Akebono Takes Lead in Aftermarket Ceramic Friction Segment

LAS VEGAS, Nov. 4, 2003 -- Akebono Corporation, North America's leading supplier of advanced brake technology, today announced a comprehensive three-pronged aftermarket strategy for 2004, to secure new market share in the fast growing ceramic friction segment.

Akebono expects its ongoing efforts to rapidly expand coverage of its ProACT(TM) ceramic disc pad line this year will help the brand secure increased market share in the ultra-premium pad market. More than 40 ProACT part numbers covering 100 vehicle applications were added this past summer alone.

The 2003 ProACT Application Catalog features a total of 230 brake pad and 420 caliper parts numbers, covering virtually all popular late model domestic, Japanese and European vehicles. ProACT ceramic pads feature the aftermarket's only OE-validated, application-specific friction formulations.

To ensure ProACT products continue to provide strong margins and acceptable returns for its customers, Akebono also announced it will be instituting planned price adjustments on select vehicle applications next year.

In addition, Akebono is expanding, renaming and repositioning its ISD Premium line. Now known as Akebono Premium, it will include both domestic and import pads, and is expected to help the company increase market share in the premium pad category. This line will feature new packaging for an expanded customer base beyond import specialists.

"As vehicles continue to move upscale in amenities and pricing, people are becoming even more demanding in regard to brake performance over the life of their automobiles," said Randy Mordue, director of Akebono aftermarket operations. "We have developed a comprehensive program in both the ultra- premium and premium pad product categories to accommodate the needs of our ever-increasing customer base."

A recent independent survey of brake installers indicated more technicians and countermen around North America are recognizing the unmatched ability of ProACT to eliminate brake noise and reduce customer comebacks.

* 95% of the survey respondents said ProACT brake pads met or exceeded customer expectations.

* ProACT pads rated superior versus key competitors. 85% of the respondents ranked them better at improving NVH performance. 70% thought ProACT pads performed better at reducing vibration, while 74% thought ProACT pads last longer than others.

* ProACT pads were most often recognized by service managers for their durability and success at virtually eliminating customer comebacks by reducing brake noise.

Bolstered by the early success of ProACT, the company expects the Akebono Premium line of ceramic brake pads to make a similar impact on the market. Compared to traditional pads, the Akebono Premium ceramic brand features improved durability; superior noise, fade and recovery performance; less rotor wear; and reduced wheel dusting -- all contributing to restored driver comfort and confidence.

A total of 112 Akebono Premium part numbers covering domestic, Japanese and European vehicle applications will be available in spring 2004.

"Our premium line is value-priced for motorists who want a price competitive ceramic solution without compromising Akebono quality," Mordue said. "We will be accelerating coverage in this segment of the market during the next year, much like we have our flagship brand."

Motorists who want to maintain OE brake performance or upgrade to the best available Akebono brake pad should still choose ProACT.

Akebono Corporation North America (ACNA) is a world leader in advanced brake and friction material development and production, with a focus on noise, vibration and harshness (NVH) analysis and control. ACNA is a subsidiary of Akebono Brake Industry Co., Ltd. (Tokyo) which operates technical/R&D centers in Japan, the United States and France, with 30 wholly owned or affiliated manufacturing facilities worldwide.

Akebono launched U.S. brake sales and production operations in 1980. Worldwide, Akebono employs a total of 6,800 people; 1,900 in North America. In 2002, Akebono's worldwide sales totaled $1.34 billion. Sales in Japan totaled $750 million; North American sales totaled $586 million, including $314 million through unconsolidated joint ventures; and European sales totaled $16 million. For more information visit www.akebonobrakes.com