OREANDA-NEWS. Mitsubishi Heavy Industries, Ltd. and Hitachi, Ltd. Announced that the two companies respectively signed absorption - type company split agreements with the new company established by MHI (the “Integrated Company”) in order to transfer the business centered on the thermal power generation systems of both companies by way of company split in relation to integrating the Integrated Business in accordance with a basic integration agreement and a joint venture agreement on June 11, 2013 in relation to the Business Integration as announced in a press release titled “Mitsubishi Heavy Industries and Hitachi Conclude Definitive Agreement on Business Integration in the Thermal Power Generation Systems Field” on June 11, 2013.

Following the conclusion of these Absorption - type Company Split Agreements, MHI and Hitachi announced matters that were undecided in the June 11, 2013 Announcement as follows. Changes from the June 11, 2013 Announcement are underlined.

As announced in the June 11, 2013 Announcement, the Business Integration will be executed according to the following scheme. The equity ownership percentage of MHI and Hitachi will be 65% and 35%, respectively, on the effective date of the Absorption - type Company Split.

MHI and Hitachi will respectively transfer the Integrated Business to the Integrated Company by the Absorption - type Company Split. As a result, MHI and Hitachi owns shares of common stock of the Integrated Company 683 shares and 317 shares, respectively. MHI will sell 33 shares of common stock of the Integrated Company that it owns to Hitachi for 29.7 billion yen.