NEC to Merge Visual Display Businesses

(Auszug aus der Pressemitteilung)

Tokyo and London, January 26, 2006 – NEC Corporation, one of the

world’s leading providers of internet, broadband network and enterprise
business solutions, NEC Viewtechnology, Ltd. and NEC Display Solutions,
Ltd. today agreed to merge the projector business of NEC Viewtechnology
and the display monitor business of NEC Display Solutions, effective as
of April 1, 2007. NEC Display Solutions will be integrated into NEC
Viewtechnology, which will change its name to NEC Display Solutions,
Ltd. Yoshiaki Tsuda has been named as the President of the new company.

After integration, the overseas subsidiaries of the new company, NEC
Display Solutions Europe GmbH., in close collaboration with European
sales companies of NEC, and NEC Display Solutions of America, Inc., will
lead the visual display products (projectors, LCD monitors and PDP
monitors) and solutions businesses in Europe and North America
respectively.

Since its establishment in January, 2000, NEC Viewtechnology has brought
an award-winning, technologically advanced lineup of projectors to a
broad range of customers in the digital cinema and mobile arenas. In
that time, it has also achieved a strong global presence, with overseas
sales of approximately 90%. In 2006, NEC Viewtechnology emerged as the
no.2 worldwide leader in the business projector market (1*).
„The merger of these two NEC visual display businesses is expected to
not only increase operational efficiencies, but also to create a number
of added benefits for our customers, including the provision of new and
more innovative solutions, unmatched worldwide. We are committed to
growing and expanding along with our customers.“ said Takashi Ogawa,
President of NEC Viewtechnology.

NEC Display Solutions, established in January, 2000, currently delivers
high-quality large-screen monitors for public information and public
display, award-winning desktop displays, and dynamic digital signage
solutions to its diverse range of business and consumer customers.
Through its own development, manufacturing and sales functions, NEC
Display Solutions has achieved strong, global supply chain management,
which has propelled it to the no.1 position in the stand-alone corporate
LCD monitor market in the U.S. for CY2005 (*2), and the no.3 position in
the stand-alone corporate LCD monitor market in Europe for FY2005 (*3).
Currently, 90% of its sales originate outside of Japan.
„Integrating the strong technological competence of NEC Viewtechnology
and NEC Display Solutions will enable us to offer an unbeatable lineup
of products and solutions,“ said Yoshiaki Tsuda, President of NEC
Display Solutions. „Our merged strengths will undoubtedly empower more
accurate and flexible response to increasingly diverse and sophisticated
customer needs, positioning us as the no.1 trusted company to deliver by
far the best visual products and solutions in the market.“

NEC Viewtechnology and NEC Display Solutions have expanded their
businesses leveraging strong, global supply chain management and
market-leading technologies. The new NEC Display Solutions, Ltd. will
combine the management resources of both companies to strengthen the
development, manufacturing and sales of NEC’s visual display equipment
business. A stronger, more streamlined structure will ensure faster
response to diversified market needs, allowing NEC Display Solutions,
Ltd. to provide its customers with premium visual display products and
solutions. The strategic move is expected to accelerate NEC’s global
market growth, putting it in an optimal position to become the no.1
provider of display solutions worldwide.

NEC will continue to promote enhanced collaboration among its solutions
businesses within the NEC Group, toward the provision of a broad range
of optimal, high quality visual products and solutions to all of its
customers worldwide.

* Notes
(1) According to NEC Viewtechnology, Ltd. analysis based on data
from Pacific Media Associates, Decision Tree Consulting, and Fuji
Chimera Research Institute for the second quarter of FY2006 (July –
September, 2006). .
(2) According to NPD Group, Inc.
(3) According to NEC Display Solutions Europe GmbH analysis based on
research data from Meko Ltd., for FY2005 (April, 2005 – March, 2006).