Comment on a media report concerning the Kobe Steel Group’s real estate business

Today, the October 11 issue of the Nihon Keizai Shimbun reported that Kobe Steel, Ltd. had decided to sell its real estate business. However, there is no fact to that report. In carrying out its Fiscal 2016-2020 Group Medium-Term Management Plan, Kobe Steel is considering and implementing various measures for each of its businesses, including strategic investments in priority areas. In regard to its real estate business, Kobe Steel has started considering optimum measures that could be taken for the future growth of the real estate business and its further development, but at this time Kobe Steel has made no decisions.