DENSO to Construct a New Plant for Production Base in Brazil

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DENSO Corporation today announced that it will construct a new plant for DENSO do Brasil Ltda. (DNBR), one of DENSO’s Brazilian production sites, in Santa Barbara d'Oeste City, Brazil, about 130 km northwest of Sao Paulo City.

Date: 03/16/2010

Increasing capacity to produce car air conditioning systems and other products

KARIYA (Japan)-;DENSO Corporation today announced that it will construct a new plant for DENSO do Brasil Ltda. (DNBR), one of DENSO’s Brazilian production sites, in Santa Barbara d'Oeste City, Brazil, about 130 km northwest of Sao Paulo City.

“We expect demand for motor vehicles in Brazil to grow, so we decided to build a new plant to increase production capacity,” said Kazuo Hironaka, senior managing director overseeing DENSO’s Sales Group. “We will expand the sales of existing products, and look to win orders for new products.”

DNBR produces and sells passenger car air conditioning systems, bus air conditioning systems, radiators, and other products. It has two plants in Brazil – a main plant in Cuitiba City, Parana State, and a sub plant in Pindamonhangaba City, Sao Paulo State. All operations of the Pinda Plant will be transferred to the new plant to establish a more efficient business management system at DNBR.

The new plant will start operations in January 2011 with 65 million Brazilian real (about US$ 35.7 million*) to be invested by 2011.

<Profile of new plant>

1. Location: Santa Barbara d'Oeste City, Sao Paulo State,Brazil
2. Start of operations: January 2011 (projected)
3. Investment: 65 million Brazilian real (approximately US$35.7 million*)
4. Employees: 315 (projected for the fiscal year ending March 31, 2012)
5. Building area: Approximately 21,800 m2
6. Site area: Approximately 300,000 m2
7. Business description: Production of passenger car air conditioning systems and other products

<Profile of DNBR>

1. Name: DENSO do Brasil Ltda.
2. Location of head office: Curitiba City, Parana State, Brazil
3. President: Hiroshige Shinbo
4. Establishment: April 1980
5. Capital: 191 million Brazilian real (approximately US$ 104.9 million*)
6. Ownership: 90.6 percent owned by DENSO Corporation
                      7.4 percent owned by Toyota Industries Corporation
                      1.9 percent owned by Toyota Tsusho Corporation
7. Sales: 512 million Brazilian real (approximately US$ 281.3 million* as of the fiscal year ended March 2009)
8. Employees: 1,526 (as of the end of March 2009)
9. Business description: Production and sales of passenger car air conditioning systems, compressors, bus air conditioning systems, radiators, and other products

* The exchange rate used is 1.82 Brazilian real per one dollar, at the end of February 2010 for convenience only. Billion is used in the American sense of one thousand million.

DENSO Corporation, headquartered in Kariya, Aichi prefecture, Japan, is a leading global supplier of advanced technology, systems and components. Its customers include all the world's major carmakers. Worldwide, the company employs approximately 120,000 people in 33 countries and regions, including Japan. Consolidated global sales for the fiscal year ended March 31, 2009 totaled US$32.0 billion. DENSO common stock is traded on the Tokyo, and Nagoya stock exchanges. For more information, go towww.globaldenso.com, or visit our media website atwww.densomediacenter.com.

Contact:

Sadayoshi Yokoyama
+81 566-25-5594

sadayoshi_yokoyama@denso.co.jp

Goro Kanemasu
+81 566-25-5594

goro_kanemasu@denso.co.jp

News Source : DENSO to Construct a New Plant for Production Base in Brazil