KDDI Corporation (9433)
Tokyo, Japan
President: Tadashi Onodera

For more inquiries, please contact
Managing Director,
Administration Manager
Nariyoshi Tanaka
+813 3347 7003



KDDI to Transfer Assets to Trust



Tokyo, November 15, 2001 -- KDDI Corp. decided to transfer assets to a trust with beneficiary rights. For more details, please see below.

1. Reason for the transfer of assets to trust
KDDI transferred assets to the trust with beneficiary rights as a way to reduce interest-bearing debt and to improve its financial position.
2. Summary of assets
Name Location Approximate book value
(land/building)
Transfer price Current situation
KDDI Building 2-3-2 Nishi-Shinjuku, Shinjuku-ku 17.4 billion yen 187.4 billion yen for all four buildings. Used by KDDI
KDDI Otemachi Building 1-8-1 Otemachi, Chiyoda-ku 10.6 billion yen
KDDI Osaka Building 2-7-72 Shiromi, Chuo-ku 11.3 billion yen
KDDI Nagoya Building 1-18-33 Nishiki, Naka-ku, Nagoya-shi, Aichi-ken 1.5 billion yen
Total
40.8 billion yen 187.4 billion yen

The above assets were transferred to a trust of The Yasuda Trust and Banking Co., Ltd. on September 28th, 2001, and who then obtained beneficiary rights to the trust. KDDI and Yasuda Trust also signed fixed-term building rental contracts on September 28th, 2001.

3. Summary of transferee
Name Central Tower Estate Co.
Address Chiyoda-ku, Tokyo
Representative Shigeru Sugimoto
Capital 10 million yen (as of November 15th, 2001)
Major shareholder Central Tower Holdings Co. (Cayman SPC)
Main business Acquisition and disposal of the beneficiary rights to the trust
Relationship to KDDI There is no capital relationship or transfer of board members between KDDI and Central Tower Estate
4. Transfer date
November 16th, 2001 (Expected date of signing the transfer contrat for interest in trust and the actual exercise of transfer)
5. Forecast
The expected profit of 140 billion yen resulting from the transfer of assets to a trust with beneficiary rights will be accounted for as extraordinary profit on the consolidated and non-consolidated financial statements for the year ending March 2002.



Copyright (C) 2001 KDDI CORPORATION All Rights Reserved.