Agreement Concluded for Mitsubishi Power to be Integrated into MHI

Mitsubishi Heavy Industries, Ltd.
Mitsubishi Power, Ltd.

· Integration of business operations to MHI effective October 1, to vigorously advance “Energy Transition” solutions
· Global expansion to continue with the retained use of “Mitsubishi Power” brand name overseas

Tokyo, July 30, 2021 - As announced on May 10, Mitsubishi Heavy Industries, Ltd. (MHI) reached an agreement under which Mitsubishi Power, Ltd. will be integrated into MHI. An absorption-type split agreement to integrate the two companies' business operations has now been concluded, whereby the business operations and employees of Mitsubishi Power will be taken over by MHI effective October 1, 2021.

1. Summary of absorption-type split agreement
Under the newly concluded agreement, the business operations and employees of Mitsubishi Power involved in the design, manufacture, sale, installation and engineering of thermal power generation systems will be transferred to MHI and integrated. The move will further accelerate the “Energy Transition” solutions that serve as one of MHI Group's growth engines. In addition, the two companies' management resources will be unified to enable greater efficiency, and a dynamic business structure will be formed to respond more flexibly to changes in the global markets.

2. Integration of Mitsubishi Power's major domestic bases
Among Mitsubishi Power's current plants and bases within Japan, those located in areas where MHI also has manufacturing bases - namely, Mitsubishi Power's Takasago Works (Takasago City, Hyogo) and Nagasaki Works (Nagasaki City, Nagasaki) - will be integrated, respectively, into MHI's Takasago Machinery Works and Nagasaki Shipyard & Machinery Works. Mitsubishi Power's Hitachi Works (Hitachi City, Ibaraki) and Kure Works (Kure City, Hiroshima) will become MHI's Hitachi Works and Kure Works.

3. “Mitsubishi Power” brand name will continue in overseas markets
Even after integration with MHI, the “Mitsubishi Power” brand name, widely recognized around the globe, will continue to be used for overseas markets. Mitsubishi Power, Ltd. will continue to exist as a corporation within Japan, functioning as the presiding company and contract agent for the core Asian and Middle Eastern markets, etc.

4. Names of Mitsubishi Power's group companies
As a result of the business integration, Mitsubishi Power's group companies in Japan will in some cases undergo a corporate name change, as indicated in the attached list. The names of its overseas group companies will remain unchanged.

• Attachment 1: Timely Disclosure Material: Notice Concerning Conclusion of Absorption-type Split Agreement Whereby MHI will Succeed to the Thermal Power Generation Systems Business, etc. of Wholly-owned Subsidiary (PDF/274KB)
• Attachment 2: Mitsubishi Power Group Companies Undergoing Name Change (PDF/330KB)