News Release

ORIX to Begin “Hatto Watto” Demand Response Service Based on Performance-linked Fee
―Power Conservation Measures for Small Power Users with No Initial Installation Costs―

Oct 19, 2012

TOKYO, Japan - October 19, 2012 - ORIX Corporation (TSE: 8591; NYSE: IX), a leading integrated financial services group, announced today it will begin providing a demand response service based on a performance-linked fee (service name: "Hatto Watto") to reduce its customers' electricity fees and manage energy use.

The Hatto Watto service will promote the reduction of customer's peak electricity demand and electricity use. Combining customers' real-time energy consumption with weather forecast data for the following day, the service aims to reduce customers' peak energy demand.

Furthermore, ORIX will bear the cost of all equipment and data transmission charges needed for the service, and will share the cost savings derived from conserving power with customers. Therefore, this service will enable customers to implement power conservation measures without having to pay any upfront costs. ORIX will provide customers with steady support for power conservation actions and monitoring, in addition to equipment installation. This arrangement will enable ORIX to provide this service to a broad range of smaller power users, who have so far hesitated to install the equipment due to uncertainty regarding whether or not they could recover their upfront investment.

Cost Savings Diagram

Service Details

■Services to be provided
(1) Formulation of a power conservation plan: ORIX will formulate an optimal power conservation plan including a review of power conservation actions and power supply contracts, based on previous actual electricity usage.
(2) Visualization of electricity consumption: ORIX will provide electricity consumption and weather information for 30 minute intervals in real-time over the Internet.
(3) Power conservation warnings and advice: ORIX will pre-alert customers on the website and via e-mail with predicted energy usage for the following day based on previous usage patterns and the weather forecast. A warning will be issued before the planned amount has been exceeded.
■Eligible facilities: Office buildings, stores, medical and welfare facilities, schools, employee dormitories, lodging facilities
■Eligible scope: Small power users of 100 kW-500 kW (Corporate contracts only)
■Basic contract period: 5 years (no cancellations permitted)
■Eligible area: Service area of Tokyo Electric Power Company, Incorporated (The area will be successively expanded.)

* ORIX is promoting this service as a project based on the program of the Ministry of Economy, Trade and Industry to subsidize business expenses to promote the introduction of a Building Energy Management System (BEMS) (A portion of the subsidy is applied to the service cost. The Law on Rationalization of Budgetary Execution Concerning Subsidies, etc is applicable to customers subject to subsidies. Additionally, customers may be asked to report energy usage data.)

ORIX began its electric power trading business in 2009. Today, ORIX provides low-priced electric power to over 3,000 facilities. ORIX has successfully developed the new demand response service by leveraging the credit know-how for small and medium-sized enterprises developed in the course of its financial services, in addition to its expertise in predicting the electric power demand for each type of facility accumulated through the electric power trading business. ORIX will provide customers with support for carrying out optimal energy management by both reducing their electricity rates through the electric power trading business and by also reducing their electric power usage through the new demand response service.

Looking ahead, ORIX will continue to proactively conduct various energy-related businesses, with the aim of providing customers with new forms of added value.

Website screenshot

Contact Information
ORIX Corporation, Corporate Planning Department
TEL : +81-3-5419-5042 / Fax : +81-3-5419-5901
URL : http://www.orix.co.jp/grp/en/

About ORIX
ORIX Corporation (TSE: 8591; NYSE: IX) is an integrated financial services group based in Tokyo, Japan, providing innovative value-added products and services to both corporate and retail customers. With operations in 28 countries and regions worldwide, ORIX's activities include corporate financial services, such as leases and loans, as well as automobile operations, rental operations, real estate, life insurance, banking and loan servicing. For more details, please visit our website at: http://www.orix.co.jp/grp/en

These documents may contain forward-looking statements about expected future events and financial results that involve risks and uncertainties. Such statements are based on our current expectations and are subject to uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements. Factors that could cause such a difference include, but are not limited to, those described under “Risk Factors” in the Company’s annual report on Form 20-F filed with the United States Securities and Exchange Commission and under “4. Risk Factors” of the “Summary of Consolidated Financial Results” of the “Consolidated Financial Results April 1, 2011– March 31, 2012.”    

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