Trust and Business Continuity Risks from Contract Testing Data Misconduct

「The Company conducted an investigation into the facts surrounding the misconduct involving contract testing data identified at its consolidated subsidiary, トランスジェニック. It recorded ¥34.512 million in extraordinary losses for fees paid to external experts, including attorneys, engaged for the investigation and additional audit fees paid to the accounting auditor.」

「Interim net income attributable to owners of the parent was ¥29.547 million, after recording ¥37.428 million in extraordinary income, including refunds of consumption taxes and other amounts from prior fiscal years, and ¥64.112 million in extraordinary losses, including business reorganization losses associated with the consolidation of the subsidiary’s locations and special investigation expenses related to the subsidiary’s testing data misconduct.」

「We consider it an urgent priority to restore trust after irregularities involving test data were committed by certain employees in connection with some of the contract testing conducted by our subsidiary, 株式会社トランスジェニック 磐田研究所.」