Restoration and compensation costs arising from disasters affecting affiliated companies and oil spills

「On 28 August 2019, the Omachi Plant of 株式会社佐賀鉄工所, an equity-method affiliate of the Company, was damaged by record heavy rain in northern Kyushu, and an accident involving an oil spill from the plant also occurred. The equity-method affiliate recognized the estimated amount as a provision for disaster-related losses as of the end of the third quarter of the current consolidated fiscal year, in preparation for compensation for crops, farmland and other property damaged by the disaster.」

「On 28 August 2019, the Omachi Plant of 株式会社佐賀鉄工所, an equity-method affiliate of the Company, was damaged by record heavy rain in northern Kyushu, and an accident involving an oil spill from the plant also occurred. The equity-method affiliate recognized the estimated amount as a provision for disaster-related losses as of the end of the second quarter of the current consolidated fiscal year, in preparation for expenditures required to restore disaster-damaged assets and for compensation. Some costs and other items are difficult to estimate reasonably at this time. Depending on developments, they may affect the consolidated results of the Company Group through the recognition of additional provisions and other measures.」