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New driveshaft company established in Indiana, U.S.A.

NTN Corporation (hereafter, NTN) hereby announces that “NTN DRIVESHAFT ANDERSON, INC. (NDA)” has been established in Anderson, Indiana, U.S.A. as the third manufacturing plant for automotive driveshafts in America. 1. Purpose of establishing the new company One of the basic policies raised in the three-year medium-term management plan “NTN 100” that began in April 2015 … Continued

NTN Corporation (hereafter, NTN) hereby announces that “NTN DRIVESHAFT ANDERSON, INC. (NDA)” has been established in Anderson, Indiana, U.S.A. as the third manufacturing plant for automotive driveshafts in America.

1. Purpose of establishing the new company

One of the basic policies raised in the three-year medium-term management plan “NTN 100” that began in April 2015 is “Manage Profitability,” and NTN is focusing on structural reform of the driveshaft business as part of this major theme.

NTN has been making the move to local production in America, by establishing “NTN DRIVESHAFT INC. (NDI)” in Columbus, Indiana, U.S.A. in 1989 to manufacture driveshafts, and “NTK PRECISION AXLE CORP. (NTK)” in Frankfort, also in Indiana, in 2003 to manufacture pre-process parts for driveshafts. In 2007, NTN also established “Seohan-NTN Driveshaft USA CORP.” in Alabama to produce driveshafts.

Demand for SUVs* and pickup trucks have soared in recent years in North America , which has led to a sudden increase in demand for NTN driveshafts, and existing manufacturing plants in North America have been under full production. With strong demand is forecasted into the future, a decision was made to establish the third plant in America for manufacturing driveshafts.

NTN will strengthen the driveshaft supply system and increase local production with the aim of achieving the “NTN driveshafts achieving World’s No. 1 customer satisfaction level.”

* SUV = Sport Utility Vehicle

2. Future plans

Mass-production planned to begin in April 2017.

Plans include sales of approximately 22 billion yen by fiscal 2018.

Employees will be approximately 280 by 2017, with plans for the gradual expansion.

3. Overview of the new company

(1) Company NameNTN DRIVESHAFT ANDERSON, INC.(NDA)
(2) Line of BusinessManufacture and sales of driveshafts
(3) LocationAnderson, Indiana, U.S.A.
(4) CapitalUSD 42 million
(5) Total investmentNTN-USA 100%
(6) Site areaApproximately 162,000 m2
(7) Total floor areaApproximately 38,000 m2
(8) EmployeesApproximately 280 (scheduled)

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