Fields Corporation
Business Strategy Conference

May 7, 2014

Index

1Pachinko/Pachislot Field Growth Strategy
Business alliances and customer acquisition
3-year lineup

2Current status of Tsuburaya Productions1

1Pachinko/Pachislot Field Growth Strategy
Business alliances and customer acquisition

21) Status of Fields’s alliances with manufacturers

NOW

In 3 years

Year ended March 31, 2014

Year ending March 31, 2017

 Pachinko 2 brands
 Pachislot 4 brands

 Pachinko Pachislot

brandbrandPachinko

Pachislot

Bisty Co., Ltd.

RODEO Co., Ltd.

OK Co., Ltd.

Bisty Co., Ltd.
Enterrise Co., Ltd.
Mizuho Corp.

31) Status of Fields’s alliances with manufacturers

NOW

In 3 years

Year ended March 31, 2014

Year ending March 31, 2017

 Pachinko 2 brands
 Pachislot 4 brands

 Pachinko 5 brands
 Pachislot 6 brands

Pachinko

Pachislot

Bisty Co., Ltd.

Bisty Co., Ltd.

OK Co., Ltd.

Enterrise Co., Ltd.

D-light Co., Ltd.

Mizuho Corp.

Mizuho Corp.

NANASHOW Corporation

NANASHOW Corporation

D-light Co., Ltd.
OK Co., Ltd.
41

Pachinko/Pachislot Field Growth Strategy
3-year lineup51) RODEORODEO Co., Ltd.
June 1995Fields begins a business alliance with Sammy Corporation

October 2000

Fields starts selling RODEO-brand pachislot machines
as the general sales agency of RODEO Co., Ltd.

November 2001

Fields concludes the Basic Agreement on Exclusive Sales Agency
Transactions Regarding Sales and Purchase of Pachislot Machineswith RODEO Co., Ltd.

March 2002

Fields takes a stake in RODEO Co., Ltd.

61) RODEO
Now negotiating individual products in preparation
for dissolution of joint venture Year ending March 31, 2015 (Initial plan)
Year ending
March 31, 2016

Year ending March 31, 2015
Q1

Q2Q3Q4

Q1Pachislot
Carried over from the previous year Year ending March 31, 2015
(Planned as of April 30, 2014)

1 title(+1 title) Year ending March 31, 201672) Bisty

Bisty Co., Ltd.
March 1996

SANKYO CO., LTD. converts Daido Co., Ltd. into a subsidiary

November 2003

Fields announces business alliance with Daido Co., Ltd.

January 2004

Daido Co., Ltd. changes its name to Bisty Co., Ltd.

February 2004

Fields starts selling pachinko machines made by Bisty Co., Ltd.

March 2005

Fields starts selling pachislot machines made by Bisty Co., Ltd.

Pachislot
Pachinko3.20153.20163.2017

1title2titles

2titles

2titles

2titles

2titles83) OK!!

OK Co., Ltd.
April 1983

Established as MASAMURA.

February 2008

Fields announces business alliance with KYORAKU SANGYO
for joint projects

October 2011

MASAMURA changes its name to OK Co., Ltd.

August 2012

Fields releases a pachinko machine as the first step in the alliance

Pachislot
Pachinko3.20153.20163.2017--2titles

1title2titles

2titles94) Enterrise

Enterrise Co., Ltd.
April 2002

Enterrise Co., Ltd. is established as the pachislot machine divisionof CAPCOM CO., LTD.

February 2010

Fields starts selling Enterrise-brand machines as the general sales
agency of Enterrise Co., Ltd.

July 2012

Enterrise Co., Ltd. joins Nichidenkyo (Japan Electric Amusement
Machine Association)

Pachislot

3.20153.20163.20173titles

3titles

4titles105) Mizuho

Mizuho Corp.
December 2011

Fields and Universal Entertainment Corporation conclude amemorandum of understanding for joint projects through MizuhoCorp.

January 2012

Fields acquires 198 shares of stock (ownership percentage of49.8%) in Mizuho Corp.
. . . Approx. ¥1.0 billionFebruary 2014

Pachislot
Pachinko

Fields sells “ANOTHER GOD HADES,” a pachislot machine madeby Mizuho Corp.
3.20153.20163.2017

1title2titles

3titles-2titles

2titles116) D-light

D-light Co., Ltd.
June 2000

D-light Co., Ltd. is established as the second brand of Daiichi
Shokai CO., LTD.

May 2008

D-light Co., Ltd. joins Nikkoso (Japan Pachinko Manufacturers’
Association)

April 2014

Fields and D-light Co., Ltd. begin business alliance for joint
projects

Pachislot
Pachinko3.20153.20163.2017

1title2titles

2titles-2titles2titles

127) NANASHOWNANASHOW
Corporation
August 2009

NANASHOW Corporation is establishedMay 2013

NANASHOW Corporation joins Nikkoso (Japan Pachinko
Manufacturers’ Association)

January 2014

Fields takes a stake (38.9%) in NANASHOW Corporation

April 2014

Fields and NANASHOW Corporation begin a business alliancefor joint projects

Pachislot
Pachinko3.20153.20163.2017

1title1title3titles-1title1title138) Number of pachinko/pachislot titles sold/ 3-year lineup(Unit: title)

Previousperiod

Current
period25

Pachislot

20

Pachinko

(＋1)
(＋1)

16131111(＋1)(＋1)

8688886699

3. 2016

3. 20175222

3. 2011

3. 2012

3. 2013

3
3. 2014

3. 2015*Except reuse machines and specifications changed machines
149) Product appeal that aims to sale for an average of more than
30,000 machines per title
The development of the industry has been achieved by means of the equation“originality” = “customer acquisition.”We, too, take as our mission the challenge of creating originality that drives the healthy
growth of the industry even more.
 1980： SANKYO “FEVER”
With its innovative game features that left fans astounded, SANKYO’s“FEVER,” introduced in 1980, changed everything about pachinko—
from hall management and distribution forms to the scale and state ofmanufacturers—and thus established pachinko as a true industry.

 1985：Pachislot was officially approved
In 1985, when the Law on Control and Improvement of Amusementand Entertainment Business was put into force, pachislot wasofficially approved. “CRANKY CONDOR,” which made its debut
later, became the driving force that increased the number of installedpachislot machines, which had not exceeded 700,000 at the time, to 1
million and then 2 million

 2000： The character approach advocated by us became completely establishedIn the 2000’s, the character approach advocated by us became
completely established, and it is now trying to grow into the coreof the originality of the next generation. Originality is the verylife force of products.
1510) Sales system
Increase the number of branch offices from 26 branches to 37
branches and the number of sales staff members from 300
members to 400 members.
*Architect’s image of the new branch building design

The new branch building design has been achieved throughcollaboration among 3 of the world’s top creators:
Yasumichi Morita, Toshiyuki Inoko, and Katsunori Aoki.
162Current status of Tsuburaya Productions

171) Recent business development
For kids

40s onward

Business development

TV (terrestrial), movies, goods, etc.

ULTRAMAN FESTIVAL

Comics, games, etc.

Ultra Seven Exhibition for
the 45th anniversary of birth

Pachinko/pachislot, TV (satellite), etc.

Eiji Tsuburaya Special Effects
Trajectory Exhibition

It's New Year’s!
All the Ultraman Gather!!

Eventsⓒ円谷プロ ⓒヒーローズ © 2013 円谷プロ・WOWOW

182) History of Tsuburaya Productions (from establishment to TYO subsidiary)
Conversion into a
consolidated subsidiaryof Toho Group

Established in 1963

Ultraman from the Showa years
Major masterpieces

Ultra Seven
1967

Ultraman
1966

Conversion into a consolidated subsidiaryof TSUBURAYA ENTERPRISES Group

Conversion into a
consolidated subsidiaryof TYO Group

Ultraman from the Heisei years
Ultraman Tiga
1996

Ultraman Taro
1973

Ultraman Cosmos
2001

Ultraman Zero
2009

・・・

Financial condition

Success of Ultraman

Profits

Pro-duction
cost

Deterioration after Ultra Seven

Profits

Pro-duction
cost

Deterioration of financial standing
due to investment in new releases

Profits

Pro-duction
cost

Financial restructuringconducted by TYO

・ Closure of studios
・ Personnel reductions, etc.

Wasting of past assetsⓒ円谷プロ193) Image of future revenue
Business development inNorth America and Europe
Expanding business development
in Southeast Asia

Litigation matters
Net sales

10.00(Billion yen)
Operatingincome

Use Ultraman as amarketing hook to startoverseas development of other IP

Net sales
Operating income

3.00

Strengthen domestic marketing
2.50

Elimination ofnegative net worth

5.00

2.00

1.50

3.27
2.94

2.97

2.00

1.00

0.67
0.20

3. 2011

0.16
3. 2012

0.50

0.39

3. 2013

3. 2014

3. 2015

3. 2016

3. 2017*Due to an alteration of the accounting term, the fiscal year ended March 2011 comprises only 8 months.
20

Cross-media development of IP createdby Fields

211) Developing Business ModelIn May 2012,
Fields announced its IP-centered “Developing Business Model”

COMICS
ComicsAcquire and create original works, stories, andcharacters

Create series

ANIMATION
Animation

Enhance added value of stories and characterswith cutting-edge technology, for example byusing computer graphics

Intellectual property(IP)MerchandisingInteractive media
Consumer Products
Pachinko/Pachislot
Utilize IP in each media to generate revenue

MERCHANDISING

Movies/TV
Distribute animated content around the world,and expand fan base

MOVIE/TV222) IP cultivation concept of Majestic PrinceWith Fields and its leading partner companies collaborating closely,
this is an original robot animation IP project that bears in mind cross-media development.
Before the broadcasting of the animated show started, in HERO’S Monthly we began the serialization ofstories following the original story, and by incorporating innovative techniques such as events, we havesteadily increased the number of fans and monetized through the merchandising.

Animation

ComicsSocial games

GoodsPachinko/Pachislot

・Case for iPhone5
・Miniature Japanese fan strap
・Various figure, etc.

April 2013 ～November 2011～

February 2014～・・・©創通・フィールズ／MJP製作委員会 ©フィールズ/バンダイナムコゲームス ©ヒーローズ

233) IP cultivation cycle of Majestic Prince

ComicsAcquire and create original works, stories,and characters

Pachinko/Pachislot

Animation

Strive for even greater market penetration andmonetization through pachinko/pachislot
machine experiences

Enhance added value of stories and characterswith cutting-edge technology, for example byusing computer graphics

Consumer ProductsVideo/Live Media

Strive for even greater market penetrationand monetization through goods and toys

Distribute animated content around theworld, and expand fan base

Interactive Media
Strive for even greater market penetration andmonetization through the Internet and games©創通・フィールズ／MJP製作委員会

24

The plans, strategies and estimates of the Company indicated in these documents, otherthan actual results and established facts, include potential risks and uncertainties andcannot be guaranteed.
Potential risks and uncertainties include, but are not limited to, the economic environmentof the pachinko/pachislot market in which the Company mainly operates, market
competition and the products handled by the Company.

IR and PR Section, Corporate Communications Office
TEL：+81-3-5784-2109 E-mail：ir@fields.biz