I nitiatives for Sustainability
Formulation of the Sustainability Policy

Addressing Key Challenges (Materiality)

The Group has formulated the Sustainability Policy as its basic policy for sustainability initiatives.

Key challenges

Initiatives

Sustainability Policy
The Juroku Financial Group recognizes sustainability initiatives to be an importantmanagement challenge. We will strive to solve various social issues such as climate change
through our core business of a “provider of comprehensive financial services to the region”
and contribute to “achieving growth and prosperity for our customers and the localcommunity,” which is our group management philosophy, while aiming at sustainablegrowth and enhancing the corporate value of the Group.
(*) Definition of sustainability: Creating a society that facilitates the growth and prosperity of customers and local communities, and passing it over tofuture generations

Revitalizationof the local
economyS upporting business foundation and new business
operations to foster future leaders of the local economySupporting local companies’ core business operations andmanagement succession to contribute to their growthSupporting asset formation to achieve enriched livingSustainable
developmentof the localcommunity

 reating comfortable and appealing communities
CUsing local resources to create value that will benefit
future generations
Promoting digital transformation of local companies andlocal governments

Environmental
conservation andclimate change
actionsS upporting local companies’ carbon neutral business
management
Implementing initiatives for environmental conservationand environmental impact mitigation
Responding to climate change and disclosing
information in line with TCFD

Empowermentof diverse
humanresources

 uilding a corporate culture that boasts diversity as aB
strengthImplementing work style reform to provide a goodwork-life balanceCreating workplaces that facilitate the growth of diverse
human resources and empower them

To reinforce initiatives for sustainability, the Group has set Sustainability KPIs for five key challenges (Materiality).
All items are progressing smoothly.

Targets by FY2030
Revitalizationof thelocal economy

Item
Sustainable finances provided(including environment-related finances)
Balance of Group assets on deposit

Quantitative target¥2 trillion(¥800 billion)

March 2023 results (progress rate)(*)¥550 billion¥234.8 billion(¥85.9 billion)

11.7%(10.7%)¥363.9 billion

66.1%

Sustainable
development of thelocal community

Social impact investments¥2 billion(*)¥270 million

13.7%

DX-support consultation cases

3,000 cases(*)

126 cases

4.2%

Environmental
conservation and climatechange actions

CO2 emissions (vs. FY2013 level)

50% reduction

43.6% reduction

87.2%

Paper use (vs. FY2019 level)

50% reduction

17.3% reduction

34.6%

Ratio of female managers

20%

7.7%

38.8%

Ratio of paid leave claimed

80%

54.0%

67.6%

Empowerment ofdiverse humanresources(*) Cumulative total from April 2022

On-going targets
Key challenges
Advancedgovernance

Item
Initial response training for emergency
preparedness
Dialogue with investors

Quantitative target

March 2023 results (progress rate)

No less than
twice a year
No less than
10 times a year

6 times300.0%

15 times

150.0%

Transition in Key Sustainability Initiatives and Response to Climate Change
February 2020
April 2021
June 2021
October 2021
March 2022
April 2022
May 2022
20

December 2022
March 2023

Enacted The Juroku Bank Group SDGs Declaration
The Juroku Bank newly established the SDGs Promotion Office
The Juroku Bank expressed support for the TCFD recommendations
The Juroku Financial Group established
Enacted the Juroku Financial Group SDGs Declaration
The Company expressed support for the TCFD recommendations
The Company newly established the Sustainability Management Office
The Juroku Bank upgraded the SDGs Promotion Office to the Sustainability Promotion Department
Newly established the Sustainability Council
Formulated the Sustainability Policy
Set Sustainability KPIs
Acquired a “B” rating in the CDP’s 2022 climate change questionnaire
Joined PCAFManagementKey challengesBusiness

Sustainability KPIsAdvancedgovernance

Advancing corporate governance
Strengthening risk management and compliance
Achieving stakeholder engagement
21