Safety and liability risks from accidents, abuse and other incidents involving facility residents

「Accidents arising from the characteristics of elderly people may occur and could develop into serious incidents involving users' lives. If the Group is held liable for negligence or management responsibility as a result, its business performance and financial condition could be affected by the payment of damages and other costs. In addition, as part of its efforts to prevent elder abuse, including physical abuse and neglect or abandonment of care by workers at nursing-care facilities, as required under the Elder Abuse Prevention Act, the Group provides employee training and has established an abuse-prevention manual to prevent inappropriate care and abuse. However, if abuse or inappropriate physical restraint occurs, the Group's business performance and financial condition could be affected by statutory penalties, lawsuits, and loss of public trust.」