Cross Shareholding

In corporate governance code when a listed company owns stock in another a listed company, so called cross holdings, the company must disclose any kind of information regarding its shareholding policy. Every year, in the meeting of Board of Directors, they examine the medium- to long-term economic rationality and the future prospects based on the returns and risks of major cross holdings and give concrete explanations on the aims and its rationality. It is also said that listed companies should formulate and disclose standards for ensuring appropriate correspondence with respect to the exercise of voting rights pertaining to policy holding stocks.
The Company does not own shares of other listed companies as cross-shareholdings. As a holding company, the Company does not intend to own shares for any purpose other than net investments. Consequently, the Company has neither a policy nor a standard with respect to the exercise of voting rights. If the Company owns shares as cross-shareholdings in the future, it will promptly determine a policy and standard as well as provide an explanation.