Approaching the Final Year of Our Mid-term Business Plan
(FY 2003 ~ FY 2005)

Improve profitability   Continuation of profitability improvement measures       Adherence to capital expenditure schedules that are the foundation of corporate growth strategies Reflection of rising steel prices onto our sales prices, as well as cost reduction efforts Implementation of price increases Securing stable steel supply Improvement of profitability of overseas businesses

Growth Strategy   Capture new demand       Industrial Machinery Bearings Market is expected to grow, but at a slower pace Automotive Products Robust demand from Japanese car makers Precision Machinery and parts Slowdown in production expected, but demand from the machine tool sector is expected to remain strong

Securing the Foundations for the
Next Mid-Term Business Plan (FY’06~FY’08)