I would like to take this occasion to express my sorrow at the lives that were lost in the Great East Japan Earthquake, and to extend my deepest condolences to the survivors and those who were affected. I pray for the early reconstruction of areas that were devastated by the disaster.
As part of our relief efforts, the Otsuka Group donated products made by Group companies including beverages, foods, pharmaceuticals and over-the-counter medicines, and gave money for disaster relief (for more information, see Response to Great East Japan Earthquake and Relief Efforts). The entire nation is mobilizing for the reconstruction efforts, and the Otsuka Group will continue to ensure the stable supply of our products in order to meet our responsibilities as a manufacturer, as we endeavor to support the health of the survivors.

Otsuka Holdings, which was formed in 2008 as a holding company for the Otsuka Group, went public in December 2010 with a listing on the First Section of the Tokyo Stock Exchange. By going public, we will have greater opportunities to gain the support of a broader group of stakeholders, and to receive their advice and guidance. It also gives us the opportunity to reach a wider audience in communicating our dedication to making products, driven by our core values of Sozosei (Creativity), or skill in the art of creating unique and unequaled products, and Jissho (Proof through Execution), which means delivering tangible results. We will listen to equity markets, while continuing to leverage our creativity and execution, which are imprinted in the identity of the Otsuka Group.
We promise to pursue timely and appropriate information disclosure in order to raise the transparency of our business operations. In addition, we will strengthen our compliance and corporate governance to fulfill our obligations as a public company, and respond to the trust placed in us by stakeholders.

The Otsuka corporate philosophy—“Otsuka-people creating new products for better health worldwide” provides a social purpose for every Group employee, and is integral to our social responsibilities. In order to contribute to better health worldwide, we believe that the Otsuka Group has a social responsibility to create innovative products and to supply them to society. We also have a responsibility to communicate our activities to the many stakeholders who have a stake in our activities, and to engage in social initiatives as part of our social responsibilities.
The Otsuka Group supports healthcare from a comprehensive perspective, through our two cornerstone businesses—pharmaceuticals and nutraceuticals.*¹ In the pharmaceutical business, we comprehensively support healthcare, from diagnosis through to treatment of illness. In the nutraceutical business, we support the maintenance and improvement of daily health. Our employees in 23 countries and regions are tackling diverse projects that contribute to the health of people worldwide. We also broadly pursue social initiatives, both in Japan and internationally, in ways that only we can, and with a focus on health, the environment and communities (for more information, see Engagement with Local Communities).
The Otsuka Group’s Human Resource Development Institute is located in Tokushima Prefecture, where the Otsuka Group originated. At the Institute, there are three installations that symbolize the creativity that underlines our corporate philosophy.
One is a giant tomato tree that at times can produce more than 10,000 tomatoes in a year. The tree’s fruit-producing potential has been maximized through hydroponics. The second is a sculpture that features the trunk of a giant cedar that is deeply bent instead of being typically straight. The third is a water installation in which large stones appear to float on the surface of the water. These monuments symbolize the creativity of the Otsuka Group, and its willingness to switch ideas and think beyond the conventional. The Human Resource Development Institute serves as a training facility for the Otsuka Group, but we also open its doors to our business partners and members of the community for visits.
Our Group companies share a common respect for diversity and an appreciation for the unfettered ideas of our individual employees across the globe. Throughout our 90-year corporate history, we have nurtured a corporate culture that encourages employees to keep trying and to execute things to the end. We will continue to encourage diversity within the Group to generate diverse ideas, which we will leverage in order to develop new markets and original products. We will respect the cultural identities of the communities that we operate in, and pursue social initiatives as an integral part of our business activities.
In terms of the global environment, mankind faces the crucial task of addressing global warming and other environmental issues. In order to realize a low-carbon, recycling society, we are endeavoring to raise awareness of the need for environmental conservation among all our employees. In our manufacturing operations, we are developing new technologies and instituting improvements to reduce carbon dioxide (CO₂) emissions and to practice the 3Rs.*² We are committed to conserving the global environment as part of our social responsibility.

The Otsuka Group remains dedicated to universally supporting health. As a global healthcare company, we will pursue sustainable business activities to comprehensively support healthcare, from diagnosis and treatment of illness to maintenance and improvement of daily health.
In the pharmaceutical segment, we are focusing on the central nervous system and cancer treatment as unmet medical needs that take priority. In order to support comprehensive healthcare, from diagnosis to treatment of illnesses, the Group is involved in diverse areas including the fields of cardiovascular, digestive and ophthalmological science, and products such as diagnostic agents, I.V. solutions and medical devices.
For the pharmaceutical segment, we have taken on the challenge of growing the medical devices business, which is currently developed mainly in Japan and China, into a core business. In February 2011, we established Otsuka Medical Devices Co., Ltd. as a holding company to steer the strategic direction for the medical devices business, and to allocate business resources and pursue business development. By bringing together the Group’s accumulated knowledge and expertise in the area of medical devices, Otsuka Medical Devices will endeavor to drive future growth by meeting new medical needs.
In the nutraceutical segment, we are focusing on the soybean business, centering on the Soylution concept of soy products as a solution to the challenges facing mankind today in the areas of health, food and the environment. We are strengthening the global development of the Soylution concept through products such as SOYJOY fruit and soybean bars and the SOYSH carbonated soy drink (for more information, see Highlight 2 Soylution From Japan to the World).
The Otsuka Group will continue to leverage its original ideas to respond boldly to change and contribute to the enrichment and healthier lives of people worldwide.
We appreciate your continued support, as we take the first steps toward realizing the next stage of growth for our company.

• *1 Nutraceuticals: nutrition + pharmaceuticals
• *2 3Rs: The 3Rs are “reduce, reuse, and recycle.” Reduce means to decrease the amount of waste generated; reuse means to reutilize waste in products and parts; and recycle means to reutilize waste as a resource.