December 21, 2021
Company Name: SUNCALL CORPORATION(TSE1: 5985)
Representative: Tadao Otani
Representative Director and CEO
Contact:
Masatoshi Kanada
Managing Executive Officer andGeneral Manager, Corporate
Planning and Management Division
Tel: +81-75-881-5280

Announcement of Submission of Plan to Meet Requirements for Continued Listing
At its meeting on September 15, 2021, the Board of Directors of SUNCALL CORPORATION (theCompany) passed a resolution selecting the Prime Market for the Company’s listing in response to theTokyo Stock Exchange’s market restructuring scheduled for April 2022, and today the Companysubmitted its application to the Tokyo Stock Exchange. As the Company does meet some but not all
the criteria for continued listing on the Prime Market as of the base date for transition (June 30, 2021),
the Company has formulated the plan outlined below to meet all the criteria for continued listing on thenew market segment.

1. Company’s status with regard to meeting all criteria for continued listing and period of plan
As of the base date for transition, the Company met the criteria for continued listing on the Prime
Market for number of tradable shares and tradable share ratio, but did not meet the criteria for
tradable share market cap and trading value (daily average).
The Company will pursue various measures to meet the criteria for continued listing for
tradable share market cap and trading value (daily average) by the fiscal year ending March 2025,
the final fiscal year of the next Medium-term Management Plan (April 2022–March 2025), which
we plan to announce in February 2022.
Number of
Tradable sharetradable sharesmarket cap

Tradable shareratio

Trading value(daily average)

SUNCALL
CORPORATION
161,223 units 7.41 billion yen(as of base date for transition)

47.3%

17 million yen

Criteria for continued listing

35.0%

20 million yen—〇

Items included in plan

20,000 units 10.00 billion yen—〇

Note: The above figures for the Company are calculated based on the distribution of the Company’s
share certificates, etc., as determined by the Tokyo Stock Exchange as of the base date fortransition.

12. Basic policy regarding measures to be taken for Prime Market listing
We intend to increase the tradable share market cap by formulating the next Medium-termManagement Plan and steadily implementing measures including capital measures together with thebusiness plans in the Medium-term Management Plan. We are giving careful consideration toincreasing the trading value through a continuously higher share price (which translates to marketcap). This plan includes only an overview of the next Medium-term Management Plan (April 2022–March 2025), with further details scheduled for release in February 2022.

3. Overview of the plan to meet requirements for continued listing on new market segment (nextMedium-term Management Plan)
The basic policy of the next Medium-term Management Plan is the “acceleration of an effective
strategy to create a business portfolio for 2030,” for which we will pursue measures to achieve thefollowing management targets:Management Targets
Management target
Net sales
Operating income (margin)
Net incomeROE

FY ending March 2022
(current year forecast)
47,600 million yen
650 million yen (1.4%)
710 million yen
2.0%

FY ending March 2025
(final year of Medium-termManagement Plan)
63,000 million yen
4,500 million yen (7.1%)
3,500 million yen
9.0%

Financial and Capital Strategy
Investment decisions with a thorough awareness of cost of capital
Balance sheet management with an understanding of appropriate capital structure
・ Policy for Returns to Shareholders
FY ending March 2022
(current year forecast)
Subsequent fiscal years

Dividend payout ratio
Dividend payout of 30% of net income up to 2.5 billion yen, and
40% of net income above 2.5 million yen
Maintain payout ratio at 75% until ROE exceeds 9%Business Strategy and Portfolio Strategy
・ Automotive-related products segment
Growth business related to electric vehicles and electrification: cultivation and expansion of nextgeneration main business
Sizable growth in demand for various types of vehicles including electric vehicles, hybrids, andplug-in hybrids is creating increased needs for highly precise current detection. We will meet theseneeds by developing and expanding uses for bus bars, shunt sensors, and shunts on bus bars.
Existing automotive-related products segment: significant improvement in earnings strength byaddressing structural changes in automotive industry
With sizable growth in demand for electric vehicles forecast, we will be able to maintain through2030 the scale of our existing automotive-related products segment (consisting of a seat belt
business and other safety equipment-related products in addition to the main products of engine
2parts and precision-functioning transmission parts). We will improve earnings strength by
thoroughly managing earnings on an individual business basis.
・ Electronic information and communications segment
Continued capital investment and productivity enhancement to meet customer demand
Hard disk drive suspension business:
With strong customer demand for large-capacity nearline hard disk drives continuing, we willcontinue to carry out capital investment to accurately meet customer demand and pursue higher
productivity by strengthening our production technology capabilities to further raise customer
satisfaction through stable supplies and cost reductions.
Communications-related business:
Further growth in 5G-related and IoT-related demand is forecast going forward in the opticalinformation and communications industry’s three main application markets: data centers,telecommunications, and wireless. We will work to increase sales by strengthening our productdevelopment capabilities and expanding our sales network for all these markets.
Environmental, social, and governance initiatives
・ We have established the SDGs Promotion Committee and will search for business opportunities
that address sustainability issues.
・ We are strengthening management oversight by increasing the number of independent outsidedirectors.

3