Consolidated Business Results for Six Months of the Fiscal Year Ending March 31, 2011 (U.S.GAAP)

Komatsu Ltd. today announced its consolidated business results for six months of the fiscal year ending March 31, 2011. The highlights are described below.

1. Results for Six Months Ended September 30, 2010

For the first six-month period, sales and profits increased in both businesses of Construction, Mining & Utility Equipment and Industrial Machinery & Others. Operating income surpassed 100 billion yen, and operating income ratio improved to 12.1%.

2. Projection for the Fiscal Year Ending March 31, 2011

In the construction, mining and utility equipment business, Komatsu can look forward to further improving productivity against the backdrop of expanding sales volume as market demand remains strong in regions. In the industrial machinery and others business, sales of wire saws have been accelerating, particularly since the start of the current fiscal year. So, although we are anticipating the negative factor of the Japanese currency appreciating against the U.S. dollar and Renminbi, we are expecting that both sales and profits will surpass the respective figures we projected in July 2010. As preconditions for our current projections, we are assuming the foreign exchange rates in the third and fourth quarters to be as follows:

3. Dividends

After considering the current business performance and future outlook of the Komatsu Group, the Board of Directors has resolved to increase annual dividends by JPY8 per share from the earlier projection of April 2010 (JPY28 per share, consisting of JPY14 for interim dividends and JPY14 for year-end dividends).

*Please find attached file for more details.

Information in the news releases is current on the date of the announcement and is subject to change without notice.

2010/10/28

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Consolidated Business Results for Six Months of the Fiscal Year Ending March 31, 2011 Presentation