News Release: AEON DELIGHT CO., LTD.

(9787 TSE1)
April 11, 2019

Notice of Establishment of Special Investigation Committee
As announced in the press release titled "Notice of Discovery of Inappropriate Accounting at
our Consolidated Subsidiary and Postponement of Announcement of Financial Results for theFiscal Year Ended February 2019" dated April 5, 2019, it was discovered that there is apossibility of inappropriate accounting made at our consolidated subsidiary KAJITAKU CO.,Ltd. (hereinafter referred to as "KAJITAKU"). In response, we have decided to establish aspecial investigation committee that includes outside experts who do not have an interest inus. Details are as follows.

1. Background to the establishment of the special investigation committee
In the process of the settlement of accounts for the fiscal year ended February 2019, wepointed out that figures of the KAJITAKU's balance sheet and cash flow statements weredisproportionate. As a result of an internal investigation conducted by KAJITAKU, it wasdiscovered in late March that inappropriate accounting had been carried out. Since theoutbreak of doubt about the incident, we have been conducting internal investigations,mainly of KAJITAKU's financial statements, with the support of external experts. As a resultof these internal investigations, it was discovered that there were errors in processes ofinventory disposals, etc. in the used copy machine resale service of the KAJITAKU's StoreOperation Support Business, which could have an impact on our business results.
We take this situation very seriously, and today we established a special investigationcommittee, including external experts and lawyers who do not have an interest in us, withthe purpose of investigating the cause of the incident, determining the impact on theconsolidated financial statements. In addition, in order to become a company trusted bystakeholders, we will strengthen the group governance, conduct highly transparent
investigations, and formulate highly effective measures to prevent recurrence.

2. Composition of the special investigation committee
Yoshikazu Noma, Chairman of Committee (Attorney, TMI Associates)
Tomotaka Iwata, Member (Attorney, Certified Public Accountant, Showa Law Office)Keishiro Tashiro, Member (Attorney, TMI Associates)

3. Purpose of investigation(1) Investigation of errors in inventory disposal procedures in the used copy machine
resale service of the KAJITAKU's Store Operation Support Business (including
investigation of the presence of any other inappropriate accounting) and thedetermination of the impact of such errors on our consolidated financialstatements.
(2) Investigation of the background of the above inventory disposal procedures andKAJITAKU's corporate culture.
(3) Investigation of causes based on the results of the above-mentioned surveys, andsuggestions for measures to prevent recurrence and measures to strengthengovernance (including measures to strengthen governance within our group)
4. Future action
Our company and KAJITAKU will fully cooperate with the investigation by the Special
Investigation Committee. The investigation period has not yet been decided, but we will
disclose the results of the investigation by the special investigation committee as soon as it
becomes known. In addition, we will also announce the impact of this matter on theconsolidated financial statements, the date of the announcement of the financial results, andmeasures to prevent recurrence based on this survey, as well as measures to strengthengroup governance, as soon as the decisions are made.