Scaling Back Unprofitable Businesses and Improving Business Structure

「Expenses and losses totaling ¥70.449 million arising from improvements to the business structures of the Company and its consolidated subsidiary in Vietnam were recognized as business structure improvement costs under extraordinary losses. For the above assets, the carrying amounts were reduced to their recoverable amounts because recovery of the investment was no longer expected as a result of downsizing unprofitable businesses and reviewing operations to improve profitability in line with changes in the business, and the resulting reduction was recognized as business structure improvement costs.」