4 February 2010

Tokyo, February 4, 2010 --- Hitachi, Ltd. (NYSE:HIT/TSE:6501) today announced the following executive changes in accordance with a resolution passed by a meeting of the Board of Directors held today. The appointments take effect on April 1, 2010.

1. Executive Changes [Effective April 1, 2010]

(1) Reappointment

Yoshito Tsunoda
New Position: Senior Vice President and Executive Officer, in charge of Battery Systems Business, General Manager of Motor Power Systems Division
Director, Representative Executive Officer, President and Chief Executive Officer of Hitachi Maxell, Ltd.
Current Position: Director, Representative Executive Officer, President and Chief Executive Officer of Hitachi Maxell, Ltd.

(2) New Executive Officers

Nobuo Mochida
New Position: Representative Executive Officer, Executive Vice President and Executive Officer, in charge of Corporate Planning, High Functional Materials & Components and Production Engineering, General Manager of Corporate Quality Assurance Division and Supervisory Office for MONOZUKURI, Deputy General Manager of Supervisory Office for Business Infrastructure, Chairman of the Board of Hitachi Metals, Ltd.
Current Position: Representative Executive Officer, President and Chief Executive Officer and Director of Hitachi Metals, Ltd.

Yutaka Saito
New Position: Vice President and Executive Officer, President & CEO of Information & Control Systems Company
Current Position: President & CEO of Information & Control Systems Company

Yoshihiko Mogami
New Position: Vice President and Executive Officer, Chief Executive Officer of System Solutions Business, Information & Telecommunication Group, Information & Telecommunication Systems Company
Current Position: Chief Operating Officer of System Solutions Business, Information & Telecommunication Group, Information & Telecommunication Systems Company

Masahide Tanigaki
New Position: Vice President and Executive Officer, in charge of Corporate Export Regulation, General Manager of Corporate Marketing Group and International Marketing Division
Current Position: Deputy General Manager of Power Systems Sales Management Division, Power Systems Company, Deputy General Manager of International Marketing Division, Corporate Marketing Group

Ryuichi Kitayama
New Position: Vice President and Executive Officer, Deputy General Manager of Corporate Marketing Group, General Manager of Domestic Marketing Division and Customer Satisfaction Promotion Center
Current Position: Chief Marketing Officer and General Manager of Sales Management & Accounting Division, Information & Telecommunication Group, Information & Telecommunication Systems Company, Deputy General Manager of Domestic Marketing Division, Corporate Marketing Group

(3) Changes of Position

Kazuhiro Mori
New Position: Representative Executive Officer, Executive Vice President and Executive Officer, in charge of Automotive Systems Business, Motor Power Systems, Battery Systems Business, Sales Operations, Hitachi Group Global Business, Procurement, Medical Systems Business and Business Incubation, General Manager of Supervisory Office for Sales and Promotion and Corporate Export Regulation Division
Current Position: Representative Executive Officer, Executive Vice President and Executive Officer, in charge of Sales Operations, Hitachi Group Global Business and Business Incubation, General Manager of Supervisory Office for Sales and Promotion and Corporate Export Regulation Division

Takashi Hatchoji
New Position: Representative Executive Officer, Executive Vice President and Executive Officer, in charge of Urban Planning and Development Systems Business, Defense Systems Business, Corporate Planning, Environmental Strategies, Human Capital, Legal & Corporate Communications, Corporate Brand and Corporate Auditing, General Manager of Supervisory Office for Business Infrastructure, Hitachi Group Chief Environmental Strategy Officer, General Manager of Supervisory Office for Product Environmental Information
Current Position: Representative Executive Officer, Executive Vice President and Executive Officer, in charge of Corporate Planning, Environmental Strategies, Human Capital, Legal & Corporate Communications, Corporate Brand and Corporate Auditing, General Manager of Supervisory Office for Business Infrastructure, Hitachi Group Chief Environmental Strategy Officer, General Manager of Supervisory Office for Product Environmental Information

Takashi Miyoshi
New Position: Representative Executive Officer, Executive Vice President and Executive Officer, in charge of Management Reform, Finance, Corporate Pension System, Business Development and Consumer Business, Deputy General Manager of Supervisory Office for Management Reforms and Chief Hitachi Group Headquarters
Current Position: Representative Executive Officer, Executive Vice President and Executive Officer, in charge of Management Reform, Finance, Corporate Pension System, Hitachi Group Management, Business Development and Consumer Business, Deputy General Manager of Supervisory Office for Management Reforms and Chief Hitachi Group Headquarters

Naoya Takahashi
New Position: Representative Executive Officer, Executive Vice President and Executive Officer, in charge of Information & Telecommunication Business, Information & Control Systems Business, Research & Development and Information Technology, General Manager of Supervisory Office for Business Coordination, Hitachi Group Chief Technology Officer, Hitachi Group Chief Innovation Officer and Hitachi Group Chief Information Security Officer
Current Position: Representative Executive Officer, Executive Vice President and Executive Officer, in charge of Information & Telecommunication Business, Research & Development and Information Technology, General Manager of Supervisory Office for Business Coordination, Hitachi Group Chief Technology Officer, Hitachi Group Chief Innovation Officer and Hitachi Group Chief Information Security Officer

Toyoaki Nakamura
New Position: Representative Executive Officer, Senior Vice President and Executive Officer, in charge of Finance and Corporate Pension System
Current Position: Representative Executive Officer, Senior Vice President and Executive Officer, in charge of Finance, Corporate Pension System and Hitachi Group Management

Kaichiro Sakuma
New Position: Vice President and Executive Officer, Chief Executive Officer of Platform Systems Business, Information & Telecommunication Group, Information & Telecommunication Systems Company
Current Position: Vice President and Executive Officer, Chief Executive Officer of System Solutions Business, Information & Telecommunication Group, Information & Telecommunication Systems Company

Shigeru Azuhata
New Position: Vice President and Executive Officer, General Manager of Research & Development Group and Medical Systems Business Division, Deputy General Manager of Supervisory Office for Business Coordination
Current Position: Vice President and Executive Officer, General Manager of Research & Development Group, Environmental Strategy Office and Medical Systems Business Division, Deputy General Manager of Supervisory Office for Business Coordination

Masahiro Kitano
New Position: Vice President and Executive Officer, in charge of Quality Assurance and Production Engineering, General Manager of Environmental Strategy Office, Deputy General Manager of Supervisory Office for Product Environmental Information
Current Position: Vice President and Executive Officer, Chief Executive Officer of Platform Systems Business, Information & Telecommunication Group, Information & Telecommunication Systems Company

2. Resignation [Effective March 31, 2010]

Koichiro Nishikawa, currently Senior Vice President and Executive Officer, in charge of Business Development
-- Scheduled to be appointed Senior Executive Managing Officer of Hitachi Cable, Ltd., effective on April 1, 2010

Taiji Hasegawa, currently Representative Executive Officer, Senior Vice President and Executive Officer, in charge of Procurement, General Manager of Battery Systems Division and Motor Power Systems Division
-- Scheduled to be appointed Executive Vice President of Hitachi Construction Machinery Co., Ltd., effective on April 1, 2010

Shozo Saito, currently Senior Vice President and Executive Officer, in charge of Environmental Strategies, Quality Assurance, Production Engineering and Power Systems Engineering, General Manager of Investment Planning Office, Deputy General Manager of Supervisory Office for Product Environmental Information
-- Scheduled to be appointed Chairman of the Board of Hitachi-GE Nuclear Energy, Ltd., effective on April 1, 2010

Koushi Nagano, currently Vice President and Executive Officer, General Manager of Corporate Marketing Group, Domestic Marketing Division and Customer Satisfaction Promotion Center, Deputy General Manager of Supervisory Office for Sales and Promotion
-- Scheduled to be appointed Senior Adviser of Hitachi Industrial Equipment Systems Co., Ltd., effective on April 1, 2010, and also scheduled to be appointed President and Director of Hitachi Industrial Equipment Systems Co., Ltd. , effective on June 17, 2010

Masao Hisada, currently Vice President and Executive Officer, in charge of Corporate Export Regulation, Deputy General Manager of Corporate Marketing Group, General Manager of International Marketing Division and International Strategy Division
-- Scheduled to be appointed Representative Executive Officer, Executive Vice President and Executive Officer of Hitachi High-Technologies Corporation, effective on April 1, 2010

About Hitachi, Ltd.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 400,000 employees worldwide. Fiscal 2008 (ended March 31, 2009) consolidated revenues totaled 10,000 billion yen ($102.0 billion). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials, logistics and financial services. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

<Reference>

1. Executive Officers [Effective April 1, 2010]
[(a) Reappointment / (b) New]

2. Biography of Reappointment and New Executive Officers

Nobuo Mochida

Yoshito Tsunoda

Yutaka Saito

Yoshihiko Mogami

Masahide Tanigaki

Ryuichi Kitayama

Contacts
Japan: Masanao Sato
Hitachi, Ltd.
+81-3-5208-9324
masanao.sato.sz@hitachi.com

U.S.: Dash Hisanaga
Hitachi America, Ltd.
+1-914-333-2987
tadashi.hisanaga@hal.hitachi.com

16 February 2010

Saskatchewan, Canada, February 16, 2010— Saskatchewan Power Corporation (“SaskPower”) and Hitachi, Ltd. (NYSE: HIT/TSE: 6501, “Hitachi”) today announced that they have agreed to collaborate on the advancement and implementation of technology in the fields of Low-Carbon Energy technologies including Carbon Capture and Storage(CCS), AQCS (Air Quality Control System), Boiler and Steam Turbine Generators, while  Hitachi Canada Ltd. (“Hitachi Canada”), subsidiary of Hitachi, has been selected to supply the steam turbine for the SaskPower Boundary Dam Integrated Carbon Capture and Sequestration Demonstration Project. One of the world’s first and largest carbon capture projects, it may determine the technical, economic and environmental performance of carbon capture and storage technology.

“Extending back 40 years, SaskPower’s relationship with Hitachi includes work on a variety of generation facilities, including coal, natural gas and wind. Carbon capture and storage can now be added to that list,” said Bill Boyd, Minister responsible for SaskPower. “With changing technology, environmental responsibility and an ever-increasing demand for power, Hitachi has been our partner every step of the way and with the support of Hitachi, SaskPower is leading the development of one of the world’s first and largest carbon capture project.”

“Hitachi Canadian Industries Ltd. was established in Saskatoon in 1988 as a result of the work between SaskPower and Hitachi, and some of the work on this steam turbine will take place there. It is a reflection on the innovative spirit of our province that work on this world-leading project will be done in Saskatchewan by Saskatchewan people.”

The Boundary Dam Integrated Carbon Capture and Sequestration Demonstration Project will transform the aging Unit 3 at Boundary Dam Power Station near Estevan into a reliable, long-term producer of clean baseload electricity, while enhancing provincial oil production and reducing greenhouse gas emissions. The project is also good for the Saskatchewan economy – it will result in capital investment, increased royalty revenues from coal and petroleum production and innovative employment opportunities by extending the life of the coal-fired generating unit for another 30 years.

In 2009 SaskPower invited vendors from around the world to participate in a two-stage procurement process. The first stage was used to identify the most promising proposals, with more detailed proposals developed during the second stage. Hitachi Canada was selected following the evaluation process.

“This is an important development for SaskPower and the entire industry because it is expected to be the first steam turbine in the world designed to fully integrate a coal-fired power plant with carbon capture,” said Mike Monea, vice-president, Integrated Carbon Capture and Sequestration, SaskPower. “It is also another important step as we develop our business case for this project.”

"Innovative partnerships between utilities and technology suppliers are critical to the successful commercialization of low carbon energy options. Based on our forty plus year relationship Hitachi can think of no better partner in this regard than SaskPower," said Howard Shearer, CEO of Hitachi Canada. "The Boundary Dam Project and the longer term strategic alliance formed under the recently signed collaboration agreement will allow us to jointly develop and deliver the next wave of clean energy technologies to the people of Saskatchewan and beyond."

The bond between SaskPower and Hitachi was strengthened earlier this month with the signing of a collaboration agreement on low-carbon energy projects during Minister Boyd’s government investment mission to China and Japan. “The steam turbine supply for carbon capture at Boundary Dam demonstrates Hitachi’s contribution to the low-carbon society and builds on the spirit of the collaboration agreement,” said Hitoshi Isa, Vice President and Executive Officer, Chief Executive Officer of Thermal Power Systems, Power Systems Company, Hitachi. “SaskPower and Hitachi will enhance further their long relationship by working together in the field of low-carbon technology.”

That agreement will promote cooperation to shorten the path from demonstration project, called Saskatchewan Reference Facility for CCS, which expects funding from Saskatchewan province and federal government, to commercially viable operation, and ensure the development of new technology at a lower cost.

About SaskPower
As the principal supplier of electricity in Saskatchewan, SaskPower is a provincial Crown corporation that serves more than 467,000 customers and manages $4.5 billion in assets. We have a team of over 2,600 permanent full-time employees located in 71 communities. Our company operates three coal-fired power stations, seven hydroelectric stations, four natural gas stations and two wind facilities, with a total available generation capacity of 3,840 MW. We maintain more than 157,000 kilometres of power lines, 56 high voltage switching stations and 184 distribution substations.

About Hitachi, Ltd.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 400,000 employees worldwide. Fiscal 2008 (ended March 31, 2009) consolidated revenues totaled 10,000 billion yen ($102.0 billion). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials, logistics and financial services. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

Contacts
SaskPower
James Parker
Phone: +1-306-566-3167
Cell: +306-536-2886
E-mail: jparker@saskpower.com

Hitachi, Ltd.
Japan: Takeshi Kawakami
Hitachi, Ltd.
+81-3-5208-9324
takeshi.kawakami.mk@hitachi.com

U.S.: Dash Hisanaga
Hitachi America, Ltd.
+1-914-333-2987
tadashi.hisanaga@hal.hitachi.com

24 February 2010

Tokyo, February 24, 2010 --- Hitachi, Ltd. (NYSE:HIT / TSE:6501) today announced that two group companies that are part of the Information & Telecommunication Systems Company—Hitachi Software Engineering Co., Ltd. and Hitachi Systems & Services, Ltd.—have agreed to merge on October 1, 2010 to form Hitachi Solutions, Ltd. The primary goal for this merger is to strengthen marketplace competitiveness by enhancing systems solutions-providing capabilities through the harnessing of both companies’ management resources.

In recent years, the IT market has seemingly undergone change on a daily basis in an effort to provide diversified customer information system needs. This is highlighted by more customers opting to accessing online rather than owning their own systems. Business globalization is another dynamic shaping the marketplace. As a result, it is now increasingly important to provide one-stop services ranging from new service platforms, such as cloud computing, and systems consulting, to system building, operation and maintenance.

Against this backdrop, Hitachi introduced an in-house company system on October 1, 2009 and launched the Information & Telecommunication Systems Company under which it placed four companies, namely Hitachi Software Engineering, Hitachi Systems & Services, Hitachi Information Systems, Ltd. and Hitachi Electronics Services Co., Ltd., as well as their respective consolidated companies. This in-house company has been strengthening its business framework so as to provide valuable one-stop services throughout the entire lifecycle of IT systems, extending from system proposals to system construction, operation and maintenance, in order to cater flexibly to the needs of clients, including those with global business operations.

Hitachi Software Engineering has garnered or received recognition from customers for its ability to develop large-scale systems as well as packaged products based on platform technologies. Hitachi Systems & Services, meanwhile, boasts a storehouse of experience and expertise in the proposal, design and construction of administrative systems for customers.

The merger announced today will combine both companies’ strengths, giving the new company a wider range of business know-how and experience in all business sectors. This should enable the ability to provide more powerful systems solutions than before as it seeks to raise its standing in the marketplace.

Moving forward, Hitachi, Ltd. and the new company will work as one to develop large-scale systems, mainly in the financial-sector and public-sector, and provide highly reliable services spanning the entire lifecycle of systems. The new company also aims to offer system integration services that provide a detailed response to address customer needs for mid-sized systems, particularly in the manufacturing and services sectors. This will be achieved by leveraging Hitachi Software Engineering’s and Hitachi Systems & Services’ systems integration capabilities, project management capabilities, including expertise in utilizing overseas developers, and knowledge of various types of businesses and administrative processes.

Moreover, both companies’ various project and services platforms will be effectively utilized in the Social Innovation Business, which is a key focus of the Hitachi Group. Leveraging the highly skilled developers of both companies is expected to also accelerate development of new products and systems as well as contribute to expansion of these businesses.

The Information & Telecommunication Systems Company will step up activities in terms of global business and the Social Innovation Business through a more efficient business structure resulting from this merger.

1. Overview of the Merging Companies As of December 31, 2009

2. Overview of Merged Company As of October 1, 2010 (Planned)

(Note) Capital is to be increased at the time of the merger.

About Hitachi, Ltd.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 400,000 employees worldwide. Fiscal 2008 (ended March 31, 2009) consolidated revenues totaled 10,000 billion yen ($102.0 billion). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials, logistics and financial services. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

Hitachi Software Engineering Co. Ltd.   http://hitachisoft.jp/english/
Founded in 1970 as the first software development company in the Hitachi Group, Hitachi Software Engineering Co.Ltd., is now among the leading IT service companies in the industry and employs over 7,000 people worldwide. With sales of over 165 billion yen in FY 2008, HitachiSoft provides mainly basic software for large-scale systems and networks for government agencies as well as the financial, insurance, and securities industries, expanding into the fields including PaaS, GIS, Embedded Software, and Interactive Whiteboard  "StarBoard".

Hitachi Systems & Services
Hitachi Systems & Services, Ltd. was established in 1978 in the Hitachi Group and is now one of the largest providers of systems integration services with more than 4,000 systems engineers and approximately 5,000 total employees in Japan. With our unique know-how, proven track record, and human capital we offer one-stop solutions of the highest value for clients in a wide range of industries spanning the process of consulting, system design and implementation, operation and on-going maintenance. We are proud to have established strong partnerships with more than 90 advanced IT enterprises from around the world. For more information on Hitachi Systems & Services, please visit the company's website at http://www.hitachi-system.co.jp/.(Japanese only)

Contacts
Japan: Koichi Shimada
Hitachi, Ltd.
+81-3-5208-9323
koichi.shimada.ha@hitachi.com

U.S.: Dash Hisanaga
Hitachi America, Ltd.
+1-914-333-2987
tadashi.hisanaga@hal.hitachi.com

6 April 2010

Tokyo, April 6, 2010 --- Hitachi, Ltd. (TSE:6501 / NYSE:HIT) today held a conference with media and investors hosted by Hitachi’s new President of Hitachi, Ltd. who was appointed in his new role effective April 1st. The following outlines an extract of the speech delivered by Mr. Hiroaki Nakanishi.

Hitachi was founded in 1910 and in the ensuing years has expanded its business domains such as motors, power generation facilities, home appliances, computers and semiconductors. Over the past 100 years there have been major changes impacting humanity and the environment. In fact, as I stand here today, the world is facing a number of escalating problems Environmental problems such as global warming, and concerns about resource and energy depletion just some of these concerns, but critically important. Safe and secure social infrastructure that can support our lives and that is friendly to the environment is desperately needed in regions around the world to solve these problems. As we take our first steps in a new century, I think we are surely witnessing the arrival of an era whereby social infrastructure business and technologies—where our origins lie—will make a major contribution. We are developing our Social Innovation Business, which supplies advanced social infrastructure linked by information and communication technology (ICT), in all corners of the world. In this way, we are striving to meet the expectations of all stakeholders as a global leading Social Innovation company.

Last year, Hitachi took forthright steps designed to focus on the Social Innovation Business. This included conducting tender offer bids that converted five publicly listed companies into wholly-owned subsidiaries of Hitachi. In tandem with these steps, we structurally reformed the businesses that caused our large losses in the past, and reduced fixed and procurement costs with unprecedented speed. As a result, we were able to limit the downside risk of loss operating businesses. Furthermore, we raised funds through the issuance of new shares by way of third-party allotment and in other ways, to finance capital expenditures and strategic investments for developing more globally going forward. The raising of these funds has strengthened our financial position. Through these management initiatives, Hitachi has put the framework in place for creating a stable profit structure, prevailing against global competition and achieving new growth.

1. Management Focus
As president of Hitachi, I will focus on three areas – “Global”, “Fusion”, and “Environment” - to strengthen the Social Innovation Business.

(1) Global
“Global” highlights--our goal is to transform into a truly global company. In industrialized economies there is considerable demand for replacing existing infrastructure, while in emerging economies demand is buoyant for new infrastructure. I feel strongly that it is incumbent upon us to pinpoint the real needs of customers’ and to hone our ability to deliver solutions for them. For example, with large-scale projects overseas, the scope of commitment required is widening beyond the delivery of plant and machinery to operation and maintenance, and in some cases the provision of financing. We are determined to meet needs of customers’ and sharpen our ability to provide tangible solutions. And in those areas where we are lacking, we will form alliances with government entities, corporate partners and others in order to bring projects to fruition from proposal and order winning to operation and maintenance. To that end, we will set up project bases in each region, closer to markets and customers, form teams that can sell and provide maintenance services locally, and raise local engineering capabilities to ensure that we respond to the real need of customers’. I also believe that it is imperative to empower young staff with authority and responsibility and let them challenge the global markets together with regional staff. This market-oriented approach will be developed in collaboration with each in-house companies, group companies and head office. In this way, I am confident that we can develop world-leading businesses.

(2) Fusion
The second area of focus is “Fusion”. Specifically, we are focused on fusing information and telecommunication system businesses and social infrastructure businesses. Hitachi is a unique company that embodies both ICT and social infrastructure technologies. We intend to create unrivaled value in domains that fuse these two technologies. Eco-friendly data centers, smart grids and other businesses are expected to enjoy robust growth in this domain. In April, we launched the Smart City Business Management Division, which is headed by Executive Vice President Naoya Takahashi. The Smart City Business Management Division will manage in an integrated manner Hitachi’s expertise and technologies in the smart grid business. This extends from power system technologies and grid control technologies, as well as power utility data collection, to back-office operations. Hitachi has an enormous opportunity to leverage technological capabilities and quality refined in Japan to supply solutions sought by customers worldwide. By strengthening our global marketing capabilities, and taking a strategic approach to standardization as well as other actions, we will seek to expand the businesses involving the fusion of ICT and social infrastructure technologies.

(3) Environment
“Environment” is our third focus. The ability to provide environmental responses underpins everything in the Social Innovation Business. It is crucial to give due consideration to reduce the environmental impact when building new social infrastructure or renovating existing infrastructure. Hitachi have a growing number of opportunities to provide support to countries and local governments fulfilling their missions of driving economic growth while protecting the environment and ensuring that people can lead healthy lives. From nuclear power plants that generate clean energy extremely efficiently, high-efficiency thermal power generation plants with a minimal environmental impact, eco-friendly data centers, hybrid railway systems, systems for hybrid vehicles and other systems as a cornerstone infrastructure, strengthening the key devices that support them such as motors, inverters, industrial- and automotive-use lithium-ion batteries. We plan to make all Hitachi Group products into Eco-products by fiscal 2025; already nearly half of our products meet the Eco-products definition. This should steadily lead to business opportunities around the world.

2. New Approaches to the Hitachi Group Structure

(1) In-house Company System
The globalization and fusion that I mentioned earlier will manage the entire Group horizontally. On the other hand, the in-house company system that we adopted in April is designed to vertically manage the group. This constitutes a new form of autonomy, which has been one of the hallmarks of Group management since the Group was founded. We have entrusted in-house companies and group companies by providing them with responsibilities and authority similar to listed companies aimed at managing businesses with a sense of urgency and to act in unison, which will result in the revival of a strong Hitachi. Starting this April, we have introduced an internal rating system that encompasses the standpoints of both equity and debt investors. Each company will reflect the principles and dynamism of capital markets in their management. Companies will take into account the viewpoints of investors and honor their commitment to stakeholders. Management of these companies will be given the discretion to make decisions on important matters such as investment decisions, M&As and business restructuring, according to these internal ratings. This should improve the financial standing of each company as well as strengthen that of the Hitachi Group as a whole.

(2) Business Portfolio
Optimizing Hitachi’s business portfolio is an important mission of mine. Last year, we made five listed subsidiaries into wholly owned subsidiaries in order to strengthen the Social Innovation Business. We also implemented reforms to move away from commoditized businesses that are highly volatile and have little relationship with the Social Innovation Business. Business portfolio realignment will be an ongoing priority for management. We will therefore continue to robustly discuss this subject with the Senior Executive Committee in order to build an optimal business portfolio. Additionally, we will continually reform our businesses and strengthen the Social Innovation Business by considering multiple options such as proactive approach on group companies ownership, partnerships, alliances and other options.

(3) Strengthening the Financial Base
I will continue to strengthen our financial base. Last year, we conducted a public offering to raise capital. However, our financial base is still not satisfactory when comparing on a global basis. As we move forward, our basic stance is to bolster shareholders’ equity by generating profits. Our goal is to build a robust financial base by creating a strong balance sheet. This includes improving the debt-equity ratio.

(4) Cultivation of Human Resources
Achieving global growth will require us to develop and utilize diverse human resources. Hitachi has long been a company that utilizes and energizes all employees, while simultaneously leveraging its expertise in innovations and new technologies. Moving forward, we will create a structure that allows young people to work on the Social Innovation Business with hope and confidence. This structure will provide young people with the authority and responsibility to take the initiative in global markets. Specifically, we will recruit and cultivate personnel who can lead businesses globally, as well as employ diverse human resources from various regions. Furthermore, we will secure personnel for promoting businesses in the fast-growing “Asian belt zone,” extending from East Asia to China and the Middle East. The development and utilization of human resources on a global basis is an important mission for me, on a par with business portfolio optimization.

3. New Senior Management Team
From April, Nobuo Mochida of Hitachi Metals, Ltd. joined the Senior Executive Committee as an Executive Vice President. The other six members of the committee are Takashi Kawamura as a Chairman, myself as a President, and executive vice presidents Kazuhiro Mori, Takashi Hatchoji, Takashi Miyoshi and Naoya Takahashi. Having Nobuo Mochida to the Committee will provide a wider perspective to accelerate the pace of Group management reforms that we have been implementing since last year. Moreover, we have established the Group Management Planning Office in the Supervisory Office for Business Infrastructure, which is the responsibility of Executive Vice President Takashi Hatchoji. This new office will strengthen management planning for the entire Hitachi Group. In addition, we have established the Strategy & Project Office in the Supervisory Office for Management Reforms, under the leadership of Executive Vice President Takashi Miyoshi. This office’s mandate is to promote M&As, new business development and business structure reforms to address management issues.

The achievement of Hitachi’s 100 year history has been achieved largely in part due to the support by our customers, shareholders and other investors, employees and various other stakeholders. And this support will be a driving force over the next 100 years, whereby our focus will be aimed at reestablishing a strong Hitachi as a global leading Social Innovation company. We are confident we can achieve this by utilizing and energizing our employees, technologies and all of the other resources Hitachi has. Hitachi’s new management team is determined to meet the expectations of all stakeholders.

About Hitachi, Ltd.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 400,000 employees worldwide. Fiscal 2008 (ended March 31, 2009) consolidated revenues totaled 10,000 billion yen ($102.0 billion). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials, logistics and financial services. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

Contact
Japan
Masanao Sato
Hitachi, Ltd.
+81-3-5208-9324
masanao.sato.sz@hitachi.com

22 April 2010

https://www.hitachi.com/IR-e/library/presentation/100422/100422.pdf

26 April 2010

Tokyo, April 26, 2010 --- Hitachi, Ltd. (NYSE:HIT / TSE:6501) today announced that the Company plans to post extraordinary items on an unconsolidated basis for the fiscal 2009, year ended March 31, 2010. Details are as follows.

On an unconsolidated basis for the fiscal 2009, year ended March 31, 2010, Hitachi plans to post 95.1 billion yen in write-downs of subsidiaries and affiliate companies shares as extraordinary losses.

Furthermore, Hitachi plans to also post business restructuring losses of 10.9 billion yen as extraordinary losses relating predominantly to realignment and integration of business sites as well as workforce downsizing in the automotive systems and consumer businesses.

About Hitachi, Ltd.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 400,000 employees worldwide. Fiscal 2008 (ended March 31, 2009) consolidated revenues totaled 10,000 billion yen ($102.0 billion). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials, logistics and financial services. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

Contacts
Japan
Masanao Sato
Hitachi, Ltd.
+81-3-5208-9324
masanao.sato.sz@hitachi.com

U.S.
Mickey Takeuchi
Hitachi America, Ltd.
+1-914-333-2987
masayuki.takeuchi@hal.hitachi.com

26 April 2010

Tokyo, April 26, 2010 --- Hitachi, Ltd. (NYSE:HIT / TSE:6501) today announced revisions to the Company’s consolidated business forecasts for fiscal 2009, year ended March 31, 2010, which were announced on February 4, 2010, in light of recent business performance.

1.Revisions of Consolidated Business Forecasts for Fiscal 2009
(from April 1, 2009 to March 31, 2010) (Millions of yen)

Reasons for Revisions
Hitachi has raised its overall revenue forecast for the fiscal year ended March 31, 2010 of 260 billion yen from the previous forecast issued with operating results on February 4, 2010, due predominantly to higher-than-expected revenues in the Power & Industrial Systems and Electronic Devices segments.
Operating income is also projected to exceed the previous forecast by 65 billion yen due to improved earnings in all segments resulting from successful cost-reduction measures further to the higher revenues.

Additionally, net other deductions are projected to be 40.0 billion yen better than the previous forecast due to a substantial improvement in net losses on securities, reflecting the absence of write-down on shares of a semiconductor-related equity-method affiliate and appraisal gains of shares accompanying the conversion of equity-method affiliates to subsidiaries. As a result, Hitachi is forecasting that income before income taxes, net loss and net loss attributable to Hitachi, Ltd. will be 105.0 billion yen, 105.0 billion yen and 100.0 billion yen better than its previous forecast, respectively.

Hitachi is also forecasting net income attributable to Hitachi, Ltd. for the fourth quarter, the period from January to March 2010, which would represent the second straight quarter of positive earnings resulting from the third-quarter profit.

2. Revisions of Consolidated Business Forecast for Fiscal 2009 by Industry Segment
(1) Revenues by Industry Segment (Billions of yen)

(2) Operating Income (Loss) by Industry Segment (Billions of yen)

Cautionary Statement
Certain statements found in this document may constitute “forward-looking statements” as defined in the U.S. Private Securities Litigation Reform Act of 1995. Such “forward-looking statements” reflect management’s current views with respect to certain future events and financial performance and include any statement that does not directly relate to any historical or current fact. Words such as “anticipate,” “believe,” “expect,” “estimate,” “forecast,” “intend,” “plan,” “project” and similar expressions which indicate future events and trends may identify “forward-looking statements.” Such statements are based on currently available information and are subject to various risks and uncertainties that could cause actual results to differ materially from those projected or implied in the “forward-looking statements” and from historical trends. Certain “forward-looking statements” are based upon current assumptions of future events which may not prove to be accurate. Undue reliance should not be placed on “forward-looking statements,” as such statements speak only as of the date of this document.

Factors that could cause actual results to differ materially from those projected or implied in any “forward-looking statement” and from historical trends include, but are not limited to:

• economic conditions, including consumer spending and plant and equipment investments in Hitachi’s major markets, particularly Japan, Asia, the United States and Europe, as well as levels of demand in the major industrial sectors which Hitachi serves, including, without limitation, the information, electronics, automotive, construction and financial sectors;
• exchange rate fluctuations for the yen and other currencies in which Hitachi makes significant sales or in which Hitachi’s assets and liabilities are denominated, particularly against the U.S. dollar and the euro;
• uncertainty as to Hitachi’s ability to access, or access on favorable terms, liquidity or long-term financing;
• uncertainty as to general market price levels for equity securities in Japan, declines in which may require Hitachi to write down equity securities that it holds;
• the potential for significant losses on Hitachi’s investments in equity method affiliates;
• legislative and regulatory changes enacted by the new Japanese government;
• increased commoditization of information technology products and digital media-related products and intensifying price competition for such products, particularly in the Information & Telecommunication Systems, the Electronic Devices and the Digital Media & Consumer Products segments;
• uncertainty as to Hitachi’s ability to continue to develop and market products that incorporate new technology on a timely and cost-effective basis and to achieve market acceptance for such products;
• rapid technological innovation;
• the possibility of cost fluctuations during the lifetime of or cancellation of long-term contracts, for which Hitachi uses the percentage-of-completion method to recognize revenue from sales;
• fluctuations in the price of raw materials including, without limitation, petroleum and other materials, such as copper, steel, aluminum and synthetic resins;
• fluctuations in product demand and industry capacity;
• uncertainty as to Hitachi’s ability to implement measures to reduce the potential negative impact of fluctuations in product demand, exchange rates and/or price of raw materials;
• uncertainty as to Hitachi’s ability to achieve the anticipated benefits of its strategy to strengthen its Social Innovation Business;
• uncertainty as to the success of restructuring efforts to improve management efficiency by divesting or otherwise exiting underperforming businesses and to strengthen competitiveness and other cost reduction measures;
• general socio-economic and political conditions and the regulatory and trade environment of Hitachi’s major markets, particularly Japan, Asia, the United States and Europe, including, without limitation, direct or indirect restrictions by other nations on imports, or differences in commercial and business customs including, without limitation, contract terms and conditions and labor relations;
• uncertainty as to the success of alliances upon which Hitachi depends, some of which Hitachi may not control, with other corporations in the design and development of certain key products;
• uncertainty as to Hitachi’s access to, or ability to protect, certain intellectual property rights, particularly those related to electronics and data processing technologies;
• uncertainty as to the outcome of litigation, regulatory investigations and other legal proceedings of which the Company, its subsidiaries or its equity method affiliates have become or may become parties;
• the possibility of incurring expenses resulting from any defects in products or services of Hitachi;
• the possibility of disruption of Hitachi’s operations in Japan by earthquakes or other natural disasters;
• uncertainty as to Hitachi’s ability to maintain the integrity of its information systems, as well as Hitachi’s ability to protect its confidential information and that of its customers;
• uncertainty as to the accuracy of key assumptions Hitachi uses to valuate its significant employee benefit related costs; and
• uncertainty as to Hitachi’s ability to attract and retain skilled personnel.

The factors listed above are not all-inclusive and are in addition to other factors contained in Hitachi’s periodic filings with the U.S. Securities and Exchange Commission and in other materials published by Hitachi.

About Hitachi, Ltd.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 400,000 employees worldwide. Fiscal 2008 (ended March 31, 2009) consolidated revenues totaled 10,000 billion yen ($102.0 billion). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials, logistics and financial services. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

Contacts
Japan
Masanao Sato
Hitachi, Ltd.
+81-3-5208-9324
masanao.sato.sz@hitachi.com

U.S.
Mickey Takeuchi
Hitachi America, Ltd.
+1-914-333-2987
masayuki.takeuchi@hal.hitachi.com

27 April 2010

Tokyo, April 27, 2010 --- Hitachi, Ltd. (NYSE:HIT / TSE:6501) today announced new directors in accordance with a decision taken at a meeting of Nominating Committee convened today, and is subject to approval at Hitachi’s Ordinary General Meeting of Shareholders in June 2010.

1. Director Candidates <Proposed at Hitachi’s Ordinary General Meeting of Shareholders in June 2010> [* New]

<Director>
Tadamichi Sakiyama, currently Board Director (Chair)
-- Tadamichi Sakiyama will be appointed as a Board Director (Chair).

<Outside Director>
Yoshie Ota, currently Outside Director
Mitsuo Ohashi, currently Outside Director, Advisor, Showa Denko K.K.
Akihiko Nomiyama, currently Outside Director, Special Advisor, NIPPON MINING HOLDINGS, INC.
Kenji Miyahara, currently Outside Director, Special Advisor, Sumitomo Corporation
Tohru Motobayashi, currently Outside Director, Lawyer, Partner, Ihara & Motobayashi

<Director>
*Isao Ono, currently Chairman of the Board, Hitachi Software Engineering Co., Ltd.
Takashi Kawamura, currently Director, Representative Executive Officer and Chairman
*Masaharu Sumikawa, currently Chairman of the Board and Representative Executive Officer, Hitachi Plant Technologies, Ltd.
*Hiroaki Nakanishi, currently Representative Executive Officer and President
Michiharu Nakamura, currently Director
Takashi Miyoshi, currently Director, Representative Executive Officer, Executive Vice President and Executive Officer

2. Resigning Directors
Takeo Ueno, currently Director, Advisor, Hitachi Via Mechanics, Ltd.
Shungo Dazai, currently Director, Chairman of the Board, Hitachi Construction Machinery Co., Ltd.
Michihiro Honda, currently Director, Director of Hitachi Metals, Ltd.

3. Biography of New Director Candidates

Isao Ono

Masaharu Sumikawa

Hiroaki Nakanishi

About Hitachi, Ltd.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 400,000 employees worldwide. Fiscal 2008 (ended March 31, 2009) consolidated revenues totaled 10,000 billion yen ($102.0 billion). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials, logistics and financial services. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

Contacts
Japan
Masanao Sato
Hitachi, Ltd.
+81-3-5208-9324
masanao.sato.sz@hitachi.com

U.S.
Mickey Takeuchi
Hitachi America, Ltd.
+1-914-333-2987
masayuki.takeuchi@hal.hitachi.com

10 May 2010

Tokyo, May 11, 2010 --- Hitachi, Ltd. (NYSE:HIT / TSE:6501) today announced its consolidated financial results for fiscal 2009, ended March 31, 2010.

Note: All figures, except for the outlook for fiscal 2010, were converted at the rate of 93 yen to the U.S. dollar, the approximate exchange rate on the Tokyo Foreign Exchange Market as of March 31, 2010.

1. Qualitative Information Concerning Consolidated Business Results

1-1. Summary of Fiscal 2009 Consolidated Business Results

(1) Business Results

The global economy in fiscal 2009, the fiscal year ended March 31, 2010, experienced an economic recovery during the second half of the fiscal year following the worst period of the economic recession in the first half. In particular, the Chinese economy achieved a high rate of economic growth, as highlighted by 8.7% year-over-year GDP growth in the 2009 calendar year, largely in part due to significant governmental economic counter measures and other contributing factors. The other Asian economies also experienced modest recovery due to exports to China and government economic stimulus measures.

The U.S. and European economies, although struggling to put the first half of the fiscal year behind them, were improved by bold quantitative easing and government spending programs, enabling them to also see a moderate recovery in the latter half of 2009. Additionally, rebounding exports to emerging nations also aided in this recovery. However, with the continued fragile state of the financial environment, new problems have surfaced such as risks surrounding public finances in some southern European countries.

In Japan, the economy began to experience a gentle recovery during the latter half of 2009 on the back of exports to China and other emerging nations, progress with inventory adjustments of electronic components and devices and semiconductor- and automotive-related products, and the benefits of government programs such as the eco-points program and tax breaks on eco-friendly cars. Still, Japan has yet to achieve a self-sustaining recovery, with capital investment slow to pick up and employment and personal income conditions remaining difficult.

Hitachi’s consolidated revenues for fiscal 2009 declined 10% year over year, to 8,968.5 billion yen, despite strong growth from the Power Systems segment. The decline in revenues were led by the Information & Telecommunication Systems, High Functional Materials & Components, and Components and Devices segments, all due to the economic recession.

Overseas revenues decreased 12% year over year, to 3,654.7 billion yen due to a worldwide downturn in demand.

Hitachi posted consolidated operating income of 202.1 billion yen, up 59% year over year. Although earnings were lower in the Information & Telecommunication Systems and Construction Machinery segments, largely due to constraints on capital expenditures, earnings were significantly improved in the Automotive Systems and Digital Media & Consumer Products segments, reflecting the benefits of business structure reforms and other factors. The better operating income result also reflected cuts to fixed costs and procurement costs.

Net other deductions were 138.5 billion yen, an improvement of 278.4 billion yen from the previous fiscal year. This reflects improved net equity in losses due to better performances by semiconductor-related affiliates and other entities, improved exchange gains due to the weaker yen, and decreased expenses related to the completion of business restructuring compared with the previous fiscal year, including impairment losses on fixed assets.

As a result, Hitachi recorded income before income taxes of 63.5 billion yen, 353.4 billion yen better year over year.

Income taxes decreased 357.2 billion yen year over year to 147.9 billion yen due to a decline in write-off of deferred tax assets subject to consolidated taxation.

Consequently, Hitachi posted a net loss of 84.3 billion yen, a year-over-year improvement of 710.7 billion yen. Net loss attributable to noncontrolling interests was 22.5 billion yen and net loss attributable to Hitachi, Ltd. was 106.9 billion yen, representing a 680.3 billion yen improvement over fiscal 2008.

Hitachi resumed posting quarterly net income attributable to Hitachi, Ltd. from the third quarter (October-December 2009) of fiscal 2009.

(2) Revenues and Operating Income (Loss) by Business Segment

Effective from fiscal 2009, Hitachi has adopted FASB Accounting Standards Codification (ASC) 280, “Segment Reporting,” and therefore changed its business segmentation. In accordance with this, Hitachi has shown figures for the previous fiscal year under the new segment classifications. Previously, Hitachi prepared segment information based on Japanese accounting standards.

Results by business segment were as follows.

[Information & Telecommunication Systems]

The segment recorded revenues of 1,705.5 billion yen, a decrease of 12% year over year. Software and services posted lower revenues year over year due to the impact of constrained IT investment, which was a byproduct of the sluggish Japanese economy. Hardware revenues also fell year over year, reflecting a decline in storage revenues due to the impact of foreign currency exchange rate fluctuations and lackluster demand. Furthermore, unit shipments of ATMs fell in Japan.

Segment operating income dropped 43.8 billion yen, to 94.5 billion yen. Software and services overall recorded lower operating income, reflecting lower services earnings due to decreased revenues, although software earnings were steady. Hardware also posted lower operating income in line with lower revenues.

[Power Systems]

Segment revenues were 882.1billion yen, up 2% year over year. One reason was strong sales of coal-fired thermal power generation systems overseas, notably in Europe and South Africa. In addition, sales of nuclear power generation systems were robust due to the construction of new plants and preventative maintenance in Japan. Moreover, higher sales of renewable energy-related systems, such as wind power generation systems, also contributed to the segment revenue growth.

Segment operating income improved 18.5 billion yen to 22.0 billion yen, the result of higher revenues, and better project management.

[Social Infrastructure & Industrial Systems]

The segment recorded revenues of 1,250.2 billion yen, down 6% year over year, reflecting lower sales of elevators and escalators, and industrial equipment for the manufacturing industry, as a consequence of the economic recession.

Segment operating income was 42.0 billion yen, an improvement of 7.6 billion yen year over year. Although earnings were impacted by lower revenues, the segment had fewer unprofitable projects due to better project management and also steps were taken to reduce costs.

[Electronic Systems & Equipment]

Segment revenues were 998.6 billion yen, up 2% year over year, despite a sharp drop in sales of semiconductor- and LCD-related manufacturing equipment due to constrained capital expenditures in the electronics field. The increase related mainly to the consolidation of Hitachi Kokusai Electric Inc. and Hitachi Koki Co., Ltd. in March 2009.

The segment reported an operating loss of 5.2 billion yen, which was 30.9 billion yen more than in fiscal 2008, as it fell into the red in the first half of fiscal 2009 due to much lower revenues. However, the segment returned to profitability from the third quarter (October-December 2009) due to reductions to fixed costs and materials procurement costs, as well as a partial recovery in capital investment, centered on semiconductors.

[Construction Machinery]

The segment reported a 19% decline in revenues year over year, to 583.6 billion yen due to soft global demand for construction equipment. However, a right spot was sharply higher sales of hydraulic excavators due to infrastructure building in China, which was part of the government’s stimulus package.

Segment operating income fell 33.6 billion yen year over year, to 17.6 billion yen due to the impact of lower revenues, despite the segment implementing cost-reduction measures.

[High Functional Materials & Components]

Segment revenues declined 20% year over year, to 1,249.3 billion yen. Although there were signs of a recovery from the latter half of fiscal 2009 in automotive components and LCD- and semiconductor-related products, revenues declined due to lower sales at Hitachi Metals, Ltd., Hitachi Chemical Co., Ltd. and Hitachi Cable, Ltd. attributable to declining global demand.

Operating income improved 19.1 billion yen, to 44.4 billion yen, even though revenues declined. This improved performance reflected reductions in fixed costs and materials procurement expenses and improved earnings from products for LCD- and semiconductor-related applications.

[Automotive Systems]

Segment revenues decreased 6% year over year, to 638.8 billion yen, reflecting the negative impact of sluggish demand worldwide through the first half of fiscal 2009. However, the second half of fiscal 2009 saw an improvement in revenues due to recovering demand in North America and market expansion in China. Economic stimulus programs by governments around the world also drove the rebound.

The segment recorded an operating loss of 5.4 billion yen, but this was a 55.0 billion yen improvement year over year. Although revenues declined, the segment realigned and integrated bases, adjusted its workforce and made progress with other business structure reforms as part of product portfolio realignment, helping the segment to become profitable from the third quarter (October-December 2009) of fiscal 2009.

[Components & Devices]

Segment revenues declined 23% year over year, to 754.8 billion yen, the result of lower sales of HDDs due to sluggish demand caused by constrained IT investment, and lower sales of displays for mobile phones and game consoles.

Operating income declined 4.6 billion yen, to 1.1 billion yen due to lower earnings in HDDs in line with decreased sales, despite the segment cost reduction measures within the segment.
 

Note: The HDD operations are conducted by Hitachi Global Storage Technologies (Hitachi GST), which has a December 31 fiscal year-end, different from Hitachi’s March 31 year-end. Hitachi’s results for the year ended March 31, 2010 include the operating results of Hitachi GST for the period from January through December 2009.

[Digital Media & Consumer Products]

The segment recorded a 16% decrease in revenues, to 929.2 billion yen. In addition to lower sales of flat-panel TVs due to a large reduction of overseas sales channels, the decline was attributable to lower sales of air conditioners due to constrained capital investment and a cool summer in 2009 in Japan.

The segment reported an operating loss of 7.2 billion yen, but this was a 103.3 billion yen improvement year over year. The segment was profitable as a whole from the second quarter (July-September 2009) due to higher earnings from optical disc drives, in addition to improvement resulting from business structure reforms in flat-panel TVs. The latter included switching to procuring panels from outside the Hitachi Group, reducing overseas sales channels and adjustments to the workforce.
 

Note: The Optical disk drive operations are conducted by Hitachi-LG Data Storage, Inc (HLDS), which has a December 31 fiscal year-end, different from Hitachi’s March 31 year-end. Hitachi’s results for the year ended March 31, 2010 include the operating results of HLDS for the period from January through December 2009.

[Financial Services]

The segment reported a 5% year-over-year increase in revenues, to 419.6 billion yen, largely due to recording large cancellation penalty payment receipts, in addition to strong revenues from agricultural equipment leases and housing loans for consumers at Hitachi Capital Corporation.

Operating income improved 1.8 billion yen year over year, to 8.5 billion yen, as operating costs and financing costs declined and the segment implemented other cost-reduction measures.

[Others]

The segment recorded a 8% fall in revenues year over year, to 763.6 billion yen due to lower revenues at Hitachi Transport System, Ltd. due to soft demand, as well as lower revenues in other services businesses.

Segment operating income dropped 5.0 billion yen year over year, to 19.4 billion yen, due to the lower revenues and other factors.

(3) Revenues by Market

Revenues in Japan were 5,313.7 billion yen, down 9% year over year.

Outside Japan revenues declined 12%, to 3,654.7 billion yen due to falling global demand and other factors. As a result, the ratio of overseas revenues to consolidated revenues was 41%, the same as fiscal 2008.

(4) Capital Investment, Depreciation and R&D Expenditures

Capital investment on a completion basis, excluding leasing assets, decreased 42% year over year, to 247.4 billion yen. Hitachi continued to strictly select investments as a whole, but did increase investments in the Power Systems segment.

Depreciation, excluding leasing assets, decreased 9%, to 356.4 billion yen, mainly due to the strict selection of capital investments and realignment and integration of manufacturing bases.

R&D expenditures declined 11%, to 372.4 billion yen, which corresponded to 4.2% of consolidated revenues. This decline was the result of moving forward with business structure reforms, although Hitachi did increase development focused on the Power Systems segment.

(5) Outlook for Fiscal 2010

In terms of the overall business environment going forward, the Chinese economy is expected to maintain a high growth rate due to robust internal demand and the beneficial effects of government policy, although it faces such problems as dealing with rising real estate and other prices, and revaluation of the yuan. Southeast Asian countries, India, Brazil and certain other nations are also expected to maintain a steady recovery path in general. Emerging economies will thus more clearly become the key drivers of the world economy. Industrialized nations should also see their moderate recoveries continue, with growth rates of approximately 2% to 3% compared with the previous year. However, there are concerns that the pace of economic recovery will slow as the effects of economic stimulus measures wear off and monetary policy is normalized. There are also other causes of instability, including the possibility that sovereign debt　problems will spread in southern Europe and the yen’s appreciation.

The Japanese economy is expected to continue recovering, too. However, the ability of the economy to sustain a recovery under its own steam will be called into question even more as economic counter measures run their course.

Due to these economic conditions, at present Hitachi is forecasting the results shown above for fiscal 2010, the year ending March 31, 2011.
 

Making full use of the business base the Hitachi Group has built over the years, Hitachi will concentrate even more on the Social Innovation Businesses from three perspectives to create a more stable profit base: transforming into a truly global company, fusing information and telecommunication systems and power and industrial systems, and expanding environmental businesses.

Projections for fiscal 2010 assume an exchange rate of 85 yen to the U.S. dollar and 120 yen to the euro.

1-2. Financial Position

(1) Financial Position  

        \

Total assets as of March 31, 2010 decreased 451.9 billion yen from March 31, 2009, to 8,951.7 billion yen. This was the result of reducing operating assets, centered mainly on inventories, and implementing business structure reforms to improve cash flows. Interest-bearing liabilities declined 452.9 billion yen, to 2,367.1 billion yen, as Hitachi returned working capital to normal operating levels. Stockholders’ equity increased 234.7 billion yen, to 1,284.6 billion yen, due to capital raising and an improvement in pension liability adjustments. As a result, the total Hitachi, Ltd. stockholders’ equity ratio improved 3.2 points from March 31, 2009, to 14.4%. The debt-to-equity ratio, including noncontrolling interests, improved 0.25 points, to 1.04.

(2) Cash Flows

Operating activities provided net cash of 798.2 billion yen, a 239.3 billion yen increase from the previous fiscal year. In addition to a major improvement in net loss, this was due to the reduction of inventories and other factors.

Investing activities used net cash of 530.5 billion yen, 19.4 billion yen less year over year. The decrease was mainly due to the stricter selection of investments in property, plant and equipment.

Free cash flows, the sum of cash flows from operating and investing activities, was 267.7 billion yen.

Financing activities used net cash of 502.3 billion yen, a 786.7 billion yen change from the net cash provided in fiscal 2008. Although Hitachi procured funds through a capital raising, this decrease reflected tender offers for five publicly listed companies and the repayment of short-term debt due to the normalization of working capital.

The net result of the above items was a decrease of 230.3 billion yen in cash and cash equivalents, to 577.5 billion yen.

(3) Trends in Cash Flow Indexes

1. Hitachi, Ltd. stockholder’s equity ratio: Total Hitachi, Ltd. shareholders’ equity / Total assets
2. Equity ratio based on market value: Market capitalization / Total assets
3. Cash flow to interest-bearing debt ratio: Interest-bearing debt / Cash flows from operating activities
4. Interest coverage ratio: Cash flows from operating activities / Interest charges

Note: Market capitalization is computed based on the number of issued shares, excluding treasury stock.

1-3.Basic Policy on the Distribution of Earnings and Fiscal 2009 and 2010 Dividends

Hitachi views enhancement of the long-term and overall interests of shareholders as an important management objective. The industrial sector encompassing energy, information systems, social infrastructure and other primary businesses of Hitachi is undergoing rapid technological innovation and changes in market structure. This makes vigorous upfront investment in R&D and plant and equipment essential for securing and maintaining market competitiveness and improving profitability. Dividends are therefore decided based on medium-to-long term business plans with an eye on ensuring the availability of internal funds for reinvestment and the stable growth of dividends, with appropriate consideration of a range of factors, including Hitachi’s financial condition, results of operations and dividend payout ratio.

Hitachi believes that the repurchase of its shares should be undertaken, when necessary, as part of its policy on distribution to shareholders to complement the dividend payout. In addition, Hitachi will repurchase its own shares on an ongoing basis in order to implement a flexible capital strategy, including business restructuring, to maximize shareholder value so far as consistent with the dividend policy. Such action will be taken by Hitachi after considering its future capital requirement under its business plans, market conditions and other relevant factors.

Based on the above policies, regrettably, Hitachi determined to forgo the payment of the dividend for fiscal 2009. For fiscal 2010, Hitachi plans to pay the interim dividend of 5 yen per share, which consists of ordinary dividend of 3 yen per share and commemorative dividend of 2 yen per share for Hitachi's centennial anniversary. Year-end dividend has not been determined.

1-4. Business Risk and Other Risks

The Hitachi Group is engaged in a broad range of business activities on a global scale. Furthermore, the group utilizes highly sophisticated and specialized technologies and information to conduct these businesses. As a result, business activities are vulnerable to a diverse array of risk factors.

Major risk factors include, but are not limited to, economic trends in major markets; changes in foreign exchange rates; the fundraising environment; falls in prices of shareholdings; losses related to investments in affiliated companies; intensifying competition; rapid technological innovations; changes in estimates and costs related to long-term contracts, the procurement of raw materials and components; supply and demand balance; the ability to develop an effective strategy for strengthening the Social Innovation Business; progress in business restructuring; overseas business activities; the ability to implement mergers and acquisitions and to form strategic alliances; protection, maintenance and acquisition of intellectual property; litigation and other legal proceedings; product and service quality and liability; natural disasters and similar events; reliance on information systems; the management of confidential information; retirement benefit liabilities; and recruiting activities.

Cautionary Statement

Certain statements found in this document may constitute “forward-looking statements” as defined in the U.S. Private Securities Litigation Reform Act of 1995. Such “forward-looking statements” reflect management’s current views with respect to certain future events and financial performance and include any statement that does not directly relate to any historical or current fact. Words such as “anticipate,” “believe,” “expect,” “estimate,” “forecast,” “intend,” “plan,” “project” and similar expressions which indicate future events and trends may identify “forward-looking statements.” Such statements are based on currently available information and are subject to various risks and uncertainties that could cause actual results to differ materially from those projected or implied in the “forward-looking statements” and from historical trends. Certain “forward-looking statements” are based upon current assumptions of future events which may not prove to be accurate. Undue reliance should not be placed on “forward-looking statements,” as such statements speak only as of the date of this document.

Factors that could cause actual results to differ materially from those projected or implied in any “forward-looking statement” and from historical trends include, but are not limited to:

• economic conditions, including consumer spending and plant and equipment investments in Hitachi’s major markets, particularly Japan, Asia, the United States and Europe, as well as levels of demand in the major industrial sectors which Hitachi serves, including, without limitation, the information, electronics, automotive, construction and financial sectors;
• exchange rate fluctuations for the yen and other currencies in which Hitachi makes significant sales or in which Hitachi’s assets and liabilities are denominated, particularly against the U.S. dollar and the euro;
• uncertainty as to Hitachi’s ability to access, or access on favorable terms, liquidity or long-term financing;
• uncertainty as to general market price levels for equity securities in Japan, declines in which may require Hitachi to write down equity securities that it holds;
• the potential for significant losses on Hitachi’s investments in equity method affiliates;
• increased commoditization of information technology products and digital media-related products and intensifying price competition for such products, particularly in the Components & Devices and the Digital Media & Consumer Products segments;
• uncertainty as to Hitachi’s ability to continue to develop and market products that incorporate new technology on a timely and cost-effective basis and to achieve market acceptance for such products;
• rapid technological innovation;
• the possibility of cost fluctuations during the lifetime of or cancellation of long-term contracts, for which Hitachi uses the percentage-of-completion method to recognize revenue from sales;
• fluctuations in the price of raw materials including, without limitation, petroleum and other materials, such as copper, steel, aluminum and synthetic resins;
• uncertainty as to Hitachi’s ability to implement measures to reduce the potential negative impact of fluctuations in product demand, exchange rates and/or price of raw materials;
• uncertainty as to Hitachi’s ability to achieve the anticipated benefits of its strategy to strengthen its Social Innovation Business;
• uncertainty as to the success of restructuring efforts to improve management efficiency by divesting or otherwise exiting underperforming businesses and to strengthen competitiveness and other cost reduction measures;
• general socio-economic and political conditions and the regulatory and trade environment of Hitachi’s major markets, particularly Japan, Asia, the United States and Europe, including, without limitation, direct or indirect restrictions by other nations on imports, or differences in commercial and business customs including, without limitation, contract terms and conditions and labor relations;
• uncertainty as to the success of alliances upon which Hitachi depends, some of which Hitachi may not control, with other corporations in the design and development of certain key products;
• uncertainty as to Hitachi’s access to, or ability to protect, certain intellectual property rights, particularly those related to electronics and data processing technologies;
• uncertainty as to the outcome of litigation, regulatory investigations and other legal proceedings of which the Company, its subsidiaries or its equity method affiliates have become or may become parties;
• the possibility of incurring expenses resulting from any defects in products or services of Hitachi;
• the possibility of disruption of Hitachi’s operations in Japan by earthquakes or other natural disasters;
• uncertainty as to Hitachi’s ability to maintain the integrity of its information systems, as well as Hitachi’s ability to protect its confidential information and that of its customers;
• uncertainty as to the accuracy of key assumptions Hitachi uses to valuate its significant employee benefit related costs; and
• uncertainty as to Hitachi’s ability to attract and retain skilled personnel.

The factors listed above are not all-inclusive and are in addition to other factors contained in Hitachi’s periodic filings with the U.S. Securities and Exchange Commission and in other materials published by Hitachi.

2. Management Policy

(1) Basic Management Policy

Amid intensifying competition in world markets, the Hitachi Group has been expanding its business through development of Hitachi and its related companies (subsidiaries and affiliated companies). Hitachi aims to improve its development by delivering competitive products and services imbuing higher value for customers. By taking full advantage of the diverse resources of the Hitachi Group while at the same time reviewing and restructuring businesses, Hitachi will bolster its competitiveness. This process will be consistent with Hitachi’s basic management policy, which is to increase shareholder value by meeting the expectations of customers, shareholders, employees and other stakeholders.

(2) Medium- and -Long-term Management Strategy

Hitachi will focus more than ever on the Social Innovation Business, which includes information and telecommunication systems, power systems, environmental, industrial and transportation systems, and social and urban systems, as well as the sophisticated materials and key devices that support them, in order to build a more stable earnings base. The Company will concentrate on three key areas— transforming into a truly global company; fusing information and telecommunication systems and power and industrial systems; and expanding environmental businesses—capitalizing fully on the Hitachi Group’s business base built up over the years.

(3) Issues Facing Hitachi Group

The Hitachi Group aims to achieve strong growth by implementing the following measures to improve its earnings and drive growth going forward. Hitachi sees increasing demand for addressing global environmental problems, particularly in industrialized nations, and the building of social infrastructure in emerging nations as perfect business opportunities in this context.

• Hitachi will channel business resources to the Social Innovation Business. It intends to leverage the collective strengths of the Hitachi Group to bring about social innovation through the fusion of information and telecommunication systems and social infrastructure businesses.
• Hitachi will draw upon the Hitachi Group’s outstanding environmental technologies to provide products and services with a lower environmental impact and thereby help protect the natural environment.
• Hitachi plans to develop the Social Innovation Business globally. In order to address customer needs, Hitachi will team up with local partners and develop more locally based operations. Furthermore, Hitachi will recruit and develop diverse human resources from various regions.
• The year 2010 marks the centenary of Hitachi’s foundation. In order to engineer the revival of a strong Hitachi for the next 100 years, the Company will implement the following measures.
• Adhering to its corporate credo of contributing to society through technology, Hitachi will engage in advanced R&D activities and fully utilize intellectual property.
• Hitachi will continuously seek to optimize its business portfolio, restructuring businesses as necessary, including withdrawal and divestment, based on business profitability and on synergies with the Social Innovation Business.
• Hitachi will work to improve its operations by continuously implementing cost-reduction programs to decrease fixed, procurement and other costs. Additionally, Hitachi will work to improve cash flows by reducing inventories, quickly collecting accounts receivables and taking other actions.
• Hitachi will rigorously strengthen MONOZUKURI (manufacturing) capabilities to achieve high quality so that it can provide safe and reliable products to customers.

Recognizing the importance of living up to the trust placed within society, Hitachi will ensure that it remains steadfast and compliant, so as not to infringe upon any laws or regulations in order to raise the value of the Hitachi brand.

Contacts

Japan
Masanao Sato
Hitachi, Ltd.
+81-3-5208-9324
masanao.sato.sz@hitachi.com

U.S.
Mickey Takeuchi
Hitachi America, Ltd.
+1-914-333-2987
masayuki.takeuchi@hal.hitachi.com

21 May 2010

Tokyo, Japan, May 21, 2010 - The Government of Saskatchewan (“Saskatchewan”) and Hitachi, Ltd. (NYSE:HIT/TSE:6501, “Hitachi”) announced today that they have reached a landmark agreement with the signing of a joint declaration to work together and share information for developing energy and environmental technologies, including Carbon Capture & Storage (CCS) for thermal power plants, renewable energy and smart grid technologies.

Saskatchewan is committed to protecting the environment and to promoting the sustainable use of natural resources to enhance economic and social benefits. Saskatchewan has adopted a target of a 20 percent reduction in greenhouse gas emissions from 2006 levels by 2020.

Hitachi, for its part, has set a goal of curbing 100 million tons per annum of CO2 emissions from Hitachi Group products by fiscal 2025. Hitachi is aiming to help create a low-carbon society by providing products such as nuclear power plants, renewable energy and highly efficient coal-fired thermal power plants in the electric power generation field, which accounts for around 70% of Hitachi’s targeted CO2 emission reductions. Hitachi is particularly strengthening the development of CCS technologies, which have attracted interest as a means of drastically reducing CO2 emissions from thermal power plants. Hitachi boasts proprietary CCS technologies, including Oxyfuel combustion technologies that efficiently capture CO2 and chemical absorption technologies which capture liquefied CO2 in flue gas emissions.

Hitachi and Saskatchewan province have a 40-year cooperative relationship in the power generation field, including work on coal, natural gas and wind generation technologies. Hitachi has provided generation facilities to Saskatchewan Power Corporation (“SaskPower”), a power utility based in Saskatchewan province. In 1988, Hitachi established Hitachi Canadian Industries Ltd. as a manufacturing base for power generation equipment in Saskatchewan province with SaskPower, deepening its relationship with this power utility and Saskatchewan province. In February 2010, SaskPower and Hitachi agreed to collaborate on the advancement and implementation of technology in the fields of low-carbon energy technologies, including CCS.

Today’s agreement with Hitachi is Saskatchewan’s first such agreement with an energy company in the energy and environmental technologies field and will strengthen existing and ongoing efforts to commercialize low-carbon energy technologies. Additionally, it will enable the further enhancement of energy security while assisting in the protection of the environment and natural resources.

A primary focus of this agreement is to commercialize low-carbon energy technologies that involve CCS—a field led by Saskatchewan, which is home to the world’s largest monitored CCS demonstration project. The agreement also potentially benefits the energy sectors in Canada’s resource-rich New West region as successful commercialization would create new demand for conventional energy resources.

Based on today’s agreement, Saskatchewan and Hitachi will supply each other with information on new low-carbon energy technologies as well as cooperate in five fields: CCS technologies, AQCS (Air Quality Control Systems), boiler and steam turbine generators, renewable energy technologies and smart grid technologies.

“This agreement reinforces a healthy, well-established partnership between two world leaders in clean energy innovation,” Saskatchewan Premier Brad Wall said. “Saskatchewan is serious about clean energy innovation and about helping to set the pace internationally, not only in terms of expertise and infrastructure but also with respect to commercialization of technology. This agreement will help us jointly pursue these goals.”

Hitachi President Hiroaki Nakanishi commented, “Hitachi has various outstanding technologies in the environment and energy field, including CCS, and we are strengthening and proactively developing new technologies for creating a low-carbon society. I feel extremely honoured that our highly reliable energy and environmental technologies were recognized by Saskatchewan province for their sophistication and in becoming the first private-sector partner in the province. Hitachi has built relationships of trust with Saskatchewan province and SaskPower over many years. Based on these relationships, we are committed to stepping up efforts in fields that can utilize CCS, renewable energy and other low-carbon energy technologies in Canada, and develop this business around the world.”

Hitachi and Saskatchewan will contribute to the realization of a low-carbon society and environmental and natural resource protection by promoting the development of energy and environmental technologies under this agreement.

About Hitachi, Ltd.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 360,000 employees worldwide. Fiscal 2009 (ended March 31, 2010) consolidated revenues totaled 8,968 billion yen ($96.4 billion). Hitachi will focus more than ever on the Social Innovation Business, which includes information and telecommunication systems, power systems, environmental, industrial and transportation systems, and social and urban systems, as well as the sophisticated materials and key devices that support them. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

Contacts
Province of Saskatchewan
Wes Jickling
Phone: +1-306-787-7855
E-mail: wes.jickling@gov.sk.ca

Hitachi, Ltd.
Japan: Matt Takahashi
Hitachi, Ltd.
+81-3-5208-9324
Masahiro.takahashi.rh@hitachi.com

U.S.: Mickey Takeuchi
Hitachi America, Ltd.
+1-914-333-2987
Masayuki.Takeuchi@hal.hitachi.com