Report on application of the loan program for "Promotion of Environmentally Conscious Management" of the Development Bank of Japan, the first case in the auto leasing industry.

This is to report that our subsidiary "Hitachi Capital Auto Lease Corp." is the first auto leasing company to acquire a rating in the environmental rating system developed by the Development Bank of Japan for "Promotion of Environmentally Conscious Management," and thereby has been approved for the low-interest loan program. The details are as follows:

1. Outline of the "Promotion of Environmentally Conscious Management" project of the Development Bank of Japan

"Promotion of Environmentally Conscious Management" is a project to grade companies from the aspect of environmental management using the screening (rating) system developed by the Development Bank of Japan, select superior companies in that respect, and extend loans at applicable interest rates according to the ratings.

This screening was conducted with due consideration of the characteristics of the auto leasing industry, including:

(1) Promotion of eco-friendly products utilizing a leasing system

(2) Establishment of an advanced reuse and recycle system by leasing companies

2. Activities of Hitachi Capital Auto Lease for environmentally conscious management

In November 2001, the company obtained ISO14001 Environmental Management certification for the first time in the auto leasing industry, and is taking active approaches to global environment conservation concerning CO2 release by automobiles and global warming. In particular, it conducts environmental recycling based on the 3Rs (Reduce, Reuse and Recycle) using its network, such as:

(1) Promotion of hybrid cars, electric cars and other environmental cars to private enterprises and public offices

(2) Enlightenment activities for environmental laws and effects for customers

(3) Introduction of recycled parts, and production and distribution of reuse batteries for the first time in the auto leasing industry

3. Future plans

The company will continue to promote environmentally thoughtful eco-cars (electric cars, hybrid cars and CNG cars) to contribute to environmental conservation. As part of its efforts, the company plans to release, in April 2006, a new service tentatively called "Eco-car lease" at a discount rate, taking advantage of the approved low-interest loan.