Mitsubishi Corporation

Press Room

December 26, 2012
Mitsubishi Corporation
Mitsubishi UFJ Lease & Finance Company Limited

Commencement of Leasing Company for Construction Machinery in China

Mitsubishi Corporation (MC), Mitsubishi Corporation China (CIC) and Mitsubishi UFJ Lease & Finance Company Limited (MUL) are pleased to announce the establishment and commencement of the leasing company, Hongling Financial Leasing Co., Ltd. (Hongling) in Shanghai, China.
 
Hongling was established in March 2012 by MC and CIC, and with MUL’s recent participation in this investment, the shareholders’ investment ratio has now become 85% MC, 10% CIC and 5% MUL. The total amount of investments into Hongling is approximately 1.3 billion JPY. Hongling will be leasing construction machinery, especially high quality power shovels, manufactured by Hitachi Construction Co., Ltd. (Hitachi Construction).
 
In China, due to its economic growth, infrastructures such as housing, water and sewerage, dams and agriculture water, are becoming increasingly essential. Accordingly, there is a high demand for construction machinery, especially in the mid-long term. In many cases, the development of these infrastructures is operated by individuals or small companies, who can save on initial costs by leasing the construction machinery.
 
Under such circumstances, Hongling has set up its Headquarters in Shanghai. Hongling plans to develop its leasing business in China by combining MC’s proven track record in selling Hitachi Construction’s power shovels, CIC’s business know-how in China and MUL’s know-how in the leasing business.
Moving forward from its business in Shanghai, Hongling also aims to expand its business towards inland China, where public work will be done.
 
Having set China as one of its Strategic Regions under Midterm Corporate Strategy 2012, MC is working hard to develop businesses in China that will ultimately grow into pillars for future earnings.
MUL also plans to expand its business base by responding to the various finance needs in China.
 
 
 
<Company profiles>
1. Hongling Financial Leasing Co., Ltd.
(1) Head Office:             Shanxi Province, China
(2) Established:             March, 2012
(3) Capitalization:          100 million Yuan (approximately 1.3 billion JPY)
(4) Business:                 Leasing of Construction Machinery
(5) Employees:              14
(6) Representative:       Norio Sakakibara
 
2. Mitsubishi Corporation China (CIC)
(1) Head Office:            Shanxi Province, China
(2) Established:           1995
(3) Representative:      Masahide Yano
 
3. Mitsubishi UFJ Lease & Finance Company Limited
(1) Head Office:            2-5-1 Marunouchi, Chiyoda-ku, Tokyo, Japan
(2) Established:           April, 1971
(3) Capitalization:        33.1 billion Yen
(4) Business:               Lease, Installment sales, various types of financing, International business
(5) Sales:                      724.6 Billion Yen (Consolidated)
(6) Employees:            2,386 (consolidated, for end of September 2012)
(7) Representative:     Shiraishi Tadashi, President & CEO
 
3. Mitsubishi Corporation
(1) Head Office:            2-3-1 Marunouchi, Chiyoda-ku, Tokyo, Japan
(2) Established:            April, 1950
(3) Capitalization:         204.4 billion Yen
(4) Business:                MC has six Business Groups, which develop operations in the diverse fields of Industrial Finance, Logistics & Development; Energy; Metals; Machinery; Chemicals; and Living Essentials. In addition to these Business Groups, MC has also recently established its Business Service Group and Global Environment & Infrastructure Business Development Group.
(5) Sales:                      20,126.3 billion Yen (consolidated, for year ended March 31, 2012)
(6) Employees:            65,289 (consolidated, for year ended March 31, 2012)
(7) Representative:     Ken Kobayashi, President and CEO

Inquiry Recipient

Mitsubishi Corporation
Telephone:+81-3-3210-2171 / / Facsimile:+81-3-5252-7705