Reviewing the Appropriateness and Reducing Cross-shareholdings

「Each year, the Board of Directors reviews whether the company should continue to hold its shares by comprehensively considering the purpose of the holdings and the returns and risks associated with them. For shares deemed unjustified to hold, the company will reduce its holdings, including through sales.」

「During the fiscal year, we changed the purpose of holding the shares of Business Engineering Corporation from purposes other than pure investment to pure investment. We intend to sell the shares while taking into account stock-market conditions.」

「Based on the above policy, we sold 11 strategic shareholdings during the fiscal year.」

「We hold shares only when we determine that doing so will contribute to the company's sustainable growth and the enhancement of corporate value over the medium to long term. Each year, the Board of Directors comprehensively considers the purpose of holding each share, as well as the returns and risks associated with holding it, and verifies whether the holding is appropriate. For shares deemed no longer justified, we will reduce our holdings, including by selling them.」