Every car carries this badge . It shows the condition the auction house recorded during its inspection.
Below are the AAA JAPAN vehicle condition grading standards:

• S - cars with no more than 10,000 km on the clock, often far less, registered no more than a year before the auction. Cars marked with this letter are as good as new.
• 6 - almost new cars, registered within the last 3 years. Mileage runs up to 30,000 km, usually under 10,000 km. You may find a few barely visible scratches on the body.
• 5 - used cars in excellent condition. The odometer reads up to 50,000 km. The body may carry a few small scratches and minor dents.
• 4.5 - still very sought after, very well kept vehicles. The odometer reads up to 100,000 km. Cars in this category are the most in demand for their price-to-quality ratio.
• 4 - cars that have never been in an accident. The odometer may read up to 150,000 km. Scratches may be visible, and the interior may have tears, cigarette burns or stains.
• 3.5 - cars with noticeable scratches and dents; rust or corrosion is rare. The interior often has tears, cigarette burns and stains.
• 3 - cars with large scratches, dents, paint blemishes, rust and corrosion. The interior may have many torn seats, cigarette burns or food stains.
• 2 - cars in poor condition, frequently with rust and corrosion, and all manner of mechanical faults may be found.
• 1 - sunken or flood-damaged vehicles.
• RA - cars that have been repaired after an ordinary accident.
• R - vehicles that have been in an accident. They may have been repaired, but will most likely need further work.