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Introduction of the Corporate Executive Officer System

May 17, 2001

Yamaha Motor Co,. Ltd has adopted a corporate executive officer system, effective June 1, 2001. Its introduction is one of internal reforms based on "a new, result-oriented value system."

1. Objective

Yamaha Motor is a multinational corporation, conducting diversified business operations, including motorcycles, marine products and power products. Adoption of the corporate executive officer system is designed to facilitate speedier decision-making on the business front while clarifying the responsibilities, performance standards and achievement evaluation for each executive officer. Thus, the Company aims to adeptly respond to today's rapidly changing business environment.

2. Main features of the system

Executive officers, appointed by the board of directors, are charged with carrying out individual tasks, including corporate management, business operations, and work involving regional operations departments. Their status remains employees, serve in office for a one-year term, and retire from their respective posts at age 60. Their remuneration and bonuses will be commensurate with their contributions to corporate management and performance, pursuant to clarification and evaluation of their responsibilities and achievements.

3. Appointment of new executive officers (scheduled for June 1, 2001)

Kunihiko Nakajima,
Executive Officer and Senior General Manager of AM Operations

Yukio Suganuma,
Executive Officer, Leader of the Strategic Corporate Planning Team, Corporate Planning SG, and General Manager of the Brand Promotion Office

Akira Araki,
Executive Officer and Assistant General Manger in the GSS General Management Group, GEM Center, MC Operations

Hirokazu Naka,
Executive Officer and Senior General Manager of Casting Operations

Osamu Hayata,
Executive Officer and Senior General Manager of the Quality Assurance Group, MC Operations

Hirosi Tanaka,
Executive Officer and Senior General Manager of the Finance and Accounting, Administration Operations

Shohei Kato,
Executive Officer and Senior General Manager of the American Operations, and President of YMUS

* Abbreviations:
AM: Automotive
SG: Strategic Group
MC: Motorcycle
GEM: Global Engineering and Manufacturing
GSS: Global System Supplier

* YMUS is a sales company in the U.S.A.

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