May 7, 2024
For immediate release
Company name:Representative:Contact:

Joshin Denki Co., Ltd.
Ryuhei Kanatani,Representative Director and President
and Executive Officer(Securities code: 8173, Tokyo Stock
Exchange, Prime Market)
Koji Tanaka, Director and Managing
Executive Officer in charge of Management
Planning and Human Resources Strategy(Phone: +81-6-6631-1122）

Announcement Concerning the Introduction of a Performance-based Stock Compensation Plan (RestrictedStock Trust) for Employees andthe Determination of Matters Regarding Stock Acquisition for the Trust
We hereby announce that at a board of directors meeting held today, we decided to introduce a restricted stock
trust (hereinafter the “Plan”), which is a trust-based stock compensation plan, for our employees and employees
of some of our group companies (hereinafter collectively referred to as “Employees”), as described below.
1. Purpose of Introducing the Plan
The Plan is intended to increase corporate value in the medium and long term by enriching benefit programsfor Employees, developing the Employees’ sense of belonging, making them aware of their participation inmanagement, and raising their awareness of increases in the Company's performance and stock price.
2. Overview of the Plan
The Plan is a stock compensation plan in which a trustee of a trust (hereinafter the “Trust”) created by us, atrustor, places money in trust, uses the entrusted money as a source of funds to acquire our common shares(hereinafter “Company shares”), and then issues Company shares based on the number of points we give toemployees who fulfill certain conditions. Points are given to employees according to our performance, etc., inaccordance with the share issuance rules set by our board of directors. The number of Company shares to be issued
to each Employee depends on the number of points given. For Company’s shares to be issued, restrictions wereset on the transfer of shares until retirement by concluding a stock restriction agreement between the Companyand Employee.
As described above, we fund the full amount to acquire Company shares for the trust, so that the Employees
will not be liable.
Introducing the Plan allows Employees to receive financial benefits based on rises in the value of Companyshares. This is expected to encourage them to keep the stock price in mind and increase their willingness to work.
After the issuance of shares, it is possible to give incentives to pursue continuous improvement of corporate value
because restrictions on the transfer of shares continue until retirement, as described above.

－ 1 －<Overview of the plan’s structure>(1) We set the share issuance rules for employees.
(2) We set up a share issuance trust (third‐party benefit trust) in which Employees who acquire the right to bebeneficiaries become beneficiaries, as described in (6) below. In this event, we entrust the trustee with money
equivalent to the funds needed to acquire shares.
(3) The trustee collectively acquires Company shares equivalent in quantity to those expected to be issued (byacquisition through disposal of treasury shares or by acquisition from the exchange market, including offhours trading).
(4) We determine the trust administrator (independent of the Company and its executives) who protects
beneficiaries' benefits subject to the share issuance rules throughout the trust period and supervises thetrustee. For Company shares in the Trust, the trust administrator instructs the trustee to exercise voting rights,
and the trustee exercises voting rights according to instruction.
(5) We give points to Employees following the share issuance rules.
(6) Employees who satisfy the requirements specified in the share issuance rules and the trust agreement on thetrust acquire the right of beneficiary for the trust and, as beneficiaries of the trust, receive Company sharesbased on the number of points given.
(7) For Company shares to be issued, we and our employees conclude a stock restriction agreement restrictingthe transfer of shares from the day the shares are issued to the day of retirement. This transfer restriction isremoved upon the retirement of the Employee concerned. (Conditions may be set up to remove therestriction. We will acquire the Company shares for which the transfer restriction is not removed for free.)
Sumitomo Mitsui Trust Bank, Limited, the Plan trustee, entrusts (re-entrusts) the management of the trust
property to Custody Bank of Japan, Ltd.

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3. About the Trust(1) Name

Share issuance trust for employees (restricted stock trust)(2) TrustorThe Company(3) Trustee(4) Beneficiary(5) Trust administrator(6) Exercising voting rights

Sumitomo Mitsui Trust Bank, Limited(Re-entrusted trustee: Custody Bank of Japan, Ltd.)
Employees fulfilling beneficiary requirements
It is planned to select a third party independent of the Company and itsexecutives.
The trustee exercises voting rights according to instructions from the trust
administrator throughout the trust period.

(7) Trust type

Trusts of money other than monetary trusts (third‐party benefit trust)(8) Trust agreement date

May 23, 2024

(9) Date of entrusting money

May 23, 2024

(10) Trust termination date

End of September, 2029 (planned)

4. Matters regarding the acquisition of Company shares by the trustee of the trust(1) Type of shares to be acquired

Common shares(2) Amount of money the Company
entrusts

1,150,200,000 yen

as funds to acquire shares(3) Total number of shares to be 450,000 sharesacquired(4) Share acquisition method

Acquisition through the disposal of treasury shares(5) Timing of share acquisition

May 23, 2024

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