Fujitsu Strengthens its Solutions Business Structure

Tokyo, December 19, 2011

Fujitsu has announced that it will reorganize and integrate its regional systems engineering (SE) companies—the backbone of Fujitsu's solutions and systems integration business—as part of the Fujitsu Group's strategy of going on offense with structural reforms. Starting April 2012, it will create a new regional SE structure with a focus on the regions of eastern Japan, western Japan, and Kyushu.

The new companies for eastern Japan and western Japan, which will form the core of the new structure, are expected to achieve sales in the 100 billion yen range.

As a result of this reorganization and integration, the management resources and expertise that are currently dispersed across various regional SE companies will be consolidated within the Fujitsu Group in a way that leads to more effective use of resources and greater efficiencies in development investments. As the Fujitsu Group strengthens its cloud and other services businesses, and accelerates its globalization, this reorganization will bolster Fujitsu's competitiveness to expand its regional business in Japan, and will create an SE framework that can contribute even further to the development of Fujitsu Group customers.

Background and Objectives of the Reorganization and Consolidation

To quickly respond to changes in the market in recent years, such as globalization and the shift toward cloud computing, the Fujitsu Group positioned going on offense with structural reforms as one of its medium-term growth drivers. In its solutions business, it has implemented a variety of structural reforms, such as transforming its structure for the private-sector medium-sized business market, promoting its industrialized IT infrastructure⁽¹⁾ approach, and improving development efficiencies at its Numazu Software Development Cloud Center, which has implemented a cloud-based software development environment.

As part of these efforts, in its Group SE Division, which supports its Solutions Business, the Fujitsu Group endeavors to develop solutions that can be delivered as services, such as cloud services, and to make the development process more efficient by employing shared technologies. As a further step toward strengthening its overall solutions business, effective April 2012 the Fujitsu Group will reorganize and consolidate its regional SE companies into the new regional SE framework outlined below.

In eastern Japan, the four current companies (Fujitsu System Solutions Limited, Fujitsu Hokkaido Systems Limited, Fujitsu Tohoku Systems Limited and Fujitsu Nagano Systems Engineering Limited) will be consolidated into one new company. Similarly, in western Japan, the six current companies (Fujitsu Kansai Systems Limited, Fujitsu Chubu Systems Limited, Fujitsu Chugoku Systems Limited, Fujitsu Okayama Systems Engineering Limited, Fujitsu Shikoku Systems Limited, and Fujitsu Nishi-Nihon Applications, Ltd) will also be consolidated into a single new company. In conjunction with the creation of this new organizational framework, Fujitsu Kyushu Systems Limited, which was formed in April 2009, will serve all of Kyushu. Together the three new regional companies will support the solutions business of Fujitsu customers nationwide.

Each of these three core regional companies will have under them specialized subsidiaries with specialized expertise for enhanced competitiveness, with the aim of expanding Fujitsu's regional business.

Overview of Companies Being Consolidated

1. East Japan

Overview of Companies Being Consolidated (East Japan)

Company	Headquarters location	Stated capital (All are wholly owned Fujitsu subsidiaries)	Date of incorporation	No. of employees
Fujitsu System Solutions Limited	Bunkyo-ku, Tokyo	1,200,000,000 yen	April 1979	Approx. 2,800
Fujitsu Hokkaido Systems Limited	Sapporo, Hokkaido Prefecture	230,000,000 yen	August 1983	Approx. 500
Fujitsu Tohoku Systems Limited	Sendai, Miyagi Prefecture	300,000,000 yen	November 1982	Approx. 700
Fujitsu Nagano Systems Engineering Limited	Nagano, Nagano Prefecture	200,000,000 yen	February 1984	Approx. 500

2. West Japan

Overview of Companies Being Consolidated (West Japan)

Company	Headquarters location	Stated capital	Date of incorporation	No. of employees
Fujitsu Kansai Systems Limited	Osaka, Osaka Prefecture	400,000,000 yen (Fujitsu wholly owned subsidiary)	June 1981	Approx. 1,100
Fujitsu Chubu Systems Limited	Nagoya, Aichi Prefecture	300,000,000 yen (Fujitsu wholly owned subsidiary)	July 1982	Approx. 1,000
Fujitsu Chugoku Systems Limited	Hiroshima, Hiroshima Prefecture	310,000,000 yen (Fujitsu wholly owned subsidiary)	August 1983	Approx. 600
Fujitsu Okayama Systems Engineering Limited	Okayama, Okayama Prefecture	100,000,000 yen (Fujitsu wholly owned subsidiary)	August 1985	Approx. 200
Fujitsu Shikoku Systems Limited	Takamatsu, Kagawa Prefecture	200,000,000 yen (Fujitsu wholly owned subsidiary)	October 2004	Approx. 700
Fujitsu Nishi-nihon Applications, Ltd.	Osaka, Osaka Prefecture	100,000,000 yen (Fujitsu Kansai Systems Limited wholly owned subsidiary)	April 2002	Approx. 100

The names, representatives, and other details of the new companies will be announced when officially decided.