Notice Regarding the Effects of the Great East Japan Earthquake

KANEKA CORPORATION
April 22, 2011
We extend our deepest condolences to the victims of the Great East Japan Earthquake, and pray for the earliest possible recovery from this calamity.

Our company presented information regarding the effects to our Group of this disaster on March 14th, under the title of “Notice Regarding the Effects of the 2011 Tohoku-Pacific Ocean Earthquake.” We would now like to present updated information.

NOTICE

1. Recovery status of damaged plants
Our Kashima Plant is divided into the East Plant and the West Plant, and the West Plant, which is mainly involved in producing extruded polystyrene foam boards and functional plastics, was only mildly affected. This means it was able to resume operations starting from March 25th for functional plastics, and in stages from the same date for extruded polystyrene foam boards

Our East Plant was able to start work producing polyolefin foam and polystyrene foam, both made with the beads method, as of last week, and has now completed repair of the major equipment for producing polyvinyl chloride (PVC) and dispersion PVC in this plant. Furthermore, the damaged port facilities in the industrial complex (for raw materials berths, etc.) will finish their repairs this week, and we are now able to plan for a steady supply of raw materials. As a result, we are currently scheduling the resumption of full operations of PVC and dispersion PVC for April 25th.

In addition, our subsidiary companies have completed equipment inspections and repair work, and are starting to resume operation.

We shall continue to devote our entire efforts to recovering from this disaster, and ask for your understanding and cooperation at this time.

2. Effects on business
We are currently investigating the effects of this disaster on our consolidated business performance for the term ended March 2011, and will inform you promptly if anything requires it.