2019_4q_omron_e

32/39 ■In Closing

This completes the presentation, but in closing, I would like to reiterate our management policy for this fiscal year. We expect the operating environment for this fiscal year to remain challenging. We have looked at scenarios that call for a further deterioration of the environment or downturn in the markets. Obviously, it is also possible that we could see the market turn positive. We have formulated a plan that we believe will allow us to respond appropriately, regardless of how the environment changes. However, a tough operating environment can also be a great opportunity to capture a competitive advantage. We will not miss any signs of change and will implement measures that will allow us to return to a growth trajectory. The development of assets that support enhanced competitiveness in IAB and HCB, as highlighted today, is an example of our commitment to remaining focused. We are significantly expanding development capacity at the Kusatsu facility, where the HQ for IAB’s R&D is located. Another key topic is ESG management. Companies generate not only economic value but create social value as well. We believe companies have a responsibility to play a proactive role in contributing to the development of a sustainable society. Under Medium-term Management Plan VG2.0, we are proactively focused on addressing material sustainability issues. Our efforts in this area to date have been recognized, with OMRON being included in many ESG indices, including DJSI World. Additionally, as you know, OMRON was added to the Nikkei 225 in March. We remain committed to addressing social issues through our business going forward. This time, the market has focused on the divestment of the AEC business and the reorganization of the business portfolio. However, it is not our intent to simply shrink our business. The cash raised through the divestment will be used for growth investments. We aim to enhance corporate value over the medium- and long-term, focusing primarily on IAB and HCB. We humbly ask our shareholders and investors for their continued support. This completes my remarks. Thank you.