Honda's Stock Split and the Change of Ratio of ADR to Underlying Shares.

Tokyo, Japan, Apr 26, 2006 - (JCN Newswire) - Honda Motor Co., Ltd. today announced that it has resolved at the meeting of the board of directors held on April 26, 2006, concerning a stock split of its shares of common stock (the "Shares") and a change of ratio of its American Depositary Receipt ("ADR") to Honda's underlying Shares.

Summary of Stock Split

1. Purpose of the stock split:
   To broaden investor base through lower Share price which is more attractive
   for investors and facilitate investment activities.

2. Outline of the stock split:
   (1) Method:
       A one to two stock split will be made for shareholders listed or
       recorded in the final register of shareholders and register of
       beneficial shareholders as at Friday, June 30, 2006.
   (2) Number of additional Shares to be issued in connection with the
       stock split:
       Number of Shares issued before the stock split: 917,414,215 shares
       Number of additional Shares to be issued with the stock split:
       917,414,215 shares
       Number of Shares issued after the stock split: 1,834,828,430 shares

3. Schedule
   Record date:                            Friday, June 30, 2006
   Effective date:                         Saturday, July 1, 2006
   Date of delivery of Share certificate:  Thursday, August 24, 2006

4. Dividend calculation commencement date: Saturday, April 1, 2006

Reference

1. There will be no increase in stated capital in relation to the stock split of Shares. Stated capital as of April 26, 2006 is JPY 86,067,161,855.

2. At the board of directors' meeting, it was resolved that the Articles of Incorporation of Honda to be amended as of Saturday, July 1, 2006 to the effect that the number of authorized Shares to be increased by 3,543 million shares to 7,086 million shares.

3. The Company intends to send shareholders, on Thursday, August 24, 2006, information on share certificates and share ownership after the stock split at the address of which the Company has been notified. Beneficial shareholders who have registered their names in the Custody and Book-Entry Transfer System will be able to sell their additional Shares issued by stock split as from Monday, July 3, 2006.

4. Since the effective date of the stock split is July 1, 2006, the year-end dividend for the fiscal year ended March 31, 2006 will be distributed to the Shares prior to the stock split.

Summary of Change of Ratio of ADR

1. Purpose of the ratio change:
   To continuously offer the current investment environment for ADR holders
   by maintaining present level of ADRs trading price.

2. Outline of the change of ratio:
 (1) Ratio before change:                1 ADR=1/2 of one Share
 (2) Ratio after change:                 1 ADR=1 Share
 (3) Effective date of the new ratio:    Saturday, July 1, 2006 (EST)
 (4) First trading date with new ratio:  Monday, July 3, 2006 (EST)

Reference

Depositary and transfer agent for ADR: JPMorgan Chase Bank, N.A.

About Honda Motor Co., Ltd.

Honda Motor Co., Ltd. (TSE: 7267)(NYSE: HMC)(LSE: HNDA.L) is one of the leading manufacturers of automobiles and power products and the largest manufacture of motorcycles in the world. Honda has always sought to provide genuine satisfaction to people worldwide. The result is more than 120 manufacturing facilities in 30 countries worldwide, producing a wide range of products, including motorcycles, ATVs, generators, marine engines, lawn and garden equipment and automobiles that bring the company into contact with over 19 million customers annually. For more information, please visit http://world.honda.com.

Source: Honda Motor Co., Ltd.

Contact:

Honda Motor Co., Ltd.
Corporate Communications Division
[e-mail]
Telephone: [phone]
Facsimile: [phone]

Depositary and transfer agent for ADR:
JPMorgan Service Center
South Hackensack, NJ 07606-3408
TEL: [phone]
E-mail: [e-mail]

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