FINANCIAL HIGHLIGHTS MANAGEMENT PERSPECTIVE TOPICS REVIEW OF OPERATIONS FINANCIAL SECTION CORPORATE DATA 9 Thoroughly implement and improve measures, with an emphasis on our  Customer First policy. Recognizing that support from customers equals company competitiveness, review the work  processes in sales, design, R&D, and after-sales service in each business division and in our support  and corporate departments from the viewpoint of our Customer First policy. Enhance Daikin technology to drive business structure conversion and  the continuous development of highly differentiated products. 1. Target 30% of new product ratio for total sales every year. 2. Review themes annually and formulate measures to solve potential problems (reliability,  development speed, product competitiveness, and technology). In this era in which the degree to which IT is integrated into business  activities directly affects the level of a company's performance, thoroughly  promote management reform utilizing IT, based on the recognition that our  utilization of IT originates in our Customer First policy. Clearly distinguish between our core business activities, including those  which may become core businesses, and non-core activities (thoroughly  outsource non-core activities). Seek mutual advantages by understanding  the outsourcing needs of other companies as business opportunities. Thoroughly implement four priority measures to establish global corporate  ethics. Add to the Company’s appeal by publicizing Daikin's philosophy,  strategies, and intentions. 9 8 7 6 5