Management Strategies and Pending Issues

president photo   Toshiaki Sunagawa, President

1. Building a profit-making structure
 We do not expect a rapid recovery in business conditions in the fiscalyear ending March 31, 2010.
 Recognizing this, our Company is united in its commitment to slashingcontrollable expenses.

2. Strategies in anticipation of future growth

Electronic Components business
 We will seek to expand our commercial supremacy alongside moves such as business reorganization and alliances. We will also focus on finding new customers and developing new products to further bolster business.
 In addition to business for existing customers in the industrial equipment sector, we will also concentrate on sales activities directed at areas in which growth can be expected in the future (environment,security, etc.).

 -Overseas business
   We will improve our customer support structure in the ASEAN region, and seek to sell high value added own brand products on overseas markets.

 -Development business
   We will continue to put effort into the development of private-brand inrevium products. We will also establish an integrated manufacturing structure covering the entire production process from design to manufacturing and quality assurance, and will aim to expand our OEM business.

Computer Networks business
 We will shift the emphasis of our marketing structure from individual product sales to customers, and focus more on customer-based marketing to bolster our performance.