Alignment of accounting treatments and valuation standards with the parent company

「Following the Company becoming a consolidated subsidiary of CK SAN-ETSU Co.,Ltd., it reviewed the use of its buildings with a view to aligning accounting treatments. As it became clear that the buildings would be used on a long-term, stable basis, the Company determined that the straight-line method, which allocates costs evenly over the useful lives of the buildings, would more appropriately reflect periodic profit and loss, and therefore changed its accounting policy.」