Summary of the Results of the Evaluation of the Effectiveness of Our Board of Directors

Overview of the Board of Directors Effectiveness Evaluation

Nitto Denko Corporation conducted a questionnaire survey by a third-party organization regarding the effectiveness of the board of directors for fiscal 2025. Based on the results, the board held discussions and confirmed that effectiveness is ensured. In addition to the conventional five-point evaluation, free-form descriptions were used to review the delegation of authority and strengthening of supervisory functions of the board, nomination and remuneration governance, supervision of ESG promotion, and roles of outside directors from multiple perspectives.

Future Challenges and Responses

From the evaluation results, the need to discuss supervisory functions for internal control and risk management more systematically and continuously, long-term considerations on organizational structure and succession, and the effective utilization of the high insight and experience of outside directors were identified as key future challenges. In response to these issues, a voluntary nomination and remuneration advisory committee has been established to strengthen fairness, transparency, and objectivity. The company will continue promoting overall improvement in the effectiveness of the board of directors.