May 31, 2004

Japan AE Power Systems Sets Up US Sales Company

Japan AE Power Systems Corporation (headquartered in Minato-ku, Tokyo: Director and President, Masakazu Mori) announces the establishment of Japan AE Power Systems America, Ltd. (“AE America” below) in Duluth, Georgia to expand sales of our products, including transformers and switchgear, to North and Latin America. The new company was registered on April 1, and it will go into business on June 1.
In April 2002, Japan AE Power Systems established its representative offices in both Singapore (reorganized to a branch office in July 2003) and Shanghai. This was followed in May 2003 by the establishment of a representative office for the Middle East in Dubai, United Arab Emirates. The establishment of AE America makes advances in completion of the overseas business organization, which should further strengthen advances in close touch with trends in foreign markets.
Japan AE Power Systems is a joint venture between Hitachi Ltd., Fuji Electric Co., Ltd. (now Fuji Electric Holdings Co., Ltd.), and Meidensha Corporation, unified their power transmission and distribution network business. The unification of technologies developed by the three companies over many years is intended to strengthen its position as a manufacturer specializing in the products and engineering for power transmission and distribution network, stimulating the development and sales of new products with high added value.
After the major power failure that affected North America last year, US power utility companies are showing strong demand for power transmission equipment to expand and improve their distribution networks, and the demand is expected to grow significantly in the future. AE America will also be actively expanding its business in Latin America, where strong future growth is expected. Our technically advanced and highly competitive products for power transmission and distribution network have an important role to play in improving North American transmission networks. We also welcome this as an opportunity, while expanding our business in North and Latin America, to contribute to the electric power industries there.
In the United States, the three joint-venture partners already have an impressive track record in winning orders for high voltage class transformers and switchgear, and AE America will continue to promote sales of these products. At the same time, the company will be marketing our distinctive products, seeking to expand the sales of new products such as mold transformers and vacuum circuit breakers for the utility companies and private industry.

[Outline of the New Company]
	Name	:	Japan AE Power Systems America, Ltd.
	Address	:	Suite 105, 3675 Crestwood Parkway, Duluth, GA 30096
	Capital	:	US$100,000
	Ownership	:	Japan AE Power Systems Corporation (100%)
	Start-up	:	Planned for 1 June 2004
	Business	:	Sales of transformers, switchgear, and the procurement of materials and components for the company’s products.
	Offices	:	Noriyuki UCHIDA	Director, President (full-Time)
			Ikuo HIRANO	Director, Chairman of the Board
			(also serving on the board of the parent company)(part-time)
			Teiji SASAKI	Director, Secretary
			(also serving on the board of the parent company) (part-time)
	Employees	:	Four (initially)

 

･Contacts
	Japan AE Power Systems America, Ltd.
	Noriyuki Uchida (President)
	address	:Suite 105, 3675 Crestwood Parkway, Duluth, GA 30096
	telephone	:+1-770-717-8410
	facsimile	:+1-770-717-8411