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CEO Message

Management PhilosophyCreating Richness with Value to SocietyWe will doggedly pursue our growth strategies under our new mid-term business plan.

Makoto Tani President & Chief Executive Officer Skylark Co., Ltd. Makoto Tani
President & Chief Executive Officer
Skylark Co., Ltd.

Please let me take this opportunity to thank our shareholders and investors for their continued generous support.

In 2016, we faced a very challenging situation, adversely affected by a number of factors in the external environment, yet we were able to achieve the net income target we initially announced, recording the highest profit in the Company’s history.

The level of uncertainty is rising in Japan and overseas economies, and the environment surrounding the restaurant industry is constantly changing. Consumers are setting higher and higher standards in their value judgments about dining out. Meanwhile, per-capita expenditure on dining out is trending higher. Providing goods and services that meet customer needs has become more important than ever for restaurants.

Since I became CEO in 2008, the Company has executed its strategies and has improved its results in stages. In the first stage, from 2008 to 2011, we focused on comprehensive structural reform. We closed unprofitable restaurants, changed brands, and restructured the organization. In the second stage, from 2012 to 2016, we strengthened our foundation for growth through remodeling and the development of new concepts. In 2017, we are entering a new growth stage.

We have developed new concepts to accurately meet the needs of consumers. Going forward, we will accelerate the opening of restaurants, primarily restaurants in new concepts, in the provinces and the suburbs. We opened 144 restaurants in the past three years, from 2014 to 2016. We plan to open three times as many, or 450 restaurants, in the three years from 2017 to 2019. We will remodel and change the brands of existing restaurants and will improve the value of customer experience at our restaurants.

Our basic policy on returns to shareholders is to pay dividends constantly, aiming for a payout ratio of 40% based on adjusted net income. Under this policy, we have decided to increase dividends. In 2016, we paid an annual dividend of 38.00 yen, up 5.00 yen from the previous fiscal year. We plan to pay an annual dividend of 40.00 yen in 2017, up 2.00 yen from 2016. We have also decided to expand shareholder benefits. We will offer three times as much value as previously.

We will redouble our efforts to justify continued support by enhancing the appeal of holding our shares and by offering greater insights about the Company to our shareholders and investors.

As we pursue these initiatives, I hope that we can rely on the continued support of all of our shareholders and investors.