April 11, 2023
Yoshikazu Fujikawa
President and Representative Director, CEO
Solasto Corporation(Securities Code: 6197 TSE PRIME)The Summary of Board Effectiveness Evaluation
Solasto Corporation (TSE: 6197, “Solasto”) has conducted an evaluation of the effectivenessof 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 the Board of Directors analyzed and verified
the effectiveness of the Board of Directors and had constructive discussions on future issues.
(1) Evaluator:
All of the Directors and Corporate Auditors(12 members)(2) Evaluation method:Web-based questionnaire survey(Anonymous form)(3) Survey execution period: January 2023
(4) Answer method:
5-point scale and free comments(5) Outline of evaluation items:(i) Composition of the Board of Directors(ii) Operation of the Board of Directors(iii) Board culture(iv) Supervision and governance 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, an adequate
system has been established to make important management decisions and to supervise theexecution of business operations. In addition, the Board confirmed that active discussions
take place, including with Outside Directors with diverse experience and expertise.
On the other hand, the following comments were raised as issues to be addressed to further
improve the effectiveness of the Board of Directors.
Further enhance discussions on risk management, as well as on long-term issues
More active involvement of the Board of Directors in the development of the next
generation of management personnel

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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3. Improvements based on the evaluation of the effectivenessBased on the results of the evaluation, 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.
(1) Strengthen risk management systemIncrease the number of meetings of the Risk and Compliance Committee andstrengthen initiatives on priority issues
Enhance monitoring and discussion at Board of Directors meetings (including
reports from the above committees)(2) Deepen discussions on long-term issues(3) Cultivate next-generation management personnel
Discussions on next-generation management personnel development andpipeline expansion

Utilize various occasions to enable Outside Director to extend its advice on thedevelopment of next-generation management personnel
By promoting these initiatives along with other measures, Solasto will continue toimprove the effectiveness of the Board of Directors and strengthen corporate
governance.

4. <References> Improvement measures implemented based on the previous evaluation
results
The results of the previous evaluation (February 2022) and subsequent discussions
recognized the need to "review agenda items in line with the company's growth" and theaccompanying "implementation of discussions on important medium- and long-term themes”.
It was also recognized that the importance of continued discussion and supervision for"succession planning for the CEO", as well as that "promotion of gender diversity" require
not only the appointment of female Directors, but also active promotion of women at theexecutive level and human resource development.
Based on the results of this assessment, Solasto has taken the following actions.
As part of our efforts to promote gender diversity, we have implemented measures tosupport the careers of female employees.
As of April 1, 2023, out of 9 Directors, 1 Director was female (up 1 from the previousyear) and out of 13 executive officers, 2 executive officers were female (up 1 from theprevious year)
In June 2023, Solasto revised the criteria for submitting proposals to the Board ofDirectors and actively delegated authority from the Board of Directors to the businessexecution divisions. As a result, the number of items for resolution on the agenda for theBoard of Directors meetings has been reduced, which enabled it to focus on exchanging
opinions and discussing on business execution reports and the medium- to long-termissues.
The Nomination, Evaluation, and Compensation Committee at its meeting held inJanuary 2023 conducted deliberations regarding the succession planning for CEO andconfirmed that it should continue its discussion in FY2023.

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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