governors of Tokyo, Kanagawa, Osaka, and Aichi Prefectures 
yesterday got together in the Metropolitan Government Office. The 
four governors adopted an emergency appeal calling for a review of 
the government's plan to distribute the local tax revenues of large 
cities to local governments, which it calls a "hometown tax 
payment." The four governors asserted that the system would ignore 
the principle of people paying taxes to the locality in which they 
are the beneficiary of public services. They will present the appeal 
to the government as early as June 18. 
 
At the request of Tokyo Gov. Shintaro Ishihara, Osaka Gov. Fusae 
Ota, Aichi Gov. Masaaki Kanda, and Kanagawa Gov. Shigefumi Matsuzawa 
attended the meeting. The four governors opposed the government's 
plan, saying that the central government is switching the issue of 
decentralization to the redistribution of tax revenue sources from 
larges cities to local governments. They demanded the expansion of 
tax subsidies allocated to local governments, and the transfer of 
tax collection authority to local governments. 
 
17) WTO talks to enter home stretch next week under G-4 lead, with 
Japan left out of loop 
 
TOKYO SHIMBUN (Page 9) (Excerpts) 
June 13, 2007 
 
TOKYO 00002655  010 OF 011 
 
 
 
The new round of global trade talks (Doha Round) under the World 
Trade Organization (WTO) will enter the home stretch early next 
week. In recent talks, the United States, the European Union (EU), 
Brazil, and India (G-4) have taken the initiative. Japan, while 
being left out of the loop, may be forced to make concessions in 
agriculture and other areas. Agriculture, Forestry and Fisheries 
Minister Norihiko Akagi and other officials involved are endeavoring 
to recover from the setback. 
 
The Doha Round started in November 2001. Although the round was 
initially scheduled to end in 2005, it has been extended for more 
than two years with no agreement reached. This time, there is a 
pressing circumstance for the US. The Trade Promotion Authority 
(TPA) the Congress has given to the president is to expire at the 
end of June. 
 
Unless a board agreement is reached in the Doha Round, the extension 
of the president's authority is likely to be carried over to 
sometime after January 2009, beyond the presidential election. Given 
this, many persons concerned take this view: "If negotiators fail to 
come up with some solution to the present impasse in June, the round 
may end in failure or be frozen." 
 
WTO Director General Pascal Lamy has envisioned a scenario in which 
major countries and regions first reach a broad agreement and then 
an accord, to be sealed in multilateral negotiations joined by all 
the 150 members. 
 
In this case, a G-4 meeting to be held around June 19 will be a key 
stage, and Japan may be pressed with the contents of an agreement to 
be reached by the G-4 group. Minister of Economy, Trade and Industry 
Akira Amari said, "We would like to jump into the G-4 meeting," 
indicating a desire to hold a G-6 meeting including Japan and 
Australia, besides the G-4 countries. 
 
In the farm sector, a reduction in tariffs will deal a serious blow 
to domestic farmers. In an effort to make up for lost time due to 
the sudden death of his predecessor Toshikatsu Matsuoka, Akagi has 
held teleconferences with his counterparts of the US, India, 
Australia, and other countries day after day since assuming office. 
He has called for a G-6 meeting, stressing the need of balance 
between food exporting countries and food importing countries in 
negotiations. 
 
18) Co-founder of Steel Partners: "Japan's anti-takeover defenses 
are the worst in the world" 
 
MAINICHI (page 1) (Full) 
June 13, 2007 
 
Warren Lichtenstein, co-founder of Steel Partners, gave a press 
conference in Tokyo yesterday. Steel Partners has launched an 
offensive on Japanese companies, as represented by a proposal to 
take over Sapporo Holdings. This reportedly was his first press 
conference abroad. 
 
He severely criticized the anti-takeover defenses that Japanese 
companies have taken in succession, saying: "Japan's preemptive 
anti-takeover defenses are the worst measures in the world." He also 
expressed opposition to the countermeasures taken by Bull-Dog Sauce 
Co., indicating a stance of confrontation. 
 
TOKYO 00002655  011 OF 011 
 
 
 
SCHIEFFER