Laminate Businesses in SDK Group Consolidated
May 29, 2001
Showa Denko K.K. (SDK) and Heisei Polymer Co., Ltd. (Heisei) have decided to separate their respective fabricated foil and laminate businesses and transfer the businesses to Showa Laminating Industry Corporation, a wholly-owned subsidiary of SDK, effective October 1, 2001.
Showa Denko Group of companies have been providing a wide variety of packaging materials and containers to serve the electronics and personal care/environment-related markets that are defined as "target markets" under SDK's medium-term consolidated business plan.
This time, SDK's fabricated foil business (based on aluminum) and Heisei's laminate business (based on plastics) will be consolidated into Showa Laminating Industry Corporation. The step is intended as a measure to facilitate the development of high-performance, high-quality laminates through the fusion of organic and inorganic technologies.
Showa Laminating Industry Corporation, as a company exclusively engaged in laminating operations, will increase efficiency and improve profitability under the new setup.
Heisei will focus its resources on its competitive cloth and film operations. At the same time, Heisei is studying the possibility of acquiring the shares of Showa Denko Plastic Products Co., Ltd., whose operations are closely linked to those of Heisei.
Details of the transaction are as follows:
1. Transferred businesses
From SDK: All business pertaining to fabricated foil (excluding land and building)
From Heisei: Part of business pertaining to laminate (Manufacture and sale of laminate produced at Heisei's Nara Plant; Purchase and sale of laminate)
2. Annual sales of transferred businesses
SDK's fabricated foil business: ¥7,164 million
Heisei's laminate business: ¥4,060 million
3. Book value of transferred assets
SDK's fabricated foil business: ¥1,688 million
Heisei's laminate business: ¥2,513 million
4. Prices and payment
The amount of consideration will be decided through consultation and agreement. The amount will be a due price as of the date of business transfer. Parties will decide, through consultation, on the method of calculating the price, as well as the method and date of payment.
[Reference]
Showa Laminating Industry Corporation
|
[Performance forecast]
Heisei Polymer Co., Ltd.
Unit: Millions of yen (excluding dividend per share)
| FY 2001 (Ending March 2002) | FY 2002 (Ending March 2003) | |
| Sales | 9,662 | 7,326 |
| Operating profit | -27 | 162 |
| Ordinary profit | -67 | 132 |
| Net profit | -368 | 52 |
| Dividend per share | 0 | -- |
Showa Laminating Industry Corporation
Unit: Millions of yen (excluding dividend per share)
| FY 2001 (Ending March 2002) | FY 2002 (Ending March 2003) | |
| Sales | 8,309 | 14,860 |
| Operating profit | 206 | 537 |
| Ordinary profit | 83 | 283 |
| Net profit | -23 | 183 |
| Dividend per share | 0 | 0 |