On February 14, 2017, we announced our “KATAKURA 2021” medium-term management plan that ends in FY2021. Since then, we have been making structural reforms based on our fundamental strategy of “transforming Katakura into a growing business.” Especially in regards to unprofitable businesses, we have extended the time frame for the structural reform by a year due to further worsening of the business environment compared to our original plan, and have decided to significantly reduce or withdraw, or have already done so for businesses that are not expected to make a profit for FY2020. In addition, we have significantly reduced our fixed costs and improved our revenue structure by optimizing our organizational and HR systems, expanding our voluntary early retirement preferential system, reconsidering voluntary redundancy and revising our expenses. However, our business portfolio has significantly deviated from our original plan due to our decisive action to structurally reform our group such as by withdrawing from five of our new businesses that were expected to grow. Furthermore, we had to withdraw our current medium-term management plan due to the spreading of the novel coronavirus infection, which has made it difficult to achieve the goal of our medium-term management plan for the final fiscal year of 2021 (consolidated sales of 56.6 billion yen, consolidated operating income of 5.2 billion yen).