FOR IMMEDIATE RELEASE

March 7, 2013
Company Name: Leopalace21 Corporation
Representative: Eisei Miyama, President and CEO
Code Number: 8848 (Tokyo Stock Exchange, First Section) Contact: Bunya Miyao, General Manager
Public Relations Office
Tel: +81-3-5350-0216
E-mail: ir@leopalace21.com

Notice Concerning Approval for Exercise of Stock Acquisition Rights (with option to reset strike price) issued through Third Party Allotment (Target Issue Program "TIP" subject to Issuer's approval for exercise)

Leopalace21 announces that it has granted approval for exercise of the 3rd series of stock acquisition rights ("SARs") issued to Deutsch Bank AG, London Branch ("DBL") through third party allotment on February 27, 2012, based upon prior agreement with DBL with respect to the
SARs (Target Issue Program "TIP" subject to issuer's approval for exercise).

1. Name of SARs

Leopalace21 Corporation 3rd Series of Stock Acquisition Rights

2. Notification date of approval for exercise

March 6, 2013

3. Period during which SARs may be exercised

Within 20 business days of the date of approval for exercise

(March 7, 2013 to April 4, 2013)

4. Number of SARs permitted to be exercised

14,000,000 (14,000,000 SARs in the 3rd series, of which

14,000,000 SARs unexercised)

Class and number of shares

5. issued upon exercise of

SARs

Common stock

One share issued for each SAR

6. Strike price of SARs

JPY 350

This translation is prepared for information purposes only. In the event of any inconsistency, the original terms in Japanese

language should prevail.

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