In order to respond to the trust placed in us by our stakeholders including shareholders, customers, employees and society, and to achieve sustainable growth and medium- to long-term corporate value, while following the fundamental philosophy and management policies below as our basic principle, the Toyo Tanso Group has built a structure of corporate governance aiming to make transparent, fair, quick and decisive decisions while keeping a balance between management supervision and the execution of duties.

With regard to governance of domestic and overseas affiliates, category leaders in the Global Business Promotion Department (experts in each functional department) are working to integrate processing technologies, quality assurance, and product development, while also centralizing management functions such as production, sales, procurement, legal affairs, accounting, human resources, and information systems. In this way, we have built a management system for the entire Group and are making efforts to further enhance our management system. In accordance with the Management Book (Group Common Management Standards), the Group is working to standardize subsidiary management, ensure operational consistency, and conducting effectiveness checks and monitoring.

With regard to Directors' remuneration, the Board of Directors' meeting held on February 26, 2021 approved guidelines for deciding the details of remuneration, etc. for individual Directors, and the Board of Directors' meeting held on January 25, 2024 approved the addition of a performance indicator and the introduction of ESG indicators for mid- to long-term incentive remuneration. In approving the above resolutions, the board consulted the Nomination and Remuneration Committee on their details and obtained their report in advance. For information on remuneration for directors, please refer to page 55 of "To investors > IR Library > Securities Report (Year ended December 2025)."
https://ssl4.eir-parts.net/doc/5310/yuho_pdf/S100XTP9/00.pdf#page=55

For remuneration for auditors, only basic remuneration is paid. Basic guidelines on the total remuneration levels will be deliberated upon by the Nomination and Remuneration Committee and approved by the Board of Directors. Remuneration for each auditor is decided through consultation with the auditor.
For information on remuneration for auditors, please refer to page 56 of "To investors > IR Library > Securities Report (Year ended December 2025)."
https://ssl4.eir-parts.net/doc/5310/yuho_pdf/S100XTP9/00.pdf#page=56