OREANDA-NEWS. October 5, 2011. NEC Corporation (NEC; TSE: 6701) announced today that production of its ultra compact microwave communications system, PASOLINK, will begin in India in addition to existing production at NEC Network Products, Ltd. in Japan. This decision is part of NEC's measures to strengthen global competitiveness.

Until now, NEC Network Products, Ltd. has been the exclusive manufacturer of PASOLINK, where cost reduction is managed through innovation of production and the impact of exchange rate fluctuations is minimized by expanding the procurement of materials in foreign currencies.

NEC's efforts to expand PASOLINK internationally include increasing its competitiveness against global vendors in the face of a rapidly strengthening yen and taking proactive measures to gain presence in expanding markets such as India. Under these conditions, NEC Network Products, as a central production facility, is expanding the production of PASOLINK into India, one of the world's leading markets, by capitalizing on its accomplishments and know-how in product quality management and material procurement.

NEC is establishing a new PASOLINK production unit in the Special Economic Zone of Chennai, India as a part of NEC India Pvt. Ltd., and is planning to commence operations at the new unit within the fiscal year ending March 2012. NEC also plans to expand local procurement of materials within India in the future.

In April 2011, NEC established NEC Network Products, Ltd., a production company for communications equipment, by consolidating three former subsidiaries in Japan. NEC Network Products is a central production factory within NEC's global supply chain which provides highly evaluated and standardized manufacturing technologies and know-how. Looking forward, this factory will lead NEC's global production organization and enable the expansion of carrier network business by leveraging its exceptional levels of manufacturing quality and efficiency.

About PASOLINK
Since the launch of PASOLINK in the early 1980s, mobile communications have rapidly expanded and PASOLINK has been widely adopted as a microwave communications system for linking base stations, with shipments of approximately 1.7 million units throughout 145 countries.