8 April 2014
To whom it may concern
Showa Holdings Co., Ltd.
Mamoru Shigeta,
Representative Executive Officer and Managing Director(Code 5103 Tokyo Stock Exchange)
Contact: Tomohiko Shoji, Executive Officer(Tel: 04-7131-0181)

Announcement Regarding the Confirmation of Judgment ofAdministrative Lawsuit

We would like to announce that the government did not appeal and thejudgment at appeal court had been confirmed, regarding the administrative
lawsuit filed by our shareholder, A.P.F. Holdings co.,ltd. (“A.P.F. Holdings”
hereafter).
This is the case which was announced on 10 March 2014 that the claims wereacknowledged partly and provisional holdings were revoked.
Administrative lawsuits filed by corporations in the private sector against
the government are usually very hard to win.
In addition, the claims made by A.P.F. Holdings were acknowledged at thefirst hearing and appeal court, and the provisional holding was revoked.
Moreover the government did not appeal to the ruling in favor of A.P.F.
Holdings at the appeal court.
It proves that the provisional holding made by the Securities and Exchange
Surveillance Commission (SESC) was illegal and that the claims made by A.P.F.
Holdings until now was legal.
We believe a result of such judgments has further deepened its confidence
towards its legality and the legitimacy of its claims.
As of now, our companies have filed a national lawsuit for claims against theinvestigation made by the SESC on 6 June 2013.
A.P.F. Holdings commented “This judgment also re-confirms the illegality of
the actions taken by the SESC. The numerous judgments in the administrative
lawsuits have made it clear that the investigation made by the SESC is illegal.
We are unable to forgive the SESC for trying to justify their investigations

which ignores the law and human rights. We will put in our best efforts not
only to retrieve our innocence and trust, but also for the concerned parties
which has been troubled and worried by this case.”(Please refer to the following link for our company IR regarding the National
Lawsuit for State Reparations
http://www.showa-holdings.co.jp/news/doc/news20130606e.pdf )Description

1．Confirmed Judgment of Appeal Court
1．Dismissal of appeal
2．Expenses for the appeal shall be borne by the appellant
2．Details of the Appeal
Appellant
ExecutingJapanese Government
Administrative-Securities and Exchange Surveillance Commission

Agency-Stock Exchange Special Investigator

Date of Judgment

5 March 2014

Court

Tokyo High Court

Details

The appeal to the revoke the revocation ofthe provisional holdings ruled at the firsthearing with regards to the investigation
made by the executing administrative
agency and other.

3．Future Prospects
The mentioned case is related to our shareholder and therefore does
not have any effect on our business.
However, the confirmation of the mentioned judgment further proves
the illegality of the investigation made by the SESC. The SESC who is
supposed to keep surveillance over the law has continued to break thelaw itself. It can even be said that the SESC now does not have theability to keep control over the stock market.
It will be 4 years since the investigation on our company this coming
June. But they’re still with continued silence in terms of accusations orcontacts for cooperative investigations from the SESC, moreover thelimitation of the administrative monetary penalty finally expired. We
believe that this further proves the legality of the capital increase weimplemented in June 2008.
In order to reclaim the loss and trust lost from the investigation, wewill prove our innocence and try to set the capital market in Japan backto a little more normal and proper order through the National Lawsuit
for State Reparations filed on 6 June 2013.
We will work towards the earning of growth and improvement of ourcorporate value by the accomplishment of our mid-term business plan,
and we would like to ask for your understanding on this matter.
Thank you