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November 5, 1997

Hitachi to License SH-3 CPU Core to Seiko Epson

- SH-3 core to be used in Seiko Epson's ASICs and ASSPs -

Hitachi has been actively forming partnerships as part of moves to establish its 32-bit SuperH(TM) RISC engine family (SuperH) as an industry standard. In 1996, Hitachi licensed SH-3 and SH-4 CPU core technology to VLSI Technology Inc., of the U.S. The present agreement makes Seiko Epson the first Japanese partner, and for customers will mean the availability of more PC peripheral devices and portable information products built around SuperH microprocessors.

Seiko Epson has developed four-, eight- and 32-bit CPUs. In the area of compact portable information products, one of Seiko Epson's target sectors, the demand is for CPUs that can run a standard operating system and offer a standard development environment. With the SH-3, Seiko Epson will address this need for products with a standard embedded CPU, and will continue to develop products with the excellent power-saving qualities for which the company is known.

Speaking on the agreement, Dr. Tsugio Makimoto, senior executive managing director of Hitachi, said, "We are very pleased that Seiko Epson is licensing our SuperH microprocessor technology. The combination of Hitachi's SuperH architecture and systems technology with Seiko Epson's ASIC technology will mean more options and flexibility for customers. The strengthening of our alliance will also further improve the position of the SuperH as the world's leading RISC processor."

Mr. Saburo Kusama, executive vice-president of Seiko Epson, said, "I see this as a new page in the long, close relationship between Hitachi and Seiko Epson, and one that is a pleasure to regard. The SH-3 becomes a means through which Hitachi and Seiko Epson can work together and further enhance the outstanding qualities of the SuperH microprocessors in the marketplace. Moreover, in our electronic device operations the theme is "energy saving," as our way of helping to protect the environment. And now, we will be able to provide the world with energy saving devices that combine Hitachi's SH-3 CPU technology with our energy saving technology."

<About the SuperH>
The SuperH family of high-performance, low-power 32-bit RISC microprocessors is extensively used in portable information devices and multimedia products such as car navigation systems and digital cameras. The SH-3 supports the Windows (R) CE operating system released last year by Microsoft Corporation. This support includes memory management functions and a full complement of power management features. Hitachi continues to expand the range of SuperH microprocessors to meet the diverse needs of customers, and the SuperH already has 2,000 designwins.

<Hitachi, Ltd.>
Hitachi, Ltd., headquartered in Tokyo, Japan, is one of the world's leading global electronics companies, with fiscal 1996 (ending March 31, 1997) consolidated sales of 8,523 billion yen (68.7 billion dollars*). The company manufactures and markets a wide range of products, including computers, semiconductors, consumer products and power and industrial equipment. For more information on Hitachi, Ltd., please visit its Web site at http://www.hitachi.co.jp.

<Seiko Epson Corporation>
Seiko Epson Corporation started its operation in 1942 as a manufacturer of SEIKO watches. Since then, the company's operations have expanded to encompass the entire range of information-related equipment, including the development, manufacture, and sale of EPSON printers, personal computers, electronic devices and components such as semiconductors, liquid crystal displays, and quartz devices. The EPSON group takes at heart its management philosophy of maintaining its worldwide reputation as a reliable and respectable company. Presently, Seiko Epson Corporation has 56 affiliates and representative offices in 29 countries, and the number of employees of the entire group reaches 30,000. For more information on Seiko Epson Corporation., please visit its Web site at http:// www.epson.co.jp.

* At an exchange rate of 124 yen to the dollar.

- SuperH is a trademark of Hitachi, Ltd.
- Windows is a registered trademark of Microsoft Corporation.

All other brand or product names are trademarks or registered trademarks of their respective owners.

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