Volume 12, Issue 3 mitsubishigearcenter.com Q4 2012

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MHI Marks Cumulative Shipments of 10,000 Gear MachinesMilestone Achieved 50 Years after First Shipment of Gear Hobbing Machine

Tokyo, November 1, 2012 – Today Mitsubishi Heavy Industries, Ltd. (MHI) will ship an “SE15A” dry-cut gear shaping machine from its Ritto Machinery Works in Shiga Prefecture to Nakamura Gear & Machinery Corporation, a company dedicated to gear production. With this event the company marks a milestone of 10,000 units in cumulative shipments of gear machines since its first shipment of a gear hobbing machine 50 years ago, in 1962. MHI’s gear machines have consistently been highly evaluated in the global market for their superlative machining accuracy and expansive lineup meeting diverse needs from rough cutting to finishing of a wide variety of gears. Going forward MHI will continue to develop this business aggressively, vying for the world’s top spot in gear machine manufacture.

The SE15A belongs to MHI’s “E series” of gear machines introduced in 2004. Like the complementary GE series of dry-cut hobbing machines, FE series of gear shaving machines and ZE series of gear grinding machines, the SE series of dry-cut gear shaping machines is one of the company’s best-selling machines. The SE series is widely acclaimed for its excellent machining performance, user friendliness, and environmental compatibility enabled by innovative dry-cut gear machining system that eliminates the need for cutting oil. The SE15A delivered to Nakamura Gear & Machinery will be employed to produce a variety of gears, including small-size precision gears, for use in automotive and electronic devices and applications in other industries.

MHI entered the gear machine business with the manufacture of gear hobbing machines, a feat achieved through introduction of related technology from West Germany. The company then proceeded to full domestic production of gear shaping machines, gear shaving machines (used for finishing) and gear grinding machines, in tandem with development of optimal cutting tools for those machines.

IN THIS ISSUE:

Year End Tax Savings

JIMTOF Report

Gear Company

Letter from Tom Kelly

Continued on pg. 2

Machine Tool DivisionGear Technology Center46992 Liberty DriveWixom, MI 48393248.669.6136

MHI’s SE15AAcclaimed for performance, user friendliness and environmental compatibility.

Q4 2012 mitsubishigearcenter.com

Avon Gear CompanySucceSS Predicated on delivering a quality Product and Having tHe rigHt equiPment to make it.

Avon Gear is the sought after partner for the design and production of large, complex, precision parts for heavy equipment industries in North America and beyond. As a top manufacturer, Avon Gear knows quality equipment —like that delivered by Mitsubishi Heavy Industries America — is a critical component of their success.

According to President David Share, Avon Gear employs a corporate policy that encourages smart capital investment in the newest, most sophisticated equipment available. With advanced equipment such as MHIA’s gear machines, they can successfully compete in today’s challenging economy and minimize rising material and energy costs. This approach ensures that they remain globally competitive and that all of their customers’ needs are met while they continue to increase capabilities and add value.

FacIlITIES/HISTory: Founded in 1974, Avon Gear started in a 10,000 square foot facility located in Rochester, Michigan / Was acquired by Okubo Gear of Japan, (www.Okubo-Gear.co.jp) in 1996 / Today operates from its 110,000 square foot state-of-the-art facility in Shelby Township, Michigan.

In 1980 MHI developed Japan’s first numerically controlled (NC) hobbing machine, followed by the world’s first dry-cut gear machining system in 1997. In 2009 the company developed the “ZI20A,” an internally toothed ring gear grinding machine incorporating the company’s proprietary barrel-shaped multi-threaded grinding wheel, which enables high-speed machining of internally toothed gears – a task long considered very difficult. In 2011 MHI commercialized innovative new machining technology for the ZI20A, whereby one machine can perform high-speed, high-precision machining of diverse gear types, including internally toothed gears, externally toothed stepped gears and pinion gears with shafts. In these ways MHI has steadily brought production innovation to gear machining shops worldwide.

MHI achieved world-class status in deliveries of gear machines through its dual strengths in gear machines and precision cutting tools – a stance that has enabled the company to provide total solutions in gear manufacturing systems, including servicing. Cumulative shipments reached 5,000 units in 1996, i.e. 34 years after the launch of this business. Reaching the 10,000 unit mark required less than half that time – 16 years – a clear indication

of the company’s steady acceleration in both order receipts and production.

10,000 MHI GEar MacHINES Continued from pg. 1

2012 has been another good year for Mitsubishi Machine Tool Division. In particular, gear manufacturing industries remain very active with suppliers running at near maximum capacity. Our quick delivery and highly efficient machines have helped many keep up with the high demand and fulfil as many orders as possible. We have been delighted to welcome many new customers into our Mitsubishi family.

As the year winds down and the rush of the holidays begin, I would like to take pause to give thanks to our customers, fellow employees and colleagues in Japan; all of whom have contributed equally to our success. And on a more personal note, I’d like to also give thanks to our family and friends that make all our hard work worthwhile. Additionally, I look forward to a new year and remain optimistic that our political leaders will work in cooperation towards a path of economic growth and prosperity that all Americans can get behind.

Whatever holidays you may enjoy, enjoy to the fullest and let’s bring on 2013 with a BOOM!

Tom Kelly Senior Vice President

Year End Greetings

Japan International Machine Tool Fair – 7,000+ VIEw MHI MacHINESFrom November 1st through the 6th, the Japan International Machine Tool Fair (JIMTOF) was held at Tokyo International Exhibition Center. This 26th edition of the fair marked the 50th year since it’s inaugural show in 1962. With over 130,000 visitors—including approximately 8,300 from overseas—this years show saw an attendance increase of 12.3% over the 2010 edition.

Mitsubishi Heavy Industries featured the ZE40A gear grinder with two ultra-precision machining centers (V1 and LH250) and presented a 3D virtual reality demonstration of the MAF-C series boring machine and gear cutting tool. The ZE40A is a flexible CNC gear grinder that can generate a wide range of profiles and includes many useful functions such as automatic meshing, on-machine gauging (Op) and bias correction. Demonstrations were held every hour and attracted a great deal of interest.

Additionally, the Helical broaches from Federal Broach were on display and attracted many inquisitive visitors.

To the more than 7,000 people who visited the Mitsubishi Booth, let us express our appreciation for your support. We look forward to partnering with you in the future.

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Avon Gear CompanySucceSS Predicated on delivering a quality Product and Having tHe rigHt equiPment to make it.

JIMTOF Report

MarkETS SErVEd: • Construction & Mining

• Heavy Truck

• Agricultural

• Oil & Gas

capabIlITIES: • High Precision Gears

• Splines

• Axle Shafts

• Large Diameter CNC Machining

• Housings

• Sub Assemblies

• Engineering

• Strategic Partnerships

10,000 MHI GEar MacHINES Continued from pg. 1

Of the 10,000 units shipped to date, the Japanese domestic market accounts for the largest share of deliveries: approximately 6,600 units. This is followed by the U.S. market (approx. 1,200), India and Southeast Asia (1,000), China (550), Korea and Taiwan (500), and Europe (150). The vast majority of these machines are used for machining of gears for the automobile, construction machinery and industrial machinery industries.

Using the achievement of its 10,000th shipment as a springboard, MHI will now continue its quest to secure the No. 1 position in the global market for gear machines. In addition to responding to increasingly demanding requirements for less gear noise and smaller and lighter gear structures, the company looks to develop new machining methods and new machines engineered for increased harmony with the natural and work environments, in a quest to lead the gear machining industry in new innovations. It will also accelerate expansion of its global network, optimally leveraging its production bases in Japan, China, India and the U.S. and its sales and service bases worldwide. Every effort will be applied to consolidating the company’s position as a top runner in the global market in all aspects of gear machining equipment.

Avon Gear Company11968 investment drive Shelby township, mi 483315 Phone: 586-884-2200Fax: 586-884-2237www.avon-gear.com

SAVE ON : SE25ST40GE20GE15GD30CNC

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IN THIS ISSUE:

Machine Tool DivisionGear Technology Center46992 Liberty DriveWixom, MI 48393

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Take Advantage of the Year End Tax Benefits with a New Specially Priced Mitsubishi Gear Machine.

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For specifications & availability call 248-669-6136

Write-Off Up to 68%* The Countdown is On!

*See www.section179.org for tax benefit details. Consult your financial and tax advisors to discuss full implications of tax benefits regarding any purchase of capital equipment.