MITSUBISHI ELECTRIC ANNOUNCES REVISED SALES AND EARNINGS FORECASTS FOR FISCAL 2000

Tokyo - March 23, 2000 - Mitsubishi Electric Corporation (President: Ichiro Taniguchi) today announced revised forecasts for its overall business performance in fiscal 2000 (April 1, 1999 - March 31, 2000).

Based on a preliminary analysis of the results of overall operations, Mitsubishi Electric Corporation has judged that consolidated income before income taxes, consolidated net income and non-consolidated ordinary profits will be higher than those announced in the October and November forecasts.
Revised forecasts are as follows:

Revised Forecasts for Fiscal 2000 Consolidated Results (Unit: 100 million yen)

Revised Forecasts for Fiscal 2000 Non-consolidated Results (Unit: 100 million yen)

• Consolidated Forecast Revision
  Net sales are estimated to be 3.75 trillion yen as previously forecasted. The Information, Telecommunication and Electronic Systems and Devices Segment improved profitability due to continued good sales of mobile phones and stabilization in semiconductor prices. In addition, profits were made through the sale of investment securities. Even though costs of restructuring subsidiary companies in the US and other miscellaneous expenses have been factored in, consolidated income before income taxes is forecast to be at 40 billion yen (an increase of 20 billion yen compared to the original forecast) and consolidated net income at 24 billion yen (an increase of 16 billion yen compared to the original forecast).



• Non-consolidated Forecast Revision
  Net sales are estimated to be 2.7 trillion yen as previously forecasted. Due to improved profitability in the Information, Telecommunication and Electronic Systems and Devices Segment (mainly comprised of telecommunications and semiconductors), the ordinary profit forecast has been increased by 12 billion yen to a total of 32 billion yen.
  
  Sales of property and investment securities yielded 18 billion yen in asset sales. However, Mitsubishi Electric Corporation will amortize prior service obligations under the social security pension fund and increase accrued severance indemnities and pension liabilities. Furthermore, costs for restructuring of subsidiary companies in the US and other miscellaneous expenses are estimated to lead to an extraordinary loss of 30 billion yen. Due to the above factors, net income is expected to amount to 12 billion yen as previously forecasted



• Dividend
  Mitsubishi Electric Corporation plans to issue a dividend of 2.5 yen per share for the second half of the current fiscal year (for a total annual dividend of 5 yen per share). The total annual dividend for the previous fiscal year (April 1, 1998 - March 31, 1999) was 3 yen per share.

About Mitsubishi Electric Corporation

With more than 75 years of experience in providing reliable, high quality products to both corporate clients and general consumers all over the world, Mitsubishi Electric Corporation is a recognized world leader in the manufacture, marketing and sales of electrical and electronic equipment used in information processing and communications, space development and satellite communications, consumer electronics, industrial technology, energy, transportation and construction. With operations in 34 countries, Mitsubishi Electric Corporation recorded consolidated group sales of over US$31 billion in the year ended March 31, 1999. Additional information on Mitsubishi Electric Corporation is available at global.mitsubishielectric.com.

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