The aim of this paper is to present some of research results of our current collaborative program to increase steam turbine efficiency with the development of high-performance blade and exhaust hood design methodology using large-scale aerodynamic and structural interaction analysis. Aerodynamic optimum designs of stator blades are already introduced in many designs of actual operating commercial steam turbine units. However, aerodynamic optimum designs of rotating blades are still difficult due to high centrifugal force and vibration stress on rotating blades. This paper focuses on rotating blades and exhaust diffusers that affect the flow field just downstream of last stage long blades. The large-scale highaccuracy CFD analysis of unsteady wet steam flows has been successfully introduced for simulations of low pressure exhaust diffuser using the Earth Simulator of Japan Agency for Marine- Earth Science and Technology. This result shows that the diffuser domain analysis can provide static pressure recovery coefficients and its circumferential deviations with enough accuracy for design use except correct location predictions of separations. The unsteady flow analyses of the typical designed last stage with the measured and calculated downstream static pressure distribution as the outlet boundary condition were conducted. The unsteady flow analyses of the typical designed low pressure exhaust diffuser with the measured and calculated upstream flow conditions as the inlet boundary condition were also conducted. Some of the calculated results were compared with measured data. The large-scale parallel computing Finite Element Analysis of turbine blades with inter-connection parts has been also successfully introduced on the Earth Simulator. The calculation result shows that the eigen frequencies of the present group of loosely-connected rotating blades correspond well to the existing measured data. For the next step, the unsteady structural analysis is being conducted with the calculated unsteady forces on the rotating blades as the FEA boundary conditions. Some of the FEA results are also presented in this paper.