Hitachi Ltd.(TSE:6501) and Unisia JECS Corporation (TSE:7275) today announced that 
they have agreed to strengthen their joint development structure for developing cutting-
edge driveway control technologies for ITS (Intelligent Transport Systems).

In accordance with this agreement, shares in Unisia JECS will be transferred to Hitachi 
from Nissan and other major shareholders, giving Hitachi the second-largest equity 
position in Unisia JECS (provisionally 16.7%).

The two companies have been jointly working on developing powertrain control systems 
since 1994.  In anticipation of the actual operation of ITS, which includes automated 
driving, in the 21st century, based on their shared understanding that it is essential to 
develop integrated vehicle control systems which combine powertrain, braking and 
steering control systems, in December last year they started joint feasibility studies 
relating to the development of cutting-edge driveway control technologies.

With the feasibility studies having confirmed that the cooperation by the companies 
would enable the development of products that are globally competitive, Hitachi's capital 
participation in Unisia JECS will facilitate the smooth, and efficient implementation of the 
joint development.  

Hitachi will also have its executives sit on the Unisia JECS board.  The three companies 
will proceed with the following joint development work.


Powertrain-related Area
-Next-generation fuel injection system
-HEV (Hybrid-electric vehicles)
-EV (Electric vehicles), etc.

Brake-related Area
-Electrically controlled brake-by-wire system 

Steering-related Area
-Directly-operated electrically controlled power steering system

Integrated Vehicle Control System
-Integrated overall vehicle control system combining the three functions of powertrain, 
braking and steering

Hitachi, Ltd., headquartered in Tokyo, Japan, is one of the world's leading global 
electronics companies, with fiscal 1997 (ended March 31, 1998) consolidated sales of 
8,417 billion yen ($63.8 billion*).  The company manufactures and markets a wide range 
of products, including computers, semiconductors, consumer products and power and 
industrial equipment.  For more information on Hitachi, Ltd., please visit Hitachi's Web 
site at http://www.hitachi.co.jp.
* At an exchange rate of 132 yen to the dollar.


UNISIA JECS CORPORATION, headquartered in Kanagawa, Japan, is a leading 
integrated automotive system manufacturing company, with fiscal 1997 (ended March 31, 
1998) consolidated sales of 220 billion yen ($1.7 billion*).  UNISIA JECS supplies a 
wide and varied range of component parts and complete vehicle systems for engines, 
drive trains, suspensions, steerings and brakes.  For more information on UNISIA JECS 
CORPORATION, please visit UNISIA JECS's Web site at http://www.sinfony.ad.jp/UJ/
* At an exchange rate of 132.10 yen to the U.S.dollar.