#GovernanceEnhancement

It was revealed that fictitious circular transactions were conducted at KDDI’s consolidated subsidiaries Biglobe and G-Plan from August 2018 through December 2025, resulting in accounting fraud with approximately JPY 2.461 trillion in overstated net sales, JPY 150.8 billion in operating income, and about JPY 329 billion in external outflows. Two involved employees were dismissed for disciplinary reasons, several executives resigned...

The recurrence prevention measures related to quality misconduct announced on March 29, 2023, will be completed by the end of March 2026. Governance foundations have been rebuilt through management reforms and strengthening of internal controls.

Safie, Inc. plans to propose partial amendments to the Articles of Incorporation at the 12th Annual General Meeting of Shareholders scheduled for March 26, 2026, in conjunction with its transition to a company with an audit committee.

At the General Meeting of Shareholders scheduled for March 26, 2026, a partial amendment to the Articles of Incorporation will be proposed to promote the separation of management decision-making and business execution by revising Articles 15, 22, and 23 in line with the president’s role being assumed by an executive officer.

Tokio Marine Holdings plans to transition from a company with a board of auditors to a company with an audit and supervisory committee, subject to approval at the 24th Annual General Meeting of Shareholders scheduled for June 2026.

Safie, Inc. will transition to a company with an audit and supervisory committee, subject to approval at the 12th Annual General Meeting of Shareholders scheduled for March 2026, aiming to enhance the board of directors' functions and improve governance.

Marubeni Corporation plans to obtain approval at the Annual General Meeting of Shareholders scheduled for June 2026 to transition from a company with a board of statutory auditors to a company with a nomination committee, etc.