Frost & Sullivan Analyzes Effectiveness of Sumitomo’s Brand Name

Sumitomo Ranks #1 in overall financial stability, brand recall, and customer loyalty.

PALO ALTO, CALIF. – November 11, 2003 – In a recent study titled World Fiber Optic Electronic Components, Frost & Sullivan highlighted Sumitomo Electric Lightwave’s success in brand awareness development in the fiber optic industry, which has greatly contributed to its parent company’s – Sumitomo Electric Industries, LTD. – image, market share, and profitability.

In studying the fiber optic industry, Frost & Sullivan found that one of the major concerns of customers is the financial strength of its vendors. The economy in the information and telecommunications market has been difficult in the past few years, and many companies have abandoned the market, creating uncertainty for customers.

Sumitomo Electric Lightwave, a leading manufacturer of innovative optical cable, interconnect, fusion, air-blown fiberÒ for the LAN, and FTTP/FTTH products has overcome this challenge by coupling its Sumitomo brand name with its financial strength. Sumitomo Electric Industries has a diverse breadth of subsidiaries across the globe in different market sectors specializing in the R&D and manufacturing of fiber, electro-optic components, and other related optical product lines. Sumitomo’s financial stability garners the company loyalty among its customers, who want to be assured that their provider can not only deliver quality products, but also continue with them in product support and design.

For its demonstrated success, Sumitomo has been named as the recipient of the 2003 Frost & Sullivan Award for Brand Awareness. In choosing the recipient company, Frost & Sullivan conducted extensive primary and secondary research. In this analysis, market participants are evaluated and compared based on their ability to create excellent brand awareness, and subsequently, sales. Among the elements considered are brand awareness development strategy, comprehension of competitive market position, use of media mix, and industry exposure. The award is then presented to the company receiving the number one industry rank.

Frost & Sullivan discovered that Sumitomo’s investment in developing its brand awareness has enabled the company and its subsidiaries to dominate the market in the areas of customer loyalty, superior brand recall, financial stability, and other competitive advantages, such as trade leveraging and brand extensions.

“Sumitomo’s name, which it has been building for over 400 years, is significant in Asia and has been gaining increasing customer loyalty in Europe and North America. Unlike some of the competitors in the fiber optic industry, Sumitomo has upheld a strong position in the marketplace,” says Keith Robinson, industry manager, Frost & Sullivan. “Stably maintaining its presence will help Sumitomo continue to improve its brand equity and position itself to gain further market share.”

About Sumitomo Electric Lightwave:

Sumitomo Electric Industries (SEI) is a global network with over 170 subsidiaries and 79,000 employees serving the information and communication markets throughout Asia, Africa, Europe, and Central, South, and North America. Primary North American subsidiaries include fiber optic product manufacturer, Sumitomo Electric Lightwave, Corp. located in Research Triangle Park (RTP), NC (www.sumitomoelectric.com); optical communications division, Excelight Communications, Inc. also in RTP, North Carolina (www.excelight.com); and specialty fiber and optical product unit, Sumitomo Electric U.S.A., Inc. (www.sumitomoelectricusa.com). For more information about SEI, please visit www.sei.co.jp/index.en.html.

About Frost & Sullivan:

Founded in 1961, Frost & Sullivan is recognized as a global leader in growth consulting. Frost & Sullivan Awards are presented to companies that demonstrate excellence in their industry, commending the diligence, commitment, and innovative business strategies required to advance in the global marketplace. Frost & Sullivan rigorously analyzes specific criteria to determine award recipients in a vast variety of market industries and landscapes. For further information, visit www.frost.com.