Organizational Changes and Personnel Changes

Motorcycle Headquarters

(1)

“Marketing Operations” will be newly established within the Motorcycle Headquarters to strengthen company-wide cohesion of marketing functions and overall business competitiveness.

(2)

Following a review of the functions of Motorcycle Headquarters Planning Operations, the Production Control Division and the Casting Business Promotion Division of Planning Operations will be transferred to SyS Operations; the Overseas Production Division will be transferred to CV Business Operations; and the Product Planning Division and the Service Division will be transferred to Marketing Operations. Furthermore, the Quality Assurance Division will be positioned under the direct jurisdiction of the Motorcycle Headquarters. As a result of these organizational changes, Planning Operations will be comprised of two divisions: the Business Planning Division and the Cost Planning Division.

(3)

The name of the “Marketing Divisions” in Motorcycle Headquarters MC Business Operations and Motorcycle Headquarters CV Business Operations will be changed to “Sales Divisions.”

Other Business Divisions / Organizations

(1)

A Brand Design Management Office will be newly established to enable design capabilities, one of Yamaha Motor's greatest strengths, to be applied not only to products but to all aspects of business from the customers' perspective, and to maximize brand value through design.

(2)

Motorcycle Headquarters China Business Operations will become independent from the Motorcycle Headquarters in order to strengthen business in China, but will continue to be called China Business Operations.

(3)

In order to accelerate EV strategies targeting the domestic commuter market, the EV Engineering Division and the EV Marketing Division (name to be changed to the EV Marketing Group from Jan. 1, 2006) from EV Operations will be integrated into MC Business Operations. At the same time, the PAS Business Division will become independent, and will be renamed PAS Operations. As a result of these changes, the former EV Operations organization will be dissolved.

(4)

To optimize the handling of issues in each business model and to increase the speed of responses to change, the Marine Sales Division, Marine Operations, will be reorganized into the 1st Business Division, which will handle large boats, and the 2nd Business Division, which will handle small and mid-sized boats.

(5)

To speed up the decision-making process in RV-related business and to strengthen business competitiveness in this area, Motorcycle Headquarters RV Business Operations and O.P.E. Operations will be integrated to form the “RV Company.” Furthermore, Yamaha Motor Power Products Co., Ltd. (name to be changed from SOQI Inc. on Jan. 1, 2006), a manufacturing subsidiary specializing in power products, will be brought under the umbrella of RV Company.

(6)

In order to strengthen business ties in outboard motors, diesel engines, and rigging, and to speed up decision-making processes in this area, the MD Promotion Division and the Rigging PJ Division in the ME Company will be integrated into the CR Sales and Marketing Division.