Securities Code 9678
January 6, 2020
To Our Shareholders
1-19, Odori Higashi 3-chome
Chuo-ku, Sapporo, Hokkaido
060-0041, Japan
Tetsuo Kanamoto, President

Notification and Invitation to the 55th Regular General Meeting of the Shareholders
On behalf of the company, I would like to express our sincere appreciation for your continuing
support.
It is a pleasure to send you notification of the 55th Regular General Meeting of the Shareholdersof Kanamoto Company, Ltd., which will be convened at the time and location indicated below.
If you are unable to attend the Meeting, please take a few moments to read the following
reference documents for the General Meeting of the Shareholders, and exercise your voting rights
by using either of the procedures indicated below.
[To exercise your shareholder voting rights in writing (by mail)]Shareholders who wish to exercise their voting rights using the Form for Exercising Voting Rights arerequested to use the enclosed form to cast an affirmative or negative vote regarding the resolutions presented
for approval. Please sign your voting form and return it to us by 5:00 p.m. on Monday, January 27, 2020
(Japan time).
[To exercise your shareholder voting rights by Internet]
Shareholders who wish to exercise their voting rights using the Internet are requested to exercise their voting
rights to cast an affirmative or negative vote regarding the resolutions presented for approval by 5:00 p.m. on
Monday, January 27, 2020 (Japan time).
◎ Please refer to the Instructions When Exercising of Voting Rights Using the Internet, etc. provided below onPage 12 to 13.

1. Date and Time
2. Location

Tuesday, January 28, 2020, 10:00 a.m. (Reception desk will open from 9:00 a.m.)
11-1 Nishi, Kita 1-jo, Chuo-ku, Sapporo, Hokkaido, Japan
Royton Sapporo, 3rd Floor “Royton Hall”

3. Purpose and Topics of the Meeting
Matters to be reported
1. Report of Business Operations and the Consolidated Financial Statements, and the Report on
Results of the Audit by the Accounting Auditor and the Board of Corporate Auditors on theConsolidated Financial Statements, for the 55th Business Period (from November 1, 2018 to
October 31, 2019)
2. Report of the Company Financial Statements for the 55th Business Period (from November 1, 2018
to October 31, 2019)
Resolutions to be presented for Shareholder Approval
Resolution #1 Appointment of twelve (12) individuals to position of Director
Resolution #2

Appointment of one (1) individuals to position of Corporate Auditor－1－◎ Exercise of voting rights by proxy

When you will exercise your voting rights by proxy, one (1) other shareholder with voting rights can attend theGeneral Meeting of the Shareholders as your representative. However, your proxy will be required to present
documentation to verify he/she has the authority to vote on your behalf.

◎ When attending the General Meeting of the Shareholders on the scheduled date, please submit the enclosed

Form for Exercising Voting Rights at the reception desk on the meeting date.
◎ As part of the documents to be provided to shareholders when issuing this notification to convene a Regular
General Meeting of the Shareholders, information pertaining to matters that should be disclosed in the Notes to
the Consolidated Financial Statements and Notes to the Company Financial Statements will be provided toshareholders in the form of documents available on Kanamoto’s Internet website [https://www.kanamoto.ne.jp]
based on laws and regulations and Article 16 of Kanamoto’s Articles of Incorporation.
In addition to the matters described in the enclosed 55th Business Period Report of Business Operations, thematters that should be disclosed as Notes to the Consolidated Financial Statements and Notes to the Company
Financial Statements are included as well in the Consolidated Financial Statements and Company Financial
Statements that were audited when the Board of Corporate Auditors prepared its Audit Report and the Accounting
Auditor prepared its Audit Report, respectively.
In the event of revisions to the Reference Documents for the General Meeting of the Shareholders described
below and the Report of Business Operations or Consolidated Financial Statements and the Company Financial
Statements described in the 55th Business Period Report of Business Operations, the Company will publish thechanges on its Internet website [https://www.kanamoto.ne.jp].

－2－Reference Documents for the General Meeting of the Shareholders
Resolution #1 Appointment of twelve (12) individuals to position of Director
The term of office of twelve (12) Company Directors will terminate at the conclusion of theRegular General Meeting of the Shareholders. Therefore, the Company is requesting approval toappoint twelve (12) individuals to the position of Director.
Information on the candidates for Director is provided below.
NomineenumberName

Gender1

Kanchu Kanamoto

Male

2

Tetsuo Kanamoto

Male

3

Hitoshi Narita

Male

4

Tatsuo Kanamoto

Male

5

Masakazu Hirata

Male

6

Hiroyuki Isono

Male

7

Yuichi Asano

Male

8

Kazunori
Hashiguchi

Male

9

Susumu Naito

Male

10

Eiji Arita

Male

11

Motoki Yonekawa

Male

12

Ayako Tabata

FemalePosition and duties at Kanamoto
Chairman of the Board andRepresentative Director
President and CEO, Corporate
Officer, General Manager, Business
Coordination Headquarters
Director, Corporate Officer, Division
Manager, Management Planning
Division
Director, Corporate Officer
Division Manager, Construction
Equipment Rental Division serving
concurrently as Regional Manager,
Construction Equipment Rental
Division Hokkaido Regionand Manager in charge of Steel Sales
Division
Director, Corporate Officer
Deputy Division Manager,
Construction Equipment Rental
Division serving concurrently as
Division Manager, Used Equipment
Sales Division
Director, Corporate Officer, Division
Manager, Accounting Division serving
concurrently as Manager, Bill
Collection Center
Director, Corporate Officer, Division
Manager, Credit Management
Division
Director, Corporate Officer, Division
Manager, Human Resources Division
serving concurrently as General
Manager, Market Development OfficeOutside Director―
Outside Director―－3－

Attribute of candidate

Reappointment
Reappointment

Reappointment

Reappointment

Reappointment

Reappointment

Reappointment

Reappointment

Reappointment

OutsideIndependent

Newappointment

OutsideIndependent

Reappointment

OutsideIndependent

Newappointment

OutsideIndependentNominee
numberName(Date of birth)

Kanchu Kanamoto(November 29,
1946)[Reappointment]
1

Employment history and position and duties at Kanamoto(Main concurrent positions at other entities)
April 1973
November 1981
January 1990
April 1996
June 1998
January 2001
November 2016

Joined Kanamoto Co., Ltd.
Promoted to Director
Promoted to Executive Director
Promoted to Executive Vice President
Promoted to President and CEO
Promoted to Corporate Officer
Promoted to Chairman of the Board andRepresentative Director (Present position)(Main concurrent positions at other entities)
Chairman of the Board, Kanamoto (China) Investment Co., Ltd.

Number ofshares ofKanamoto stock
owned

488,600 shares[The reason that the Company has proposed Kanchu Kanamoto as a candidate for Director]
He has extensive experience and expertise regarding the business activities of the Company throughexecuting the duties of Chairman of the Board and Representative Director of the Company. At theconclusion of this Regular General Meeting of the Shareholders, his tenure as a director of theCompany will have been 38 years, during which he has been engaged in corporate management as adirector of the Company and fulfilled his duties appropriately. Based on the above facts, the Company
has judged him to be suitable as a director of the Company and has continued to appoint him as a
candidate for director.
January 1983
September 2000

Tetsuo Kanamoto(May 21, 1960)[Reappointment]
2

Joined Kanamoto Co., Ltd.
Regional Manager, Construction Equipment
Rental Division Kanto Region
April 2001
Promoted to Corporate Officer
November 2002
Division Manager, Construction Equipment
Rental Division
January 2004
Promoted to Director
June 2005
General Manager, Business Coordination
Headquarters (Present position)
April 2012
Promoted to Senior Corporate Officer
November 2014
Promoted to Senior Vice President andCorporate Officer
November 2016
Promoted to President and CEO andCorporate Officer (Present position)(Main concurrent positions at other entities)
President and Representative Director, Toyo Industry Co., Ltd.
Chairman of the Board and Representative Director, Unite Co.,
Ltd.
Chairman of the Board and Representative Director, KG
Flowtechno Co., Ltd.
Chairman of the Board, KANAMOTO (HK) CO., LTD.
Representative Director, Kanamoto & JP Nelson Equipment (S)PTE. Ltd.

12,487 shares[The reason that the Company has proposed Tetsuo Kanamoto as a candidate for Director]
He has extensive experience and expertise regarding the business activities of the Company throughexecuting the duties of President and CEO, and as well as the duties of the division manager of aBusiness Division. At the conclusion of this Regular General Meeting of the Shareholders, his tenure
as a director of the Company will have been 16 years, during which he has been engaged in corporate
management as a director of the Company and fulfilled his duties appropriately. Based on the above
facts, the Company has judged him to be suitable as a director of the Company and has continued toappoint him as a candidate for director.
November 1981
January 2000

Hitoshi Narita(July 10, 1957)[Reappointment]
3

Joined Kanamoto Co., Ltd.
Division Manager, Business Planning Division(now Management Planning Division)(Present position)
January 2001
Promoted to Corporate Officer (Present
position)January 2004
Promoted to Director (Present position)(Main concurrent positions at other entities)
President and Representative Director, Kanatech Co., Ltd.

7,000 shares[The reason that the Company has proposed Hitoshi Narita as a candidate for Director]
He has extensive experience and expertise regarding the business activities of the Company throughexecuting the duties of the division manager of the Management Planning Division. At the conclusionof this Regular General Meeting of the Shareholders, his tenure as a director of the Company will
have been 16 years, during which he has been engaged in corporate management as a director of theCompany and fulfilled his duties appropriately. Based on the above facts, the Company has judged
him to be suitable as a director of the Company and has continued to appoint him as a candidate fordirector.

－4－

Nominee
numberName(Date of birth)

Employment history and position and duties at Kanamoto(Main concurrent positions at other entities)
April 1994
April 2001
January 2003
April 2003

Tatsuo Kanamoto

April 2005

(February 2,
1962)[Reappointment]

January 2007
February 2012
February 2014
February 2016

4

April 2016
November 2016

Joined Kanamoto Co., Ltd.
Regional Manager, Construction Equipment
Rental Division Kinki-Chubu Region
Promoted to Corporate Officer (Present
position)
Regional Manager, Construction Equipment
Rental Division Tohoku Region
Regional Manager, Construction Equipment
Rental Division Hokkaido Region (Present
position)
Promoted to Director (Present position)
Promoted to Deputy Division Manager,
Construction Equipment Rental Division
General Manager, Steel Sales Division
Manager in charge of Steel Sales Division(Present position)
Regional Manager, Construction Equipment
Rental Division Kanto & Koshinetsu Region
Division Manager, Construction Equipment
Rental Division (Present position)

Number ofshares ofKanamoto stock
owned

90,000 shares[The reason that the Company has proposed Tatsuo Kanamoto as a candidate for Director]
He has extensive experience and expertise regarding the business activities of the Company throughexecuting the duties of the division manager of the Construction Equipment Rental Division and thegeneral manager of the Steel Sales Division. At the conclusion of this Regular General Meeting of the
Shareholders, his tenure as a director of the Company will have been 13 years, during which he has
been engaged in corporate management as a director of the Company and fulfilled his duties
appropriately. Based on the above facts, the Company has judged him to be suitable as a director of
the Company and has continued to appoint him as a candidate for director.
January 1975
April 1997

Masakazu Hirata(March 20, 1950)

January 2001

[Reappointment]
5

July 2001
January 2006

Joined Kanamoto Co., Ltd.
Deputy Division Manager, Construction
Equipment Rental Division Hokkaido Region,
serving concurrently as Regional Coordination
Manager, Repair and Maintenance Hokkaido
RegionPromoted to Corporate Officer
Deputy Division Manager, Construction
Equipment Rental Division, serving
concurrently as Division Manager, Used
Equipment Sales Division (Present position)
General Manager, Quality Assurance Office
Promoted to Director (Present position)

22,000 shares[The reason that the Company has proposed Masakazu Hirata as a candidate for Director]
He has extensive experience and expertise regarding the business activities of the Company throughexecuting the duties of the division manager of the Used Equipment Sales Division and the Repair andMaintenance divisions. At the conclusion of this Regular General Meeting of the Shareholders, his
tenure as a director of the Company will have been 14 years, during which he has been engaged incorporate management as a director of the Company and fulfilled his duties appropriately. Based on
the above facts, the Company has judged him to be suitable as a director of the Company and has
continued to appoint him as a candidate for director.
December 2005
May 2006

Hiroyuki Isono(August 31, 1951)[Reappointment]
6

November 2006
January 2007
November 2016
January 2019

Joined Kanamoto Co., Ltd.
Division Manager, Administration Division
Promoted to Corporate Officer (Present
position)
General Manager, Office of the President
Promoted to Director (Present position)
General Manager, Secretary Office
Division Manager, Accounting Division serving
concurrently as Manager, Bill Collection
Center (Present position)

25,700 shares[The reason that the Company has proposed Hiroyuki Isono as a candidate for Director]
He has extensive experience and expertise regarding the business activities of the Company throughexecuting the duties of the division manager of the Accounting Division. At the conclusion of thisRegular General Meeting of the Shareholders, his tenure as a director of the Company will have been
13 years, during which he has been engaged in corporate management as a director of the Company
and fulfilled his duties appropriately. Based on the above facts, the Company has judged him to besuitable as a director of the Company and has continued to appoint him as a candidate for director.

－5－Nominee
numberName(Date of birth)

Yuichi Asano

Employment history and position and duties at Kanamoto(Main concurrent positions at other entities)
September 2000
April 2003

(February 22,
1955)[Reappointment]
7

January 2009

3,000 shares[The reason that the Company has proposed Yuichi Asano as a candidate for Director]
He has extensive experience and expertise regarding the business activities of the Company throughexecuting the duties of the division manager of the Credit Management Division. At the conclusion ofthis Regular General Meeting of the Shareholders, his tenure as a director of the Company will havebeen 11 years, during which he has been engaged in corporate management as a director of theCompany and fulfilled his duties appropriately. Based on the above facts, the Company has judged
him to be suitable as a director of the Company and has continued to appoint him as a candidate fordirector.
January 2012

April 2012

Kazunori Hashiguchi(March 28, 1960)[Reappointment]

8

Joined Kanamoto Co., Ltd.
Promoted to Corporate Officer (Present
position)
Division Manager, Credit Management
Division (Present position) serving
concurrently as General Manager, Auditing
Office and General Manager, Legal Office
Promoted to Director (Present position)

Number ofshares ofKanamoto stock
owned

November 2013

February 2016
November 2018

Joined Kanamoto Co., Ltd. and appointed
Corporate Officer (Present position)
Assistant to General Manager, Business
Coordination Headquarters
Promoted to Director (Present position)
Division Manager, Information Products
Division
Division Manager, Market Development
Division (now General Manager, Market
Development Office) (Present position)
Manager in charge of Construction Equipment
Rental Division Event Marketing Division
serving concurrently as Manager in charge of
New Products Office
Manager in charge of Information Products
Division
Division Manager, Human Resources Division(Present position)

900 shares[The reason that the Company has proposed Kazunori Hashiguchi as a candidate for Director]
He has extensive experience and expertise regarding the business activities of the Company throughexecuting the duties of the assistant general manager of a Business Division and the division
manager of the Information Products Division and the Market Development Division. At the conclusionof this Regular General Meeting of the Shareholders, his tenure as a director of the Company will
have been 8 years, during which he has been engaged in corporate management as a director of theCompany and fulfilled his duties appropriately. Based on the above facts, the Company has judged
him to be suitable as a director of the Company and has continued to appoint him as a candidate fordirector.

－6－

Nominee
numberName(Date of birth)

Employment history and position and duties at Kanamoto(Main concurrent positions at other entities)
April 1990
November 2011
May 2012

March 2013

Susumu Naito(July 4, 1967)[Reappointment][Candidate for
Outside Director]

January 2016
January 2017

[Independent
Officer]

9June 2018
January 2019

Number ofshares ofKanamoto stock
owned

Joined ORIX Corporation
General Manager, Electric Power Business
Department, ORIX Corporation
General Manager, Electric Power Business
Department, ORIX Corporation
Promoted to President, ORIX Electric Power
Corporation
General Manager, Sales Department I, ORIX
Corporation
Trustee, Deputy Head, Tokyo Sales
Headquarters, General Manager, Sales
Department I, ORIX Corporation
Trustee, Deputy Head, Eastern Japan Sales
Headquarters, ORIX Corporation (Present
position)
President and Representative Director, ORIX
Food Supply Corporation
Outside Director, Kanamoto Co., Ltd. (Present
position)
Director, Hyakugo Leasing Company Limited
Senior Managing Executive Officer, General
Manager of Lease Sales Division, Manager incharge of Fleet Management Department,
Risk Consulting Department and Purchasing
Department, and Supervising Manager ofTruck Rental Division, ORIX Auto Corporation(Present position)[The reason that the Company has proposed Susumu Naito as a candidate for Outside Director]
Since he has successively held responsible positions in ORIX Corporation, and furthermore, hasgained experience of management of its subsidiary, he can use his extensive experience andknowledge cultivated to contribute to the management of the Company and provide appropriate
advice from a broad viewpoint concerning the Company’s business activities.
[Matters concerning independency]
He has fulfilled the requirements of the “criteria for judging the independence of outside directors,”
set forth by the Company, and the Company has notified the Tokyo Stock Exchange and Sapporo
Securities Exchange, the exchanges on which Kanamoto’s shares are listed, of the position of Susumu
Naito as an “independent officer” as provided by the rules etc. of both exchanges.
The amount of transactions between the Company and the ORIX Group where he works is not morethan 0.1% of the ORIX Group’s and the Company’s respective consolidated sales in the last fiscal
year. Therefore, this has no impact on his independence.

－7－－

Nominee
numberName(Date of birth)

Employment history and position and duties at Kanamoto(Main concurrent positions at other entities)
April 1989
March 2005
March 2009
June 2009

Eiji Arita(April 17, 1966)[New
appointment][Candidate for
Outside Director][Independent
Officer]March 2013
March 2015
January 2017
January 2019
April 2019
June 2019
January 2020

10

Number ofshares ofKanamoto stock
owned

Joined ORIX Corporation
Branch Manager, Kofu Branch Office, ORIX
Corporation
Branch Manager, Saitama Branch Office, ORIX
Corporation
Director of Japan Medicare Support Co., Ltd.
(now UNIMAT Retirement Community Co.,Ltd.)
Block Manager, Integrated Central Block No.
2, ORIX Corporation
Block Manager, Central Block, ORIX
Corporation
Administrative Officer, Deputy General
Manager, Eastern Japan Sales Division, ORIX
Corporation
Executive Officer, Deputy General Manager,
Corporate Sales Division, ORIX Corporation,
Regional Sales Representative
Director, Kyuko-Lease Inc. (Present position)
Director, Torigin Lease Inc. (Present position)
Executive Officer, Deputy General Manager,
Corporate Sales Division (General Manager ofDomestic Sales Division), ORIX Corporation(Present position)–[The reason that the Company has proposed Eiji Arita as a candidate for Outside Director]
Since he has successively held responsible positions in ORIX Corporation, he can use his extensive
experience and knowledge cultivated to contribute to the management of the Company and provide
appropriate advice from a broad viewpoint concerning the Company’s business activities.
[Matters concerning independency]
He has fulfilled the requirements of the “criteria for judging the independence of outside directors,”
set forth by the Company, and the Company intends to notify the Tokyo Stock Exchange and Sapporo
Securities Exchange, the exchanges on which Kanamoto’s shares are listed, of the position of Eiji Arita
as an “independent officer” as provided by the rules etc. of both exchanges.
The amount of transactions between the Company and the ORIX Group where he works is not morethan 0.1% of the ORIX Group’s and the Company’s respective consolidated sales in the last fiscal
year. Therefore, this has no impact on his independence.
Motoki Yonekawa
December 22,
1946[Reappointment][Candidate for
Outside Director][Independent
Officer]11

May 1985
April 1996
April 2007
September 2011
January 2016

Vice President, Sapporo Hokuyu Hospital
President, Sapporo Hokuyu Hospital of
Medical Corporation Hokuyukai
Chairperson, Specified Medical Corporation
Hokuyukai
Chairperson, Social Medical Corporation
Hokuyukai (Present position)
Outside Director, Kanamoto Co., Ltd. (Present
position)[The reason that the Company has proposed Motoki Yonekawa as a candidate for Outside Director]
Although he has not participated in corporate management, he can use his experience and knowledge
as an executive at a medical institute, which is in an industry different to that in which the Company
operates, to contribute to the management of the Company and provide appropriate advice from a
broad viewpoint concerning the Company’s business activities.
[Matters concerning independency]
He has fulfilled the requirements of the “criteria for judging the independence of outside directors,”
set forth by the Company, and the Company has notified the Tokyo Stock Exchange and Sapporo
Securities Exchange, the exchanges on which Kanamoto’s shares are listed, of the position of Motoki
Yonekawa as an “independent officer” as provided by the rules etc. of both exchanges.
He currently serves as Chairperson of the Social Medical Corporation Hokuyukai, but there are notransactions between the Corporation and the Company. Therefore, this has no impact on his
independence.

－8－–

Nominee
numberName(Date of birth)
Ayako Tabata
December 3, 1974
[New
appointment][Candidate for
Outside Director][Independent
Officer]

12

Employment history and position and duties at Kanamoto(Main concurrent positions at other entities)
April 2000
October 2002
May 2009
May 2019

Number ofshares ofKanamoto stock
owned

Registered with the Sapporo Bar Association(joined Motohiro Asano Law Office)Director, Lavender Law Office (Present
position)
Director, The Medical Malpractice Information
Center (Present position)
Deputy Representative, Sapporo Medical
Malpractice Study Group (Present position)–[The reason that the Company has proposed Ayako Tabata as a candidate for Outside Director]
Although she has not participated in corporate management, she can use her extensive experience andknowledge developed as an attorney-at-law to contribute to the management of the Company andprovide appropriate advice from a broad viewpoint concerning the Company’s business activities.
[Matters concerning independency]
She has fulfilled the requirements of the “criteria for judging the independence of outside directors,”
set forth by the Company, and the Company intends to notify the Tokyo Stock Exchange and Sapporo
Securities Exchange, the exchanges on which Kanamoto’s shares are listed, of the position of Ayako
Tabata as an “independent officer” as provided by the rules etc. of both exchanges.
She currently serves as Director of Lavender Law Office, but there are no consultancy agreements ortransactions between said firm and the Company. Therefore, this has no impact on her independence.

(Notes) 1. There are no special interests between the candidates for Director and the Company.
2. Susumu Naito, Eiji Arita, Motoki Yonekawa and Ayako Tabata are candidates for Outside Director.
3. The terms of office of Motoki Yonekawa and Susumu Naito as Outside Director of the Company will have been four years andthree years respectively at the conclusion of the Regular General Meeting of the Shareholders.
4. To enable its outside director to sufficiently demonstrate the role expected of them, the Company has set forth a provision in
its Articles of Incorporation that enables the Company to enter into a contract (Contract of Limitation of Liability) with each
Outside Director to the effect that, when circumstances correspond to the requirements provided in laws and regulations
concerning liability for damages under Article 423 paragraph (1) of the Companies Act, said liability for damages shall belimited to the total maximum liability for damages provided in laws and regulations, and at the present time the Company hasentered into a Contract for Limitation of Liability with each Outside Director. The Company plans to continue these contracts if
the reappointment of Susumu Naito,and Motoki Yonekawa is approved, and plans to enter into identical contracts for limitationof liability if the appointment of Eiji Arita and Ayako Tabata is approved.
5. Ayako Tabata’s name on the family registry is Ayako Kanno.
6. The details of “criteria for judging the independence of outside directors” set forth by the Company are stated on Page 10.

－9－[Criteria for Judging the Independence of Outside Directors]
The Company has established the following Criteria for Judging the Independence of Outside Directors:(1)

A person who is not a director involved in executing business operations, an executive officer, corporate
officer, manager, auditor, or other employee of the Company or a consolidated subsidiary, or has not been
executing business at the Company or a consolidated subsidiary within the previous ten years;(2)

A person who is not a business partner who has received payments from the Company or a consolidated
subsidiary or made payments to the Company or a consolidated subsidiary within the most recent threefiscal years equivalent to more than 2% of either of the party’s consolidated sales, or a person who is not
currently executing business at that company or has done so within the past three years;(3)

A person who is not a specialist, such as a consultant, accounting professional or legal profession (or if thespecialist is an institution, a person belonging to said institution) who received monetary or othercompensation, other than director compensation, equivalent to 10 million yen or more per year on average
from the Company within the last three fiscal years, or has received payments from the Company or any of
its consolidated subsidiaries equivalent to 2% or more of the office’s total sales;(4)

A person who is not a spouse or relative within the second degree of kinship of, a director, an executive
officer or corporate officer of the Company, or a consolidated subsidiary, or a person deemed to be
insufficiently independent based on the conditions stipulated in (2) or (3) above;(5)

A person who is not a major shareholder of the Company holding 10% or more of the current total voting
rights or a person executing the business of a major shareholder;(6)

A person who is not a director, corporate auditor, accounting advisor, executive officer, or corporate officer of
a company that accepts directors or auditors from the Company or a consolidated subsidiary, its parent
company, or subsidiary; or(7)

A certified public accountant (or certified tax accountant) or staff, partner, or employee of the auditing
corporation (or certified tax accounting firm) serving as the Company’s or a consolidated subsidiary’s
accounting auditor or accounting advisor, or a person who has been in charge of auditing operations for theCompany or a consolidated subsidiary within the past three years.

－10－Resolution #2 Appointment of one (1) individuals to position of Corporate Auditor
Among the five (5) currently serving Corporate Auditors, the term of office for Akio Hashimoto,will terminate at the conclusion of the Regular General Meeting of the Shareholders. The Company
is requesting approval to appoint one (1) individuals to the position of Corporate Auditor.
The Company has obtained the consent of the Board of Corporate Auditors for this proposal.
Information on the candidate for Corporate Auditor is provided below.

Name

GenderPosition at Kanamoto

Yasushi Ishiwaka

Male

―

Name
(Date of birth)

March 1986
June 2013

Yasushi Ishiwaka

July 2013[New

July 2013

appointment][Candidate for
Corporate Audito]

July 2017[Independent
Officer]New
appointment

Employment history and position at Kanamoto(Main concurrent positions at other entities)

July 1984(January 10, 1959)

Attribute of candidate

June 2018
July 2018
July 2018
December 2019

OutsideIndependent

Number ofshares ofKanamoto stock
owned

Joined Eiko Accounting Office (now Ernst &Young ShinNihon LLC)
Registered as a Certified Public Accountant
Chairman and President, Hokkaido Branch,
The Japanese Institute of Certified Public
Accountants
Executive Director, The Japanese Institute ofCertified Public Accountants (Headquarters)
Auditor, The Japanese Institute of Certified
Public Accountants (Headquarters)
Outside Auditor, Hokkaido Association of Real
Estate Appraisers (Present position)
Retired from Ernst & Young ShinNihon LLC
Director, Yasushi Ishiwaka Certified Public
Accountant Office (Present position)
Manager, Nippon High Strength Concrete Co.,
Ltd.
Executive Officer, General Manager of
Accounting Department, Nippon HighStrength Concrete Co., Ltd. (Present
position)–[The reason that the Company has proposed Yasushi Ishiwaka as candidate for Outside Corporate
Auditor]
Although he has not participated in corporate management, he has considerable knowledge of financeand accounting as a certified public accountant which he can use to contribute to the auditing systemof the Company and provide appropriate advice from a broad viewpoint concerning the Company’sbusiness activities.
[Matters concerning independency]
He has fulfilled the requirements of “independent officer” provided by the rules etc. of the Tokyo
Stock Exchange and Sapporo Securities Exchange, the exchanges on which Kanamoto’s shares arelisted. The Company plans to notify him as an “independent officer.”He currently serves as Director of Yasushi Ishiwaka Certified Public Accountant Office, but there areno consultancy agreements or transactions between said firm and the Company.
He has worked at Ernst & Young ShinNihon LLC, but at least a year has passed since he retired inJune 2018. Also, the amount of transactions between the Company and the Nippon High Strength
Concrete Co., Ltd. where he works is not more than 0.5% of the Nippon High Strength Concrete Co.,
Ltd.’s sales and the Company’s consolidated sales in the last fiscal year. Therefore, this has no impact
on his independence.
(Notes) 1. There is no special interest between any of the candidates for Corporate Auditor and the Company.
2. Yasushi Ishiwaka is candidate for Outside Corporate Auditor.
3. To enable its Outside Corporate Auditors to sufficiently demonstrate the role expected of them, the Company has set forth aprovision in its Articles of Incorporation that enables the Company to enter into a contract (Contract of Limitation of Liability)with each Outside Corporate Auditor to the effect that, when circumstances correspond to the requirements provided in laws
and regulations concerning liability for damages under Article 423 paragraph (1) of the Companies Act, said liability fordamages shall be limited to the total maximum liability for damages provided in laws and regulations, and at the present time
the Company has entered into a Contract for Limitation of Liability with each Outside Corporate Auditor. The Company plans toenter into a limited liability agreement if the appointment of Yasushi Ishiwaka is approved.

－11－

Guidance on Methods for Exercise of Voting Rights
The right to vote at the general meeting of shareholders is an important right enabling all shareholders toparticipate in the Company’s management. Please refer to the information below and exercise your voting rightusing one of the three methods below.
Attending the General Meeting of the Shareholders
Please submit the Form for Exercising Voting Rights at the reception desk (it does not need to besealed).
Date and time of the Meeting: Tuesday, January 28, 2020, 10:00 a.m.
Mailing the Form for Exercising Voting Rights
Please mail the Form for Exercising Voting Rights after indicating your approval or disapproval ofeach resolution on the form.
Deadline: To be returned by Monday, January 27, 2020, 5:00 p.m.
Guidance on filling in the Form for Exercising Voting Rights
Please indicate your approval ordisapproval of each resolution here.

The login ID and temporary password
needed to exercise voting rights via theInternet are noted here.

[Resolution]
If you approve all candidates, put a circle in“approval” box.
If you disapprove all candidates, put a circle in“disapproval” box.
If you disapprove of some candidates, put a circle in“approval” box, and write the candidates’ number ofwhom you disapprove in the parenthesis.

* If attending the meeting on the scheduled date, exercising the voting right via mail or theInternet, etc. is unnecessary.
Exercise of voting rights using the Internet, etc.
Please access the voting rights exercise site (https://evote.tr.mufg.jp/), and input your votes
separately to approve or reject each proposal.
Deadline: Monday, January 27, 2020, 5:00 p.m.
Please refer to the following pages for details.

－12－Scanning the QR CodeYou can log in the voting rights exercise site by scanning the QR Code without entering the login ID
and temporary password recorded on the Form for Exercising Voting Rights.
1. Scan the QR Code provided on the Form for Exercising Voting Rights.
Note: “QR Code” is a registered trademark of DENSO WAVE
INCORPORATED.

2. Follow the instructions on the screen to input your approval ordisapproval to each proposal.

You can use the QR Code only one time to log in.
To change your votes or exercise your voting rights without using the QR Code, refer to “Entering alogin ID and temporary password.”
Entering a login ID and temporary password
Voting rights exercise site: https://evote.tr.mufg.jp/ (Japanese only)
1. Access the voting rights exercise site.
2. Enter your login ID and temporary password recorded on the Form for
Exercising Voting Rights and click the login button.
Enter your login ID and temporary password.
Click the login button.

3. Register your new password.
Enter your new password.
Click the send button.

4. Follow the instructions on the screen to input your approval ordisapproval to each proposal.
Note: The operation screens shown are examples.
Please make inquiries to the help desk below with any questions.
< Inquiries concerning system environment, etc. >Mitsubishi UFJ Trust and Banking Corporation Transfer Agent Div. (Help Desk)
Telephone 0120-173-027 (Hours: 9:00-21:00, toll-free service in Japan only)
To institutional investors
The Company participates in electronic proxy voting platform for institutional investors operated by ICJ Inc.

－13－

Guide Map to the Venue for the 55th Regular General Meeting of the Shareholders

JR Hakodate
Main Line

SapporoExit 1

Royton Sapporo

Nishi 11 Chome

Odori Park
Subway Tozai Line

The ClockTower

Subway Toho Line

Hokkaido
Prefectural
OfficeSapporo

The TV
Tower

Hokkaido
University
Botanic Gardens

Subway Nanboku Line

Nitori Culture Hall

Ishiyama Street

SapporoMain Street Main Street(Odori(Odori)

Location:

11-1 Nishi, Kita 1-jo, Chuo-ku, Sapporo, Hokkaido, Japan
Royton Sapporo, 3rd Floor “Royton Hall”
Telephone (011) 271-2711 (Front Desk)<Nearest stations>
Subway Tozai Line West 11-chome Station Turn left after emerging from
Exit 1 at street level; the hotel is about 3 minutes on footJR Hokkaido Sapporo Station about 6 minutes by taxi<Your cooperation is requested>
We ask that attendees please use public transportation facilities
because parking will not be provided at the hotel. Your cooperation isappreciated.

1-19, Odori Higashi 3-chome, Chuo-ku, Sapporo, Hokkaido 060-0041, Japan－14－