[Furukawa Metal & Mechanical] Disposal of Treasury Stock and Introduction of Executive Compensation System | June 2026

Overview of the Disposal

Furukawa Metal & Mechanical will dispose of 7,498 shares of treasury stock on July 24, 2026. The disposal price is 3,680 yen per share, with a total of approximately 27.59 million yen. This disposal is part of an executive stock compensation system aimed at increasing incentives for directors and fostering sustained corporate value improvement. The system imposes a 30-year transfer restriction, where executives must provide continuous service for a certain period, restricting transfer or collateralization of the shares. Executives will acquire shares by converting cash-based remuneration claims into stock, and the transfer restriction will be解除 under certain conditions even after disposal.

Background of the System and Future Outlook

This system is designed to promote long-term commitment among executives and enhance corporate value. The disposed shares will be managed in a custody account during the transfer restriction period, and restrictions will be解除 upon exit of executives or organizational restructuring. Furukawa Metal & Mechanical aims to continue using executive incentive systems to achieve sustained growth and increase shareholder value.