dissolution of a subsidiary

Maruwa Co Ld
09 May 2008


                                                                      9 May 2008

     MARUWA CO., LTD.

     3-83 Minamihonjigahara-cho, Owariasahi-city, Aichi-pref. 488-0044 JAPAN

                                                (Translation)

                                Notice regarding dissolution of a subsidiary

     MARUWA CO., LTD. ('MARUWA') determined to dissolve a subsidiary, Maruwa Electronics (Philippines),
     Inc. (hereinafter 'Maruwa Philippines').  Details are as follows;

     1. Reason of dissolution

     Maruwa Philippines, one of our subsidiaries to produce electronic components and to sell them to
     us, will be dissolved as products manufactured at Maruwa Philippines are transferred to our
     manufacturing subsidiaries in Malaysia and India.

     2. Details of Maruwa Philippines

     Address              Main Avenue Corner 3rd St., Cavite Economic Zone, Rosario, Cavite 4106
                          Philippines

     Representative       Sei Kanbe, Representative director

     Business             Manufacturing of electronic components

     Foundation           1 July 2006

     Paid-in capital      5 million peso

     Total net assets     -166 million yen

     Total assets         44 million yen

     End of fiscal year   31 March

     Shareholders         MARUWA CO., LTD. (100%)

     3. Operating results
                                           Millions of yen
                            Fiscal 2007      Fiscal 2008
                           ended 31 March  ended 31 March
                                2007            2008
Net sales                              297             413
Operating loss                        (14)            (51)
Net loss                              (19)           (159)

4. Amount of loss due to dissolution
98 million yen

5. Schedule of dissolution

     7 January 2008     Resolution by the board of directors at MARUWA and Maruwa Philippines
     15 May 2008        Dissolution
     March 2009         Completion of liquidation

     6. Effects on operating results of MARUWA

     A loss on dissolution was posted in the final results for full fiscal year 2008 ended in 31 March
     2008; consolidated: 96 million yen, non-consolidated: 195 million yen.

     As for fiscal year 2009 ending 31 March 2009, impact on operating results is expected to be
     insignificant.

     * The forecasts stated above are based on currently available information as of the date of
       announcement.

     Actual results may differ from these forecasts due to various factors.

                                           END


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