Sumitomo Bakelite’s Share Buyback｜July 17, 2026

Overview of Capital Policy

Sumitomo Bakelite resolved to dispose of 11,411 shares through a share buyback at 7,393 yen per share on July 17, 2026. This disposal is based on the restricted stock compensation system and aims to provide incentives to officers. The funds raised through this disposal amount to approximately 84.36 million yen and are implemented as part of the officers' compensation system. The shares to be disposed of are managed with transfer restrictions, which will be解除（解除） upon officer retirement or death, and the company will acquire them free of charge.

Providing Incentives to Officers and Future Outlook

This disposal is part of an officer compensation system aimed at enhancing the corporate value of Sumitomo Bakelite and sharing value with shareholders. The disposed shares are managed with transfer restrictions and will be解除（解除） upon officer retirement or death. This mechanism encourages long-term commitment to the company and aims to sustain corporate value growth. The company will continue to ensure appropriate operation of the system and enhance corporate value.