[Electro Industries Machinery Corporation] Overview of Share Buyback and Compensation System | June 2026

Overview of Capital Policy

Electro Industries Machinery Corporation will dispose of 1,461 shares of treasury stock on July 24, 2026. The disposal price is 5,430 yen per share, with a total of 7,933,230 yen. This disposal is part of a restricted stock compensation scheme, granted to four targeted directors. The purpose of the scheme is to motivate directors and sustainably increase corporate value. The shares to be disposed are contributed as cash claims by the targeted directors, and during the restriction period, transfers or pledges are prohibited.

Details of the Scheme and Future Outlook

This scheme was introduced following a resolution by the Board of Directors in 2021 and approval at the shareholders' meeting, granting cash claims and shares to the targeted directors. The shares granted cannot be transferred or pledged during the restriction period and are released under certain conditions. The disposal price is based on the market's closing price, setting a rational price free from arbitrariness. Going forward, the scheme will continue to aim at motivating directors and enhancing corporate value through its operation.