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October 11, 2006

JATCO Ltd

Inauguration ceremony for newly completed plant in the Yagi area
- State-of-the-art plant unveiled -

JATCO Ltd, a manufacturer specializing in automotive automatic transmissions (AT, CVT) (President & CEO: Shigeo Ishida, Head Office: Fuji City, Shizuoka Prefecture, Capitalization:29.9353 billion yen) held an inauguration ceremony today to commemorate the completion of its new plant in the Yagi area.

The company has been moving ahead with the expansion of production capacity in the Yagi area since January of last year and, prompted by the start of production of new-generation medium-size belt CVTs (continuously variable transmissions) for FF (front-engine front-wheel-drive) vehicles in September, the ceremony was held and the plant unveiled in the presence of some 70 concerned persons including Governor Yamada of Kyoto Prefecture and Mayor Sasaki of Nantan City as well as local government officials, local concerned persons and the Co-Chairman of Nissan Motor Co., Ltd.

The company has been promoting an expansion in production capacity for new-generation CVTs in order to be able to respond to the expanding global demand for CVTs, in the spotlight as a cutting-edge environmental technology.JATCO Mexico, S.A. de C.V., the overseas affiliated company in Mexico, launched commercial production of new-generation medium-sized belt CVTs for FF vehicles in November 2005, which was followed by the new plant in the Yagi area.

Operations have continued in the Yagi area taking the local community and environment into consideration with the aim of realizing a plant that is in harmony with nature and the local community overflowing with vitality reflecting the ggreen factoryh concept. The company is implementing initiatives friendly to the community and the environment as it moves ahead with this new expansion in production capacity and, while adhering to this concept, it intends to continue developing the plant in a way that promotes a more enhanced response to regional coexistence and the environment.

The company, a world-class manufacturer specializing in transmissions (both AT and CVT), has produced more than five million units to date for delivery to Nissan Motor Co., Ltd. and other automakers both in Japan and overseas. JATCO Ltd. is the only manufacturer in the world capable of supplying a full line of CVTs for vehicles spanning from mini-cars to large-size 3.5L class automobiles.

sYagi Area plant - Overviewt

(1)

Name

JATCO Ltd Yagi Area

(2)

Address

10-1 Yamada, Murohashi, Yagi-cho, Nantan City, Kyoto

(3)

Representative

Hiroyuki Kato, General Manager, Yagi Manufacturing Department

(4)

Description of business operations

Production of automatic transmissions (AT & CVT) and parts

(5)

Start of operations

April 2000

(6)

Employees

About 400

(7)

Land area

About 233,000m2

(8)

Total Floor Area

About 66,000m2

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