Subcommittee on the Automotive Industry in Canada committee  I think I understand your question. The challenge for any manufacturer is to listen to the voice of your customer. The good guys are the guys who listen and react quickly. They're the winners. The losers are manufacturers who don't listen to the voice of their customer and continue to produce product.

Subcommittee on the Automotive Industry in Canada committee  Honda believes in Canada. We believe in the strength of Canada. We have invested, as I said earlier, over $2.6 billion in Canada. That money has been earned in Canada, from Canadians. Honda reinvests money back into the economy. If we didn't have confidence in Canada, then we would not be here, so absolutely: unquestionable loyalty to this country.

Subcommittee on the Automotive Industry in Canada committee  It's very flexible. As Honda, we have one of the most--if not the most--flexible manufacturing systems in the world for automotive, so we can adapt almost daily to the requirements of the marketplace.

Subcommittee on the Automotive Industry in Canada committee  The major issue we had was actually twofold. A year ago, as you may remember, we were tackling a totally different marketplace. The Canadian dollar was at par, and we were taking very strong action to protect the perceived price difference between Canadian vehicles and the equivalent American vehicles.

Subcommittee on the Automotive Industry in Canada committee  That's an interesting question. The market tends to find its own level, so today, in real dollars, automobiles and light trucks have never been cheaper. It's the best time it has ever been to purchase or lease a vehicle. So the market is adjusting itself right now based on demand.

Subcommittee on the Automotive Industry in Canada committee  I'm not familiar with what our competitors' compensation packages are. I'm sure you are aware that our factories in Alliston are not unionized. Our philosophy has always been that it's up to our associates whether they wish to belong to a union or not. Judging by the fact that they don't, we have to assume they feel they are being compensated at a reasonable level.

Subcommittee on the Automotive Industry in Canada committee  I don't have enough knowledge, and frankly we don't benchmark those manufacturers. We try to make sure we have well-trained, very happy associates working at our factories. So far we seem to have been successful.

Subcommittee on the Automotive Industry in Canada committee  We have never asked any governments for support anywhere in the world, and I don't want to speculate as to when the economy might recover.

Subcommittee on the Automotive Industry in Canada committee  I have no knowledge of Toyota's compensation package.

Subcommittee on the Automotive Industry in Canada committee  No.

Subcommittee on the Automotive Industry in Canada committee  We are of the opinion that any company going out of business will damage the economy, and any damage to the economy will damage our business.

Subcommittee on the Automotive Industry in Canada committee  That's a little difficult for me to answer, because I've only been in this position for just over a year. But either individually or through the associations we belong to, we have been discussing openly with government. To the best of my knowledge, we have not requested anything from the government in terms of stimulation for the business until now, because up to last year the business was going very well for us.

Subcommittee on the Automotive Industry in Canada committee  There has been a significant approach. I have had several meetings in the last year and a half with various ministers relating to those kinds of things.

Subcommittee on the Automotive Industry in Canada committee  During those several meetings we had, one of the major issues we talked about a lot was harmonization with the U.S. We were recently assured by the government that the general direction is to do everything they can to harmonize those regulations with the U.S. The major point is that as long as the regulations and specifications on safety equipment in vehicles, for example, between Canada and the U.S. are different, the customer is required to pay more for that product.

Subcommittee on the Automotive Industry in Canada committee  Good evening, Mr. Chair, committee members, ladies and gentlemen. It is a great pleasure for me to be here this evening to talk to you about Honda Canada. Thank you for inviting Honda Canada to participate in this hearing on the crisis facing the auto industry in Canada. Mr. Manabu Nishimae, president and CEO of Honda Canada, wanted to be here tonight, but he is unfortunately unable to do so because he is out of the country at this time.