OREANDA-NEWS. Hitachi, Ltd. announced that it will reorganize the infrastructure systems business effective from April 1, 2014 with the intention of enabling swift responses to the global changes in business models and services, and to various needs centered on social infrastructure.

Specifically, Hitachi will reorganize the functions of the Infrastructure Systems Company, one of its in -house companies, into four business fields: the urban and energy solution s business, the water environment solutions business, the industrial plant sand solutions business and the components business. In addition, Hitachi will concentrate business resources by taking actions such as reorganizing and integrating related businesses, including Group companies in order to strengthen the platforms of the urban and energy solution s business and the industrial plants and solutions business. Through these measures, Hitachi will build a business framework that will enable swift responses to dynamic market changes and diversifying needs in the infrastructure systems field, as it works to maximize the value delivered to customers.

Furthermore, Hitachi will strive to enhance global competitiveness by expanding and upgrading the infrastructure systems business, with the aim of attaining the management targets set forth in the 2015 Mid -term Management Plan. In recent years, investment in social and industrial infrastructure systems has increased on a global scale. In emerging countries, rapid population growth, economic expansion and other developments are driving much higher demand for social infrastructure such as large-scale urban development, energy, transportation and water systems, and industrial infrastructure including industrial parks and resource development. At the same time, developed countries need to construct next -generation social infrastructure based on information technology (IT) to create low -carbon, sustainable societies, and to address aging social infrastructure.

To cater to these needs, Hitachi is accelerating global development of its Social Innovation Business by enhancing its ability to propose and execute solutions that will address issues facing society and customers. To this end, Hitachi is optimizing business operation management in each of its business domains. As part of this drive, in the infrastructure systems business, Hitachi merged its wholly owned subsidiary Hitachi Plant Technologies, Ltd. in April 2013. Hitachi Plant Technologies had been globally engaged in various businesses, including manufacturing of large pumps, compressors and other components, EPC for water treatment systems, chemical and pharmaceutical plants and air conditioning systems.

Moreover, in October 2013, Hitachi transferred its construction business for power plants, transportation systems and industrial plants and integrated them into its wholly owned subsidiary Hitachi Plant Engineering & Services, Ltd. (renamed as Hitachi Plant Construction, Ltd.). With this step, Hitachi has launched a new company that possesses both construction engineering and construction capabilities.

The reorganization announced today will build on these measures, while achieving far-reaching structural reforms through the Hitachi Smart Transformation Project, which is aimed at strengthening the business structure. In so doing, Hitachi will establish platforms that can deliver one-stop, total solutions spanning components, systems, EPC, services and other areas where it is strong in the infrastructure systems business.