IM-DOL-A-GP-USA-1
GAME BOY PLAYER INSTRUCTION BOOKLET MODE DEMPLOI DU GAME BOY PLAYER (P.14) FOLLETO DE INSTRUCCIONES DEL GAME BOY PLAYER (P.29)
Nintendo of America Inc. P.O. Box 957, Redmond, WA 98073-0957 U.S.A.
PRINTED IN CHINA IMPRIM AU CHINE IMPRESO EN CHINA

53849A

CONTENTS

WARNING

PLEASE CAREFULLY READ THE HEALTH AND SAFETY PRECAUTIONS BOOKLET INCLUDED WITH THE NINTENDO GAMECUBE SYSTEM OR GAMES BEFORE USING THIS ACCESSORY. THIS BOOKLET CONTAINS IMPORTANT HEALTH AND SAFETY INFORMATION.
The official seal is your assurance that this product is licensed or manufactured by Nintendo. Always look for this seal when buying video game systems, accessories, games and related products.
Nintendo does not license the sale or use of products without the Official Nintendo Seal.
Components Game Boy Player. 1 Start-up Disc.2 System Setup Installing the Game Boy Player. 3 System Operation Start-up Disc and Game Boy Game Paks.4-5 Using Game Boy Game Paks. 6 Using the Nintendo GameCube Controller. 7 Game Boy Player Menu Screen. 7-8 Using Game Boy Systems. 9-10 Using the e-Reader Accessory. 10 Troubleshooting. 11 Warranty and Service. 12
Thank you very much for purchasing the Nintendo GameCube Game Boy Player. This accessory connects to the Nintendo GameCube and allows you to play Game Boy Game Paks on your TV, using a Nintendo GameCube Controller or Game Boy Advance system as your game controller. Before setting up or using this accessory, please read this Instruction Booklet, and the separate Health and Safety Precautions Booklet and Nintendo GameCube Instruction Booklet that comes with the hardware system.
CAUTION - TV Screen Damage
Some televisions can be damaged by the display of a stationary image, because the image may be permanently "burned" into the screen. Playing video games with stationary images or patterns, or leaving video games on hold or pause, may lead to this type of damage. When taking a break, place the game on pause and turn the TV off until you are ready to play again. Before using your Nintendo system with any TV, especially front and rear projection, be sure to review all documentation included with your TV to find out whether video games can be played on the TV without damaging it. If in doubt, contact the manufacturer of the TV. Neither Nintendo nor any of Nintendo's licensees will be liable for any damage to your TV.
TM, and the Nintendo GameCube logo are trademarks of Nintendo. 2003, 2004 Nintendo. All rights reserved.
COMPONENTS Game Boy Player Top View Game Boy Player Start-up Disc

COMPONENTS

High Speed Port Connector Connects to High Speed Port on the bottom of the Nintendo GameCube
IMPORTANT: Please review the Game Disc Precautions/Maintenance sections of the separate Health and Safety Precautions Booklet included with the Nintendo GameCube and games before using this Start-up Disc. This Start-up Disc must be loaded into the Nintendo GameCube for the Game Boy Player to work properly. When not using this disc, be sure to keep it safely stored and protected from loss or damage.

Front View

Accessory Slots For attachment of Game Boy Accessories Game Pak Slot For loading a Game Pak External Extension Connector For connection of Game Boy Accessories Game Pak Ejector For ejecting a Game Pak from the Game Boy Player.

FOR US E

USA, CANADA, M EX ICO

N AMERICA

Bottom View
Attachment Screws To attach the Game Boy Player to the bottom of the Nintendo GameCube 1 2
SYSTEM SETUP INSTALLING THE GAME BOY PLAYER IMPORTANT: Please review the separate Health and Safety Precautions Booklet included with the Nintendo GameCube and Game Discs before installing the Game Boy Player. 1. Remove any Game Discs from the Nintendo GameCube and make sure the power is turned OFF. 2. Remove the High Speed Port cover from the bottom of the Nintendo GameCube and put this in a safe place for future use if the Game Boy Player is removed.
SYSTEM OPERATION INSTALLING THE START-UP DISC AND GAME BOY GAME PAKS 1. Make sure the power is OFF on the Nintendo GameCube. 2. Open the Disc Cover on the Nintendo GameCube and insert the Start-up Disc. Close the Disc Cover.
3. With the label facing down, insert a Game Boy Game Pak into the Game Pak Slot in the front of the Game Boy Player. 3. Install the Game Boy Player on the bottom of the Nintendo GameCube, inserting the High Speed Port Connector into the High Speed Port. NOTE: Make sure the Game Pak label is facing down.
4. Tighten the attachment screws clockwise using a flat-bladed screwdriver or coin. Do not over tighten.
4. Turn ON the power of the Nintendo GameCube. The TV screen will first display the Game Boy Logo and then the title screen for the game you are playing.

MOD EL N

Right Side View
SYSTEM OPERATION REMOVING THE START-UP DISC AND GAME BOY GAME PAK 1. While the power is ON, push the Open Button to open the Disc Cover of the Nintendo GameCube. NOTE: If the Disc Cover is opened after the power is turned OFF, the Start-up Disc may still be spinning. If this happens, wait until the disc stops spinning before removing it from the console. 2. Push the Disc Release Button and remove the Start-up Disc from the console.
SYSTEM OPERATION USING GAME BOY GAME PAKS WITH THE GAME BOY PLAYER IMPORTANT: A few original Game Boy Game Paks may have display or sound problems if used with the Game Boy Player. Motion sensor (tilt feature), rumble feature and infrared feature Game Paks will not work with in the Game Boy Player. 1. You can adjust the screen size for original Game Boy and Game Boy Color Game Paks by pressing the L and R Buttons on your GameCube Controller or Game Boy Advance system. (This may make some of the images distorted or hard to see.) The screen size is not adjustable with Game Boy Advance Game Paks. 2. There are 12 different color palettes that can be used with original monochrome Game Boy games. To set the color, you must press up, down, left or right with the Control Stick or + Control Pad and the A or B Button (see table below). This must be done while the Game Boy logo appears on the TV screen right after you turn the power ON. PRESS COLOR
BROWN RED DARK BROWN PASTEL MIX ORANGE YELLOW
3. Close the Disc Cover and turn OFF the power.
LEFT LEFT + A LEFT + B RIGHT RIGHT + A RIGHT + B
BLUE DARK BLUE GRAY GREEN DARK GREEN REVERSE
4. Slide the Game Pak Ejector towards the front of the Nintendo GameCube to eject the Game Pak. NOTE: To keep out dirt, dust or other foreign material, keep a Game Pak plugged into the Game Boy Player when not being used. 5
UP UP + A UP + B DOWN DOWN + A DOWN + B
SYSTEM OPERATION USING A NINTENDO GAMECUBE CONTROLLER When using a Nintendo GameCube Controller to play your Game Boy Game Paks, it can be plugged into any of the Controller Sockets on the front of the console. See the table below for equivalent Game Boy game control functions. Nintendo GameCube Controller Control Stick or + Control Pad A Button B Button START/PAUSE Game Boy Advance + Control Pad A Button B Button START

SYSTEM OPERATION GAME BOY PLAYER MENU SCREEN The Menu Screen can only be accessed by pressing the Z Button on the Nintendo GameCube Controller. Frame Select from 20 different frame designs that border the game play area of the screen. Screen Size Select Normal or Full display screen size. Controller Select between two sets of button functions for the X, Y, L and R Buttons and the C Stick. See the table below for the equivalent Game Boy game control functions: Setting 1 Controller Game Boy Advance X/Y Buttons SELECT L Button L Button R Button R Button C Stick Not used Setting 2 Controller Game Boy Advance X Button R Button Y Button L Button L/R Buttons SELECT C Stick + Control Pad
Other Controller Button Functions Z Button Menu Screen X Button These buttons are Y Button programmable, see L Button the Menu Screen R Button section on page 8. C Stick (Controller option) Z Button and START/PAUSE Change Game Paks (Press and hold simultaneously) (Follow the on-screen instructions) Game Boy Player Menu Screen (See descriptions of menu items on Page 8)
Screen Filter Select Soft, Normal or Sharp display quality. On some games, images may flicker, shake, or appear doubled when scrolled across the screen. Try adjusting the display quality settings to correct this. More information is available at http://www.nintendo.com/gameboyplayer.jsp. Timer You can set a timer to notify you with a sound and message on the TV screen. The timer can be canceled by pressing the B Button. Change Select this option to change Game Paks without Game Pak having to turn the power off. You can also change Game Paks by pressing and holding the Z Button and START/PAUSE on the GameCube Controller. IMPORTANT: Before changing a Game Pak, be sure to save your game data if it has a save function. 8

SCREEN SIZE

CONTROLLER

SCREEN FILTER

CHANGE GAME PAK
SYSTEM OPERATION USING A GAME BOY SYSTEM WITH THE GAME BOY PLAYER
SINGLE PLAYER GAMES The Game Boy Advance system can be used as a controller with the Game Boy Player by connecting it to the Nintendo GameCube with the Nintendo GameCube Game Boy Advance cable.* This cable can be plugged into any of the Controller Sockets on the front of the Nintendo GameCube. The Game Boy Advance system will not work as a controller if a Game Pak is inserted into its Game Pak slot. NOTE: The External Extension Connector on the front of the Game Boy Player is not used for single player games. A Nintendo GameCube Controller can be plugged into any other Controller Socket to access the Menu Screen (see Pages 7-8). NOTE: All Controller Sockets are active, so plugging additional controllers in and pressing the buttons while someone is already playing can interfere with game play. MULTIPLAYER GAMES For multiplayer games, the Game Boy Player can be treated like another Game Boy system. It can be connected to other Game Boy systems by using the External Extension Connector (EXT) on the front of the Game Boy Player with the appropriate cable. NOTE: This method is only for connecting Game Boy systems to the Game Boy Player. Do not connect multiple Game Boy Players together using this method. Please review the Instruction Booklets included with your Game Boy system and Game Paks for multiplayer game features and connection methods. Multiplayer game set-up may require additional accessories or cables.* IMPORTANT: Be sure to disconnect systems and cables when they are not being used.

SYSTEM OPERATION

Player 3

Player 2

Player 1

Player 4

The illustration above is an example of how to connect Game Boy Advance systems for four player games using the Game Boy Advance Game Link Cable. The purple plug can connect to whichever system will be Player 1. Similar connections can be made with other Game Boy systems using the correct accessories (see Page 9). USING AN e-READER A Nintendo e-Reader can be plugged into the Game Pak Slot on the front of the Game Boy Player. Please review the e-Reader Instruction Booklet before using this accessory.
*Accessories sold separately. See your local Nintendo
retailer, visit our on-line store at http://store.nintendo.com or call 1-800-255-3700. 10
TROUBLESHOOTING If you are having problems with the picture or sound, or the Nintendo GameCube Controller or Game Boy system are not responding, turn the power OFF and check the following: Some games may appear shaky when scrolled across the TV screen. This is caused by differences in how LCD and TV screens display images. This is not a defect and can sometimes be corrected by adjusting the display quality. (See page 8, the "Display" menu item.) Make sure cable connections are correct and secure. Make sure Game Pak is correctly and fully inserted into the Game Pak Slot on the front of the Game Boy Player. Check the Game Pak connectors for contamination or other foreign material. If you are using a Game Boy Advance system as a controller, make sure there is not a Game Pak inserted into its Game Pak Slot. For multiplayer games, review the Instruction Booklet for the game you are playing for information on multiplayer features and the number of Game Paks needed, and what cable connections to use. For multiplayer games, check the compatibility of the components you are using. For example, a Game Boy Advance Game Pak is not compatible with a Game Boy Color system. If an error message appears on the TV screen, please review the Troubleshooting Section in the Nintendo GameCube Instruction Booklet. Note: When using any Game Boy Advance system as a controller, a Game Boy Player logo will appear on the Game Boy Advance screen after you turn the power ON. If this logo does not appear, turn the power of the Nintendo GameCube OFF, check the cable connections, then try turning the power ON again. If the Game Boy Player still does not operate correctly after trying the above remedies, please visit the customer service area of our web site at www.nintendo.com or call 1-800-255-3700. 11

WARRANTY AND SERVICE

Rev. O
You may need only simple instructions to correct a problem with your product. Try our web site at www.nintendo.com or call our Consumer Assistance Hotline at 1-800-2553700, rather than going to your retailer. Hours of operation are 6 a.m. to 7 p.m., Pacific Time, Monday - Sunday (times subject to change). If the problem cannot be solved with the troubleshooting information available on-line or over the telephone, you will be offered express factory service through Nintendo or referred to the nearest NINTENDO AUTHORIZED REPAIR CENTER. Please do not send any products to Nintendo without contacting us first. HARDWARE WARRANTY Nintendo of America Inc. ("Nintendo") warrants to the original purchaser that the hardware product shall be free from defects in material and workmanship for twelve (12) months from the date of purchase. If a defect covered by this warranty occurs during this warranty period, Nintendo or a NINTENDO AUTHORIZED REPAIR CENTER will repair the defective hardware product or component, free of charge. The original purchaser is entitled to this warranty only if the date of purchase is registered at point of sale or the consumer can demonstrate, to Nintendo's satisfaction, that the product was purchased within the last 12 months. GAME PAK & ACCESSORY WARRANTY Nintendo warrants to the original purchaser that the product (Game Paks and accessories) shall be free from defects in material and workmanship for a period of three (3) months from the date of purchase. If a defect covered by this warranty occurs during this three (3) month warranty period, Nintendo or a NINTENDO AUTHORIZED REPAIR CENTER will repair the defective product, free of charge. SERVICE AFTER EXPIRATION OF WARRANTY Please try our web site at www.nintendo.com or call the Consumer Assistance Hotline at 1800-255-3700 for troubleshooting information and/or referral to the nearest NINTENDO AUTHORIZED REPAIR CENTER. In some instances, it may be necessary for you to ship the complete product, FREIGHT PREPAID AND INSURED FOR LOSS OR DAMAGE, to the nearest service location. Please do not send any products to Nintendo without contacting us first. WARRANTY LIMITATIONS THIS WARRANTY SHALL NOT APPLY IF THIS PRODUCT: (a) IS USED WITH PRODUCTS NOT SOLD OR LICENSED BY NINTENDO (INCLUDING, BUT NOT LIMITED TO, NONLICENSED GAME ENHANCEMENT AND COPIER DEVICES, ADAPTERS, AND POWER SUPPLIES); (b) IS USED FOR COMMERCIAL PURPOSES (INCLUDING RENTAL); (c) IS MODIFIED OR TAMPERED WITH; (d) IS DAMAGED BY NEGLIGENCE, ACCIDENT, UNREASONABLE USE, OR BY OTHER CAUSES UNRELATED TO DEFECTIVE MATERIALS OR WORKMANSHIP; OR (e) HAS HAD THE SERIAL NUMBER ALTERED, DEFACED OR REMOVED. ANY APPLICABLE IMPLIED WARRANTIES, INCLUDING WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE, ARE HEREBY LIMITED IN DURATION TO THE WARRANTY PERIODS DESCRIBED ABOVE (12 MONTHS OR 3 MONTHS, AS APPLICABLE). IN NO EVENT SHALL NINTENDO BE LIABLE FOR CONSEQUENTIAL OR INCIDENTAL DAMAGES RESULTING FROM THE BREACH OF ANY IMPLIED OR EXPRESS WARRANTIES. SOME STATES DO NOT ALLOW LIMITATIONS ON HOW LONG AN IMPLIED WARRANTY LASTS OR EXCLUSION OF CONSEQUENTIAL OR INCIDENTAL DAMAGES, SO THE ABOVE LIMITATIONS MAY NOT APPLY TO YOU. This warranty gives you specific legal rights. You may also have other rights which vary from state to state or province to province. Nintendo's address is: Nintendo of America Inc., P.O. Box 957, Redmond, WA 98073-0957 U.S.A. This warranty is only valid in the United States and Canada.

NINTENDO DS : Metroid Prime Hunters
Joe McBride / Getty Images

Wireless

One of the two built-in wireless capabilities allow players to chat and play games without any connecting cords, completely untethered. By utilizing the wireless game sharing capabilities, multiple players can compete in games, even if only one person has a game card inserted.

NINTENDO DS : PictoChat

Ma Reynolds / Getty Images

Microphone

A built-in microphone means that players might need only to tell their games what to do, using voice commands or hand-clapping to control the action. Voice recognition technology expands game creation possibilities.

NINTENDO DS : NINTENDOG

Nintendo DS is its tentative name. The hardware design and screen shots for Nintendo DS presented herein are currently under development.

Wireless Game Sharing

3 D Graphics

Dual CPU : ARM 9 + ARM 7

New Media
Dual Slots : DS & GBA

Game Boy Advance

Software Lineup from E3 2004

DK : King of Swing

Mario Party Advance
Pokmon FireRed & Pokmon LeafGreen

Mario vs. Donkey Kong

Kirby & The Amazing Mirror

Mario Pinball

Donkey Kong Country 2

F-ZERO GP Legend

DK : King of Swing 2004 Nintendo / Paon Donkey Kong Country Nintendo / Game by Rare F-ZERO GP Legend 2004 Nintendo Kirby & The Amazing Mirror 2004 Nintendo 2004 HAL Laboratory,Inc. / Nintendo
Mario Pinball 2004 Nintendo Mario Party Advance 2004 Nintendo Mario vs. Donkey Kong 2004 Nintendo Developed by Nintendo Software Technology Corporation Pokmon FireRed & Pokmon LeafGreen 2004 Pokmon 1995-2004 Nintendo / Creatures Inc. / GAME FREAK inc.

Nintendo GameCube

Legend of Zelda for Nintendo GameCube

Star Fox

Paper Mario 2

Metroid Prime 2 : Echoes

1974 Developed image projection system employing 16mm film projector and entered into the arcade business. Began exporting systems to the U.S. and Europe. 1977 Developed Nintendo's first home video game machines, TV Game 15 and TV Game 6. 1980 Established a wholly owned subsidiary, Nintendo of America Inc. in New York. Developed and started selling GAME & WATCH product line, the first portable LCD video games with a microprocessor. 1981 Developed and began distribution of the coin-operated video game Donkey Kong. 1982 Established Nintendo of America Inc. in Seattle, Washington, and merged the New York subsidiary into it. 1983 Started selling the home video game console Family Computer System employing a custom CPU (Central Processing Unit) and PPU (Picture Processing Unit). Listed stock on the first section of the Tokyo Stock Exchange. 1985 Began sales of the U.S. version of the Family Computer System called the Nintendo Entertainment System (NES) in America. The NES game, Super Mario Bros. became a smash hit around the world. 1986 Started selling the Family Computer Disk Drive System to expand the functions of the Family Computer System in Japan.NES released in Europe. 1988 On-line stock brokerage services utilizing the Family Computer Network System are started in Japan jointly with Nomura Securities. Enlarged Uji Factory and built Uji-Ogura Factory in order to keep pace with the rapid increase in product demand. Nintendo of America Inc. publishes the first issue of Nintendo Power magazine. 1989 Introduced Game Boy, the first portable, hand-held game system with interchangeable game paks,in Japan and the U.S.
1990 Nintendo enters the 16-bit market with the release of the Super Famicom in Japan. Established Nintendo of Europe GmbH in Frankfurt, Germany. Released Game Boy in Europe. 1991 The 16-bit Super Nintendo Entertainment System (Super NES), along with Super Mario World, is released in the U.S. 1992 Super NES released in Europe. Introduced Mario Paint game software for Super Famicom. Players create their drawings with a dedicated Super Famicom Mouse. Nintendo of America Inc. develops portable Fun Centers to help the Starlight Children's Foundation bring happiness to hospitalized children by allowing them to enjoy their favorite video games during hospital stays. 1993 Establish subsidiaries in France, UK, Netherlands, Belgium, Spain and Australia. The Nintendo Gateway program is introduced to provide Nintendo entertainment to airline passengers and hotel guests in the U.S. Built Uji-Okubo factory. 1994 The Super Game Boy accessory is released, expanding the library of games that can be played on the Super NES.Uji, Uji-Ogura and Uji-Okubo factories received ISO-9002. 1995 Started selling SatellaView adapter for Super Famicom in Japan, enabling the system to receive digital data from broadcast satellite. 1996 Nintendo 64 launches in Japan and the U.S. The first software title, Super Mario 64, is proclaimed by many as "the greatest video game of all time!" Nintendo introduces the Game Boy Pocket, a sleeker, 30-percent smaller version of the world's most popular hand-held video game system. Pokmon Red and Blue for Game Boy are introduced in Japan. 1997 Nintendo introduces the innovative Rumble Pak attachment for the Nintendo 64 controller which enables players to feel vibrations during gameplay. Nintendo 64 hits the European market. In Japan, Nintendo introduces the Nintendo Power system to convenience stores where game players can rewrite their Super Famicom game contents. Pokmon TV series starts in Japan.

1998 Nintendo introduces Game Boy Color along with innovative devices called the Game Boy Camera and Printer, bringing new life to the longest running hit in the history of interactive entertainment. Pokmon, a breakthrough game concept for Game Boy, is introduced to the rest of the world and generates an international craze to catch 'em all! Pokmon the 1st movie is released in Japan. Nintendo introduces Hey You, Pikachu! in Japan with Nintendo 64 VRS, the first voice recognition system for console video games. Nintendo introduces Pokmon Stadium for Nintendo 64, which makes use of 64GB Pak that transfers data from a Game Boy cartridge to the TV screen via the Nintendo 64 console. 1999 Game Boy Color games, Pokmon Gold & Silver, are introduced in Japan. Randnet DD, joint venture with Recruit Co., introduced "64DD" peripheral for Nintendo 64. 2000 Game Boy sells its one hundred millionth unit. Introduced Kirby's Tilt'n Tumble Game Boy game, the first video game software with "motion sensor" technology in Japan. Pokmon Crystal Version for Game Boy Color is introduced in Japan.The headquarters of Nintendo Co., Ltd. are relocated to the Minami-ward of Kyoto, Japan. 2001 Start selling Mobile Adapter GB system in Japan, which links Game Boy Color and Game Boy Advance to cell phones. Launched Game Boy Advance worldwide. The new version of Game Boy employs a 32-bit CPU and can generate 32,000 colors simultaneously on the screen. Launched Nintendo GameCube in Japan and in U.S. e-Reader, which scans special barcodes printed on paper cards, is introduced as a peripheral for Game Boy Advance. Introduce Nintendo GameCube Game Boy Advance Cable to connect Nintendo GameCube with Game Boy Advance. 2002 Nintendo GameCube hits European and Australian markets. Satoru Iwata takes office as President of Nintendo Co., Ltd. Introduced Pokmon Ruby & Sapphire for Game Boy Advance. 2003 Launched Game Boy Advance SP, equiped with front lit-screen, rechargeable Lithium-Ion battery, and compact folding design. Intoduced Game Boy Player, which enables Game Boy software to be played on the TV screen. Established the Tokyo Software Designing Department to facilitate development in Tokyo. Began an online membership service, Club Nintendo. iQue (China) Ltd., a china based affiliate introduced the iQue player in China.
Cumulative unit sales on consolidated basis
As of March 31, 2004 Units in Millions

Hardware

Nintendo Co., Ltd. and consolidated subsidiaries

Five-Year Summary

For the period Net sales Income before income taxes and minority interests Net income At the period-end Total assets Property, plant and equipment - net Shareholders' equity

514,409 52,966 33,194

503,748 113,316 67,267

554,413 183,023 106,445

462,196 168,652 96,603

530,340 103,074 56,061

1,010,031 55,085 890,248

1,085,519 59,369 890,370

1,156,716 66,681 935,075

1,068,568 64,815 834,952

933,374 63,776 757,448
Per share information Net income B Cash dividends C

246.93 140

482.15 140

751.39 140

681.90 120

395.73 120

$4,899,130 504,434 316,134
$4,797,600 1,079,197 640,640
$5,280,125 1,743,082 1,013,762
$4,401,870 1,606,208 920,030
$5,050,856 981,661 533,917
9,619,344 524,614 8,478,550
10,338,280 565,420 8,479,711
11,016,340 635,060 8,905,479
10,176,841 617,289 7,951,919
8,889,280 607,388 7,213,795

U.S. Dollars A

$2.35 1.33

$4.59 1.33

$7.16 1.33

$6.49 1.14

$3.77 1.14
Analysis of Operations and Financial Review

Overview

In Fiscal 2004, the global video game industry faced hardware pricing competition while the U.S. market, which had maintained a high growth rate throughout the past, began to show signs of a slowdown. In addition, the domestic market continued to shrink, leaving the business environment in a crucial situation. Furthermore, in recent years, software development dependant on advancements in audio-visual technology is approaching the point where it can no longer be characterized as the key element in creating new and exciting video game software. It is becoming much more difficult to mesmerize people around the world by merely pursuing rich visual content and complexity. Under such circumstances, Nintendo Co., Ltd. (the "Company") and its subsidiaries (together with the Company, "Nintendo") have focused on expanding sales of the home entertainment console NINTENDO GAMECUBE, while introducing new gaming ideas under the theme "connectivity and integration" with the handheld system GAME BOY ADVANCE. In addition, Nintendo is developing and distributing fascinating software that can be enjoyed by anyone around the world regardless of age, gender, cultural background, or previous game experience. As a positive achievement, a new handheld device NINTENDO DS (tentative) was unveiled in May 2004, at the Electronic Entertainment Expo (E3).

Revenue and Expenses

Pokmon Ruby/Sapphire, which was released in Japan and the Americas in the previous period, achieved worldwide availability with its European release last July. The title sold more than 6 million copies worldwide during the previous period and has surpassed the 6 million mark in worldwide unit sales this period as well. With respect to other GAME BOY ADVANCE titles, Super Mario Advance 4 sold more than 2.5 million copies, Donkey Kong Country and Mario & Luigi RPG both sold more than a million copies, reflecting their worldwide acclaim. In Japan, new introductions were made ahead of other markets. Pokmon Fire Red/Leaf Green, which provide a whole new gaming experience through wireless communication only available on handheld consoles, captivated newcomers to the franchise and sold more than 2 million copies. Meanwhile, the FAMICOM MINI (Classic NES) series, which enables users to enjoy NES software on the GAME BOY ADVANCE, stimulated demand of nostalgic gamers and was widely accepted, going platinum soon after its launch. Driven by favorable software sales, combined unit sales of GAME BOY ADVANCE and GAME BOY ADVANCE SP hardware were 17.6 million this period, cumulative unit sales reached 51.4 million. With respect to GAMECUBE titles, popular franchise titles such as Mario Kart: Double Dash!! and Mario Party 5 were launched during the holiday season where demand is expected to be at its highest. Notably, Mario Kart: Double Dash!! sold an outstanding 3.5 million copies after its November 2003 launch. Pokmon Colosseum, which allows players to experience vigorous battles with Pokmon they have trained in exclusive GAME BOY ADVANCE Pokmon titles, sold more than a million copies. New titles are not the only titles that deserve attention. Nintendo software has been enjoyed by many for a long period of time. For example, Super Smash Bros. Melee, which was released in 2001, sold more than a million units for 3 consecutive years. As for NINTENDO GAMECUBE hardware, unit sales significantly increased after a strategic markdown initiated last September. As a result, consolidated net sales in Fiscal 2004 were 514.4 billion ($4,899 million). Gross margin was 207.5 billion ($1,977 million). The gross margin ratio increased by 2% compared with the previous fiscal year to 40%. Selling, general and administrative expenses amounted to 97.3 billion ($927 million). Operating income was 110.2 billion ($1,050 million). The operating income ratio increased by 2% compared with the previous fiscal year to 21%. Interest income was 9.0 billion ($86 million), while foreign exchange loss was 67.9 billion ($646 million) affected by Japanese yen appreciation. Due to such factors, net income was 33.2 billion ($316 million). The net income ratio decreased by 7% compared with the previous fiscal year to 6%.

Investments and Other Assets Investments in securities (Note 3) Deferred income taxes (Note 8) Other assets Total investments and other assets Total 53,867 9,190 1,128 64,185 1,010,031 38,552 14,712 3,577 56,841 1,085,519 513,019 87,520 10,750 611,289 $9,619,344 367,161 140,116 34,068 541,345 $10,338,280
See notes to consolidated financial statements.
Liabilities and Shareholders' Equity
Current Liabilities Notes and trade accounts payable Accrued income taxes Other current liabilities Total current liabilities Non-current Liabilities Non-current accounts payable Reserve for employee retirement and severance benefits (Note 6) Reserve for directors retirement and severance benefits Total non-current liabilities Minority Interests 602 3,993 1,709 6,135 7,071 1,740 8,5,738 38,024 16,277 60,039 2,213 1,288 67,340 16,573 85,201 1,460 71,897 11,165 30,185 113,247 117,908 38,913 29,229 186,050 $684,735 106,335 287,472 1,078,542 $1,122,934 370,605 278,369 1,771,908
Shareholders' Equity Common stock Authorized - 400,000,000 shares Issued and outstanding - 141,669,000 shares Additional paid-in capital Retained earnings Unrealized gains on other securities (Note 3) Translation adjustments Total Treasury stock, at cost 7,984,555 shares in 2004 and 7,334,448 shares in 2003 Total shareholders' equity Total (86,899) 890,248 1,010,031 (81,521) 890,370 1,085,519 (827,609) 8,478,550 $9,619,344 (776,395) 8,479,711 $10,338,280
10,065 11,584 964,525 6,650 (15,677) 977,147
10,065 11,584 950,263 2,254 (2,275) 971,891
95,861 110,326 9,185,951 63,335 (149,314) 9,306,159
95,861 110,326 9,050,122 21,471 (21,674) 9,256,106
Consolidated Statements of Income
U.S. Dollars in Thousands (Note1)
Net sales Cost of sales (Notes 5 and 7) Gross margin Selling, general and administrative expenses (Note 7) Operating income Other income (expenses) Interest income Foreign exchange gain (loss) - net Gain on sales of investments in affiliates Unrealized loss on investments in securities (Note 3) Other - net Income before income taxes and minority interests Income taxes (Note 8) Current Deferred Total income taxes Minority interests Net income
514,409 306,873 207,536 97,313 110,223
503,748 308,124 195,624 95,372 100,252
$4,899,130 2,922,593 1,976,537 926,794 1,049,743
$4,797,600 2,934,516 1,863,084 908,300 954,784
9,000 (67,877) (573) 2,193 52,966
15,943 (22,620) 19,082 (865) 1,524 113,316
85,713 (646,444) (5,461) 20,883 504,434
151,835 (215,430) 181,735 (8,237) 14,510 1,079,197

12,299 7,394 19,33,194

45,45,67,267
117,132 70,415 187,$316,134
428,750 9,094 437,$640,640

U.S. Dollars (Note 1)

Note 2. Significant Accounting Policies
A. Principles of Consolidation
The accompanying consolidated financial statements include the accounts of the Company and all subsidiaries (total 21 in 2004 and 2003) except for two. The equity method of accounting has been applied to one of the non-consolidated subsidiaries and to 7 affiliates (out of 9 in 2004 and 10 in 2003). The remaining subsidiary and affiliates are immaterial and investments in them are carried at cost in the accompanying consolidated balance sheets. The principal consolidated subsidiaries and the principal affiliate for which the equity method of accounting was used for the year ended March 31, 2004 were as follows:
Consolidated subsidiaries
Nintendo Nintendo Nintendo Nintendo

Affiliate

of America Inc. Benelux B.V. Espaa, S.A. France S.A.R.L.
Nintendo Australia Pty. Ltd. Nintendo of Canada Ltd. Nintendo of Europe GmbH

The Pokmon Company

All significant intercompany transactions, accounts and unrealized profits have been eliminated in consolidation. The amounts of certain subsidiaries have been included on the basis of fiscal periods ended within three months prior to March 31.
B. Translation of Foreign Currency Items
In accordance with the Japanese accounting standard, short-term and long-term monetary receivables and payables denominated in foreign currencies are translated into Japanese yen at the exchange rate in effect at the balance sheet date. The foreign exchange gains and losses from translation are recognized in the statements of income to the extent that they are not hedged by forward exchange contracts. With respect to financial statements of overseas subsidiaries, the balance sheet accounts are translated into Japanese yen at the exchange rates in effect at the balance sheet date except for shareholders' equity, which are translated at the historical rates. The average exchange rates for the fiscal period are used for translation of revenue and expenses. The differences resulting from translation in this manner are included in Minority Interests and Translation adjustments which are listed in Shareholders Equity in the accompanying consolidated balance sheets.
C. Cash and Cash Equivalents
Cash and cash equivalents include cash on hand, deposit which can be withdrawn on demand, time deposit with an original maturity of three months or less and certain investments. Investments are defined as those that are easily accessible, with little risk of fluctuation in value and the maturity date is within three months of the acquisition date.

D. Financial Instruments

Derivatives All derivatives are stated at fair value, with changes in fair value included in net profit or loss for the period in which they arise. Securities Held-to-maturity debt securities are stated at cost after accounting for premium or discount on acquisition, which is amortized over the period to maturity. Equity securities of non-consolidated subsidiary and affiliated companies with equity method non-applied are stated at cost. Other securities for which market quotations are available are stated at fair value. Unrealized gains on other securities are reported as Unrealized gains on other securities in Shareholders Equity at a net-of-tax amount, while unrealized losses on other securities are included in net profit or loss for the period. Other securities for which market quotations are unavailable are stated at cost, determined by the moving average method except as stated in the paragraph below. In case where the fair value of held-to-maturity debt securities, equity securities issued by non-consolidated subsidiaries and affiliates, or other securities has declined significantly and such impairment of the value is not deemed temporary, those securities are written down to the fair value and the resulting losses are included in net profit or loss for the period. Under the Japanese accounting standard, trading securities and debt securities due within one year are presented as current and all the other securities are presented as non-current.

E. Inventories

Inventories are stated at the lower of cost, determined by the moving average method, or market.
F. Property, Plant and Equipment
Property, plant and equipment are stated at cost. The Company and its consolidated subsidiaries in Japan compute depreciation by the declining balance method over the estimated useful lives. The straight-line method of depreciation is used for buildings, except for structures, acquired on or after April 1, 1998. Overseas consolidated subsidiaries compute depreciation of assets by applying the straight-line method over the period of estimated useful lives. Estimated useful lives of the principal assets are as follows: Buildings and structures: 3 to 60 years From the year ended March 31, 2004, the Company promptly adopted the new Japanese Accounting Standards for impairment on fixed assets. The effect on net profit or loss of this application is minor.

G. Income Taxes

Deferred income taxes are recorded to reflect the impact of temporary differences between assets and liabilities recognized for financial reporting purposes and such amounts recognized for tax purposes. These deferred taxes are measured by applying currently enacted tax laws to the temporary differences.
H. Retirement and Severance Benefits and Pension Plan
The Company and certain consolidated subsidiaries are calculating the reserve for employee retirement and severance benefits with actuarially calculated amounts on the basis of the cost of retirement benefit and plan assets at end of fiscal year. Benefits under the plan are generally based on the current rate of base salary, length of service and certain other factors when the termination occurs. Directors and corporate auditors customarily receive lump-sum payments upon termination of their services subject to shareholders approval. The Company provides for the reserve for lump-sum severance benefits for directors and corporate auditors at the estimated amount required if all retired at the fiscal year-end.
I. Research and Development and Computer Software
Expenses relating to research and development activities are charged to income as incurred. Computer software for the internal use included in other assets is amortized using the straight-line method over the estimated useful lives.

Book value of non-marketable securities in Short-term investments and Investments in securities as of March 31, 2004 and 2003 were summarized as follows;

A s o f M a rc h ,

(1) Held-to-maturity debt securities Commercial paper (2) Other securities Preferred subscription certificate Unlisted bonds

17,375

165,476

78,725

11,000 3,537

11,000 6,000

104,762 33,682

104,762 57,143

The aggregate maturities of Held-to-maturity debt securities in Short-term investments and Investments in securities as of March 31, 2004 and 2003 were as follows;
Due within one year Due after one year through five years

17,375 7,890

8,266 6,000

165,476 75,146

78,725 57,143

Note 4. Derivatives

Only the Company enters into foreign exchange forward contracts and currency option contracts. It is the Companys policy to enter into derivative transactions within the limits of foreign currency deposits, and not for speculative purposes. The Company has foreign exchange forward contracts to reduce risk of exchange rate fluctuations and currency option contracts to reduce risk of exchange rate fluctuations and yield improvement of short-term financial assets. Foreign exchange forward contracts and currency option contracts bear risks resulting from exchange rate fluctuations. Counterparties to derivative transactions are limited to high confidence level financial institutions. The Company does not anticipate any risk due to default. Derivative transactions entered into by the Company are made only by the treasury department under approval by the president and a director in charge of those transactions. The Company had no derivative contracts outstanding at March 31, 2004 and 2003.

Note 5. Inventories

Losses incurred from the application of the lower of cost or market valuation of inventories have been charged to cost of sales in the accompanying consolidated statements of income. These losses amounted to 9,492 million ($90,396 thousand) and 12,515 million ($119,189 thousand) for the years ended March 31, 2004 and 2003, respectively.

Note 6. Retirement and Severance Benefits and Pension Plan
The Company has a tax approved pension scheme and lump-sum severance payments plan which is a defined benefit plan. Certain consolidated subsidiaries have defined contribution plans as well as defined benefit plans. The Company and certain consolidated subsidiaries may also pay extra retirement allowance to employees who have distinguished services.
Retirement benefit obligations as of March 31, 2004 and 2003 were as follows:
a. Retirement benefit obligation b. Plan assets c. Unfunded retirement benefit obligation d. Unrecognized actuarial difference e. Unrecognized prior service cost (decrease of obligation) f. Reserve for employee retirement and severance benefits
(17,189) 11,429 (5,760) 1,(3,993)
(18,055) 9,053 (9,002) 1,(7,071)
$(163,701) 108,847 (54,854) 16,$(38,024)
$(171,953) 86,220 (85,733) 10,652 7,741 $(67,340)
Retirement benefit cost for the years ended March 31, 2004 and 2003 were as follows:
a. Service cost b. Interest cost c. Expected return on plan assets d. Amortization of actuarial difference e. Amortization of prior service cost f. Retirement benefit cost g. Other h. Total
1,(149) (1,267) (211) 623

1,(255) 2,4,4,863

$11,924 5,003 (1,419) (12,069) (2,009) 1,430 4,503 $5,933
$10,714 5,219 (2,431) 25,774 2,073 41,349 4,970 $46,319

Basis of calculation:

Year ended March 31, 2004
a. Method of attributing benefits to years of service: b. Discount rate: c. Expected return rate on plan assets: d. Amortization years of prior service cost: e. Amortization years of actuarial difference:
Straight-line basis 1.0% to 6.1% 0.0% to 8.0% Mainly fully amortized in the same fiscal year as incurred Mainly fully amortized in the same fiscal year as incurred
Year ended March 31, 2003
Straight-line basis 1.0% to 6.5% 0.0% to 8.0% One to ten years Mainly fully amortized in the same fiscal year as incurred
Note 7. Research and Development
Research and development costs incurred and charged to cost of sales, and selling, general and administrative expenses were 15,825 million ($150,715 thousand) and 14,599 million ($139,037 thousand) for the years ended March 31, 2004 and 2003, respectively.

Note 8. Income Taxes

The Company is subject to several Japanese taxes based on income, which, in the aggregate, result in a normal statutory tax rates of approximately 42% for the years ended March 31, 2004 and 2003.
Significant components of deferred tax assets and liabilities are summarized as follows:
Deferred tax assets: Inventory - write-downs and elimination of unrealized profit Accrued expenses Research and development costs Unrealized loss on land Reserve for employee retirement and severance benefits Unrealized loss on investments in securities Depreciation Allowance for doubtful accounts Other Gross deferred tax assets Valuation allowance Total deferred tax assets 11,352 9,264 4,941 2,572 1,657 1,417 1,351 1,021 8,149 41,724 (1,276) 40,448 $108,114 88,227 47,060 24,494 15,781 13,496 12,862 9,724 77,611 397,369 (12,154) 385,215

Deferred tax liabilities: Unrealized gains on other securities Undistributed retained earnings of an overseas subsidiary Other Total deferred tax liabilities Net deferred tax assets (4,545) (1,114) (747) (6,406) 34,042 (43,290) (10,606) (7,114) (61,010) $324,205
Reconciliation of the statutory tax rate and the effective income tax rate:
Statutory tax rate Expenses not deductible for tax purposes Extra tax deduction on expenses for research Differences in consolidated foreign subsidiaries' tax rate Other Effective income tax rate
42.0% 0.4 (1.4) (2.6) (1.2) 37.2%
Deferred tax assets: Inventory - write-downs and elimination of unrealized profit Accrued expenses Research and development costs Accrued enterprise tax Reserve for employee retirement and severance benefits Unrealized loss on land Allowance for doubtful accounts Royalty expenses Other Gross deferred tax assets Valuation allowance Total deferred tax assets 11,383 10,426 4,111 3,417 2,770 2,431 1,829 1,436 12,539 50,342 (1,735) 48,607 $108,409 99,294 39,150 32,547 26,380 23,154 17,423 13,675 119,417 479,449 (16,523) 462,926
Deferred tax liabilities: Unrealized gains on other securities Undistributed retained earnings of an overseas subsidiary Other Total deferred tax liabilities Net deferred tax assets (1,541) (503) (706) (2,750) 45,857 (14,675) (4,793) (6,723) (26,191) $436,735
Reconciliation of the statutory tax rate and the effective tax rate for the year ended March is excluded, since the difference is not more than five one-hundredth of the statutory tax rate.

Note 9. Leases

The Company and certain consolidated subsidiaries lease computer equipment and other assets. Total lease payments under finance leases not deemed to transfer ownership of the leased assets to the lessee for the years ended March 31, 2004 and 2003 were 282 million ($2,684 thousand) and 269 million ($2,559 thousand), respectively.
Pro forma information of leased assets under finance leases that do not transfer ownership of the leased assets to the lessee on an as if capitalized basis as of March 31, 2004 and 2003 was as follows:
Acquisition cost Accumulated depreciation Net leased assets

$7,140 3,215 $3,925

$9,840 5,512 $4,328
Pro forma amounts of obligations under finance leases that do not transfer ownership of the leased assets to the lessee on an as if capitalized basis as of March 31, 2004 and 2003 were as follows:
Due within one year Due after one year Total

$2,025 1,900 $3,925

$2,256 2,072 $4,328
The minimum rental commitments under noncancelable operating leases at March 31, 2004 and 2003 were as follows:

621 4,336 4,957

$2,433 5,588 $8,021

Corporate Directory

Board of Directors

Chairman

Atsushi Asada*

Offices and Facilities

Corporate Headquarters
11-1, Kamitoba hokotate-cho, Minami-ku, Kyoto 601-8501, Japan Tel : (075) 662-9600

President

Satoru Iwata*

Senior Managing Director

Yoshihiro Mori* Shinji Hatano* Genyo Takeda* Shigeru Miyamoto* Nobuo Nagai*

Plants

Uji Plant Uji Ogura Plant Uji Okubo Plant
Offices and Distribution Centers Managing Director
Masaharu Matsumoto Eiichi Suzuki Tokyo Branch Office Osaka Branch Office Nagoya Office Okayama Office Sapporo Office Tokyo Distribution Center Nagoya Distribution Center

Director

Kazuo Kawahara Tatsumi Kimishima Hiroshi Yamauchi

Corporate Auditor

Ichiro Nakaji Minoru Ueda Yoshiro Kitano Katsuo Yamada Naoki Mizutani *Representative Director

As of June 29, 2004

Principal consolidated subsidiaries [Overseas]

Nintendo of America Inc.

4820 150th Avenue N.E. Redmond, WA 98052 U.S.A. Tel : (425) 882-2040 Fax : (425) 882-3585
Branch offices [Overseas]
Nintendo Benelux B.V., Belgium Branch
Frankrijklei 31-33 B-2000 Antwerpen, Belgium Tel : 32-3-2247670 Fax : 32-3-2247676
Non-consolidated subsidiary with equity method applied

Overseas:

A/N Software Inc.
Nintendo Australia Pty. Ltd.
804 Stud Road Scoresby, Victoria 3179, Australia Tel : 61-3-9730-9900 Fax : 61-3-9730-9922

Nintendo UK

Mansour House, 188 Bath Road, Slough Berkshire SL1 3GA, U.K. Tel : 44-1753-472-777 Fax : 44-1753-472-750
Non-consolidated subsidiary with equity method non-applied

Domestic:

Fukuei Co., Ltd.

Nintendo Benelux B.V.

Krijtwal 33, 3432 ZT Nieuwegein, The Netherlands Tel : 31-30-6097100 Fax : 31-30-6051110

Nintendo Italia

Via Pelizza da Volpedo 51/53 Cinisello Balsamo, 20092 Milano Italy Tel : 39-02-61117-100 Fax : 39-02-61117-201
Affiliated companies with equity method applied
The Pokmon Company WARPSTAR, Inc.

Nintendo of Canada Ltd.

110-13480 Crestwood Place Richmond, B.C. V6V 2J9 Canada Tel : (604) 279-1600 Fax : (604) 279-1649
Silicon Knights Inc. iKuni Inc. Pokmon USA, Inc. iQue Ltd. iQue (China) Ltd.
Other consolidated subsidiaries
ND CUBE Co., Ltd. Brownie Brown Inc.

Nintendo Espaa, S.A.

Azalea, 1-Edificio D Miniparc 1-El Soto de la Moraleja 28109 Alcobendas Madrid, Spain Tel : 34-91-788-6400 Fax : 34-91-788-6401