Operations Integration

Toyota Motor Corporation
31 July 2000



                                                Toyota Motor Corporation
                                             Toyoda Automatic Loom Works

                    Toyota Group to Integrate L&F Operations
               -Move Aimed at Quicker Decision-making and Flexibility-

Tokyo-TOYOTA MOTOR CORPORATION (TMC) and TOYODA AUTOMATIC LOOM WORKS, LTD. (TAL)
agreed today to strengthen through integration their logistics and forklift
(L&F*) operations, setting their sights on securing a firm spot as the world's
top comprehensive manufacturer of distribution equipment and related systems.

Since entering the forklift market in 1956, TMC has focused on sales and
marketing, while TAL has specialized in development and production. To further
sharpen and consolidate their L&F business as a core component of the Toyota
Group, both companies recognized the need from a global perspective to create an
environment that would allow for faster decision-making and more flexible
management.

As such, and with the goal of becoming the undisputed world leader in this
field, TMC and TAL mutually agreed to amalgamate their L&F operations. Although
the details of this agreement are still being worked out, it has been decided
that TMC's L&F Group will become part of TAL and that all products covered by
the agreement will continue to use the Toyota brand name. The integration is to
tentatively take place in April 2001.

Other key points of the agreement are as follows:
1) Assets to be transferred from TMC to TAL

Although transferred assets are to be decided by discussion involving both
sides, they will basically consist of assets related to TMC's L&F sales
operations, such as:

a) goodwill and trademark licenses
b) part, or all, of the shares of, or equity investments in, domestic and
overseas sales subsidiaries and overseas manufacturing companies, etc.
c) fixed and other assets, such as sales-related real estate and facilities

2) Value of assets to be transferred
   (To be decided through discussion involving both sides)

*'L&F' comes from the words 'logistics and forklifts' and refers to materials
handling systems and industrial vehicles and equipment.


Contact:  TMC, Public Affairs at [phone]-9178
          TAL, Public Affairs at (0566) 27-5157