(translated)
August 18, 2022
To whom it may concern
Company: ITOHAM YONEKYU HOLDINGS Inc.
Representative: Isao Miyashita, President and Representative Director(Tokyo Stock Exchange, Prime Market, Securities Code: 2296)
Inquiries: Masaru Kato,
General Manager, Public &Investor Relations OfficeTel: +81-3-5723-6889

Notice of company split (Simplified Absorption Split) with Consolidated Subsidiaries

Itoham Yonekyu Holdings Inc. hereby announces that it was resolved by Board of Directors meeting held today, regarding the succession
part of the businesses of consolidated subsidiaries, Itoham Foods Inc. and Yonekyu Corp. at through an absorption-type company split(Hereafter, the "Company Split") with an effective date of April 1, 2023.
Since the Company Split will be taken simplified absorption-type company split to succeed the business of a wholly-owned subsidiaries ofour company, certain disclosure items and details have been omitted.

1.Purpose of the Company Split
We have been changing our organizational structure from company basis to a strategic segment basis to strengthen our management andrevenue base, which is a key policy of the Medium-Term Management Plan 2023. We do restructure the entire our group, including theCompany Split with our company as the operating holding company, with the aim of creating a more efficient and competitive businessexecution and organizational structure, as well as making the largest integration effect and improving our growth potentials.
*For details of the reorganization of the entire our group, please refer to “Group Reorganaization Overall Summary” in the attacheddocument.

2. Summary of the Company Split(1)Schedule of the Company Split
Board of Directors Resolution Date: August 18, 2022

Date of the absorption-type company split agreement : August 18, 2022
Date of absorption-type split (effective date): April 1, 2023 (scheduled)*Since the Company Split is a simplified absorption-type company split as provided in Article 796, Paragraph 2 of the Companies Act,it will be conducted without obtaining approval from the shareholders meeting.

(2)Method of the Company Split
This is a simplified absorption-type company split. Therefore we will become a successor company and Itoham Foods Inc. andYonekyu Corp. will become the splitting companies.

(3)Details of allotment related to the Company Split
There will be no allocation of shares or other money in the Company Split.

1(4)Handling of Stock Acquisition Rights and Bonds with Stock Acquisition Rights in Connection with the Company Split
Not applicable.

(5)Increase or decrease in capital due to the Company Split
There will be no increase or decrease in the capital of our company as a result of the corporate split.

(6)Rights and Obligations Succeeded by the Succeeding Company
We will succeed the assets, liabilities, rights and obligations relating to the Company Split from Itoham Foods Inc. and Yonekyu Corp.
to the extent of the absorption-type company split agreement.

(7)Prospect of fulfillment of obligations
The Company has determined that there are no problems with our ability to fulfill its obligations after the effective date of theCompany Split.

3. Overview of Companies Involved in the Company Split (as of March 31, 2022)
Splitting company inSplitting company inabsorption-type company split

absorption-type company split

Successor Company(1)Name

Itoham Yonekyu Holdings Inc.

Itoham Foods Inc.

Yonekyu Corp.

Mita, Meguro-ku, Tokyo
1-6-21

Bingocho, Nada-ku, Kobe

Okanomiyaterabayashi, Numazu,(2)Address

3-2-1

Shizuoka 1259

Chief Executive Officer
Koichi Ito

Chief Executive Officer
Akihisa Horiuchi

30,003 million yen

Manufacture and sale of processedmeat products, processing and saleof meat, and manufacture and saleof prepared foods
28,427 million yen

Production and sale of meatproducts (beef, pork, chicken, othermeat) and processed goods (ham,sausage, delicatessen)
8,634 million yen

April 1, 2016

June 29, 1948

February 26, 1969

297,355,059 shares

204,247,736 shares

25,367,663 shares(3)Representative
Title and Name

(4)Business Content(5)Capital stock(6)Date ofincorporation(7)Total number ofshares outstanding(8)Fiscal year-end(9)Major shareholders
and Percentage ofshares held

President and Chief Executive
OfficerIsao Miyashita
Management of consolidated
subsidiaries and all businessincidental thereto

March 31
Mitsubishi Corporation
The Master Trust Bankof Japan, Ltd.
ITO KINEN ZAIDANS KIKAKUITO BUNKA ZAIDAN
Custody Bank of Japan,Ltd.
MUFG Bank, Ltd.
Sumitomo Mitsui
Banking Corporation

39.66%March 31
Itoham Yonekyu
Holdings Inc.

7.46%4.11%
3.52%
2.12%
1.93%
1.07%
1.07%

2100%

March 31
Itoham Yonekyu
Holdings Inc.

100%

(10)Financial position and operating results for the year ended March 2022
Splitting company inSuccessor Company
absorption-type company split(Consolidated)(Non-consolidated)
Net assets
262,740 million yen
115,077 million yen
Total assets
413,123 million yen
198,984 million yen
Net assets per share
897.66 yen
563.42 yen
Net sales
854,374 million yen
509,336 million yen
Operating profit
24,611 million yen
2,702 million yen
Ordinary profit
28,596 million yen
13,882 million yen
Profit (loss)
19,118 million yen
12,772 million yen
attributable to owners
Profit (loss) per share
65.34 yen62.29 yen

Splitting company inabsorption-type company split(Non-consolidated)
39,054 million yen
64,771 million yen
1,539.55 yen
178,655 million yen
4,117 million yen
5,441 million yen
4,081 million yen
160.91 yen

4. Outline of the succession business the split(1)Details of the business to be succeeded by the company split
1.Meat business
2.The following functions within the processed food business・Production headquarters functions (excluding operations at each plant)
・Business strategy function
・Sales Division functions (excluding operations of the Sales Management Department andItoham Foods Inc.

Convenience Store Business Department)
3.Group company management business
4.Administrative Headquarters functions
5.Business indirect function
1.Meat operations (excluding operations of the Meat Marketing Division and the Fujiyamaplant)
2.Processed goods business3.Production headquarters functions (excluding operations at each plant and eco-project
Yonekyu Corp.
center)4.Group company management business
5.Administrative Headquarters functions
6.business indirect function(2)Operating Results of the Business Succeeded in the Split (Year ended March 2022)
Itoham Foods Inc.

:

Net sales 297,178 million yen

Yonekyu Corp.

:

Net sales

5,491 million yen(3)Items and amounts of assets and liabilities to be succeeded through the split
Itoham Foods Inc.
Current assets 46,186 million yen

Current liabilities 93 million yen

Fixed assets

Fixed liabilities 106 million yen

11,920 million yen

Yonekyu Corp.
Current assets 26,210 million yen

Current liabilities 0 million yen

Fixed assets 4,014 million yen

Fixed liabilities 0 million yen*Since the calculation is based on the balance sheet as of March 31, 2022, the actual amount to be transferred in the split will be adjusted
for the increase or decrease up to the effective date.
3

5. Status after the Company Split
After the corporate split, we will transition from holding company to an operating holding company, but there will be no change to thecompany name, head office location, title and name of the representative, capital stock or fiscal year-end of our company.

6. Outlook
Since the corporate split conduct within our company and its subsidiaries, therefore our impact of consolidated financial results will be
immaterial.

(Reference)< Overview of Group Reorganization >Current : until March 31, 2023
Itoham Yonekyu Holdings Inc.
<Holding company>

Itoham Foods Inc.

Processed FoodBusiness

Meat
Business

Yonekyu Corp.

・Itoham group subsidiaries

Processed FoodBusiness・Yonekyu group subsidiaries

・Itoham group subsidiaries

Meat
Business・Yonekyu group subsidiaries

BusOitnheesrses

After reorganaization : after April 1, 2023
Itoham Yonekyu Holdings Inc.
<Operating hoiding company>

Processed Food Business

Meat Business

Sales・Itoham Foods Inc.
・Yonekyu Foods Inc.
・Itoham Yonekyu Holdings
subsidiaries

Sales

・Yonekyu Foods Inc.
・Itoham Yonekyu Holdings
subsidiaries

Production

・Itoham Yonekyu Holdings
subsidiaries

Farm・Itoham Yonekyu Holdings
subsidiaries

Store operation

・Itoham Yonekyu Holdings
subsidiaries

Processing

・Itoham Yonekyu Holdings
subsidiaries

4B
usO
itnheesrses

(Attachment)

Itoham Yonekyu Holdings Inc.

Group Reorganization
Overall Summary

August 18, 2022
ITOHAM YONEKYU HOLDINGS INC. 2022

*Glossary of terms
・HD: Itoham Yonekyu Holdings Inc.

・Itoham: Itoham Foods Inc.

・Yonekyu: Yonekyu Corp.

・Itoham Group: Itoham Foods Inc. and its subsidiaries

・Yonekyu Group: Yonekyu Corp. and its subsidiaries

・Processed Food

: Processed Food Business Division

・Meat: Meat Business Division

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ITOHAM YONEKYU HOLDINGS INC. 2022

Overview and Purpose of Reorganization■Overview(1) Itoham Yoenkyu changed from a holding company toan operating holding company.
(2) Itoham Yonekyu reorganaized its consolidaries byfunction basis.
■Purpose
Company sure to build business systems and its
organizational structure to accelerate each initiative ofthe 2023 mid-term business plan.

Make largest integration effects
and lead to sustainable growth
2

ITOHAM YONEKYU HOLDINGS INC. 2022

Medium-Term Business Plan 2023 Overview●Challenges

We need to improve the profitability of management and revenue base after the integration, also we need to increase competitiveness.

We need to strengthen growth potential by responding to market trend and social-environmental situation.

●Priorities
 Strengthening the management baseStrengthening revenue base

Initiatives for new businesses and markets

Initiatives for sustainability: Build an efficient and competitive business system and organizational
structure to make largest effects of the integration.
: Enhance cost competitiveness and improve the value of products andservices to increase the Group's market competitiveness.
: Re-allocate management resources to the fields where are expected toincrease the Group's growth.
: Respond to social and environmental situation, it works to enhance theGroup's value and achieve the sustainable growth.

Group philosophy

We will contribute to achieving a sound and affluent society through business.

VisionA leading food company that emphasizes the spirit of fairness, rises to the challenge oftransformation and achieves sustainable growth with its employees.

Initiatives for new businesses and markets
Strengthen
growth potential
Strengthening earnings base
IncreasecompetitivenessInitiatives for sustainability

Strengthening management base

3

ITOHAM YONEKYU HOLDINGS INC. 2022

Example of action plan
 Reorganize the product location to take total optimization as a HD basis.
Strengthen cost competitiveness and profitability to achieve sustainable growth.
 Reorganize factories nationwide by area.
 Build an optimal system for each area by
integrating sales offices and reorganizing
distribution centers.

Distribution of production sites(from April 2023)

 Installing the highly efficient productionlines.
 Total investment planned approximately
50-60 billion JPY by FY2026.

4

ITOHAM YONEKYU HOLDINGS INC. 2022

Overview of reorganization (1)●Organizational form

Strategy, procurement, and headquarters functions of the meat business were integrated into HD in October 2021.
Strategy, marketing, headquarters, and partial procurement functions of the processed food business were integrated into HD inApril 2022.

●Commercial form

Adapted the commercial distribution form to the organizational form,and changed HD to an operating holding company.
Old: Until March 2023

New: From April 2023

Commercial image

Commercial image
Itohamgroup

Suppliers

Customers

Suppliers

HD

Consolidaries

Customers

Yonekyugroup

 Itoham group and Yonekyu group did
purcase and did make sales by each
entity.

 Centralized procurement into HD.
 Sales are mainly handled by the group's sales
companies.
(In part, direct procurement of group companies and with direct sales from HD)

5

ITOHAM YONEKYU HOLDINGS INC. 2022

Overview of reorganization (2)Itoham Yonekyu and its subsidiaries integrate the functions by business basis.
Each company reorganize flatly by function as a subsidiary of HD.

Old: Until March 2023

New: From April 2023
HDPr
Foodocessed

Strategy, Marleting
Headquarters(Production, Sales)
Procurement

HDM
eat

StrategyPr

Headquarters(Farm)

Food

Procurement

ocessedCorporate, etc.

Strategy, Marleting
Headquarters(Production, Sales)
ProcurementMeat

Strategy
Headquarters(Farm)
Procurement

Corporate, etc.
Itoham GroupYonekyu GroupSalesProcessedP

Production Itoham Foods Inc.

oProcurement

ProductionSales
Production

SalesodItoham Daily Inc.

ocessedProduction Tsukushi Factory Co., Ltd.
Production Asakusa Ham Inc.

Production Yonekyu Corp.
Procurement

Production Yonekyu Kagayaki Corp.
Production Yonekyu Delica Foods Corp.

Sales

Itoham West Inc.

Production Royal Delica Inc.

Foodr
FMeat

Processing Yonekyu Corp.
Procurement

Production Yonekyu Oishii Tori Corp.
Production Taiyo Pork Corp.

Production Ito Fresh Salad Co., Ltd.

Production I-Pork Corp.

Production Kikusui Inc.

Production Marufuji Corp.

Sales

Itoham Sales Inc.

SalesItoham Business Support Inc.

Store operationItoham Food Solutions Co., Ltd.

Matrix type

Procurement Itoham Foods Inc.

Meat

Meat

Processed Food

Sales

Production Sankyo Meat Co., Ltd.
Production IH Meat Packer Co., Ltd.
Processing IH Meat Solutions Co., Ltd.

Processed Food
Meat

Itoham Meat Sales East Inc.

Procduction

Sales

Itoham Meat Sales West Inc.

Procurement

Itoham Foods Inc.

ProductionItoham Yonekyu Plant Inc.

StoreSalesSalesSalesoperationSales

Yonekyu Corp.
Itoham Sales Inc.
Itoham Business Support Inc.

Itoham Yonekyu Foods Inc.
Yonekyu Kagayaki Corp.
Yonekyu Delica Foods Corp.
Tsukushi Factory Co., Ltd.
Asakusa Ham Inc.

ProductionProcessing

Yonekyu Corp.
Itoham Meat Sales East Inc.
Itoham Meat Sales West Inc.

Yonekyu Oishii Tori Corp.
Taiyo Pork Corp.
Sankyo Meat Co., Ltd.
IH Meat Packer Co., Ltd.
I-Pork Corp.
Marufuji Corp.
IH Meat Solutions Co., Ltd.

Royal Delica Inc.
Ito Fresh Salad Co., Ltd.
Kikusui Inc.
Itoham Food Solutions Co., Ltd.

Functional type by business Segment*Only group companies subject to this reorganization are listed.

6

ITOHAM YONEKYU HOLDINGS INC. 2022

Contact Information
ALT ITO Bldg. 1-6-21, MITA, MEGURO-KU, TOKYO , 1538587, JAPANITOHAM YONEKYU HOLDINGS INC.
Public & Investor Relations Office
TEL : +81-3-5723-6889

You can also contact us from the company website.
https://www.itoham-yonekyu-holdings.com

The current plans, forecasts, strategies and other items contained in this presentation include our forecasts for business results.
These forecasts are not historical facts; they are our judgment based on currently available information.
We do not guarantee these forecast business results, and they contain elements of risk and uncertainty.
The purpose of this presentation is not to solicit investment, but to give all investors a deeper understanding of Itoham Yonekyu Holdings.
We have taken care over the content of this presentation, but we do not accept any responsibility for errors in the content, tampering by
third parties, or errors that may occur during downloading.

ITOHAM YONEKYU HOLDINGS INC. 2022