April 28, 2020
To our shareholders
Company Name:Optorun Co., Ltd.
Name of Representative: Ihei Hayashi
Representative Director andPresident/CEO(Securities Code: 6235 Tokyo Stock Exchange Section 1)
Inquiries:
Toshinori Takahashi
Director and Senior Managing Officer
General Manager of Management
Department and Corporate PlanningOffice(TEL: +81-3-6635-9487)

Business update related to COVID19 outbreak.

1. Current response to the COVID 19 outbreak.
In response to the Japanese government's Declaration of the State of Emergency, our employees
in Ikebukuro Tokyo Head Office are currently working from home, and those in the Kawagoe
Technology Center, which is the technology development department, are either working fromhome, or when found absolutely necessary, working at the Center in staggered working hours.
We are also carrying out thorough infection prevention measures including daily healthcondition checks and prohibition of domestic and overseas business trips. No employee hasdeveloped symptoms so far.
The overall operation of our two major overseas subsidiaries which play major roles for ourproduction, applied research development, and sales activities, have returned to normal.
OPTORUN (SHANGHAI) CO., LTD. (Optorun Shanghai), especially following the lift oflockdown in Wuhan, China, on April 8, has seen all its employees returned, production capacity
recovered to its normal level, and except for some imported parts from outside China, partsprocurement also getting back to usual. The business activities have also been normalized inOPTORUN TAIWAN CO., LTD. (Optorun Taiwan). As a result of thorough infection
prevention measures, no employee has developed symptoms at either of the two subsidiaries atthis time.
2. Localization is functioning.
Our operation has always been thoroughly localized under the leadership of its Japan
headquarters; Optorun Shanghai and Optorun Taiwan are run 100% by local employees. During
this COVID 19 outbreak, this fully localized operation has allowed us to communicate smoothlywith the local government authorities, grasp the exact prospects of employees’ return to theworkplace in a timely manner, and maintain close communication with parts suppliers, resulting
so far in making us capable of effectively addressing the fluid situation. We have also
traditionally carried out cross-sectional operation in areas such as development, sales andmanagement administration across Tokyo, Kawagoe, Shanghai, and Taiwan under thesupervision of the Japan headquarters. This enabled us to temporarily move the development
project to Taiwan from Shanghai in order to prevent delays during this outbreak.

3 Widespread use of remote working tools
In response to the current situation, we are demonstrating enhanced communication capabilities
in running our global operations by effectively using remote working tools. We are working toensure smooth communication flows in Japanese, Chinese, and English languages throughremote telecommunication tools between our headquarters in Japan and oursubsidiaries/affiliates in Shanghai, Taiwan, and Finland (Afly solution Oy). That includes
regular meetings among directors and executive officers that are conducted from home. In
addition, we frequently hold meetings using these tools with Japanese and overseas customers
for marketing, technology development and equipment delivery, as well as with suppliers forprocurement, to avoid direct onsite contacts. We will continue to endeavor using various
communication means to minimize the impact of the worldwide Corona outbreak in order tomeet customer needs and achieve business results.
4 Production / procurement status
Currently, employees of the Tokyo Head Office and Kawagoe Development Center are mainly
working from home, and are in contact with domestic departments and overseas bases throughvarious remote working tools. Our Shanghai and Taiwan are operating normally in terms ofproduction and shipping. In terms of procurement, we are facing no major obstacles in China.
Although we’ve witnessed some impacts on supply chain for our imported parts from outside ofChina, with our existing inventory in place, we are working closely with our parts vendors tospeed up delivery to ensure that procurement will not be hindered. Likewise, Optorun Taiwan’s
procurement is almost back to normal.
5. Market environment
While we’ve been witnessing a strong market recovery trend that started from the fourth quarterof 2019 into the beginning of 2020, we are also seeing the market environment staying fluid in
the midst of various infection prevention measures taken in each East Asian countries. We will
endeavor to keep the potential market needs in check and minimize the impact on our activities
in development, production, and marketing. With the rise of 5G and IoT in sight, we willcontinue to develop capabilities to effectively respond to future market trends and meetcustomer expectations.
6. Announcement date of the 1st Quarter Financial Results for the Year Ending December
31, 2020
There will be no change to the announcement date scheduled for Monday, May 11, 2020.
End