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Top Management Message

A year of groundwork for realizing our goals of 25,000 stores globally and ordinary income of \60 billion

Progress in the fiscal year ending February 28, 2013


Performance report for the first three quarters (March to November 2012)

   The retail industry experienced severe operating conditions during the first three quarters. This was attributable to a prevailing sense of stagnation in individual consumption and other areas due primarily to the European debt crisis, an economic slowdown in such emerging countries as China as well as ongoing deflation. Under these circumstances, FamilyMart redoubled its efforts to fulfill its basic functions as a convenience store chain. Through such initiatives as improving priority product categories that have been FamilyMart strengths as well as enhancing fresh and daily items, we have flexibly adapted to demographic and social changes and are thereby steadily gaining the support of customers.

   In Japan, measures targeting products focused on expanding our new “FamilyMart collection” premium private brand. In addition, the Famima Premium Chicken line, which features an unprecedented level of quality, has become a record-setting hit product. We also began rolling out the Ajiwai Famima Café premium freshly ground and brewed coffee served by in-store coffee makers. This coffee brand has received favorable reviews for its delicious flavor.

   Turning to promotional activities, we undertook the “Smiling Together” project jointly with the talent agency Yoshimoto Kogyo, which included regional events with agency entertainers as well as product development activities. Beyond this, our joint sales campaigns in partnership with the virtual idol Hatsune Miku and the Japanese female idol group Momoiro Clover Z were very well received, contributing to increased numbers of customers visiting our stores and stronger sales.

   In store-opening strategy, in addition to focusing on promising priority areas such as the three major metropolitan areas (Tokyo, Osaka and Nagoya) of Japan and major regional cities, we moved forward with building a high quality store network by engaging in scrap and build initiatives as needed that reflect market changes.

   At the same time, at overseas chains, we mainly focused on developing ready-to-eat ranges to accommodate market preferences in Taiwan, Thailand and South Korea with an eye to improving quality and lineup differentiation. In China, we surpassed the 1,000-store mark at the end of September, 2012 just over eight years since opening our first store there. We entered our seventh overseas market with the opening of our first store in Indonesia in October as well as established a local corporation in the Philippines in November.

   As a result of the foregoing, the total number of FamilyMart stores within Japan at the end of the third quarter rose to 9,201, including the four area franchisers. The combined number of stores overseas (under area franchisers) in Taiwan, Thailand, South Korea, China, the United States, Vietnam and Indonesia increased to 12,549. The total number of stores in Japan and overseas improved to 21,750.

   Turning to consolidated business performance during the first three quarters of fiscal 2012, all earnings categories posted record highs. Total operating revenues increased 3.0% year on year to \257,105 million. Operating income grew 3.0% to \36,116 million, ordinary income rose 1.6% to \37,846 million and net income jumped 47.8% to \21,948 million.

Click here for a summary of selected third quarter financial data

Initiatives for the fourth quarter and beyond


   Despite a continually severe retail environment and in order to prevail against domestic and overseas competitors, we have positioned 2013 as a critical year that will determine the direction we will take over the next decade. Accordingly, we will qualitatively and quantitatively expand operations by implementing measures that highlight all of FamilyMart’s strengths.

   Regarding products, we will redouble our efforts to expand the new “FamilyMart collection” premium private brand. In particular, we will augment our Platinum line, which comprises high value-added products with higher-standard ingredients and manufacturing processes while providing value that exceeds price in order to steadily gain customer support.

   In store-opening strategy, we will quickly secure the remaining prime locations while further expanding our domestic market share. At the same time, we will work to increase our market share and improve profitability in overseas regions where we have already established stores with the goal of becoming, as a Japanese-owned company, the No. 1 convenience store chain in Asia.

   In addition to enhancing SENIOR LIFE CREATE CO.,LTD.’s bento home delivery network, we will expand stores that offer integrated pharmacy-related services, increase Automatic Super Delice (ASD) vending machines and continuously introduce new services indispensable to our customers’ lifestyles. Through these and other measures, FamilyMart is making steady progress as a “social and lifestyle-service infrastructure enterprise.”

   In line with our slogan, “FamilyMart, Where You Are One of the Family,” we will focus our efforts to a greater extent than ever before on implementing initiatives that enable us to continue offering a shopping experience characterized by convenience, friendliness and fun as an indispensable presence in the local community.

   I would like to thank all our shareholders, investors and other stakeholders for their continued support for the Company's operations.


January 8, 2013
Junji Ueda
Chairman and Chief Executive Officer