US$200 Million in Sales Projected for Fiscal 2008

Tokyo - DENSO Corporation today announced it established a manufacturing facility in Osceola, Arkansas, USA, to produce car air conditioners and heavy equipment radiators for its North American customers. At full production in 2008, DENSO expects to employ 500 people. DENSO's investment in the new operation will total US$35 million (4.0 billion yen). Construction of the more than 20,200-square-meter (217,000 -square-foot) facility is expected to begin at the end of this month. "This is a great day for Arkansas, especially the Delta region of our state. We are thrilled that one of the top companies in the world has determined our state fits its needs,”said Gov. Mike Huckabee. "We have had some good news in Arkansas recently, such as being honored for having the No. 1 business climate in the South. This announcement proves that designation is correct. We welcome DENSO and look forward to a long, prosperous partnership.” The new company - DENSO Manufacturing Arkansas, Inc. (DMAR) - will be DENSO's twenty-third manufacturing facility in North America. Production of heavy equipment radiators is scheduled to begin in October 2004 and production of car air conditioners will begin in January 2005. DENSO Corporation president and CEO Koichi Fukaya said, "We are experiencing exceptional business growth in the thermal product division. By establishing the sixth thermal company in North America, we will continue to maintain the top global market share of air-conditioning products. We are fortunate to have the opportunity to build a southern base to further meet our customer needs in the region.” DENSO promoted Jerry McGuire, previously vice president of DENSO Manufacturing Michigan, Inc., in Battle Creek, to president of the new company. McGuire has more than30 years experience in logistics, facility engineering, manufacturing and plant construction management. "We will be able to ship Arkansas-made components directly to our customers to support their expanding auto production in the region,”said McGuire, "We believe the relationship between DENSO Manufacturing Arkansas and Osceola will be mutually beneficial, and we look forward to being a part of Osceola community.” Company Profile DENSO Corporation, headquartered in Kariya, Aichi prefecture, Japan is a leading global supplier of advanced technology, systems and components. Its customers include all the world's major carmakers. Worldwide, the company employs 89,000 people in 31 countries and regions, including Japan. Consolidated global sales for the fiscal year ended March 31, 2003 totaled US$ 19.4 billion. DENSO common stock is traded on the Tokyo, Osaka and Nagoya stock exchanges.