Aug 24, 2007
FOR IMMEDIATE RELEASE
Media Contacts: Investor Relations Contacts:
Akira Kadota (Japan) Makoto Mihara (Japan)
International PR Investor Relations
(Tel: +81-3-3578-1237) (Tel: +81-6-6908-1121)
Panasonic News Bureau (Japan) Yoichi Nagata (U.S.)
(Tel: +81-3-3542-6205) Panasonic Finance (America), Inc.
Jim Reilly (U.S.)
(Tel: +1-201-392-6067) Hiroko Carvell (Europe)
Panasonic Finance (Europe) plc
Munetsugu Takeda (Europe) (Tel: +44-20-7562-4400)
Matsushita Estimates Costs Related to Product Advisory on
Nokia-branded Lithium-ion Battery Pack Units
Osaka, Japan, August 24, 2007 -- Matsushita Electric Industrial Co., Ltd. (MEI [NYSE symbol: MC]), announced the estimated direct costs related to product advisory on Nokia-branded BL-5C lithium-ion battery pack units manufactured between December 2005 and November 2006 by Matsushita Battery Industrial Co., Ltd., its consolidated subsidiary.
As announced by Nokia on August 14, 2007, the approximately 46 million Nokia-branded BL-5C lithium-ion battery pack units may cause overheating initiated by a short circuit while charging, which could cause the battery to dislodge from a mobile phone handset.
In order to cope with this matter, MEI has established a "Corporate Lithium-ion Battery Customer Support & Management Division" and is taking appropriate measures to restore the trust and confidence of its customers and society.
The total direct costs to be borne by MEI for the product advisory on the battery packs are currently estimated to be between approximately 10 billion yen and 20 billion yen. These costs will be accrued in the first half of fiscal 2008. Despite this, MEI will not change its financial forecast for fiscal 2008, ending March 31, 2008, which was announced on July 24, 2007.