The 81st Annual General Meeting of Shareholders
Nintendo Co., Ltd.

Q&A Summary
If you quote any or all of this Q&A, please display the URL of this website or put a link to this website.

Q1

I'd like to ask about the exchange rate assumptions in your financial forecast. For this fiscal
year, you are assuming an exchange rate of 120 yen to the euro, but that seems like a strong
yen considering the rates assumed by other companies and the fact that the exchange rate is
now trending at around 130 yen to the euro. On what basis did you calculate this assumed

A1exchange rate?
Shuntaro Furukawa (Representative Director and President):

First, let me briefly touch on how changes in the exchange rate affect our businessperformance. For our company, overseas sales account for around 80% of total sales, so
variation in the assumed exchange rate has a significant impact on sales. Also, because of thehigh proportion of overseas sales, a relatively large amount of the bonds and cash, and cash
equivalents we hold are denominated in foreign currencies. These are all calculated in yen
based on the exchange rate as of the end of the fiscal year and recorded on the balance sheet.
Foreign exchange gains and losses generated by the temporary revaluation at the end of thefiscal year are recorded as non-operating profit or loss in the statements of income.
You asked about the basis for our assumed rate of 120 yen to the euro for this fiscal year. As
you pointed out, we assume a slightly stronger yen compared to the recent rate. In setting ourassumed exchange rate at the start of the fiscal year, we considered that the average rate during
the previous fiscal year was 123.68 yen to the euro, and that exchange rate fluctuations for theeuro have been particularly large in recent times. Therefore, we looked not only at current rates,but also at how the range has moved over the long term. We will continue to keep an eye on
how the rate trends and carefully consider our assumed exchange rates.

Q2

What kind of impact on Nintendo's future do you expect from the appointment of Chris
Meledandri as an outside director? Nintendo's core business is its integrated hardwaresoftware dedicated video game platform business, and for the continuous growth of thatbusiness, your basic strategy is to expand the number of people who have access to Nintendo
IP. As part of that strategy, you have stated your intention to broaden the points of contact
between consumers and Nintendo IP in fields like visual content and theme parks. With theappointment of Mr. Meledandri, will the field of visual content occupy a more important position
for Nintendo? I would also like to hear the thoughts of Mr. Miyamoto, who seems to have aA2

leading position in this field.
Furukawa:

Chris Meledandri is the founder of Illumination Entertainment and has experience as aproducer who created numerous films including the Despicable Me franchise, which introduced
the Minions. He has gained broad experience and insight as a corporate manager and in thefield of entertainment, so we anticipate he will appropriately supervise our management froman objective perspective while providing valuable advice to our leadership. Mr. Meledandri has1

The 81st Annual General Meeting of Shareholders
Nintendo Co., Ltd.
been appointed as an independent and non-executive outside director, so he will not be directly
involved in execution of operation. However, we believe that his extensive experience andknowledge in the field of entertainment will have a beneficial effect on the decision-making ofour board of directors.

With regard to the visual content expansion, we are working on the Super Mario movie andhave announced that other projects are also in progress. As you pointed out, our core businessis the integrated hardware-software dedicated video game platform business. But to keep thatbusiness thriving and growing, we need to create opportunities where even people who do notnormally play on video game systems can come into contact with Nintendo characters. As partof this effort, visual content could be important for us. Now let's hear what Mr. Miyamoto canadd to this.
Shigeru Miyamoto (Representative Director, Fellow):

Although this has no direct tie with his appointment as a director, I've been working with Chrisfor over five years now on the Super Mario movie. Through that relationship I think he reallycame to understand the Nintendo point of view. I don't think it's easy for those overseas involved
in media creation to understand Nintendo's way of thinking, but Chris truly comprehends why
Nintendo creates characters and visual content.
We are working on mobile and visual content in order to expand our integrated hardwaresoftware entertainment business globally. Working on mobile content reminded us again thatwhile the Nintendo game systems may have reached some parts of the world, there are many
places where they are not widespread. We started the mobile business because we felt it very
important to conduct activities that encourage people to understand the Nintendo brand andcome to like Nintendo. That resulted in also realizing the importance of visual content. By
possessing video content and not just games, Nintendo will be able to expand its content further
throughout the world and become stronger as a company. The fact that we are a video gamedeveloping company tends to create the mistaken impression that we can also create movies
easily. It's true that the processes of making visual content and developing games share someof the same ways of thinking, but there are also differences. The movie business, including
distribution, is in a period of transformation. Against this backdrop, we think that asking for
Chris's input, as an expert with many years of experience in Hollywood, will be of great help tous in the future.

Q3

A3People holding important positions at Nintendo should at least like games, even if they don't
have the skills to create games. In order to get to know each director candidate as a person, I'dlike to know about their favorite games.
Furukawa:Super Mario Bros. was released when I was in junior high school, so I was right in the middleof the Famicom (NES) generation. Even today, in my private time, I play various games, bothfrom Nintendo and from other companies. I'd like the other candidates to answer this question
to the extent they can.

2The 81st Annual General Meeting of Shareholders
Nintendo Co., Ltd.
Ko Shiota (Director, Senior Executive Officer):Like Mr. Furukawa, I was part of the Famicom generation and grew up with the NES andSNES. I'm in charge of hardware now, but I've tinkered with hardware and been interested in
how things work ever since. That probably explains why I gravitate to games like our recent
product Mario Kart Live: Home Circuit, which I play with my kids.
Shinya Takahashi (Director, Senior Managing Executive Officer):

I'm in charge of all our first-party software, so it's hard to choose one game over another. But

the first game I was involved with when I joined Nintendo was Yuyuki for the Family Computer

Disk System. It's a lesser-known adventure game, but it left an impression on me as the first
title I was involved with.
Miyamoto:

I basically tend to play the games I created myself, so I haven't been influenced much by thegames of other companies. That said, the first game that influenced me when I started the jobof game development was Pac-Man, and from a design perspective, I think TETRIS is wonderful.

I'm currently hooked on Pokémon GO. This game, which I'm playing with my wife, is a dreamcome true of playing a game with my whole family. I've been enjoying Pokémon GO with my wifeand neighborhood friends for some two years now. The average person playing Pokémon GO in
Japan is probably around 60 years old (laughs).
Satoru Shibata (Director, Senior Executive Officer):

I like adventure games, and I just recently cleared Famicom Detective Club: The Missing Heirand Famicom Detective Club: The Girl Who Stands Behind for Nintendo Switch. Back in the day,I really loved playing Shin Onigashima for the Family Computer Disk System. I'm in charge ofthe Licensing Division, which serves as a contact point for software publishers, and they also
have many adventure games that I enjoy.
Furukawa:I play most of our own first-party titles, but recently I've been playing a lot of the Hanafuda

card game in Clubhouse Games: 51 Worldwide Classics.

Q4

A4Iʼm really disappointed to know some media outlets reported that Nintendo games seem to not
fully take gender into account. While I understand very much that Nintendo is not a company toneglect such issues, what are your thoughts about this?
Furukawa:

We believe that diversity, including gender diversity, is very important. As a company providing

entertainment, our goal is to put smiles on the faces of everyone connected to Nintendo, andwe undertake our development with that goal in mind. Specifically regarding the features ofeach game, we must make decisions by taking into consideration a wide variety of factors, and3

The 81st Annual General Meeting of Shareholders
Nintendo Co., Ltd.
we may not always be able to meet every request. However, we take this as valuable feedback.

Q5A5

I heard that a game tournament using Nintendo software was held the other day and it was agreat success, but it was an unofficial tournament. I'd like to hear more about Nintendo's plansfor involvement with e-sports going forward.
Furukawa:

We believe that formats like e-sports where players compete against each other in front ofmany people are a way to share the gameplay experience with a broader audience. Nintendohas a history of holding game tournaments, and while this was before the pandemic, we held
the final stage of the national elementary school Smash Bros. tournament and the Splatoon
Koshien 2020 Kinki Regional Tournament during the Nintendo Live 2019 event in Kyoto inOctober 2019. We felt those tournaments were well-received, not only by the audiences onsite,
but also those watching online.
Game tournaments can motivate people who own the game to keep playing and they cangenerate interest in Nintendo games and characters in people who do not own the game. We
will continue to hold game tournaments and other such events going forward by carefully
monitoring the situation surrounding the pandemic.

Q6For Nintendo Switch Online, are you considering implementing a membership option at a higher

A6Furukawa:

price tier with upgraded services?
Nintendo started the Nintendo Switch Online service in September 2018 for Nintendo Switch

users. People with memberships can play games with their friends online, such as titles like

Animal Crossing: New Horizons. In addition, they can play some of the games that were released

for the NES and the SNES. Membership in this service exceeded 26 million paying accounts inSeptember of last year and is still growing steadily, in step with the increase in Nintendo Switch

system sales. For Nintendo Switch Online, it's important not only to increase the number of newmembers, but also to encourage existing members to continue using the service, so we areworking on increasing the appeal of the service to make it even more fun and convenient to playwith Nintendo Switch.

Q7

Since there are fewer opportunities to go outdoors due to COVID-19, I've been enjoying Ring Fit

A7

Furukawa:

Adventure, which allows you to exercise indoors. Do you have any plans to develop a sequel?

Since Ring Fit Adventure was released in October 2019, strong demand has continued bothin Japan and overseas. It sold 7.38 million units globally during the fiscal year ended March2021, and cumulative sales have exceeded 10 million units. This title is popular also in the Asia
region including Korea, Taiwan, and Hong Kong, even though Nintendo's main business regions

4

The 81st Annual General Meeting of Shareholders
Nintendo Co., Ltd.
are Japan, the U.S., and Europe. With regard to future developments, I cannot disclose specificplans, but we would like to take various initiatives so many people continue to play this title.

Q8Splatoon 3 was announced during the Nintendo Direct in February this year, which supports thenotion that the Nintendo Switch platform will keep going. On the other hand, there were somemedia reports that a new model would be announced in June at E3, although in the end there
was no announcement of a new model at Nintendo Direct E3 2021. What are your thoughts

A8

about these kinds of reports about a new model?
Furukawa:

We use Nintendo Direct to communicate information about individual products to ourconsumers at the appropriate times. Going forward, Nintendo will continue to focus on offering
our unique and original brand of play, leveraging the integrated hardware-software dedicatedvideo game platform to provide fun and grow our business. To this end, we are constantly
working on development of hardware, software, and accessories, but I cannot comment on
specific products that are under development.

Q9

Please tell us about human rights issues in the supply chain in China, which are of particularconcern overseas. A similar point was also brought up in connection with a major apparel
manufacturer with whom you had a collaboration in the past, so please include the state of that

A9

investigation in your response.
Furukawa:

We are aware of the reports that question whether there is forced labor of Uyghurs in factories

in Nintendo's supply chain. However, as far as we have been able to investigate, there is norecord of the reported factories among Nintendo's business partners. In addition, we have notreceived any reports of forced labor within Nintendo's supply chain up to this point. Nintendo
has long-established CSR procurement policies to ensure that prison labor and forced labor do
not occur in our supply chain, and we ask that our business partners comply with the Nintendo
CSR Procurement Guidelines, which summarize these policies, in their business activities.
Nintendo operates under the policy of ceasing business transactions when there is actual or
serious risk of forced labor involving anyone, not limited to Uyghurs. As a global enterprise, wewill continue to work with our production partners to implement ethical policies regarding
manufacture, labor, and procurement, and to ensure high quality mass production. In addition,
we ask our business partners, not limited to apparel, to comply with these kinds of policies.

Q10

In relation to the basic strategy of "expanding the number of people who have access toNintendo IP," wouldn't a "mini" series like the Nintendo Classic Mini become a new point ofentry for members of the parent generation who currently do not play games? Please let us
know of any future plans for a mini series, or for other online content.

5

The 81st Annual General Meeting of Shareholders
Nintendo Co., Ltd.

A10

Furukawa:

We always hope that our products are enjoyed by a broad audience of many generations,from children to adults. In the many years we have been in the video game business, weimagine people from a very broad range of generations have been playing Nintendo platforms.
We'd like to continue to consider methods for communicating the appeal of Nintendo products
to the parent generation, including series such as the NES and SNES versions of Nintendo
Classic Mini as well as classic content in our online services.

End6