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Since founding Nidec Corporation in 1973, I have regarded the creation of employment as the best contribution to the society. Under the harsh business environment that started in the second half of 2008, Nidec Corporation immediately executed the WPR™ project to significantly improve its profitability, and quickly improved its business performance in the attempt under the goal of securing the company’s employment and profit. Moving forward, we will start investing actively again, engage in R&D activities to provide the world with environmentally friendly products it needs, and thus contribute to the society through our main business.

Maintain and create more job opportunities

To maintain employment even under an economic crisis, we quickly introduced a work sharing system to share the sense of crisis among ourselves. Regarding this crisis as a change for reform, we launched a company-wide structural reform, including productivity improvement by enhancing work efficiency. This effort led to increased profitability, enabling us to overcome the economic crisis without labor reduction. This effort also helped our company’s employees to significantly revise their work styles, leading them to improve their work-life balance. In the future, we will achieve a significant growth, and further promote the creation of employment, which is our basic business philosophy.

Active entry into emerging markets

Brushless DC motors, our company’s core products, are energy-saving, durable, low noise, and small and light, and these environmental advantages are the reasons why the motors are installed in IT and AV products, home appliances, automobile, industrial machines, and so many other products.

I am convinced that Nidec Corporation’s environmental technology applied to motors can contribute to the reduction of environmental burden in the world. Under the four key phrases based on the business trend, i.e., “energy-saving,” “eco-friendly,” “light, thin, short, and small,” and “reducing the price by half,” we will continue to develop products that satisfy market needs, while, to have our products used even more widely in the world, actively implementing measures to develop new products, markets, and customers.

In particular, the demands and applications for automotive brushless motors are dramatically increasing in the automotive industry, where a rapid conversion from gasoline-powered vehicles to hybrid and electric ones is taking place. We are therefore convinced that the automobile business will become Nidec Corporation’s core business in the future. In FY2009, we implemented M&A to enhance our home appliance motor business, and expanded our sales routes and achieved a wider use of energy-saving motors, while investing for our two domestic technical centers to further improve our R&D system.

Moving forward, we will accelerate our growth by focusing on the environment and newly emerging markets, and attempt to become the world’s No. 1 manufacturer of comprehensive drive technology.

June 2010

Shigenobu Nagamori
Chairman of the Board, President & CEO
Nidec Corporation