Mitsubishi Motors Announces Results for First Quarter Fiscal 2006

Tokyo, Japan, Aug. 02, 2006 - (JCN Newswire) - Mitsubishi Motors
Corporation (MMC) today announced its financial results for the first
quarter of the fiscal year ending March 31, 2007.

Mitsubishi Motors reported consolidated net sales of 483.9 billion yen
for the first quarter of fiscal 2006 (April 1 through June 30, 2006), a
very slight decrease of 1.9 billion yen over the same period last year
(485.8 billion yen). The decrease stemmed mainly from a drop in sales
volume in the company's Asia & Other region markets, which was not
completely offset by increases in Japan, North America and Europe.

The company reported an operating loss of 6.8 billion yen, an
improvement of 7.0 billion yen over the same period last year. Factors
contributing to this improvement and helping to offset the lower net
sales reported above include: the weaker yen, reductions in advertising
outlays in the United States, and an improvement in profitability at the
company's U.S. financial services subsidiary.

Mitsubishi Motors also achieved reductions in the size of its ordinary
and net losses: reporting an ordinary loss of 12.2 billion yen, a
year-on-year improvement of 7.8 billion yen, and a net loss of 15.1
billion yen, an improvement of 6.5 billion yen.

Sales volume

Global market sales of Mitsubishi Motors vehicles in the first quarter
of fiscal 2006 totaled 292,000 vehicles, 34,000 fewer than the 326,000
sold in the same period last year.

In Japan, MMC sold 52,000 vehicles, a year-on-year increase of 4,000, as
sales grew year-on-year for the 15th consecutive month (through July
2006) since May 2005. This first quarter increase reflected positive
gains stemming from the new Outlander and i models the company launched
in FY2005, as well as by the release of the Colt RALLIART Version-R, i
Play Edition, and other special edition models in a domestic market
where total demand fell over the period under review.

In North America, Mitsubishi Motors halted the slide in sales volume
selling 42,000 vehicles, an increase of 1,000 over the same period last
year. This reflected sales-boosting measures introduced under the new
management structure at Mitsubishi Motors North America, Inc. and strong
sales of the new Eclipse Spyder that began full sales in April.

In Europe, the company sold 71,000 vehicles, a year-on-year increase of
5,000 driven mainly by a substantial increase in sales volume in Russia
and the Ukraine, major growth markets in the region.

In markets in its Asia & Other region, Mitsubishi Motors sold 127,000
vehicles, 44,000 fewer than in the same period last year. Markets in the
Middle East and Africa posted solid growth but total sales volume for
the region was impacted by slower sales in Taiwan and ASEAN-block
countries where total demand fell due to higher oil prices and other
factors, and by increased consumption tax in China.


FY2006 forecasts

Mitsubishi Motors leaves the first half and full-year forecasts for
fiscal 2006 announced on April 27, 2006 unchanged.


About Mitsubishi Motors Corporation

Mitsubishi Motors Corporation was established in 1970 and is
one of the few automobile companies in the world that produces a full
line of automotive products ranging from 660-cc mini cars and passenger
cars to commercial vehicles and heavy-duty trucks and buses. The company
also operates consumer financing services and provides this to its
customer base.

For further information, please visit the Mitsubishi Motors Corporation
home page at: www.mitsubishi-motors.co.jp
<http://www.mitsubishi-motors.co.jp>