Notice Regarding Stock Consolidation, Abolition of the Stipulation on Number of Shares per Trading Unit, and Partial Amendment of the Articles of Incorporation

Overview of Stock Consolidation

The Company plans to submit a proposal at the extraordinary general meeting of shareholders scheduled for May 12, 2026, regarding a stock consolidation (consolidating 74,100,604 shares into 1 share) and the abolition of the stipulation on the number of shares per trading unit. As a result, the number of outstanding shares will be drastically reduced from approximately 300 million to 4 shares, and delisting from the Tokyo Stock Exchange and Nagoya Stock Exchange is scheduled for June 1, 2026. For shareholders with fractional shares less than one whole share resulting from the consolidation, the purchaser will acquire the applicable shares by obtaining court approval and provide cash compensation.

Background and Impact of Privatization

This stock consolidation is part of the privatization associated with the tender offer conducted by Toyota Real Estate Holdings Corporation, aiming to limit the Company's shareholders to the tender offeror and Toyota Motor Corporation only. The tender offer price was ultimately raised to 20,600 yen per share, and its reasonableness was confirmed through multiple independent third-party valuation institutions and fairness opinions. The Company’s brand and credibility will be maintained post-privatization, and it is judged that there will be no significant impact on financing.