Mt. Norikura Snow Resort to Remain Open

[Summary]
Mt. Norikura Snow Resort is in a critical situation where it will not be able to operate in the 2024-25 season. The ski resort currently has 35 million yen in outstanding payments and must secure operating funds for this season by the end of October.

So far, we have been collecting donations from both within and outside the region.We have already raised approximately 23 million yen. Furthermore, after sorting out various expenses, we have now raised enough funds to be able to continue operations at a minimum level.We would like to thank you for your support so far.

On the other hand, not only the amount but also the conclusion of a contract with Blue Resort Norikura Co., Ltd. is an important factor in making business decisions, and the volunteer group is continuing to discuss this with Blue Resort Norikura Co., Ltd. As the fundraising target has not yet been reached, we are looking forward to continuing operations in the 2024-2025 season.We would like to ask for your continued support and we look forward to your continued help.More details are provided below.

【background】
At a briefing held on October 4, 2024, the ski resort operator, Blue Resort Norikura, explained that they would not be able to continue operating this season. The reason given was that the resort had been operating at a loss due to a decrease in visitors caused by the COVID-19 pandemic and a lack of snow.

After the briefing, local volunteers discussed what to do next and shared a strong desire to keep the ski resort open at all costs. They then decided to launch a "Ski Resort Support Group" (36 members) to take concrete action to ensure the resort continues.

[Towards continuing business this season]
We will secure financial support for the ski resort's current outstanding payments of 35 million yen and working capital for this fiscal year by the end of October. We are considering using these funds to continue operating as Blue Resort Norikura for this season. Blue Resort Norikura is preparing to operate until October, so there may be changes to the number of lifts in operation and opening hours, but if the funds are raised, it will be possible to operate this season. As a result of various arrangements made up until today, October 16th, we have confirmed that it will be possible to operate "at a minimum level" if 35 million yen, including working capital, is raised.

[Current activities being carried out by the volunteer group]
1. Support the ski resort in repaying outstanding debts and securing working capital. Support local residents and seek support from outside the area.
・Appeals are being made to local residents to raise funds (as of the 16th, 23 million yen in donations have been collected, mainly from local areas)
・We will continue to call for support from both the local and outside areas (this is the latest announcement).
・Seeking support for working capital through crowdfunding (currently in preparation)
*Details on accepting donations will be provided later.

2.Conclusion of financial support and business contract with Blue Resort Norikura
We will be negotiating with Blue Resort Norikura Co., Ltd. to conclude a contract regarding financial support and business operations.

3. Free transfer to Matsumoto City
In order to continue operations next season and beyond, the volunteer group is currently requesting that Blue Resort Norikura Co., Ltd. submit a formal written request indicating their intention to transfer the ski resort to Matsumoto City free of charge. Upon receiving this request, Matsumoto City will consider accepting the transfer. The local community will report to Matsumoto City after the deadline for donations (regardless of the outcome), and once the donation amount has been reached, they will petition for the free transfer. Unless Blue Resort Norikura Co., Ltd. submits a formal request for the free transfer to Matsumoto City by October 23, the volunteer group will have no choice but to cancel operations this season, as they see no future prospects for the resort, including next season and beyond. Matsumoto City's decision on the request is not a condition for continuing operations this season.

4. Launch of the Ski Resort Management Council
Even if funds are raised and the resort is able to operate this season, the crisis will continue if it runs into the red again this season. For this reason, local volunteers will be involved in the management of the ski resort, and will work with the current management to implement reforms that will connect the resort to the future. This council will continue to be involved even if a different management company is placed in place from next season onwards.

The members are as follows:
Ken Yamaguchi North Star
Kuniyoshi Komine Little Peaks
Yuma Fujie Raicho
Yusuke Okuda Misuzuso
Shingo Saito Alphorn
Masaru Okuda Misuzuso

With these members, we hope to change our business model to make the most of Norikura's potential and appeal.

5. Find a business partner
We will continue to look for a potential transferee through M&A within the private sector.
If you know of any companies that might be interested, I would be grateful if you could introduce them to me.

[Final decision on 24th and 25th business hours]
While the above is being carried out, the volunteer group has decided to open for business in the 2024-2025 season if the following three conditions are met:

1. A financial support contract must be concluded with Blue Resort Norikura Co., Ltd. by October 23rd.
2. By October 23rd, Blue Resort Norikura Co., Ltd. must submit a formal document stating its intention to transfer the ski resort to Matsumoto City free of charge.
3. Raise 35 million yen by October 25th, which is the minimum amount of funds needed to operate.

The final decision will be announced on this website on October 30th.

[About applying for support funds]
The condition for operating in the 24-25 season is to raise a minimum of 35 million yen by the 25th.
As of October 16th, the fundraising total has reached 23 million, so we would appreciate your continued support.

If you would like to support us with financial support, please follow the steps below: 1. Apply, 2. Transfer the money.

1. Application
Please apply using the Google Form below (you can also apply using the QR code). Please note that donations must be made in the amount of 10,000 yen or more.
https://forms.gle/8UyjEoNTojGQaWze6

Application deadline: October 25th

2. Transfer
We would appreciate it if you could transfer your support (donation) to the account below. Donations start from 10,000 yen. Please make sure to transfer your support after filling out the form.Please refrain from bringing cash to tourist information centers, etc. Please understand that this is for safety and administrative reasons.

*Please make the transfer after the 25th.The reason we are asking for transfers after the 25th is to avoid confusion in the administrative procedures for refunds if we receive a large amount of support from outside the area and decide to abandon the project. We ask that you apply by the 25th and make a financial forecast before transferring your funds, in order to avoid confusion in the administrative procedures for refunds if you decide to abandon the project. Furthermore, the deadline for written correspondence from Blue Resort Norikura is the 23rd, so we hope to be able to send you some information regarding the transfer by the 25th, the deadline for donations.

Transfer destination
Nagano Bank Hata Branch Ordinary Account 8839016 Name: Norikura Tourism Association Chairman Miyashita Ryoichi
・In principle, the names of supporters will be made public.
・The donation will be received by the Norikura Tourism Association and will support Blue Resort Norikura Co., Ltd.
・If the donations do not reach the target amount (35 million yen), the funds will be refunded to the backers.
This support is entirely donation-based.
We will launch a crowdfunding campaign with rewards at a later date. If you would like to donate through this method, please wait until the crowdfunding campaign is launched.

The crowdfunding campaign will be launched after the decision to continue operations has been made, and as its main purpose will be to support operating funds, we ask for your support in making the decision to continue operations by donating the funds listed above.

【lastly】
Mt. Norikura Snow Resort is a historic ski resort that was started by local volunteers in 1962. Due to its high altitude, the snow quality was excellent, and the resort was popular with people enjoying the high-quality hot springs and skiing. Prior to 2011, the ski resort was operated by a locally funded management company, but like other ski resorts in the region, the company made large investments during the bubble period, and the number of visitors subsequently decreased due to a decline in the number of skiers in Japan. This prevented the company from making further investments, and the company was left with a large amount of debt, leading to its sale to external capital from outside the region in 2011.

However, due to a lack of snow and poor business performance, the resort was sold again, and the current management company, Blue Resort Norikura, has been operating the resort since 2018. We are grateful to Blue Resort Norikura for continuing to operate despite the difficult circumstances of the COVID-19 pandemic and lack of snow.

The newly established "Ski Resort Support Group" and "Ski Resort Management Council" believe that Norikura's potential is not being fully utilized, and that it is possible to increase visitor numbers and improve management depending on how the resort is operated and managed. Furthermore, simply relying on foreign capital could mean that Mount Norikura's natural resources and water rights could be taken away, so we would like to build a system that allows us to operate the resort while maintaining relationships with the local community. To that end, we would like to continue operating this season and then discuss next season's management methods together with Matsumoto City, so we would appreciate your support.

If you have any questions or inquiries regarding the donation application, please use the form below. Please refrain from calling the tourist information center during the autumn foliage season as this will interfere with normal business operations.
https://forms.gle/Ap6dT4XocVZTLJNn9

October 16th: Volunteers supporting the ski resort