May 11, 2022
Yoshikazu Fujikawa
President and Representative Director, CEO
Solasto Corporation(Securities Code: 6197 TSE PRIME)

Notice Concerning the Summary of Board Effectiveness Evaluation
Solasto Corporation (TSE: 6197, “the Company”) has conducted an evaluation of theeffectiveness of its Board of Directors. We hereby announce a summary of the evaluation.
１．Methods of evaluation of the effectiveness
A questionnaire on the effectiveness of the Board of Directors was distributed to andanswered by all Directors and Corporate Auditors.
Based on the results, the Corporate Governance Committee ('CG Committee') and theBoard of Directors analyzed and verified the effectiveness of the Board of Directors andhad constructive discussions on future issues.
(1) Evaluator:(2) Evaluation method:

All of the Directors and Corporate Auditors(11 members)
Web-based questionnaire survey(Anonymous form)
February 20225-point scale and free comments(3) Survey Execution period:(4) Answer method:(5) Outline of evaluation points:(i) Composition and governance of the Board of Directors(ii) Operation of the Board of Directors(iii) Board culture(iv) Supervision by the Board of Directors(v) Discussion on management strategy/others

２．Summary of evaluation of the effectiveness
The Board of Directors confirmed that, in terms of its composition and operation, anadequate system has been established to make important management decisions andto supervise the execution of business operations.
In addition, the Board confirmed that active discussions take place, including with
Outside Directors with diverse experience and expertise.

This document has been translated from the Japanese original for reference purposes only. In the event ofany discrepancy between this translated document, the Japanese original shall prevail．

1On the other hand, the following comments were raised with a view to further improving
the effectiveness of the Board of Directors
Discussions on important medium- and long-term themes
Discussion and supervision of the CEO's succession plan
Other opinions expressed included 'review of agenda items in Board Meetings in linewith company’s growth' and 'promotion of gender diversity'. With regard to 'reviewing
agenda items in Board Meetings in line with the company's growth', the CG Committee
meeting held in FY2021 clarified the orientation of the Board of Directors to be moremonitoring-oriented. As part of these efforts, a resolution was passed in April 2022 torevise the criteria for submissions to the Board of Directors, and active delegation ofauthority from the Board of Directors to the business execution divisions wasimplemented. With regard to the 'promotion of gender diversity', the Company not only
appoints female directors, but also actively promotes women at the executive level andpromotes initiatives to develop human resources for this purpose, recognizing this as animportant issue.
３．Improvements based on the evaluation of the effectivenessBased on the results of the survey, the CG Committee and the Board of Directors
discussed the ideal corporate governance of the Group and confirmed that the following
initiatives should be promoted.
Increased number of opportunities to exchange opinions and discuss mediumand long-term issues
Consideration and training of successors to the CEO (Nomination, Evaluation andRemuneration Committee)
As stated in section '2' above, the Company resolved to revise the criteria for submitting
proposals to the Board of Directors in April 2022. The Board of Directors of the Company,
having established fairness and integrity, aims to achieve aggressive governance inorder to fulfil the long-term enhancement of the Company's corporate value. To this end,
the Board confirmed the importance of further enhancing the following items in line withthis revision.
Formation of diverse discussions within the executive divisions to which authority
has been delegated.
Reinforcing monitoring effectiveness of the Board.
Enhancement of strategic discussions at Board meetings.
By promoting these initiatives along with other measures, the Company will continue toimprove the effectiveness of the Board of Directors and strengthen corporate
governance.

４．<References> Improvements based on the previous evaluation of the effectivenessThe results of the previous questionnaire survey (November-December 2020) andsubsequent discussions recognized the need for further discussion on 'management

This document has been translated from the Japanese original for reference purposes only. In the event ofany discrepancy between this translated document, the Japanese original shall prevail．

2strategies and management plans from a medium- to long-term perspective', althoughappropriate plans were being formulated. In addition, the importance of continuing
discussions on 'selection of successor personnel' was recognized, with a view todeveloping the required personnel requirements and nomination and training policies toa high level.
Based on the results of this assessment, the Company has taken the following actions.
Set up a framework for discussions on each business and theme in the agenda of
the Board of Directors' meetings. (Implemented five times in FY2021).
Expanded discussions on 'selection of successors' at the Nomination, Evaluation
and Remuneration Committee.

Investor Relations Office
ir@solasto.co.jp

This document has been translated from the Japanese original for reference purposes only. In the event ofany discrepancy between this translated document, the Japanese original shall prevail．

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