CAPCOM IR

(as of October 30, 2009)

"Sales down as the number of customers continued to fall, but
earnings increased because of cost reductions"

1. Sales were down 14% at existing arcades (-14% in Q1 and -15% in Q2)
2. Existing arcades performed poorly due to the combination of the following factors:
   • Fewer customers due to outbreak of new strains of influenza
   • Absence of popular arcade machines

(Unit: Million yen)

	2007/9	2008/9	2009/9	Difference
Net Sales	6,375	6,847	6,249	-598
Operating Income	682	231	480	249
Operating Margin	10.7%	3.4%	7.7%	4.3%
Year-to-Year Ratio of Existing Stores	88%	84%	86%	2%

(Facilities)

	2008/3	2009/3	2009/9	2010/3 Plan
New Arcades	9	6	0	0
Closing Arcades	0	8	0	1
Total	42	40	40	39

"Revised fiscal year plan due to consistent weakness in first half
sales at existing arcades"

1. Build an efficient operating framework in order to generate profits by rigorously cutting costs.
   • Carefully examine capital expenditures
   • Hold down personnel expenses by reexamining the use of human resources
   • Improve earnings by closing unprofitable arcades
2. Differentiate arcades from other locations by making extensive use of Capcom's own products.
3. Plan to close one arcade in the second half (reducing the total to 39 locations)
4. Revised second half existing arcade sales plan to a year-on-year decrease of 13%

(Unit: Million yen)

	2008/3	2009/3	2010/3 Plan	Difference
Net Sales	13,406	13,509	12,000	-1,509
Operating Income	753	224	600	376
Operating Margin	5.6%	1.7%	5.0%	3.3%
Year-to-Year Ratio of Existing Stores	86%	85%	87%	2%