OSAKA, Japan--(BUSINESS WIRE)--Panasonic Corporation (NYSE:PC)(TOKYO:6752)( "Panasonic") today announced that SANYO Electric Co., Ltd., a subsidiary of Panasonic, has reached an MOU (memorandum of understanding) to transfer its consumer and commercial use washing machine businesses, consumer use refrigerator business and its white goods sales divisions of four countries in Southeast Asia to Haier Group.
Regarding the effect on Panasonic's consolidated financial forecasts for fiscal 2012, the Company is currently under consideration. We intend to announce promptly if significant effects are estimated.
For further detail, please see below.
SANYO Signs MOU to Transfer Washing Machine and Consumer Use Refrigerator Businesses and Other White Goods Sales Businesses of Four Countries in Southeast Asia to Haier Group
Tokyo, July 28, 2011 - SANYO Electric Co., Ltd. (SANYO) today announced that it has signed a Memorandum of Understanding (MOU) to transfer its consumer and commercial use washing machine businesses, consumer use refrigerator business and its white goods sales businesses of four countries in Southeast Asia to Haier Group.
Since becoming a member of the Panasonic Group, SANYO's consumer and commercial use washing machine businesses and consumer use refrigerator businesses now overlap with the white goods businesses in the global strategy of the Panasonic Group, and as such, it has become necessary to carry out structural reorganization within the group. After taking into consideration a wide range of factors, in order to secure the employment and the continuation of the businesses, SANYO has come to the decision to transfer these businesses to Haier Group. The details of the MOU are outlined below:
| 1. | All shares of SANYO Aqua Corporation (a Japan-based manufacturing and sales company of both consumer and commercial use washing machines) and all shares of Konan Denki Co., Ltd. (a Japan-based manufacturer of consumer use washing machines) held by SANYO will be transferred to Haier Group. | |
| 2. | All shares of Haier Sanyo Electric Co., Ltd. (a Japan-based developer and engineer of consumer use refrigerators) and HAIER ELECTRIC THAILAND LTD. (a manufacturer of consumer use refrigerators) held by SANYO will be transferred to Haier Group. | |
| 3. | In Southeast Asia, SANYO HA ASEAN CORPORATION (a Vietnam-based manufacturer and distributor of refrigerators, washing machines and other products), P.T. SANYO INDONESIA (manufacturer), P.T. SANYO Sales Indonesia (a sales company), SANYO Philippines Inc. and SANYO SALES AND SERVICE SDN. BHD. (Malaysia-based) will be transferred to Haier Group. | |
| 4. | Haier Group will be granted the rights to sell certain white goods, including washing machines, refrigerators, air conditioners, televisions and other consumer electric appliances in Vietnam, Indonesia, the Philippines and Malaysia under the SANYO brand for a fixed period of time. | |
"Acquiring the white goods business of SANYO is an important part of Haier's overall growth strategy. Today's announcement has laid the foundation for Haier's strategic structure in Japan and Southeast Asia with two R&D centers, four manufacturing bases and six localized marketing centers, which can better cater to the ever-growing and dynamic needs of consumers in the region, as well as contribute to our sustainable growth. We look forward to working with SANYO's team for the successful completion of this important milestone for both companies," said Mr. Du Jingguo, Vice President of Haier Group.
Mr. Mitsuru Homma, Executive Vice President of SANYO Electric Co., Ltd. commented, "Through the transfer of our washing machine and consumer refrigerator businesses to Haier Group, we have been able to secure the positions of the employees engaged in the businesses and ensure the continuity of the business, and we believe that the transfer will allow the customers in each region to receive the same service as before."
In preparation for the gradual closing to be completed by the end of March, 2012, the two companies will push forward with negotiations and are aiming to enter into the final agreement by the end of September, 2011.
Outline of SANYO's Washing Machine and Refrigerator Businesses
SANYO manufactures and sells its washing machines in Japan, Vietnam and other countries in Southeast Asia. SANYO also manufactures and sells commercial use refrigerators in Vietnam, Indonesia and other countries in Southeast Asia. In February, 2007, as a joint venture between Haier Group and SANYO, Haier Sanyo Electric Co., Ltd. was established for the development of consumer use refrigerators. In addition, HAIER ELECTRIC THAILAND LTD., with partial investment from SANYO, has been manufacturing consumer use refrigerators for the domestic market and for global export, including to Japan.
About SANYO
SANYO Electric Co., Ltd., a member of the Panasonic Group, is a global company with leading energy and environmental technology and products for commercial and consumer use. SANYO offers products and services that focus on energy generation, energy storage and efficient energy usage, such as photovoltaic (solar) systems, small- to large-scale-use rechargeable batteries, as well as other energy-efficient products and electronic components that are designed with the environment in mind.
For further information, please visit the company web site at http://panasonic.net/sanyo/
About Haier Group
Established in 1984, Haier Group is a multinational consumer electronics and home appliances company headquartered in Qingdao, People's Republic of China. In 2010, its global revenue was USD$ 20.7 billion. Haier Group's household appliances and consumer electronics business cover the development, manufacturing and sales of refrigerators, washing machines, air conditioners, water heaters, kitchen appliances, color TV, computers, mobile phones and U-HOME Series products.
| Head Office: | Qingdao, Shangdong Province, China | |
| Manufacturing Facilities: | 24 worldwide | |
| R&D Facilities: | 10 worldwide | |
| Global Revenue: | US$ 20.7 billion (in 2010) | |
| No. of Employees: | Over 70,000 Worldwide |
Please be aware that the information above is the outline of the agreement as of the date of the release and may be subject to change based on negotiations between the involved parties.