Mazda's current operating environment has been one of unprecedented difficulty, with the global financial crisis spreading to the real economy, leading to a sharp slowdown in both Japan's economy and overseas economies from the second half of 2008. Further adversities have been seen in the global decline in automobile demand and the yen's rapid appreciation.

Mazda is dealing with this situation by implementing emergency measures in all areas -production, sales and development- to accelerate Cost Innovation initiatives and build a streamlined and lean management structure. Despite adverse results for the March 2009 fiscal year as a result of the rapid weakening of the global sales environment, Mazda's product strength allowed us to increase or maintain our market share in major markets. I believe this reflects the high opinion of customers for Mazda's Zoom-Zoom automotive craftsmanship and demonstrates the success of our product-led growth strategy.

The current difficult operating environment is expected to continue for some time. In addition, competition among automakers is increasing in areas like environmental technology. In the face of these challenges, Mazda is accelerating its efforts in medium- and long-term product and technological strategies based on the "Sustainable Zoom-Zoom" concept; accelerating structural reforms focusing on Monotsukuri Innovation; emphasizing to increase brand value and business efficiency; while at the same time endeavoring to use popular products as a foothold to increase our share in major markets. In terms of the environment, we will improve base technologies that are the foundation of vehicle development. These technologies include innovative powertrains and significantly lighter vehicle weight in our next-generation products, and the progressive introduction of electric devices including hybrid engines.

The automotive industry is currently facing difficult, challenging tests, but this can also be viewed as a major opportunity for Mazda to continue to shine for the next five or ten years. We will address the variety of issues we are facing with the entire Group working together as One Mazda toward achieving a bright future for Mazda.

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