CORPORATE GOVERNANCE

Basic Views

The Company recognizes that establishing a sound corporate governance framework is essential to ensuring the continuity and stable development of its business, as well as to maximizing the value of all stakeholders, including customers, business partners, shareholders, investors, local communities, the global environment, employees and Directors.
In particular, the Company believes it is important to establish an effective internal control system, an appropriate risk management system, and a compliance framework, and to further strengthen the mechanisms for appropriately auditing these systems

Reasons for Adoption of Current Corporate Governance System

The Company has established the following corporate bodies pursuant to the Companies Act: the Board of Directors, Audit and Supervisory Board, and the Accounting Auditor. The Board of Directors, as the highest decision-making body for management, concentrates authority and responsibility for business execution. The Audit and Supervisory Board and its members, who are independent from business execution, are entrusted with the oversight function over the Board of Directors. This structure enables appropriate management decision-making and business execution, while ensuring sufficient organizational checks and balances under the Company’s corporate governance system.
Furthermore, to establish effective internal controls, the Company has established the Internal Audit Office. To strengthen its risk management framework, the Company has established the Risk Management Committee. To enhance its compliance framework, the Company has established the Compliance Committee. In addition, the Company supplements its corporate governance framework by seeking advice from external experts, such as attorneys, as necessary.
The Company has adopted this framework to further enhance its corporate governance structure, with the aim of improving the supervisory function of the Board of Directors, increasing management efficiency and soundness, and further enhancing corporate value.

Corporate Governance Structure

Corporate Governance Report

The company's Corporate Governance Report is submitted to Tokyo Stock Exchange.