I was appointed as the new president effective on June 26, 2009.
Now we are under extremely difficult circumstances due to global financial crisis from the second half of last year.  I will devote myself to further growth and prosperity of our company, while I understand that my duty is greatly challenging. I will appreciate your continuing support and understanding.

In the year ending March 2009 which is the last fiscal year of the third medium-term business plan, despite business performance during the first half year was relatively stable, consolidated sales fell 13.7% year-on-year to ￥44,789 million.  This is because domestic annual production volume of motor vehicles decreased 15.2% year-on-year to 9.99 million units due to recession in the second half year.

For profit and loss, we implemented reduction of labor and other costs as well as rationalization. However ordinary loss was ￥1,605 million mainly due to rise of raw material cost and drastic reduction of production. Net loss was ￥4,915 million mainly due to loss on valuation of investment securities, impairment loss on fixed assets and reversal of deferred tax assets.

For financial position, working capital increased. As a result interest-bearing debt was ￥34.569 billion, up ￥4,611 million from the end of previous year.

Our group, with the slogan “aiming at a reliable global supplier (manufacturing is attained from the development of human resources)”, have implemented various measures such as building up global supply system, expanding sales, developing new products in order to  improve business performance. However we were significantly affected by the above-mentioned global financial turmoil.  Under such difficult circumstances our group is striving to improve earning power as soon as possible as our urgent task by reducing fixed costs and etc. with “Start on business structural reform (Improve efficiency of human, material and financial resources)” as our guideline.

Your continuing support and encouragement will be greatly appreciated.