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I’d like to take this opportunity to thank all shareholders and other investors for their continued interest in and support for Circle K Sunkus.

Today, December 29, we announced our earnings for the first three quarters of fiscal 2010, the year ending February 28, 2010.

During this period, we conducted a large sales-promotion campaign in November to mark the second anniversary of the birth of the Cherie Dolce original dessert selection, one of Circle K Sunkus’ hallmark brands. The Cherie Dolce α (Cherie Dolce Alpha) series of room-temperature baked and semi-fresh (hannamagashi) confectionery was also newly released to further enhance brand power. In the second half of fiscal 2010, we also began stocking at all times at least four different items from the ￥398 Otegoro Bento series of boxed lunches, in order to address the increasingly strong low-price preferences of our customers. At the same time, Circle K Sunkus raised the quality of premium, valued-added boxed lunches. Through these approaches, we strove to address the increasingly dual nature of consumer needs and boost rice-dish sales. Nevertheless, Circle K Sunkus posted generally weak sales as the impact of sluggish consumer spending became even more apparent than before. With third-quarter existing store sales decreasing 5.0% year on year on a non-consolidated basis, Circle K Sunkus faced difficult sales conditions. As a result, total store sales declined 3.5% year on year to ￥690,514 million on a consolidated basis. Earnings also decreased because of higher cost outlays accompanying large investments in new systems and services made in the previous fiscal year, and a shortfall in total store sales relative to target. The drop in earnings came despite rigorous cost-cutting measures focused on cost effectiveness. Please view our earnings report for the nine months ended November 30, 2009.

On December 21, 2009, Circle K Sunkus announced a business tie-up with cocokara fine HOLDINGS Inc., which manages the SEGAMI and SEIJO drugstore chains. As the convenience store industry approaches a mature phase of development, I believe that it will be imperative to develop entirely new convenience stores to drive new growth. The business tie-up with cocokara fine HOLDINGS is just the first step of this process. Other initiatives include Plug-in Hybrid Vehicle (PHV) and charging-station installation trials with Toyota Motor Corporation, which were announced on December 18. Through these and other measures, we will continue to actively promote collaboration with different business sectors, with the aim of reinventing convenience stores like never before.

As employment and income conditions further deteriorate due to the weak economy, we expect to continue facing adverse sales conditions because of weak consumer spending. However, I see these tough circumstances as the perfect opportunity to act on new ideas and transform ourselves. By boldly embracing new challenges—things that only Circle K Sunkus can do—we are determined to improve sales and our business performance as a whole. The continued support and understanding of all our shareholders and other investors will be as vital as ever.