Hitachi Cable, Ltd.

1 Hitachi cable , Parts Business Strategy March 30, 2007 Shinichi SusukidaExecutive OfficerDeputy Group Executive, Electronic & Automotive Products Group General Manager,Automotive Business Promotion Center 2 2007 Hitachi cable , Ltd. All rights Parts Auto Parts Business StrategyBusiness StrategyContents Initiatives Targeting FY2011 The Auto Parts Business Hitachi cable Group Initiatives 3 2007 Hitachi cable , Ltd. All rights reserved. Hitachi cable Group Initiatives Company OverviewEstablished: April 10, 1956 Capital: billionRepresentative: Norio Sato, President & CEOC onsolidated net sales: billion (FY06)Consolidated operating income: billion (FY06)Consolidated workforce: 15,199 employees (As of March 31, 2006)Stock exchange listings: 1st Section, Tokyo and Osaka stock exchanges (Code: 5812)Consolidated subsidiaries: 44 companies(domestic: 18; overseas: 26; as of March 31, 2006)4 2007 Hitachi cable , Ltd.

2 All rights reserved. Hitachi cable Group Initiatives Basic Management ApproachCorporate VisionDevoting Ourselves to Peak Performance in CommunicationContributing to society by continuing to improve the speed, accuracy and efficiency of energy and information Code of ConductSurpass Customers ExpectationsContinue to Progress in ManufacturingKeep to the Straight and Narrow5 2007 Hitachi cable , Ltd. All rights reserved. Hitachi cable Group Initiatives Medium-Term Management Plan BEGIN Basic Growth StrategyProgress in manufacturingProgress inhuman assets developmentBusiness growth and expansionSustained growth in profitabilityBusiness growth and expansionSustained growth in profitabilityRecord stable profits in core businesses and concentrate resources in fields promising growth Record stable profits in core businesses and concentrate resources in fields promising growth FY07 Plan BEGIN.

3 Breaking through with our Energy and Going for INnovation approach Begin Transformation by Mustering Group-wide Strengths StructuralReform Phase New Growth PhaseCompany s Second FoundationCompany s Second Foundation6 2007 Hitachi cable , Ltd. All rights reserved. Hitachi cable Group Initiatives Medium-Term Management Plan BEGIN Concentration of Management Resources Electronics wires and cables (industrial cables and magnet wires) Copper products Brake hoses Electronics (digital home appliances and semiconductors) Wireless, broadcasting and information networks Automotive (HEV, electric components, and sensors)

4 Aggressive investments in major target fieldsEnsure profits from core productsConcentrate management resources on major target fields7 2007 Hitachi cable , Ltd. All rights PartsAuto PartsBusiness StrategyBusiness StrategyContents Initiatives Targeting FY2011 The Auto Parts Business Hitachi cable Group Initiatives8 2007 Hitachi cable , Ltd. All rights reserved. FY06 billion44(1%)Others The Auto Parts Business Positioning of the Auto Parts BusinessAuto Parts Auto Parts BusinessBusiness1,955(46%)1,519(36%)732( 17%)Wires and CablesInformation and Telecommunications NetworkingSophisticated Materials11 9 2007 Hitachi cable , Ltd.

5 All rights reserved. The Auto Parts Business Business History Milestones 1969 Started automotive hose business delivered brake hoses 1971 Started production of automotive wire 1987 Established hose manufacturing company in the 1994 Established hose manufacturing company in Mexico 1996 Started producing electric parts started producing ABS sensors 1999 Established hose manufacturing company in the Philippines 2000 Established hose manufacturing company in the Started

6 Producing power supply cables for HEVs 2003 Established hose manufacturing company in Thailand Expanded magnet wire business delivered rectangular magnet wires for HEVs 2005 Established Automotive Business Promotion Center 2006 Started production of hoses in China 2007 Relocated and expanded Thai hose manufacturing companyExpanded HEV power cable harness factory in the 10 2007 Hitachi cable , Ltd. All rights reserved. The Auto Parts Business Medium-Term Plan Targets[[FY2011 Business Scale: FY2011 Business Scale: Billion]] Targets set when the Automotive Business Promotion Center was established in FY2006 (Copper: 500 thousand/ton)ActualForecast TargetTarget.

7 (billion/year) Sophisticated materials Magnet wiresElectric partsHosesFY11 2007 Hitachi cable , Ltd. All rights reserved. The Auto Parts Business Market Environment and Basic StrategiesKey Target FieldsCore Product FieldsTarget steady growth in the global market centered on brake hoses Core technologies accumulated in critical safety parts , management capabilities Chance to enter market due to restructuring of the auto parts industry in North America Grow by introducing products in a timely manner to respond to environmental issues.

8 Enhance safety and facilitate onboard information systems Hitachi cable s Strategy Increasing demand for electric motors stemming from environmental issues and surging oil pricesEnvironmentEnvironment Technology Trends Increasing driving and pedestrian safetySafetySafetyInformationInformation Advances in equipping cars with information systems, such as next-generation telematics12 2007 Hitachi cable , Ltd. All rights Brakes Steering Suspension SafetyMotors Inverters Batteries Environment The Auto Parts Business Hitachi Group s Targeted System Fields13 2007 Hitachi cable , Ltd.

9 All rights reserved. The Auto Parts Business Environment-Related ProductsHEV power cable harnessesMagnet wires for HEVsDual-gauge copper strips for power devicesEnvironment14 2007 Hitachi cable , Ltd. All rights reserved. The Auto Parts Business Drive Control System-Related Products *ABS: antilock brake systemABS sensorsBrake hosesTorque sensor coilsSafety15 2007 Hitachi cable , Ltd. All rights reserved. Car Information System-Related ProductsUWB: ultra-wideband FFC: flexible flat cableCar antennas for telematicsShielded FFC for automotive useWireless LAN, UWB antennasInformation The Auto Parts Business16 2007 Hitachi cable , Ltd.

10 All rights reserved. The Auto Parts Business Global Development of Hose and Electric Components BusinessesWalesAyutthaya, ThailandPhilippinesDetroitSuzhou, Jiangsu Province, ChinaIndianaMexicoDensen WorksTakasago Works17 2007 Hitachi cable , Ltd. All rights , MalaysiaMagnet wires: Hitachi Magnet Wire materials: TsuchiuraWorks The Auto Parts Business Global Development of the Magnet Wire and Sophisticated Materials Businesses Shanghai, China18 2007 Hitachi cable , Ltd. All rights Part Business StrategyAuto Part Business StrategyContents Initiatives Targeting FY2011 The Auto Parts Business Hitachi cable Group Initiatives19 2007 Hitachi cable , Ltd.