OREANDA-NEWS. Sharp Corporation and Pioneer Corporation agreed today to dissolve their capital alliance as follows, though Sharp and Pioneer had entered into a business and capital alliance agreement to jointly proceed with the development in the optical disk business and other fields.

Sharp and Pioneer are currently engaged in the optical disk business in a joint venture, and agreed to continue the business alliance.

(1) Reason for the Dissolution of the Capital Alliance
On September 20, 2007, Sharp and Pioneer entered into a business and capital alliance agreement to jointly proceed with the development in the optical disk business and other fields. Since both companies have now decided that the original purpose of the capital alliance, which was to ensure a close and firm business alliance, has been achieved, the companies have determined to dissolve the capital alliance.

(2) Pioneer's shares held by Sharp
Common stock: 30,000,000 shares (ratio against Pioneer's total number of issued shares: 8.05%)

(3) Sharp's shares held by Pioneer
Common stock: 10,000,000 shares (ratio against Sharp's total number of issued shares: 0.59%).