The Japan Fund, Inc. (the "Fund"), the oldest independent U.S. mutual fund focused on investing in Japan, and Nomura Asset Management U.S.A. Inc., announced today that they plan to enter into a long-term strategic alliance, subject to the Fund's shareholder approval, in which Nomura Asset Management will become the investment manager of the Fund's assets. In addition, Nomura Asset Management will invest significant resources to support marketing and distribution of the Fund in the U.S. As an independent entity, the Fund, founded in 1962, and with over $300 million in assets under management, will continue to benefit from the experience and expertise of its independent Board of Directors.

"This alliance is a natural fit that will mutually benefit current and prospective shareholders of The Japan Fund and Nomura," said Mr. William L. Givens, Chairman of the Board at The Japan Fund. "Nomura is a firm of global stature, and through this alliance we will be able to implement a consistent investment approach that seeks to provide shareholders with stable, long-term performance that they expect of the Fund. Nomura's commitment to provide greater resources to expand on the marketing and distribution of Fund in the U.S. will benefit the Fund and its shareholders."

This alliance represents a significant commitment by Nomura to its U.S. asset management business and marks Nomura's expansion into the retail mutual fund market. Nomura Asset Management, one of the largest investment management firms in Japan, will be fully participating in both the management and distribution of the Fund.

"In addition to working with the oldest and one of the most respected U.S. mutual funds investing in Japan, this alliance provides Nomura Asset Management with an expedited entrance into the U.S. retail mutual fund market. It allows us to leap-frog to a leadership position in the marketplace -- and extend the experience and expertise that we have developed in Japan," said Mr. Shigeru Shinohara, President and CEO, Nomura Asset Management U.S.A. Inc.

As the investment manager for the Fund, Nomura Asset Management will implement a "multi-manager" approach, a proven and consistent investment methodology. In addition, the Fund will be the cornerstone of a broad offering of global mutual fund products under development that Nomura Asset Management expects to launch at a later date. This will allow the Fund to spread its expenses over a larger asset base resulting in lowered expense ratios for the Fund's shareholders.

"This alliance has the full support of Nomura in Tokyo and the U.S. and represents a major expansion of Nomura's U.S. business and our commitment to grow as a world class financial service provider," commented Mr. Atsushi Yoshikawa, President and CEO of Nomura Asset Management Co., Ltd. "We are delighted to fully commit ourselves to this exciting alliance and look forward to its success."

The Japan Fund will file a proxy statement with the U.S. Securities and Exchange Commission regarding this alliance. The proxy statement will contain important information, and shareholders are urged to read it when it becomes available. After the proxy statement is filed with the SEC, it will be available for free at the SEC's website, . Shareholders may also obtain copies by calling The Japan Fund at 1-800-53-JAPAN (1-800-535-2726).

About The Japan Fund

Founded over 40 years ago, The Japan Fund is the world's first and oldest Japanese equity fund. The Fund seeks long-term capital appreciation through investments in Japanese issuers and other investments that are tied economically to Japan (the world's second largest economy behind the United States). The Board is independent, enabling its members to act only in its shareholders' interests.

To determine if this Fund is an appropriate investment for you, carefully consider the Fund's investment objectives, risk factors and charges and expenses before investing. This and other information can be found in the Fund's prospectus which is available, free of charge, by calling 1-800-53-JAPAN (1-800-535-2726) or on the Fund's website at . Please read the prospectus carefully before you invest. Foreside Fund Services, LLC, distributor, .

About Nomura

Nomura is a leading financial services group and the preeminent Asian-based investment bank with worldwide reach. Nomura provides a broad range of innovative solutions tailored to the specific requirements of individual, institutional, corporate and government clients through an international network in 30 countries. Based in Tokyo and with regional headquarters in Hong Kong, London, and New York, Nomura employs about 18,000 staff worldwide. Nomura's unique understanding of Asia enables the company to make a difference for clients through five business divisions: domestic retail, global markets, global investment banking, global merchant banking, and asset management.

About Nomura Asset Management

Nomura Asset Management U.S.A. Inc. ('NAM-USA") specializes in providing investment management services to institutional investors and collective investment vehicles. Its client base includes pension plans, governmental agencies and investment funds operating in North America and Japan. NAM-USA, a subsidiary of Nomura Asset Management Co., Ltd. ("NAM"), has registered with the U.S. Securities and Exchange Commission as an investment adviser under the Investment Advisers Act of 1940. NAM and its investment advisory subsidiaries are collectively referred to as Nomura Asset Management.

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