Yamaha 2008 Annual Report Download - page 38

Download and view the complete annual report

Please find page 38 of the 2008 Yamaha annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 96

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96

36 Yamaha Corporation
Business Outline
During fiscal 2008, Yamaha sold its shares in the subsidiaries
which operated Kiroro, Toba Hotel International, Nemunosato
and Haimurubushi to Mitsui Fudosan Resort Co., Ltd., and
transferred all operating assets of these subsidiaries to the new
owner as of October 1, 2007. The recreation business now
comprises the operations of two subsidiaries: Tsumagoi Co.,
Ltd., and Katsuragi Co., Ltd. which operates a golf club and an
accommodation facility.
Performance Overview
Sales in the recreation segment declined 36.2% year on year in
fiscal 2008, to ¥11.4 billion, reflecting the loss of sales from the
four subsidiaries transferred to Mitsui Fudosan Resort. These
companies were excluded from the scope of consolidation for the
second half, which resulted in the improvement of the operating
loss to ¥1.1 billion. Details of the financial performance of the two
remaining facilities are provided below.
TsumagoiTM
Tsumagoi is a multipurpose resort facility that offers visitors a
variety of musical entertainment and sports facilities. A number of
music concerts were held during fiscal 2008, and the use of the
facilities for long-term accommodation, such as school trips and
corporate training, bolstered revenues. However, sales revenues
from weddings fell sharply, mainly due to increased competition
from refurbishment of nearby wedding facilities.
Katsuragi-KitanomaruTM/ Katsuragi Golf ClubTM
During fiscal 2008, the Company took a first step toward finan-
cial stability, having completed a major project to restore greens
and refurbish facilities in fiscal 2007. Katsuragi-Kitanomaru
sought to increase both hotel guests and daytime visitors, while
Katsuragi Golf Club made efforts to attract more players. How-
ever, demand from corporations and tour groups remained
weak, and the number of visitors failed to increase as much as
anticipated. Furthermore, preparations for a golf tournament held
in April 2008 pushed up operating expenses, causing the resort
to book an operating loss for the fiscal year.
Key Policies and Priority Measures in Fiscal 2008
■ Achieve smooth handover of the four resort facilities (Kiroro, Toba Hotel International,
Nemunosato and Haimurubushi)
■ Further enhance the value of the remaining two resort facilities (Tsumagoi and
Katsuragi-Kitanomaru / Katsuragi Golf Club)
Fiscal 2008 Highlights
■ The transfer of the four resort facilities mentioned above was completed as of
October 1, 2007
■ Katsuragi-Kitanomaru / Katsuragi Golf Club conducted promotional activities
through hosting a golf tournament
Recreation
04/3 05/3 06/3 07/3 08/3
20,100
18,290 18,013 17,800
11,353
Net Sales
(Millions of Yen)
Katsuragi Golf ClubTM
TsumagoiTM Music Garden
Four transferred facilities
Tsumagoi and Katsuragi