FIVE-YEAR SUMMARY Hitachi, Ltd. and Subsidiaries Millions of yen 1996 1995 1994 1993 1992 For the year: Net sales... 8,123,810 7,592,266 7,400,205 7,536,166 7,765,545 Operating income... 332,582 304,590 213,389 222,161 352,027 Net income... 141,770 113,912 65,279 77,289 127,611 Cash dividends declared... 36,388 36,128 36,038 36,038 36,022 Capital investment (Property, plant and equipment)... 723,477 655,410 662,248 615,345 757,389 Depreciation (Property, plant and equipment)... 556,671 521,435 496,132 479,943 503,980 Research and development expenditures... 493,788 491,481 484,237 501,191 519,525 At year-end: Total assets... 9,803,438 9,141,618 8,931,091 8,747,771 8,857,910 Net property, plant and equipment... 2,421,785 2,310,981 2,292,869 2,203,834 2,169,107 Stockholders equity... 3,200,072 3,033,377 2,959,165 2,940,158 2,917,951 Per share data: Net income... 040.09 033.02 019.27 022.68 036.91 Net income per ADS (representing 10 shares)... 401 330 193 227 369 Cash dividends declared... 11 11 11 11 11 Cash dividends declared per ADS (representing 10 shares)... 110 110 110 110 110 Stockholders equity... 961.23 922.73 901.71 897.42 890.64 Number of employees... 331,852 331,673 330,637 331,505 324,292 Yen Note: The Company has not applied Statement of Financial Accounting Standards No. 115 in accounting for certain investments in debt and equity securities. See note 3 of the accompanying notes to consolidated financial statements. Net Sales Net Income Capital Investment (billions of yen) (billions of yen) (billions of yen) 7,766 7,536 7,400 7,592 8,124 77 65 114 128 142 757 615 662 655 723 Total Assets Net Income per Share Stockholders Equity (billions of yen) (yen) per Share (yen) 8,858 8,748 8,931 9,142 9,803 23 19 33 37 40 891 897 902 923 961 50
MAJOR CONSOLIDATED SUBSIDIARIES (As of March 31, 1996) DOMESTIC Manufacturing Babcock-Hitachi K.K. Hitachi Cable, Ltd. Hitachi Chemical Hitachi Construction Machinery Hitachi Denshi, Ltd. Hitachi Electronics Engineering Hitachi Hokkai Semiconductor, Ltd. Hitachi Hometec, Ltd. Hitachi Kiden Kogyo, Ltd. Hitachi Lighting, Ltd. Hitachi Maxell, Ltd. Hitachi Media Electronics Hitachi Medical Corporation Hitachi Metals, Ltd. Hitachi Seiko, Ltd. Hitachi Setsubi Engineering Hitachi Telecom Technologies, Ltd. Hitachi Tohbu Semiconductor, Ltd. Hitachi Tokyo Electronics Japan Servo Sales and Service Chuo Shoji, Ltd. Hitachi Air Conditioning & Refrigeration Hitachi Auto Systems Hitachi Building Systems Engineering and Service Hitachi Building Systems Sales (East) Hitachi Credit Corporation Hitachi Electronic Components Sales Hitachi Electronics Services Hitachi Engineering & Services Hitachi Engineering Hitachi Information Systems, Ltd. Hitachi Keisho, Ltd. Hitachi Life Corporation Hitachi Micro Devices, Ltd. Hitachi Plant Engineering & Construction Hitachi Printing Hitachi Service & Engineering (East) Ltd. Hitachi Service & Engineering (West) Ltd. Hitachi Software Engineering Hitachi Techno Engineering Hitachi Transport System, Ltd. Nissei Sangyo OVERSEAS Manufacturing Hitachi Automotive Products (USA), Inc. Hitachi Computer Products (America), Inc. Hitachi Computer Products (Asia) Corp. Hitachi Computer Products (Europe) S.A. Hitachi Consumer Products (S) Pte. Ltd. Hitachi Electronic Devices (Singapore) Pte. Ltd. Hitachi Electronic Devices (USA), Inc. Hitachi Electronic Products (Malaysia) Hitachi Home Electronics (America), Inc. Hitachi Home Electronics (Europe) Ltd. Hitachi Semiconductor (America) Inc. Hitachi Semiconductor (Europe) GmbH Hitachi Semiconductor (Malaysia) Shanghai Hitachi Household Appliances Taiwan Hitachi Sales and Service Hitachi America, Ltd. Hitachi Asia Pte. Ltd. Hitachi Australia Ltd. Hitachi (China), Ltd. Hitachi Data Systems Holding Corp. Hitachi Europe Ltd. 51
INTERNATIONAL NETWORK (As of March 31, 1996) OVERSEAS OFFICES OF HITACHI, LTD. NORTH AMERICA Los Angeles, Washington, D.C. LATIN AMERICA Buenos Aires, Caracas, Mexico City, São Paulo EUROPE Brussels, Moscow, Prague MIDDLE EAST AND AFRICA Cairo, Dubai, Johannesburg ASIA Beijing, Dalian, Guangzhou, New Delhi, Seoul, Shanghai, Taipei MANUFACTURING COMPANIES NORTH AMERICA Canada Hitachi Canadian Industries Ltd. Maxcess Technologies Inc. (Canada) U.S.A. AAP St. Marys Corporation Advanced Gene Computing Technologies, Inc. Boston Aic Inc. Central Coating & Assembly Inc. Conex Cable, Inc. GE-HITACHI HVB, Inc. Hitachi Automotive Products (USA), Inc. Hitachi Cable Indiana Inc. Hitachi Cable Manchester Inc. Hitachi Chemical Co., America, Ltd. Hitachi Computer Products (America), Inc. Hitachi Digital Graphics (USA), Inc. Hitachi Electronic Devices (USA), Inc. Hitachi Home Electronics (America), Inc. Hitachi Instruments, Inc. Hitachi Magnetics Corporation Hitachi Metals America, Ltd. Hitachi Metals North Carolina, Ltd. Hitachi PC Corporation (USA) Hitachi Semiconductor (America) Inc. Hitachi Telecom (USA), Inc. Maxcess Technologies Inc. (USA) Maxell Corporation of America Sintering Technologies, Inc. Ward Manufacturing Inc. LATIN AMERICA Brazil Industrias Hitachi S.A. Costa Rica Hitachi Electronica Centroamericana S.A. Mexico Hitachi Consumer Products de Mexico S.A. de C.V. Maxell de Mexico S.A. de C.V. EUROPE France Hitachi Computer Products (Europe) S.A. Germany Hitachi Semiconductor (Europe) GmbH Netherlands Hitachi Construction Machinery (Europe) B.V. Spain Hitachi Air Conditioning Products (Europe) S.A. U.K. Hitachi Home Electronics (Europe) Ltd. Maxell Europe Ltd. ASIA China Changsha Hitachi Automotive Products, Ltd. Changzhou Servo Motor Hefei Hitachi Excavators Hitachi Chemical Co. (Taiwan) Ltd. Hitachi Elevator (Guangzhou) Hitachi Escalator (Guangzhou) Hitachi Semiconductor (Suzhou) Hitachi Television (Taiwan) Ltd. Kaohsiung Hitachi Electronics Shanghai Hitachi Cable Shanghai Hitachi Household Appliances Shanghai Hitachi Metals Techno Ltd. Shanghai Hitachi Shangling Appliances Taiwan Hitachi Xian Hitachi Northwest Power Generation Advanced Technology Development Xinyi Rihong Plastic Chemical, Ltd. Indonesia P.T. Hitachi Construction Machinery Indonesia P.T. Hitachi Consumer Products Indonesia P.T. Hitachi Power Systems Indonesia P.T. Japan Servo Batam Korea Hitachi Chemical Electronic Materials (Korea) Malaysia HED (Johor) Hitachi Air Conditioning Products (M) Hitachi Cable (Johor) Hitachi Chemical (Johor) Hitachi Chemical (Malaysia) Hitachi Consumer Products (Malaysia) Hitachi Electronic Devices (Malaysia) Hitachi Electronic Display Devices (M) Hitachi Electronic Products (Malaysia) Hitachi Electronics Engineering (Malaysia) Hitachi Metals Electronics (Malaysia) Hitachi Semiconductor (Kedah) Hitachi Semiconductor (Malaysia) Hitachi Semiconductor (Penang) Hitachi Semiconductor Technology (Malaysia) Maxell Electronics (Malaysia) Tohshin Precision (Malaysia) Philippines Babcock-Hitachi (Philippines) Inc. Hitachi Computer Products (Asia) Corp. Hitachi Industrial Machinery Philippines Corp. Luzon Electronics Technology, Inc. 52
Singapore Hitachi Cable (Singapore) Pte. Ltd. Hitachi Chemical (Singapore) Pte. Ltd. Hitachi Consumer Products (S) Pte. Ltd. Hitachi Electronic Devices (Singapore) Pte. Ltd. Hitachi Elevator Engineering (Singapore) Pte. Ltd. Hitachi Powdered Metals (Singapore) Pte. Ltd. Japan Servo Motors (S) Pte. Ltd. Maxell Asia (Singapore) Pte. Ltd. Singapore Foundry & Machinery Co. Pte. Ltd. Thailand Hitachi Compressor (Thailand), Ltd. Hitachi Ferrite (Thailand), Ltd. Hitachi Industrial Technology (Thailand), Ltd. SALES AND SERVICE COMPANIES NORTH AMERICA Bermuda Concord Enterprise Insurance Canada Hitachi (Canadian) Ltd. Hitachi Credit Canada Inc. Hitachi Data Systems Inc. Hitachi Denshi, Ltd. (Canada) Hitachi (HSC) Canada Inc. Nissei Sangyo Canada Inc. U.S.A. Adaptive Information Systems, Inc. Battery Engineering Inc. HDS Corp. Hitachi America, Ltd. Hitachi Cable America Inc. Hitachi Chemical Research Center Inc. Hitachi Credit America Corp. Hitachi Data Systems Corp. Hitachi Data Systems Credit Corp. Hitachi Data Systems Holding Corp. Hitachi Denshi America, Ltd. Hitachi Maxco, Ltd. Hitachi Medical Corporation of America Hitachi Medical Systems America Inc. Hitachi Micro Systems Inc. Hitachi Sales Corp. of Hawaii, Inc. Hitachi Software Engineering America, Ltd. Hitachi Transport System (America), Ltd. Neuron Electronics, Inc. Nissei Sangyo America, Ltd. Sunrise Air Service, Inc. LATIN AMERICA Argentina HDS Systems S.A. Brazil Hitachi Data Systems Computadores de Brazil, Ltda. Nissei Sangyo do Brasil, Ltda. Chile Hitachi Data Systems (Chile) Limitada Costa Rica Hitachi Sales Centroamericana, S.A. Mexico de C.V. Hitachi Home Electronics de Mexico S.A. de C.V. Hitachi Systema De Transporte (Mexico) S.A. De C.V. Panama Hitachi Sales Corp. de Panama, S.A. Productos Hitachi, S.A. Venezuela HDS SISTEMAS Hitachi Sales De Venezuela, C.A. HPC Venezuela C.A. EUROPE Austria Hitachi Data Systems GmbH Hitachi Sales Warenhandels GmbH Belgium Hitachi Sales Benelux S.A. Denmark Hitachi Data Systems A/S Hitachi Data Systems Holding A/S France HDS Distribution S.A. Hitachi Europe (France) S.A. Hitachi France (Radio-TV Electro-Menager) S.A. Hitachi Software Engineering Europe, S.A. Hitachi Systeme de Transport (France) S.A.R.L. Maxell (France) S.A. Nissei Sangyo France S.A.R.L. Germany Hitachi Baumaschinen GmbH Hitachi Chemical Europe GmbH Hitachi Data Systems GmbH Hitachi Data Systems Leasing GmbH Hitachi Denshi (Europa) GmbH Hitachi Europe GmbH Hitachi KADEN Service (Europe) GmbH Hitachi Medical Systems Europe GmbH Hitachi Metals Europe GmbH Hitachi Sales Europa GmbH Hitachi Tool Engineering Europe GmbH Hitachi Transport System (Europe) GmbH Maxell Europe GmbH Nissei Sangyo GmbH (Deutschland) Greece Hitachi Sales (Hellas) S.A. Ireland Ambassador Insurance Ltd. Italy Hitachi Data Systems S.P.A. Hitachi Sales Italiana S.P.A. Luxembourg Netherlands Hitachi Data Systems B.V. Hitachi Data Systems Europe B.V. 53
Hitachi Data Systems Europe Holding B.V. Hitachi International (Holland) B.V. Hitachi Transport Systeem (Nederland) B.V. Maxell (Netherlands) B.V. Norway Hitachi Data Systems A/S Hitachi Sales Norway A/S Spain Hitachi Sales Iberica, S.A. Sweden Hitachi Data Systems A.B. Hitachi Sales Scandinavia A.B. Maxell (Sweden) A.B. Switzerland Hitachi Data Systems AG U.K. Fleet Lease (U.K.) Ltd. Hitachi Credit (U.K.) Plc. Hitachi Data Systems Credit Ltd. Hitachi Data Systems (Europe) Corp. Hitachi Data Systems Ltd. Hitachi Denshi (U.K.) Ltd. Hitachi Europe Ltd. Hitachi Finance (UK) Plc. Hitachi Micro Systems Europe Ltd. Hitachi Sales (MEA) Ltd. TECHSURE (U.K.) Ltd. AFRICA Morocco Hitachi Productions Maroc Electroniques Domestiques, S.A. ASIA AND OCEANIA Australia Clyde Babcock-Hitachi (Australia) Pty. Ltd. HDS Australia R&D Pty. Ltd. Hitachi Australia Ltd. Hitachi Data Systems Australia Pty. Ltd. Hitachi Data Systems Credit Corp. Australia Pty. Ltd. Hitachi Data Systems Custodians Pty. Ltd. Hitachi Data Systems Pty. Ltd. Hitachi Metals Australia Pty. Ltd. Hitachi Sales Australia Pty. Ltd. China Beijing Hitachi Huasun Information Systems Hainan Hitachi Elevator Hitachi (China), Ltd. Hitachi Sales Corp. of Taiwan Nissei Sangyo (Shanghai) Sousin Sales Corp. Hong Kong HAIC (HONG KONG) Limited HI-IMPEX (Hong Kong) Ltd. Hi-Macau International Ltd. Hitachi Asia (Hong Kong) Ltd. Hitachi Automobile Appliances Sales Co. (South-East) Ltd. Hitachi Chemical Co. (Hong Kong) Ltd. Hitachi Construction Machinery (Hong Kong) Hitachi Credit (Hong Kong) Ltd. Hitachi Data Systems Ltd. Hitachi Electric Service Co. (Hong Kong) Ltd. Hitachi Elevator Engineering Co., (Hong Kong) Ltd. Hitachi Ferrite (Hong Kong) Ltd. Hitachi (Hong Kong) Ltd. Hitachi Insurance Service (H.K.) Ltd. Hitachi Metals Hong Kong Ltd. Maxell Asia, Ltd. Nikko Development Nissei Sangyo Hong Kong Ltd. Nissin Industrial Company Ltd. Indonesia P.T. Modern Hitachi Sales Indonesia Korea Korea Hisco Ltd. Malaysia Hitachi Asia (Malaysia) Nissei Sangyo (Malaysia) Sunrise Integrated Services (Malaysia) New Zealand H.D.S. Ltd. Hitachi Data Systems New Zealand Ltd. Singapore HAIC (SINGAPORE) Pte. Ltd. Hitachi Asia Pte. Ltd. Hitachi Chemical Asia-Pacific Pte. Ltd. Hitachi Construction Machinery (Singapore) Pte. Ltd. Hitachi Credit Singapore Pte. Ltd. Hitachi Data Systems Pte. Ltd. Hitachi Home Electronics Asia (S) Pte. Ltd. Hitachi Medical Systems (Singapore) Pte. Ltd. Hitachi Metals Singapore Pte. Ltd. Hitachi Micro Devices (Singapore) Pte. Ltd. Hitachi Micro Systems Asia Pte. Ltd. Hitachi Seiko Asia Pte. Ltd. Hitachi (Singapore) Pte. Ltd. Nissei Sangyo (Singapore) Pte. Ltd. Thailand Hitachi Sales (Thailand), Ltd. 54
CORPORATE DATA (As of March 31, 1996) Hitachi, Ltd. (Kabushiki Kaisha Hitachi Seisakusho) Principal Office 6, Kanda-Surugadai 4-chome, Chiyoda-ku, Tokyo 101, Japan Founded 1910 (Incorporated in 1920) Common Stock Par Value: 50 Authorized: 10,000,000,000 shares Issued: 3,329,138,508 shares Shareholders 373,239 Overseas Stock Exchange Listings Luxembourg, Frankfurt, Amsterdam, Paris and New York stock exchanges Japanese Stock Exchange Listings Tokyo, Osaka, Nagoya, Fukuoka, Kyoto, Hiroshima, Niigata and Sapporo stock exchanges Independent Auditors KPMG Peat Marwick 55