October 10, 2017
TOKAI Holdings Corporation
Katsuhiko Tokita, President & CEO(Code No. 3167 Tokyo Stock Exchange First Section)

Completion and Unveiling of “OTS House,” Base for Achieving Complete
Self-sufficiency in Water/Electricity and Representing Near-Future Housing

TOKAI HOLDINGS CORPORATION (Headquarters: Shizuoka City, Shizuoka Pref.; President & CEO:
Katsuhiko Tokita) and its four subsidiaries: TOKAI CORPORATION, TOKAI Communications Corporation,TOKAI GAS CORPORATION, and TOKAI Cable Network Corporation (hereinafter “TOKAI Group”) have built
the conceptual housing “OTS House” which represents home in the near future in Shimada City, Shizuoka Pref.,to develop, examine, and demonstrate the services related to our future daily lives. The Group announces todaythat the facility is completed and is open for public viewing.

1. Overview
TOKAI Group provides a wide range of life infrastructure services that are essential to the day-to-day lives of ourcustomers such as gas, the internet, cable television (“CATV”), bottled water delivery, and electricity. In the fieldof residential environment, the Group engages in the housing and renovation businesses, while expanding theTotal Life Concierge (“TLC”) concept, which provides comprehensive support to our customers’ lives.
In the process of further improving these services, TOKAI Group has worked to formulate a house withfunctions required in the current and near-future social environment and developed the conceptual residence
named “OTS House” in Shimada City, Shizuoka Prefecture, which embodies the vision.
The construction of the house started in April 2017 and proceeded smoothly. Following the completion of theconstruction and implementation of various functions, OTS House is now open to the public from October 10,
2017.
TOKAI Group will develop, examine, and demonstrate many new services and products through OTS House.
The Group will present this facility to many stakeholders including our customers, shareholders, business partners,
local community, and employees to propose the way of life in the near future which we envisage.
2. Basic concept and main functions of OTS House
The name “OTS” stands for “On the Spot,” indicating the basic idea of the house where you are protected andfeel secure. The Great East Japan Earthquake and 2016 Kumamoto Earthquakes dramatically changed therecognition of security for essential utilities and life-oriented infrastructure. TOKAI Group explores the vision of
the house in which you can live as usual even when the system infrastructure such as water and electricity is shut
down in case of disaster, and in the normal situation, you can stay there feeling secured and safe, and live aconvenient life while saving money every day as the Group offers one-stop services covering all kinds of life1

infrastructure.
To embody this basic concept, OTS House is built based on the three functions: securing water supply,
electricity supply, and living.
(1) The House securing water supply
OTS House supplies the domestic water it consumes without the use of waterworks system by utilizing
rainwater. Rainwater that falls on the building and the ground of OTS House is about three times* morethan the amount of water a family of four needs per year. The building and the inner court are designed
specifically to collect rainwater efficiently. The water impounded in the tank of up to 10 thousands liters
will be cleaned through the clarification system and supplied to the residential building as domestic water.
Also, sewage will be filtered using the reverse osmosis system, and the purified water will be stored again
in the tank to be recycled as domestic water. The house achieves the self-sufficiency of domestic water
through the water cycle, and approximately 40% of living drainage is reused.
*Data studied by the Company(2) The House securing electricity supply
OTS House has two types of power-generating equipment, solar panels and the home fuel cell Ene-Farm,to supply electricity it consumes without purchasing grid power. The house building is designed to install
the solar panels as many as possible, so its power generating capacity is two to three times larger than thatof a conventional home, with the output power of 9.9 kW. Moreover, the Ene-Farm adopted is a solid oxide
fuel cell (SOFC) which focuses on power generation efficiency and generates stable electricity (the outputpower of 0.7 kW) constantly.
Excess electricity generated by the solar panels during the daytime is captured in a battery storage
system to be used during the night time. OTS House uses not only the general stationary battery for homes
but also an electric vehicle as a battery. The electric cars have more power storage capacity than thestationary battery so it can adapt to a sudden increase in electricity consumption without connecting to grid
power. The house is generally isolated from the power grid system as it can supply the electricity it
consumes by itself.
(3) The House securing a living
One of the primary purposes of OTS House is to provide an opportunity for the visitors to actually see
and experience the full range of life-oriented infrastructure services placed in the house that is offered byTOKAI Group. For example, liquefied petroleum gas (LP gas) has come under the spotlight again as adistributed energy resource that can be stored as a stockpile. For communications and broadcasting,ultra-high-speed internet access with maximum 10 Gbps of data rate as well as the high-definition 4K
broadcast is available in the House. Moreover, bottled water delivery service provides the safe drinking
water (water dispenser) regularly and the cutting edge home security service protects the house and family.
TOKAI Group proposes the safe and convenient living environment where you can feel secured bydelivering the one-stop service that allows you to use the full range of services, support, and maintenanceprograms by contacting either the employees or the call center of the Group. OTS House truly embodies theconcept of TLC.
OTC House also demonstrates the system of opening and closing the front and room doors using facialrecognition technology as well as smart mirror, a kind of smart home electronics, that the user can display alarge variety of useful information on the mirror.
2TOKAI Group aims to create and develop services which gain currency with customers by testing anddemonstrating the new services and products of each business area while enthusiastically launching theprojects such as product/service testing survey where the customers can participate.
3. Creation of new products through the strengthened collaboration with manufacturers and business partners
OTS House is built to achieve complete self-sufficiency in water and electricity, and create and develop the newservices and products at each business area of TOKAI Group.
Especially with NEC Corporation (Headquarters: Minato-ku, Tokyo; President and CEO (RepresentativeDirector): Takashi Niino) with which we have built strong cooperative relationship through the development of
OTS House, we will continue to collect and examine the utilization/operation data for self-sufficiency in waterand electricity, discuss concrete issues to sell other services and products, and accumulate various know-how todevelop the powerful products. In addition, we will build the cooperative framework with other equipment
manufacturers and service providers to discuss a wide variety of services and products that cater to the needs ofhouseholds, commercial and public facilities.
4. Plans for the OTS HouseOTS House is open to the public from October 10, 2017. TOKAI Group demonstrates various functions placed inthis house and at the same time, presents this facility to our stakeholders including the customers of TOKAIGroup to show our broad initiatives and propose our services and products installed in the house (viewing tour isby reservation only).
Later on, guests will be invited to visit and stay overnight to experience life in OTS House. Further information
will be disclosed on the website mentioned below promptly when details are decided.
Website of OTS House: http://ots.tokai.jp/
5. Overview of OTS House construction
Location: 1-2-6 Baranooka, Shimada-shi, Shizuoka
Site area: 280.91m2
Total floor area: 142.61 m2 (timber structure panel construction, two-story)36. Exterior and interior of OTS House(Pic. 1: Full view of OTS House taken by the drone. The roof sloped to one side and the vast inner court to collect rainwater efficiently.
A rainwater tank is buried under the court, which can store a maximum of 10,000 liters of water.

(Pic. 2: Interior; living room. The family gets together in this room so the energy can be saved. Wide two-story ceiling facilitates
the air circulation and curb energy consumption of air conditioner.)4

(Pic. 3: OTS House at night. Exterior and passive design achieve both self-sufficiency and aesthetics by enhancing the beauty of nature)[For further information on OTS House]
TOKAI HOLDINGS CORPORATION Management Strategy Division(Please contact to Ooi, Kiuchi, Hattori, or Suzuki)
TEL：054-273-4936 (Weekdays 9:00-12:00, 13:00-17:45)
Website: http://ots.tokai.jp/

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