Japanese Tire Maker Selects Georgia for Company's First Consumer Tire Production Plant in the United States

ATLANTA, June 4 -- Toyo Tire & Rubber Co., Ltd. has selected Bartow County, Georgia as the site for its first consumer tire manufacturing plant in the United States, company officials announced today during a joint press conference held in the State Capitol building with Georgia Governor Sonny Perdue, county and local officials, and business leaders. Toyo initially will employ approximately 350 workers at the Bartow plant, and expects to increase employment based on future demand in the North American market.

Upon completion, the facility's leading-edge technology will make it among the most advanced in the world. The plant, which will be located on a 150-acre tract of land near Cartersville, GA, will initially produce approximately two million passenger car and light truck tires annually. Construction is planned to begin this October, with the first U.S.-manufactured Toyo passenger vehicle and light truck tires expected to roll off of the manufacturing line in 2006.

"We are extremely pleased to be able to serve our North American customers from our new manufacturing base in Bartow County, Georgia," said Yoshio Kataoka, president and CEO of Toyo. "We looked at several sites in the Southeastern U.S., but Bartow presented the best solution for us. We are grateful to Governor Perdue; Georgia Department of Industry, Trade and Tourism Commissioner Glenn Cornell and Deputy Commissioner Charles Gatlin; Bartow County Commissioner Clarence Brown; Cartersville Mayor Mike Fields; the Cartersville-Bartow Joint Development Authority Chairman James Jarrett and so many others from the community who worked with us during our site selection process leading up to this decision."

Governor Sonny Perdue said he was delighted that Toyo had selected Georgia. "We are honored and delighted that Toyo Tires has chosen Bartow County as the site of their first consumer tire production plant in the United States," said Governor Perdue. "Every company that does business in Georgia is a customer of our state, and we want to do all that we can to help their business grow and succeed."

Mr. Kataoka also announced that Toyo is creating a new subsidiary, Toyo Tire North America (TNA), to own and operate the plant. Mr. Shozo Kibata, currently Corporate Officer of Toyo Tire & Rubber Co. Ltd. and President of Toyo Tire (USA), has been named as president of TNA, which will be headquartered in White, GA. "We look forward to becoming an active and supportive partner in the local community," said Mr. Kibata.

Governor Perdue praised the efforts of the GDITT in promoting Georgia to Toyo officials throughout the review and selection process. The Governor also praised the state's Quick Start program, which will work with Toyo officials to design and conduct training in those fields related to computer operation and troubleshooting of advanced manufacturing systems.

In response to robust overseas demand, mainly in North America, Toyo Tire & Rubber has been increasing production capacity at its existing plants in Japan. However, these plants have little capacity for further expansion. In addition to providing needed capacity, local production is expected to help hedge against currency fluctuation risk.

Toyo will initially invest 150 million dollars in the facility, which will consist of manufacturing and warehousing operations. Company officials stressed that the plant will meet or exceed all EPA and state environmental regulations. The manufacturing plant will occupy less space than a conventional tire plant, due to the advanced technology that Toyo will utilize to produce several product lines under the Toyo and Nitto brands. This technology allows Toyo to produce large rim diameter high performance tires for passenger and light truck applications.

The TOYO brand has been ranked No. 1 for Product Quality for seven consecutive years, and ranked No. 1 overall in the Consumer Tires Major Brands category for three consecutive years in surveys conducted by TIRE REVIEW, a leading North American trade magazine.

Established in 1945, Toyo Tire & Rubber Co., Ltd. includes divisions related to tires, chemical and industrial products, and automotive parts. Company sales for the fiscal year ending 3/31/04 were $2.4 billion. For more information, please visit http://www.toyojapan.com/