General Products & Real Estate - Topics
Sumitomo Corporation's Food Business Division grows, imports and sells Philippine bananas produced at company-owned farms. The high-end brand offered by them is the "Kanjuku Oh," familiar to consumers through television commercials. The division has created a complete supply chain, from production centers to sales, expanding banana plantations and investing in loading port facilities. At present, the division is focusing on expanding direct sales to Japanese mass merchandisers, aiming to become the number one player in the market in terms of both quality and volume. In addition, the division is aggressively expanding sales overseas, mainly in the Middle East/ China.
In 2005, Sumitomo Corporation acquired TBC Corporation, the largest tire dealer in the United States, jointly with Sumitomo Corporation of America. During the following year, a merger with Treadways Corporation, a tire wholesaler and a subsidiary of Sumitomo Corporation with more than 20 years of history, gave TBC a firmer supply chain tires across the United States. TBC will continue to open new stores to expand its sales base and supply high-quality tires and services to enhance corporate value.
In 2006, Sumitomo Corporation made OAO Terneyles an affiliate accounted for under the equity method. OAO Terneyles is the largest general forest products company in Russia. Terneyles secured a Forest Certification (FSC) proving sustainability in the wide forest district along Russia's Primorskii region. Sumitomo is also operating a eucalyptus forestation in Chile and a eucalyptus/acacia forestation in South Africa. Both have received Forest Certification. In 2008, Sumitomo will begin importing wood-chip-based biomass fuel* for Japan's electric power companies, as well as engaging in several other proactive environmentally friendly businesses.
* Fuel based on raw materials from biological organisms
The Cleaning Robot developed jointly between Sumitomo Corporation and Fuji Heavy Industries Ltd. won the First Annual "Robot Award" granted by the Ministry of Economy, Trade and Industry. The award was created by the Ministry during 2006. The Cleaning Robot is an autonomous robot designed to move without human involvement, riding elevators and moving through buildings, cleaning office building hallways and other common space. The award recognizes the Sumitomo Corporation expertise in office building operations and the on-site experience of the Sumitomo affiliate companies involved in the janitorial services business, both used in the development of the cleaning robot. In addition to interior office models, Sumitomo has produced practical models for apartment buildings that can be used in outdoor situations as well.
[Project EYE Vol.1] Elevator-Linked Robot Building Cleaning System
The Sumitomo fund business signed a comprehensive partnership agreement in spring 2007 with GIC Real Estate (Government of Singapore Real Estate Investment Corporation), under the terms of which the two entities will jointly invest in large-scale commercial facilities. The partnership expects to invest a total of 150 billion yen over a two-year period, making it one of the largest commercial investments ever in Japan. As one project, the partnership is currently conducting development of a major commercial site in front of the Tsujido Station in Fujisawa City, Kanagawa Prefecture*. The goal of the real estate fund is to utilize the Sumitomo Corporation expertise, experience and network to find, develop, operate, manage investment properties and enhance the value for long-term business objectives.
* Approximately 200 retail spaces/ 80,000㎡ of retail floor space (tentative)
