News Release：Pioneer Issues Second and Third Series of Unsecured Straight Bonds

Tokyo - Pioneer Electronic Corporation announced that it will issue the Second and Third Series of its unsecured Bonds pursuant to the following conditions and schedules:

Second Series Unsecured Bonds:

1. Total amount of issue: 15,000 million yen
2. Interest rate: 2.35% per annum
3. Issue price: 100% of the principal amount
4. Yield to subscribers: 2.35% per annum
5. Security: The Bonds will be unsecured obligations.
6. Date of offering: July 14, 1998
7. Payment (issue) date: July 29, 1998
8. Maturity date: July 29, 2005
9. Principal underwriter: The Nomura Securities Co., Ltd.
10. Fiscal agent: The Sumitomo Bank, Limited

Third Series Unsecured Bonds:

1. Total amount of issue: 10,000 million yen
2. Interest rate: 2.80% per annum
3. Issue price: 100% of the principal amount
4. Yield to subscribers: 2.80% per annum
5. Security: The Bonds will be unsecured obligations.
6. Date of offering: July 14, 1998
7. Payment (issue) date: July 29, 1998
8. Maturity date: July 29, 2008
9. Principal underwriter: Tokyo-Mitsubishi Securities Co., Ltd.
10. Fiscal agent: The Bank of Tokyo-Mitsubishi, Ltd.

Use of Proceeds:

The net proceeds from the issues will be applied towards financing Pioneer's capital expenditure program and investments in and loans to its subsidiaries.