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| August 25, 2004 No.1011 | ||
| MHI to Acquire Stake In Linen-Laundering Joint Venture in China - Order Set for Continuous Washing Installation - |
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Beijing New Yansha Holding (Group) Co., Ltd., a state-owned Chinese enterprise and the largest stakeholder in the JV (31.4%), has been preparing to establish a comprehensive laundry company based on instruction from the Beijing municipal government. The city government is currently pursuing measures to solve the capital's chronic water shortage, and simultaneously to improve environmental and hygiene conditions in the runup to the Olympic Games in 2008. The Beijing Tourism Group Pride Laundry Co., Ltd., the new company to be capitalized at approximately 39 million Chinese yuan, will be China's first full-scale, comprehensive laundry enterprise. It is being expansively reorganized from Beijing Tourism Group (BTG) Hotel's Laundry Co., Ltd., an existing linen-laundering service company. The new company will be substantively operated by Beijing New Yansha Holding and BTG Hotels & Resorts, the parent company of BTG Hotel's Laundry. The venture will commence full-scale operations from this autumn, and is targeting 42 million Chinese yuan in sales after three years. Besides MHI, also participating from Japan will be Kanto Cleaning Kyodo Kumiai, the largest regional laundry cooperative association in Japan. A full list of the participants, together with their investment sums and equity shares, is as follows:
The washing machineries to be delivered to the JV are the most advanced systems available today, capable of processing 20 tons of linen per day. They are also the best-selling machineries in Japan, since coming on the market in 2002. The core machinery, continuous washing unit, is equipped with multiple tubs of double-layered structure. For each tub, the washing process - for example, washing time, water temperature and amount of detergent - can be selected and controlled separately according to the load type. Continuous washing offers significant advantages over batch-processing of large-size wash loads and spin-drying: among them are a 55% saving in water usage, one-fifth the normal manual labor requirement, and improved hygiene because of the capability to install a sterilization heating tub. These features, in combination with easy maintenance and outstanding operating ease, match the overriding aims of the JV project. # # #
About Mitsubishi Heavy Industries Mitsubishi Heavy Industries, Ltd. (MHI), headquartered in Tokyo, Japan, is one of the world's leading global heavy machinery manufacturers, with consolidated sales of 2,593 billion yen (US$21.6 billion) in fiscal 2002 (year ended March 31, 2003). MHI's diverse lineup of products and services encompasses shipbuilding, steel structures, power plants, chemical plants, steel plants, environmental equipment, industrial and general machinery, aircraft, space rocketry and air-conditioning systems. For more information, please visit the MHI website (http://www.mhi.co.jp). PRESS CONTACT: Hideo Ikuno: h.ikuno@daiya-pr.co.jp Tel: +813-6716-5277, Fax: +813-6716-5929 Daiya PR (in charge of public relations for Mitsubishi Heavy Industries, Ltd.) |

