Mitsubishi Electric to Strengthen Relationship with Pioneer through Capital and Business Alliance

  Mitsubishi Electric to Strengthen Relationship with Pioneer through Capital
  and Business Alliance

Business Wire

TOKYO -- May 13, 2013

Aiming to strengthen its business relationship with Pioneer Corporation,
Mitsubishi Electric Corporation (TOKYO: 6503) announced today that it has
entered into a capital and business alliance agreement with Pioneer, under
which Mitsubishi Electric will invest approximately 4 billion yen in Pioneer 
in exchange for the acquisition of approximately 20 million common shares of
Pioneer issued through a third-party allotment.

Mitsubishi Electric and Pioneer have mutually strengthened their development
capabilities and efficiencies by collaborating in the development of a car
navigation systems platform. To respond to ongoing changes in the car
electronics industry, Mitsubishi Electric plans to enter into a new joint
development agreement with Pioneer and further strengthen its platform
corresponding to future multimedia technologies for the continued development
of its car navigation platform under the new agreement.

An outline of Pioneer's third-party allotment is as follows:

  *Subscribed shares: 20,356,500 common shares
  *Subscription price: 194 yen per share
  *Total subscription: 3,949,161,000 yen
  *Payment due date: June 28, 2013

Mitsubishi Electric's payment of the subscription money is subject to the
satisfaction of certain conditions, including the securities registration
statement regarding Pioneer's third party allotment of new shares (which
statement is based on the Financial Instruments and Exchange Law) becoming
effective, agreement on details of the new joint development agreement between
Mitsubishi Electric and Pioneer, and the execution thereof.

About Mitsubishi Electric Corporation

With over 90 years of experience in providing reliable, high-quality products,
Mitsubishi Electric Corporation (TOKYO: 6503) is a recognized world leader in
the manufacture, marketing and sales of electrical and electronic equipment
used in information processing and communications, space development and
satellite communications, consumer electronics, industrial technology, energy,
transportation and building equipment. Embracing the spirit of its corporate
statement, Changes for the Better, and its environmental statement, Eco
Changes, Mitsubishi Electric endeavors to be a global, leading green company,
enriching society with technology. The company recorded consolidated group
sales of 3,567.1 billion yen (US$ 37.9 billion*) in the fiscal year ended
March 31, 2013. For more information visit http://www.MitsubishiElectric.com
*At an exchange rate of 94 yen to the US dollar, the rate given by the Tokyo
Foreign Exchange Market on March 31, 2013

Contact:

Mitsubishi Electric Corporation
Customer Inquiries
Automotive Equipments
http://www.mitsubishielectric.com/bu/automotive/global_network/index.html
or
Media Inquiries
Tel: +81-3-3218-2346
Public Relations Division
prd.gnews@nk.MitsubishiElectric.co.jp
http://www.MitsubishiElectric.com/news/
 
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