Statement re Stock Options

Maruwa Co Ld
17 August 2004


                                                                                      17 August 2004
MARUWA CO., LTD.

3-83 Minamihonjigahara-cho, Owariasahi-city, Aichi-pref. 488-0044 JAPAN

                                           (Translation)

       Notice concerning conditions for the issue of stock options (stock acquisition rights)

MARUWA announced that the Board of Directors at the meeting today resolved the conditions for 'the
issue of stock options (stock acquisition rights)' which has been approved at the 31st annual
general shareholders' meeting.  Details are as follows;

1. Date of issue of stock acquisition rights                17 August 2004

2. Total number of stock acquisition rights                 Up to 1,000 rights
                                                            (100 shares per right)

3. Issue price of stock acquisition rights                  No consideration

4. Class and number of shares for issue of stock            Common stock of MARUWA,
     acquisition rights                                     up to 100,000 shares

5. Amount to be paid upon exercise of stock                 1,948 yen per share
   acquisition rights

6. Total amount of issue price of shares to be              194,800,000 yen
   issued upon exercise of stock acquisition rights

7. Period for exercise of stock acquisition rights          1 July 2006 to 30 June 2010

8. Portion of issue price not to be accounted for           97,400,000 yen (974 yen per share)
   capital of new shares to be issued upon exercise         (a half of the amount to be paid,
   of stock acquisition rights                              rounded off)

9. Parties to whom stock acquisition rights will be         Directors and employees of MARUWA, total
   granted                                                  174

(Reference)

1.  Date of resolution at the meeting of the Board          7 May 2004
    of Directors to propose the issue of stock
    acquisition rights to the annual shareholders'
    meeting

2.  Date of resolution for the issue of stock               22 June 2004
    options at the annual shareholders' meeting

END.

                      This information is provided by RNS
            The company news service from the London Stock Exchange