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July 3, 2006
NEWS RELEASE

Taiyo Nippon Sanso acquires mid-sized
U.S. industrial gas manufacturer Linweld Inc.

We hereby announce that the Company has signed a basic agreement
to begin procedures necessary for acquisition of all stock of
Linweld Inc., which is engaged in the manufacture and marketing
of industrial gases and other products in the midwestern United
States. The Company will make the acquisition through its wholly
owned U.S. subsidiary Matheson Tri-Gas, Inc. After completion
of due diligence procedures, the acquisition of shares is
scheduled to be completed by the end of August.

Purpose of the Acquisition
Matheson Tri-Gas operates mainly in Texas, and is also active
in a wide belt of the South, Southeast, and West, from Florida
to California. By acquiring Linweld, a medium-sized industrial
gas manufacturer with a high market share in the Midwest
(Nebraska, a state which promises long-term growth, Colorado,
Iowa, Kansas, Missouri, and South Dakota), it aims to further
expand and strengthen its U.S. business and ensure sustained
growth in earnings.

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Linweld Inc.
Linweld is a medium-sized industrial gas manufacturer which has
a high market share in the midwestern United States.
Trade name: Linweld Inc.
Address: 2900 South 70
th
Street, Suite 400, Lincoln, NE 68506
Established: 1945 (Lincoln, Nebraska)
Area of operations: U.S. Midwest
It has 27 sales and service locations in six states (Colorado,
Iowa, Kansas, Missouri, Nebraska, South Dakota)
Production facility: Waverley, Nebraska (air separation plant:
1; liquefied oxygen: approximately 2,000 m
3
per hour; liquefied
nitrogen: approximately 6,000 m
3
per hour)
Number of employees: approximately 460
Sales: approximately $149 million (estimate for the fiscal
yearended June 30, 2006)

Future Business Plans
We aim to build an air separation plant at new location
andproduce industrial gases (oxygen, nitrogen, argon) in-house
instead of purchasing gas products sourced in part from outside
the company. We also aim to further expand Linweld’s gas
business by aggressively expanding sales of products such as
pure gases, standard gases, and compound gases.