Hitachi Cable News vol.369
71st semiannual business report   From April 1, to September 30, 2007

Special Report

Summary of interim settlement of accounts for the 2008 fiscal year

Measures implemented during this interim consolidated fiscal period and their results

During this interim consolidated fiscal period, the Hitachi Cable Group implemented a range of measures in accordance with Plan "BEGIN" *1, medium-term management plan. The results of these efforts are outlined below.

To eliminate waste and reduce costs, deployment of the Hitachi Cable Just-in-Time (JIT) Production System to all plants has begun as part of efforts to achieve progress in manufacturing technologies. In addition, to strengthen the Group's overseas businesses, Shanghai Hitachi Cable Trading Co., Ltd. has been designated the central company of the Group's China businesses. Effective August 1, 2007, the company was renamed the Hitachi Cable (China) Trading Co., Ltd. It has since begun fulfilling its role as the central company in the Group's China operations, with activities encompassing information gathering and distribution throughout China, business strategy formulation, and administrative service provision.

Additionally, the information network integration business in July was centralized within a subsidiary of Hitachi Cable to grow this business by strengthening coordination within the Group.*2

*1 Plan "BEGIN" stands for "Breaking through with our Energy and Going for INnovation"; see the serial feature for a overview of Plan "BEGIN".
*2 See the serial feature concerning restructuring of the information network integration business.