Honda Aircraft Company, Established; New Honda Subsidiary Will Market and Produce HondaJet in the U.S

Tokyo, Japan, Aug. 08, 2006 - (JCN Newswire) - Honda Motor Co., Ltd.
today announced that is has established a wholly-owned subsidiary, named
Honda Aircraft Company, which will be responsible for the further
development, sales promotion and production of the innovative HondaJet.
The new company will be based in a facility at the Piedmont Triad
International Airport in Greensboro, North Carolina, where the prototype
HondaJet was assembled and flight tests have been carried out for more
than 3 years.

Michimasa Fujino, the chief engineer who has led development of HondaJet
and spent the past 20 years in Honda's aviation activities with Honda
R&D Co., Ltd., will be assigned as the president and CEO of Honda
Aircraft Company, and prepare for the full operation start of the new
company from October.

Honda Aircraft Company will begin taking sales orders for HondaJet this
fall, with the goal of delivering the first mass production HondaJet in
2010. In addition, the company will develop the production version of
HondaJet, pursue and hold both type certification and production
certification, and conduct marketing activities for the aircraft. The
company also will manage Honda's new alliance with Piper Aircraft, Inc.,
which will collaborate on sales and service. The goal of this alliance
is to provide a new level of sales and service to meet the needs of jet
customers with the goal of setting a higher standard for the quality of
the ownership experience. 

HondaJet features several innovations that help it achieve far better
fuel efficiency, larger cabin and luggage space and higher cruise speed
than conventional aircraft in its class. The result of 20 years of
aviation research, key HondaJet innovations include a patented
over-the-wing engine-mount configuration, a natural-laminar flow (NLF)
wing and fuselage nose, and an advanced all-composite fuselage
structure.

About the New Company:


Name:	          Honda Aircraft Company
Establishment:	 August 2006
CEO:	          Michimasa Fujino
Location:	  
        Greensboro, North Carolina



About Honda Motor Co., Ltd.

Honda Motor Co., Ltd. (LSE: HNDA.L) is one of the
leading manufacturers of automobiles and power products and the largest
manufacture of motorcycles in the world. Honda has always sought to
provide genuine satisfaction to people worldwide. The result is more
than 120 manufacturing facilities in 30 countries worldwide, producing a
wide range of products, including motorcycles, ATVs, generators, marine
engines, lawn and garden equipment and automobiles that bring the
company into contact with over 19 million customers annually. For more
information, please visit http://world.honda.com.

For further information, please visit the Honda Motor Co., Ltd. home
page at: world.honda.com <http://world.honda.com>