December 16, 2013

In recent days, there have been reports in the news media regarding Sumitomo Heavy Industry, Ltd.’s (hereinafter referred to as “SHI” or the “Company”) defense equipment. This is to notify that the content of the reports are not based on any material disclosed by the Company.

In June of this year, SHI notified the Ministry of Defense of an issue whereby the Company discovered that inappropriate measures were taken during the inspection process for certain defense equipment. Currently, the Company is fully cooperating with the Ministry on the investigation.

At present, the impact of this decision on the Company’s financial performance is not yet known. Further information will be made available if there are any changes to the current condition.