WEST JAPAN RAILWAY COMPANY Fact Sheets 2012 Business Direct Service Operations with the Kyushu Shinkansen • Route of Direct Service Operations Shin-Osaka (Sanyo Shinkansen) – Kagoshima-Chuo (Kyushu Shinkansen) Shin- • Start of Direct Service Operations Shimonoseki Hiroshima Tokuyama Shin- Shin- March 12, 2011 Onomichi Kurashiki Shin- Asa Shin- Kokura Kobe Iwakuni Mihara Okayama Himeji Capital Investment Hakata Shin- • Aioi Nishi- Shin- Yamaguchi Higashi- Akashi Hiroshima Fukuyama Osaka Approx. ¥100 billion Shin-Tosu Kurume Breakdown: Opened in Chikugo March 2011 Funagoya Hakata–Shin-Osaka Approx. 644 km Rolling stock ................... Approx. ¥80 billion Shin-Omuta Hakata– Sanyo Shinkansen (JR-West) Ground facilities, etc. ...... Approx. ¥20 billion Shin-Yatsushiro Shin-Tamana Approx. 151km Kumamoto Hakata–Kagoshima-Chuo Approx. 289 km • Trains Offering Direct Service between the Sanyo and the Kyushu Shin-Yatsushiro Kyushu Shinkansen (JR-Kyushu) Shinkansen Lines (As of March 17, 2012) Opened in Service, Travel Travel Time March 2004 Shin-Minamata Service Price Shin-Yatsushiro– Izumi EFFECT OF REVENUE GROWTH Times, Price (Fastest Service) Kagoshima-Chuo Shin-Osaka <--> 5 round trips ¥21,600 Approx. 138 km Sendai (Year ended March 31, 2012) Mizuho 3h 42m ¥15.0 billion Kagoshima-Chuo per day (¥17,000 with discount) 17.5 round trips ¥21,300 Sakura 4h 6m Kagoshima-Chuo per day (¥17,000 with discount) Shin-Osaka <--> 5 round trips ¥18,320 Mizuho 2h 58m Kumamoto per day (¥14,400 with discount) 18 round trips ¥18,020 Sakura 3h 18m COMPETITION WITH SHINKANSEN AND AIRLINES Years ended March 31 per day (¥14,400 with discount) Kyoto-Osaka-Kobe Area – Kumamoto Kyoto-Osaka-Kobe Area – Kagoshima Note: Prices in parentheses represent the prices of “early reservation discount tickets” available when reserving three days or more in advance. ％ ％ 150 100 150 50 Airlines (Number of passengers) 124 38.0 JR (Number of passengers) 120 120 40 Travel Time by 100 75 100 Hakata Hiroshima Okayama Shin-Osaka 97 93 97 JR's Market Share (right) Distance Traveled 88 56.9 83 99 90 90 80 30 Kumamoto 33m (40m) 1h 37m (52m) 2h 13m (53m) 2h 58m (59m) 37.2 50 60 31.7 60 20 29.9 30.4 Kagoshima-Chuo 1h 17m (55m) 2h 21m (73m) 2h 57m (74m) 3h 42m (80m) 10.3 25 9.2 9.3 14.7 30 30 10 Note: Times are for the fastest Mizuho Shinkansen. Times in parentheses represent the reduction in travel time following the establishment of direct services. 0 08 09 10 11 12 0 0 08 09 10 11 12 0 Note: Figures for the fiscal years ended March 2011 and 2012 are preliminary. Each vertical graph bar represents the number of passengers using JR and the number of passengers using airlines; the bars indicate the total number of passengers using JR or using airlines compared to the base year index of 100 (the fiscal year ended March 1998). Source: Ministry of Land, Infrastructure and Transport 8.