A Message from the President

Since the JR East Group was established in April 1987 through the privatization of Japan National Railways(JNR), we have always placed safety at the top of our management priorities, and our employees have worked together to achieve the goal of reforming JNR, namely, to revitalize and restore out railway business. Also, we have boldly taken on the challenge of new business frontiers such as Lifestyle Services and IT & Suica.

The past 37 years have not always been smooth going, and we have at times been forced to operate under difficult circumstances, such as in the aftermath of the Great East Japan Earthquake and the more recent the COVID-19 pandemic, but with the support of our customers, local communities, shareholders, and investors, as well as the unwavering efforts and unity of each member of our group, we have overcome numerous difficulties and witnessed growth and development up to this day.

Fiscal year 2025 will be a major turning point for our group. From a broad social perspective this will be the year in which the post-COVID-19 economy takes off in earnest, as symbolized by the Bank of Japan's recent shift from a zero-interest rate policy. As another major milestone within our group, most of the people still employed by JR East who had also worked under JNR reached retirement age in March this year. The time has finally come for a changing of the guard as a new generation takes center stage. Of course, the problems discussed in “Move Up” 2027 -- population decline, a declining birthrate with an aging population, labor shortages, and a greater fluidity in human resources -- are actually advancing at a pace more rapid than previously foreseen. The COVID-19 pandemic has produced significant changes in social values and lifestyles as well. Finally, the advent of generative AI is accelerating technological innovation day by day, and meanwhile efforts toward a decarbonized society have become a global issue.

Viewing these worldwide changes as opportunities to further accelerate the structural reforms that we have been dealing with across all businesses, we will chart a new growth strategy and collaboratively build the new JR East Group alongside our employees, who play a pivotal role in this transformation. Since 2018, when we announced “Move Up” 2027, we have determinedly carried out structural reforms for each workplace, centered on the three pillars of reform in operations, reform in working styles, and reform of the workplace. These efforts have gradually resulted in changes within the company and a strengthening of the company's culture, creating a workplace where employees can take on new challenges without fear or hesitation, and employees are allowed to experience personal growth. We will concentrate the strength demonstrated by this structural reform in a new era and strive to meet the expectations of our customers, local communities, shareholders, and investors.

Why do we, the JR East Group, exist? It's all about making the world a better place. Returning to the basic philosophy of “Move Up” 2027, it is to create new value with “people” as the starting point, thereby realizing a fulfilled life for everyone through our business activities, and work on solving the various dilemmas facing society today. As we are in a period of major transformation, new issues that must be addressed will continue to appear. However, there are of course certain things that never need change.

The first of these is the pursuit of what we call “ultimate safety.” Safety must never stop being placed as top priority of the JR East Group management. With the highest possible levels of safety guiding our philosophy, we are reminded constantly that we must raise the level of safety even higher in our quest of zero mishaps. We have started a new five-year safety plan in this fiscal year. When on our jobs, we must always be aware of what the rules are and which are those we need to follow in the present situation, of where we might have lost sight of certain rules, and what blind spots might be hidden in the cracks between organizations and even within them. As a group, we must once again check and see what problems or new issues there may be, and as a group, we are further solidifying our resolve to ensure that there are absolutely no accidents involving injuries or fatalities to our customers, and to eliminate tragic incidents such as fatalities among our employees and those of our partner companies who work alongside us.

As we head into a new era, we will pour support into our operations through two pillars: Mobility and Lifestyle Solutions, striving to be resilient and to grow in sustainability no matter what changes may occur in the business environment. We will work to build a strong management structure.

Railway transportation, which is at the core of Mobility, is an important element of social infrastructure that supports the daily lives of not only our customers but also the country’s economic activities, and their role in revitalizing local communities will not change. “Trust” that we have earned is at the foundation of the group's growth, and that is being supported in the form of safe and stable rail transport.

We will continue to actively induct advanced technologies and new knowledge into the rail industry and grow into a technological service business at the forefront of our times. We also have the opportunity to create new businesses branching from our accumulation of technology. In regions where depopulation is rapidly progressing, the management of line sections that can no longer demonstrate their advantage as a railway has become an unavoidable management issue. Regarding this issue, we will hold thorough discussions with local residents about what is a sustainable mode of transportation. Of course, there is no change in our stance of serving the local community through a wide range of business activities, not just railways.

In terms of Lifestyle Solutions, our group has the foundation and potential for significant growth, as symbolized by Takanawa Gateway City. In order to turn our group's potential into business in a fiercely competitive environment, we need to further leverage our group's strengths, with physical assets such as station spaces, through marketing strategies that make full use of the vast amount of data and information that our group collects. We will rebuild on our strengths and expand new business frontiers through strategic alliances and other means. We can create an engine of growth for our group by boldly taking on challenges without fear of failure.

“Move Up”2027 is the story of value creation that the JR East Group is aiming for. It goes without saying that such value creation is based on the growth of each and every individual our employee. Global business development, including the Indian high-speed rail project, provides group employees with a wide range of opportunities to take on new challenges. Of course, in Japan as well, we will expand the opportunities for group employees to demonstrate their ideas and visions in both the fields of Mobility and Lifestyle Solutions. With communication from the management in tandem with communication and challenges from employees, we will create a new relationship between management and employees, where each individual can play an active role with the sense of being a participator in management, meeting the growth expectations of group employees and building lasting engagement.

Finally, the JR East Group will boost profits through business activities to create a better world and will use the profits generated to benefit customers, local communities, shareholders and investors, and the well-being of employees and families. We want to be a corporate group with a strong sense of “the good for all,” developing sustainably by giving back to businesses, and contributing to the growth of the group in a cycle of growth and creation.

To our valued customers, local communities, and shareholders and investors, we sincerely appreciate your continued support as we leap toward the future of our company group.

Yoichi Kise
East Japan Railway Company
President and CEO
April 2024