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Additional Investment in Multigrain AG as Wholly Owned Subsidiary

May 9, 2011


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Mitsui & Co., Ltd. ("Mitsui," head office: Tokyo, President and CEO: Masami Iijima) has acquired additional shares in Multigrain AG ("MAG," head office: Switzerland), making MAG Mitsui's wholly owned subsidiary. MAG is involved in agricultural production, especially grain production, in Brazil, and in the distribution of grain, including origination, processing, transportation, export and marketing.

Mitsui acquired 44.2% of MAG shares (45.1% of voting rights) held by CHS Inc. ("CHS," head office: United States, listed on NASDAQ) through its subsidiary CHSIH SARL ("CHSIH," head office: Switzerland) for US$225 million (approximately ¥18.0 billion), and 9.7% of MAG shares (9.9% of voting rights) held by PMG Trading AG ("PMG," head office: Switzerland) for US$49 million (approximately ¥4.0 billion). These acquisitions brought Mitsui's shareholding in MAG to 98.1% (100% of voting rights), with the result that MAG has become Mitsui's wholly owned subsidiary. Mitsui's cumulative investment after these acquisitions amounts to US$508 million (approximately ¥47.0 billion).

The global demand for grain is expected to increase as world population grows and as the economy in the emerging countries continues to improve. Mitsui will strive to strengthen agricultural production and grain distribution business in Brazil, which has high potentiality of food supply, and to secure a stable supply of grain from Brazil to Asian and other markets, through MAG as a major subsidiary in Mitsui's grain business.

These acquisitions are not expected to have any significant impact on Mitsui's consolidated financial results of the fiscal year ending March 2012.

1. Changes in Mitsui's Shareholding in MAG

Please scroll horizontally to look at table below.

  Number of shares Shareholding Voting rights
Before the additional investment 6,431,573 44.2% 45.1%
Additional shares acquired
from CHSIH
from PMG

6,431,573
1,412,522

44.2%
9.7%

45.1%
9.9%
After the additional investment 14,275,668 98.1%* 100.0%

* MAG holds 1.9% of its treasury stock.

2. Summary of MAG

Name of company Multigrain AG
Head office location Switzerland
Representative Nobuhiko Tomishima (Chairman of the board)
Business activities Engaged in the origination, processing, export and marketing of soybeans, corn and cotton, and the import of wheat through its wholly owned subsidiary in Brazil, Multigrain S.A. Also engaged in the growing soybeans, corn and cotton, and ginning cotton (producing ginned cotton from raw cotton) in Brazil through its wholly owned subsidiary, Xingu AG.
Capital CHF145,483,000 (as of December 31, 2010)
Year of establishment 2006
Shareholders' equity US$ 504,658,000 (as of December 31, 2010)
Total assets US$ 1,426,803,000 (as of December 31, 2010)
Shareholding after the additional investment Mitsui holds 100% of shares excluding treasury stock of MAG.

3. Summary of CHS, CHSIH and PMG

Name of company CHS Inc.
Head office location Minnesota, U.S.A.
Representative Carl Casale, CEO
Business activities CHS is a NASDAQ-listed diversified energy, grains and foods company. Operations include the origination, marketing and export of grains, and oil refining and sales.
Year of establishment 1936
Shareholders' equity US$ 3,335,664,000 (as of August 31, 2010)
Total assets US$ 8,666,128,000 (as of August 31, 2010)
Name of company CHSIH SARL
Head office location Switzerland
Representative Claudio Scarrozza, Director
Business activities Special purpose company for overseas investment
Year of establishment 2011
Name of company PMG Trading AG
Head office location Switzerland
Representative Paulo Roberto Moreira Garcez
Business activities Special purpose company for investment
Year of establishment 2001

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.
Investor Relations Division
Telephone: +81-3-3285-7910
Facsimile: +81-3-3285-9821
infoTKADZ@mitsui.com
Mitsui & Co., Ltd.
Corporate Communications Division
Kayo Kobayashi
Telephone: +81-3-3285-7618
Facsimile: +81-3-3285-9819