Legal Liability and Reputational Damage from Personal-Information Leakage or Loss

「Our group has comprehensive measures in place to protect important business data and personal information, including member and subscriber information. The Company and its consolidated subsidiaries Tsuri Vision, System Design Development, div and divx have obtained Privacy Mark certification. However, if personal information is leaked or lost due to misconduct or negligence by officers, employees, partner companies or outsourced service providers, the stricter information-management framework required with the introduction of the Social Security and Tax Number System (My Number System) may also result in legal liability under the Act on the Protection of Personal Information or contracts, litigation and reputational damage, materially affecting our group’s results.」