Governance structure
The compensation ratios were changed from 45:45:10 for base compensation, bonuses and the stock benefit trust to 45:35:20. The bonus performance metric was changed from profit before income taxes to operating profit. The stock benefit trust performance metrics were changed from cumulative profit before income taxes to ROE, relative TSR, employee engagement and the percentage of women in management. The body responsible for determining the specific amount and terms of each individual's compensation, including bonuses, was changed from the Representative Director and President to the Board of Directors.
| Item | Details |
|---|---|
| Committee | Governance Committee (proportion of external members: Not disclosed) |
| Changes this time | The compensation ratios were changed from 45:45:10 for base compensation, bonuses and the stock benefit trust to 45:35:20. The bonus performance metric was changed from profit before income taxes to operating profit. The stock benefit trust performance metrics were changed from cumulative profit before income taxes to ROE, relative TSR, employee engagement and the percentage of women in management. The body responsible for determining the specific amount and terms of each individual's compensation, including bonuses, was changed from the Representative Director and President to the Board of Directors. |
Items this document does not state (6)
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.To strengthen incentives for improving corporate value over the medium to long term and enhance transparency for stakeholders, including shareholders. The changes were decided based on recommendations from the Governance Committee, informed by compensation market research conducted by external specialists.