Q: Because the mining market remains in a difficult situation, the demand forecast for the mining machinery market was further revised down by 10%. What are the grounds for the revision? And have you received any order cancellations and requests for delivery date extension? Also, in the current backlog of orders, what are the ratios of each mineral?
A: At the beginning of the fiscal year, we expected the mining machinery demand to fall short of that of last year, especially in Indonesia, Australia, and the Americas; however, we further decreased the forecast since the coal market is showing signs of long-term stagnation, as well as considering the slow progress of order intake. We have not had any cancellation of orders yet in this fiscal year; however, we have received some requests from customers to extend the delivery date. The ratios of each mineral in the current backlog of orders are: Coal: about 30%, Iron-ore: about 30%, and Gold & Copper: about 10%, respectively. The ratio of Coal has decreased from 60% at the beginning of the fiscal year to 30%.