Fujifilm UK Press Release 14/10/04

Fujifilm today announced that its UK photographic business divisions will be restructured to meet the needs of the changing market, effective 1 November 2004.

With the retirement on 31 October of two of the Company’s long-serving Directors, Graham Rutherford and Tony Lawrence, who currently head up Fujifilm’s Professional and Photofinishing businesses respectively, Fujifilm’s UK photographic departments will be reorganised, with both the Professional and Consumer divisions, and the Photofinishing and Equipment divisions, consolidating to form new Strategic Business Units (SBUs).

All professional, digital, and conventional film and camera products will be managed from Fujifilm’s London office, while paper, minilabs, technical and service will be handled from its Bedford premises.

Consumer Products Director, Adrian Clarke, has been promoted to head up both the London and Bedford operations as Director, Photo Imaging Group, while David Honey takes up the new position of Group SBU Manager in charge of the consolidated Photofinishing Products SBU.

The Company has been shifting focus from conventional photo products to new areas of growth like media cards, digital cameras, inkjet paper and its Frontier digital minilabs. However, with the decline in traditional photographic markets, it is possible that there may be a small net reduction in staff numbers. The Company is not planning to announce any reductions immediately; there will be a period of consultation with the company?s employees during November, in order to establish best fit within the new structure.

Adrian Clarke said, “No company borne out of traditional photography can avoid change. Luckily, our strength in the digital camera, media card and finishing markets means that we can adopt an evolutionary rather than revolutionary approach. Film may be declining, but this has more than been replaced for us by our media card business. Traditional D & P is also under pressure, but because of the move in the market towards ?print at retail?, and the strength of our Frontier minilab sales, our business is growing heathily. However, with strong pressure on margins, we will require different people skills in new markets.

“Reductions in staff are rare at Fujifilm UK, but if this becomes necessary in the next few months, we will be consulting fully with all those involved to make any transformation as painless as possible. The changes we make will allow the Company to move forward in a strengthened position and meet the needs of our customers with a more structured and focused approach.”

? 2004, Fuji Photo Film (UK) Ltd.