Mazda Announces Result

Mazda Motor Corporation announced today the final number of applications accepted. It reached 2,213 to the targeted number of 1,800 and the company has already closed applications for this program.

The early retirement incentive of the program will total approximately 34 billion yen. Mazda will recognize this amount in the fiscal year 2000 ending March 31, 2001 as an extraordinary loss. The impact of a larger number of applicants does not require a revision in Mazda's financial forecast for the fiscal year 2000 (from April 1, 2000 to March 31, 2001) that was released at the time of financial result announcement for the first half of the fiscal year 2000 on November 17, 2000.

Mark Fields, president of Mazda Motor Corporation, commented on this result, stating "We believe that achieving the targeted number within the day is due to the sufficient notification period given to applicants, and the provision of enough time for them to make their decision. We understand the seriousness of each employees' decision, which include mixed emotions and various circumstances, in applying for the plan."

"We believe we are off to a good start in executing the mid-term plan by successfully concluding the ERSP, which was the first major objectives outlined in our plan. We are now committed to make our maximum efforts in realizing the other objective containing the mid-term plan." he added.


FYI:
Outline of Early Retirement Special Program Application
1) No. of retirees solicited 1,800 (Employees holding an indirect position)
2) Eligibility Employees of 40 years or older with an experience of indirect positions for 10 years or longer, including up to 350 employees of 30 years or older with an experience of indirect positions for 5 years or longer
A total of approximately 10,000 eligible employees
3) Application period From February 19, 2001 to March 5, 2001
(Applications closed when the targeted figure of 1,800 reached. )
4) Retirement timing March 30, 2001