Developing    and maintaining    professional   human   resources in   each Area to realize business plan (Diversified hiring process, strategic alliance, etc.

Strategic allocation of human resources and “right person in a right place policy In the group (job bid system, etc.)

Enriching human resource training program (Exchange of personal with outside organization, short-term executive courses, etc.)  Enhancing our corporate strength with efficiency and soundness.

Efficient Group Operation   on Global Basis Upgrading    and   full   use of   infrastructures for group management (group Finance, etc.)

Enhancing function   with  hire productivity    in  the corporate  group.

Cutting   cost  by  streaming   operation   (promoting    shared  –  service  and  back- office, etc.)

Corporate Governance

Recent  outbreaks   of corporate   scandals  have undermined    trust  in  the  economic system,  and  corporate   governance   is under  a spotlight   as a universal  issue. After Incorporation,   we  released the  Company  Corporate  Governance   Principles  with  a view  to enhancing   efficiency,  maintaining   soundness, and improving   transparency of  our  management.    What  are  notable   in   the  principles   are the  following    five elements:   increasing   the  number   of  outside   auditors;   reducing   the   number   of board   members;   appointing    advisors  from   outside   the  Company;   adopting    an executive  officer  system; and setting  a limit   to the terms  of office  of the  chairman and  president.  Studying  several approaches   and  looking  at current   movement   in the  industry,  we  have reached  the  above  principles  with  approval  of the  Board. At the  same time,  we reaffirmed  that  the  essence of corporate  governance   is not the system  pulse.  Rather,  it  is our  basic  and  unchangeable    philosophy    that   upper management    should   conduct    business  with   a  sense  of  nobles   obliges   and  a passion   for   the   mission    in   accordance    with    company    Business   Spirit   and Management   Principles.

Prosperity  and  Dreams

Our  business  environment    is going   through    manifold   changes,  including   value systems  further   diversifying,   technological    innovations    continuously    advancing, various geopolitical   issues arising, trend  towards  global  environment    conservation growing,  and more. These changes  taking  place across the globe  are likely to grow in both  speed  and  magnitude.   However,  Company   is well  prepared  to cope  with such  circumstances.   We  will   continue    to   grow   to   become   a  leading   global company  that  realizes our Corporate  Mission  Statement,  “to achieve  prosperity  and realize dreams;’ as well as provides  diverse values to our members.

To achieve these goals, we are steadily and continuously   making  progress with  our reforms to consolidate   our earnings  base and reinforce  our financial  soundness.  As a further  step, we are tackling  the ambitious   targets  set out  in the AA Plan, building on our achievement   in reforms  to date.