CAPCOM IR

(as of October 3, 2011)

We operate "Plaza Capcom" amusement facilities in Japan. These arcades are predominantly in large commercial complexes and host various events designed to attract families and female customers. We have diligently followed a scrap -and-build policy to maximize our efficiency in arcade operations.

• A stagnant domestic economy and sluggish consumption have resulted in fewer customers and market contraction for the third consecutive year.
• The number of major arcades operated by game companies closed continued to increase as the overall number of arcades continued its diminishing trend.
• The Great East Japan Earthquake has affected the consumer mind, and the anticipated rolling blackouts are expected to influence people seeking leisure that is inexpensive, near and short in duration.

• We specialize in opening mall-based large-scale facilities which secure a long-term, stable number of customers.
• We have built an organizational structure to design and operate sales venues supported by customers.
• We also maintain relatively higher profitability than the competition by either selling or closing unprofitable facilities in an attempt to secure a better return on investment.

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