Matsushita Electric Industrial Co. Ltd. (MEI, Japan) announced that it would reorganize its electrical supplies business, transferring the business to Matsushita Electric Works Ltd. (MEW), effective January 1, 2005. This reorganization is expected to help the groups develop new products and contribute to increasing synergy effects in the areas of the manufacturing, procuring and marketing operations.
Under terms of the agreement, MEI will transfer the corporate electrical supplies sales division and relevant businesses within its urban development systems division along with the business use intercom business within the security systems division of Panasonic System Solutions Co. into MEW. Assets of $15.6 million (¥1.6 billion) and liabilities of $3.4 million (¥350 million) are to be transferred for $16.8 million (¥1.725 billion).
