Risk of Serious Compliance Violations or Breaches of Laws and Regulations

「At one of our overseas subsidiaries, improper payments were made in prior fiscal years to individuals regarded as public officials and others. Since it was recognized that these payments could violate local anti-corruption laws and other regulations, an investigation or prosecution by local authorities may occur in the future, although the situation remains uncertain at present.」

「At one of our overseas subsidiaries, improper payments were made to individuals regarded as public officials and others. Since it was recognized that these payments could violate local anti-corruption laws and other regulations, an investigation or prosecution by local authorities may occur in the future, although the situation remains uncertain at present.」

「It has been reported that, at the overseas subsidiary, improper payments were made continuously over an extended period to senior personnel and others at multiple customers in a particular business for purposes including securing orders for projects, and that these payments were made systematically under management approval before we acquired the overseas subsidiary. It has also been pointed out that these improper payments could constitute violations of local anti-corruption laws and other laws and regulations, as well as breaches of contracts with customers.」

「The Group conducts its business with compliance with laws and regulations, including the Companies Act, the Financial Instruments and Exchange Act and the Act on the Protection of Personal Information, as its top priority. However, if a serious compliance violation or breach of laws or regulations occurs, the Group's social credibility could decline and its performance could be affected.」