Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy
between this translated document and the Japanese original, the original shall prevail.

May 17, 2024
For Immediate Release4-1-28 Toranomon, Minato-ku, TokyoJapan Communications Inc.
Seiji Sanda
Representative Director-Chairman(Code No.: 9424)
For enquiries: Mitsuru Kodaira
Executive Officer and CFO
Tel: +81-3-5776-1700

JCI to Accelerate Strategic Expansion, Designating City of Maebashi as Its Second Home
Base (Second Headquarters)

Japan Communications Inc. (JCI, TSE Prime: 9424) is pleased to announce that in order to create
an unparalleled level of success by overwhelmingly leading other regions in its success at Maebashiof Mebuku ID and Mebuku Data Linkage System utilizing FPoS, which is our patented technology,
and to expand from Maebashi to other regions nationwide, the Board of Directors has decided tolend funds (up to 300 million yen, interest rate 0.9%) to Naohisa Fukuda, Representative DirectorPresident of JCI, to set up a residence in Maebashi.
The City of Maebashi has been recognized as the leading smart city in Japan which was proven by
the fact that the city has been entitled as the model city for three consecutive years by the JapaneseGovernment Smart City Initiative the “Digital Garden City Nation Initiative”. By utilizing the Mebuku
ID and Mebuku Data Linkage System, it provides the only mechanism that allows personal data to
be linked between businesses based strictly only on user consent, which has been highly praised.
Mebuku Pay, launched on December 20th last year, automatically processes and provides childbirthand childrearing benefits through data linkage with the Maebashi City Office (current number ofMebuku Pay users: approximately 18,000). Nearly 300 regions implementing QR code payments for
local currency look to Mebuku Pay, which, though a latecomer, stands out as the first system toprocess municipal benefits automatically, drawing nationwide attention from many municipalities.
Further linkages with entities such as hospitals, banks, schools, and general businesses are expected
to bring real changes to citizens’ lives in Maebashi.
Naohisa Fukuda has frequently visited Maebashi as an architect involved in city planning and as
Chairman of the Board (part-time) of the public university, Maebashi Institute of Technology, also

established by Maebashi City. By building even closer relationships with local colleagues andgovernment officials, he will play a key role in leading these increasingly accelerating initiatives,
significantly contributing to JCI and to the future of Japanese society. The JCI Board of Directors
unanimously reached this decision.
Furthermore, in response to anticipated major disasters such as a direct earthquake beneath Tokyo,
the Nankai Trough earthquake, and a Mount Fuji eruption, JCI plans to develop its second
headquarters in Maebashi as part of its business continuity plan. Part of Fukuda’s residence will be
designed for use in emergency situations. JCI will lend the funds after implementing appropriate
asset preservation measures to avoid incurring costs on its own.
This positive decision marks a strategic step for JCI to further contribute to society and achieve newgrowth. While Fukuda will maintain residences in both Tokyo and Maebashi, the legislation promoting
dual residency was just enacted on May 15 (scheduled to be implemented within six months ofpromulgation), positioning JCI’s initiative as a pioneering example.

About Japan Communications Inc. (JCI)
Japan Communications Inc. is the mobile solution innovator that has created the MVNO industry
with its vision since its establishment in 1996. In today's world, where digitalization is advancing andeverything is connected through networks, our patented technology, the Personal Wireless Leased
Line, has obtained PCI DSS certification, an international security standard, for all its main systems.
This technology is adopted in fields that require high levels of security, such as banks, and credit
card companies. Furthermore, JCI is building a common platform for secure and reliable digital IDs
that provide the highest level of security without compromising convenience. This enables theprovision of safe and convenient services for the entire society, including financial transactions using
smartphones. We continue to embrace our challenger spirit, aiming to provide a safe mobileenvironment as a social system.