Introduction

ISEKI Group’s value creation aims

Business strategies for value creation

Foundation for sustainable growth

Financial and non-financial data

Company information / Stock information

Foundation for sustainable growth

Messages from newly appointed Outside Directors

Corporate governance

Toward the improvement of the effectiveness of the Board of Directors
To further facilitate the roles of the Board of Directors, ISEKI has implemented a self-appraisal and analysis program for individual senior officers
since 2017. The appraisal is done through a third-party organization, adopting methods for canvassing personalized opinions with individualquestionnaires and individual interviews for all Directors and Audit & Supervisory Board Members.

TargetMain items for appraisal

All Directors and Audit & Supervisory BoardMembers● Members and operation of and discussions at Board of Directors meetings● Monitoring function for Board of Directors meetings● Support system for Directors and Audit & Supervisory Board Members

Methodology of questionnaire● Training● Dialogue with shareholders (investors)

Anonymous survey● Own efforts and review

Methodology of interview

Efforts for analysis of results and solution of issues

Individual interview to targeted subjects by athird-party organization● Analysis of the results of questionnaires and interviews at a third-party

organization● Debriefing sessions organized by a third-party organization● Implementation of initiatives toward a solution┃ (Reference) Results of questionnaire
Please see below for some of the results of FY2023 questionnaire.
The questionnaire about “members of Board of Directors meetings” was given in the form of an open-ended question. “Operation of Board ofDirectors meetings” and “discussions at Board of Directors meetings” were assessed on a scale of one to five.
YoY changeMembers ofBoard of Directors
meetings(open-ended question)● The appointment of Directors who have experience in manufacturing department is desired● The development and appointment/promotion of female talents to Directors ormanagers are required● Timing for submission of matters to and the number of items to be deliberated at theOperation ofBoard of Directors
meetings

Board of Directors● Timing for advance briefings on matters to be deliberated at Board of Directors meetings,
and contents of the briefings● Quality of presentations at Board of Directors meetings● Setting of KPIs so as to enable the Company to achieve sustainable growth in financial

Discussions at
Board of Directors
meetings

and non-financial aspects● A regular review of business portfolio from the perspective of sustained profitability andcapital cost
● Discussions about the contents and quality of information to be disclosed, methods ofdisclosure, etc. toward the enhancement of information disclosure

Initiatives to support Outside Directors and Outside Audit & Supervisory Board Members
The following initiatives are implemented to support Outside Directors and Outside Audit & Supervisory Board Members.

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Distribution of materials andadvance briefing

We distribute materials for Board of Directors meetings in advance and hold an advancebriefing on important agenda items to be brought up for discussion to the Board of Directors.

Briefing on businesses and office tour for
newly appointed Outside Directors andOutside Audit & Supervisory Board Members

We provide newly appointed Outside Directors and Outside Audit & Supervisory BoardMembers with an opportunity of a briefing on ISEKI Group’s businesses and a tour of anoffice other than the Group’s Tokyo Headquarters after they assume their offices.

ISEKI Report 2024

My name is Eiko Kisogawa, and I have been newly appointed as an Outside Director. I previously
worked in the life insurance industry, where I was involved in operational reforms based on
customer feedback, executing system projects, establishing processes related to risk management,and overall corporate management. Though we are in different industries, I believe that thefundamentals of business are the same: how to capitalize on customers’ requests or potential
needs and transform them into products or services, and how to make new proposals beyond theimagination of customers. My intent is to leverage my experience and information to the fullest.
Looking at Japan’s business environment, there are quite a few issues, including climatechange and economic turmoil sparked by wars in other countries. In resolving these global issues,
Japanese companies are expected to play a key role. Naturally, it is important that we continue
to be staying close to our customers from a global perspective and be a company that resolves
social issues, and further increase our significance of existence. As an Outside Director, I will work
to ensure a transparent, rational management decision-making process through multilateral
discussions from an independent, objective standpoint. At the same time, I intend to heighten theeffectiveness of the Board of Directors by confirming the major direction of our corporate strategy
to achieve our unique value creation, and by supervising the execution of the Board’s duties. Toachieve sustainable growth and raise our corporate value over the medium- to long-term, I am
committed to building a more robust management structure based on the corporate philosophy
and corporate culture that we have held in high regard since the Company was founded.

Eiko Kisogawa Outside Director

Key opinions, questions where assessment has been changed● The number of the Board of Directors is large―

Generating singular value through highly transparent,
multifaceted management decisions

As an attorney, a woman, and an “outsider”
My name is Fumiko Kishimoto, and I have recently been appointed as an Outside Director. During
my 24 years as an attorney, I have resolved various disputes—mostly civil cases—ranging frominheritance-related matters for individual clients to legal matters for small and medium-sizedcompanies. Five or so years ago, I began serving as an outside director and as an audit andsupervisory board member for other companies, and am learning about corporate management
in a more earnest way.
Given my background, I realize that what is expected of me as an Outside Director is a
professional perspective on legal matters as an attorney, a female outlook with regard to diversity,and a layperson’s viewpoint—in the most positive sense—in our area of business.
While continuing to work toward a deeper understanding of our company and industry, I
will first sincerely acknowledge the current situation to strengthen the ISEKI Group’s corporate
governance and compliance. I will then determine what is necessary for the Company to achievesustainable growth, and identify current issues. I believe that my role is to monitor risks andopportunities that I am able to see from my perch as an outsider to the Company and the industry.
If I have any questions, I do not hesitate to raise them, and I believe that such efforts will lead to amore active Board of Directors and management with a sense of urgency.
I will do everything possible to make a positive impact on this company with its rich history
while considering the expectations of our shareholders, investors, and other stakeholders, and I
look forward to your continued support.

Fumiko Kishimoto Outside Director

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