Hong Leong Yamaha Motor Hits 3,000,000th Motorcycle Production

Selangor, October 19, 2012 –  Hong Leong Yamaha Motor (“HLYM”) rolls out its three millionth motorcycle production at its Sungai Buloh factory, today. This milestone event earmarks HLYM’s achievement of hitting another one millionth production within a short period of five years. This achievement reflects customers’ confidence and trust in the Yamaha brand, hence making it one of the most preferred motorcycles in the country. The event to mark the significant milestone was officiated by YB Senator Dato’ Ir Donald Lim Siang Chai, Deputy Minister of Finance.  Also present were Mr. Hiroyuki Yanagi, President of Yamaha Motor Co. Ltd.; Y Bhg Datuk Kwek Leng San, President & CEO of Hong Leong Manufacturing Group, Y Bhg Dato’ Yau Kok Seng, Group Managing Director of Hong Leong Industries Bhd, and Mr. C H Ng, Managing Director, Hong Leong Yamaha Motor Sdn Bhd.  Speaking at the roll-out ceremony, Mr. C.H. Ng, Managing Director of Hong Leong Yamaha Motor Sdn. Bhd. said, “We hold true to our commitment to offer quality product and services of exceptional value in accordance with global standards and our discerning customers. “Armed with our management’s desire to innovate mobility for Malaysians, we embarked on transformation of production capabilities by incorporating state-of-the-art technology and automation coupled with implementing human development programmes to nurture a highly skilled and competent workforce over the past five years”, commented Mr. C H Ng. To further increase production capacity to meet current and future demand, Hong Leong Yamaha Motor initiated an expansion programme to raise production capacity to 250,000 units per year. The capacity expansion programme involved the installation of a new Electro Deposition Painting line which is environment-friendly; a new plastic paint shop with three stages of washing that reduces dust contamination; a second line coupled with stand-alone unit cells designed for assembly of big engine capacity motorcycles like the Yamaha XJ6 Diversion.  The existing conveyor line was also expanded. Robotic equipment for precision welding was installed together with the implementation of Auto Guided Vehicles (AGVs) for speedier accessibility and retrieval. A modular kit-set system was introduced to obtain greater assembly efficiency HLYM also installed a series of final inspection equipment with testing facilities to ensure production of high quality products and only certified safe motorcycles could be allowed on the road. The industry experienced a growth in the motorcycles sales in the first eight months of the year, recording an aggregate of 412,000 units and is expected to reach 600,000 units in 2012 compared with 532,000 units in 2011. About Hong Leong Yamaha Motor Sdn Bhd Hong Leong Yamaha Motor Sdn Bhd is a joint venture between Hong Leong Industries  Bhd and Yamaha Motor Co., Ltd. Japan that was incorporated in 1979. It is tasked to assemble and distribute Yamaha bikes of superior and innovative quality to the Malaysian market.  Hong Leong Yamaha Motor rolled-out its first model the RX100 model from the first assembly plant in Shah Alam in 1979. Currently, Hong Leong Yamaha Motor operates from the Hong Leong Yamaha Complex, which was established in 1997 and located in Sungai Buloh. Over the years it enjoyed significant achievements, namely the roll-out of the 500,000 bike in 1988, hit the 1 million mark in 1994; 2 millionth unit rolled-out in 2007 and hit the 3 millionth motorcycle in 2012. To date, Hong Leong Yamaha Motor assembles an innovative motorcycles model line-up of: Mopeds – 135LC hand clutch and auto clutch, Lagenda 115Z & ZR and Y125ZR. The Automatic range are Ego S, Ego LC, Nouvo LC while Street range are FZ150i and XJ6 Diversion. In line with its corporate philosophy to achieve excellence and to have environment-friendly processes in place, Hong Leong Yamaha Motor carved its name as the first motorcycle manufacturer in Malaysia to have achieved triple certifications, namely of ISO 9002 for quality management system; Total Productive Maintenance (TPM) award for enhancement of quality, cost and delivery from Japan Institute of Plant Maintenance; and the ISO 14001 for environment management system. Hong Leong Yamaha Motor currently has an extensive dealers’ network nationwide including East Malaysia.   Fact Sheet (As of Oct. 4, 2012) Hong Leong Yamaha Motor Sdn Bhd Establishment of HLYM Hong Leong Yamaha Motor Sdn Bhd (HLYM) was incorporated in 1979 following a joint venture between Hong Leong Industries and Yamaha Motor Company Ltd., Japan. HLYM was established to assemble motorcycles. At the same time Hong Leong Yamaha Distributor Sdn Bhd (HLYD) was formed with its headquarters in Jalan Ipoh, Kuala Lumpur and later moved to Petaling Jaya. HLYD was to concentrate on sales, marketing and distribution of motorcycles. In 1979 HLYM set-up its first assembly plant in Shah Alam. Operations HLYM rolled out its first locally assembled model, the RX100 in December, 1979. In the following year three other models, namely Y80, DX100 and DT125 were introduced. The Shah Alam plant was producing 3,500 units per month. In respond to the government’s call to increase local content with the support from local SMIs, Allied Auto Parts Sdn Bhd (AAP) was established in 1981 to produce stamping, welding, plating and machining parts for Yamaha motorcycles. In the 1980s HLYM assembled the RXS, Passola, Y80, Y88, RXZ and 100 Sport. In 1988, HLYM witnessed a historical event with the 500,000 Yamaha motorcycle roll-out from the Shah Alam facility. The factory’s capacities for HLYM and AAP in Shah Alam ramped up to 10,000 units per month. Exciting Yamaha models were rolled-out in 1990s such as the Y110 (100cc), TZM150,Virago XV535 (big cc bike), SRE, 110SStwo, Majesty YP250, Virago XV250, Dragstar XVS650 (650cc), 125Z and SRX. 1994 was a historical year with the roll-out of the 1,000,000th Yamaha bike from the Shah Alam plant. In 1995, HLYM and AAP both achieved the prestigious ISO 9002 certification by SIRIM for assembly and manufacturing of motorcycles. A research centre known as Yamaha Motor Research Centre (HLYR) was established in 1997 as the second independent Yamaha joint venture for R&D in Asia after Taiwan. This was in response to the government’s call to invest in R&D. With the strong Yamaha sales, and capacity constraints faced at the factory,  the 100 million Ringgit Hong Leong Yamaha Complex was set-up in 1997. Located prominently in Bukit Rahman Putra in Sungai Buloh and sprawling across 36 acres, the complex housed the Hong Leong Yamaha Distributor, Hong Leong Yamaha Motor, Hong Leong Yamaha Research and Allied Auto Parts. To facilitate the increase of assembly capacity, AAP merged with Hong Leong Yamaha Motor in 1997. The production capacity grew to 15,000 bikes a month. The new millennium heralded the roll-out of Yamaha SRV, SR Lagenda, Nouvo, Lagenda 110, Ego, Nouvo S, 125Z, Lagenda 110Z and 135LC. In a move to achieve manufacturing excellence, Hong Leong Yamaha Motor embarked on the Total Productive Maintenance (TPM) programme to enhance Quality, Cost and Delivery Performance. This culminated with the HLYM being conferred with an award for TPM Excellence 1st Category by the prestigious Japan Institute of Plant Maintenance. In 2004, HLYM celebrated its 25th anniversary, paying tribute to its loyal customers, dealers, vendors, business partners and employees. HLYM completed the rationalization process with the merger of HLYD in 2005. Mindful towards environment, HLYM was awarded with the ISO 14001 certificate by SGS Malaysia and SGS UK. Today, HLYM is the only motorcycle manufacturer in Malaysia to have achieved triple certifications of ISO 9002, TPM and ISO 14001. In 2007, HLYM commemorated the roll-out of the 2 millionth Yamaha bikes in Malaysia. HLYM currently has a strong staff force of over 1,000 personnel. Marketing Activities In its effort to further grow the Yamaha brand name, HLYM has been actively involved in social development programmes focusing in sports, activities for customers, safety riding programmes and motor sports. In sports, namely football, HLYM sponsored the 2012 Yamaha 1MCC (Malaysia Cardiff City) youth football tournament for U12, U14 an U16. Outdoor activities such as riding clinics, convoy rides and expeditions such as the 1,400km Yamaha Trans Borneo Adventure in Sabah and Sarawak. Within the safety pillar, HLYM promoted safety riding programmes such as the Yamaha Safety Road Science (YSRS) catered towards universities and factory employees.  HLYM has been conducting the annual Yamaha Balik Kampung 15 point safety check campaign for the past 14 year to encourage safe journey. HLYM was involved in motor sports activities such as the AAM Petronas Cub Prix Championship and the Asia Road Racing Championship.