Air Water : Acquired Shares of GLOBALWIDE, Singapore - First Overseas Medical Business M&A -

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June 28, 2017 AIR WATER INC.

(Securities Code 4088) Listed on the First Section of TSE and SSE

Air Water Inc. (Chairman of the Board, CEO Masahiro Toyoda, hereafter "Air Water") announced that it has acquired 55% of the shares of GLOBALWIDE INTERNATIONAL PTE. LTD (hereafter GLOBALWIDE INTERNATIONAL) and also of GLOBALWIDE M&E PTE. LTD (hereafter GLOBALWIDE M&E), both of which operate hospital interior and facilities construction business in Singapore, from the founders of each company, as of June 21, 2017.

With the acquisition of these shares, Air Water will position these two companies as hubs of its medical business in Southeast Asia. Air Water aims to expand this business by creating synergies with its domestic hospital facility construction and medical treatment services that it has cultivated to date.

1. Background of the acquisition of shares

   Air Water has been creating a system for strengthening high priority business bases in Southeast Asia, India and North America with a view to business overseas becoming one of the company's growth pillars after 2020, and has launched market research and the search for potential projects not only in the field of industrial gas, but also in a broad range of areas including medical and agriculture and food products fields.

   In its medical business, Air Water is also considering entering the overseas market, taking advantage of its areas of strength in each of its long-standing businesses, including "hospital facility construction," "medical gas," "home medical care," "medical treatment support services" and "medical treatment devices" that it has built up in Japan. The products and technology for which Air Water aims to expand exports include hypodermic needles, dental materials and their molding tools, X-ray medical devices, sanitary materials, bathing and showering units for nursing care, and technology to construct operating rooms. In particular, the construction of operating rooms and sale of ancillary equipment are considered to be a pillar of the company's strategy to capture shares in foreign markets, given the high share of the operating room construction market in Japan held by our group company, Air Water Safety Service Inc.

   In these circumstances, in order to expand business, Air Water has taken a stake in both companies, GLOBALWIDE INTERNATIONAL and GLOBALWIDE M&E, which operate hospital interior and facilities construction business in Singapore.

   These two companies possess comprehensive capabilities to undertake main frame construction, design, and interior construction of hospitals in a one-stop service, and have maintained a high rate of company growth thanks to the increase in hospital and nursing care-related investment in Singapore where aging is progressing at a speed exceeding that of Japan. Further expansion can be achieved through support for products, technology, business management and production management from Air Water Safety Service Inc. together with the sophisticated design capabilities of these two companies in Singapore. Also, this collaboration will help expand Air Water's business not only in Singapore but also in neighboring ASEAN countries. Air Water will use these two companies as bases for developing its medical business in Southeast Asia.

2. Company outline

   Corporate name GLOBALWIDE INTERNATIONAL PTE. LTD

   Location of headquarters 84 Kaki Bukit Industrial Terrace Singapore Representative Ng Tze Bee, Rebecca

   Description of business Interior design and construction focused on hospitals Capital 240,000,000 yen

   Date established December 2006

   Number of employees 110

   Corporate name GLOBALWIDE M&E PTE. LTD

   Location of headquarters 84 Kaki Bukit Industrial Terrace Singapore Representative Goh Winnie

   Description of business Mechanical and Electrical construction focused on hospitals Capital 12,000,000 yen

   Date established February 2011

   Number of employees 40

   Consolidated results of the above-mentioned two companies

   Net sales 2,475 million yen (for the fiscal year ending March 2017)

3. Schedules

Date of the conclusion of the contract June 19, 2017 Date of the execution of the transfer June 21, 2017

[Reference information]

About Air Water Safety Service Inc.

Location of headquarters Kobe Head Office 3-2-16, Takatsukadai, Nishi-ku, Kobe-shi, Hyogo Prefecture Tokyo Head Office 2-12-3, Nishi-Gotanda, Shinagawa-ku, Tokyo

Representative Ryoichi Aota, Representative Director and President

Description of business Medical business: Installation of hospital facilities such as operating rooms

and ICU's; construction and operation of medical gas supplying facilities, medical equipment and devices, special discharged water treatment systems, and radiation protection facilities; medical treatment maintenance

Fire extinguishing: Maintenance of nitrogen and carbon dioxide gas fire extinguishing facilities and fire extinguishing devices

Breathing apparatus: Respiration device protection equipment and system, airline mask system

Capital 1,708 million yen

Net sales (on consolidated basis) 25,112 million yen (for the fiscal year ended March 2017) Date founded September 1924

Date established April 1975

Number of employees 492 on consolidated basis (as of March 31, 2017)

End

[For inquiries on this subject, contact:]

Inoue or Noda, Corporate Communications Office, Air Water, Inc. 18-19, Toranomon 3-chome Minato-ku, Tokyo 105-0001 Japan.

TEL. +81-3-3578-7804

Email: info-tokyo-koho-h@awi.co.jp