Medium-term management plan “Plan for Creating the Future Together: Stage III”

Demonstrating the Results and Taking on New Challenges
The plan, which covers the four-year period from FY 2023 to FY 2026, is the final stage of our long-term management plan and the “First medium-term management
plan of the Chugin Financial Group.”
Through the following “Three growth strategies,” we will demonstrate the results of the reforms implemented in Stages I and II, and seek to achieve the KPIs of ourlong-term management plan, while taking on new challenges for the decade to come.

1 “Deepening” the Revitalization of Regional Economies and SDGs■

Drawing out the allure and potential of communities and contributing to“Sustainable development of the communities”
Revitalization of regionaleconomies▶Reinforce measures, start-up support, and SDG activities that are rooted in DX/SX and address communities
as a wholeLocal support activities▶Provide solutions that apply to everything from upstream to downstream▶Reinforce sustainable finance

Life plan support activities▶Support the realization of customer life plans▶Reinforce support for stable asset building and dependable asset succession

C or r e s p o n d i n g ma t e r i a l i ti e s

Revitalization of regional
economy and society

Response to low birthrate andaging society

Environmental management
promotion

DX promotion

2 ­ Creating Innovation■

Creating “New value” in order to achieve further growthDX
New businessesAlliance▶Promote business process reforms and develop next-generation channels and digital human resources▶Create new, unique Group businesses through collaboration▶Actively engage in regional alliances, community alliances, and alliances across industry lines

C or r e s p o n d i n g ma t e r i a l i ti e

DX Promotion

Promotion of diverse human resources

3 Strengthening our Group Management Foundation■

Building a “Solid foundation” for implementing our growth strategies
Portfolio▶Optimize our business portfolio and strategically allocate management resources

Financial capital▶Carry out appropriate financial operations from the perspectives of financial soundness, profitability, and shareholder
returns

Human capital▶Significantly expand “Human capital investment” in line with business strategy

Diversity▶Reinforce hiring and advancement of diverse human resources

Governance▶Refine internal control system throughout the GroupC or r e s p o n d i n g ma t e r i a l i ti e s

Promotion of diverse human resources

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CHUGIN FINANCIAL GROUP, INC.

Refining of governance

DX Promotion

C onceptual Ima g e o f P r o f it Gr o w th+¥2.0 billion+¥10.5 billion+¥1.0 billion
High value-addedoperation(net fee income)+¥1.5 billion-¥3.0 billion-¥2.4 billion

Effects of DX
Increased investment in
human capital＋
Strategic investment

Growth of individualGroup companies
other than bankKPI¥30.0 billion

Other¥20.4 billion
Capital utilization(net interest income)Core business portion*+¥8.5 billion

The above measures will not only generate profits but also
have spillover effects, building up a higher quality pool of assets
The most effective growth driver is the expansion of
net interest income through capital utilization

FY 2022
results

FY 2026
targets

Net income attributable toowners of parent

Net income attributable toowners of parent* Core business: Regional business loans, personal loans, etc.

We plan to build up high quality assets by taking a wide-ranging and comprehensive approach to initiatives throughout
the Group, starting with upstream business, to address the issues faced by regional societies and customers.
Growth of individual Group companies+¥2.0 billion

Enhance ability to provide customers with composite proposals by utilizing co-operation
with the bank, which is their strengths
Leverage various insights and knowledge to lead efforts to solve the issues faced bycommunities, going beyond the bounds of finance alone
High value-added operation¥1.0 billion+

Advanced consulting to address customer issues(Corporate) Integrated solutions that apply to everything fromupstream to downstream(Personal) Coordinate to take optimal approach based on customer
life events and needs

Capital utilization+¥10.5billion

Effects of DX

3 Strengthening our Groupmanagement foundation+¥1.5 billion

Grow top line and gain access to more resources throughreforms of business process and next-generation channel

2Creating Innovation

Overall asset strategy (increase asset balance by ¥1 trillion, focusing on loans)⃝ Core fields: Increase in regional loans through sustainable financing, revitalization of regional economies, and share expansion⃝ Strategic operation fields: Reinforce strategic fields such as renewable energy, community equity, overseas branch utilization, and new businesses,including leasing⃝ Marketable operation fields: Pursue high risk/return (RORA, etc.) through integrated operation of loans and securities“Deepening” the Revitalizationof Regional Economies andSDGs

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