Notice of introduction of executive officer system

At a meeting on 27 April, NTN Corporation's Board of Directors decided to introduce an executive officer system in order to speed decision-making and execution of business.

Objectives of the executive officer system

To speed decision-making for and implementation of competitive strategies, which is becoming increasingly important as competition based on global market principles intensifies.
To aggressively develop business in order to enhance corporate value. To this end, the company has formulated a three-year medium term business plan, “Rapid Advance 21” (April 2004-March 2007), designed to position it as a winner in a challenging competitive environment.
To promote a more flexible approach to business promotion aimed at accelerating management decision-making as the company works towards achieving the “Rapid Advance 21” plan's targets.

Overview of the executive officer system

Executive officers will be given clear lines of responsibility for executing business in order to speed operations and improve efficiency.
Executive officers will be assigned authority by Representative Directors, and will execute business in accordance with strategies decided by the Board of Directors.

Accompanying the introduction of the executive officer system, a proposal to amend NTN Corporation's Articles of Incorporation will be put to the 105^th Annual General Shareholders' Meeting, to be held in June 2004 . The amendment involves reducing the number of Managing Directors from the current 26 to within 15.

Under the new operating structure, NTN Corporation will make every effort to satisfy the expectations of all its stakeholders, including shareholders and clients.