May 15, 2003
2 Concerning domestic and overseas subsidiaries of the above businesses and common function companies, after the August 5th management integration, their businesses will be reorganized to maximize synergy and integration effects at the best earliest possible timing.
2-1 In the major countries, the sales companies will be reorganized under the concerned business companies in each location. However, there are possibilities to use the same sales companies by the multiple business companies considering efficiency of the indirect and administrative operations.
2-2 Reorganizations of the domestic subsidiaries controlled by the business and common function companies will be decided separately.
3 Outline of the new corporate group
|Fiscal 2003 Consolidated Sales*1 (Mil Yen)||Business and Functions|
|Konica Minolta Holdings, Inc.
|1,142,000*2||Planning and promoting group management strategy, auditing group management, other group management and administration|
|Konica Minolta Business Technologies, Inc.
|617,000||Manufacturing, sale and related services of copies, printers, micro systems, facsimiles, and related supplies|
|Konica Minolta Opto, Inc.
|108,000||Manufacturing and sale of optical and related products and electronic materials|
|Konica Minolta Photo Imaging, Inc.
|166,000||Manufacturing, sale and related services of consumer and commercial photographic materials, ID photos, inkjet
media, and related equipment
|Konica Minolta Camera, Inc.
|161,000||Manufacturing, sale, and related services of photographic equipment such as digital cameras, film cameras and lenses|
|Konica Minolta M&G, Inc.
|153,000||Manufacturing, sale, and related services of film and processing equipment for medical and graphic imaging|
|Konica Minolta Sensing, Inc.
|10,500||Manufacturing and sale of instrument systems for photographic, industrial and medical industries|
|Konica Minolta Technology Center, Inc.
|----- *3||Research and development, incubation of new technologies and businesses, and administration and services of intellectual properties|
|Konica Minolta Business Expert, Inc.
|----- *3||Various management supports and indirect functions and services|
- The consolidated sales figures of fiscal 2003 are simple addition of the respective 2003 business plans of Konica and Minolta.
- Concerning the sales amount of Konica Minolta Holdings, Inc. , 1,142,000 million yen, internal sales and other outside sales have been eliminated from the total of business sales amounting to 1,215,500 million yen.
- The figures are eliminated since they are internal sales within group.
3-2 Succession of rights and obligations
In case of the company separations, in accordance with the company separation agreements, succeeding companies will succeed to the rights and obligations of the separating companies.
In case of the mergers, the existing company will succeed to the rights and obligations of the dissolving company.
4 After the management integration of August 5th, the medium-term business plan will duly be announced shortly.
5 Succession of the labor conditions
5-1 In case of the company separations, succeeding companies will succeed to the labor conditions of the separating companies.
5-2 In case of the separation of certain businesses, employees belonging to those businesses will be relocated to succeeding companies.
5-3 In case of the merger, existing company will succeed to the labor conditions of the dissolving company.
5-4 Details will be resolved through labor-capital conferences.
6 Major upcoming schedule
August 25: Extraordinary Meetings of Shareholders to get approval of the company separations (excluding Konica Minolta Holdings, Inc.)
August 26: Public notification inviting opposition by creditors (company separations and simplified merger)
October 1: Target date for business reorganization (date of separations, date of merger)
7 Business reorganization scheme
On August 5, 2003, a new integrated holding company, Konica Minolta Holdings. Inc., will be formed in a stock swap having Konica, which is a pure holding company, as a complete parent company and Minolta as a wholly owned subsidiary.
On October 1, 2003, a new corporate group will be formed by business reorganization within the group companies.
(Please refer to the attached group organization charts)