February 24, 2016(Translation)
Company name: West Japan Railway Company
President: Seiji Manabe
Code number: 9021, Stock listings: Tokyo Stock Exchange,
Nagoya Stock Exchange and Fukuoka Stock Exchange
For further information, please contact: Shoji Kurasaka,
General Manager, Corporate Communications Department
Telephone: +81-6-6375-8889
Notice Regarding Submission of an Allowance Reserve Plan for
the Large-Scale Renovation of Shinkansen InfrastructureWith respect to the Sanyo Shinkansen Line (between Shin-Osaka and Hakata), which West Japan
Railway Company (hereinafter, JR-West) owns, the need for large-scale renovation to ensure reliabletransportation going forward was recognized, and on December 22, 2015, JR-West was designated as
an owning business entity by the Minister of Land, Infrastructure, Transport and Tourism based onarticle 15, paragraph 1 of the Nationwide Shinkansen Railway Development Act (hereinafter, theNationwide Shinkansen Act).
In response, JR-West has prepared an allowance reserve plan for the large-scale renovation ofShinkansen infrastructure (hereinafter, the allowance reserve plan) and today submitted it to the
Minister of Land, Infrastructure, Transport and Tourism, based on article 16, paragraph 1 of theNationwide Shinkansen Act.

1. Details of allowance reserve planPeriod
Large-scalerenovation
Total amount of expenses
Reserve period
Allowance
Total amount of reserve

From April 2028 to March 2038 (10 years)¥155.7 billion
From April 2016 to March 2028 (12 years)¥50.0 billion

2. Summary of large-scale renovation (Attachment)
Target equipment and facilities
Details of major renovation work
Steel bridges
Renovation work on support components
Bridges
Concrete bridges Restoration of surface, replacement of handrails
Tunnels
Lining renovation work, roadbed renovation work
Slope protection renovation work, replacement ofEarthworks
noise barriers

3. Effect on income and expenses of allowance reserve and reversal
If the allowance reserve plan is approved, as a result of implementing an allowance reserve, in eachfiscal year from the fiscal year ending March 31, 2017, through to the fiscal year ending March 31, 2028,
compared to the situation if an allowance reserve had not been implemented, there will be additional
operating expenses of ¥4.1 billion in each fiscal year. Subsequently, as a result of implementing areversal of the allowance, in each fiscal year from the fiscal year ending March 31, 2029, through to thefiscal year ending March 31, 2038, compared to the situation if an allowance reserve had not been
implemented, there will be a reduction in operating expenses of ¥5.0 billion in each fiscal year.

End(Attachment)

Details of Major Large-Scale Renovation Work of the Sanyo Shinkansen
Bridges (concrete bridges)

Bridges (steel bridges)
・Renovation work on
support components

・Renovation of surface, replacement of handrails
Bridge girders

Replacementof handrails
Bridgeabutments

Removal of top layerof concrete andrepair

Replacement of support
components between bridge
girders and bridge abutments or
support components between
bridge girders and bridge piers

Earthworks (embankment)

Earthworks (excavation)・Slope protection renovation work,
replacement of noise barriers

・Slope protection renovation work

Replacement of noisebarriers
Replacement of slope protection

Replacement ofslope protection

Removal of weathered ground

Installation of pipes fordrainageDetails of Major Large-Scale Renovation Work of the Sanyo Shinkansen(Attachment)

Tunnels
・Lining renovation work
Filling of gaps between
concrete of upper parts oftunnels and ground

Unification of lining andground with rock bolts

・Roadbed renovation work

Supporting of lower boards oftunnels with stakes

Covering of inner surfaceof lining with panels(reinforced concrete lining
sections)