President's New Year Message to Employees (summary)

January 5, 2009
Sumitomo Electric Industries, Ltd.
Masayoshi Matsumoto, President & CEO

The world economy, which had been worsened by the U.S. subprime loan crisis, may take some time to recover. In order for the Sumitomo Electric Group to overcome the current difficulties and return to a growth path, all people in the Group need to join together to collectively address problems and strive for goals.

The Sumitomo Electric Group carries on the Sumitomo Business Spirit fostered over more than 400 years. The Sumitomo Business Spirit incorporates our abiding principles of “Banji-nissei (do your sincere best in not only business but also every aspect of your life),” “Sinyo-kakuzitu (place importance on integrity and sound management),” and “Fusu-furi (do not act rashly or carelessly in pursuit of easy gains).” I believe that the Sumitomo Electric Group will be well on the road to becoming a “Glorious Excellent Company” by adhering to these principles, maintaining fairness and wholeheartedness, and solving problems with patience and haste.

This year, I would like to ask the Sumitomo Electric Group people to work on in accordance with the “Sumitomo Business Spirit” and always bear in mind the importance of strengthening corporate structure to that can make a profit however hard the business situation is.

In the light of this basic thinking, I would like to make three requests this year to the Sumitomo Electric Group people.

The first request is that you further vitalize and expand your SEQCDD activities.
SEQCDD stands for Safety, Environment, Quality, Cost, Delivery and (Research and) Development. These are the important elements that form the foundation of our business activities. I would like to ask you to further vitalize the SEQCDD activities, and make efforts to expand them so as to move toward drastic resolution of problems. I would also like to ask you to set and observe clear deadlines and time frames in pursuing your activities. This means that you must first clarify your objectives and goals, make careful preparations to overcome obstacles and resolve problems, then take an inventive approach, remaining strongly determined to fulfill your respective objectives.

Secondly, I would like to request that you share information and concerns with others for faster problem solving.
I would like to see transparency in the process of intra- and inter-departmental information sharing that is made up of steps like selection and communication of information, judgment towards and instruction regarding information and resulting consequence. Always be conscious of sharing information with other departments, and highlight the problems in business activities based on shared information. I would like to request that departments orient their vector in one direction, work with teamwork, and muster their wisdom in finding solutions for discovered problems.

Thirdly, I would like to ask you to cultivate a deeper sense of compassion and create a lively workplace culture.
We must be willing to listen to others and try to understand and respect the others’ positions. I believe that in this way we can carry out our work with a sense of compassion. I want you to seek out the good in people and bring out their best sharing both joy and sorrow, so that you can create a warm and lively workplace atmosphere.

It is my opinion that both a company and a person must pursue a dream, or an ideal, in order to grow and develop. I understand that each of you as an individual has dreams of your own, just as the Sumitomo Electric Group has a major goal of becoming a “Glorious Excellent Company.” I wish you enhance both your work and personal life with an intention of achieving your dream, and lead a fulfilling life.