Kiyobank Consolidated Subsidiary Mergers Scheduled for June 22, 2026

Purpose and Overview of the Merger

Our company's wholly owned subsidiary, Kiyo Card Co., Ltd., and Kiyo Card DC Co., Ltd., will merge, promoting the consolidation of management resources and improving management efficiency in the card business. The merger will be an absorption-type merger, with Kiyo Card Co., Ltd. remaining as the surviving company. Through the merger, we aim to enhance service delivery capabilities and ensure sustainable business operations. Approval will be obtained at the Board of Directors' meeting on June 22, 2026, and the shareholders' meeting is scheduled for July 8, 2026. The basic information of the surviving company will remain unchanged after the merger, and the impact on performance is expected to be limited.

Impact on Shareholders and Future Outlook

This merger is expected to have a limited impact on the consolidated results of Kiyobank, the parent company. By centralizing management resources of the card business, it is expected to strengthen the sales foundation and improve service quality. The implementation of the merger aims to enhance competitiveness and ensure sustainability of the card business, while maintaining stable operations in future business developments.