Tokyo, February 2, 2017 - The Japan Fair Trade Commission today announced a decision to issue a Cease and Desist Order and an Order for Payment of Surcharge against NEC Corporation for activities in violation of antitrust law with respect to transactions for fire-fighting emergency radio systems.

NEC Corporation has a tradition of working to ensure thorough observation of compliance. As part of this, the Company would like to respectfully apologize for any troubles this matter may have caused for the Company's customers, shareholders and other stakeholders.

Going forward, NEC Corporation aims to strengthen its compliance system and to ensure the implementation of thorough measures to prevent a recurrence of this issue, while continuing efforts to restore confidence.

1. About the Cease and Desist Order
   In regard to transactions for fire-fighting emergency radio systems, it is ordered that the Company confirm that activities that violate the provisions of Article 3 of the Antitrust Law, the prohibition of unreasonable transaction restrictions, have ceased and that the Company implement corrective measures to prevent similar actions from taking place in the future.


2. About the Order for Payment of Surcharge
   
   Amount of surcharge: 1,155,170,000 JPY
   
   NEC Corporation received a 30% reduction in the surcharge amount following the recognition of its petition to participate in the Fair Trade Commission's surcharge reduction and exemption system (leniency system).


3. NEC Corporation Response
   NEC Corporation has a tradition of working to ensure thorough observation of compliance. As part of this, top management will transmit a message and continue to implement education and training for employees in order to reinforce the awareness of compliance.

NEC Corporation treats these circumstances with great seriousness and Company officers will voluntarily relinquish portions of their compensation as outlined below.

***