FOR IMMEDIATE RELEASE October 26, 2004
ADVANTEST CORPORATION
(Toshio Maruyama, President and COO)
(Stock Code Number: 6857, TSE first section)
(Ticker Symbol: ATE, NYSE)
CONTACT:
Hiroshi Nakamura
(Manager, Accounting Department)
Phone: +81-(0)3-3214-7500
Notice Regarding Merger with a Subsidiary
Advantest Corporation (hereinafter referred to as the "Company") has decided, at
its Board of Directors' meeting held on October 26, 2004, to merge Advantest RF
Technology Corporation (hereinafter referred to as "Advantest RF"), a
wholly-owned subsidiary. The merger will be carried out according to "simplified
merger" procedures.
1. Purpose of the merger
The decision has been made to merge Advantest RF, a wholly-owned subsidiary, in
order to enhance RF technology research and development efficiencies.
2. Overview of the merger
(1) Merger schedule
October 26, 2004 Approval of the Merger Agreement by the Board of
Directors of the Company
October 26, 2004 Signing of the Merger Agreement
November 10, 2004 Approval of the Merger Agreement by the Extraordinary
Meeting of Shareholders of Advantest RF (anticipated)
The Company is not required to obtain merger approval
from its shareholders, in accordance with the
provisions of Article 413-3-1 (Simplified Merger)
of the Commercial Code.
December 31, 2004 Date of Merger (anticipated)
January 4, 2005 Date of Merger Registration (anticipated)
(2) Merger method
The merger will take place under the statutory simplified merger method with the
Company as the surviving company. Advantest RF will be dissolved.
(3) Merger rate
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The Company owns 100 percent of Advantest RF's shares and will not issue new
shares, will not increase capital contribution and will not issue merger
consideration.
3. Company profiles of participants in the merger (as of September 30, 2004):
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Registered trade name Advantest Corporation (Surviving Advantest RF Technology
company) Corporation (Acquired company)
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Business description Development, manufacture and sale of Development, manufacture and sale
automated test equipment and of measuring instruments
measuring instruments
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Date established December 16, 1954 June 30, 2000
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Location of head office 1-32-1 Asashi-cho, Nerima-ku, Tokyo 1-16-1 Fujimi-cho, Gyoda-shi,
Saitama
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Representative Toshio Maruyama, President and COO Norihito Kotani, President
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Capital 32,362 million yen 335 million yen
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Total number of shares issued 99,783,385 shares 1,711 shares
and outstanding
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Stockholders' equity 204,749 million yen 165 million yen
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Total assets 286,780 million yen 638 million yen
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Fiscal year end March 31 March 31
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Number of employees 1,450 0
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Principal customers Japanese and foreign private sector Advantest Corporation and
manufacturers and public bodies affiliated companies
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Main transaction banks Mizuho Corporate Bank, Ltd. Mizuho Corporate Bank, Ltd.
Shinsei Bank, Limited Saitama Resona Bank, Ltd.
The Bank of Tokyo-Mitsubishi, Ltd.
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Principal shareholders and Mizuho Trust & Banking, Co., Ltd. Advantest Corporation, 100%
percentages of shares held (Employee Pension Trust, Fujitsu
Account), 16.0%
The Master Trust Bank of Japan, Ltd.
(Trust Account), 8.6 %
Japan Trustee Services Bank, Ltd.
(Trust Account), 7.6%
Fujitsu Limited, 4.0%
BNP PARIBAS Securities (Japan)
Limited, 2.2%
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Relationships between the Capital The Company owns 100 percent of
companies Advantest RF's shares.
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Personnel The Company seconds directors to
Advantest RF.
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Transactions The Company loans funds to
Advantest RF.
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4. Business performance over the three most recent fiscal years (in million yen)
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Advantest Corporation Advantest RF Technology Corporation
(Surviving company) (Acquired company)
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Fiscal period 03/2002 03/2003 03/2004 03/2002 03/2003 03/2004
ending
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Net sales 72,928 76,686 150,558 63 8 206
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Operating income (39,098) (18,209) 23,776 5 6 (469)
(loss)
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Income (loss) (35,310) (19,084) 24,033 5 6 (476)
before income taxes
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Net income (loss) (19,265) (11,467) 11,957 3 4 (284)
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Net income (loss) (193.71) (116.49) 119.97 16,578.92 20,796.17 (166,364.93)
per share (yen)
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Dividend per share 40 30 40 - - -
(yen)
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Stockholders' 2,051.71 1,814.36 1,920.33 55,973.52 76,769.68 (113,233.97)
equity per share
(yen)
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Note 1: The figures above are on a non-consolidated basis. (Amounts of less than
1 million yen have been rounded.)
5. Status after the merger
(1) Registered trade name: Advantest Corporation
(2) Business description: Development, manufacture and sale of automated
test equipment and measuring instruments
(3) Location of head office: 1-32-1 Asahi-cho, Nerima-ku, Tokyo
(4) Representative: Toshio Maruyama, President and COO
(5) Capital: No capital increase upon merger
(6) Total assets: Impact is immaterial
(7) Business results: Advantest RF is a wholly-owned subsidiary of the
Company and the impact of the merger on
consolidated and non-consolidated business
results is expected to be immaterial
* * *
This press release contains "forward-looking statements" that are based on
Advantest Corporation's current expectations, estimates and projections. These
forward-looking statements are subject to known and unknown risks, uncertainties
and other factors that may cause the Company's actual results, levels of
activity, performance or
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achievements to be materially different from those expressed or implied by such
forward-looking statements.
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