NEWS RELEASE Jun 29, 2021 R&I Affirms AA, Stable: Kansai Rapid Railway Co., Ltd. Rating and Investment Information, Inc. (R&I) has announced the following: ISSUER: Kansai Rapid Railway Co., Ltd. Issuer Rating: AA, Affirmed Rating Outlook: Stable RATIONALE: Kansai Rapid Railway Co., Ltd. (KRR) is a type III railway company that owns the railway facilities of the JR Tozai Line operated by West Japan Railway Co. (JR West) and leases those facilities to JR West. The JR Tozai Line connects Kyobashi Station (in Osaka City) and Amagasaki Station (in Amagasaki City, Hyogo Prefecture), being a key constituent of JR West's rail transport network. Also connecting with other railway lines such as Osaka Metro, the JR Tozai Line is very important. KRR was designated as a principal entity to construct the Naniwasuji Line, which is scheduled to commence service in 2031, and construction work will start in the fiscal year ending March 2022. The Naniwasuji Line connects JR Osaka Station, JR Namba Station, and Shin-Imamiya Station of Nankai Electric Railway Co., Ltd. When the construction of the Naniwasuji Line is completed, access from the center of Osaka City to Kansai International Airport will be smoother and the north-south railway network will be improved. Construction-related operating cost stands at about 330.0 billion yen and is covered by investments, subsidies and loans. Most of such loans are from fiscal loan funds. Accounting procedures for the JR Tozai Line and the Naniwasuji Line are managed separately. After the service launch, KRR will lease the railway facilities of the new line to JR West and Nankai Electric Railway and repay construction- related debts with rail usage fees paid by them. Since it became a principal entity for the construction project, KRR's policy importance increased for Osaka Prefecture and Osaka City where the new line runs. In evaluating the Issuer Rating for KRR, R&I considers the creditworthiness of Osaka Prefecture and Osaka City as well as that of JR West and Nankai Electric Railway. The primary rating methodologies applied to this rating are provided at "R&I's Basic Methodology for Corporate Credit Ratings", "Railways" and "R&I's Analytical Approach to Government Agencies". The methodologies are available at the web site listed below, together with other rating methodologies that are taken into consideration when assigning the rating. https://www.r-i.co.jp/en/rating/about/rating_method.html R&I RATINGS: ISSUER: Kansai Rapid Railway Co., Ltd. Issuer Rating RATING: AA, Affirmed RATING OUTLOOK: Stable Unsec. Str. Bonds No.6 Issue Date Maturity Date Issue Amount (mn) Sep 13, 2011 Sep 13, 2021 JPY 8,000 RATING: AA, Affirmed ■Contact : Sales and Marketing Division, Customer Service Dept. TEL.+81-(0)3-6273-7471 E-mail. [email protected] ■Media Contact : Corporate Planning Division (Public Relations) TEL.+81-(0)3-6273-7273 Rating and Investment Information, Inc. TERRACE SQUARE, 3-22 Kanda Nishikicho, Chiyoda-ku, Tokyo 101-0054, Japan https://www.r-i.co.jp Credit ratings are R&I's opinions on an issuer's general capacity to fulfill its financial obligations and the certainty of the fulfillment of its individual obligations as promised (creditworthiness) and are not statements of fact. Further, R&I does not state its opinions about any risks other than credit risk, give advice regarding investment decisions or financial matters, or endorse the merits of any investment. R&I does not undertake any independent verification of the accuracy or other aspects of the related information when issuing a credit rating and makes no related representations or warranties. R&I is not liable in any way for any damage arising in relation to credit ratings (including amendment or withdrawal thereof). As a general rule, R&I issues a credit rating for a fee paid by the issuer. For details, please refer to https://www.r-i.co.jp/en/docs/policy/site.html. © Rating and Investment Information, Inc. NEWS RELEASE Unsec. Str. Bonds No.7 Issue Date Maturity Date Issue Amount (mn) Sep 13, 2012 Sep 13, 2022 JPY 13,000 RATING: AA, Affirmed Unsec. Str. Bonds No.8 Issue Date Maturity Date Issue Amount (mn) Aug 30, 2013 Aug 30, 2023 JPY 10,000 RATING: AA, Affirmed Unsec. Str. Bonds No.9 Issue Date Maturity Date Issue Amount (mn) Sep 11, 2014 Sep 11, 2024 JPY 10,000 RATING: AA, Affirmed ■Contact : Sales and Marketing Division, Customer Service Dept. TEL.+81-(0)3-6273-7471 E-mail. [email protected] ■Media Contact : Corporate Planning Division (Public Relations) TEL.+81-(0)3-6273-7273 Rating and Investment Information, Inc. TERRACE SQUARE, 3-22 Kanda Nishikicho, Chiyoda-ku, Tokyo 101-0054, Japan https://www.r-i.co.jp Credit ratings are R&I's opinions on an issuer's general capacity to fulfill its financial obligations and the certainty of the fulfillment of its individual obligations as promised (creditworthiness) and are not statements of fact. Further, R&I does not state its opinions about any risks other than credit risk, give advice regarding investment decisions or financial matters, or endorse the merits of any investment. R&I does not undertake any independent verification of the accuracy or other aspects of the related information when issuing a credit rating and makes no related representations or warranties. R&I is not liable in any way for any damage arising in relation to credit ratings (including amendment or withdrawal thereof). As a general rule, R&I issues a credit rating for a fee paid by the issuer. For details, please refer to https://www.r-i.co.jp/en/docs/policy/site.html. © Rating and Investment Information, Inc..