JVC 2009 Annual Report Download - page 13

11JVC KENWOOD Holdings, Inc.
In the Car Electronics business, the largest business segment in which both JVC and
Kenwood participate and the segment expected to be most affected by the management
integration, the JVC Kenwood Group on June 24, 2009 renamed J&K Technologies
Corp., a joint venture of both companies that had been engaged in technological
development, design, procurement and production, to J&K Car Electronics Corporation
(“J&K Car Electronics”). The Group also integrated the product planning and marketing
functions of both companies into J&K Car Electronics to turn the company into a
virtually independent company. Furthermore, the Group sweepingly realigned the
organization of J&K Car Electronics, and promoted thorough personnel exchange
between both companies, aiming to further fuse the organizations and strengthen
their business structures. These measures will allow the two companies’ management
teams to cooperate and evolve into a completely integrated business unit that can
maximize the integration effects as soon as possible through a merger of the development,
production, product planning and sales functions, including integration of platforms for
car audio and car navigation systems. The newly integrated management team also
promotes sales activities by optimally leveraging the strengths of both companies’
brand products.
Based on the above measures, the Group is further enhancing its market competi-
tiveness in car audio products in the consumer sector by improving them through the
use of cost synergy effects and common platforms, as well as by offering an expanded
product lineup, centering on AV-integrated car navigation systems through collaboration
with Garmin Ltd., a PND* market leader, in pursuit of the top global position. In the OEM
sector, we are completing structural reforms, commercializing a new car navigation
system using an engine jointly developed based on the Group’s management resources,
and developing devices for car-mounted equipment such as CD/DVD mechanisms.
*PND stands for “portable/personal navigation device.”
Car Electronics Business FYE’09/9 (Millions of yen)
Net sales ¥92,237
Operating loss -¥4,180
Major Products
n Car Audio
n Car AV system
n Car Navigation System
n CD and DVD mechanism for
car-mounted equipment
Brand
AV-integrated navigation systems for the
overseas consumer markets through the
collaboration with Garmin Ltd
Unit Navigation System for Honda Insight,
Fit, Life, Zest and Partner
CD/USB receiver for the consumer market
supporting MP3, WMA and AAC and having high
compatibility with iPhone and iPod
DVD/CD/USB Receiver with Ultra-Wide Monitor
Full-Speed USB2.0 port for iPod and iPhone for
overseas consumer market
DVD mechanism which can boast of being the thinnest
and lightest in the OEM Business
Navigation DVD/CD/USB Receiver
Full-Speed USB2.0 for iPod and iPhone
for overseas consumer market