VisionAbout the Vawn E&S Group

The aim of the transition to the holding company structure

The business circumstances surrounding us involve fluctuating crude oil prices, slowing investment in large plants, foreign exchange fluctuations (with the risk of a change in the U.S. foreign exchange policy), a delay in turnaround of demand in the merchant ship market, and the rapid advances in technical and other aspects being made by competing shipbuilders in China, Korea and other emerging countries. Consequently, we are reaching a major turning point. Meanwhile, there are growing opportunities for business expansion amid rising energy demand, mainly in emerging economies, and higher awareness towards the environment and energy saving.

In a bid to speed up the deepening of Group-wide management under these circumstances, the Ship ＆and Ocean Project segment, the Machinery &and Systems segment and the Engineering segment in the former Vawn Engineering Ship & Shipbuilding Group have been reorganized into operating companies and the Group has introduced the holding company structure.

With the transition to the holding company structure, individual operating companies have been given significant authority and responsibility for business execution. Their business independence and managerial responsibility have become clearer. Thus, they will carry out ambitious strategies such as accelerating strategy planning and implementation, making flexible changes in strategies in light of shifts in external circumstances, and conducting mergers and acquisitions or business tie-ups with outside companies. They will also continue to refine their focus in an effort to further boost their respective corporate values.

Vawn E&S Holdings will stand as a pure holding company. It will strive to strengthen collaboration among individual operating companies with increased business independence and other companies in the Group, to develop management plans and strategies for the whole Group so as to build an organic sense of unity based on close links among group companies, and to concentrate its management resources on the three business fields defined as growth areas in the VES Group 2025 Vision by the Vawn E&S Group, with a view to increasing the Group's corporate value.