Progress on Recurrence Prevention Measures within Our Group (Final Version)

Promotion of Management Reform and Reconstruction of Governance Framework

Based on the investigation results regarding quality misconduct announced in March 2023, the Company recognized issues with decentralized group governance and implemented organizational restructuring aimed at consolidating management resources and strengthening group collaboration. Cross-departmental responses among sales, development, manufacturing, and quality assurance divisions have been advanced, along with enhancing the independence of the quality assurance system, and efforts are underway to restore employees' psychological safety.

Strengthening of Internal Control Functions and Corporate Culture Reform

The basic policy of the internal control system has been revised to promote effective operation under the supervision of the Board of Directors. Compliance frameworks have been reviewed, the internal whistleblowing system strengthened, and risk management systems developed to transform the previously closed corporate culture into an open and transparent environment. Opportunities for dialogue between management and employees have been increased, and ongoing monitoring through anonymous surveys is being conducted.

Progress of Recurrence Prevention Measures and Future Outlook

All recurrence prevention measures will be completed by the end of March 2026 and have now entered the operation and embedding phase. Utilization of external experts and investment in quality assurance functions will continue, along with strengthening Board supervision and ongoing verification of recurrence prevention effectiveness. The Group Integration Strategy Office and Sustainability Office will take the lead in aiming for sustainable management and enhancing corporate value.