Announcement regarding Establishment of Sponsored ADR Program

Investor Relations

Dec. 20, 2013

Announcement regarding Establishment of Sponsored ADR Program

Daito Trust ConstructionCompany Limited (the “Company”) today announced that it has established a Sponsored Level I American Depositary Receipt (ADR) program with Deutsche Bank Trust Company Americas (the “Depositary Bank”). The actual trading of the sponsored ADRs will start on Dec. 19, 2013 (U.S. East Coast Time).The program involves neitherraising capital in the U.S. market, such as alisting on astock exchange or issuing new shares, nor an increase in the total number of outstanding shares of the Company, and therefore does not result in dilution of share value.

1. Purpose of establishing the Sponsored ADR Program

The establishmentof the Sponsored ADR Program is to enhance convenienceto investors in the U.S. by, among others, having disclosures sent directly to investors, making it easier to obtain information about the Company, and allowing voting.*Weanticipatethat the program will allow us to have bettercommunication with diverse investors in U.S. than previously.
(* voting will be available from the Company’s 40th Annual General Meeting)

2. Details of the Sponsored ADR Program

 (1)Type of ADR program: Sponsored Level I ADR
 (2)Trading market: OTC(Over The Counter)
 (3)Trading effective date: December19, 2013 (U.S. Eastern Standard Time)
 (4)ADR ratio: 1ADR: 1/4 Ordinary share
 (5)CUSIP number: 23405X209
 (6)Ticker Symbol: DIFTY
 (7)Depositary Bank: Deutsche Bank Trust Company Americas
 (8)Local Custodian: Mizuho Bank, Ltd.

(Reference)

1.An ADR (American Depositary Receipt) is a receipt which represents an ownership interest in the underlying securities of a non-U.S. company. When registered withthe U.S. Securities and Exchange Commission (SEC) as a negotiable security in the U.S., an ADR may, like the securities of U.S. companies, be traded, settled, and held. There are two types of ADRs. In a Sponsored ADR, the company selects a depositary bank that handles payments for the issuance and distribution of ADRs.In an Unsponsored ADR, ADRs are issued based on investor demand without involvement by the company.

2.Sponsored ADRs are ADRs issued by aspecifieddepositary bank under adeposit agreement between the depositary bank andthe company issuing the underlying shares. The deposit agreementsets forth the rights and obligations of thecompany, its investors/holders and the depositary bank with respect to the depositary receipt. Sponsored ADR programs are classified as one ofthree types, Level-1, 2 and 3, depending on the disclosure requirementsof theSEC, which in turn depend on whether the program is unlisted/listed, or an initial/secondary public offering. A Level-1 ADR is an unlisted program, a Level-2 ADR is a listed program (e.g. on the New York Stock Exchange), and a Level-3 ADR is a listed program in connection with thecapital raising through theissuance of new shares.

3.Up to now, Daito Trust Construction ADRs have been an Unsponsored ADR in the U.S. market with no involvement by Daito Trust Construction. With the establishment of the Sponsored ADR program all the Unsponsored ADR will be converted to “the Sponsored ADR.”

4.Inquiries about Daito Trust Construction ADR

Deutsche Bank DR Service Contact
Phone(U.S.)        +1-212-250-9100 (New York)
Phone(International)   +44-207-547-6500 (London)
E-mail           adr@db.com
URL            https://adr.db.com/

Nothing herein shall be deemed to constitute an offer to sell or a solicitation of an offer to buy securities.