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Greeting from Mr. Sasaki for JATCO TransTechnologyfs 2nd Years Anniversary

October 1, 2001

Today we are celebrating the 2nd anniversary of the founding of the JATCO TransTechnology. I would like to express my sincerest gratitude to all of you for joining us today.

Looking back over the past years since our foundation, I am impressed by the resourcefulness and dedication of all those working for this company.

On the occasion of this anniversary, I would like to present all those who have done so much for our companyfs development in the last year with the JATCO TransTechnology award in recognition of their extraordinary efforts.

JATCO TransTechnology awards are as follows; gPresident Awardh to 9 nominees, gSenior Vice President Awardh to 21, gContribution Awardh to 40.

The people honored with these awards have dedicated themselves to their work far beyond the call of duty.

Today is also the joyous occasion for all of us to announce that Nissan employees seconded to JTT have officially transferred to JATCO TransTechnology. Ifm convinced that all of you will greatly contribute to the activities of manufacturing AT under the name of JATCO TransTechnology employees.

As you know, automobile manufactures in Japan and America still produce most of@transmissions in- house due to their unique size, scale of development, production engineering and facility investment.

However, as technology advances, it is no longer a viable option for automobile manufacturers to produce transmission by themselves in response to meeting various types of transmission together with required higher standards for delivery, fuel efficiency, exhaust emission and safety regulation. Therefore there is a tendency of purchasing AT from AT manufactures if price is reasonable.

On the occasion of Frankfurt Motor Show held in this September, I had a great opportunity to hear from top management of Renault, Ford, BMW and so forth as well as observing the exhibition of their new concept cars. I was deeply impressed by the development of new automobiles.

We used to imagine a dream car when it comes to a concept car. However, I learned that it has been progressed into more realistic style of concept car. By the time the prototype is complete, it seems that all concepts of units or components had been already completed with mass production schemes.

In other words, we, AT component manufacturing companies, need to complete a development of AT, direction of production engineering, quality, ability of manufacturing process and so forth at the same time to meet their scheme.

Tokyo Motor Show will be held in the end of this month and I am sure you will find this new trend with your eyes.

I think this trend will be more accelerated in the automotive industry and there are only a few AT manufacturers in the world that can respond to their higher standard of request. I am sure that our company will be the one and rather likely to be posted in higher in rank matching this trend only if we make a continuous effort to meet QCD (Quality, Cost, Delivery) requirements.

Let us all continue to strive through constant teamwork to make JATCO TransTechnology a top AT manufacturer in the world.

To change the subject, donft you think an automobile car is like a flying cloud@from fairy stories? Because it can take you anywhere you like. That is the main reason it is loved by so many people for such a long time and our transmissions are internal component.

Our activities in JATCO TransTechnology will become more global and our members in overseas branches in Germany, UK, South Korea, USA and China have already started heading towards a mutual goal under the name of JATCO TransTechnology Group and this global circle continues to expand.

Today is no exception to the worldwide trends toward globalization and I would like you to get used to it in practical business as well as achieving international knowledge and education.

Luckily, we have the JATCO TransTechnology Spirit, which will guide us in the international business.

As I mentioned earlier, our employees and Unions are united under the one banner both in name and in reality.

I ask you all for your continued support and cooperation in order to achieve our goal.

I would like to express my sincere and deepest gratitude to you all. Thank you.