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.

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 such a situation, we will implement structural reform to reinforce Framework for Medium- and Long-term Initiatives. The concrete actions for the structural reform includes;

(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 already. In this year, the new CX-5 cross-over SUV will be introduced in global markets as the first model that fully adopts SKYACTIV TECHNOLOGY. Moreover, we are introducing a mass production model that materializes the "TAKERI" concept, which was unveiled as the world-premiere at Tokyo Motor Show 2011, in Japan by the end of this year.
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.