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APRIL 20, 2007

Due to the rapid change in the community surrounding the Tamagawa factory and the
redevelopment plans for the area, TKS began searching for a relocation site. The
Tamagawa Factory is currently our main production and engineering facility; which
many of you have visited over the years. We would like to announce to our TKS
users in the United States that we have made a decision on a new factory location
in an industrial park in Chiba prefecture. After going through the normal inspec-
tions to pass local land ordinances, approval was obtained followed by the purchase
of the land and a development of a relocation logistics plan.

New Factory Site: KAZUSA ACADEMIA PARK, Chiba Prefecture

Land Area: 67,633.12 m2 (approx. 16.7 acres)

Planned Usage of New Site: Research and Development center and full manufacturing
factory for rotary printing presses

Construction Schedule: Start October, 2007 and complete end December, 2008
Operational in April 2009

Investment Amount: US - $84 million)

No. of Employees: 300

With the new research and production factory at our Kazusa Techno Center covering
eastern Japan, and the Iga factory, which will be renovated and renamed the Iga Techno
Center, covering western Japan, the two factories will be the foundation of a state-
of-the-art production, research and development, and customer service organization.
It was a strategic decision to position our production facilities in the Eastern and
Western parts of Japan. In the event a major calamity occurs, TKS feels assured that
our production capability will not be curtailed. Our new Kazusa Techno Center will be
conveniently close to the two main airports serving Tokyo – Narita Airport and Haneda
Airport.

Redevelopment of the Tamagawa Factory Site:

After giving business considerations to the urban renewal program and to the welfare of
the local community, we have developed a plan to embark on the commercial earnings
potential of this site. To this end, we are in the planning process for a large multi-
purpose commercial complex at our Tamagawa No. 1 Factory (24,345/6 acres), and a high-
rise condominium at our Tamagawa No. 2 Factory (8,925/2.2 acres).