Closure and reorganization of the Shanghai mobility production site in China

「As part of the reorganization of production sites to optimize the production structure, the company plans to close its consolidated subsidiary 椿本汽車発動機（上海）有限公司 in the future. In connection with this, the carrying amounts of production equipment and other assets that cannot be repurposed were reduced to their recoverable amounts, and the resulting reduction was recorded as a business restructuring loss under extraordinary losses.」