Impact of Expulsion from the Japan Marriage Counseling Association on New Member Enrollments and Existing Members

「In the Partner Agent business, the company's core business, new admissions in the second quarter declined by approximately 14% year on year because the company could no longer make reciprocal member introductions with the Japan Marriage Counseling Association.」

「The main reason for the decline in new members admitted was a temporary decrease in new admissions following the company's expulsion from the Japan Marriage Counseling Association, of which it had been a member (operator: IBJ Co., Ltd.). To improve customer satisfaction, the company informs prospective members at the time of admission of approximately how many members they may be introduced to. However, the number of eligible members declined following the company's expulsion from the association, and some prospective members in particular regions or age groups did not proceed with admission. The main reasons for the decline in members on the books compared with the beginning of the second-quarter accounting period of the consolidated fiscal year were (1) the temporary decline in new admissions described above, (2) an increase in members withdrawing after marriage (up 370 from the same quarter of the previous year), and (3) approximately 120 withdrawals resulting from the company's expulsion from the Japan Marriage Counseling Association.」