Hi guys, Rough translation of the article Dario introduced;
********************* On 11th, Pentax Corporation opened its FY2006 (April 2006 to March 2007) consolidated performance. Sales was JPY157.344B (improving by 10.6% than the last term), with operating profit JPY5.653B (improving 89.4%), and total profit JPY3.570B (improving 343.5%). Operating profit and total profit was a record since FY1980. Imaging System Division accounted sales of JPY81.192B (improving 17.3%) and operating profit of JPY3.103B (deficits of JPY1.199B in the last term), with digital SLRs like K10D and K100D selling very well both in domestic and international markets. Life Care Division accounted sales of JPY40.969B (improving 6%) and operating profit of JPY3.239B (decreasing 21.5%). Optical Components Division accounted sales of JPY28.403B (improving 3.1%) and operating profit of JPY1.761B (decreasing 43.1%). Other divisions accounted sales of JPY6.779B (improving 0.3%) and operating profit of JPY257M (deficits of JPY613M in the last term). For FY2008, they expect sales of JPY170B (improving 8%), operating profit of JPY70B (improving 1.7%), and total profit of JPY3.8B. Investment will be concentrated in the three divisions of Imaging System, Life Care, and Optical Components. They set 8% as the target for the operational profit ratio, which makes the company's total value. At the conference with President Watanuki present, they opened their middle term plan named "Pentax Value-up Plan". It throws away the present "expand and grow-up" strategy, and emphasises "profitability", "concentration on core businesses using their optical and micro-devices technology", and "clear and open management", which would satisfies the stake holders such as share holders. Mr. Watanuki said "We set our goals for FY2008, JPY170B sales and JPY7B operational profit. For FY2009, JPY183B sales and JPY9.3B operational profit, and for FY2010, JPY191B sales and JPY11.2B operational profit." Also, he said "For FY2009 regarding operational profit ratio, our commitment is 5.8% and our goal is 8%". He denied some press articles of selling their Tokyo HQ land and building. Senior Executive Officer Torigoe talked about their view as to Imaging System Division as follows; "We will shift to D-SLR and aim at one million production a year by the FY2009. With introducing beginners, middle class and upper class models, we will improve our products line-up and strengthen our D-SLR system. This year, we will introduce 10 new lenses, and by the FY2009, we would like to approx. 25 new lenses. We will improve our performance by developing profitable products. We also develop our sales network especially in China, Russia and Eastern Europe." Regarding the merging with HOYA, Managing Director Mitsuhashi told as follows; "Our negotiation has been limited to the legal and financial areas, and as far as I know, we never had any talk in regards to the businesses. In order for the merging, we must talk about businesses from the bottom to the top. I myself am against the merging, but it would be one of our options. When we heard about the merging with HOYA from ex-President Urano, it was so sudden that I couldn't think enough, and all I felt was if this option would protect us from the criticism from some funds, it would be good. We have to oppose to the offer which no doubt must be denied at the general share holders meeting. These kinds of situations are happening to thousands middle-seized and small companies in Japan." The middle term plan sets the following five points, which projects stand-alone re-development strategy without HOYA's support; 1 Strengthening the Core Business Based on the advantageous optical and micro-devices technology, managing resources will be concentrated in Life Care, Imaging System and Optical Components Divisions. Each divisions will be responsible for their sales figures and develop business. 2 Restructuring of the Business Basement Non-core business will be closed, and the management system will be rebuilt. Sales bases in the US will be strengthened. 3 Optimisation of Production Bases Production factories abroad will be expanded, and the domestic factories will be specialised in supporting the global production system. 4 Simplifying the HQ Organisation HQ organisation will be simplified which leads to quick decision making. 5 Vitalisation of Human Resources Some HQ staffs will be transferred to the business divisions. Three core division will hold personnel power and responsibility. Personnel system will be rebuilt drastically. In addition, they announced that they set much more strict standards for withdrawal from unprofitable businesses, but their announcement remarked no particular areas. President Watanuki told "We are making a proposal of receiving a board director from Sparxx group, but we oppose to return of the ex-president and the ex-senior managing director." In December 2006, Pentax Corp and HOYA reached an agreement on their merger on 1st October 2007, and they announced that the HOYA would be the lasting body, and that the new company name would be HOYA Pentax HD Corporation. The Chairperson was to be Mr. Fumio Urano, President of Pentax then, and the president and CEO was to be Mr. Hiroshi Suzuki, CEO of HOYA. Pentax announced on 10th April that they gave up the merging with HOYA, and Mr. Urano was resigned from the president. ********************** Of course, HOYA still has an option of tender offer bid, but in Japan, hostile take-over is very difficult because it would be supposed to be very "unnatural" way to expand one's business. Also, there were some scandals regarding finances of investing ventures in Japan. HOYA is believed to be reluctant to the hostile take-over and they are persuading the Pentax board to agree with their tender offer Hope this helps you all, and it's not too late;-) Sincerely, ******* Takehiko Ueda Osaka, JAPAN [EMAIL PROTECTED] -- PDML Pentax-Discuss Mail List [email protected] http://pdml.net/mailman/listinfo/pdml_pdml.net
