Good afternoon. I'm Yuki Kusumi, Group CEO of Panasonic Holdings Corporation. Thank you very much for participating in this online briefing despite your busy schedule. Before I start, I would like to express my concerns regarding the current situation in Ukraine. I offer my deepest condolences to those who have lost family members, and I hope the world will return to peace and security as soon as possible. Now, I'd like to start today's briefing on our group strategy. Before explaining the details of our new medium-to-long-term strategy, I would like to touch on the start of a new structure and look back on the previous medium-term period. Today, on April 1, we changed our corporate name from Panasonic Corporation to Panasonic Holdings Corporation, and we transitioned to a new group structure by establishing operating companies as independent legal entities. The previous name of Panasonic Corporation is succeeded by Lifestyle Updates Business Division, which was established as a divisional company in October of 2021. Under the new group structure, operating companies play the main role, and therefore we call the system an operating company system. Each operating company will squarely address society and customers, implement thorough autonomous management, and accelerate enhancement of competitiveness. Now, looking back at our achievements during the previous medium-term period, during the three years of FY 2020 - FY 2022, we focused on eliminating losses from businesses with loss-making structure and enhancing management structure. As a result, our cash generation capability has steadily improved despite major external business environment changes, including COVID-19. At the briefing held last May, I defined FY 2022 and FY 2023 as the period to focus on enhancing competitiveness to further improve profitability, and we will continue with such efforts this year. Looking back on FY 2022, we did take a step forward in enhancing competitiveness, but there still is room for improvement to firmly embed autonomous management. Thus, during this second year, we need to make further efforts. As for challenges, upon formulating strategies, we need to first focus on long-term and customer perspectives. In a rapidly changing world, we should envisage major social changes instead of looking at just two to three years. What is best for our customers, and how can we translate our great mission into actually achieving our goal by backcasting from those changes? Second, improve adaptability to changes and make our management speedier to an outstanding level. To do so, we need to eradicate wastefulness, stagnation, and rework, which exist in many front lines of our business, so all employees can focus on truly value-added activities. Also, creating a system and corporate culture that maximizes the potential of each employee would be necessary. Today, I would like to explain the group-wide vision and measures to achieve the future goals of each business based on the challenges we need to take up. Now, the details of our new medium-to-long-term strategy. This shows the future direction of the Panasonic Group. Our founder proclaimed that we should achieve an ideal society with affluence both in matter and mind. Toward this, our mission today is to contribute to solving global environment issues, support health and well-being of people both in mind and body, in lifestyle and work style, for everyone around the world. Being unrivaled in accomplishing valued work, we can make great contributions. Accordingly, we will be able to return profit to society and our employees. Also, we can make investments toward future contributions. This is the cycle that leads to enhancing our competitiveness. To enhance competitiveness, both strategy and operational capability are indispensable. That is, strategy built upon long-term perspectives, not simply focusing on short-term profit or extension of the current situation, and operational capability to make any business front lines speedier by eradicating wastefulness and stagnation. To attain such strong competitiveness, we will thoroughly implement our basic business philosophy and continue to make contributions to environment, lifestyle, and work style towards an ideal society. This shows the outline of our new medium-to-long-term strategy. Details of each item will be explained later. The past medium-term strategy tended to focus on achieving sales and profit, in particular operating profit margin in the final year of a three-year period. With this new medium-to-long-term strategy, we will shift to longer perspective management. Considering the social changes in around 2030, we aim to become unrivaled in competitiveness in terms of speed and scale, being in harmony with our employees and business partners. First, I will explain the details of the group's long-term environment vision, Panasonic Green Impact Toward 2050, as an example of our contributions we can make to solving global environmental issues, which is an urgent challenge we face. Second, I will explain the details of medium-term KGIs, our investment policy that drives our future growth with long-term perspectives and also our global strategy. Finally, I will elaborate on the important group-wide initiatives toward enhancement of competitiveness at each operating company, implementation of management that maximizes the potential of each employee's and PX and front line innovations, which aim for thorough enhancement of competitiveness, including operational capability. Details of each operating company's strategies will be explained by the heads of each operating company at the IR Day event in June. Let me explain Panasonic's Green Impact. In May, we announced our commitment to achieve net zero CO2 emissions at all operating companies by 2030. At CES in January, we announced the group's long-term environmental vision, Panasonic Green Impact. This shows our firm commitments to make positive impact to expand size of contribution in CO2 reductions for society as well as our action. We stated that Panasonic is responsible for reducing 110 million tons of CO2 in our overall value chain, including CO2 emissions from use of sole products. We should make contributions to these areas through a wide range of business activity. However, detailed numerical targets were not yet included. Today, we announced that by 2050, through group business activities, Panasonic aims for impact of reducing over 300 million tons of CO2 emissions, equivalent to approximately 1% of total global emissions as of today. Impact reduction consists of three parts. First is from our own value chain. In this category, Panasonic emits 110 million tons. We will achieve net zero by combining acceleration of energy-saving initiatives, decarbonization effects on society, which will progress toward 2050. Second is related to our existing business areas, where Panasonic currently emits 100 million tons. We will achieve this reduction through expansion of environment-friendly vehicles with our automotive batteries, supply chain software, and energy-saving technologies in products such as Air Quality and Air Conditioning to reduce consumption at customer site. Third is related to energy transformation for society. We will contribute 100 million tons through new technologies such as hydrogen energy and creation of new businesses. Altogether, we will make the reduction of over 300 million tons of CO2 emissions. We set this Panasonic Green Impact as the center of new medium-to-long-term strategy, and we will make strategic investments as well as take actions for our contributions. Next, medium-term KGIs. As a group, cash generation capability is essential, in particular for tax payment, dividend, and employee salary. Also, it is necessary for investments in our contributions to society in the future. We will set accumulated operating cash flow for the next three-year period as one of the medium-term management indicators. Specifically, we aim for JPY 2 trillion of accumulated operating cash flow and JPY 1.5 trillion of accumulated operating profit during the three-year period. To achieve these, we must thoroughly enhance competitiveness at each operating company. For instance, China and North Asia Company managed to decrease over 20% of manufacturing costs in appliances as part of competitiveness enhancement initiatives. It gave us confidence to compete in pricing while also securing profit, even in a very competitive market like China. This is just one example, which taught us there still is a lot of room for improvement in cost competitiveness and profitability as a group. Another medium-term indicator, we set ROE of 10% or higher in fiscal 2025, which measures cost of capital efficiency. Accumulated operating cash flow and ROIC will be the medium-term management indicators for operating companies. This slide shows our investment policy. In principle, each operating company will make investments with the cash generated through its own business for further growth toward its long-term goals. With strategy formulated from a long-term perspective and operational capability strengthened by elimination of wastefulness and stagnation at any front lines, by enhancing competitiveness, we will accumulate cash and aim for JPY 2 trillion of accumulated operating cash flow. I will elaborate on this later. While maintaining financial discipline, we will make group-wide strategic investments with the cash generated through enhancing competitiveness as well as the investments made by each operating company. A total of JPY 600 billion in three years will be invested to achieve our future goals, JPY 400 billion in growth areas and JPY 200 billion in technology pillars, respectively. Panasonic will make medium-to-long-term investments in three growth areas. First, the automotive battery. From the global environment perspective, it is essential that the cost and safety level of electric vehicles should far surpass that of internal combustion engine vehicles. To enable this, we will make group-wide investment to thoroughly and rapidly strengthen battery capacity, safety, and cost competitiveness. We will commercialize new high-capacity cells with 46 mm diameter at full speed by refining our high-quality and safer automotive battery technologies and achieving industry-leading cost competitiveness. First, we will verify productivity at Wakayama Factory, and mass production is to start in fiscal 2024. From the sustainable perspective, it is essential to be considerate of the use of precious and limited materials. With the lithium-ion batteries, we have already achieved a significant reduction of cobalt. Our battery contains less than 5% as of 2021. We have also developed technologies to realize cobalt-free cells, and mass production is in our target when requested. Second is the area of supply chain software. Due to the declining working population, we face labor shortage at the front lines of manufacturing and logistic industries. There are strong demands for higher efficiency and standardization. Solutions that autonomously improve the overall supply chain are necessary. Even if the solutions run autonomously, there is a limit to how sweetly we can optimize the front line operations, which requires higher skills. Therefore, solutions enabling people at the front lines to eliminate wastefulness and stagnation in supply chain without having special knowledge are needed. To achieve these, we will offer the wide range of software solution packages and optimize operation processes by collection, accumulation, analysis, and utilization of various data at front lines. Through these, we will contribute to optimize overall supply chain and improve efficiency of management for customers. In addition, Blue Yonder's AI accuracy will be enhanced, and software solutions will evolve. We will also contribute to reduce environmental impact through energy savings, which are achieved by eliminating wastefulness and stagnation in supply chain. Third area is Air Quality and Air Conditioning. Due to COVID-19, there are growing demands for solving people's anxiety about bacteria and virus. Since air conditioning equipment consume a large portion of the global electric power, we can make huge contributions to the global environment while people enjoy clean and safe air and comfortable lifestyle. To achieve this, Panasonic will continue to develop unique technologies, including nanoe X, NGA, Inox and humidity control technologies. We would also develop advanced coordinated systems integrating Aiir Quality and Air Conditioning to manage both comfort and energy savings. We would make investments mainly in Europe, China, and Japan. We will establish foundations for sales, engineering, and services to continuously offer customers with clean, safe, and environmentally friendly air and expand the lineup of advanced coordinated products. Integrating our customer contacts with knowledge and technologies accumulated over 100 years of R&D, we will vitalize the future with air. Next is our global strategy. Panasonic will implement strategies that address local customers with regional characteristics and enhance operational capability. Through businesses, we will expand Panasonic Group Impact. In China, we will refine our cost competitiveness and speed of management nurtured in China to become the best lifestyle partner rooted in China with perspectives of environment, health, elder care, and cleanliness. In lifestyle applications, we will apply our cost competitiveness and speed of management throughout the other Asian regions. In automotive and factory automation, we will continue to localize operations from product planning to sales and expand our contributions to our customers. In North America, we will take advantage of our local presence and aim to help group-wide growth. More specifically, we will refine our software capability speedily in order to make the contributions to solve issues of front lines and optimize customer supply chain. In Avionics, we will develop and propose lightweight models by collaborating with aircraft manufacturers to accelerate reduction of fuel consumption aircraft. We regard Europe as an advanced and important region for environment regulations and global rulemaking. We will expand businesses in air to water with increasing demand for environment aspect and integrated Air Quality and Air Conditioning systems suitable to the European market. Let me give you three examples for investment in technology pillars. First is initiative in hydrogen energy. To achieve carbon neutrality, it is essential to significantly reduce the use of fossil fuel and to introduce larger scale of renewable energy. As renewable energy such as solar power generation and wind power generation is not stable due to the weather, we need to accelerate full-scale implementation of hydrogen energy. We do have an industry-leading high-efficiency electro technology, and we apply this to produce hydrogen. We would also develop high-efficient hydrogen power generation technology based on this technology to contribute to the stabilization of power grid. The development of high-efficient fuel cell is also underway. We will apply this to the next generation residential fuel cell system, Ene-Farm, and pure hydrogen fuel cell generator, H2 Kibo, in order to accelerate decarbonization in power generation area. Furthermore, we aim to establish energy management technologies which link distributed energy located in various facilities such as houses, factories, and others, and power storage systems and EVs to improve effective use of electric power and contribute to clean energy transformation for society. Next is cyber-physical system. With CPS, we can find and offer optimum solutions for issues in lifestyle and worksite by linking physical world and cyberspace. Let me give you one example. Panasonic is trying to better understand what customers really need via our products. Using AI and software technologies, we aim to bring better value in lifestyle experience with our products and services. To ward achieving this goal, we will leverage the experience and high level of technologies gained from Johanna's lifestyle service business started in the United States in September last year and become flexible and speedier to meet ever-changing customer values. Also, we will continue to engage in R&D for the technologies that understand people and aim to create new value for customers. The core is biosensing, emotion recognition technologies. Users can visualize issues in physical space by modeling people's emotions and conditions in cyberspace and provide optimum solutions. We will expand this technology to a wide range of businesses, including offices, lifestyle, and automobile space. As for worksite situation, we will continue to develop digital technologies to visualize and optimize wastefulness at front lines. I will talk about this when I talk about front line innovations later. This shows Panasonic Group-wide Technology Pillars, including technologies I explained in the previous slides. Toward the ideal society with affluence both in matter and mind, we will strengthen technology pillars which contribute to environment and well-being of lifestyle and worksite as a group. We also proactively invest in ventures in our research for new technologies. Lastly, I will explain group-wide key measures toward enhancing competitiveness at each operating company. Our employees will play the major role in enhancing competitiveness. I will talk about the management that maximizes the potential of each employee, then about group-wide DX and front line innovations as measures to further enhance the competitiveness, including operational capability. To maximize the potential of each employee, we will attentively listen to employees who are willing to take up challenges and create a working environment that maximizes the potential of unique characteristics. First, we will provide equal opportunities for employees with diverse characteristics to accommodate the various backgrounds and situations of our employees. We will introduce various ways of worksite so they can continue to initiate their own actions. We will introduce job-type employment in HR management to clarify the required role, responsibility, and skills. We will continue training to support improving skills. In addition, we will eliminate excessive burdens in the promotion and screening so more employees will be able to take up the challenges for higher positions regardless of their situations. We will also support each employee in taking up challenges. HR and development systems will be optimized according to each operating company, supporting employees acquiring the specialty skills required in each business. We will revise the internal recruitment system by easing application requirements to activate HR exchange across companies to generate opportunities. Through those measures, we will create a working environment that maximizes the potential of the diverse capabilities and unique characteristics of our employees to enhance competitiveness at each operating company. Next is Panasonic transformation toward enhancing competitiveness by DX. Since last year, we have been implementing Panasonic transformation with DX to transform our worksite and business processes beyond IT transformation. In worksite innovation, we will eliminate work that does not create added value and make work more efficient with use of IT. More specifically, we will reduce workload of our employees, in particular middle management. For example, middle management are overloaded with work such as personnel management, including time sheet management and accounting management. We will unload those works with further efficiency in using IT. In business process innovations, we have started with various initiatives distinguishing between the actions that can be dealt by operating companies and actions that can be dealt by Panasonic Group as a common target because of the economic scale. They range from R&D, design, manufacturing, sales, to procurement. In this Panasonic transformation, we will invest JPY 124 billion for the three-year period from FY 2023 to 2025. We have already identified 150 themes to change worksite and business processes that group will support competitive enhancement at operating companies with DX. Next, I will show you a video introducing the front line innovation initiatives. [Foreign language] It was Panasonic Group's Front Line Innovations. I hope you enjoyed it. The idea of making front lines lean to contribute to the global environment and the happiness of the people can be applied anywhere beyond Panasonic. We will make contributions to our corporate customers in the perspective of their management and supply chains, reducing their environmental impact and well-being of their employees. Now, on March 30th, we placed ads in major newspapers regarding the start of our new structure. "Live Your Best." This is our new brand slogan for Panasonic Group. Our founder, Konosuke Matsushita, aimed toward prosperity with matter and mind as one. Throughout his life, back in 1932, he recognized the mission of the company as a true mission of industrialists. Only after there is spiritual peace of mind and limitless supply of material goods will humanity achieve true happiness. He set his aim to achieve this with the so-called 250-year plan. Konosuke described 1932 as the first year of Meiji, which means recognizing the mission. This year is the 91st year of Meiji. Basic Management Objective states that we will devote ourselves to the progress and development of society and the well-being of people through our business activities, thereby enhancing the quality of life throughout the world. This expresses our aim to achieve affluence both in matter and mind together. Our former brand slogan, "A Better Life, A Better World," directly expressed our Basic Management Objective. However, there were cases where we would try to offer better products from a self-centered perspective, lacking a proper understanding of the slogan and the main idea behind the Basic Management Objective without sufficiently thinking of customer's perspective. Therefore, we have decided to adopt this new slogan, "Live Your Best," to remind all of us of our mission to contribute to the prosperity with matter and mind as one for humanity, to achieve true happiness, revisiting our true mission that Konosuke recognized. This slogan also embodies my hope that each employee will turn their thoughts to each customer's happiness. Toward what we aim to be in 2030, everyone at all operating companies of the Panasonic Group is determined to continue our efforts to help our customers live their best. Please stay tuned for more developments from the Panasonic Group. Thank you very much for your kind attention. [Foreign language] Hirashima please. Thank you, Hirashima from Nikkei. I hope you can hear me. Yes, we can. Thank you. Strategic investments, a total of JPY 600 billion. I have a question on that. Compared to other dedicated companies, I think looking at specific areas, you are inferior. At the same time, you have expertise, technologies, for example, Air Quality and Air Conditioning technologies being able to have synergies. You do have the advantage. How do you regard the size of this investment that you have in mind? First of all, Hirashima-san, thank you very much for your question, and thank you for supporting us. If you can look at the slide more closely, you will find that the operating companies will be making investments based on the cash that they generate on their own, and they are shown on the upper part of the slide. JPY 400 billion +JPY 200 b illion investments to be made by Panasonic Holdings as a group. Those would be the businesses or the areas that are important for the strategies for this group overall. Operating companies' investments will be on top of what's shown there. HIRASHIMA-san, was that helpful? Yes, thank you. I have another question. A follow-up question, actually. In air conditioning, over JPY 100 billion investments, over three to four years, I think. Do you feel that they are good enough to be called a strategic investment if you include investments to be made by the group as well? Now, operating cash flow, you do have the target there. How challenging are these targets that you have set for yourself? Thank you. Air Quality and Air Conditioning, what action should we take? Depending on those, the size of the investments required would vary. In any event, each operating company, including the Air Quality and Air Conditioning, will be enhancing the strategic competitiveness. There still is room for improvement, I think. So in Japan, Europe, and China as well, we need to make investments for further growth, and I think we can secure needed funds for that. There was another question that you asked a bout the KGI, I think? Yes, about the operating profit level. I think i asked a question about that? Compared to the past operating profit, I think this is rather ambitious. It may appear to be ambitious targets. Given the current circumstances around the business, including the situation in Ukraine, there are various uncertainties, and I think that is giving you a concern. Now the targets, the basis are internal discussions. Depending on what happens in Ukraine situation, we are expecting the material costs to go up, but they are not fully incorporated. In terms of cost of goods (COGS), there is a big room for improvement. As you saw in that video, Tsuruga, Kusatsu, Kobe, and those factories, we are already seeing a major improvement effect. Therefore, we are already getting a very good feel about the effectiveness. JPY 2 trillion operating profit and JPY 1.5 trillion the cumulative profit. Those are the targets that we set for ourselves and w ith that ambitious target, we want to continue with our improvement efforts. Was that helpful, Hirashima-san? Thank you. Next question is from Ryu-san of Tōyō Keizai. This is Ryu speaking of Tōyō Keizai. Thank you very much. I also have two questions. First, you disclosed the KGIs. In the process of coming up with those numbers in each business, you have different KGIs and KPIs. Did you accumulate all of them to come up with a group-wide number since you became the CEO? I think that setting the numerical target was not something that you're very enthusiastic about. What was the background of coming up with those numbers this time? Basically, as you said, Ryu-san, we have summed up or accumulated the numbers, and of course, there are some adjustments. Frankly speaking, after Kaizen and the series of Kaizen, when we ask the operating company, they come up with a very high target of the KGIs in some of the operating companies. In some of them, we made adjustments and we came up with JPY 2 trillion. I myself, so for example, operating margin, I do not want to set that target of the operating margin. In the medium term, we want to show you capital allocation is more important. When we try to do so, the target is operating cash flow. In that sense, this time, JPY 600 billion for each operating company making investment and a side from that, for example, JPY 120 billion for IT, that is outside of JPY 600 billion. Those are the things that we will be doing. When we try to explain that, in order to give you an image, accumulative operating cash flow is important. It is not for the single year, accumulative. In the first year, maybe you will not be able to achieve that. In the second year, we will make further efforts. Some additional question. In each operating company, they have their KPIs and KGIs, I think. From each operating company, do they disclose their own KPIs and KGIs? Yes, please wait until June. Please look forward to it. My second question, we announced the medium-term strategy and also the two-year timeframe for the enhancement of the competitiveness. I'd like to understand the relationship. Two years, having two years to improve the competitiveness was something that you mentioned. Are you making good progress or not? That two-year and the medium-term strategy that you announced this year, how are they related with each other? If you can give us some additional explanation. Yes. Out of two years, one year has passed. In that sense, not all the targets, whether we achieved all of them or not. In some of them, yes, we did, but in others, we did not. Generally speaking, in PX or frontline innovation, as you saw in the video, we are making progress. Especially about the cash generation. For example, to reduce inventory, what do we do? What needs to be done? We are visualizing those challenges and issues. From my perspective, the second-year goal of competitiveness enhancement, with a much faster cycle, we are, I think, going through the Kaizen cycle faster. Employees are sharing their issues and using ITs where necessary. As you saw in the frontline innovations, we are making progress and we are visualizing things. That is the second year. We are starting to make very steady progress toward that. Thank you. Competitiveness enhancement, if everything goes well, the KGIs of the medium-term strategy will be achieved. That is the kind of assumption. Yes, that is correct. Thank you very much. We're getting close to the end of the, a lot of time. The next question will be the last question from the journalists from Kyodo Agency. Kojima-san. Thank you. This is Kojima from Kyodo News Agency. I have two questions. First is on cumulative accumulated operating cash flow, JPY 1.5 trillion over a three-year period. Kusumi-san admitted that it could be regarded as rather ambitious. Segment-wise, which do you think will be the drivers for that? Thank you. The profit growth is expected from the new Panasonic Corporation's saw several businesses, such as Air Quality and Air Conditioning, as well as China cost being transferred to other parts of Asia, living and appliances, and Blue Yonder and Avionics recovery included connect and industry. In terms of the amount of profit, we expect growth from those companies. Thank you. May I ask another question? Yes, go ahead. About the green impact. Scope one, two, three, and then there's scope four. The impact of reduction in terms of the impact to society. What is the purpose of announcing such ambitious initiatives? Environment Vision 2050. The energy used and energy produced to cancel out each other was the concept there. Now, global warming is the immediate issue that we need to address, meaning we need to pay more attention to CO2 emissions reductions in setting the targets. If we look at the supply chain, scope one, two, and three, to bring about net zero there, when we say that we're going to do that, since we're talking about 2050, we have to see much progress in the use of renewables nationwide. We should not be complacent with achieving the targets with that aspect. We need to put a stop to the global warming as quickly as possible. Achieving net zero in scope one, two, and three is not sufficient. We need to do more than that. And along that line, we came up with number four. We want to grow our existing businesses, battery, supply chain, Air Conditioning. They have great impact, so 100 million tons reduction there. Regarding the R&D activities, 2050 is still 30 years away. Therefore, we want to translate the R&D results into specific examples of specific outcomes. Therefore, 100 million tons to be achieved there as well. I see. Thank you. Thank you. That is all the questions from journalists. Now, institutional investors and analysts, please bear with us. Now we take questions from analysts and investors. We only take questions in Japanese. Morgan Stanley, MUFG. We have Mr. Ono. Thank you. This is Ono speaking. Thank you very much for this opportunity. Two questions. First, about the automotive batteries. If possible, through the news media, setting up the factory in North America is mentioned. As much as possible, could you talk about your thinking principles? Also, this time in your presentation material, strategic investment in the growth area, JPY 400 billion is mentioned. In the coming three years for EVs, battery, automotive battery and the CapEx investment, is it coming from this JPY 400 billion investment? Is it a cash out from the JPY 400 billion? About North America, there are a lot of speculations going on, and we have made no decisions. Starting with the Wakayama Plant, we want to make sure that we'd like to make a judgment that we have a good competitiveness in Wakayama plant. It is really up to whether we can do so at the Wakayama Plant. Hypothetically, about the automotive battery production in expanding the production of those batteries, that is not something that we can assume at this moment about the size of it, for example. Also, this is the capital-intensive investment, the facilities and equipment, whether we pay for it alone or not. JPY 400 billion, is it only within this level? When we have sufficient competitiveness, then we have to consider the capital policy. Right now, as a strategic investment, first in those three areas, we set this JPY 400 billion. Automotive batteries. For example, if the major growth can be expected in North America, then about the investments and whether to invest alone or not, we have to really consider the different types of the capital policy. Thank you. My second question about the three-year total operating cash flow, JPY 2 trillion, and the operating margin profit, JPY 1.5 trillion. Thank you very much. Those numbers are very helpful. As for the breakdown of those numbers, you mentioned something about the segments. Depending on the top-line growth as a return, I think part of it is based on that. You talked about the frontline operational capability to reduce the wastefulness, and that will lead to that cash or profit. What is the side of it? How much comes from the operational improvement, for example, eradicating the wastefulness? Could you give us any hints as to the size of it? Thank you very much. I think there was also a previous question about these three-year numbers, and we are showing this as an accumulated number. Each operating company's numbers are added up to come up with this number. Where major factor is the growing top line. That is our plan. I see. Thank you. Thank you. From Mizuho Securities, Nakane-san, please. Thank you. Nakane speaking. I hope you can hear me. Yes. Just one question. During this period, when it comes to the end of that period, what is the end state that you think would be good enough? In other words, the results as of the end of the next three years, what do you think should be the passing mark? In terms of KPIs, I'm sure there are many aspects. Kusumi-san, personally, what do you think would be the requirements that you need to fulfill to say that you did a good job? The KGIs, accumulated operating profit, or the operating cash flow of JPY 2 trillion. I said that we're going to aim for that. Of course, there could be many changes, many being the adversary ones. Now, if we say that 60% is the passing grade, then if you satisfy all of the KGIs, I think that will be 100%, full mark. 60%, if that is the minimum passing grade, then what we should aim at would be as follows. Ideally, we want to do this in one year by the end of this fiscal year. The speed of transformation, we want to be ahead of all others in terms of the speed of transformation, be it each operating company or factory or any divisions. If we can see that as the actual numerical results as well as momentum, I think we can give ourselves 60% passing grade. That's all? Are you asking about the criterion for 60% passing grade? Yes, that is my question. If we succeed in achieving that, it would mean that we have succeeded in many others to get to that point. The mindset, the culture having changed, the systems having changed. I think that we would be seeing some of the numerical results achieved as well. I said you call it one criterion only, but I think that is supported by many underlying factors. I see. Thank you. We have come to the end of this briefing session, but I'd like to take two more questions. First, from Citigroup Global Markets Japan, we have Mr. Ezawa. Thank you very much. This is Ezawa speaking. About the new group structure and the group management, I have a question. You mentioned the autonomous management. You mentioned that several times and f or the group management, what is the meaning of this autonomous management? Could you explain that to me? In each operating company, from their perspective, the group headquarters, for example, brand loyalty, or you have a company called X, and you might outsource some of the work to them. About the headquarters function, how they pay for the headquarters cost. In competing against the peers, this cost could have a negative impact. Also, the freedom of capital procurement within the group, how are you going to do this as a group? Compared to the independent companies, this could also be a burden. About this autonomous management, are you supporting them or are you restricting them? That is not very clear. What is your thinking, Mr. Kusumi? It's not the easy question to answer, but I would appreciate it if you can share your thoughts on this. Operational excellence company, it is possible that we outsource. What is the purpose of doing that? Rather than you do this alone, you have to be able to have better efficiency. It also needs to be competitive. Right now, if it becomes a burden, that means that it is not competitive as of now. In two years, we need to make improvements so that it can be competitive. As a brand loyalty, yes, there is a fee for that. A brand loyalty, how do you utilize it so that you can improve or enhance the brand capability? The operating companies can take advantage of the stronger brand capability. If it is considered as a burden on the part of operating companies, PX or holding need to make further improvements, and the money that we spend at the headquarters, we have to make it leaner. We have to make it, we have to go through the sharpening and specialization. Thank you. Thank you. The last question from Nomura Securities, Okazaki-san. Thank you, Okazaki from Nomura Securities. I have a question regarding what you intend to do to fight inflation. In your comment earlier, you said that the higher material costs are not fully incorporated in your plan. Now, unprecedented rate of inflation is expected going forward. How do you plan to counter that? Basically, we are always competing with our peers. Internal efficiency needs to be better than our peers. Operational capabilities need to be better than our peers. Inflationary impact will be the same for all players. While that part is equal, if we sell at the same price as in the past, we will not be able to reward our employees. We will not be able to make investments for the future. Of course, in some businesses, it is easier to raise product prices than others. I think we just need to resort to the price hikes eventually. I hope that's helpful. Yes, thank you. Thank you very much. With that, we'd like to end the group strategy briefing by Group CEO. Thank you very much for joining us today.