07 May 21, 2016 Miyaike President briefing

[Moderator]

Thank you for waiting. From now on, we will start the 116th regular conference.

[Current status of business (June 2016)]

[President]

Let's talk about the topics we have prepared today.

Please see Document 1-1.
Regarding operating conditions, toll revenue in June was 51.410 billion yen, an increase of 2.1% from the same month of the previous year, and the number of traffic per day was 1864,000 units, an increase of 1.9% from the same month of the previous year. It was
In the current month, Expressway etc. will be used due to the opening effect of Shin-Tomei Expwy, the maintenance effect of Ken-O Road, and the review of Expressway charges in the metropolitan area from April. Due to the favorable performance, both toll revenue and the number of passing vehicles increased.

Next is the situation of construction.
I would like to explain the construction overview for the sections scheduled to open in FY2016.
Please refer to Document 1-2 distributed to you. About 6km from Shin-Meishin Expressway and Tokai-Kanjo Expressway Yokkaichi Junction (JCT) to Toin Interchange (IC) already announced on July 15th, but August 11th It will be open at 15:00 on Thursday (holiday). We apologize again for the fact that the cut slope fell due to the effect of a typhoon in September of last year, and that the opening of this section was delayed by 4 months as a countermeasure against this, to our customers and all related parties.
With the opening of this time, in addition to the stock effect of improving the efficiency and productivity of logistics described in this document,
(1) Improvement of the environment and safety in the areas along the railway lines due to the transfer of large vehicles to Expressway
(2) Revitalization of the area by increasing the number of tourists accompanying the improvement of access to tourist facilities
Is expected.
Also, the other day, on the 18th, Governor Suzuki of Mie Prefecture visited the site before the opening and had great expectations for the opening.
Currently, we are in the final stages of construction, such as installing lane marks and guardrails, and adjusting the information board equipment.
As a future plan, we plan to open the site to the press before the opening of the site on August 5th. If you decide the details, we will inform you again, so please join us.
Also, please see Documents 1-3. Although it has been announced at the same time, in commemoration of the opening of this time, we will carry out a "Tetsudo Touin Campaign" to win ETC mileage points by lottery. We are waiting for many applications from you after confirming the application conditions.
About 9km from Chubu Odan Expressway Rokugo IC to Masuho IC, the road main works such as earthworks, bridges and tunnels are almost completed, and the pavement work and the equipment work are underway.

Next is the situation of the service area.
The total number of service areas (SAs) and parking areas (PAs) remains unchanged at 180 locations since there are no new openings in June.
SA / PA sales in June were ¥ 13,096 million, an increase of 2.2% from the same month of the previous year, and sales of the Food and Beverage / Sales division increased by 2.9% from the same month of the previous year.
The main reason for the increase was the increase in revenue due to the opening of NEOPASA Okazaki and Nagashino-Shitaragahara PA In-bound and Out-bound operations.

Next, although the materials are not handed out, the construction of Expressway Renewal Project 's Tomei / Yomune Viaduct completed from May was completed on Wednesday, July 6, four days earlier than planned. , Chuo Expressway ・ The construction of Sawasokogawa Bridge was completed on Saturday, July 9, 6 days earlier than planned. We were able to finish the long-term traffic regulation earlier than planned.
During the construction period, we apologize for any inconvenience and inconvenience to customers using Expressway and those in the surrounding area.
From September, Hokuriku Expressway for 2 sections, Imajo IC to Takefu IC, Namerikawa IC to Uozu IC, and October to Chuo Expressway for 1 section. Construction is planned between SuwaMinami IC and Suwa IC. At construction sites, long-term day and night continuous face-to-face traffic restrictions are enforced, so please understand and cooperate with us.

[The 1st Central Nippon Expressway Company Limited Safety Experts Conference]

Please see Document 2.
" 3-Year Plan for Improving Safety", which we have been working on since FY2013, was completed in FY2015, but we believe that improving safety is an issue that we must continue to take on forever.
For this reason, the Company has positioned "Expressway 's continuous efforts to improve safety and enhance functions" at the top of its management policy, and according to "Five Initiatives Policy", which has inherited the previous plan, PDCA We will continue to work to improve safety while reliably cycling.
In addition, we will establish a “Safety Improvement Experts' Meeting” in the future, as we believe that it is necessary to continue to receive opinions and advice from outside experts in order to improve our efforts in improving safety. I decided. We would like to inform you that the first meeting will be held from 2 pm on Wednesday, August 3rd.
Although he is a member of the "intellectuals 'meeting", as stated on the back side of Document 2, Mr. Miyagawa, who was the chairman of the "intellectuals' committee" up to now, will continue to receive help from three people, and a new We will welcome 3 experts and start with a system of 6 people.
Although the experts 'meeting will not be open to the public, at the 1st experts' meeting, the press will be able to take a picture up to my greeting at the beginning, and a briefing will be held by the secretariat after the meeting.

[Photorogaining NIPPON 2016 Toki Competition]

Please see Document 3.
"Photo-rogaining" is a sport in which you go around the checkpoints in time based on a map and collect points by taking pictures.
Another attraction is that you can enjoy communicating with team members who are working together through sports.
As shown in Document 3, "Photorogaining NIPPON 2016 Toki Tournament" will be held on Saturday, October 29, in collaboration with Toki City, Gifu Prefecture, as last year. Call for entries will start from Thursday, July 21 today.
In addition to this competition, we are currently recruiting three competitions. Wakasa-Mihama Tournament will be held on Sunday, August 28th, the Okazaki Tournament on Sunday, September 25th, and the Shimada Tournament on Sunday, November 27th.
As the photo-rogaining NIPPON series, the Wakasa-Mihama Games will be held for the first time on the Sea of Japan side, and the Okazaki Games will be held for the first time in Aichi Prefecture.
We are working to revitalize the region by promoting tourism and communicating the appeal of each region in cooperation with local governments.
We will hold competitions in various places from the end of August, so please invite your family and friends to join us.

[Traffic prediction during Obon period and traffic safety awareness]

Please see Document 4.
Regarding the traffic jam forecast for the Bon Festival period (Saturday, August 6th to Tuesday, August 16th), we have already announced it on July 8th and have been covered by many media outlets. Thank you very much.
The peak of the congestion of our tract, Out-bound line August 12 (Friday), 14 (Sun), 15 days (month), In-bound is the line August 14 (Sunday). We also forecast 177 congestions over 10km during the period, and 15 congestions over 30km.
We have handed out the "Traffic Congestion Prediction Guide" that will be distributed at SA / PA and toll booths. If you are going back to Obon and want to use the Expressway we hope you will take advantage of it.
Also, as shown in Document 4, as of July 20, 18 (20) traffic fatal accidents have occurred. This is the lowest level in the past five years, but on the other hand, about 70% of traffic fatal accidents occur on Saturdays, Sundays, and holidays, especially in single accidents and people are hit by roads. There are many accidents.
When using the Expressway future or during summer vacation, please take a sufficient distance between vehicles and drive at a safe speed, and take an early break.
In the unlikely event of an accident or breakdown, please refrain from leaving your vehicle on the main line or inside the vehicle and to a safe place such as the outside of the guardrail, paying close attention to your feet. We hope that you will also use the "Safety Drive" pamphlet we are distributing.

Last but not least, the NEXCO CENTRAL Report 2016 has been published and has been distributed to you.
This report is a summary of our Group's management plan and its efforts to make it easy for stakeholders to understand.
We will announce it on our website on June 9, but we will take this opportunity to briefly introduce it.
From page 1 to page 5, we formulated based on 10 years since privatization, safety improvement, and other issues that require further attention in the future, and we started this April in “Management Plan Challenge V 2016- The outline of "2020" is introduced.
As the axis of our business activities for the next five years, we have set “4 Management Policies” on page 3 and “Key Performance Indicators (KPI)” and “Financial Plan” on page 5 We will work on measures.
Regarding management measures, refer to page 18 “Efforts to improve safety since fiscal 2016”, page 21 “Current and future of each business division”, page 35 “Value improvement and source of creation”, etc. Introducing specifically.
It also describes the development of Expressway networks and Expressway Renewal Project, which are of great interest to everyone, and the “technology development” and “regional” efforts that we will focus on in the future.
In addition, as a special feature, on pages 9 to 20, we introduce our everlasting challenge, “Continuous efforts to improve safety”.
Through this report, we would like to tell you about our daily efforts to improve safety and realize our business plan.
We hope you will read it and help us to deepen our understanding of our group.

These are the topics we have prepared today.

[Moderator]

Now, let's receive your questions.

[Reporter]

Regarding the current situation of the business in Document 1, is the sales of SA / PA. Is this number the highest ever for June?

[Employees]

It's not the highest ever because there are more than this in the past.

[Reporter]

Is there any monthly increase?

[Employees]

Since NEOPASA Okazaki and Nagashino Shitara Gahara PA opened in February of this year, sales have increased since then.

[Reporter]

In the current state of the business, are the numbers for toll revenue and the number of vehicles passing through the record high for the month of June?

[Employees]

I will confirm and answer.

[Reporter]

The opening of the Shin-Meishin Expressway Loop on August 11th, but it is said that media coverage will be possible on the 5th. Will the opening ceremony and other events be held on the opening day?

[President]

We are considering an opening ceremony and a parade in the morning of August 11, and then we plan to open it at 3:00 pm.

[Reporter]

Shin-Meishin Expressway please to again tell me the prospect of up to whole line opening of.

[President]

Shin-Meishin Expressway With regard to, we are promoting the construction work until the Kameyama JCT. The opening of this time is between some of the Yokkaichi JCT and Shin-Yokkaichi JCT, and the rest of the section is under construction with the goal of the end of 2018.

[Reporter]

In connection with that, please tell us about the prospect of opening the entire Tokai Loop Line.

[President]

Regarding the Tokai Loop, we are working together with Ministry of Land, Infrastructure, Transport and Tourism, and since there is direct control construction of Ministry of Land, Infrastructure, Transport and Tourism, we can not answer when the whole line is open. We will continue to cooperate with the Ministry of Land, Infrastructure, Transport and Tourism, and with the cooperation of the region, we will make diligent efforts toward the completion as soon as possible.

[Reporter]

Previously, I read an article that NEXCO CENTRAL was involved in the technical development of autonomous driving support, but please tell us about the progress and what you are doing.

[President]

I think it was a story that you had a question at the last press conference. Participating in government-private joint research led by the national government, automobile manufacturers, IT-related people, and road personnel like our company are jointly conducting research on automatic driving. In the joint research, we are focusing on what kind of driving support can be provided from the Expressway side.

For example, autonomous driving is basically based on GPS, automobile sensors, and map information, but if real-time information such as traffic information on Expressway, accidents, and traffic congestion is added, automatic driving will be performed. I think that it will be convenient even on the top. We are also conducting research, including providing information that is useful for the safety of such autonomous driving.

[Reporter]

I think you have an office in Vietnam, but what is the progress on the export of Expressway technology?

[President]

We have dispatched employees to Vietnam, and are working on technical support and consultants who can cooperate, and if there is a road business, we are developing it. In Indonesia, some companies are participating in the Expressway business by investing from JEXWAY (Japan Expressway International Co. Ltd.), which was recently jointly funded by the Expressway company. In addition, we are in the process of investigating where we can utilize our special technology.

[Reporter]

What happened to Terrace Gate Toki 's hotel business after that?

[President]

We are still in the process of discussing it. Once decided, I would like to announce it again.

[Moderator]

It seems that your question has been interrupted, so this is the end of your regular meeting.