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Hitachi High-Tech GLOBAL

October 9, 2013

Naka Division Logistics & Manufacturing Building Completed

Substantially reduced lead time and highly efficient manufacturing achieved

Hitachi High-Technologies Corporation (TOKYO: 8036, Hitachi High-Tech) has completed construction of a Logistics & Manufacturing Building at the Naka Division (Hitachinaka City, Ibaraki Prefecture), a core manufacturing site. With this building, the Company aims to cut lead time in half and bolster manufacturing capacity.

Hitachi High-Tech's Naka Division develops, designs and manufactures semiconductor metrology and inspection equipment, electron microscopes, general-purpose analyzers and clinical analyzers. The Company has been promoting a general redevelopment plan for the refurbishment and reconstruction of aging facilities at the Naka Division, and the Logistics & Manufacturing Building was constructed as part of this plan. The Naka Division had lost logistics functions, a key element of manufacturing, to damage sustained during the Great East Japan Earthquake in March 2011. For the better part of two and a half years, the Division had been forced to carry on its manufacturing activities with logistics functions from a base relocated far from its site.

In addition to earthquake-resistant reconstruction, the new Logistics & Manufacturing Building was designed to consolidate manufacturing workspaces that had been dispersed in one location. Construction of the building began in November 2012 with the aim of establishing a manufacturing system integrating everything from acceptance inspections to the manufacturing and shipping of finished products, and to streamline manufacturing, bolster capacity and cut lead time in half.

The newly completed Logistics & Manufacturing Building has five floors and a total floor space of approximately 33,000 m2, and logistics system spanning all floors for moving components and products around both speedily and efficiently between floors. This building, moreover, is comprised of a warehouse for taking delivery, inspecting and stocking inventory of all components used in manufacturing at the Naka Division, and a workspace for assembling clinical analyzers.

With the Logistics & Manufacturing Building's completion, Hitachi High-Tech can now rise to the challenge of integrating production under one roof, minimizing the distance of traffic lines, and substantially bolstering manufacturing capacity. The payoff will be a manufacturing system capable of responding to customers' diverse needs and responding flexibly to periods of increased production. Once in operation, the building will facilitate a sizeable increase in manufacturing capacity, mainly for the Company's clinical analyzer business. Furthermore, this establishment of logistics functions for the entire Naka Division will enable Hitachi High-Tech to bolster development and manufacturing capabilities for an even wider variety of products.

Looking ahead, the Hitachi High-Tech Group will promote the organic integration of development, design and manufacturing functions among its production facilities in Japan and overseas. By achieving highly efficient manufacturing in line with changes in the market environment, the Group will strive to remain a world-class product developer and manufacturer.

Overview of the Logistics & Manufacturing Building

Location 882, Ichige, Hitachinaka City, Ibaraki Prefecture
Structure Ferroconcrete (partly steel structure): 5 floors above ground
Total floor space Approx. 33,000 m2
Start of operation October 2013
Total investment Approx. ¥5 billion

Media Inquiries

Reiko Takeuchi, Aiko Matsumoto,
CSR & Corporate Communications Dept.,
CSR Div.,
Hitachi High-Technologies Corporation
Tel: +81-3-3504-7760

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