Press Information

MHI to Establish "MHI Information Systems Co., Ltd."
Integrating Businesses of Eight IT-related Group Companies
-- Aimed at Strengthening of IT Infrastructure of the Company --

No.1660
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Tokyo, May 16, 2013 - Effective July 1 Mitsubishi Heavy Industries, Ltd. (MHI) will integrate businesses of eight of its group companies currently doing business related to information technology (IT) and launch a single new integrated entity, a wholly owned subsidiary to be named MHI Information Systems Co., Ltd. (MHIIS). The move is part of a corporate reform initiative now under way at MHI, and the anticipated merits in terms of standardization and sharing of business operations, organizational streamlining and enhancement of technological levels are targeted at strengthening MHI's IT infrastructure as the company steps up the pace of its globalization of business operations.

MHIIS will have a head office in Tokyo (Minato-ku) and five branches nationwide (Kanto, Nagoya, Kansai, Chugoku, Nishi-Nihon). It will support MHI's business growth through operations in planning, developing, manufacturing, marketing, operating and maintaining IT systems and computers. The integrated new company will be capitalized at 40 million yen and will launch with approximately 1,000 employees. Shuji Karasuda, Managing Director of Mitsubishi Heavy Industries Machinery Technology Corporation (MHIMT), a wholly owned MHI subsidiary, will serve as the president of the company.

In April MHI undertook total restructuring of its corporate sector. The move was designed to further enhance its companywide business structure implemented in April 2011, when a unified business headquarters structure was put in place that embraced the earlier operating structures of the respective business areas. In tandem with restructuring, the IT functions of the various business works were reorganized under the direct oversight of the Head Office. The integration measure is a continuation of that initiative.

Prior to the company's commitment to strengthening its business operating structure on a companywide basis, the individual IT-related group companies were each responsible for constructing and operating IT infrastructure, particularly at the various works that formerly functioned as separate units in that respect. However, as the company proceeded to expand the standardization and sharing of its in-house processes, the need grew for the construction of a large-scale IT system that would embrace all regional bases. In addition, ever more sophisticated and robust IT support of MHI's initiatives in accelerating business globalization and improving the cost competitiveness of its products has become indispensable.

MHIIS will promote effective utilization of its various component companies' respective resources and seek enhanced technological capabilities in order to respond to the above needs. It will also create a streamlined and resilient corporate structure that will enable the swift provision of high-quality IT services at low cost.

MHI will work closely with MHIIS and provide its full support to its business development.
Group IT companies to be integrated into MHIIS
Category Company name Head office location
Dedicated IT business company Choryo Software Co., Ltd. (succeeding company) Nagasaki
Shinryo System Corporation (company to be merged) Kobe
Hiroshima Dia System Co., Ltd. (company to be merged) Hiroshima
Company with IT services in its business portfolio Ryoin Co., Ltd. (company to split IT business in absorption-type company split) Tokyo (Minato-ku)
MHI Sagami High-tech Ltd. (ditto) Sagamihara
Nagoya Ryoju Estate Co., Ltd. (ditto) Nagoya
Mitsubishi Heavy Industries Transportation Equipment Engineering Service Co., Ltd. (ditto) Mihara
MHI Shimonoseki Engineering Co., Ltd. (ditto) Shimonoseki

Outline of MHI Information Systems Co., Ltd. (Planned)

Business scope: Planning, development, marketing, manufacture, construction, maintenance and management activities related information and telecommunication system and computers.
Head office: 3-5-39, Shibaura, Minato-ku, Tokyo
Branch offices: Kanto, Nagoya, Kansai, Chugoku and Nishi-Nihon
President: Shuji Karasuda
Capitalization: ¥40 million
Shareholder: Mitsubishi Heavy Industries, Ltd. (100%)
Employees: 1,000 (approx.)