KDDI Announces Merger of Prism Communications and KDDI Korea

KDDI Corporation
Okinawa Cellular Telephone Company

May 27, 2009

KDDI subsidiary Prism Communications Co., located in Seoul, South Korea, will merge with KDDI Korea Corporation, also located in Seoul, as of June 1, 2009. The name of the new merged company will be KDDI Korea Corporation.

KDDI decided to merge KDDI Korea into Prism Communication in order to efficiently expand the ICT business in Korea.

Through the merger, it will be possible to provide unified solutions under the KDDI brand to both traditional customers of Prism Communications and customers of KDDI Korea.

Prism Communications' customers, Korean companies and non-Japanese global companies, will be able to make use of global networks, overseas area networks, and overseas data centers, which the KDDI Group provides throughout the world, through a single agent. KDDI Korea's customers, Japanese companies, will be able to make use of even stronger ICT support than is presently available and domestic networks within Korea.

Making use of the strengths of both companies, KDDI Korea will pursue greater services for its customers.

The merger will have only a minor impact on the consolidated earnings for the KDDI Group.

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