Acquisition of IHI’s Cement Plant Business to Be Postponed

Tokyo, March 28, 2008 — Kawasaki Plant Systems, Ltd. (K Plant) announced today that K Plant and IHI Corporation have changed the transfer date of IHI’s cement plant business from April 1 to July 1 this year.

As announced on February 25, 2008, the two companies reached a basic agreement on that day to fully transfer IHI’s cement plant business to K Plant. They initially set the transfer date as April 1 and planned to conclude a formal Business Transfer Contract in late March. However, they have now judged that a longer preparation period is needed so as to implement the transfer smoothly and effectively.

The two companies currently plan to conclude the formal Business Transfer Contract in late June, and transfer the business as of July 1, 2008. There will be no other changes made to this deal.