Komatsu to Purchase Its Own Shares

Komatsu Ltd. (hereinafter "Company") hereby announces that at the meeting of the Board of Directors held on October 29, 2008, pursuant to Article 156 of the Corporation Act of Japan as modified by Article 165, Paragraph 3 of the Act, the Company resolved the purchase of its own shares.

Notes

1. Reason for Purchase of Its Own Shares
To improve capital efficiency and promote redistribution of profits to shareholders

2. Shares to be Purchased by the Company
(1) Type of shares to be purchased : Outstanding common stock of Komatsu Ltd.
(2) Total number of shares to be purchased : Up to 40,000,000 shares (4.01% of total outstanding shares excluding treasury stock)
(3) Total cost of purchase : Up to 30 billion yen
(4) Period of purchase : From November 5 to December 30, 2008

[Reference] Treasury Stock as of September 30, 2008
(1) Number of shares outstanding (excluding treasury stock) : 995,412,253 shares
(2) Number of shares held as treasury stock : 3,331,807 shares

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