Mitsui & Co.,ltd · TSE:8031

Mitsui & Co.,ltd — Investor Day (2017)

120 slides from Mitsui & Co.,ltd's investor day presentation, 2017

Slide 3: Quantitative Targets Profit (PAT) / Core Operating Cash Flow
Quantitative Targets Profit (PAT) / Core Operating Cash Flow ※Unit: ¥bn ※Years to March ■ Profit (PAT) ■ Core Operating Cash Flow 202.2 210.0 144.3 150.0 2017 2018 2020 （Actual） New medium-term management plan Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 3
Slide 4: Business Environment
Business Environment Necessary Commodities Increasing resources supercycle environmental in the mid- lapsed awareness long term Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 4
Slide 5: Base Strategy
Base Strategy Secure competitive resources and 1 contribute to stable supply Raw Material Supply Recovery & Value Refinery & Recycling Fulfill the needs of customers and chain Processing 2 partners Sales and Marketing Pursue balanced business between 3 economic growth and environmental conservation
Slide 6: Focus Areas
Focus Areas Major Projects and Year of Participation Iron Ore Coal Copper 1962: Dawson (Australia, Coal) 1965: Robe River (Australia, Iron Ore) Scrap, New Metals, 1967: Mt. Newman (Australia, Iron Ore) 1996: Collahuasi (Chile, Copper) Ferroalloys Aluminum 2002: Coral Bay (Philippines, Nickel)  Soli
Slide 8: Iron Ore
© Dario Zalis / Vale Initiative 1 Enhancing further our business strength Mitsui & Co., Ltd.  Mt. Newman  Goldsworthy Robe River  Yandi  Jimblebar Iron Ore Rio Tinto BHP Vale Competitive business engagements with major companies Enhancing the trinity of production volume, reserves, and cost comp
Slide 9: Coal
Initiative 2 Fruition of new projects Mozambique Coal mine Infrastructure Strategic partner Moatize Nacala Abundance of reserves, High- quality, Cost-competitiveness Stable revenue base Expansion potential Vale Coal Integrated business of Coal mine and infrastructure development Establish new revenu
Slide 10: Copper
Initiative 3 Enhancing our existing projects Anglo Collahuasi Caserones American Sur Improving Enhancing value Enhancing further competitiveness through through operational our superior assets Copper replenishing reserves improvement Strengthening our existing projects through operational improvemen
Slide 12: Quantitative targets Profit (PAT) / Core Operating Cash Flow
Quantitative targets Profit (PAT) / Core Operating Cash Flow ※Unit: ¥bn ※Years to March ■Profit（PAT） ■Core Operating Cash Flow 900 140.0 134.2 31.7 50.0 2017 2018 2020 New medium-term Actual management plan Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 12
Slide 13: Mitsui's Strengths: Oil and Gas production, reserves, LNG capacity
Mitsui’s Strengths Oil and Gas production volume; Reserves; LNG production capacity Production LNG production volume; Reserves *Reserves are for post-FID projects only capacity Production Reserves (million tons) Mozambique (kboe/day) (billion bbl) Sakhalin II expansion Area chart: Reserves Oil ■Gas
Slide 14: Business environment
Business environment Energy demand will increase along with economic and population growth; Society will demand cleaner supplies Core primary energy Towards a low carbon society Natural gas Fossil fuels (Oil, Natural gas) Non-fossil fuels （Renewable energy) Copyright © MITSUI & CO., LTD. ALL RIGHTS
Slide 15: Basic strategy
Basic strategy 1 Establish a competitive asset portfolio Expand a mid/downstream Energy Value 2 Chain using Mitsui’s capabilities Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 15
Slide 16: E&P: Establish a competitive portfolio of upstream assets
E&P Establish a competitive portfolio of upstream assets Oil Natural gas Eagle Ford Marcellus E&P Tempa Rossa Oman Thailand Kaikias Enfield/Vincent Greater Enfield Kipper Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 16
Slide 17: LNG: Establish a competitive LNG portfolio
LNG Establish a competitive LNG portfolio LNG projects (Mitsui involvement) Sakhalin Ⅱ Qatar LNG Abu Dhabi LNG LNG Equatorial Oman LNG Tangguh Cameron Guinea LNG Browse Mozambique North West Shelf Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 17
Slide 18: Expand Energy Value Chain (Gas)
Expand Energy Value Chain © Anadarko Petroleum Corporation Energy Marcellus Cameron Value Chain Gas Value Chain Electricity E&P Gas pipeline Cameron LNG LNG tanker LNG terminal generation Upstream Downstream ©Lonnie Duka Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 18
Slide 19: Expand Energy Value Chain (Oil)
Expand Energy Value Chain Oil value chain E&P Pipeline Tanker Terminal Upstream Downstream Energy Tempa Rossa Oman Kaikias Value Chain Enfield/Vincent Greater Enfield ©Lonnie Duka Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 19
Slide 20: Expand Energy Value Chain
Expand Energy Value Chain Create demand New trade Secure supply Expand sales outlets flows sources Energy Value Chain Reinforce trading function Provide added value to customers ©Lonnie Duka Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 20
Slide 21: Global business development
Global business development Proactive business development and management EMEA Americas Energy 70 70 Value Chain Asia Pacific 130 MEMS METS Create cross-functional business opportunities ©Lonnie Duka Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 21
Slide 23: Utilizing Mitsui's global human resources
Utilizing Mitsui’s global human resources Nurturing and Promoting realizing the Strengthening optimal staff potential of the individual professionals Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 23
Slide 24: Yoshio Kometani, Shingo Sato
Yoshio Kometani Infrastructure Projects Business Unit Shingo Sato Integrated Transportation Systems Business Unit I Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 24
Slide 26: Quantitative Targets Profit (PAT) / Core Operating Cash Flow
Quantitative Targets Profit (PAT) / Core Operating Cash Flow ※Unit: ¥bn ※Years to March ■ Profit (PAT) 105.0 ■ Core Operating Cash Flow 90.0 80.0 74.5 66.8 70.0 2017 2018 2020 （Actual) New medium-term management plan Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 26
Slide 28: Core businesses: Highlights
Core businesses: Highlights Offshore oil &gas Gas Power Infrastructure distribution Balanced portfolio of MODEC collaboration Brazil: approx. 3 million m3/d 10 GW of power generation 5 countries capacity (roughly 50% Capacity in 21 countries 16 FPSO vessels of domestic supply total) 2 million bbd pr
Slide 29: Business environment
Business environment Infrastructure Projects Business Unit - Major changes in business environment -  Shift to low-carbon society as climate change awareness grows  Low oil prices associated with end of resources supercycle  Shift in industrial structures due to tech revolution, digitalization Co
Slide 30: Basic strategy
Basic strategy Reinforce earnings Strategic Entry into 1 base 2 recycling 3 new fields Retail, Next generation (storage, Power Generation(thermal, RE) VPPs, EVs, etc. Hydrocarbons Gas distribution , Offshore energy , Gas value chain Logistics Port terminals; Airports New fields/ Global Resources-Inf
Slide 31: Power
Initiative 1 Power Africa Renewables Strengths  Approx. 10GW capacity ME Americas Oil Region Fuel  Portfolio well-balanced in Coal Gas Eur terms of fuel geography ope Asia  Operatorship Power Growth initiatives  Enhance asset values (operational improvement; Use digital technology such as IoT /
Slide 32: Offshore oil & gas infrastructure
Initiative 2 Offshore oil & gas infrastructure Strengths  Strong collaborative framework with MODEC  Abundant project achievements for Petrobras (Brazil) Offshore oil  Stable earnings from 16 FPSO*/FSO & gas Infrastructure Growth initiatives  Raise operating rates, lower costs  Win new orders f
Slide 33: Gas distribution
Initiative 3 Gas distribution Strengths  Strategic partnership with Petrobras  Approx. 50% share of gas distribution volume in Brazil (expansion into 19 of 26 states) Gas distribution Growth initiatives  Improve earnings capability through business efficiency  Pursue attractive opportunities for
Slide 36: Business environment
Business environment Growth in mobility market 8.5 billion people 7.3 billion people 2015 2030  Suppression of global warming  Need for safe and dependable transportation  Shift in industrial structure to raise economic efficiency Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 36
Slide 37: Basic strategy
Basic strategy Sustained expansion of Business lifecycle 1 revenue base 2 management Action Plan Thoroughly strengthen existing Enter new growth frontiers businesses, bolt-on investments Automotive (OEM business, Penske, etc.) Technological innovation, sharing economy, Construction (Komatsu, etc.) r
Slide 38: Bolster earnings base of existing businesses (automotive)
Approach 1 Bolster earnings base of existing businesses (automotive) Core business Enhance value by leading entry into promising new OEM (automotive) markets, and so forth Growth measures Integrated Together with Penske Automotive Group (PAG) as Transportation International Transportation Services C
Slide 39: Bolster earnings base of existing businesses (railways)
Approach 2 Bolster earnings base of existing businesses (railways) Mitsui Rail Capital Lease （Europe, U.S., Brazil, etc.) Integrated Transportation VLI（Brazil） Systems Freight DFC（India） Passenger East Anglia（UK） Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 39
Slide 41: Quantitative targets Profit (PAT) / Core Operating Cash Flow
Quantitative targets Profit (PAT) / Core Operating Cash Flow ※Unit: ¥bn ※Years to March 80.0 ■Profit (PAT) ■Core Operating Cash Flow 53.8 50.0 50.0 32.7 30.0 2017 2018 2020 New medium-term (Actual) management plan Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 41
Slide 42: Business environment
Business environment Population Expanding Environmental Emerging Aging society issues Food crisis growth middle class markets QOL Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 42
Slide 43: Business environment: new business opportunities
Business environment Medical Healthcare ICT & New Industries New business Population Increasingly Expanding Environmental opportunities Emerging Food crisis Aging society growth complex industryissues middle class Nutrition markets QOL Mobility structure where industries Food & Agriculture intersect
Slide 44: Create new business in the profit zone
Business environment Create new business in the profit zone by capturing new trends and leveraging our comprehensive strengths Partner needs Environmental change Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 44
Slide 45: Organizational reform
Organizational reform Former New structure structure Basic Basic Materials BU Chemicals BU Performance Materials BU Performance Chemicals BU Nutrition & Agriculture BU Agile BU structure to accelerate engagement in key strategic domains Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 45
Slide 46: Role of the 3 BUs
Role of the 3 BUs Connect the chemical industry with related industries and create new business through the power of chemistry ICT & DT Medical New Industries Advanced Nutrition Nutrition materials Mobility Healthcare Performance Crop materials protection Methanol Personal Amonia Food & Care Agricul
Slide 47: Investment efficiency
Investment efficiency Promote business initiatives Select projects based on potential and investment efficiency Business ROA Approx. 6% 8% Current 2020 Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 47
Slide 48: Initiatives
Initiatives 1 Engage in new growth opportunities 2 Reinforce trading capabilities 3 Make bolt-on investments Business areas  Petrochemicals (Basic chemicals, Tank terminals)  Performance materials (Mobility, Consumer products, ICT/New industries)  Nutrition & Agriculture（Agriculture, Animal Nutri
Slide 49: Chemicals: Engage in new growth opportunities
Initiative 1 Engage in new growth opportunities Performance materials  Mobility Expand trading and businesses in performance plastics, compounds, carbon fiber, etc.  Consumer products Chemicals Build performance materials businesses that meet final product needs Agriculture, Food science  Enhance
Slide 50: Chemicals: Reinforce trading capabilities
Initiative 2 Reinforce trading capabilities Multilayered strategic alliances with business partners Trading Project Trading Trading Overseas Consolidated Broad range of locations in global workforce of product Trading areas and 59 countries approx. 5,000 customer bases Chemicals Trading Project Proj
Slide 51: Chemicals: Make bolt-on investments
Initiative 3 Make bolt-on investments Animal nutrition  Expand Novus Methionine production (260k→380k tons/yr)  Novus specialty business Tank terminal Chemicals  Plan to expand US tank terminal (Total for 2 sites 16→21 million barrels) Methanol  Improve profitability through stable operations an
Slide 52: Targets Profit (PAT) / Core Operating Cash Flow
Targets ※Unit: ¥bn ※Years to March 80.0 ■Profit (PAT) ■Core Operating Cash Flow 53.8 50.0 50.0 32.7 30.0 2017 2018 2020 (Actual) New medium-term management plan Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 52
Slide 53: Growth areas: Mobility, Healthcare, Nutrition & Agriculture
Mobility Part3 Healthcare Growth areas Nutrition & Agriculture Retail & Services Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 53
Slide 55: Changes to the external environment
Business environment Changes to Changes in Technological the external user innovations environment awareness Heightening of safety and Materials / Electric vehicles / Global warming / environmental awareness Self-driving cars population growth / From ownership of transport Structural changes in urba
Slide 56: EVs
Initiative 1 Responding to the environment / Tech innovation EVs Core business  Investment in EV manufacturer Lucid (US) EVs  Electric vehicles ancillary engineering  Secondary battery-related business Tech innovation generating business opportunities Copyright © MITSUI & CO., LTD. ALL RIGHTS RES
Slide 57: Car sharing
Initiative 2 Addressing the sharing economy Car Sharing Core business  Car Club (Singapore) Car  Became wholly owned subsidiary in May 2016 sharing  Top share (60％) Cooperation with other transportation organizations Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 57
Slide 58: Integrated transportation service
Initiative 3 Innovations in transport services Integrated transport service for passengers and goods Core businesses  Truck leasing, rental and logistics, business with Penske Integrated Truck Leasing(US) transportation  VLI (Brazil) integrated transport service business(Brazil) service  Particip
Slide 59: Growth with Gestamp Automoción S.A.
Initiative 4 Automotive components and materials Automotive components Growth with and materials Gestamp Automoción S.A. Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 59
Slide 60: Gestamp Overview
Gestamp Overview HQ Spain Business Automotive stamping component manufacturer ■Revenue【CY2016】 ■Revenue by region / customer【CY2016】 Net revenue : EUR7,549 million Region Customer EBITDA : EUR 841million revenue (EUR million) Eastern 8,000 Europe 12.2% 11% Asia- 21.8% Pacific 14% 6,000 4.0% Western
Slide 61: Gestamp Overview
Gestamp Overview 100 Plants + 8 12 R&D Centres + 1 1,300 Experts Under Construction Under Construction that work in our 21 countries 8 countries 12 R&D Centres Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 61
Slide 62: Gestamp advantage: Technology strengths
Gestamp advantage Technology strengths Capability of developing technologies for high-strength and light weight ■Various steel processing Solution for safety and light H 1500 Hot stamping weight through utilizing a variety 1200 2D Roll Forming of materials and forefront ～1400 Roll Forming +AH/SS* st
Slide 63: Gestamp advantage: Design proposal
Gestamp advantage Design proposal Manufacturing Planning Concept Parts Complex Designing next-generation models Development manufacturing Assemblies Automotive manufacturers Development of new materials Proposing optimal materials and designs of components Stay on top of trends in the automotive ind
Slide 64: Reinforcement of Mitsui's automobile value chain
Reinforcement of Mitsui’s automobile value chain Sales, Business Material Material supply Manufacturing Operation, processing after market Planning next- Concept Parts Complex generation development Designing manufacturing assemblies models Sales support for Japanese companies Existing Entry into St
Slide 66: IoT and Logistics
Mitsui’s contribution to value IoT and Logistics Optimization of production and operation（smart factories） IoT Industry4.0 AI Bigdata Logistics Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 66
Slide 67: Global Business Expansion
Mitsui’s contribution to value Business development Global Business Expansion Business development Development in First plant in Japan Asia and Africa ■Human resources contribution  Human resources contribution  Assistance for incorporation procedure and construction Copyright © MITSUI & CO., LTD.
Slide 69: Business environment: Growth in medical expenditure
Business environment Growth in medical expenditure Global Emerging nations in Asia Annual average ¥808 Annual average ¥152 tn 6.9％ UP 7.8％ UP tn ¥316 ¥53 tn tn 2000 2014 2000 2014 Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 69
Slide 70: Business environment Factors
Business environment Factors Population growth/Aging Growth in Changes in of society middle-income-level groups disease patterns Global population Households with an Deaths due to chronic diseases annual income of 8.5 billion 52 million USD10,000 1.22 billion 39 million people people 7.3 billion 1.1
Slide 71: Business environment Factors
Business environment Factors Population growth/Aging Growth in Changes in of society middle-income-level groups disease patterns Global population Households with an Deaths due to chronic diseases 8.5 billionAs a medical services provider annual income of 52 million USD10,000 1.22 billion 39 million
Slide 72: Our vision for healthcare
Our vision for healthcare [Place] x [People] x [Products] x [Services] x [Information] This formula means a better future for patients and for the whole healthcare industry. Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 72
Slide 73: Our vision for healthcare
Our vision for healthcare Information People By building and expanding a healthcare ecosystem and creating new value, we can respond to the needs of patients, doctors Places and hospitals and do our part to solve social issues. Products Services Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 73
Slide 74: Our vision for healthcare: Places
Our vision for healthcare 【Hospital business】【Hospital business】 IHH Columbia Asia Places 【Dialysis clinic business】【Dispensing Pharmacies】 DaVita SOGO MEDICAL Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 74
Slide 76: Our vision for healthcare: Products
Our vision for healthcare 【CMO business】【Pharmaceuticals】 MicroBiopharm Japan Shenzen Main Luck Products 【Pharmaceutical sales business】 Panasonic Healthcare Fuji Pharma Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 76
Slide 77: Our vision for healthcare: Services
Our vision for healthcare Services 【Contract food services】【Facility management】 AIM SERVICES Mitsui & Co. Foresight Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 77
Slide 79: Focus Regions in Healthcare Area
Focus Regions in Healthcare Area Americas World’s largest healthcare and drug market. Source of leading technologies and services ■ The Delta Companies Asia Healthcare market with ■ The CSI Companies ■ NovaQuest Capital Management growing needs ［Malaysia］  IHH Healthcare  International Medical Uni
Slide 80: Specific initiatives
Specific initiatives 1 Strengthen existing businesses 2 Enhance value by strengthening collaboration between assets 3 Gain operatorship Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 80
Slide 81: Healthcare: Strengthen existing businesses
Initiative 1 Strengthen existing businesses  Hospitals and ancillary businesses • IHH • Panasonic Healthcare Places • Columbia Asia • DaVita Others  Drug manufacturing and sales business / CMO business Healthcare Products • MicroBiopharm Japan • Fuji Pharma Others  Outsourcing business Services •
Slide 82: Enhance value by strengthening collaboration between assets
Initiative 2 Enhance value by strengthening collaboration between assets Healthcare Existing assets Enhance corporate value Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 82
Slide 83: Enhance value by strengthening collaboration between assets
Initiative 2 Enhance value by strengthening collaboration between assets Information Hospitals People Blood Glucose Dialysis monitors Places Products Services Healthcare Hospitals Portals Pharmaceutical Information People for doctors companies Places Products Services Copyright © MITSUI & CO., LTD.
Slide 84: Gain operatorship
Initiative 3 Gain operatorship Hospitals and hospital ancillary business Manufacture and sale of pharmaceuticals/CMO business Healthcare Healthcare staffing business Gain operatorship Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 84
Slide 85: In closing
In closing 1 Strengthen existing businesses ¥20.0bn Enhance value by 2 strengthening collaboration between assets ¥10.0bn 3 Gain operatorship 2018 2020 Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 85
Slide 87: Business environment
Business environment Increase in Population Aging society middle income growth Better QOL earners Changes in Better health Food shortages eating habits through food Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 87
Slide 88: Business environment
Business environment Increase in Population Aging society middle income growth Better QOL earners Need for increased Demand for high- food production Mitsui will address both value-added food Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 88
Slide 89: Covers a broad profit zone
Business environment N&A Business Unit Food Business Unit Need for increased Agriculture Agriculture/ food production Livestock/ Fisheries/ Animal nutrition Global logistics Demand for high- Food development value-added Need food for increased Food science Demand for high- and proposals food product
Slide 91: Mitsui's strengths: from Destination Japan to Destination Asia
Mitsui’s strengths Expand our approach from Destination Japan to Destination Asia Mitsui’s share of total imports to Japan (excluding grains) Palm and vegetable oils Coffee No.1 No.1 No.6 in JPN in JPN globally 30％ 36％ 750,000 Raw sugar 430,000 Tea Tons Tons No.1 20％ in JPN 1.27m No.1 15,000 40％ han
Slide 92: Mitsui's strengths: grain imports and handling volumes
Mitsui’s strengths Expand our approach from Destination Japan to Destination Asia Mitsui’s share of total imports of grain types to Japan Global handling volumes ※10k tons ※Years to March 2,500 Corn No.1 Soy No.1 trading trading 2,029 18％ company 23％ company 2,000 1,790 1,761 15.6m 2.28m 1,500 Tons
Slide 93: Growth strategy: expand supply sources and markets
Growth strategy Expand supply sources (origination) to Russia and expand markets (destination) to Africa and Indian Ocean rim European market Japanese market Middle-Eastern Asian market and African market Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 93
Slide 95: Agriculture
Initiative 1 Agriculture Rock phosphate Crop protection IP + sales Prod. vol.: 3.9 mil MT/year IP acquisition (own products) Sales (Refined Ore) Exports: #3 worldwide from DuPont MASI, SPU (51%) (25%) (24%) Latitude from Monsanto Certis, KST Agriculture Raw materials Manufacturing Development Farmer
Slide 96: Animal nutrition
Initiative 2 Animal nutrition Livestock and fisheries feed additives (A U.S. company; Mitsui ■Product groups & Co. ownership: 80 %) (Methionine) (Eubiotics) ・Market share: 30% / Sales targets: 90 countries (Mineral) (Enzyme) Animal Livestock farmers Nutrition Feed additives Formula feed Fish farming
Slide 97: Animal nutrition: livestock and fisheries feed additives
Initiative 2 Animal nutrition Livestock and fisheries feed additives (1000 tons) Changes in consumption volumes of meat (A U.S. company; Mitsui ■Product groups 120,000 (beef, pork, chicken) & Co. ownership: 80 %) (Methionine) (Eubiotics) ・Market share: 30% / Sales targets: 90 countries (Mineral) (En
Slide 99: Yoshiki Hirabayashi, Masaki Saito, Yasuyuki Fujitani
Yoshiki Hirabayashi Food & Retail Management Business Unit Masaki Saito IT & Communication Business Unit Yasuyuki Fujitani Corporate Development Business Unit Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 99
Slide 101: Business environment: changing lifestyles
Business environment Increase in Women in the Changing lifestyles Senior population workplace Shifting trends in people’s eating habits and how they use their time Shift in preference from home Shift in focus from material cooking to prepared foods possessions to experiences Copyright © MITSUI & CO.
Slide 102: Mitsui's strengths: Retail support function to 7&i Group
Mitsui’s strengths Retail Support function to 7&i Group Raw materials Manufacturers Distribution Delivery Store Commissaries, materials/packaging supplier Food ingredients/raw Bakeries Vendor Service Bussan Japan Retail System Logistics Service Solutions 7&i Group Manufacturers Mitsui Foods Packagin
Slide 103: Mitsui's strengths: Retail support function to 7&i Group
Mitsui’s strengths Retail Support function to 7&i Group Raw materials Manufacturers Distribution Delivery Store materials/packaging supplier Food ingredients/raw Commissaries , Bakeries Vendor Service Bussan Japan Retail System Logistics Service Solutions 7&i Group Manufacturers Supply-demand Tracea
Slide 104: Unique resources owned in each field
Mitsui’s strengths Unique resources owned in each field Raw materials Manufacturers Distribution Delivery Store Upstream Midstream Downstream ■Ventura Foods: ■Midstream assets: ■New Nine: Positioned as developed market Retail support business for 7&i CVS in Asia growth market industry’s biggest play
Slide 105: Growth strategy: adapt to shifting trends in people's needs
Growth strategy Adapt to shifting trends in people’s needs Upstream Midstream Downstream Consumer Reinforce links among existing assets Acquire Shifting trends Strengthen customer/ R&D of in people’s distribution product eating habits products capabilities information Introduce AI and how they use t
Slide 106: Growth strategy: adapting to change
Growth strategy Adapt to shifting trends in people’s needs Upstream Midstream Downstream Consumer Adapting to change Shifting trends Manufacturer position Temperature- Expansion of in people’s in food products "for food service business controlled retail business eating habits use" and in prepared d
Slide 108: Business Environment: change in ICT area around retail
Business Environment Change in ICT area around retail business Advances in Huge increases in volume of data technological innovation for and data gathering methods data gathering, such as video, sensor information storage and analysis Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 108
Slide 109: Business Environment: change in ICT area around retail
Business Environment Change in ICT area around retail business Advances in Huge increases in volume of data technological innovation for Bringing and data gathering methods major changes data gathering, to sensor such as video, retailers with digital technology information storage and analysis Copyr
Slide 110: Retail support: strengths and growth strategy
Mitsui’s strengths and growth strategy Retail support business  Adopt advanced technology in Japan, through investment in companies specializing in data accumulation, analysis and utilization Retail  Establish operating companies that support implements next-generation marketing at real retail sit
Slide 111: Media commerce: strengths and growth strategy
Mitsui’s strengths and growth strategy Media commerce business  Know-how, experience gained through TV shopping business over many years  Capture active demand from middle class Media in emerging countries commerce ▲Naaptol Online Shopping Leverage TV shopping experience to participate in diversif
Slide 113: Four services provided by Corporate Development Business Unit
Four services provided by Corporate Development Business Unit Alternative asset management Corporate value improvement Commodity Derivatives Consumer goods, logistics Copyright © MITSUI & CO., LTD. ALL RIGHTS RESERVED. 113
Slide 114: Business environment: global alternative assets
Business environment Global alternative assets 2020 13.6 trillion Approx.¥1,500 ※US$ in trillions ■ Global alternative asset under management (AuM) is forecast to grow at a rate of 8% per year until 2020 7.9 2013-2020 CAGR 5.3 8.1% Approx. ■ Under the difficult investment +¥25 management environment
Slide 115: Long history of hands-on alternative asset management service
Mitsui’s strength Long history of hands-on alternative asset management service 【Japan】 Listed first dedicated logistics J-REIT Founded Mitsui & Co., Realty Management Founded Japan Founded the first logistics Founded the second Alternative Acquired 5 properties from private fund logistics private f
Slide 116: Long history of hands-on alternative asset management service
Mitsui’s strength Long history of hands-on alternative asset management service 【Japan】 Founded Mitsui & Co., Listed first dedicated logistics J-REIT Foundedsolar Founded Mitsui & Co., fund energy Founded Mitsui Bussan Idera Partners Realty Management Realty Management Listed comprehensive J-REIT Fo
Slide 117: Long history of hands-on alternative asset management service
Mitsui’s strength Long history of hands-on alternative asset management service Founded Mitsui solar & Co.,energy fund Founded Founded Founded Mitsui Bussan Idera Partners Founded solar energy fund Mitsui Bussan Idera Partners Realty Management Listed comprehensive J-REIT Listed comprehensive J-REIT
Slide 118: Initiatives
Initiatives Increase balance of assets under management  CIM Group, LLC 20％ share Increase AuM ¥1.4 Alternative  New Ocean trillion 15％ share asset Capital Management Mar 2017 Mar 2020 management service Enhance sales capabilities to domestic investors  Mitsui & Co. Alternative Enhance capital In
Slide 119: A Cautionary Note on Forward-Looking Statements
A Cautionary Note on Forward-Looking Statements: This material contains statements (including figures) regarding Mitsui & Co., Ltd. (“Mitsui”)’s corporate strategies, objectives, and views of future developments that are forward-looking in nature and are not simply reiterations of historical facts.
Slide 120: 360° business innovation.
360° business innovation. MITsurEco.

Mitsui & — Investor Day (2017) on 6ix

Mitsui & Co.,ltd — Investor Day (2017)

Slide 1: Core areas: Mineral & Metal Resources, Energy

Slide 2: Shinichiro Omachi, Mineral & Metal Resources Business Unit

Slide 3: Quantitative Targets Profit (PAT) / Core Operating Cash Flow

Slide 4: Business Environment

Slide 5: Base Strategy

Slide 6: Focus Areas

Slide 7: Commodity-wise Initiatives

Slide 8: Iron Ore

Slide 9: Coal

Slide 10: Copper

Slide 11: Energy Business Units I and II heads

Slide 12: Quantitative targets Profit (PAT) / Core Operating Cash Flow

Slide 13: Mitsui's Strengths: Oil and Gas production, reserves, LNG capacity

Slide 14: Business environment

Slide 15: Basic strategy

Slide 16: E&P: Establish a competitive portfolio of upstream assets

Slide 17: LNG: Establish a competitive LNG portfolio

Slide 18: Expand Energy Value Chain (Gas)

Slide 19: Expand Energy Value Chain (Oil)

Slide 20: Expand Energy Value Chain

Slide 21: Global business development

Slide 22: Renewable Energy

Slide 23: Utilizing Mitsui's global human resources

Slide 24: Yoshio Kometani, Shingo Sato

Slide 25: Machinery & Infrastructure Segment

Slide 26: Quantitative Targets Profit (PAT) / Core Operating Cash Flow

Slide 27: Infrastructure Projects Business Unit

Slide 28: Core businesses: Highlights

Slide 29: Business environment

Slide 30: Basic strategy

Slide 31: Power

Slide 32: Offshore oil & gas infrastructure

Slide 33: Gas distribution

Slide 34: Integrated Transportation Systems Business Units I and II

Slide 35: Develop and expand business domains

Slide 36: Business environment

Slide 37: Basic strategy

Slide 38: Bolster earnings base of existing businesses (automotive)

Slide 39: Bolster earnings base of existing businesses (railways)

Slide 40: Kenichi Hori, Nutrition & Agriculture Business Unit

Slide 41: Quantitative targets Profit (PAT) / Core Operating Cash Flow

Slide 42: Business environment

Slide 43: Business environment: new business opportunities

Slide 44: Create new business in the profit zone

Slide 45: Organizational reform

Slide 46: Role of the 3 BUs

Slide 47: Investment efficiency

Slide 48: Initiatives

Slide 49: Chemicals: Engage in new growth opportunities

Slide 50: Chemicals: Reinforce trading capabilities

Slide 51: Chemicals: Make bolt-on investments

Slide 52: Targets Profit (PAT) / Core Operating Cash Flow

Slide 53: Growth areas: Mobility, Healthcare, Nutrition & Agriculture

Slide 54: Shingo Sato, Noboru Katsu

Slide 55: Changes to the external environment

Slide 56: EVs

Slide 57: Car sharing

Slide 58: Integrated transportation service

Slide 59: Growth with Gestamp Automoción S.A.

Slide 60: Gestamp Overview

Slide 61: Gestamp Overview

Slide 62: Gestamp advantage: Technology strengths

Slide 63: Gestamp advantage: Design proposal

Slide 64: Reinforcement of Mitsui's automobile value chain

Slide 65: Multi-material

Slide 66: IoT and Logistics

Slide 67: Global Business Expansion

Slide 68: Koji Nagatomi, Healthcare & Service Business Unit

Slide 69: Business environment: Growth in medical expenditure

Slide 70: Business environment Factors

Slide 71: Business environment Factors

Slide 72: Our vision for healthcare

Slide 73: Our vision for healthcare

Slide 74: Our vision for healthcare: Places

Slide 75: Our vision for healthcare: People

Slide 76: Our vision for healthcare: Products

Slide 77: Our vision for healthcare: Services

Slide 78: Our vision for healthcare: Information

Slide 79: Focus Regions in Healthcare Area