Payment of Cash Dividends and Revision of Year-End Cash Dividends

In the Board meeting held on October 30, 2007, the Board of Directors of Komatsu Ltd. (President & CEO: Kunio Noji) made a resolution concerning the following cash dividends as of September 30, 2007, the date of record. The Company also revised the projection of year-end dividends.

Concerning cash dividends to shareholders, Komatsu maintains the policy of redistributing profits by first striving to continue stable dividends and the considering consolidated business results, while working toward the goal of a consolidated payout ratio of 20% or higher.
For the interim period of the current fiscal year ending March 31, 2008, the Komatsu Group improved its business results centering on the construction and mining equipment business. Concerning the full-year business results, we have also revised our earlier projections upward.
After considering the interim business results and the future business outlook of the Komatsu Group, the Board of Directors set the interim dividends at ¥20 per share, an increase of ¥2 from the projected amount announced on April 26, 2007. The Company has also revised and set the year-end dividends at ¥20 per share, an increase of ¥2 from the earlier projection. As a result of these revisions, cash dividends for the year, ending March 31, 2008, will be ¥40 per share, an increase of ¥9 from the previous fiscal year.

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