Decision on the 20th Share Buyback | May 22, 2026

Overview of Capital Policy

Aeon Financial Service Co., Ltd. has set the issuance framework for the 20th share buyback at a maximum of 174 shares, in order to enhance the mid- to long-term performance of directors and officers and increase corporate value. This will involve granting stock-based stock options as compensation, with the potential to issue up to 17,400 common shares upon exercise. The issuance price will be based on fair value, and the exercise period extends from July 2027 to June 2042. The policy includes detailed provisions for adjustments and cancellations, as well as regulations for share adjustments in the event of stock splits or mergers.

Impact on Shareholders and Future Outlook

The issuance of the share buyback is a measure aimed at improving incentives for directors and officers and promoting long-term corporate value. Dilution of shares is expected to be limited, and the stock-based compensation system for directors and officers will likely be continued. The specific allocation date and adjustment details are expected to minimize impact on shareholders' ownership ratios. This initiative is intended to contribute to future management strategies, focusing on long-term increases in corporate value and boosting the motivation of directors and officers.