ince 1955, Mercian has produced malt whisky in Japan's Karuizawa region, which boasts a climate and environmental conditions similar to those of the traditional whisky-producing regions of Scotland. Today, the Karuizawa series enjoys a wide following among Japanese whisky drinkers. In the umeshu (Japanese plum brandy) category, we have used original technologies and approaches to provide customers with appetizing new products that meet their needs. As a marketing agent, we bring the world's finest liquor products to Japanese aficionados. Among the many spirits we import and market in Japan are Grant's blended scotch from William Grant &Sons Ltd., Old Crow and Rolling-K bourbon from Jim Beam Brands Co. of the United States, and Original Peachtree and various other liqueurs from De Kuyper Royal Distillers B.V. of the Netherlands. Since the launch of Mercian's Original Peachtree Fizz-a low-alcohol beverage specifically targeted at young women in their 20s and a runaway hit in the 1980s-we have earned a solid reputation as a pioneer in the cocktail drinks market by introducing a broad range of attractive products. Our success in this category is rooted in our emphasis on highly focused marketing, limited targeting and clearly defined product concepts developed by a young, dynamic marketing team. Rapidly changing consumer preferences and lifestyles, and the renovation of Japan's distribution system, are creating new market niches. Responding promptly to these changes, we have striven to become a leader in one such specialized market, namely low-alcohol beverages. Recent launches include the Gyugyutto Shibotta Sour series, which boasts a high fruit-juice content, and Hon-Shibori CHU-HI, which has no added sugar, flavoring or coloring.