Notification of Settlement on the Projects Conducted by Mitsubishi Hitachi Power Systems, Ltd. in the Republic of South Africa and Recognition of Extraordinary Loss on Unconsolidated Basis and Other Expenses on Consolidated Basis

Tokyo, December 18, 2019 --- Hitachi, Ltd. (TSE: 6501, “Hitachi”) today announced that Hitachi and Mitsubishi Heavy Industries, Ltd. (“MHI”) have reached a settlement relating to a transfer of the boiler construction projects (the "Projects") in the Republic of South Africa conducted by Mitsubishi Hitachi Power Systems, Ltd. (“MHPS”), the joint venture company that integrated the respective thermal power generation system businesses of MHI and Hitachi, in conclusion of their discussion.