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Participation in Cold Logistics Business in Shanghai

May 25, 2010


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Mitsui & Co., Ltd. (headquarters: Chiyoda-ku, Tokyo; President & CEO: Masami Iijima) has reached a basic agreement with Jinjiang International Holdings Co., Ltd ("Jinjiang Group") to make a 49% investment in Shanghai Jinjiang International Cold Logistics Development Co. Ltd. ("JCL"), an affiliated company of Jinjiang Group, and contracts related to capital participation were signed on May 24. The aim is for operation of the new JCL to begin around September this year after application for the approval of the Chinese governmental authorities and Mitsui & Co. completing payment of the capital.

China has seen a rapid acceleration in demand for chilled and frozen food products, along with increased interest in food safety and reliability, as a result of growth in the consumer market, and the development and upgrading of cold storage and distribution capacity has become a pressing challenge. JCL possesses one of the leading customer bases within Shanghai City, and is a leading affiliated partner of the Jinjiang Group, which currently possesses a 20% share of in the cold storage capacity market. JCL plans to strengthen its business platform in the future by implementing measures to expand the scale of its cold storage and distribution facilities in response to the needs of a growing market, as well as introduce Japanese-quality cold chain logistics technology and know-how and build Japan-China logistics services.

In the future, Mitsui & Co. intends to continue working to develop Chinese cold chain logistics by expanding JCL's operation into the Yangtze River delta market (a region located inland from Shanghai with a population of 150 million) with a view to a growth strategy that includes the development of business in other major cities in China and the newly emerging economies of Asia.

Mitsui &Co. aims to implement expansions and add value to its comprehensive logistics business through its existing Chinese warehouse business, which supports international trade, and existing international forwarding business.

1. Outline of Jinjiang Group

Jinjiang Group is a Shanghai-based business group under the umbrella of Shanghai City, with core business in the six fields of hotels, travel, logistics, real estate, development and finance. The Group has one of the largest comprehensive hotel and tourist service in the country, with over 89,000 rooms in 31 provinces and 137 cities throughout China (capital - 2 billion yuan; total assets - 17 billion yuan).

2. Outline of JCL

Company name Shanghai Jinjiang International Cold Logistics Development Co. Ltd.
Location Shanghai, China
Investment ratio (after Mitsui investment) Shanghai Jinjiang International Industrial Investment Company Limited 51%
Mitsui & Co., Ltd. 49%
Amount of Mitsui investment Mitsui investment: 112.75 million yuan (approx. 1.44 billion yen)
Representative Zhang Guo-Mei
Number of employees Approximately 300
Major bases Wujing Warehouse (location: Shanghai, China)
Freezer capacity: 56,000 tons
Details: largest cold storage facility in the Jinjiang Group
Wujong Warehouse (location: Shanghai, China)
Freezer capacity: 5,000 tons
Details: located alongside Wai Gao Qiao Port; new warehouse currently under construction

Notice:
This press release includes forward-looking statements about Mitsui. These forward-looking statements are based on the current assumptions and beliefs of Mitsui in light of the information currently available to it, and involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors may cause Mitsui's actual results, performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by these forward-looking statements. The risks, uncertainties and other factors referred to above include, but are not limited to, those contained in Mitsui's latest annual report on Form 20-F, which has been filed with the U.S. Securities and Exchange Commission.
This press release is published in order to publicly announce specific facts stated above, and does not constitute a solicitation of investments or any similar act inside or outside of Japan, regarding the shares, bonds or other securities issued by us.

Information

For inquiries on this matter, please contact

Mitsui & Co., Ltd.
Corporate Communications Division
Takatsugu Ohki
Telephone: +81-3-3285-7562
Facsimile: +81-3-3285-9819