Strong and global competitiveness of mainstay industrial automation systems business and energy and electric systems business Competitiveness in home appliances, power semiconductors, and information and communication systems, primarily in the domestic market Relatively stable profits and reduced material declines in its earnings in each business segment, owing to successful structural reform Continuing construction of overseas business infrastructure Slightly lower profitability than major overseas companies Slightly weak funds from operations to total debt for the ratings Lower capital expenditures than domestic peer companies owing to successful structural reform Stable financing We base the stable outlook on our ratings on Japan-headquartered diversified electronics maker Mitsubishi Electric Corp. on our view that the risk of a material fall in its funds from operations
