Two news about Nachi

a)The Nikkan Kogyo Shimbun, The Kitanippon Press Expansion of re-grinding and re-coating business Nachi-Fujikoshi Corp. will newly establish a special factory for the re-grinding of cutting tools in Toyama Plant. The company will also enhance capability at a service base in Kanagawa Prefecture, aiming to double the group's capacity for re-grinding and re-coating by August. Target products are high function round tools such as carbide drills and end mills, and precision cutting tools such as hobs, shaving cutters, and broaches. The company will invest totally 300 million yen, aiming to shorten delivery time to one third of conventional delivery time by enhancing machining ability. Demand for re-grinding and re-coating is increasing to reduce cost and environmental burdens, and the company is going to develop this business on a large scale, aiming to increase the sales 6 times to 3 billion yen in the fiscal year 2007. b) The Nikkei Business Daily Production increase of cutting tools for turbines to triplicate sales in 2006. Nachi-Fujikoshi Corp. will increase the production of a special cutting tool "Christmas tree forms broach" to machine turbines for jet engines and generators. Rolls-Royce Ltd. (U.K.) which develops engines for a next generation aircraft "787" by Boeing (U.S.), and General Electric (U.S.) have already decided to adopt it. In addition, large-size generators are in high demand in Asia and Middle East. The company aims to triplicate the sales of Christmas tree forms broaches to 1.5 billion yen by 2006.