Kubota : Acquisition of a U.S. Farm Implement Manufacturer(16KB)

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To whom it may concern,

May 13, 2016

Kubota Corporation Contact: IR Group

Global Management Promotion Dept. 2-47, Shikitsuhigashi 1-chome, Naniwa-ku, Osaka 556-8601, Japan

Acquisition of a U.S. Farm Implement Manufacturer

- Expanding the implement business to build "Global Major Brand"a global major brand -

Kubota Corporation (hereinafter, "Kubota") announced that Kubota, Kubota U.S.A., Inc., Kubota's subsidiary in U.S., Great Plains Manufacturing, Inc. (Head Office: Kansas, U.S.; Chairman: Roy Applequist; President: Linda Salem; hereinafter, "GP"), a U.S. farm implement manufacturer, and its shareholders have entered into an agreement under which Kubota U.S.A., Inc. will acquire all of the shares of GP as set out below. (hereinafter, the "Transaction")

1. Background and purposes of the Transaction

   Kubota Tractor Corp., a Kubota's subsidiary which distributes tractors and construction equipment in the U.S. market, started a strategic alliance with GP, a renowned implement brand in North America, for its implement business in 2007. Since then, the two partners have worked together to expand Kubota's mainstay compact tractor business. By incorporating GP into Kubota's Group through the Transaction, Kubota hopes to advance the existing alliance and benefit from synergies, thereby further reinforcing its tractor business in North America. Kubota entered the implement market in 2012 when it acquired Kverneland ASA, which is a comprehensive implement manufacturer and whose brand is highly recognized in Europe. Kubota will have both GP's seeders and tillage which are suited to agricultural methods used in North America and Kverneland's hay implements after the Transaction and it should help Kubota to strengthen and expand its implement product lineup in the North American market, which in turn will further expand its implement business overall.

2. Summary of the Transaction

   Kubota will acquire 100% of GP's stock via Kubota U.S.A., Inc.

   (Stock purchase price: Approx. 430 million U.S. dollars*1, or approx. 49.5 billion yen*2)

   *1 To be adjusted in accordance with the provisions of the share purchase agreement

   *2 1 U.S. dollar = 115 yen

3. Information concerning GP

4. Company name: Great Plains Manufacturing, Inc.

5. Line of business: Manufacturing and sale of implements (seeders, tillage, mowers, harrowing implements, etc.)

6. Establishment: 1976

7. Head office: Salina, Kansas, U.S.

8. Representative: Linda Salem, President

9. Public/Private: Private

10. Number of employees: Approx. 1,400 (as of December 2015)

11. Schedule and future outlook

    The acquisition process is due to be completed in July 2016 after the necessary procedures.

    The impact that the Transaction will have on Kubota's performance is currently under study. If Kubota decides

    to make revisions to earnings forecasts, or if matters that need to be made public arise, Kubota will disclose it promptly.

    [About Kubota U.S.A., Inc.]

12. Company name: Kubota U.S.A., Inc.

13. Representative: Haruyuki Yoshida, President

14. Registered Office: Delaware, U.S.

15. Establishment: February 1, 1986

16. Capital: 167.1 million U.S. dollars

17. Line of business: Administration of Kubota's subsidiaries in the U.S.

[About Kubota Tractor Corporation]

1. Company name: Kubota Tractor Corporation

2. Representative: Masato Yoshikawa, President and CEO

3. Head Office: Torrance, California, U.S.

   The Head Office is to be relocated to Grapevine, Texas, U.S. in 2017.

4. Establishment: September 28, 1972

5. Capital: 37 million U.S. dollars

6. Line of business: Sales of tractors, compact construction equipment, and related products in the U.S.

End

This document may contain forward-looking statements that are based on the managements' expectations, estimates, projections, and assumptions. These statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. As such, actual future results may differ materially from what is forecast in forward-looking statements due to a variety of factors, including, but not limited to, general economic conditions in Kubota's markets, particularly government agricultural policies, levels of capital expenditures in both public and private sectors, foreign currency exchange rates, the occurrence of natural disasters, and competitive pricing pressures in the marketplace, as well as Kubota's ability to continue to design/develop products that gain acceptance in the market.

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