We operate the world's largest fleet of dry bulkers, including iron ore and coking coal carriers, general cargo carriers, wood chip carriers, and steaming coal carriers. In fiscal year 2011 and beyond, we continue to offer a wide variety of vessels to meet an ever-changing economic and business climate, and shifting demands. We also strive to ensure strong, sustainable earnings growth by reaching an optimum balance of mid- and long-term contracts and spot contracts.

<Business Performance during FY2010>
In the dry bulker market, the Cape-size bulkers' hire rate fluctuated extremely. For example, after hitting its highest in June at above US$59,000, it plummeted as low as the US$12,000 level in July. Then, in the third quarter of FY2010, a rise in activity of iron ore exported from Brazil, a long-distance source, and other factors led to the market rebounding to the US$25,000 to US$45,000 range. However, upon entering the fourth quarter of FY2010, the market was affected by floods that occurred in eastern Australia in December, terminal equipment maintenance at various ports in Brazil, and a cyclone in western Australia, causing a significant decrease in cargo trade in January and February 2011, and the rate to temporarily go as low as US$4,000 level. Although cargo trade recovered in March, it still has not achieved a full-scale recovery...more