[TOWA] Implementation of Equity Compensation Plan | July 2026

Overview of Capital Policy

TOWA resolved to issue new restricted stock on August 18, 2026, allocating a total of 10,584 shares to five directors and five executive officers. The issue price is set at 2,860 Yen per share, totaling approximately 30,270,240 Yen. The objective of this system is to promote sustainable corporate value enhancement and shared value with shareholders. The recipients will contribute cashless claims as in-kind contributions, and the transfer restrictions will remain until dismissal. The details of the system also specify conditions for解除 restrictions and management methods.

Impact on Shareholders and Future Outlook

This system aims to strengthen incentives for directors and executive officers while enhancing corporate value, fostering long-term management stability and shareholder value improvement. Since the shares are restricted during the transfer period, short-term stock price impacts are expected to be limited. Going forward, further deployment of capital policy and management strategies will be anticipated based on operational results and system implementation status.