The 82nd Annual General Meeting of Shareholders
Nintendo Co., Ltd.

Q&A Summary
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Q1

The stock split scheduled for October 1st of this year means that starting next year we may see anincrease in the number of participants at these general meetings of shareholders. Can you tell us
your thoughts about the mechanics of holding these meetings going forward? With enoughventilation and social distancing, would it not be possible to hold it in the same way it was prior to
the COVID-19 pandemic?

A1

Shuntaro Furukawa (Representative Director and President):
When deciding how the general meeting of shareholders will be held next year and beyond, we
will take into consideration both the COVID-19 situation and the number of shareholders after thestock split. We are aware of examples of other companies holding "virtual" general meetings ofshareholders or providing live streams, and we will continue to look into the situation.

Q2

I'd like to hear about your Business Continuity Plan (BCP) in the event of a natural disaster and othercontingencies.

A2

Furukawa:
Even if our business continuity is hindered by a natural disaster, such as an earthquake, or by somedangerous infectious disease which is highly contagious and could cause a serious medical
condition, we have a documented response plan and have implemented various proactive measures
so that we can restore operations as quickly as possible.
If a disaster occurs, we will convene a disaster response committee, headed by the president, thatwill act to confirm the safety of our employees, protect the integrity of company property, andsecure personnel and communication systems for the recovery effort. In the realm of ourdevelopment activities, backups are regularly made for critical information like the data for games
currently in development. This allows us to restore the data as soon as possible should something
happen. In manufacturing, we try to reduce overall risk by dispersing operations among multiple
subcontractors wherever possible. This will allow us to mitigate the impact to manufacturing andprocurement of materials in case a manufacturing partner's facility is damaged.
With regard to individual business operations, we have always been working to ensure the smooth
continuity of business by constantly reviewing our priorities in case of an emergency and by
preparing action plans for each department during normal times. We also undertake disaster
response training as needed.
We will continue to pay close attention to providing the optimum BCP according to thedevelopment of our business.

Q3

Are you considering releasing a new iteration or remake of Nintendo franchises such as the F-Zeroseries, which have not had a sequel released for a long time? There are titles highly rated inNintendo's back catalog, and I'd like to see those actively put to use.

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The 82nd Annual General Meeting of Shareholders
Nintendo Co., Ltd.

A3

Furukawa:
Realistically speaking, it would be difficult to develop remakes or sequels for all Nintendo titles
you have requested, but we're extremely glad and grateful that our fans continue to look forward
to them.
Shinya Takahashi (Director, Senior Managing Executive Officer):
We are always thinking from a broad perspective about how to make both new titles and remakes
enjoyable for many consumers. As an example, a question was asked at the Annual General Meetingof Shareholders (for the 79th fiscal year held in 2019) about whether we had any plans to remake
the Famicom Detective Club series. By chance, we did have plans at that moment to remake thatvery series. I cannot discuss whether we have plans to remake any specific title, but as we develop
our games, we are constantly considering all kinds of possibilities to create enjoyment for
consumers.

Q4

I'd like to hear about how Nintendo takes care of its employees. Please tell us how the environment
at Nintendo headquarters in Japan has changed, and how do you plan to improve working
conditions for employees.

A4

Furukawa:
We recognize that in order to achieve a good work-life balance, we need to create ways of working
that meet the needs of—and work for—each and every individual. To offer a diverse work
environment, we have introduced a flexible working schedule and have policies in place thatencourage the use of paid vacation. We also have made progress in certain initiatives which include
improvements in benefits provided to temporary employees, allowing second- and part-time jobs,
and to further expand existing structures for childcare and caregiving.
We also abolished female employee-specific uniforms several years ago, and starting this year we
moved to a more flexible dress code that allows employees to choose clothes suitable to theirworkplace. You may see employees wearing jackets with the Nintendo logo in media articles. We
still keep these jackets to remind us that Nintendo is a company that creates products.
We're also discussing strategies to promote the active involvement of women in the workplace.
Shigeru Miyamoto (Representative Director, Fellow):Thank you for asking such an important question.
When we started making games, we had only a few dozen people in our team. Now we work withthousands. However, even with the number of people working together increasing, I think it is still
very important that everyone on the team is engaged. I think that a team functions best when eachand every person on the team understands their role, and it is the responsibility of the gamedirectors to ensure this is the case during development. Enabling daily active engagement with theirwork also connects to providing emotional support for each team member.
In addition, roles often become more divided as companies and organizations grow. However, atNintendo, we encourage people to act beyond their roles, while looking at the overall picture. We
do this because when you try new things, the way you have always done things before might not

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The 82nd Annual General Meeting of Shareholders
Nintendo Co., Ltd.
work anymore, and it is always better to have practiced starting something from scratch. I think thisis part of the Nintendo DNA. Every year, I give a lecture to our new employees fresh out of college
and our mid-career hires just joining Nintendo. In this lecture, we talk about things like the Nintendo
DNA and our unique ways of engaging in work.

Q5

There was a time when Nintendo conducted business in China under the iQue brand. However, in
recent years, you have been conducting business in China in partnership with Tencent. I'd like tohear about the current situation of your business in China. Also, there have been reports of hacks
which allegedly have been traced to China. What kinds of risk-management initiatives are you taking
to deal with information leaks?

A5

Furukawa:
We have been selling Nintendo Switch in China in collaboration with Tencent since 2019, and in
January 2022 we also launched Nintendo Switch – OLED Model in China. The video game market in
China is centered around mobile devices and computers, and the market for dedicated video gameplatforms is not very large. However, there has been a gradual increase in people playing Nintendo
Switch ever since its launch in 2019. According to Tencent, games like Ring Fit Adventure have
performed particularly well in China, and the availability of games like this that are unique to
Nintendo is leading the growth in the number of women and families with children among ourconsumers. For our future business development in China, we hope to continue to work together
with Tencent to highlight the appeal of our uniquely Nintendo games.
We are taking a variety of initiatives to address information security threats and vulnerabilities. For
the services we provide, initiatives include cooperating with outside specialists and conducting
diagnostics to check for security issues. In addition, as part of our internal system for information
security, we introduced the information security management system in 2017 and have set up ourInformation Security Committee. Policies for information management have been established, andwe have adopted both physical and technical countermeasures. In addition, we work to raiseawareness of information security among our employees through training and other means.

Q6

Among your Board of Directors, there is currently one female Outside Director, but there are still no
female Internal Directors promoted from within the company. What is the current percentage ofwomen in management positions, and is there a possibility that female director candidates will
emerge from within the company?

A6

Furukawa:
Director candidates are selected based on who would be best for navigating the management of
the company, regardless of factors like gender, age, and nationality. We aim to carry out corporate
management from a variety of perspectives, and our current Board of Directors includes, as Outside
Directors, Asa Shinkawa, who is a woman, and Chris Meledandri, who is a non-Japanese member.
As the interests and preferences of the consumers continue to diversify, it is also essential that weleverage a variety of talent to enhance the overall strength of the company as we are in theentertainment business. To that end, we strive to respect and utilize the individual characteristics

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The 82nd Annual General Meeting of Shareholders
Nintendo Co., Ltd.
and strengths of our employees. When it comes to the recruitment of talent, we judge each personon their own qualities regardless of gender. And after joining the company, the compensation
system and the like are decided based not on gender, but on the abilities demonstrated by theindividual and their contribution to the company. The entire Nintendo group is striving to promote
an environment in which female employees can play an active role. In our overseas subsidiaries,
female employees are active in important posts including senior management. Women account for
23.7% of management positions when calculated based on the combined numbers for theheadquarters in Japan and the subsidiaries in North America, Europe and Australia.
We recognize that there are still many issues to be addressed, such as increasing the number offemale managers in Japan, so this is a topic of frequent discussion among the executive
management. We will continue to strive to build a work environment where employees from adiverse range of backgrounds and various identities can play a more active role.

Q7

Characters from the Nintendo Switch game Fire Emblem: Three Houses appear in the mobile
application Fire Emblem Heroes. In the Fire Emblem series and other IP being developed for both
the dedicated video game platforms and mobile devices, I expect a quality story with the worlds ofthe main series firmly incorporated and that make the most of the mobile application. I would liketo know about the expansion of Nintendo IP in mobile applications from the perspective of theoverall strategy.

A7

Furukawa:
Thank you for your comments on the Fire Emblem Heroes mobile application. The specificationsof a game are determined based on a comprehensive evaluation of various factors, so while I do notknow if we can satisfy every request, your opinions are appreciated.
We are currently operating five applications: Super Mario Run, Fire Emblem Heroes, Animal
Crossing: Pocket Camp, Dragalia Lost, and Mario Kart Tour. For our mobile business, our goal is todevelop services that leverage the characteristics of the individual games so even people in regions
where Nintendo Switch has not been widely adopted can experience Nintendo's uniqueentertainment. In October 2021, Niantic released the mobile application Pikmin Bloom, which wedeveloped with Niantic. Pikmin Bloom is a mobile application that makes it fun to get out of thehouse and walk around, and can be enjoyed by anyone regardless of age or gaming experience.

Q8

It seems that you halted business in Russia because of the situation in Ukraine, but what are yourthoughts about future business in the region? Also, what is the business situation in the neighboring
European region?

A8

Furukawa:
Since the payment provider for Nintendo eShop (which operates the digital business) in Russia
has suspended transactions in Russian rubles, the Russian Nintendo eShop has been in maintenancemode since March 4th. In addition, due to the suspension of Nintendo eShop operations andlogistical difficulties, for the time being, we are not shipping any products, including physicalproducts, to Russia. We will not discuss the specific amount of impact, but this issue has a negligible

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Nintendo Co., Ltd.
effect on our overall financial results since sales in Russia are only a small part of overall sales for
the Nintendo group.
Satoru Shibata (Director, Senior Executive Officer):
Regarding business in the Russia region, we are giving serious thought to how to handle thisgoing forward, in light of changing world affairs. In Europe, as in other regions, Nintendo Switch
sales continue to be steady even entering its sixth year, and interest from consumers is high. Whilechanges in the environment like the situation in Ukraine and global inflation do exist, these factors
have not greatly affected the progress of the Nintendo Switch business in Europe.

Q9

Comparing the balance sheets at the end of March 2021 and the end of March 2022, inventories
have increased by about 110 billion yen. What is the reason for this?

A9

Furukawa:
There are two main reasons. Due to the strain in terms of supply and demand for semiconductor
components, we need to prepare for production by securing inventory of raw materials and parts
earlier than before. The first reason for the increase is that we are holding more inventory of raw
materials than before because of this situation.
The second reason is that there was a change in accounting treatment due to the application of
the new accounting standard for revenue recognition, the impact of which was an increase of 36.5
billion yen. In the process of manufacturing our hardware, Nintendo sells procured parts to assembly
subcontractors for a fee, and re-purchases the product once assembly is complete. Under the new
accounting standard for revenue recognition, when selling components to subcontractors for
assembly, it is determined that there essentially is an obligation to re-purchase the completed end
product. Therefore, we can no longer recognize a reduction of inventories (on the balance sheet)when the parts are consigned, and must instead recognize a debt related to the payment transaction
as an obligation to re-purchase the parts from the subcontractor. This change in accounting rules
resulted in an increase in inventories on the balance sheet.

Q10

What effects have the recent weak yen and global inflation brought about to business? Since
Nintendo has a large volume of its sales made overseas, we understand that a weak yen increases
the sales amount, but are you considering increasing product prices due to increased component
prices and inflation?

A10

Furukawa:
Overseas sales, at nearly 80% of total sales, comprise a very high portion of sales for Nintendo,
and a weak yen means an increase in overseas sales. On the other hand, we have also experienced
an extremely strong yen in the past, and in order to mitigate the effects of such exchange rates,
most of our component procurement is denominated in foreign currencies. While a weak yen
increases sales, it also increases the cost of purchases in foreign currencies and various expenses
incurred outside of Japan, like advertising expenses and labor costs. Therefore, the impact offoreign exchange rates, especially at the operating profit level, is smaller than their impact on sales.

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Nintendo Co., Ltd.
In addition, we hold many deposits and other assets denominated in foreign currencies due toour high percentage of overseas sales. Except in cases where we have exchange contracts andsimilar agreements, in which the exchange rate for transactions in the future is set in advance,
valuation gain/loss (foreign exchange gain/loss) for assets with no such guaranteed exchange rateoccurs based on the exchange rate at the end of the fiscal year. This valuation gain or loss isrecorded as non-operating income or non-operating expenses.
In terms of the impact of global inflation on our current business, our entertainment businessgenerally has not been affected by macroeconomic considerations. However, we have heard fromour overseas offices that inflation is currently rising rapidly and greatly impacting people's daily
lives, especially in Europe and the United States. While there has been no major effect on our sales
at the moment, we will continue to closely monitor the situation.
While we cannot comment on pricing strategies, we currently do not have any plans to change
the price of our hardware due to inflation or increased procurement costs in each country. We will
determine our future pricing strategies through careful and continued deliberations.

Q11

Last year, Nintendo bought back and canceled treasury shares, and this year announced a stock
split and the introduction of a restricted stock compensation plan in addition to further treasury
share buybacks. It seems like Nintendo's capital policy has changed. What kind of discussions led
to the implementation of these measures?

A11

Furukawa:
Regarding the stock split, we plan to split the common shares at a ratio of 10 for 1, with
September 30, 2022 as the record date and October 1, 2022 as the effective date. We are awarethat reducing the cost for each stock trading unit is one effective measure to expand our investor
base and enhance the liquidity of our stock, and we have been carefully discussing its possibility.
We made the decision to split our stock after comprehensively taking into consideration suchfactors as the restructuring of the Tokyo Stock Exchange market, future outlook of the stock market,
current Nintendo share price, and liquidity.
Our basic policy regarding treasury share buybacks remains the same, which is to do so as
necessary based on the business environment, share price, and stock market trends. Information
related to such initiatives must be disclosed in a timely manner in accordance with the rules of thestock exchange, so we cannot describe the specifics of when and how it will be implemented. Since
factors such as the business environment and share prices are also subject to change, we intend tocontinue to carefully discuss this based on the situation in future. However, this does not mean that
we have made any major changes in our approach.

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