Verifying the Rationale for Cross-Shareholdings
First written in FY2019. 1 of 2 entries say "Restated". Latest entry: FY2020.
- FY2020RestatedAnnual report
「Voting rights are exercised based on a comprehensive assessment of whether doing so is consistent with the purpose of the company's holdings and contributes to improving the issuing company's corporate value. The Board of Directors also regularly verifies the rationale for the cross-shareholdings.」
The company continues its policy of regularly reviewing cross-shareholdings at Board of Directors meetings, taking into account the purpose of the holdings, their contribution to corporate value, and their profitability, benefits and risks relative to the cost of capital. - FY2019First statedAnnual report
「The company's basic policy on so-called cross-shareholdings is to hold such shares only where a reasonable rationale for holding them can be established. Reasonableness will be assessed by examining the profitability associated with the holdings, whether the benefits and risks of holding them are commensurate with the cost of capital, and the purpose of the holdings, including maintaining and strengthening business relationships. The Board of Directors also regularly verifies the rationale for the cross-shareholdings.」
The company disclosed for the first time its policy of assessing the rationale for cross-shareholdings based on profitability, the relationship between their benefits and risks and the cost of capital, and business relationships, with regular verification by the Board of Directors.