In an effort to strengthen automotive aftermarket and non-automotive businesses, DENSO Corporation will consolidate its eight Japanese sales companies and its group company, DENSO Ace Corporation, which sells residential central climate control systems and other products, into a single company called DENSO Sales Japan Corporation (tentative name) on April 1, 2012.

The eight sales and services organizations to be merged include: DENSO Hokkaido Corporation; DENSO Tohoku Corporation; DENSO Tokyo Corporation; DENSO Chubu Corporation; DENSO Kansai Corporation; DENSO Chugoku Corporation; DENSO Shikoku Corporation; and, DENSO Kyushu Corporation.

“This consolidation will enable us to improve our products and services to customers and expand our automotive aftermarket and non-automotive businesses,” said Koji Kobayashi, executive vice president of DENSO Corporation.

With this consolidation, DENSO will offer nationwide sales and service network to better serve its customers in the automotive aftermarket while maintaining the conventional community-based approach. The company also will strengthen its marketing function to provide new products and services to better meet customer needs.

In the non-automotive business, DENSO will enhance its sales in its potential growth area of house equipment products, which includes CO2 heat pump water heaters and central climate control system.

Additionally, the new company will also focus on manufacturing facility, office equipment products, including industrial robots and air-conditioning systems, and actively target the micro grid business.

The new company will also streamline the administrative operations, as well as inventory and logistics management, which is currently managed separately by each sales company.

The number of employees for the company will be approximately 1,850 and the estimated sales for fiscal 2012 ending March 31, 2013 is 86 billion yen (approximately US$1.1 billion).

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