We are aiming to become the "Best Company" that keeps finding new growth with specialty chemicals.

Kenshi Terada<br/>President&CEO<br/>OSAKA SODA CO., LTD.
Kenshi Terada

Please allow me to extend my warmest and best wishes to all our shareholders and investors. Also I would like to express my gratitude to all of you for your continued support and understanding of OSAKA SODA Group.

Founded in 1915, the OSAKA SODA group became the first Japanese company to start the industrial production of caustic soda using the electrolysis technology. Since that time, the OSAKA SODA group has expanded into organic chemicals focusing on allyl chloride(AC) and epichlorohydrin(EP) both of which are propylene derived products. Through the leveraging of the business, the group has continued to expand a line of business by developing original functional chemicals. In recent years, the group has been striving to increase its corporate value by exploring new business areas including the health care related business and by strengthening revenue base.
In 2015, the OSAKA SODA group marked its 100th aniversary of the funding. In the wake of this historic milestone, we have established the medium-term management plan "NEXT FRONTIER-100" with the aim of achieving further growth under the new group vision.

Positioning the "creation of new products and businesses" and the "expansion of overseas operations" as growth engines in "NEXT FRONTEIR-100," we are aiming to achieve net sales of ¥130 billion, ordinary income ¥10 billion, and an ROE of 10% or more as targets in 2018.
Furthermore, we are planning not only to develop the health care related business as our third main business following basic chemicals and functional chemicals but also to restructure and strengthen existing businesses in our efforts to keep challenging new growth as a group.

To all our shareholders and investors, I ask for your continued support, assistance and understanding as we go forward.