Announcing New Personnel System for Senior Management Officers

Komatsu Ltd. (President and CEO: Tetsuji Ohashi) (hereinafter "Komatsu") will introduce a new personnel system based on the discussions by the Personnel Committee and resolution by the Board of Directors as follows.

1. Appointment of Global Officers and Promotion of Presidents of Major Overseas Subsidiaries to Executive Officers

In order to further stride and grow as a full-fledged global company, Komatsu believes that it is absolutely indispensable to offer opportunities in which all employees of the Komatsu Group can demonstrate their talents in all sorts of business domains anywhere in the world, regardless of their nationality, gender and the like. Against the background of steady localization of management in many regions of the world, Komatsu has transferred significant roles to employees of overseas subsidiaries. With respect to top management officers of major overseas subsidiaries, who are responsible for the execution of important overseas business, Komatsu is going to appoint twenty-six (26) national top managers and expats to global officers effective April 1, 2016. This move is designed to enhance their awareness as senior management officers of Komatsu which is committed to globally consolidated management. Komatsu expects that they will further expand their areas of performance, contributing to improving Komatsu's consolidated business results.

Furthermore, Komatsu is going to newly appoint fourteen (14) of these global officers to its executive officers. In addition to top management roles of their companies, Komatsu is planning to further broaden their areas of performance as senior management officers by asking them to participate in global business meetings and programs.

2. New Office of Chief Information & Innovation Officer (CIO)

Effective April 1, 2016, Komatsu is going to create a new office of CIO and appoint Mr. Yoshisada Takahashi to CIO. Mr. Takahashi will be responsible for not only overseeing all information-related matters but also innovating Komatsu's superior manufacturing (Monozukuri) and business processes by incorporating new technologies and ideas, such as AI (artificial intelligence) and IoT (Internet of Things).

Komatsu has taken full advantage of leading-edge ICT to develop technologies for its DANTOTSU products, DANTOTSU service and DANTOTSU solutions. As the speed of ICT innovation is accelerating, Komatsu believes its competitive edge is determined by how to apply ICT not only for the creation of new value for customers' jobsite operations but also for the collaboration with distributors and suppliers among others, and for the innovation of all operational processes ranging from sales of new equipment to the after-market business. Under the new leadership of CIO, Komatsu is going to accelerate the speed of innovation by making cross-organizational efforts.

Information in the news releases is current on the date of the announcement and is subject to change without notice.


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