Notice Regarding Proposed Reduction of Capital Reserve and Earned Reserve

Fujitsu Limited today announced that its Board of Directors has decided to submit a proposal for reducing the company's capital reserve and earned reserve at the Annual Shareholders Meeting to be held on June 24, 2003. The decision to make the proposal, which aims to conserve the surplus to keep pace with changes in the future business environment and to maintain flexibility with regard to the use of capital, was made at a meeting of its Board of Directors on May 28. Details are as follows:

Amount of Proposed Reduction

• Reduce 394,441,921,627 yen capital reserve by 300,000,000,000 yen to 94,441,921,627 yen.
• Reduce 36,447,543,915 yen earned reserve to zero.

Schedule for Implementing Proposed Reduction

Decision at Annual Shareholders Meeting June 24, 2003
Deadline for submission of creditor objections July 25, 2003
Effective date of reduction July 26, 2003