(Update on Previously Disclosed Matter) Notice Concerning the Acquisition and Cancellation of Treasury Shares by Our Chinese Subsidiary (FTSVA) Pursuant to a Profit Compensation Agreement

Because FLH's actual profit fell below the agreed amount under the profit compensation agreement, FTSVA plans to repurchase and cancel 63,070,203 common shares of FTSVA held by FTS for a total consideration of CNY 1.00. The transaction requires a resolution at a shareholders' meeting and procedures with the Chinese authorities, and is expected to be carried out around June 2026.

Worth reading

67In focus

Scored from 1 of 4 sections

Direction

Neutral

Direction inferred from the company’s description.

Scale

63070203

Wording

Conditional

How definitive the wording is.

Progress against acquisition limit

Repurchase of shares held by FTS under the profit compensation agreement

Number of Shares

Current63,070,203 shares

Amount

CurrentTotal consideration of CNY 1.00

Average acquisition price for this transaction (calculated)¥0 per shareCurrent acquisition price ÷ current number of shares acquired

Progress against acquisition limit
Item	Details
Total number of shares acquired in this transaction	63,070,203 shares
Total current acquisition price	Total consideration of CNY 1.00
Acquisition date/acquisition period	No acquisition date or period specified. The acquisition will be carried out promptly after approval at FTSVA's shareholders' meeting and completion of the necessary procedures with the Chinese authorities, and is expected to take place around June 2026.
Method of acquisition	Repurchase of shares held by FTS under the profit compensation agreement

Items this document does not state (9)

Cumulative number of shares acquiredCumulative acquisition costResolution dateMaximum number of shares to be acquiredTotal acquisition priceAcquisition period under the resolutionPercentage of total issued sharesWhether acquisition has been completedAverage Acquisition Price

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

FLH's realized net profit for fiscal 2025 fell below the agreed net profit, making compensation necessary under the profit compensation agreement.

How to read this page

This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.

Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.

Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.