Mitsubishi Motors Opens 2003 as Consolidated North American Company

CYPRESS, Calif., Jan. 2, 2003; Mitsubishi Motors turned on the ignition for the first time today as a consolidated North American growth engine -- Mitsubishi Motors North America, Inc. (MMNA).

As a new company, MMNA will be responsible for all sales, manufacturing, finance and research and development operations for Mitsubishi Motors Corporation (MMC) in the United States, Canada, the Caribbean and Mexico. MMNA will be led by a North American management team whose overhaul of U.S. operations since 1998 has led the Japanese automaker to soaring brand awareness and three consecutive years of record sales while expecting to post a fourth record year when total 2002 sales are announced tomorrow.

"MMNA combines our creative strengths, manufacturing excellence and marketing expertise into one company whose primary mission is to design, build and deliver great products for North American consumers," said Pierre Gagnon, chairman and chief executive officer of MMNA. "We're building on momentum that will allow us to grow in North America and continue to fuel MMC's global turnaround.

"We expect 2003 will be the best year yet for Mitsubishi Motors in North America," Gagnon said. "Our product line is stronger than ever and continues growing into all-new segments. Our youthful consumers are the envy of the industry, we're moving into a new market, Mexico, and we have a new streamlined organization overseeing all aspects of Mitsubishi Motors business in North America."

To help meet the company's aggressive growth plans, MMNA is preparing for an unprecedented wave of new product launches in North America, introducing four new products over the next 12 months, followed by two additional new products in the following two years.

Three of those six new vehicles will compete in North American segments Mitsubishi has never competed in before.

On Jan. 3, at the Los Angeles International Auto Show, the company will unveil the eagerly anticipated Mitsubishi Lancer Evolution. On Jan. 6, in Detroit at the 2003 North American International Auto Show, Mitsubishi Motors will reveal Endeavor, its new, midsize sport utility vehicle. Endeavor represents the first new product coming to market under Mitsubishi's $1.3 billion Project America initiative to design and build vehicles in North America, specifically for North American consumers.

The Lancer family of popular compact sedans will also expand in 2003 with a sporty hatchback version called Lancer Sportback.

With the company's consolidation, Gagnon is responsible for leading all Mitsubishi Motors operations in the United States, Canada, Puerto Rico and Mexico, where Mitsubishi Motors began selling cars Jan. 1. Gagnon is the first ever North American to lead Mitsubishi Motors in North America since the company was established in the United States in 1981.

Gagnon previously held the titles of president and chief executive officer of Mitsubishi Motors of America, Inc. (MMA), and president and chief operating officer of Mitsubishi Motor Sales of America, Inc. (MMSA), the sales and marketing organization for Mitsubishi-brand vehicles in the United States. Under Gagnon's leadership, MMSA has successfully established a strong and popular brand identity that connects well with a growing population of young consumers.

Rich Gilligan assumes the title of president and chief operating officer, Manufacturing Division, MMNA. Previously serving as president and chief operating officer of Mitsubishi Motor Manufacturing of America, Inc. (MMMA), Gilligan retains responsibility for Mitsubishi's North American manufacturing operation, and has assumed an expanded role for quality and procurement throughout North America.

Under Gilligan's leadership, Mitsubishi Motors' assembly plant in Normal, Ill., broke into the Top Three in assembly productivity among North American automobile manufacturers, delivered improved quality and secured the 2002 Harbour Report North America "most improved" ranking for the third consecutive year.

Greg O'Neill assumes the title of president and chief operating officer, Sales Division, MMNA. O'Neill is responsible for all sales and marketing functions within the new organization. O'Neill previously served as president and chief operating officer of MMSA and played a critical role in driving the company's brand strategy, implementing new technologies at the corporate level and expanding Mitsubishi's U.S. dealer network.

The movement toward creating the new company began in June 2000 with consolidation of support functions between MMSA and MMMA and evolved further with Mitsubishi Motors Corporation's announcement in July 2002 that the company would create one, single unified organization in North America in early 2003.

Gagnon expects MMNA to carry its North American momentum south into Mexico. Through its alliance with DaimlerChrysler, Mitsubishi Motors will market a full line of products via a network of established Chrysler dealerships, which will provide all sales personnel with Mitsubishi-specific product and customer service training. Mitsubishi Motors' entry into Mexico follows the company's recent expansion into Canada where the company first started selling vehicles in September 2002.

"By integrating our operations and streamlining our business planning processes, we increase Mitsubishi Motors' competitive advantage in North America and help channel efforts that will enhance product development and delivery," Gagnon said.