Philosophy

At Kyocera, we make it a strict rule not to have any bad or nonperforming assets. It is our principle to buy only what is needed, when it's needed, and make only what is necessary, when it's necessary. Buying or making more than is necessary leads to dead inventory and extra expense.

If, however, we discover that we have bad assets, we should immediately dispose of them. Although this may result in a temporary loss, we must have the courage to make short-term sacrifices. Otherwise, the problem could snowball into much larger losses in the future.

Management should always be conducted on a "sound assets" basis.