Komatsu to Repurchase Its Common Shares (Stock Repurchase Pursuant to the Provisions of Article 210 of the Commercial Code)

Komatsu Ltd. (the "Company" announces that at the meeting of the Board of Directors held on May 10, 2002, the Board of Directors resolved that repurchase of the Company's outstanding common shares pursuant to Article 210 of the Commercial Code will be proposed to the shareholders at the 133rd Annual Meeting of Shareholders to be held on June 26, 2002.

1. Purpose of Repurchase of Its Own Shares
In accordance with Article 210 of the Commercial Code, the Company will repurchase its outstanding shares after obtaining approval from the shareholders. With repurchase of its shares, the Company will be able to facilitate quick and flexible management in response to the changing business environment.

2. Particulars of the Shares to Be Repurchased by the Company
(1) Type of Shares to be repurchased: Outstanding common shares of Komatsu Ltd.
(2) Total Number of Shares to be repurchased: Up to 10,000,000 shares.
(1.0% of total outstanding shares)
(3) Total Cost of repurchase: Up to 5,000,000,000 yen.

Note:
Following the approval by the shareholders at the 133rd Annual Meeting of Shareholders to be held on June 26, 2002, the Company will be authorized to repurchase its common shares until completion of the 134th Annual Meeting of Shareholders.

Last updated:2002/05/10 15:33

Komatsu Ltd. Corporate Communications

2-3-6 Akasaka, Minato-ku, Tokyo 107-8414, Japan

TEL : 03-5561-2616

URL: http://www.komatsu.com/