I would like to extend my gratitude to shareholders and other investors, and all of the Mazda Group´s stakeholders including customers, suppliers, and local communities, for your continued support and understanding.

In the fiscal year March 2012, due to the historical yen´s appreciation, impact of the Great East Japan Earthquake, crisis in Europe and the flood in Thailand, business environment surrounding us has drastically changed and a challenging situation is continuing in the fiscal year March 2013. In such a business environment, we will implement structural reform to reinforce Framework for Medium- and Long-Term Initiatives. The concrete actions for the Structural Reform Plan include;

(1) Business innovation by SKYACTIV TECHNOLOGY,
(2) Accelerate further cost improvement through Monotsukuri Innovation,
(3) Reinforce business in emerging countries and establish global production footprints and
(4) Promote global alliances

SKYACTIV TECHNOLOGY, which is installed in the new Demio launched in Japan and the new Mazda3 introduced in Japan, North America and Australia last year, has received universal praise, winning various awards. In this year, the new CX-5 cross-over SUV has started introduction in global markets as the first model that fully adopts SKYACTIV TECHNOLOGY. The new CX-5 is off to spectacular start, exceeding our expectations as orders for the new CX-5 are far surpassing initial estimations. Moreover, we will launch the new Mazda6 equipped with the "i-ELOOP" regenerating braking system, globally starting in the second half of 2012.
Although a challenging situation continues, we will reinforce our Framework for Medium- and Long-Term Initiatives and implement structural reform driven by new-generation SKYACTIV TECHNOLOGY, in order to address changes in external environment and ensure future growth.

I ask for the continued support and guidance of all shareholders and investors going forward.