Notice on the Introduction of an Employee Incentive Plan for Overseas Subsidiary Employees

Overview of the system introduction

As part of our human capital investment toward a '100-year company' vision, we will introduce an ESOP trust for overseas subsidiary employees following the domestic Employee Stock Ownership Plan. Through the trust, we will distribute our shares to employees in accordance with the distribution regulations, providing economic benefits from stock price appreciation to boost employee motivation. During the trust period, no voting rights will be exercised. The disposition of remaining shares at trust termination is planned to be continued use, or disposal/donation without consideration.

Disposition of treasury stock and governance framework

In conjunction with this system's introduction, we will dispose of 70,000 shares (120 million yen) out of the 2,132,433 treasury shares currently held to the ESOP trust. The trust agreement will be managed by MUFG Trust Bank, Ltd. and other co-trustees, with a trust period planned from 2026/8/21 to 2030/12/31. Beneficiaries will be employees of the target subsidiaries who meet the requirements. The trust administrator will be an independent third party such as a certified public accountant.