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REVIEW OF OPERATIONS BY SEGMENT
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AUTOMOTIVE
Electric Systems
RESULTS
graph HIGHLIGHTS IN FISCAL 2005
Increased by 13.0% year on year to ¥331.4 billion.
This is equivalent to 11.9% of net sales.
PRODUCT EXAMPLES(*New Product)
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MAIN PRODUCTS
 •  Engine-related Components
Starters and alternators
 •  Driving Control and Safety Products
Airbag sensors and ECUs, ABS actuators and ECUs, laser radars and ECUs for adaptive cruise control (ACC) systems, millimeterwave radars and ECUs for pre-crash safety systems, and ECUs for electric power steering systems
NEW PRODUCTS
 •  Adaptive Cruise Control (ACC) System
Includes a low-speed following mode.
 •  Vision Sensor
Detects lane markers on the road for lane-keeping assist system.
OVERVIEW
Supply-related developments during the year ended March 2005 included the expansion of alternator production capacity in Thailand and the Republic of Korea. On the sales side, DENSO began deliveries of alternators to Ford in the United States, and to Toyota for use in the ASEAN IMVs. DENSO also received a purchase order from Honda North America for sensing systems used for rollover airbags.
  Factors helping to expand sales in this segment included increased vehicle production in Japan and strong overseas sales of Japanese vehicles. Another contributing factor was the increased percentage of vehicles fitted with sophisticated products, such as anti-lock brake systems (ABS) with traction control, vehicle stability control and brake-assist functions, and airbag systems with side airbags.
PERSPECTIVE
While there is increasing demand throughout the world for safety-related products, the performance requirements for these products vary because of differing traffic conditions in Japan, North America and Europe. The priority in Japan is improved performance with shorter distance between vehicles, while in the United States there is a need for improved sensor performance when the cars in front are dirty. In Europe, the improvement of performance at high speeds and over long distances is a priority. DENSO will continue to develop products to meet the varying needs of each market.
  One of the main priorities for starters is a reduction in size and weight . There is also a need for improvements in durability and starting performance to support increased starter use in eco-friendly vehicles, which have systems that automatically switch off vehicle engines during idling, for instance at red lights. DENSO will make these changes to promote greater use of eco-friendly vehicles within society.
  Automakers need alternators that combine reduced size and weight with improved power generation capacity to support increased electricity consumption in vehicles. The reduction of magnetic noise is also a priority from the viewpoint of cabin comfort. DENSO has completed commercial development of segment conductor (SC) alternators designed to meet these needs. We will continue to target further improvements in the output capacity of SC alternators while increasing efforts to develop related products to meet new requirements in this area, including optimal generation and charging control.
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