Business Services Industry

OMRON Finalizes Acquisition of Semiconductor Business Assets from Seiko Epson Subsidiary

JCN Newswires, March 30, 2007

Tokyo, Japan, Mar 30, 2007 - (JCN Newswire) - OMRON Corporation (TSE: 6645; ADR: OMRNY; 'OMRON'), a global leader in automation, sensing and control technology, announced that the preliminary agreement* that it previously reached to acquire the semiconductor business assets of Seiko Epson's consolidated subsidiary, Yasu Semiconductor Corporation, has been finalized and the acquisition was completed on March 30, 2007. These business assets have been vested in OMRON's wholly owned subsidiary, OMRON SEMICONDUCTORS Co., Ltd. ('OSC'), which will begin operations on April 2, 2007.

Employing an 8-inch CMOS production line, OSC will begin by manufacturing nonvolatile memory and logic ICs on a commission basis, and will subsequently expand its production to include original semiconductor elements and other products. OSC's sales target for fiscal 2007 is 3 billion yen, and sales are expected to exceed 5 billion yen by fiscal 2010.

OMRON develops, manufactures, and markets custom ICs that offer functionality and cost-performance not found in general-purpose semiconductors, as well as MEMS (Micro Electro Mechanical Systems) products such as flow sensors and pressure sensors that utilize semiconductor processes in their manufacture. OSC will make it possible to further expand these semiconductor operations, while strengthening the OMRON Group's line of semiconductor-equipped products.

*The preliminary agreement was announced on October 25, 2006.

Assets Acquired

The assets consist of the semiconductor factory owned by Yasu Semiconductor Corporation in Yasu, Shiga, Japan.

Site area:      Approx. 42,000 m2
Floor area:     Approx. 40,000 m2
Facilities:     Semiconductor manufacturing equipment (8-inch CMOS line),
                and Yasu Semiconductor Corporation intellectual properties
                related to equipment operation

Outline of OSC

Name:           OMRON SEMICONDUCTORS Co., Ltd.
Business lines: Development, manufacture, and marketing of semiconductor
                products Representative: Kazuma Wada, President (formerly
                General Manager of Group Service Innovation Department,
                Business Process Innovation H.Q., OMRON Corporation)
Capital:        1.5 billion yen (wholly owned subsidiary of OMRON Corporation)
Established:    December 4, 2006
Location:       686-1 Ichimiyake, Yasu, Shiga, Japan
Employees:      130 (as of March 30, 2007)
Site area:      Approx. 42,000 m2
Floor area:     Approx. 40,000 m2

About OMRON Corporation

Headquartered in Kyoto, Japan, OMRON Corporation is a global leader in the field of automation. Established in 1933 and headed by President and CEO Hisao Sakuta, OMRON has more than 30,000 employees in over 35 countries working to provide products and services to customers in a variety of fields including industrial automation, electronic components, social systems (ticket gate machines, ticket vending machines, and traffic control), and healthcare. The company is divided into five regions and head offices are in Japan (Kyoto), Asia Pacific (Singapore), China (Shanghai), Europe (Amsterdam) and US (Chicago). For more information, visit OMRON's website at www.omron.com

Source: OMRON Corporation

Contact:

For press related enquiries,
please contact James Seddon
(james_seddon@omron.co.jp)
at Omron Corporate Brand Communications Department
on :  81 3 3436 7202