Thank you for your ongoing support of our company.First, we extend our heartfelt sympathies to all victims of the Great East Japan Earthquake. We are praying for a speedy recovery from the disaster.

On January 28, 2011, we celebrated the 50th anniversary of our founding. We are deeply grateful for the support and goodwill that we have enjoyed from our shareholders and from society at large throughout our history. We have embarked on a new start with a desire to advance into the future together with all of you, ushering in a new era of energy. We are committed to transforming into a company universally recognized as indispensable in vibrant communities where everyone is active, enjoying encounters with friends and neighbors and naturally exchanging greetings on the street. With many people still suffering in the aftermath of the recent unprecedented disaster, we believe that now is the perfect time to put our vision into action. By surmounting this difficult challenge together with Japanese society as a whole, we are confident that we will realize the "new stage" to which we aspire.

We carried out our Core & Synergy 2010 plan over the three years through fiscal 2010. Looking ahead, we have designated the three years from fiscal 2010 as a period of further dynamic growth in which we will proactively endeavor to transition to a new business model while extending and expanding the management strategies we developed during Core & Synergy 2010's term. Toward this end, we have formulated a new Group medium-term business plan named "Core & Synergy 2011: Phase II in Pursuit of a New Stage through Reform." Under this new plan, we aim to execute our growth strategies by harnessing our Group capabilities.
At the heart of Core & Synergy 2013 is our ambition to increase earnings while strengthening and upgrading our core businesses, developing demand-creative businesses from the consumer's standpoint, and realizing sustained growth in tandem with local communities as a provider of "best mix" energy solutions. Specifically, we will place priority on (1) upgrading our petroleum product distribution functions (2) developing demand-creative businesses from the consumer's standpoint, (3) evolving into a "best-mix" energy solutions provider, (4) actively expanding overseas operations, and (5) conducting medium- to long-term support activities to aid post-disaster reconstruction.

For fiscal 2011, we are forecasting net sales of ¥1,269.0 billion, operating income of ¥9.3 billion, ordinary income of ¥9.5 billion, and net income of ¥4.0 billion, all on a consolidated basis. Regarding shareholder returns, we intend to maintain our consolidated dividend payout ratio of 30% or more.
We hope to meet our shareholders expectations with our future endeavors and request your continued and undiminished support.