Notice of Transition to a Company with an Audit and Supervisory Committee

Key Points of the Transition

At a Board of Directors meeting held today, it was decided to transition to a company with an Audit and Supervisory Committee, subject to approval at the 80th Annual General Meeting of Shareholders scheduled for December 2026. The primary purpose of the transition is to strengthen management oversight by establishing an Audit and Supervisory Committee in which outside directors constitute a majority, to shift the Board of Directors' role—responsible for deciding and approving business execution—toward deliberation and monitoring of medium- to long-term strategies, and to establish a framework that enables agile decision-making on important matters.

Future Procedures and Personnel

Details of partial amendments to the Articles of Incorporation and executive personnel (directors who will be Audit and Supervisory Committee members) arising from the transition will be disclosed separately in the "Notice Regarding Partial Amendment of the Articles of Incorporation in Conjunction with the Transition to a Company with an Audit and Supervisory Committee" and the "Notice Regarding Executive Personnel in Conjunction with the Transition to a Company with an Audit and Supervisory Committee." This transition is contingent upon approval at the December 2026 general meeting and will take effect officially after such approval.