5/32  - Positioning of FY2017 & FY2018


◎ With this slide, I will explain the positioning of fiscal 2017 and 2018. ◎ Looking at the current global environment, we are beginning to see a rise of nationalism and protectionism in major leading nations as well as increasing geopolitical risks in the Middle East and North Korea. In Japan, the labor market has become tight. In the airline industry, we are seeing an acceleration of alliances between US and Asian airlines. ◎ Under such instability, we first prioritized solidifying our management platform to ensure our ability to achieve the goals outlined in our current strategies. In fiscal 2017 and 2018, we are planning for a mild expansion for International Business, and during this two-year period we will establish a solid structure in preparation for our next growth stage. ◎ First is a comprehensive review of safety and quality services. Safety is our promise to the public and is the foundation of our business. As the head of management, I instructed all Group companies to prioritize safety without sparing additional labor or costs. Second is our investments in human resources. We will implement measures to stably secure the human resources that will support future growth. Third is the consolidation of Peach Aviation. Combined with ANA and Vanilla Air, we will build the optimal portfolio as an Air Transportation business. ◎ Also, there is no change in our current basic strategy. Over the next two years, we will solidify our current business foundation and pursue sustainable growth for the Group. ◎ Please turn to page 7.