Notice regarding delay in construction, start of operation of Nagasaki Canon

TOKYO, December 17, 2008-Canon Inc. today announced that they will delay construction and start operation from Nagasaki Canon Inc., a manufacturing base in Sonogi Higashi-gun, Nagasaki Prefecture, was established in July this year.


TOKYO, December 17, 2008-Canon Inc. today announced that they will delay construction and start operation from Nagasaki Canon Inc., a manufacturing base in Sonogi Higashi-gun, Nagasaki Prefecture, was established in July this year.

Since 2000, demand for digital cameras has continued to increase rapidly. As demand is expected to continue growing in the future, Canon recognizes the need to expand production capacity for both digital SLR and compact digital camera.

After establishing the new Canon Nagasaki, has been called the initial plan to start construction in January 2009 and began operations in December 2009, implement production operations in cooperation with the Oita Canon Inc., also located in Kyushu.

However, recently, the growth in demand for digital cameras has declined rapidly compared with the original projection due to global economic decline triggered by the failure of the U.S. securities company, which has provided a revision from the previous production plans. This is a serious decrease in demand is expected to continue for a period of time. These factors cause the company's decision to delay the start of the construction and operation of the new manufacturing site.

With regard to future plans for the construction and operation of Nagasaki Canon, Canon will be watching the development of the market for a while and announced the changes after the schedule time has been determined.

This decision will have no impact on the rent from individuals who have received job offers and is scheduled to hire from January 2009, including new graduates in April 2009. They will undergo training in Oita Canon as originally planned and will be assigned to work in Nagasaki Canon sometimes begin to operate at the new site.