Notice of the Establishment of JVC KENWOOD Holdings

Tokyo (ots) - On October 1, 2008 Victor Company of Japan, Limited (JVC) and Kenwood Corporation (KENWOOD) announced that they integrated management by establishing JVC KENWOOD Holdings, Inc. (JVC KENWOOD HD) as of the same day through a share transfer.

Outline of the JVC KENWOOD Group

As a result of integrating management of JVC and KENWOOD (collectively, "both companies"), JVC KENWOOD HD was established as the joint holding company and listed as of October 1, 2008 on the First Section of the Tokyo Stock Exchange. JVC KENWOOD HD became the wholly owning parent that holds 100% of JVC and KENWOOD shares, both of which have become unlisted operating companies. As of October 1, 2008, both companies implemented a company split (simplified absorption-type split or kan'i-kyushu-bunkatsu). The purpose is to pass on part of the rights and obligations of their Car Electronics business and of their equities administration business for several subsidiaries to J&K Technologies Corp. (J&K Technologies), a joint venture of both companies. The goal is to quickly maximize synergies in the Car Electronics business, from which JVC KENWOOD HD expects the greatest synergies in this management integration. As a result, J&K Technologies expanded operations to full-fledged development, design, procurement and production without limitation to joint technological development. The six Car Electronics related development and production subsidiaries of both companies became subsidiaries of J&K Technologies. JVC KENWOOD Group now consists, therefore, of JVC KENWOOD HD as the joint holding company with JVC, KENWOOD and J&K Technologies as operating companies. It intends this group structure to reinforce its competitive edge and earnings creating capability by developing both companies' established corporate foundations into a new, sustainable business infrastructure to succeed in the digital era down the road. The Group will also use synergies from management integration to create and increase its corporate value to establish a solid position as a world-leading, dedicated manufacturer-based group.

KENWOOD Holdings, Inc.

Representative: Haruo Kawahara, Chairman (Representative Director of the Board) and CEO (Code: 6632; First Section of the Tokyo Stock Exchange)

Originaltext: JVC Kenwood Holdings, Inc. digital press kits: http://www.presseportal.de/pm/73011 press kits via RSS: http://www.presseportal.de/rss/pm_73011.rss2

Contact: Hiroshi Odaka, Executive Vice President and CFO Tel: [phone]

GolinHarris Deutschland, Jan-Hendrik Eickmeier Tel: [phone] [e-mail]