[Tsubakimoto Chain] Sale of Treasury Shares to Employee Shareholding Association | October 2026

Overview of the Sale

Tsubakimoto Chain will sell 88,000 shares of treasury stock as restricted stock transfer to its employee shareholding association on October 8, 2026. The sale price is 2,920 yen per share, totaling approximately 256,960,000 yen. This system aims to improve employee welfare and increase corporate value, and it will be implemented through a third-party allotment. The shares are intended to promote employees’ asset formation and incentivization, with a minimal dilution impact expected. A temporary report pursuant to the Financial Instruments and Exchange Act has already been submitted concerning the sale.

Objectives of the System and Future Outlook

This system aims to enhance employee welfare and sustainably improve corporate value, promoting employee asset formation support and value sharing with shareholders. The dilution impact of the shares being sold is approximately 0.45%, considered minimal, and the influence on the market is deemed limited. Moving forward, we will continue to implement measures that balance incentivizing employees and increasing corporate value to achieve sustainable growth.