Outline of Results Briefing held on May 12, 2016

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Next I would like to present our medium-term targets.

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As I mentioned earlier, our medium-term targets are for organic growth to result in net sales of ¥300-400 billion and operating income of ¥50 billion.

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Here I would like to discuss the initiatives that we intend to get us to our medium-term targets.

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A basic initiative that we intend to continue to undertake is that of further enhancing our three pillars: HD Games, MMO, and Games for Smart Devices/PC Browsers. We will maintain our initiative to further enhance our IP portfolio via the creation and sales of major titles, which we will roll out in multiple formats in order to maximize our earnings opportunities. Recently we have noted a phenomenon whereby the release of a new title from a major IP franchise results in strong global download sales of previous titles from that same franchise. That is another reason that we see the constant release of major new and existing titles as key. The three initiatives for the future listed here are (i) premium apps for smart devices, (ii) VR/AR, and (iii) emerging market development.

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