After the success of our revival plan in 2003. Innotech entered a new stage in conducting strategic business deployment. In line with that, we will continue our progress to become a company capable of showing strong sense of unity and creativity, never being satisfied with the current state of affairs in our search for self-imposed change and development.

In terms of business deployment, we plan to become a solutions provider with engineering at the core of our activities. In addition to our main businesses which include software for semiconductor design (EDA) and hard disk drives (HDD), we will focus on full engineering activities such as our internally-developed test system RETSET, ASIC design/sales, embedded software development and others, fostering the creation of new value through the functional integration of engineering and sales resources. We also maintain advanced and creative engineering activities in our affiliate subsidiaries in an effort to create the maximum synergetic effect in our group.

As the world financial crisis aggravated in FY 2008, many companies have suffered from weak or negative financial results and while the household consumption has been stagnated, the electronics industry, which Innotech group is a part of, was also severely affected in FY2008. The market condition worsened due to the trends of further curtailed facility investment by digital consumer products and industrial equipment manufacturers, whose growth is expected to be driven from the U.S. and European markets.

Under the tough business environment as such, Innotech group has actively pursued the so-called Advanced Service Business and kept providing high value-added products and services. While EDA Software business from Cadence Design Systems in the U.S. and embedded software business from IT ACCESS remained stable, sales from semiconductor tester, electronic device, and hard disk drive businesses substantially decreased. As a result, Innotech financial results in FY 2008 were;
Sales: 30 billion 18 million yen (43.2% decrease compared to FY 2007 sales)
Operating profit: 1 billion 230 million yen (63.1% decrease compared to FY 2007 operating profit)
Ordinary profit: 1 billion 218 million yen (62.4% decrease compared to FY 2007 ordinary profit)
Net profit: 474 million yen (69.6% decrease compared to FY 2007 Net profit)

As for the final dividend for FY 2008, it was resolved as 12 yen (interim dividend 8 yen) at the 23rd general meeting of the stock holders. Thus, the annual dividend turned out to be 20 yen.

We recognize as our reason of existence to capture the needs of the rapidly changing field of advanced electronics and provide optimum solutions based on our keen vision ameliorated for 20 years since our establishment. Nowadays, the products and technologies that we handle are present in various digital home appliances and office supplies that are used on a daily basis. The growth of Innotech is linked to the excellent companies that manufacture these products and consumers as well. The guiding principle of our activities is to make everyone's live more plentiful and pleasant by means of our semiconductor business and contribute to the future's society.

Thank you very much,