NEC 2009 Annual Report Download - page 6

Download and view the complete annual report

Please find page 6 of the 2009 NEC annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 130

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130

MESSAGE FROM THE PRESIDENT
Kaoru Yano President, NEC Corporation
FISCAL 2009 PERFORMANCE AND
MAIN ACCOMPLISHMENTS
INNOVATING NEC — ( I ) BUSINESS RESTRUCTURING
— ( II ) EARNINGS STRUCTURE REFORMS
A NEW FRAMEWORK TO SUPPORT
STRUCTURAL REFORMS
1.
2.
3.
In fiscal 2009, the year ended March 31, 2009, the
global economy continued to expand at a gradual
pace in the first half. In the second half, however, the
financial crisis in the United States and Europe had a
serious impact on real economies worldwide, result-
ing in a severe global economic recession. In Japan,
business investment declined due to an increasingly
uncertain economic outlook and worsening corpo-
rate earnings reflecting a sharp drop in exports.
Consumer spending also weakened significantly
mainly due to deteriorating employment conditions
and falling share prices. Overall, the Japanese econ-
omy experienced a significant downturn.
In this business environment, NEC’s earnings
power diminished across all segments. The Electron
Devices business recorded a particularly large loss
due to the unavoidable impact of sharp changes in
market conditions. Due to the fact that the profit-
ability also worsened in the Personal Solutions
FISCAL 2009 PERFORMANCE AND
MAIN ACCOMPLISHMENTS
1.
business, we must further reduce the break-even
point in this business going forward.
NEC suffered a major setback in terms of its
financial performance in fiscal 2009. However, we
made progress on many other different fronts. In
April 2008, we formulated the NEC Group Vision
2017, which articulates our aspirations and how we
intend to contribute to society as the NEC Group,
towards “an information society friendly to humans
and the earth.” We promoted a number of Company-
wide initiatives aimed at making NEC a leading
global company through innovation.
The energy-saving server ECO CENTER that we
launched in May 2008 garnered many environmental
accolades, including the METI Minister Award of
Green IT Award 2008 and the Environment Minister’s
Prize at the Eco-Products Awards. Orders from all
sectors for ECO CENTER, including customers such
as Kyoto University, have steadily increased.
MANAGEMENT PERSPECTIVES ON BUSINESS STRATEGIES
04 NEC CORPORATION
Annual Report 2009