Effects of the 2011 Earthquake off the Pacific Coast of Tohoku (5)

(Production resumed)

We at the Komatsu Group hereby extend our sincere condolences to the people who have been adversely affected by the earthquake and Tsunami which occurred on March 11, 2011 and to their relatives as well.
The latest conditions of the Komatsu Group are described below. In addition, Komatsu' Group's Emergency Task Force has assessed the changing situation, developed and implemented responsive measures every day since it was formed soon after the outbreak of the earthquake. Starting next week, Komatsu Group's concerned departments will take over group-wide relief assistance efforts, stabilize production and procurement operations and engage in other related activities.

1. Employees and their families

There are a few employees who cannot confirm the safety of their family members and relatives. As our top priority task, we are continuing to look into their safety. (No change from the previous release)

2. Sales, service and other bases in the affected area

As reported in the news release to date, some bases in the Tohoku area have been seriously damaged by tsunami. We believe it will take some time for their full recovery to normal levels of operation. In this area, we are supporting affected employees to rebuild the foundation of their daily living, while starting assistance to reconstruction of the affected areas. (No change from the previous release)

3. Production

1) Our plants have resumed production in general, except for a few lines remaining under inspection and repairs. (See the next page for more information as of March 25.)
2) Concerning our suppliers who have been adversely affected, we have made progress in the assessment of their conditions and begun to implement responsive measures.
3) Our production and parts procurement may be affected into the future by a variety of factors, such as power supply, aftershock possibility, transportation infrastructure in the affected areas and the nuclear plant problem in Fukushima Prefecture. As we continue to closely monitor the ongoing situation, we are making group-wide efforts for the stabilization of our production and procurement.

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

2011/03/25

KOMATSU Corporate Communications
TEL: 03(5561)2616