Toyota to Establish New North American Headquarters

Torrance, Calif., Erlanger, Ky., New York, N.Y., and Ann Arbor, Mich., April 28, 2014Toyotatodayannouncedthat itisestablishinganewheadquartersinNorthDallas(Plano),TexasforitsNorthAmericanoperationsinamovedesigned tobetterservecustomersandpositionToyotaforsustainable,long-termgrowth. Withinthenextthreeyears,ToyotasthreeseparateNorthAmericanheadquartersformanufacturing,salesand marketing,andcorporateoperationswillrelocatetoasingle,state-of-the-artcampusinPlano.ToyotasNorthAmerican financearmalsoplanstomoveitsheadquarterstothisnewsharedcampus.Altogether,thesemoveswillaffect approximately4,000employees. Atthesametime,ToyotawillexpandtheToyotaTechnicalCenter(TTC)inMichigantoaccommodatetherelocationof directprocurementfromErlanger,Ky.,toitscampusinYorkTownshipnearAnnArbor.Thisexpansionispartofan increasedinvestmentinengineeringcapabilitiesandwillaccommodatefuturegrowthinproductdevelopment. ThetransitiontoPlanofromthreecurrentheadquarterslocationsaffectingapproximately2,000employeesatToyota MotorSales,U.S.A.,Inc.(TMS)inTorrance,Calif.;about1,000employeesatToyotaMotorEngineering&Manufacturing NorthAmerica,Inc.(TEMA)inErlanger,Ky.;andcertainemployeesatToyotaMotorNorthAmerica(TMA)inNewYork, N.Y.willbeginwithinitialsmallgroupsthissummer.However,themajorityoftheseemployeeswillnotmoveuntil constructionofToyotasnewheadquartersiscompletedinlate2016orearly2017.ToyotaFinancialServices(TFS)is notexpectedtotransitiontoPlanofromitscurrentheadquartersinTorrance,Calif.,until2017,whichwillaffectaround 1,000employees. JimLentz,whowasnamedToyotasfirstchiefexecutiveofficerfortheNorthAmericaRegionin2013,said:Withour majorNorthAmericanbusinessaffiliatesandleaderstogetherinonelocationforthefirsttime,wewillbebetterequipped tospeeddecisionmaking,sharebestpractices,andleveragethecombinedstrengthofouremployees.This,inturn,will strengthenourabilitytoputcustomersfirstandtocontinuemakinggreatproductsthatexceedtheirexpectations. Ultimately,enablinggreatercollaborationandefficienciesacrossToyotawillhelpusbecomeamoredynamic,innovative andsuccessfulorganizationinNorthAmerica.ThisisthemostsignificantchangewevemadetoourNorthAmerican operationsinthepast50years,andweareexcitedforwhatthefutureholds. InsupportofthecommunitiesinCaliforniaandKentucky,Toyotaalsoannounceda$10millionphilanthropiccommitment toprovidecontinuedfundingforlocalnon-profitsandcommunityorganizationsinthesestatesoverafive-yearperiod beginningin2017,overandaboveexistingcommitments. TheestablishmentofanewheadquartersbuildsuponpreviouseffortsbyToyotatoenhanceregionalautonomy, self-relianceandresponsibility.Whilethesalesandmarketing,manufacturingandcorporatebusinessunitswillretain theirresponsibilitiesandoperatingnames,Toyotaexpectsthatnewcross-functionalteamswillidentifyandexecuteon waystoservethebroaderNorthAmericanorganization. Toyotawillconstructanew,environmentally-sustainablecampusfacilityinPlano,whichisexpectedtotaketwoormore yearstoconstructaftergroundbreakinginthefallof2014.Untilthenewcampusfacilityiscomplete,initialsmallgroups ofemployeeswillworkfromatemporarylocationinthePlanoarea. ToyotawillalsobuildanewfacilityonTTCsYorkcampus(subjecttofinalapprovalofstateandlocalincentives)to accommodateapproximately250directprocurementpositionscurrentlybasedatTEMAinErlanger. Inaddition,about300productionengineeringpositionsbasedinErlangerwillberelocatedtoanewfacilitytobebuiltat ToyotaMotorManufacturingKentucky(TMMK)inGeorgetown,Ky.,whileapproximately1,000TEMAadministrative positionswilltransitiontoPlano.

Toyotas10manufacturingplantsintheU.S.willnotbeimpactedbythesechanges.Also,thefollowingToyotaunitswill notbeimpactedatthistime: ToyotaregionalfieldofficesandLexusareaoffices OperatingunitsinCanada,MexicoandPuertoRico ToyotaFinancialServicesregionaloffices,salesoffices,servicecentersanditsbank CaltyDesignResearchfacilities ToyotaInfoTechnologyCenter ToyotaRacingDevelopment AirFliteInc. LogisticsServicesFieldLocations Distributioncenters Aftermovingfromitsexistingheadquarters,Toyotawillcontinuetohaveapproximately2,300employeesinCalifornia and8,200employeesinKentucky.Thisincludes750newjobsbeingaddedatTMMKforproductionoftheLexusES, whichbeginsin2015.ToyotawillalsocontinuetomaintainofficesintheNewYorkCityareaandWashington,DC. ThemovewillnotimpactToyotasrelationshipwithGulfStatesToyota,Inc.(GST),aprivatedistributorofToyotavehicles basedinHouston,Texas. ToyotaFinancialServices(TFS)isaservicemarkusedtorefertoanumberofentities,includingToyotaMotorCredit Corporation(TMCC),ToyotaFinancialSavingsBank(TFSB),andToyotaMotorInsuranceServices,Inc.(TMIS).