Looking back at the business environment of fiscal 2007 (ended March 31, 2008), the year was marked with stirrings of significant change in the structure of the global economy. Uncertainty increased in the economies of industrialized nations, particularly the United States, due to turmoil in international financial and capital markets, triggered by the subprime mortgage loan problem, and to soaring prices for resources, such as crude oil. Meanwhile, the economies of emerging countries, especially the BRICs, were spurred on by solid growth.

As the business environment heads toward a major turning point, we announced our “21st century manufacturing complex” concept under a new management structure initiated in April 2007. This involves concentrating our cutting-edge LCD panel and solar cell plants, incorporating relevant infrastructure and facilities, and attracting relevant material and other manufacturers to set up their plants on the same site. Construction of the complex is already underway. Additionally, we actively advanced business measures aimed at driving future growth, such as the creation of a global production system for LCD TVs, the deployment of a brand strategy in core markets around the world, and the promotion of partnerships and collaboration with prominent companies in growth fields. In order to realize stable growth into the future as a true valued one-of-a-kind company, we formulated “Visions for 2012” for our 2012 centennial anniversary, a significant milestone for Sharp. (Click here (PDF:466KB) for further details of “Visions for 2012.”)

Sharp has positioned fiscal 2008 as a critical year in initiating a new growth strategy aimed at realizing “Visions for 2012.” We will continue working to further increase profitability and enhance corporate value by boldly tackling diverse management challenges. We ask all shareholders for their continued support.

July 2008