CAPCOM IR

Japan’s economy is leveling off and the outlook is uncertain. European and U.S. financial problems, worries about an electricity shortage and a worsening export environment due to the yen’s strength are all contributing to this situation.

In this difficult environment, Capcom released “Monster Hunter 3 (Tri) G” (for the Nintendo 3DS) late in 2011. The core title in our strategy for the year-end selling season, this game surpassed one million units in shipments in Japan only 10 days after its release.

The game content industry is in a period of unprecedented change. We are witnessing an enormous shift in the structure of the entire market. In the past, packaged software accounted for most sales of home video games and PC software. But breathtaking growth in the markets for cell phone games and social games is now quickly eliminating the boundaries that separated different game platforms.

Capcom views these changes as opportunities. This is why we will continue to focus on three strategies. First is our multi-platform strategy in which we supply content for all types of hardware. Second is our single content multiple usage strategy in which we use content in a variety of media. Third is our global strategy in which we aim to increase our market share worldwide. All three strategies have the objective of maximizing our earnings. In addition, we are using online capabilities to expand outward from our B-to-B business that involves selling packaged software to retail stores. By strengthening B-to-C activities in order to provide services directly to users, we are determined to achieve more gains in customer satisfaction.

As Capcom’s Chief Operating Officer, I will concentrate on setting the best path forward in order to succeed in this era of rapid and tumultuous changes in our markets. My goal is to make Capcom the leading company in our industry.