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Greetings

Yamato Holdings Co., Ltd. President Makoto Kigawa

First of all, Yamato Group extends its deepest condolences to all those affected by the East Japan earthquake, especially those who have lost loved ones and friends.

The goal of Yamato Group is to help bring about a better society by further refining the Takkyubin network, which is a part of the social infrastructure, creating services that facilitate more convenient, comfortable lifestyles, and developing innovative logistics systems. Our company is managing its businesses in pursuit of this goal, towards which it will continue to strive. To this end, we have been working to improve quality by constantly putting ourselves in our customers’ position, while leveraging the capabilities of the whole Group to develop unique services to further improve convenience for our customers.

Today, the Yamato Group has over 40 business domains and is expanding them domestically and abroad, utilizing our IT (information), LT (logistics), and FT (settlements) resources and using our last-one-mile network to the end user as a foundation. In order to respond to the changes in the business environment caused by the phenomenon of Japan’s ageing society and the emergence of and expansion towards a borderless economy, we continue to take steps towards sustained growth. Our major policies for “the further evolution of Takkyuubin” and “global expansion focusing on countries in the Asia-Pacific region” exemplify those efforts.

In April, our new medium-term management plan called the “DAN-TOTSU Three-year Plan HOP” had commenced. Targeting 2019, the year of our 100th anniversary, we have formulated an initial three-year plan as part of our nine year long-term management plan, “DAN-TOTSU Business Plan 2019.” We aim to become the number one distribution and lifestyle support solutions provider in Asia in nine years, while adapting to the various business environment changes.

Under the “DAN-TOTSU Three-year Plan HOP,” two initiatives are incorporated: to build life-long lifestyle support platforms that are rooted in each local community; and to enhance our network in Asia. In Japan today, the infrastructure for some lifestyles is unable to keep pace with the changes that are occurring in our social structure. We are beginning to see problems occurring in society where shopping is becoming increasingly difficult for some people (especially elderly), and shops and marketplaces are dwindling away. We can see that the most important strength that the Yamato Group can offer society today is our complex network, which reaches every corner of Japan. While the services of our domestic network are being improved, the Yamato Group is enhancing our lifestyle support services to be even more deeply rooted in local communities, offering the total power of our Group. On the other hand, we are also improving the conveniences offered to our customers in Asia by expanding the Takkyuubin network to new regions (countries) in addition to Singapore, Shanghai and Hong Kong, and by providing high-quality distribution services. We have also begun constructing in Japan the largest-class distribution terminal, “Haneda Kuro-No-Gate,” in order to provide unique solutions utilizing our globally expanding network. We aim to build a Yamato Group-unique distribution platform using this facility.

Each and every one of us of the Yamato Group is involved in the creation of new services to provide satisfaction to our customers. We will make every effort to become “the company which is the most appreciated and trusted by society” in Japan and Asia.

We look forward to your continued support and encouragement.

April 2011
Yamato Holdings Co., Ltd.
President

Makoto Kigawa

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