California supply chain transparency act of 2010

Beginning January 1, 2012, the California Transparency in Supply Chains Act of 2010 (SB 657) requires manufacturers and retailers to disclose information regarding slavery and human trafficking in their supply chains. Komatsu America Corp. (collectively with its subsidiaries, “Komatsu”) is committed to ensuring that our supply chain reflects Komatsu’s values, which are set forth in Komatsu’s codes of conduct (the “Code”) and its parent company’s CSR Procurement Guidelines (the “Guidelines”). The Code and the Guidelines require that Komatsu and its affiliates abide by all rules and regulations applicable to our collective activities throughout the world – which would include applicable laws prohibiting slavery and human trafficking. This requirement applies to all Komatsu affiliates that supply Komatsu. The Code is provided to Komatsu employees when they join the company and is part of personnel training. Consistent with these standards, Komatsu expects that our suppliers and affiliates will obey all laws that are applicable to them, including laws prohibiting slavery and human trafficking. Although Komatsu has not presently established separate verification standards and procedures, audits, certification, internal accountability or training specifically focused on slavery and human trafficking, Komatsu America Corp. has standard supplier terms that it typically uses with suppliers that require that its suppliers comply with all of the applicable laws of the U.S. and Canada, which include all laws prohibiting slavery and human trafficking.