Introduction of a Performance-Linked Stock Compensation Plan

「Stock compensation consists of a fixed component paid for directors’ oversight functions and a performance-linked component paid for executive performance. Under the fixed component, shares equivalent to a set amount are delivered regardless of position. Under the performance-linked component, a standard amount is set for each position, with a payout ratio of 100% (the standard amount) upon achievement of performance targets; the payout ratio varies from 50% to 150% depending on the degree of target achievement.」

「The company has introduced a performance-linked stock compensation plan for directors, excluding outside directors and directors who are Audit & Supervisory Committee members, and executive officers (collectively, “Directors and Executive Officers”).」