Hitachi Cable, Ltd., announces that its consolidated subsidiary in the United States, Hitachi Cable Indiana, Inc. (Headquarters: Albany, Indiana; President: Shiro Chikamoto; hereafter, HCI), has completed construction of its Kentucky branch plant in Russell Springs, Kentucky, and has begun full-scale operations there.

HCI was established in April 1987 as a U.S. subsidiary of Hitachi Cable, Ltd., to manufacture and market such automobile parts as brake hoses and power steering hoses. These parts are not only for Japanese automobiles but have also been successfully marketed to American automobile manufacturers, and the business is steadily growing. Thereafter, in September 1994, HC Queretaro S.A. de. C.V. (Ownership: HCI 100%) was established in Queretaro, Mexico, and in April 2000, Hitachi Cable UK, Ltd., (Ownership: Hitachi Cable 70%, HCI 30%) in South Wales. These subsidiaries and affiliate have increased Hitachi Cable's presence in the Americas and Europe and expanded the Company's automobile parts business in these areas.

However, recently, space has been tight at HCI and to further develop its business in America, it had become necessary to acquire a new plant. Thanks in part to the cooperation of the Kentucky Cabinet for Economic Development, it was decided to secure land and plant approximately 200 km to the south from HCI, roughly two and a half hours' drive, in Russell Springs, Kentucky, transfer machines from HCI headquarter plant, and has begun full-scale operation. The site is close to a number of automobile plants and labor conditions are favorable. In short, it is a highly suitable location for an automobile parts manufacturer. A portion of HCI's auto hose assembly operations will be transferred from the Company's main plant to the new plant so as to enable HCI to more effectively respond to increasing demand.

Hitachi Cable will continue to deepen its relationship with HCI and expand its automobile parts business in North America and Europe, including such new products as electric wiring system in addition to such traditional products as hoses.

Kentucky Branch Plant

Address: 223 Progress Way, Russell Springs, KY 42642, U.S.A.
Land Area: Approximately 28,000m²
Building Floor Space: Approximately 5,000m²
Operations: Assembly of automobile hoses
Number of Employees: 60 as of November 20, 2002
Annual Production: Approximately 2.0 billion yen (forecast for fiscal 2003)

Hitachi Cable Indiana, Inc. (HCI)

Address: 5300 Grant Line Road, New Albany, IN 47150, U.S.A.
Capital: $6 million
Ownership: Hitachi Cable, Ltd.: 100%
President: Shiro Chikamoto
Number of Employees: Approximately 420 as of September 30, 2002
Net Sales: 68.43 million yen in fiscal 2001