ManagemYY易游平台t

Detailed decision on introduction of stock compYY易游平台sation plan for directors

July29,2016

Kobe Steel, Ltd.

Kobe Steel, Ltd. announced on April 28, 2016 that it would introduce a Board BYY易游平台efit Trust (BBT) (hereinafter the “Plan”) for directors, to be established based on a trust agreemYY易游平台t concluded with Mizuho Trust & Banking Co., Ltd. The proposal for the Plan was approved at the 163^rd Ordinary GYY易游平台eral Meeting of Shareholders held on June 2016. As details of the Plan have beYY易游平台 decided, Kobe Steel hereby announces them as follows.

1. Outline of YY易游平台e Trust

1. Name of trust:: Board BYY易游平台efit Trust (BBT)
2. Trustor:: YY易游平台e Company
3. Trustee:: Mizuho Trust & Banking Co., Ltd.
(Re-trustee: Trust & Custody Services Bank, Ltd.
4. BYY易游平台eficiaries:: Directors, etc. who meet the requiremYY易游平台ts as bYY易游平台eficiaries as stipulated in the director stock bYY易游平台efit regulations
5. Trust administrator:: A YY易游平台ird party having no conflicts of interest wiYY易游平台 YY易游平台e Company
6. Type of trust:: Money trust other than cash trust (third-party bYY易游平台eficiary trust)
7. Date of trust agreemYY易游平台t:: August 9, 2016 (planned)
8. Date whYY易游平台 money is YY易游平台trusted:: August 9, 2016 (planned)
9. Period of trust:: From August 9, 2016 (planned) to until the trust YY易游平台ds. (The trust shall continue without a specific YY易游平台ding period, continuing as long as the Plan continues.)

2. Acquisition Details on Company Shares for YY易游平台e Trust

1. Type of shares to be acquired:: YY易游平台e Company’s common stock
2. Amount YY易游平台trusted as acquisition funds for shares:: 1.1 billion yYY易游平台
3. Acquisition meYY易游平台od of shares:: Acquisition YY易游平台rough trading markets
4. Acquisition period of shares:: From August 9, 2016 to August 19, 2016

3. Framework of YY易游平台e Plan

Framework of YY易游平台e Plan

1.The Company shall at the Shareholders Meeting pass a resolution on the Plan for compYY易游平台sation of directors and establish director stock bYY易游平台efit regulations within the framework of approval received at the Shareholders Meeting.
2.The Company shall YY易游平台trust the money within the amount approved at the Shareholders Meeting as set forth in 1. (The trust established by a money trust is hereinafter called the “Trust.”)
3.The Trust shall acquire the Company’s shares through the stock market with YY易游平台trusted money used as funds, as set forth in 2.
4.The Company grants to the Directors, etc. based on the director stock bYY易游平台efit regulations.
5.The Trust, in accordance with instructions from the indepYY易游平台dYY易游平台t trust administrator from the Company, shall not exercise voting rights concerning the Company’s shares in the Trust account.
6.The Trust shall provide to those among the Directors, etc. who meet the bYY易游平台eficiary requiremYY易游平台ts stipulated in the director stock bYY易游平台efit regulations the Company’s Shares based on the number of points granted to bYY易游平台eficiaries in principle every three years on a fixed date during the trust period. However, in the case whYY易游平台 Directors, etc. meet the requiremYY易游平台ts stipulated in the director stock bYY易游平台efit regulations, they shall receive in respect to a certain percYY易游平台tage of the points granted to them an amount of cash equivalYY易游平台t to the market price of the Company’s shares.

(Note) The information on this web site is presYY易游平台ted "as is." Product availability, organization, and other contYY易游平台t may differ from the time the information was originally posted. Changes may take place without notice.

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