Bosch Corporation Business report FY2008
Company Becomes Wholly Owned Subsidiary of Robert Bosch-In Apr. 2008, Robert Bosch GmbH ("Robert Bosch") announced it will launch a tender offer to acquire all of the outstanding shares of its Japanese subsidiary Bosch Corporation. The tender offer price is 600 yen per share (approx. 3.65 Euros per share). Robert Bosch currently owns 59.7% of the outstanding shares of Bosch Corporation. Achieving its goal of full ownership of Bosch Corporation will provide Robert Bosch with increased flexibility to maximize its future success in the Japanese market. (From a press release on Apr. 23, 2008)
-In July 2008, in response to completing the tender offer, Robert Bosch conducted the procedures to make the Company its wholly-owned subsidiary. All the necessary formalities were completed in the middle of October 2008, with the Company's stock being delisted.
-In Nov. 2008, Bosch Group of Germany will strengthen its transmission business for commercial vehicles. The Company will launch production of automated manual transmissions (AMTs) for light-duty trucks in Japan starting 2010 in addition to those for mid-to-heavy-duty trucks, for supply to Japanese commercial car assemblers. To cope with Japanese truck manufacturers' growing demand for AMTs for light-duty trucks, which have been produced at the plant in Germany, Bosch will begin producing AMTs in Japan as well. Bosch expects this will increase sales of its commercial vehicle transmission business, currently at the level of 6 billion yen a year. (From an article in the Nikkan Jidosha Shimbun on Nov. 19, 2008)
Contracts-In Dec. 2008, Bosch will start supplying direct fuel injection systems for turbocharged gasoline engine vehicles made by Japanese automakers. These vehicles will be sold outside Japan starting in 2009. Gasoline engine vehicles with turbocharged direct injection systems offer high power, low fuel consumption, and increased cost efficiency compared with diesel engine vehicles. Sales of these cars are rising especially in Europe. The Bosch Group of Germany, which was quick to develop and market such advanced systems, was successful in winning business with Japanese companies and aims to absorb new needs from them. Although, Bosch's fuel injection system has a high presence in the diesel engine market, sales of the product for use in gasoline engine vehicles are not so large. The company will accelerate its efforts to expand sales for use in gasoline vehicles, especially those with turbocharged direct injection systems that are drawing greater interests as clean engine vehicles for the next generation. (From an article in the Nikkan Jidosha Shimbun on Dec. 25, 2008)
R&D Structure-In July 2008, Bosch Corporation, Japan, will reinforce its development capabilities for ESC (Electronic Stability Control) and ABS (Anti-lock Braking System), both electronic-controlled brake systems. To reinforce its staff and development facilities, the Company will invest approx. 60 million Euro (approx. 10 billion yen) in doubling the size of its test course at the Technical Center Memanbetsu, Hokkaido and extending the Yokohama Office, its engineering base. With the worldwide legislative developments requiring mandatory installation of ESC and increasing ABS installation in emerging countries in Asia, new demand for ESC and ABS is expected to rise. The Company, therefore, plans to prepare its development capabilities in an aim to win orders for ESC/ABS units of new models to be launched by Japanese automakers in the midterm period. (From an article in the Nikkan Jidosha Shimbun on July 8, 2008)
-In Dec. 2008, Bosch Corporation, Japan, will reinforce its development staff in order to respond to automakers' cost reduction efforts. Although development tasks of new vehicle parts are expected to decrease because of projects being postponed, design change requests to reduce costs of existing parts are expected to increase. The Company, therefore, will expand its development staff to 1,500 by employing 100 new graduates in the spring of 2009 as originally planned. In some areas of development, further personnel increase will be considered. (From an article in the Nikkan Jidosha Shimbun on Dec. 2, 2008)