|
 |
I. Restructuring of
domestic operations
 |
|
The drop in sales has been especially significant in Japan,
where the effect of the global recession, triggered by
the bursting of the `IT (information technology) Bubble'
in the U.S., has been casting a shadow over our business
results since the end of last year. Looking at our domestic
sales, you can see that our automotive component sales
have remained stable for the time being. However, the
figures for our precision machinery and parts have plunged
since reaching their peak at the end of 2000. Furthermore,
bearing sales have been contracting at an unprecedented
rate since the end of last year, and do not seem to have
bottomed out yet.
On careful analysis by market and product segment, we
have identified two factors behind the current slump in
demand: structural changes in industry and a cyclical
downturn in economy. We believe it is important to identify
these two factors and take corresponding measures. |
|
 |
|
|
|
