From a Shaky Past to a Promising Future: What Has Helped Nissan Win Again Emil E. Hassan Senior Vice President Nissan North America, Inc. 1 2 Key Reasons For Nissan’s Resurgence 3 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader 4 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting, new products 5 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting, new products • Building on strengths of Manufacturing 6 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting, new products • Building on strengths of Manufacturing • Alliances have created synergies and success 7 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader 8 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader •Nissan Revival Plan (NRP) 9 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader •Nissan Revival Plan (NRP) •NISSAN 180 10 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader •Nissan Revival Plan (NRP) •NISSAN 180: - Increasing global vehicle sales by one million units by September 2005; 11 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader •Nissan Revival Plan (NRP) •NISSAN 180: - Increasing global vehicle sales by one million units by September 2005; - Operating margin of eight percent; 12 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader •Nissan Revival Plan (NRP) •NISSAN 180: - Increasing global vehicle sales by one million units by September 2005; - Operating margin of eight percent; - Elimination of net automotive debt 13 Key Reasons For Nissan’s Resurgence • December 2003 results: 14 Key Reasons For Nissan’s Resurgence • December 2003 results: •Calendar ‘03 Nissan North America sales up 7.4% versus calendar ‘02; 15 Key Reasons For Nissan’s Resurgence • December 2003 results: •Calendar ‘03 Nissan North America sales up 7.4% versus calendar ‘02; •Nissan division sales up almost 11% versus December 2002; 16 Key Reasons For Nissan’s Resurgence • December 2003 results: •Calendar ‘03 Nissan North America sales up 7.4% versus calendar ‘02; •Nissan division sales up almost 11% versus December 2002; •Infiniti division sales up 35% versus calendar year ‘02 sales; 17 Key Reasons For Nissan’s Resurgence • December 2003 results: •Calendar ‘03 Nissan North America sales up 7.4% versus calendar ‘02; •Nissan division sales up almost 11% versus December 2002; •Infiniti division sales up 35% versus calendar year ‘02 sales; •Nissan’s U.S. marketshare approaching 5% 18 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting, new products 19 Nissan Xterra SUV 20 Nissan Altima Sedan 21 Nissan 350Z 22 Nissan Murano 23 Infiniti G35 24 Nissan Maxima Sedan 25 Nissan North America Canton Manufacturing Plant 26 Nissan Quest Mini-Van 27 Nissan Pathfinder Armada Full-size SUV 28 Nissan Titan Full-size Truck 29 Nissan North America Decherd Powertrain Assembly Plant 30 Nissan North America Decherd Powertrain Assembly Plant 31 2004 Ward’s “10 Best Engines” Award 32 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting, new products 33 Infiniti QX56 34 All-New Nissan Pathfinder SUV 35 All-New Nissan Frontier Truck 36 Nissan Xterra SUV 37 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting, new products • Building on strengths of Manufacturing 38 2003 Harbour Award 39 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting new products • Building on strengths of Manufacturing • Integrated Manufacturing 40 Integrated Manufacturing • Common lines & a flexible system 41 Integrated Manufacturing • Common lines & a flexible system • Supplier proximity 42 Proximity of Canton-Area Suppliers Onsite In Canton Area Module Buildings • Cockpit / FEM Modules • Tire & wheel assemblies • • • • • • Durant Supplier Logistics Center • Glass • Headliner Module • Fasteners • Wire Harnesses Frames Steel Service Center Interior Trim Parts Body Parts Seats E-Coating Forest 43 Integrated Manufacturing • Common lines & a flexible system • Supplier proximity • Sequenced supplier delivery 44 Integrated Manufacturing • Common lines & a flexible system • Supplier proximity • Sequenced supplier delivery • Integrated module suppliers 45 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting, new products • Building on strengths of Manufacturing • Alliances have created synergies and success 46 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting, new products • Building on strengths of Manufacturing • Alliances have created synergies and success • Renault-Nissan Alliance 47 Key Reasons For Nissan’s Resurgence • A brilliant and bold leader • Consistently exciting, new products • Building on strengths of Manufacturing • Alliances have created synergies and success • Renault-Nissan Alliance • Minority supplier partnerships 48 By late 2004, Nissan North America’s parts & materials purchasing contracts with minority firms will be at almost 8% of total purchases in the U.S. 49 50