Press Release
November 30, 2017
To Whom It May Concern:
Funai Electric Co., Ltd.
Representative Director
P r e s i d e n t a n d C E O :Hideaki Funakoshi(Code No.: 6839 First Section of TSE)

Notice concerning merger and change of trade namebetween consolidated subsidiaries
Funai Electric Co., Ltd. (the “Company”) hereby announces that at its Board of Directors’ meeting held today, it hasdetermined to merge FUNAI CORPORATION,INC. (the "FC") and P&F USA,INC. (the "PFU") and change the tradename of the surviving company on April 1, 2018.
As this merger is a merger targeting consolidated subsidiaries with which the consolidated subsidiary of theCompany has a 100% stake, disclosure matters and contents are partially omitted.

1. Purpose of merger and trade name change
The Company submitted an "Improvement Status Report" to the Tokyo Stock Exchange on August 10, 2017.
"2. Improvement measures and their implementation and operation situation etc. (1) Improvement measuresdescribed in the improvement report and its implementation and operation status (2) Strengthening themanagement ability of overseas subsidiaries" of the Report describes the implementation and operation statusregarding organization integration about the accounting department of FC and PFU.
This merger is aimed at improving customer convenience and efficiency of the administrative management
system by integrating the two companies into one company, and aiming to further improve profitability in North
America and strengthen the management capabilities.
Regarding the change of the trade name change, business scale and name recognition of FUNAI CORPORATION,
INC. are large, so we will adopt it.

2. Summary of merger and trade name change(1) Schedule of merger
Resolved by the Board of Directors

February 13, 2018

Merger date (Effective date)

April 1, 2018 (Planned)(2) Merger method
PFU will be the surviving company and FC will be the absorbed merger company.
P&F USA,INC., the surviving company of the merger, will change the trade name to FUNAICORPORATION,INC. on April 1, 2018.
(3) Content of allocation for merger
As this merger is a merger between the Company's fully consolidated subsidiaries, there will be no issue ofnew shares or delivery of money etc. through this merger.

(4) Treatment of stock acquisition rights and bonds with stock acquisition rights accompanying the merger
There is no such matter.

3. Outline of the companies involved in the merger(1)(2)

Trade nameAddress

(3)
(4)

Representatives
Business description

(5)
(6)
(7)
(8)

CapitalDate of establishment
Fiscal term
Major shareholders
and ownership ratio

Merger surviving company
P&F USA,INC.
201 ROUTE 17 NORTH, Suite 903,
RUTHERFORD, NJ, 07070, USA
Hiroyuki MAKIURA
Sales of electrical machinery andequipment
55 million USD
June 13, 2008March
FUNAI NORTH AMERICA,INC.
100%

Absorbed merger company
FUNAI CORPORATION,INC.
201 ROUTE 17 NORTH, Suite 903,
RUTHERFORD, NJ, 07070, USA
Hiroyuki MAKIURA
Sales of electrical machinery andequipment
68.5 million USD
May 7, 1991
March
FUNAI NORTH AMERICA,INC.
100%

4. The situation after merger(1)(2)

Trade name
Address

(3)
(4)
(5)

Representatives
Business description
Fiscal term

Surviving company of absorption-type merger
FUNAI CORPORATION,INC.
201 ROUTE 17 NORTH, Suite 903, RUTHERFORD, NJ,
07070, USA
Hiroyuki MAKIURA
Sales of electrical machinery and equipment
March

5. Future prospects
As this merger will be a merger between consolidated subsidiaries of the Company, there will be no impact on
consolidated business results.

For further information, please contact
Investor and Public Relations OfficeE-mail: investor_relations@funai.co.jp