The rating on Mitsubishi Electric Corp. reflects the company's diversified business profile and relatively stable operating performance in areas such as energy and electric systems, industrial automation systems, satellite communication systems, and home appliances. The rating also reflects our expectation that these businesses should continue to mitigate Mitsubishi Electric's weak operating performance in electronic devices and information and telecommunications systems. Moreover, the rating takes into consideration the company's slightly weak financial profile for the current rating category. Compared with its peers, Mitsubishi Electric has a relatively low exposure to the electronic devices business, particularly commodity-type memory chip production, which has been the main cause of losses for all of Japan's integrated electronics manufactures. Although the company is expected to record
