105th (Year ended March 31, 2024)

Note: This document has been translated fromJapanese original for reference purpose
only, without any warranty as to its
accuracy or as to the completeness of theinformation. The Japanese original version
is the sole official version.

MITSUI & CO., LTD.
Other Items Subject to Measures for Electronic
Provision for the 105th Ordinary General Meeting of
Shareholders (Items Excluded From Paper-Based
Documents)
Business Report

Current Status of the Company, etc. _______________________________________________ 1
Subscription Rights to Shares, etc. ________________________________________________ 9
Details of Independent Auditor __________________________________________________ 10
Necessary Systems to Ensure Appropriate Operations andStatus of Operations of the Systems ______________________________________________ 11

Consolidated Financial Statements
Consolidated Statements of Changes in Equity _____________________________________ 17
Consolidated Statements of Comprehensive Income[Supplementary Information] (Unaudited) _________________________________________ 18
Segment Information [Supplementary Information] (Unaudited) _______________________ 19
Notes to Consolidated Financial Statements ________________________________________ 21

Non-Consolidated Financial Statements
Statements of Changes in Equity ________________________________________________ 51
Notes to Non-Consolidated Financial Statements ____________________________________ 53

Reference

Equity Securities Held [Supplementary Information] _________________________________ 62
Appointment Standards for Directors and Audit & Supervisory Board Members and Criteria of
Independence for External Members _____________________________________________ 74

Current Status of the Company, etc.
1. Principal group business (As of March 31, 2024)
Mitsui & Co., Ltd. (the “Company”, “Mitsui” or “we”) and its consolidated subsidiaries have businesses inareas including Mineral & Metal Resources, Energy, Machinery & Infrastructure, Chemicals, Iron & Steel
Products, Lifestyle, and Innovation & Corporate Development. The Company engage in a diverse range ofbusiness activities including the trading of commodities, manufacturing, transportation, and financing,making full use of our global network of offices and information outreach. Furthermore, the Company andits consolidated subsidiaries are engaged in a wide range of initiatives that include the development of natural
resources and infrastructure projects, business investments related to the environment, new technologies,
next-generation fuels and wellness, and value creation that leverages digital tools.
2. Principal group offices (As of March 31, 2024)
The Company has 10 domestic offices and branches in Japan in addition to its head office and 114 overseas
offices, branches and trading affiliates. The principal entities are as follows:■Head Office■Domestic Offices

Chiyoda-ku, Tokyo
Hokkaido Office (Sapporo), Tohoku Office (Sendai),
Chubu Office (Nagoya), Hokuriku Office (Toyama),
Kansai Office (Osaka), Shikoku Office (Takamatsu),
Chugoku Office (Hiroshima), Kyushu Office (Fukuoka)■Overseas: Trading Affiliates
MITSUI & CO. (U.S.A.), INC.
MITSUI & CO. EUROPE PLC (United Kingdom)
MITSUI & CO. (ASIA PACIFIC) PTE. LTD. (Singapore)Note: For information regarding the status of important subsidiaries and equity accounted investees, as wellas the number of consolidated subsidiaries, including overseas offices, and equity accounted investees,see “Principal Subsidiaries” on pages 51-52 of Notice of the 105th Ordinary General Meeting of
Shareholders.
3. Shares of Mitsui & Co., Ltd. (As of March 31, 2024)■Number of shares authorized:
2,500,000,000 shares■Number of shares issued:
1,513,589,168 shares (including 8,957,500 shares oftreasury stock)■Number of shareholders:
317,422 shareholders
Note 1:. During FY March 2024, the Company purchased (i) 14,666,900 of its own shares from April 1, 2023 to July 7, 2023,
at a total amount of 69,999,906,144 yen through market purchases, via auction market on the Tokyo Stock Exchange,
as resolved at Board of Directors meeting held on November 1, 2022 and February 3, 2023, and (ii) 9,098,800 of its
treasury stocks at a total amount of 49,999,966,818 yen through market purchases on the Tokyo Stock Exchange, as
resolved at the meeting of the Board of Directors held on October 31, 2023.
Note 2: The number of shares issued decreased by 31,297,500 shares as a result of having cancelled (i) 22,198,700 shares oftreasury stock as of August 31, 2023, as resolved at the meetings of the Board of Directors held on November 1, 2022
and February 3, 2023, and (ii) 9,098,800 shares of treasury stock as of February 15, 2024, as resolved at the meetingof the Board of Directors held on October 31, 2023.
Note 3: At Board of Directors meeting held on May 1, 2024, the Company resolved to conduct a share split and to amend the
Articles of Incorporation in conjunction with the share split. In accordance with the share split, the Company’s Articles
of Incorporation will be amended and the number of shares authorized will be changed to 5,000,000,000 shares,
effective July 1, 2024, by resolution of the Board of Directors in accordance with the provisions of Article 184,
Paragraph 2 of the Companies Act of Japan.

- 1 -4. Principal shareholders (As of March 31, 2024)

Investment in the Company
Number of shares
Investment ratio (%)(thousands)
243,426
16.17
137,862
9.16
86,2235.73
35,4752.35
35,0702.33
24,704
1.64
20,0001.32
19,983
1.32
16,476
1.09
16,196
1.07

Name of Shareholder

The Master Trust Bank of Japan, Ltd. (trust account)
BNYM AS AGT / CLTS 10 PERCENT
Custody Bank of Japan, Ltd. (trust account)
JP MORGAN CHASE BANK 385632
Nippon Life Insurance Company
STATE STREET BANK WEST CLIENT – TREATY 505234
Barclays Securities Japan Limited
JP MORGAN CHASE BANK 385781
NATSCUMCO
SSBTC CLIENT OMNIBUS ACCOUNT
Note 1: The number of shares is rounded down to the nearest thousand.
Note 2: The Company holds 8,957,500 shares of treasury stock as of March 31, 2024. The investment ratios are calculated
excluding treasury stock and rounded down to two decimal places.

5. Shares of Mitsui & Co., Ltd. delivered to Directors and Audit & Supervisory Board Members as
consideration for execution of duties during FY March 2024
Number of shares

Directors (Excluding External Directors)

Number of persons eligible for delivery

112,365900External Directors

Audit & Supervisory Board Members
00Note 1: The information regarding the stock-based remuneration is described on pages 56-60 of the “Notice of the 105th
Ordinary General Meeting of Shareholders”.
Note 2: The above-listed 112,365 shares include 15,665 shares that were granted to one of the current Directors after vesting
based on tenure-linked restricted stock units granted as consideration for the performance of duties as a managing
officer.

6. Group employees
Operating Segment

Total Number of Company andConsolidated Subsidiary Employees
As of March 31,
As of March 31,
2023
2024
619
631
1,093
1,212
17,174
13,363
7,286
7,346
1,262
1,667
8,772
18,159(Persons)
Total Number of Company Employees
As of March 31,
2023
284
459
809
766
256
841

Mineral & Metal Resources
EnergyMachinery & Infrastructure
Chemicals
Iron & Steel Products
LifestyleInnovation & Corporate
7,425
7,974
492
Development(Other)
3,250
3,180
1,542
Total
53,602
46,811
5,449(Compared with FY March 2023)(+6,791)
Note: The above employee figures do not include contract employee, temporary staff, or part-time staff.

- 2 -As of March 31,
2024
292
465
779
758
244
811
493
1,577
5,419
(-30)

7. Principal sources of borrowings (As of March 31, 2024)
Source of Borrowings
MITSUI & CO. FINANCIAL SERVICES (AUSTRALIA) LTD.
Sumitomo Mitsui Banking Corporation
MUFG Bank, Ltd.
Japan Bank for International Cooperation
Nippon Life Insurance Company
Meiji Yasuda Life Insurance Company
Sumitomo Mitsui Trust Bank, Limited
TAIJU LIFE INSURANCE COMPANY LIMITED
Note: Amounts are rounded down to the nearest 1.0 million yen.

- 3 -(Mn JPY)
Amount Borrowed by the Company
578,413
327,911
282,544
278,198
222,000
216,000
166,269
147,000

8. Status of Directors, Officers and Audit & Supervisory Board Members
1. Managing Officers (As of April 1, 2024) * Serves concurrently as Director
Title
*

*

President and Chief
Executive Officer

Executive Vice President

Name

Principal Position(s) / Areas Overseen

Kenichi Hori

CEO (Chief Executive Officer)

YoshiakiTakemasu

CHRO (Chief Human Resources Officer); CCO (Chief Compliance
Officer); Corporate Staff Units (Secretariat, Human Resources &General Affairs Division, Logistics Strategy Division);
BCM (Business Continuity Plan Management); Japan Bloc; Europe
Bloc; Middle East and Africa Bloc; CIS Bloc

Executive Vice President Sayu Ueno

COO (Chief Operating Officer) of Americas Business Unit*

Senior Executive
Managing Officer

Kazumasa Nakai

Nutrition & Agriculture Business Unit; Food Business Unit; Retail
Business Unit; Wellness Business Unit; Americas Business Unit*

Senior Executive
Managing Officer

Tetsuya Shigeta

CFO (Chief Financial Officer); Corporate Staff Units (CFO Planning& Administrative Division, Global Controller Division, Finance
Division, Risk Management Division, Investor Relations Division,
Financial Management & Advisory Division I, II, III and IV)*

Senior Executive
Managing Officer

Makoto Sato

CSO (Chief Strategy Officer); Corporate Staff Units (Corporate
Planning & Strategy Division, Investment Administrative Division,
Corporate Communications Division, Corporate Sustainability
Division)*

Senior Executive
Managing Officer

Toru Matsui

CDIO (Chief Digital Information Officer); Integrated Digital Strategy
Division; Energy Business Unit I; Energy Business Unit II; Basic
Materials Business Unit; Performance Materials Business Unit; IT &Communication Business Unit*

Senior Executive
Managing Officer

Tetsuya Daikoku

Energy Solutions Business Unit; Infrastructure Projects Business Unit;
Mobility Business Unit I; Mobility Business Unit II; Asia Pacific
Business Unit

Senior Executive
Managing Officer

Yoshiki
Hirabayashi

General Manager of Human Resources & General Affairs Division

Senior Executive
Managing Officer

Yuki Kodera

President of Mitsui & Co. (Brasil) S.A.

Senior Executive
Managing Officer

Takashi Furutani

COO (Chief Operating Officer) of Asia Pacific Business Unit

Executive Managing
OfficerYuichi Takano

General Counsel; Corporate Staff Units (Audit & Supervisory Board
Member Division, Strategic & Administrative Legal Division,
Business Legal Division)

Executive Managing
Officer

Tetsuya Fukuda

Iron & Steel Products Business Unit; Mineral & Metal Resources
Business Unit; Corporate Development Business Unit; East Asia Bloc;
Mitsui & Co. Korea Ltd.

Executive Managing
Officer

Shinichi
Kikuchihara

President & CEO of P.T. Mitsui Indonesia

Executive Managing
Officer

Yuji Mano

General Manager of Integrated Digital Strategy Division

Executive Managing
Officer

Yoichiro Endo

COO (Chief Operating Officer) of Wellness Business Unit

Executive Managing
Officer

Hiroshi Kakiuchi

President of Mitsui & Co. (Thailand) Ltd.

Executive Managing
Officer

Kiyoshi Mori

Deputy Chief Strategy Officer (Energy Business Unit I; Energy
Business Unit II)

Executive Managing
OfficerAtsushi Kawase

General Manager of Internal Auditing Division- 4 -TitleName

Principal Position(s) / Areas Overseen

Executive Managing
OfficerTakeshi Akutsu

Chief Representative of Japan Bloc (General Manager of Osaka
Office)Executive Managing
Officer

Kenichiro
Yamaguchi

COO (Chief Operating Officer) of Energy Business Unit II

Managing Officer

Masato Sugahara

Chair & CEO of Mitsui & Co. (Australia) Ltd.

Managing Officer

Yoshiyuki
EnomotoCountry Chair in India

Managing Officer

Makoto Takasugi

COO (Chief Operating Officer) of Iron & Steel Products Business UnitManaging Officer

Isao Kohiyama

COO (Chief Operating Officer) of IT & Communication Business UnitManaging Officer

Tetsu Watanabe

COO (Chief Operating Officer) of Nutrition & Agriculture Business
Unit

Managing Officer

Toru Iijima

COO (Chief Operating Officer) of Energy Business Unit I

Managing Officer

Koichi Wakana

COO (Chief Operating Officer) of Infrastructure Projects Business
Unit

Managing Officer

Makoto Tanaka

General Manager of Finance Division

Managing Officer

Masaya Inamuro

COO (Chief Operating Officer) of Mineral & Metal Resources
Business UnitManaging Officer

Daisuke Ishida

COO (Chief Operating Officer) of Corporate Development Business
Unit

Managing Officer

Hidemi Takani

President & CEO of Mitsui Global Strategic Studies InstituteManaging Officer

Masao Kurihara

General Manager of Global Controller Division

Managing Officer

Junji Fukuoka

COO (Chief Operating Officer) of Basic Materials Business UnitManaging Officer

Masaya Tokutani

Chief Representative of East Asia BlocManaging Officer

Yukinobu Nakano Chief Representative of Europe BlocManaging Officer

Maroshi Tokoyoda COO (Chief Operating Officer) of Mobility Business Unit I

Managing Officer

Takuya Shirai

COO (Chief Operating Officer) of Mobility Business Unit II

Managing Officer

Chisato Onda
(Eiki)

General Manager of Corporate Sustainability Division

Managing Officer

Taichi Nagino

General Manager of Financial Management & Advisory Division III

Managing Officer

Kazuki Shimizu

General Manager of Investment Administrative Division

Managing Officer

Tetsuya Koide

Deputy COO (Chief Operating Officer) of Americas Business UnitManaging Officer

Masahiko
Kurahashi

Director of PT CT Corpora (located in Jakarta)

Managing Officer

Yutaka Sano

COO (Chief Operating Officer) of Food Business UnitManaging Officer

Teruya Mogi

COO (Chief Operating Officer) of Performance Materials Business
Unit

Managing Officer

Naoharu Asaumi

COO (Chief Operating Officer) of Retail Business UnitManaging Officer

Yasuhiro Uchida

COO (Chief Operating Officer) of Energy Solutions Business Unit

- 5 -

2. External Directors and External Audit & Supervisory Board Members(1) External Directors
The following is a summary of the activities of External Directors and the duties they performed in relation
to the roles expected of External Directors.

Samuel Walsh(Director since June 2017)

Takeshi Uchiyamada(Director since June 2019)

Masako Egawa(Director since June 2020)

Mr. Walsh participated in all 13 Board of Directors meetings held during
the fiscal year ended March 31, 2024. He makes proposals and suggestions
from a broad-minded standpoint based on his global expertise, excellent
management skills, and abundant business management experiencecultivated through his long years working in upper management within
the automobile industry and as chief executive officer of an international
natural resources company, making significant contributions to active
discussions at the Board of Directors meetings, and to improving theeffectiveness of said meetings. In the fiscal year ended March 31, 2024,
he served as a member of the Governance Committee (attending all fivesuch meetings), and actively provided his opinions with the aim ofcreating a more effective governance system.
Mr. Uchiyamada participated in all 13 Board of Directors meetings held
during the fiscal year ended March 31, 2024. He has long been involved
in research and development on environmental and safety technologies at
Toyota Motor Corporation that could realize a mobility society responding
to the needs of the times, as well as in the development of products
demanded by consumers, and has exercised his excellent managerial skills
as an executive officer of Toyota Motor Corporation. At the Board of
Directors meetings, he makes many proposals and suggestions from a
broad-minded standpoint based on his management experience at a global
company and his in-depth knowledge of society in general, and makes
significant contributions to active discussions at the Board of Directors
meetings, and to improving the effectiveness of said meetings. In the fiscal
year ended March 31, 2024, he served as the chair of the Nomination
Committee (attending all four such meetings) and exercised strong
leadership in enhancing the transparency and effectiveness of theprocedures for the appointment of executives.
Ms. Egawa participated in all 13 Board of Directors meetings held during
the fiscal year ended March 31, 2024. She has made significant
contributions to active discussions at the Board of Directors meetings, andto improving effectiveness of such meetings, based on her deep insight infinance and corporate management gained through her experience ofmanagement as a director of the University of Tokyo and the chancellorof Seikei Gakuen, her many years of experience working at global
financial institutions, and her research on management of Japanesecompanies and corporate governance. In the fiscal year ended March 31,
2024, she served as a member of the Governance Committee (attending
all five such meetings) and actively provided her opinions with the aim ofcreating a more effective governance system. In addition, as a member ofthe Remuneration Committee (attending all seven such meetings), she
contributed to the discussions related to the executive remuneration
system.

- 6 -Fujiyo Ishiguro(Director since June 2023)

Sarah L. Casanova(Director since June 2023)

Jessica Tan Soon Neo(Director since June 2023)

Ms. Ishiguro participated in all nine Board of Directors meetings held
since she took her position during the fiscal year ended March 31, 2024.
She has made significant contributions to active discussions at the Boardof Directors meetings, and to improving effectiveness of such meetings,
based on her profound insights about business management through her
experience as an external director of listed companies, in addition to heradvanced knowledge of business management and the IT/DX sector
gained through her many years of experience as an IT entrepreneur. In thefiscal year ended March 31, 2024, she served as a member of theNomination Committee (attending all four such meetings) and contributed
to the discussions with the aim of enhancing the transparency andeffectiveness of the procedures for the appointment of executives.
Ms. Casanova participated in all nine Board of Directors meetings held
since she took her position during the fiscal year ended March 31, 2024.
She amassed extensive knowledge of the international consumer businessthrough her experience working for McDonald’s in North America, theCIS, and Southeast Asia. She served as Chief Executive Officer of
McDonald’s Company (Japan) from 2013 to 2019 and demonstrated her
excellent management acumen by realizing a dramatic improvement in thecompany’s performance as well as growth strategies. At the Board of
Directors meetings, she makes many proposals and suggestions from a
broad-minded standpoint based on her deep knowledge in the consumer
business and business management experience at the global company, andmakes significant contributions to active discussions at the Board of
Directors meetings, and to improving the effectiveness of said meetings.
In the fiscal year ended March 31, 2024, she served as a member of theGovernance Committee (attending all four such meetings held since she
assumed the position of Director in June 2023) and actively provided her
opinions with the aim of creating a more effective governance system.
Ms. Tan participated in all nine Board of Directors meetings held since
she took her position during the fiscal year ended March 31, 2024. She
has made significant contributions to active discussions at the Board of
Directors meetings, and to improving effectiveness of such meetings,
based on her profound knowledge of business management through herrole as an external director of listed companies in Singapore, in addition
to her knowledge of the IT/DX sector gained through her experience
working for IBM and Microsoft. In parallel with her business career, she
was elected as a Member of Parliament of Singapore in 2006 and iscurrently serving as the Deputy Speaker of the Parliament of Singapore,making a wide range of contributions to the public interest. In the fiscal
year ended March 31, 2024, as a member of the Remuneration Committee(attending all four such meetings held since she assumed the position of
Director in June 2023), she contributed to the discussions related to the
executive remuneration system.

(2) External Audit & Supervisory Board Members
The following is a summary of activities of External Audit & Supervisory Board Members.

Kimitaka Mori
(Audit & Supervisory Board
Member since June 2017)

Mr. Mori participated in all 13 Board of Directors meetings and 18 of 19
Audit & Supervisory Board meetings held during the fiscal year ended
March 31, 2024. He offered advice and expressed opinions based on his
knowledge and experience gained as a certified public accountant. In thefiscal year ended March 31, 2024, as the chair of the Remuneration
Committee (attending all seven such meetings), he exercised strong
leadership in discussions related to the executive remuneration system.

- 7 -Yuko Tamai(Audit & Supervisory Board
Member since June 2022)

Ms. Tamai participated in all 13 Board of Directors meetings and all 19
Audit & Supervisory Board meetings held during the fiscal year ended
March 31, 2024. She offered advice and expressed opinions based on her
knowledge and experience gained as an attorney at law. In the fiscal year
ended March 31, 2024, as a member of the Governance Committee(attending all five such meetings), she actively provided opinions that
contribute to developing more effective and objective governance.

Makoto Hayashi(Audit & Supervisory Board
Member since June 2023)

Mr. Hayashi participated in eight of nine Board of Directors meetings and
12 of 13 Audit & Supervisory Board meetings held since he took his
position during the fiscal year ended March 31, 2024. He offered advice
and expressed opinions based on his advanced insight into governance andrisk management cultivated through his many years of experience as apublic prosecutor. In the fiscal year ended March 31, 2024, as a memberof the Nomination Committee (attending three of four such meetings), hecontributed to the discussions with the aim of enhancing the transparency
and effectiveness of the procedures for the appointment of executives.

(Reference)
Member composition of the Company’s Audit & Supervisory Board after the Ordinary General Meeting of
Shareholders on June 19, 2024 (intended)
Term of officefor Audit &Position in
GovernanceNomination
Remuneration
Name
Age
Supervisory
the Company
Committee
Committee
Committee
Board
MemberFull-time
Audit &
1
Kimiro Shiotani
63
Incumbent
Supervisory
5 years
Board
MemberFull-time
Audit &
2
Hirotatsu Fujiwara
63
Incumbent
Supervisory
1 yearBoard
MemberAudit &
Incumbent
Supervisory
3
Kimitaka Mori
66
External
7 years
Board
Independent
MemberAudit &
Incumbent
Supervisory4
Yuko Tamai
58
External
2 years
Board
Independent
MemberAudit &
Incumbent
Supervisory5
Makoto Hayashi
66
External
1 yearBoard
Independent
MemberNote: “Independent” indicates that the person meets the independence criteria of the Tokyo Stock Exchange and the Company.

○

○

○

- 8 -

Subscription Rights to Shares, etc.
Overview of the Subscription Rights to Shares, etc. Granted to and Held by Officers, etc. of theCompany as Compensation for Execution of Duties as of March 31, 2024
(1) Subscription Rights to Shares Held by Directors, Audit & Supervisory Board Members, andManaging Officers
Year of issuance(Date of resolution ofissuance)

Number ofsubscription
rights tosharesClass andnumber of shares
to be issued

Issue priceAmount ofassets to becontributed
upon exercise

Exercise period

FY March 2015
(July 4, 2014)

39

3,900 shares ofcommon stock

Issued without
contribution

1yen per share

From July 28, 2017
to July 27, 2044

FY March 2016
(July 8, 2015)

41

4,100 shares ofcommon stock

Issued without
contribution

1yen per share

From July 28, 2018
to July 27, 2045

FY March 2017
(July 13, 2016)

53

5,300 shares ofcommon stock

Issued without
contribution

1yen per share

From July 29, 2019
to July 28, 2046

FY March 2018
(July 5, 2017)

525

52,500 shares ofcommon stock

Issued without
contribution

1yen per share

From July 20, 2020
to July 19, 2047

FY March 2019
(July 4, 2018)

656

65,600 shares ofcommon stock

Issued without
contribution

1yen per share

From July 25, 2021
to July 24, 2048

FY March 2022
(May 13, 2021)

90

9,000 shares ofcommon stock

Issued without
contribution

1yen per share

From May 31, 2024
to May 30, 2051

(2) Breakdown

Year of issuance (Dateof resolution ofissuance)

Directors(excluding External
Directors)

Audit & Supervisory Board
Members

Managing Officers

Number ofsubscription
rights tosharesNumber ofholders

Number ofsubscription
rights tosharesNumber ofholders

Number ofsubscription
rights tosharesNumber ofholders

FY March 2015
(July 4, 2014)

39

1

–

–

–

–

FY March 2016
(July 8, 2015)

41

1

–

–

–

–

FY March 2017
(July 13, 2016)

53

1

–

–

–

–

FY March 2018
(July 5, 2017)

481

2

–

–

44

1

FY March 2019
(July 4, 2018)

440

3

–

–

216

6

FY March 2022
(May 13, 2021)

90

1

–

–

–

–

Note 1: Stock-based compensation stock option with stock price conditions for Officers have been abolished pursuant to a
resolution of the Ordinary General Meeting of Shareholders held on June 20, 2019.
Note 2: The holding status for Managing Officers who concurrently serve as Directors is listed in the Directors field.
Note 3: The class and total number of shares to be issued upon exercise of subscription rights to shares as of March 31, 2024
(including those held by retirees) was 371,800 shares of common stock.

- 9 -[Details of Stock Price Conditions]
1. Holders of subscription rights to shares may no longer exercise the subscription rights to shares after aperiod of ten years has elapsed from the day after the holders lose their positions as Directors, and/orManaging Officers, and/or Audit & Supervisory Board Members of the Company.
2. When the Company’s share price growth rate*1 is equal to or exceeds the TOPIX (Tokyo Stock Price
Index) growth rate*2, all subscription rights to shares granted may be exercised.
3. When the Company’s share price growth rate falls below the TOPIX growth rate, only part of thesubscription rights to shares granted*3 may be exercised.
*1 The Company’s share price growth rate shall be calculated by the formula below based on the
Company’s share price growth rate for the period of three years from the allotment date to the first dateof the exercise period.
A: The average closing price for the Company’s common stock on the Tokyo Stock Exchange on each
day for the three months immediately before the month in which the first date of the exercise periodof the subscription rights to shares falls
B: The total amount of dividends per common stock of the Company for the period from the allotment
date to the first date of the exercise period of the subscription rights to shares
C: The average closing price for the Company’s common stock on the Tokyo Stock Exchange on each
day for the three months immediately before the month on which the allotment date falls
The Company’s stock price growth rate = (A + B) / C*2 The TOPIX growth rate shall be calculated by the formula below based on the TOPIX growth rate forthe period of three years from the allotment date to the first date of the exercise period.
D: The average closing share price for TOPIX on the Tokyo Stock Exchange on each day for the threemonths immediately before the month in which the first date of the exercise period of thesubscription rights to shares falls
E: The average closing share price for TOPIX on the Tokyo Stock Exchange on each day for the threemonths immediately before the month on which the allotment date falls
TOPIX growth rate = D / E*3 Number of exercisable subscription rights to shares = Number of subscription rights to shares
granted × (the Company’s share price growth rate / TOPIX growth rate)
Details of Independent Auditor
1. Name of Independent Auditor
Deloitte Touche Tohmatsu LLC
2. Remuneration Paid to Independent Auditor
The remuneration paid by the Company and its consolidated subsidiaries to the Independent Auditor relating
to FY March 2024 is as follows.
(Mn JPY)
Classification

Audit Fees

Non-Audit Fees

The Company

835

23

Consolidated subsidiaries

849

13

1,684

36

Total

Note 1: The Company has not drawn any distinction between the remuneration for the audit services pursuant to theCompanies Act of Japan and the Financial Instruments and Exchange Act of Japan in the agreement with the
Independent Auditor.
Note 2: Based upon the Practical Guidelines for Cooperation with Independent Auditors released by the Japan Audit &Supervisory Board Members Association, having obtained necessary materials and received reports from Directors,
related departments, and the Independent Auditor, and having reviewed the auditing plans, the status of execution ofduties by the Independent Auditor, the grounds for calculation of remuneration estimates and other matters in theprevious fiscal year, the Audit & Supervisory Board gives consent to remunerations for the Independent Auditor inaccordance with Article 399, Paragraphs 1 and 2 of the Companies Act of Japan.

- 10 -

Note 3: Some subsidiaries are subject to audits performed by certified public accountants and audit corporations (including
those who have equivalent qualifications in foreign countries) other than the Company’s Independent Auditor.

3. Non-Audit Services
The Company has engaged its Independent Auditor to provide “tax-related services”, etc., being services
falling outside the scope of Article 2, Paragraph 1 of the Certified Public Accountants Act (non-audit
services).
4. Policy for Decisions on Dismissal or Non-Reappointment of Independent Auditor
The Company has the following policy on the dismissal of, and decisions not to reappoint, the Independent
Auditor.
(1)
The tenure of the Independent Auditor is one year, and they may be reappointed.
(2)
The election, dismissal and/or non-reappointment of the Independent Auditor is/are resolved by the
Audit & Supervisory Board to be referred for discussion and resolution at the General Meeting of
Shareholders. The reappointment of the Independent Auditor is determined by resolution of the Audit& Supervisory Board.
(3)
In addition to the case where it is convenient for the Company, in the case that the Independent
Auditor has breached or contravened law or regulation such as the Companies Act of Japan or the
Certified Public Accountants Act, or has conducted itself in breach of public policy or breached its
contract of engagement, the Audit & Supervisory Board considers whether or not it is appropriate torefer the dismissal or non-reappointment of the Independent Auditor to the General Meeting of
Shareholders for discussion and resolution.
(4)
The Audit & Supervisory Board may dismiss the Independent Auditor with the approval of each Audit& Supervisory Board Member if the circumstances outlined in the respective provisions of Article
340, Paragraph 1 of the Companies Act of Japan apply.
Necessary Systems to Ensure Appropriate Operations and Status of Operations of the Systems
An outline of “Necessary systems to ensure appropriate operations” (pursuant to Article 362, Paragraph 4,
Item 6 of the Companies Act of Japan) of the Company and the status of operations of the systems are as
follows. In the fiscal year ended March 31, 2024, to operate the necessary systems to ensure appropriate
operations, the Company established and maintained each internal control system by holding physicalmeetings and carrying out visiting audits in combination with online meetings and/or video messages, etc.
As for the systems above, further details can be found via the following link on the website of the Company(URL: https://www.mitsui.com/jp/en/company/outline/governance/index.html).
1. Systems to Ensure that Directors and Employees Comply with Laws and Regulations, and the
Articles of Incorporation
1)

2)

3)
4)

Commitment to “BUSINESS CONDUCT GUIDELINES FOR EMPLOYEES AND OFFICERS OF
MITSUI & CO., LTD.” by officers and employees, based on the Company’s positioning of compliancewith laws and regulations and maintaining ethics as one of the most important issues for all officers andemployees in the course of business.
The Company has established the Compliance Committee, headed by the Chief Compliance Officer(CCO), promotes Integrity mindset, and carries out compliance training and other measures to ensure
thorough compliance. The Company establishes several internal and external whistle-blowing lines andconducts periodical monitoring to ensure its compliance regime is observed while also taking
disciplinary actions on violations.
Audit & Supervisory Board Members monitor the observance of all relevant laws and regulations andthe Articles of Incorporation, among other things, by Directors and employees in the performance of
their duties.
The Company has appointed External Directors to strengthen the supervisory function of the Board of
Directors and has established various advisory committees that include External Members as committee
members, in order to enhance objectivity and transparency of management.
- 11 -

Status of Operations of the Above Systems
 ComplianceIn addition to confirming every year the commitment of all officers and employees, promising to comply
with the BUSINESS CONDUCT GUIDELINES FOR EMPLOYEES AND OFFICERS OF MITSUI &CO., LTD. etc., providing the Compliance Handbooks via the intranet, and carrying out complianceworkshops and seminars, the Company is accelerating its efforts to ensure thorough compliance andpromote Integrity mindset in ways that better match frontline conditions through the introduction of“Compliance Administrators” to each business unit to assist the Business Unit COOs (Compliance
Supervising Officers) in their performance of duties, which has been in effect since the fiscal year ended
March 31, 2020. In the fiscal year ended March 31, 2024, in addition to adding improvements again to
the questions of the compliance awareness survey conducted each year, cooperating with each unit andmeasuring the feeling of openness in organizations and perceptions of psychological safety, theCompany continued to work on strengthening measures to prevent the occurrence of complianceproblems. Furthermore, in the fiscal year ended March 31, 2024, for “With Integrity Month” on thetheme of “Think about Integrity in the coming years”, the Company is aware of promoting Integrity
mindset globally, and we conducted Integrity discussions between the President and employees ofMitsui & Co. (Asia Pacific) Pte. Ltd. in Singapore as well as discussions between the CCO and theBusiness Unit COOs and business unit employees. In addition, each unit and each regional business unit
conducted Integrity-related events based on their own initiatives at an organizational level. Taking these
activities into account and since five years have passed since the Mitsui & Co. Group Conduct
Guidelines - With Integrity were formulated, the Company plans to disclose a revised version for the
fiscal year ending March 31, 2025 following discussions by the Executive Committee and the Board of
Directors on With Integrity that reflects the changing trends in the world. In addition, while analyzing
and confirming incidents of non-compliance that are similar in type to those that occur within the Group,
the Company is carrying out efforts to promote individual measures aimed at the eradication of noncompliant activities. Regarding the whistleblowing system, which serves as the core internal control
mechanism for discovering problems, in addition to the President having issued messages encouraging
people to speak up if they believe that there is a compliance-related issue with the aim of improving
confidence in the whistleblowing system and encouraging people to use it, the Company has conducted
seminars to ensure that there is also an appropriate response to whistleblower reports at Group
companies and has strived to promote understanding related to the revisions to the Whistleblower
Protection Act in Japan. Twice each year the operational status of the compliance framework is reported
to the Executive Committee and the Board of Directors for their review, and active discussions are held
to further improve the framework. In addition, the Company held Compliance Committee meetings
three times a year with the participation of Business Unit COOs, with the aim of holding a compliancestructure that encompasses frontline perspectives.
 Monitoring by the Audit & Supervisory Board Members
The Audit & Supervisory Board Members conduct audits of the decision-making process of the
management team through attending the Board of Directors meetings and other important meetings,
such as meetings of the Executive Committee and inspecting decision-making documents, and monitor
the execution of duties through auditing activities including regular meetings with the management teamand coordination with the Independent Auditor and the Internal Auditing Division.
 Strengthening the Supervisory Function of the Board of Directors and Enhancing the Objectivity andTransparency of Management
The Company appointed six External Directors from diverse backgrounds to utilize their expert
knowledge in management and oversight. External Directors provide opinions and viewpoints based on
various specialties and are significantly contributing to strengthening the supervisory functions throughdiverse analyses of topics deliberated by the Board of Directors. The holding of free discussion sessions
by Directors and Audit & Supervisory Board Members was confirmed to be meaningful in theeffectiveness evaluation in the fiscal year ended March 31, 2023. For that reason, in the fiscal year ended
March 31, 2024, a session was held in September 2023 on the theme of Mitsui’s corporate governance.
The advisory committees of the Board of Directors, Governance Committee (five meetings),
Nomination Committee (four meetings), and Remuneration Committee (seven meetings) carried out
discussion in light of the opinions of External Members and put effort into ensuring the objectivity andtransparency of management. The Governance Committee discussed the Company’s governance system
including the operation of the Board of Directors, and also discussed evaluation of the effectiveness of- 12 -

the Board of Directors for the fiscal year ended March 31, 2024, among other matters. The Nomination
Committee worked to provide more opportunities for External Members to learn about candidates for
Directors and Managing Officers and enhance the information and materials provided. The
Remuneration Committee continued to discuss the revision of the remuneration system and leveltowards the contribution of medium- to long-term corporate value under global competitive environment.
In addition, the External Members Meeting, which consists of External Directors and External Audit &Supervisory Board Members, convened ten times during the fiscal year ended March 31, 2024, todiscuss topics that included feedback on dialogue with capital markets (expectations and requests),
initiatives on climate change (Scope 3 emissions results and update on the business activities reducing
GHG emissions in the value chain), and Wellness Ecosystem Creation (one of the three Key Strategic
Initiatives set forth in the Medium-term Management Plan 2026).
2. Systems to Store and Control Information Related to Duties Performed by Directors
In accordance with its Rules on Information Management etc., the Company stores and controls important
information such as the minutes of the General Meetings of Shareholders and the Board of Directors meetings.
Status of Operations of the Above Systems
To properly evaluate its decision-making process, the Company promptly creates, stores and manages theminutes from important meetings, such as the General Meetings of Shareholders and the Board of Directors
meetings.
Furthermore, the Company implements thorough information management based on the Rules on
Information Management etc., and of confidential information, information requiring particularly high-level
control is indicated as “Classified and Sensitive Information” and placed under stricter control limiting theinformation handlers.
3. Regulations and Systems Related to Management of Risk of Loss
1) The Chief Operating Officers of business units and regional business units of the Company manage
risks of losses (“Risks”) that arise from businesses within the scope of their authority.
2) Corporate Staff Unit of the Company have established an integrated risk management system toholistically manage the various Risks that the Company faces in its businesses, centered on the
Executive Committee and the Portfolio Management Committee.
3) The Company responds to crises and emergency situations by establishing the Crisis Response
Headquarters, etc. in accordance with the “Crisis Response Headquarters Regulations” and the“Emergency Business Continuity Management Regulations”.
Status of Operations of the Above Systems
The Company appropriately operates a system for the segregation of authority and an internal approvalsystem, and the Corporate Staff Unit oversees and supports the decision-making of the Business Units, thus
thoroughly managing the risks arising from business activities.
Furthermore, through the prior setting of credit limits, etc. for customers and monitoring by specialized
divisions, the Company manages quantitative Risks such as credit risk and country risk.
In the fiscal year ended March 31, 2024, the Portfolio Management Committee held 11 meetings andcontinued to formulate portfolio strategies and provide appropriate risk management at the company-widelevel by monitoring portfolios, cash flow allocations across the entire company, status of quantitative risks,and other matters, and by reviewing the status of Control Self-Assessment initiatives of affiliated companies.
The Executive Committee deliberated on risk exposure and controls by risk category, and country-specificrisk response policies, and reviewed the administration of compliance systems and countermeasure statusagainst cyber security risks. These initiatives were also reported to the Board of Directors.
4. Systems to Ensure Effective and Efficient Execution of Duties by Directors
1) Efficient management performance is pursued through having the Board of Directors oversee each
Director in the performance of his/her duties and the use of a Managing Officer System.
2) The Company has worked to enhance efficient and appropriate management decisions throughsubstantial discussions in various committees, such as the Executive Committee and the Portfolio
Management Committee.
- 13 -

3)

The Company has constructed a business unit system and regional unit system (Global Matrix
Structure) to enable timely management decisions, and implemented an internal approval system where
supervising Managing Officers make the final decision in the best interest of the Company, following
deliberations conducted by the relevant Corporate Staff Unit.
4) Management initiatives are implemented in accordance with the Medium-term Management Plan andannual business plans, with the Board of Directors regularly verifying upon progress.
Status of Operations of the Above Systems
The Company smoothly operates an internal approval system through coordination between the Business
Units and the Corporate Staff Unit. Furthermore, through thorough evaluation at the various meetings,
including the meetings of the Executive Committee and the meetings of the Portfolio Management
Committee, the Company realizes appropriate and efficient management decision making.
Prior to the Board of Directors meetings, the Board of Directors Secretariat screens proposed resolutions andmatters to be reported based on the Companies Act of Japan and internal rules, ensuring that the oversight ofeach Director in the performance of his/her duties is conducted appropriately and efficiently by the Board of
Directors.
To evaluate the progress of actions taken in response to management issues, proposals and reports are carriedout at the Board of Directors meetings regarding company-wide issues, not limited to individual proposals.
In the fiscal year ended March 31, 2024, proposals and reports were made regarding the topics such as theoperational status of the Group’s compliance system, the status of sustainability management promotion
activity, occupational health and safety management system, well-being management, asset portfolios, risk
exposure and controls, and status of cyber securities.
Furthermore, the Company reviews the various rules related to internal procedures, including a review ofstandards on matters to be resolved/reported at the Board of Directors, as needed, working to make theexecution of operations more efficient.
5. Systems to Ensure Proper Operations in the Group
1) Based on the general principle of maintaining the autonomy of its affiliated companies, the Company
appropriately manages affiliated companies, understanding the management status and maintaining agroup-wide management framework, while providing for the Company’s participation in the
management and/or governance of its affiliated companies as appropriate to its equity investor status.
2) The Company requires its major affiliated companies to conduct regular auditing to check theirobservance of all relevant laws and regulations, and internal regulations.
3) The Company requests to build an appropriate whistle-blowing line for affiliated companies, requests
the prohibition of both uncovering the identity of whistleblowers and their disadvantageous treatment,
and, in the event that affiliated companies detect a violation of compliance by the officers or employeesof the Company, the matter may be reported through the whistle-blowing lines, either internally or
externally.
Status of Operations of the Above Systems
Depending on their relationship with the Company, the Company requires its subsidiaries and associatedcompanies to comply with its “Mitsui & Co., Ltd. Corporate Governance and Internal Control Principles”,
or to develop internal control systems equivalent to the Company’s system.
Furthermore, the Company designates its officers and employees as the supervising officers of the affiliatedcompanies to manage the affiliated companies in accordance with the “Rules on Duties of Supervising
Officers of Affiliated Companies”. The Company dispatches its staff of the Internal Auditing Division to themajor affiliated companies to serve as a Full-time Audit & Supervisory Board Member, and strengthen theoversight of the Group.
Also, while increasing the effectiveness of the consolidated group’s business operations, the Company
established the “Mitsui Global Business Management Guidelines” with the goal of maximizing the added
value created by each company. In doing so, the Company is promoting organic cooperation between eachgroup company and sharing of the management resources, functions, and networks that each company
possesses.
In the fiscal year ended March 31, 2024, the Company worked to enhance the compliance of the Group by
conducting a compliance awareness survey again at major affiliated companies in Japan and overseas andmaking the Compliance Handbook available to major domestic affiliated companies. While continuing to- 14 -

disseminate the “Mitsui & Co. Group Conduct Guidelines - With Integrity”, the Company also followed the“Guidelines on the Establishment of Compliance Systems at Affiliated Companies”, which notes the bestpractice for developing and enhancing the compliance structure, to help enhance the independent and selfreliant compliance structure of affiliated companies.
While domestic affiliated companies used external attorneys at law and a third-party organization designatedby the Company as whistle-blowing lines, the Company demanded strict prohibition of both uncovering theidentity of whistleblowers and their disadvantageous treatment in compliance with the revisions to
Whistleblower Protection Act. At overseas affiliated companies also, the Compliance Supervising Officersof each region lead efforts to establish routes for reporting and seeking advice that can be used with greater
peace of mind in accordance with local laws and regulations and other local characteristics. We are increasing
the number of countries where we have established the Global Group Hotline, which is used to report issues
related to antimonopoly or corruption prevention laws in Japan and overseas and seek advice, and tounderstand and resolve issues through such hotlines.
6. Matters Related to Employees Assigned to Assist Audit & Supervisory Board Members, theIndependence of Such Employees from Directors, and Ensuring the Effectiveness of Audit &Supervisory Board Members’ Directions to Such Employees
1) The Company establishes the Audit & Supervisory Board Member Division and allocates three or more
staff.
2) The organizational change and personnel change of employees of the Audit & Supervisory Board
Member Division are determined with the approval of the Audit & Supervisory Board Members.
Status of Operations of the Above Systems
As of March 31, 2024, the Audit & Supervisory Board Member Division is staffed with five dedicatedemployees to assist the Audit & Supervisory Board Members in their duties. Furthermore, decisions on the
personnel change of employees of the Audit & Supervisory Board Member Division are made by the
responsible Managing Officers with the approval of the Audit & Supervisory Board Members.
7. Systems to Report to and Collecting Information by Audit & Supervisory Board Members(1) Audit & Supervisory Board Members may attend the Board of Directors meetings, the meetings of the
Executive Committee and other important meetings, receive important in-house documentation andmaterials, have regular meetings with Chair, President, CCO and other Directors, Managing Officers,or other management staff, and receive information on the Company including information on affiliatedcompanies.
(2) Directors should immediately report to the Audit & Supervisory Board in the event of discovery ofcircumstances that carry the potential risk of serious loss or consequence to the Company.
(3) Audit & Supervisory Board Members audit and supervise the state of the management of its majoraffiliated companies through visiting of those affiliated companies and collaborating with the Audit &Supervisory Board Members of those companies.
Status of Operations of the Above Systems
The abovementioned system has been established and is in operation, in which Audit & Supervisory Board
Members promptly receive reports from the person in charge of the relevant department in the event that
there is a problem that could have a significant impact on the Company. Also, through attending the meetingsof the Board of Directors and its advisory committees, having regular meetings with Chair and President,
sharing information and exchanging opinions with External Directors and having regular meetings with the
Independent Auditor and the Internal Auditing Division, Audit & Supervisory Board Members work to collectand examine information of the Company. In addition to the above, Full-time Audit & Supervisory Board
Members work to collect and examine information on the day-to-day management performance of theCompany, through attending important meetings including meetings of the Executive Committee, having
regular meetings with the Directors, Managing Officers, and General Managers of the Corporate Staff Unit,
sharing information and viewing important documentation, exchanging opinions at meeting with full-time
audit & supervisory board members of subsidiaries and other means, and share those information with
External Audit & Supervisory Board Members at the Audit & Supervisory Board and via written
communication.

- 15 -

The Audit & Supervisory Board Members designate some of the affiliated companies positioned important
for the fiscal year both in Japan and overseas as “Important Affiliated Companies Designated by the Audit &Supervisory Board”, exchange views with the management of affiliated companies and the local independent
auditors of these companies, and proactively collect information on the management status of affiliatedcompanies on a global group basis. When collecting information, the Audit & Supervisory Board Members
work to find the best mix that effectively utilizes both making actual visits to these designated affiliatedcompanies and holding online meetings with their management.
As outlined above, the Company has established and effectively operates the abovementioned system inwhich important matters and problematic events arising in relation to the global business management of theCompany are reported to Audit & Supervisory Board Members in a timely and appropriate manner.
8. Other Systems to Ensure Effective Auditing by Audit & Supervisory Board Members(1) Directors maintain an appropriate environment for auditing and supervising of the management
activities of the Audit & Supervisory Board Members.
(2) The Audit & Supervisory Board Members may request cooperation from the Internal Auditing Division,
each Legal Division, and the Global Controller Division, as well as other divisions with regard to theirauditing and supervising.
(3) The Audit & Supervisory Board Members maintain close contact with the Independent Auditor.
(4) The Audit & Supervisory Board Members may request the assistance of legal counsel and other external
expert professional advisors.
(5) The Company is responsible for the costs associated with the execution of Audit & Supervisory Board
Members’ duties.
Status of Operations of the Above Systems
Regarding the audit environment and the cooperation given to Audit & Supervisory Board Members by theInternal Auditing Division, each Legal Division, the Global Controller Division, and other divisions, theMembers hold regular meetings with and receive reports from those corporate units and also gather
information needed for the audit activities by investigating specific individual cases and continuallymonitoring particular items with the cooperation of the relevant corporate units. Audit & Supervisory Board
Members conduct effective auditing in collaboration with the Internal Auditing Division and the Independent
Auditor through monthly regular individual meetings with each of them, triangular meetings, and feedback
sessions carried out by the Internal Auditing Division in the presence of the audited division (audited
affiliated company), in and at which the Audit & Supervisory Board Members participate and state
independent comments on the audited division or company. Audit & Supervisory Board members also help
to assess the appropriateness of accounting audits by exchanging opinions with the Independent Auditor on
topics that include the independence of the Independent Auditor, its frameworks for the performance of its
duties, and its quality control frameworks. Furthermore, the Audit & Supervisory Board consults as necessary
with legal counsel on auditing operations.
The Company secured the required budget for the execution of the Audit & Supervisory Board Members’
duties, including related legal fees, and bore the expenses related to the execution of Audit & Supervisory
Board Members’ duties.
9. Systems and Basic Philosophy Related to the Rejection of Anti-Social Forces
The Company ensures all officers and employees fully understand the Company’s basic philosophy regarding
the rejection of anti-social forces, including the forbidding of transactions with anti-social forces or withparties that have relations with anti-social forces and cooperates with external professionals such as the police
and attorneys at law, through the establishment of a response unit for the handling of such matters.
Status of Operations of the Above Systems
The Company ensures the thorough rejection of anti-social forces by all officers and employees, and inindividual business activities, conducts screening utilizing a checklist for the elimination of anti-social forcesat the stage of consideration of new projects.

- 16 -

Consolidated Financial Statements
Consolidated Statements of Changes in Equity
Year ended March 31, 2024

(Mn JPY)
Attributable to owners of the parent

Balance as at April 1, 2023

Commonstock

CapitalsurplusRetainedearnings

Other
componentsof equity

Treasury
stock

Total

Noncontrollinginterests

Total
equity342,560

381,869

4,840,510

868,963(66,152)

6,367,750

197,398

6,565,148

1,063,684

16,7951,080,479

Profit for the year

1,063,684

Other comprehensive income for theyear
Comprehensive income for the year

1,063,684

480,777

480,777

18,139498,916

480,777

1,544,461

34,934

1,579,395

Transaction with owners:
Dividends paid to the owners of theparent(242,368)(242,368)

Dividends paid to non-controllinginterest shareholders(20,457)

Acquisition of treasury stock
Sales of treasury stock(569)

Cancellation of treasury stock
Compensation costs related to sharebased payment

502

Equity transactions with noncontrolling interest shareholders(139,283)(139,283)

(293)

862

0

0

(135,946)

135,946

–

–

7,595

7,595

3,463
343,062

391,856

230
26,149(26,149)

5,551,736

1,323,821

3,693

16,22019,913228,095

7,769,943–(68,627)

7,541,848–

Year ended March 31, 2023 (Supplementary information)(Mn JPY)

Attributable to owners of the parent

Balance as at April 1, 2022

(20,457)(139,283)

7,093

Transfer to retained earnings
Balance as at March 31, 2024

(242,368)

Commonstock

CapitalsurplusRetainedearnings

Other
componentsof equity

Treasury
stock

Total

Noncontrollinginterests

Total
equity342,384

376,516

4,165,962

827,441(107,098)

5,605,205

190,211

5,795,416

1,130,630

23,997

1,154,627

Profit for the year

1,130,630

Other comprehensive income for theyear
Comprehensive income for the year

1,130,630

93,95893,9582,305

96,263

93,9581,224,588

26,302

1,250,890

Transaction with owners:
Dividends paid to the owners of theparent(198,082)(198,082)

Dividends paid to non-controllinginterest shareholders(22,380)

Acquisition of treasury stock
Sales of treasury stock(252)

Cancellation of treasury stock
Compensation costs related to sharebased payment

176

Equity transactions with noncontrolling interest shareholders(270,257)(270,257)(270,257)

537

1

1

(310,666)

310,666

–

–

4,082

4,082

1,699
342,560

381,869(22,380)

(284)

3,906

Transfer to retained earnings
Balance as at March 31, 2023

(198,082)

514
52,950(52,950)

4,840,510

868,963- 17 -

2,213

3,265

5,478

197,398

6,565,148–(66,152)

6,367,750–

Consolidated Statements of Comprehensive Income [Supplementary Information] (Unaudited)Year ended
March 31, 2024
Profit for the year
Other comprehensive income:Items that will not be reclassified to profit or loss:
Financial assets measured at FVTOCI
Remeasurements of defined benefit pension plans
Share of other comprehensive income of investments accounted forusing the equity method
Income tax relating to items not reclassified
Items that may be reclassified subsequently to profit or loss:
Foreign currency translation adjustments
Cash flow hedges
Share of other comprehensive income of investments accounted forusing the equity method
Income tax relating to items that may be reclassified
Total other comprehensive income
Comprehensive income for the year
Comprehensive income for the year attributable to:
Owners of the parent
Non-controlling interests- 18 -(Mn JPY)
Year ended
March 31, 2023

1,080,479

1,154,627

66,472
39,778(238,455)
9,343(1,025)(12,811)(29,092)

45,52734,402(36,305)(22,865)
56,921

431,569

276,047(6,883)498,916
1,579,395(17,444)
96,263
1,250,890

1,544,461
34,934

1,224,588
26,302

Segment Information [Supplementary Information] (Unaudited)Year ended March 31, 2024 (from April 1, 2023 to March 31, 2024)
Mineral & Metal
resources

Machinery &Infrastructure

Energy(Mn JPY)
Chemicals

Iron & Steelproducts

Lifestyle

Revenue

2,037,717

2,949,497

1,378,459

2,784,551

678,680

3,213,013

Gross profit

342,118

195,846

221,097

208,339

43,518185,277

Share of profit (loss) of investments
accounted for using the equity
method75,02968,135

230,446

21,204

17,21359,484

Profit for the year attributable toowners of the parent

335,116

281,660

248,726

39,247

11,19094,123

Core Operating Cash Flow
Total assets at March 31, 2024

409,069

247,822

176,860

63,397

8,459

40,1533,084,437

3,408,781

3,769,779

2,049,368

809,5422,901,696

Innovation &Corporate
development

Total

All other

Adjustments andeliminations

Consolidated total

Revenue

281,077

13,322,994

1,948

–

13,324,942

Gross profit

118,394

1,314,589

4,787

339

1,319,715

Share of profit (loss) of investments
accounted for using the equity
method19,684

491,195–

369

491,564

Profit for the year attributable toowners of the parent

53,847

1,063,909

5,640(5,865)

1,063,684

Core Operating Cash Flow
Total assets at March 31, 2024

45,445991,205

9,268(4,633)995,840

1,790,857

17,814,460

8,879,374(9,794,332)

16,899,502- 19 -

Year ended March 31, 2023 (from April 1, 2022 to March 31, 2023)
Mineral & Metal
resources

Machinery &Infrastructure

Energy(Mn JPY)
Chemicals

Iron & Steelproducts

Lifestyle

Revenue

2,220,316

3,517,077

1,115,192

3,160,663

726,180

3,306,954

Gross profit

355,820

316,446

199,900

209,298

40,699

153,736

Share of profit (loss) of investments
accounted for using the equity
method127,550

108,476

197,31327,36824,73550,712

Profit (loss) for the year attributableto owners of the parent

438,785

309,382

171,908

70,94522,48454,849Core Operating Cash Flow
Total assets at March 31, 2023

436,661

419,583

182,901

89,531

17,99531,0993,062,836

3,009,472

3,216,794

1,773,664

776,5312,504,078

Innovation &Corporate
development

Total

All other

Adjustments andeliminations

Consolidated total

Revenue259,489

14,305,871

531–

14,306,402

Gross profit

112,591

1,388,490

2,009

5,729

1,396,228

Share of profit (loss) of investments
accounted for using the equity
method18,931

555,085(48)

489

555,526

Profit (loss) for the year attributableto owners of the parent

66,677

1,135,030(8,291)

3,891

1,130,630

Core Operating Cash Flow
Total assets at March 31, 2023

46,5881,224,358(567)(18,288)

1,205,503

1,642,459

15,985,834

8,215,000(8,819,918)

15,380,916

Notes: 1. “All other” includes the corporate staff unit which provides financing services and operations services to thecompanies and affiliated companies.
Total assets of “All other” at March 31, 2023 and March 31, 2024 consisted primarily of cash and cash equivalents
and time deposits related to financing activities, and assets of the corporate staff unit and certain subsidiaries
related to the above services.
2. Transfers between reportable segments are made at cost plus a markup.
3. Profit (loss) for the year attributable to owners of the parent of “Adjustments and eliminations” includes income andexpense items that are not allocated to specific reportable segments, and eliminations of intersegment transactions.
4. Core operating cash flow is calculated by deducting the total of the “Changes in operating assets and liabilities”
from the “Cash flows from operating activities”, and further deducting the “Repayments of lease liabilities” in the“Cash flows from financing activities” from it, in the consolidated statements of cash flows.

- 20 -

Notes to Consolidated Financial Statements (Year ended March 31, 2024)
Basic Significant Matters Regarding Preparation of Consolidated Financial Statements
1. Subsidiaries and equity accounted investees(1) Subsidiaries 296
Mitsui Oil Exploration Co., Ltd., Mitsui Iron Ore Development Pty. Ltd., Mitsui-Itochu Iron Pty. Ltd.,
Mitsui & Co. Iron Ore Exploration & Mining Pty. Ltd., Mitsui Resources Pty. Ltd., and others(2) Equity accounted investees (associated companies and joint ventures) 195
Japan Australia LNG (MIMI) Pty. Ltd., Penske Automotive Group, Inc., IHH Healthcare Berhad andothers
A total of 557 subsidiaries and equity accounted investees are excluded from the above. These include
companies which are sub-consolidated or accounted for under the equity method by subsidiaries otherthan trading subsidiaries.
Primary investee over which Mitsui & Co., Ltd. (the “Company”) does not have control despite
ownership percentage of more than 50% is as follows:
Nutrinova Netherlands B.V.
The Company is the largest shareholder, owning 70% of Nutrinova Netherlands B.V. (“Nutrinova”).
The Company entered into a shareholder’s agreement with the second largest shareholder owning
30% of Nutrinova’s voting shares. Based on the agreement, significant decisions regarding
Nutrinova’s operations require unanimous consent by the Company and the second largest
shareholder. The rights given to the second largest shareholder in the agreement are considered as
substantive participating rights, and the Company does not individually control Nutrinova.
Accordingly, the Company accounts for its investment in Nutrinova under the equity method.
2. Basis of consolidated financial statements
The consolidated financial statements have been prepared on the basis of International Financial ReportingStandards (“IFRSs”), in compliance with Article 120, paragraph 1 of the Ordinance on Company
Accounting. In accordance with the provision of the paragraph, certain disclosures required on the basis of
IFRSs have been omitted.
3. Summary of Significant Accounting Policies
Consolidation
The consolidated financial statements include the accounts of the Company, its subsidiaries (which arecontrolled either directly or indirectly through voting or similar rights), and structured entities (“SEs”).
They are collectively called the “companies”, where the Company or one of its subsidiaries have control.
SEs are entities controlled through means other than voting or similar rights. The word “control” is usedbased on its definition in IFRS 10 “Consolidated Financial Statements”, so that the companies consider all
facts and circumstances, including existing rights and substantive rights included within agreements withinvestees.
The consolidated financial statements include financial statements of certain subsidiaries with different
fiscal year-ends from that of the Company, as the Company considers it impracticable to unify the fiscal
year-ends of such subsidiaries with that of the Company.
Major consolidated subsidiaries with different fiscal year-ends include subsidiaries that operate exploration,
development and production of oil and gas. As the Company is a non-operator in such operations and thefinancial information is prepared by the operators, the Company is unable to obtain necessary informationfrom the operators in time for the preparation of the Company’s year-end consolidated financial statements.
For the same reason, it is also impracticable to prepare additional financial statements for these subsidiaries- 21 -

as of the same date as the Company’s year-end date. Therefore, financial information for such subsidiaries
with fiscal year-ends of December 31 is included in the Company’s consolidated results.
There are other consolidated subsidiaries for which it is also considered impracticable to unify on fiscal
year-ends with on the Company’s due to requirements of local laws and regulations, and it is also
impracticable to prepare additional financial statements for these subsidiaries as of the same date as theCompany’s year-end date due to certain facts and circumstances such as local business practices and theenvironment surrounding their respective accounting systems. The fiscal year-ends of such consolidated
subsidiaries are mainly December 31.
Adjustments are made for the effects of significant transactions or events that occur between the ends of the
fiscal years of such consolidated subsidiaries and that of the Company.
Changes in the companies’ ownership interests that are made while retaining their controlling financial
interests in their subsidiaries are accounted for as equity transactions. When the companies cease to havetheir controlling financial interests, any retained investments are measured at their fair value at that date.
The difference between the fair value and the carrying amount of the retained non-controlling investments
is recognized as gain (loss) on securities and other investments-net.
Investments in associated companies and joint arrangements
Associated companies are entities over which the Company and its subsidiaries own 20% or more of thevoting rights. The exceptions to this rule include the entities in which it can be clearly demonstrated that theCompany and its subsidiaries are unable to exercise significant influence over the financial and operating
policy decisions of the investees, or those whereby the companies have the ability to exercise significant
influence despite holding less than 20% ownership. Investments in associated companies are accounted forusing the equity method.
Joint arrangements are arrangements in which decisions about relevant activities require the unanimous
consent of the parties sharing control. When the parties that have joint control of the arrangement havesubstantial rights to the assets and obligations for the liabilities, relating to the arrangement, thearrangement is a joint operation. When an arrangement is structured through a separate vehicle and theparties that have joint control of the arrangement have rights to the net assets of the arrangement, thearrangement is classified as a joint venture. A joint operation is accounted for by recognizing the assets,
liabilities, revenues and expenses relating to its interest in the joint operation. A joint venture is accounted
for using the equity method.
Robe River Iron Associates (the Company’s percentage of ownership: 33%), which conducts iron ore
mining activities in Australia, is a major joint operation.
Losses recognized under the equity method are recorded in Share of Profit (Loss) of Investments
Accounted for Using the Equity Method in the Consolidated Statements of Income or in Other
comprehensive income in the Consolidated Statements of Comprehensive Income, considering the priorityof recoverability of assets related to the losses among other things.
The consolidated financial statements include some associated companies, joint ventures and joint
operations with different fiscal year-ends from that of the Company. It is impracticable to unify the fiscal
year-ends due to the requirement of local laws and regulations and relationships with other shareholders. It
is also impracticable to prepare additional financial statements as of the same date as the financial
statements of the companies due to certain factors such as local business practices and the environment- 22 -

surrounding their respective accounting systems. The fiscal year-ends of associated companies, joint
ventures and joint operations are generally December 31.
Adjustments are made for the effects of significant transactions or events that occur between the ends of the
fiscal years of such associated companies, joint ventures and joint operations and that of the Company.
The companies discontinue the use of the equity method from the date when an investment ceases to be an
associated company or a joint venture. Any retained investments are measured at their fair value at thatdate, and the difference between the fair value and the carrying amount of the retained investments is
recognized as gain (loss) on securities and other investments-net. Regarding impairment of investments
accounted for using the equity method, please refer to “Impairment and its reversal of non-financial assets
and investments accounted for using the equity method”.
Business combinations
In accordance with IFRS 3 “Business Combinations”, all business combinations are accounted for using theacquisition method. This is a method where all assets and liabilities of an acquired company, including noncontrolling interests, are measured at fair value. The differences between consideration transferred and the
net fair value of identifiable assets and liabilities are recognized as goodwill when the considerationtransferred is in excess of the net fair value of identifiable assets and liabilities. If the net fair value ofidentifiable assets and liabilities exceed the consideration transferred, the excess is recognized immediately
as a gain in the Consolidated Statements of Income for the year.
Foreign currency translation
The assets and liabilities of foreign subsidiaries and equity accounted investees are translated into Japanese
yen using the spot exchange rate at the respective reporting date. All income and expense accounts aretranslated into Japanese yen using average rates of exchange for the respective reporting period. The
resulting translation adjustments are recognized in other components of equity.
Foreign currency transactions are translated into functional currencies of individual companies using the
spot exchange rate at the date of transactions. At the end of each reporting period, monetary assets andliabilities, and non-monetary assets and liabilities measured at fair value denominated in foreign currencies
are translated into functional currencies using the spot exchange rate at the reporting date. The exchange
differences arising from translation are recognized in profit for the year.
Non-monetary items measured at historical cost denominated in foreign currencies are translated using the
spot exchange rate at the date of transaction.
Cash equivalents
Cash equivalents are defined as short-term (original maturities of three months or less), highly liquid
investments which are readily convertible into cash and have no significant risk of change in value. These
include certificates of deposit, time deposits, financing bills and commercial paper with original maturitiesof three months or less.
Inventories
Inventories, consisting mainly of commodities and materials for sale, are measured at the lower of cost and
net realizable value. The cost of inventory items that is not ordinarily interchangeable is assigned by using
specific identification of their individual costs. For those items that are interchangeable, the costs aremainly assigned by using the weighted-average cost formula. Inventories acquired for the purpose of being- 23 -

sold in the near term to profit from fluctuations in price are measured at fair value less costs to sell, andchanges in the fair value less costs to sell are recognized in profit for the year.
Financial instruments
Non-derivative financial assets
Trade and other receivables are recognized at fair value on initial recognition. Regular purchases of otherfinancial assets are recognized at fair value on the trade date. These financial assets are derecognized ifthey satisfy any of the following conditions:- the contractual rights to the cash flows from the financial asset have expired; or- the contractual rights to receive the cash flows of the financial asset have been transferred, andsubstantially all risks and rewards of the ownership of financial asset have been transferred.
Non-derivative financial assets are classified and measured as follows:
Non-derivative financial assets that are debt instruments are measured at amortized cost if they meet thefollowing two criteria: held for the purpose of collecting contractual cash flows, and have contractual
terms which give rise on specified dates to cash flows that are solely payments of principal and intereston the principal amount outstanding. Amortized cost is calculated by using the effective interest rate
method. For financial assets measured at amortized cost, the companies consider if an impairment has
occurred. Please see Impairment of financial assets regarding impairment.
Equity financial instruments and non-derivative financial assets that do not satisfy the requirements to bemeasured at amortized cost are measured at fair value through profit or loss (“FVTPL”). However, forcertain equity financial instruments held primarily for the purpose of enhancing the revenue base bymaintaining or strengthening the trade relationship with the investees, the companies elect at initialrecognition to designate these instruments as at fair value through other comprehensive income(“FVTOCI”).
When financial assets measured at FVTOCI are derecognized, the accumulated other components ofequity are directly reclassified to retained earnings without being recognized in profit for the year.
Dividend income received on financial assets measured at FVTOCI is recognized in profit for the year inprinciple.
Non-derivative financial liabilities
The companies have non-derivative financial liabilities including corporate bonds and loans payable,
trade and other payables, and other financial liabilities. Corporate bonds issued by the companies arerecognized on the issue date and all other non-derivative financial liabilities are recognized on the tradedate at fair value plus or minus transaction costs that are directly attributable to the acquisition or issue ofthe financial liabilities. Subsequent to initial recognition, non-derivative financial liabilities are measured
at amortized cost using the effective interest method.
The companies derecognize a non-derivative financial liability only when it is extinguished (that is, theunderlying obligation specified in the contract is discharged, cancelled or expires).
・ Non-derivative financial assets and non-derivative financial liabilities measured at amortized costaffected by interest rate benchmark reform
Interest rate benchmark reform – Phase 2
The companies had applied “Interest rate benchmark reform – Phase 2 (Amendments to IFRS 9, IAS
39, IFRS 7, IFRS 4 and IFRS 16)” issued in August 2020. For non-derivative financial assets andnon-derivative financial liabilities measured at amortized cost, a change in the basis for determining
the contractual cash flows of a financial asset or financial liability that had been required by interest- 24 -

rate benchmark reform had been accounted for by updating the effective interest rate of the financial
asset or financial liability.
The above measures had been implemented until the suspension of publication of interest ratebenchmarks reform, however the application of the exception had been terminated because there wasno longer any uncertainty with the suspension of publication of interest rate benchmarks reform
during FY March 2024.
Impairment of financial assets
For financial assets that are measured at amortized costs, the companies measure the loss allowance at an
amount equal to 12-month expected credit losses if the credit risk on a financial asset has not increased
significantly since initial recognition, and measure the loss allowance at an amount equal to lifetime
expected credit losses if the credit risk on a financial asset has increased significantly since initialrecognition. However, for trade receivables recognized based on the IFRS 15 “Revenue from Contracts
with Customers” and contract assets, the loss allowance is measured at an amount equal to the lifetime
expected credit loss without assessing whether the credit risk on a financial asset has increased
significantly since initial recognition.
When determining significant increases in the credit risk and measuring expected credit losses, bothquantitative and qualitative information is considered to provide reason and support. The information
includes reasonable and available forward-looking information, as well as internal information such as
historical credit loss experience, past due information and internal credit ratings.
The loss allowance is measured by a function using probability of default, loss given default, discountfactor and exposures based on this information. In addition, the companies determine that the credit risk
on a financial asset has increased significantly since initial recognition in principal when contractual
payments are more than 30 days past due.
Information such as significant financial difficulty of the issuer or the debtor or a breach of contract suchas payments past due are used for determining if any of the counterparties is in the default. If the debtor
is under legal reorganization and in financial failure or has issues repaying debts due to financial
difficulty, although it may not yet be in financial failure, or the principal and interest payments are 90
days past due as of the reporting date, the companies determine that the default has occurred and an
objective evidence of credit impairment exists. The loss allowance for the credit-impaired financial asset
is also measured in the same way as financial assets that are not credit-impaired. In addition, loss
allowance for certain credit-impaired financial asset is individually measured by the estimation of
expected credit losses by using the present value of expected future cash flows discounted at the effective
interest rate based on the original terms of the contract, or at fair value of the collateral and other credit
enhancement if their value depends on the collateral and other credit enhancement based on the latest
information and events.
The financial assets are directly written off when certain conditions are met. The following are examplesof when it is reasonably determined that all or part of a financial asset is not collectable: write-off offinancial assets by legal liquidation, obtaining of evident facts that suggest that it is impossible for the
debtors to repay their debts from their perceived solvency and/or asset situation, and arrearage of
payment after a certain period of time after a suspension of business operations.
The provision or the reversal of loss allowance is recognized in profit for the year.
Finance income and costs
Finance income and costs consist of items such as interest income, interest expense, dividend income andgain or loss on hedging instruments recognized in profit for the year. Interest income and interest expense
are recognized using the effective interest method. Dividend income is recognized on the date when therights of the companies to received dividends vest. See Derivative instruments and hedging activities foraccounting for gains or losses arising from hedging instruments.

- 25 -

Derivative instruments and hedging activities
The companies are exposed to market risks related to foreign currency exchange rates, interest rates andcommodity prices in the ordinary course of business. In order to mitigate or reduce these risks, thecompanies use derivative instruments, such as foreign exchange forward contracts, currency swap
agreements, interest rate swap agreements, commodity futures, forwards, options and swap contracts.
These derivative instruments hedge the exposure to changes in the fair value or expected future cash
flows of recognized assets and liabilities, unrecognized firm commitments or forecasted transactions. The
companies also use derivative instruments and non-derivative financial instruments, such as foreign
currency-denominated debt, to hedge foreign currency exposure to net investments in foreign operations.
The companies recognize all derivative instruments as an asset or a liability at fair value as at the date on
which they become party to the relevant agreement. Subsequent to initial recognition, derivative
instruments are measured at fair value with any changes in fair value accounted for as follows:
Hedging relationships affected by interest rate benchmark reform
The Companies had applied the “Interest Rate Benchmark Reform (Revisions to IFRS 9, IAS 39
and IFRS 7)” announced in September 2019, and had directly affected the impact of the Interest
Rate Benchmark Reform. Exceptions to hedge accounting had been applied to the hedging
relationships received.
Until the suspension of publication of interest rate benchmarks during FY March 2024, thefollowing measures had been taken as in all consolidated fiscal years, however the application of
the exception had been terminated because there was no longer any uncertainty.
Interest rate benchmark reform – Phase 1
The companies had applied “Interest rate benchmark (Amendments to IFRS 9, IAS 39 and IFRS
7)” issued in September 2019 on April 1, 2020 and had applied the following exceptions to certain
hedge accounting requirements for hedging relationships affected by interest rate benchmark
reform.
- For the purpose of evaluating whether there had been an economic relationship between thehedged item and the hedging instrument, the companies assume that the benchmark interest
rate had been not altered as a result of interest rate benchmark reform.
- For a cash flow hedge of a forecast transaction designated as a hedged item, the companies had
assumed that the benchmark interest rate would not be altered as a result of interest ratebenchmark reform for the purpose of assessing whether the occurrence of the forecast
transaction is highly probable.
- When determining whether a previously designated forecast transaction in a discontinued cash
flow hedge had been still expected to occur, the companies had assumed that the interest ratebenchmark cash flows designated as a hedge will not be altered as a result of interest ratebenchmark reform.

・The companies would have ceased to apply the exceptions above for assessing the economic
relationship between the hedged item and the hedging instrument when the uncertainty arising frominterest rate benchmark reform is no longer present with respect to the timing and the amount of theinterest rate benchmark-based cash flows of the hedged item or hedging instrument, or when thehedging relationship is discontinued. For highly probable assessment of forecast transaction designatedas a hedged item, the companies will cease to apply the exceptions above when the uncertainty arisingfrom interest rate benchmark reform about the timing and the amount of the interest rate benchmarkbased future cash flows of the hedged item is no longer present, or when the hedging relationship is
discontinued.
Interest rate benchmark reform – Phase 2
The companies had applied “Interest rate benchmark reform – Phase 2 (Amendments to IFRS 9,
IAS 39, IFRS 7, IFRS 4 and IFRS 16)” issued in August 2020 on April 1, 2020 and had applied
the following exceptions to certain hedge accounting requirements for hedging relationships- 26 -

affected by interest rate benchmark reform.
- When the exceptions provided in “Interest rate benchmark reform – Phase 1” cease to apply,
the companies had amended a hedge designation to reflect the changes required by interest ratebenchmark reform and had continued the hedge accounting.
- When amending a hedged item designated in cash flow hedge, the companies had deemed thatthe amount accumulated in the balance in the cash flow hedges were based on the alternative
benchmark rate on which the hedged future cash flows were determined.
・ Fair value hedges
Derivative instruments held for the purpose of eliminating the risk of changes in the fair value ofhedged items are designated as fair value hedges and subject to the assessment of hedge
effectiveness. To the extent that they satisfy the requirements for hedge accounting, the companies
include the gain or loss on the hedged items in the same line item as the offsetting loss or gain on thederivative instruments designated as hedging instruments mainly as interest expense.
・ Cash flow hedges
Derivative instruments held for the purpose of offsetting the variability in cash flows of the hedged
items are designated as cash flow hedges. To the extent that they are effective, any changes in fairvalue are recognized in other comprehensive income until cash flows of the hedged item affect gainor loss. The amounts previously recognized in other comprehensive income are reclassified into
profit for the year mainly as revenue, cost, interest expense and other income (expense)-net whenearnings are affected by the hedged items.
・ Hedges of net investments in foreign operations
Foreign currency transaction gain or loss on derivative instruments and non-derivative financial
instruments that are designated as hedging instruments and deemed effective to reduce the foreign
currency exposure of a net investment in a foreign operation are recorded as foreign currencytranslation adjustments within other comprehensive income to the extent they are effective as ahedge. The amounts in other components of equity are reclassified into profit for the year mainly as
gain (loss) on securities and other investments-net when the related investment is sold completely or
partially, or the liquidation of the investment is completed. The ineffective portion of the hedging
instruments’ gain or loss and the component of the derivative instruments’ gain or loss excluded fromthe assessment of hedge effectiveness are recorded immediately in profit for the year mainly as otherincome (expenses)-net.
・ Derivative instruments for trading purposes
The Company and certain subsidiaries use derivative instruments for trading purposes within certain
position and loss limits. Derivative instruments for trading purposes are measured at fair value andchanges in fair value are recorded in profit for the year as other revenue.
Offsetting financial assets and financial liabilities
Financial assets and financial liabilities are offset and the net amount is presented in the consolidated
statements of financial position when, and only when, the companies currently have a legally enforceable
right to set off the recognized amounts and intend either to settle on a net basis, or to realize the asset andsettle the liability simultaneously.
Leasing
The companies are engaged in finance and operating lease businesses. Leases are classified as financeleases whenever they transfer substantially all the risks and rewards of ownership to the lessee. Leases
other than finance leases are classified as operating leases. For finance leases, unearned income is- 27 -

amortized to income over the lease term at a constant periodic rate of return on the net investment.
Operating lease income is recognized as revenue over the term of underlying leases using the straight-line
method.
The companies are also lessees of various assets. If a contract is, or contains, a lease, leases are recognized
as a lease liability and a corresponding right-of-use asset at the date at which the asset is available for use
by the companies. Each lease payment is allocated between the liability and finance cost. The finance costis charged to interest expense over the lease term at a constant rate of interest on the remaining balance ofthe liability for each period. The right-of-use asset is depreciated over the shorter of the asset’s useful life
and the lease term on a straight-line basis. Lease term includes periods of an option to extend the lease if
the lessee is reasonably certain to exercise that option and an option to terminate the lease if the lessee isreasonably certain not to exercise that option. Note that short-term leases and leases for which theunderlying asset is of low value apply exemption rules of the standards, and recognize the lease payments
associated with those leases as an expense mainly on straight-line basis over the lease term.
Property, plant and equipment
Property, plant and equipment are measured based on the cost model and are stated at cost less accumulated
depreciation and impairment losses.
Depreciation of property, plant and equipment, except for land and projects in progress, is computed
principally under the straight-line method, using rates based on the estimated useful lives of the related
assets. The estimated useful lives for buildings and vessels and aircrafts are primarily 2 to 50 years and 3 to
20 years, respectively. Equipment and fixtures are primarily depreciated using the straight-line method (theestimated useful lives are primarily 3 to 30 years) or the unit-of-production method. Mineral rights areprimarily amortized using the unit-of-production method.
Investment property
Investment property is measured by using the cost model and is stated at cost less accumulated depreciationand impairment losses. Depreciation of investment property is computed principally under the straight-line
method, using rates based upon the estimated useful lives of the related investment property. The estimateduseful lives for investment properties are primarily 2 to 50 years.
Intangible assets
Intangible assets include goodwill arising from the acquisition of subsidiaries.
Intangible assets are measured based on the cost model and intangible assets with finite estimated useful
lives are stated at cost less accumulated amortization and impairment losses. Goodwill and intangible assets
with indefinite estimated useful lives are not amortized and are presented at cost less accumulated
impairment losses.
Software is primarily amortized over 5 years using the straight-line method.
Impairment and its reversal of non-financial assets and investments accounted for using the equity
methodNon-financial assets and investments accounted for using the equity method are quarterly assessed todetermine whether there is any indication of impairment. If any such indication exists, the recoverable
amounts of the non-financial asset and investment are estimated. Goodwill and intangible assets withindefinite useful lives are tested for impairment annually. For investments accounted for using the equity
method, the entire carrying amount of the investment is tested for impairment as a single asset.
- 28 -

The recoverable amount of an asset or a cash-generating unit (“CGU”) is the higher of its fair value lesscosts of disposal and its value in use and is determined as an individual asset, when the asset generates cash
inflows that are largely independent of those from other assets or groups of assets.
If the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired
and the carrying amount is written down to its recoverable amount. The impairment loss is then recognizedin loss for the year. For assets other than goodwill, an assessment is made quarterly as to whether there is
any indication of impairment that previously recognized impairment losses may no longer exist or may
have decreased. A previously recognized impairment loss is reversed as income in profit for the year. The
amount is reversed to the extent that the increased carrying amount of an asset does not exceed the carrying
amount that would have been determined (net of amortization or depreciation) had no impairment loss beenrecognized for the asset in prior years only if there has been a change in the assumptions used to determine
the recoverable amount of the asset since the last impairment loss was recognized. An impairment loss
recognized for goodwill is not reversed.
Oil and gas producing activities
Oil and gas exploration and development costs are accounted for using the successful efforts method of
accounting. The costs of acquiring properties, costs of drilling and equipping exploratory wells, and costsof development wells and related plant and equipment are capitalized, and amortized using the unit-ofproduction method. Exploratory well costs are expensed if economically recoverable reserves are notfound. Other exploration costs, such as geological and geophysical costs, are expensed as incurred.
Proved properties are reviewed for impairment whenever events or changes in circumstances indicate thatthe carrying value may not be recoverable. If the proved properties are determined to be impaired, an
impairment loss is recognized based on the recoverable amount. Unproved properties are assessed
whenever there is an indication of impairment, and if the unproved properties are determined to be
impaired, impairment losses are charged to expense. The companies make a comprehensive evaluation andrecord impairment of unproved property based on various factors, such as remaining mining rights periods,
examples of sales and purchases in neighboring areas, drilling results and seismic interpretations.
Mining operations
Mining exploration costs are expensed as incurred until the mining project has been established ascommercially viable by a final feasibility study. Once established as commercially viable, costs arecapitalized as development costs and are amortized using either the unit-of-production method or straightline method based on the proven and probable reserves.
In surface mining operations, it is necessary to remove overburden and other waste materials to accessmineral deposits. The costs of removing waste materials are referred to as “stripping costs”. During thedevelopment of a mine, before production commences, such costs are generally capitalized as part ofdevelopment costs. Removal of waste materials continues during the production stage of the mine. Such
post-production stripping costs in relation to minerals produced during the fiscal year are variable
production costs to be considered as a component of mineral inventory costs. These are recognized as acomponent of costs in the same period as the related revenues from sales of the minerals. In contrast, postproduction stripping costs incurred that relate to minerals to be produced in the subsequent fiscal year are
capitalized, and are amortized using either the unit-of-production method or straight-line method based on
the proved and probable reserves.
Provisions
Provisions are recognized when the companies have a present obligation (legal or constructive) as a resultof a past event, it is probable that outflows of resources embodying economic benefits will be required to- 29 -

settle the obligation, and reliable estimates of the amount of the obligations can be made. Provisions aremeasured as the best estimate of the amount of expenditure required to settle the present obligation at theend of the reporting period. If the effect of the time value of money is material, provisions are discounted totheir present value using a pretax rate that reflects current market assessments of the time value of money
and the risks specific to the liability. The unwinding of the discount is recognized as finance costs.
Asset retirement obligations
The companies recognize costs of dismantling and removing assets mainly related to mining and oil andgas production facilities, and the companies record the provision for an asset retirement obligation in the
period in which it is incurred. When the liability is initially recorded, the companies capitalize the related
cost by increasing the carrying amount of the asset. Over time, the liability is increased to its present value
to reflect the passage of time, and the capitalized cost is depreciated over the useful life of the related
asset.
Employee benefits
The Company and certain subsidiaries have defined benefit pension plans and severance indemnity plans.
The costs of defined benefit pension plans and severance indemnity plans are accrued based on amounts
determined using actuarial procedures based on the projected unit credit method. The Company and certain
subsidiaries recognize the overfunded or underfunded status of a defined benefit plan as an asset or aliability in the consolidated statements of financial position. The remeasurements of defined benefit
pension plans are recognized immediately in other components of equity in equity and are transferred toretained earnings on recognition.
The Company and certain subsidiaries also have defined contribution pension plans. Payments to defined
contribution pension plans are recognized as an expense when employees have rendered service.
Revenue recognition
Revenue is recognized as follows:
Revenue from contracts with customers
Revenue from contracts with customers is recognized at the time when the performance obligations are
satisfied based on the 5 step approach (1. Identifying the contract with a customer, 2. Identifying theperformance obligations of the contract, 3. Determining the transaction price, 4. Allocating thetransaction price to performance obligations in the contract and 5. Recognizing the revenue when theentity satisfies a performance obligation). Upon identifying the performance obligations of the contract, aconsideration of whether an entity is a principal or an agent is made. If the nature of the entity’s promise
is a performance obligation to provide the specified goods or services as a principal, revenue isrecognized at the gross amount. If the nature of the entity’s promise is a performance obligation toarrange for the provision of goods or services by another party, revenues received as an agent isrecognized at the amount of any fee or commission to which it expects to be entitled or as a net amount.
Revenue is recognized when (or as) the companies satisfy a performance obligation by transferring apromised good or service (i.e. an asset) to a customer when (or as) the customer obtains control of that
asset. The time when the customer obtains control of that asset is determined based on the ability to direct
the use of and obtain substantially all of the remaining benefits from the asset.
The companies’ main performance obligation is the sale of various products; the sale of a wide variety of
manufactured products such as metals, chemicals, foods, and general consumer merchandise; the sales ofmetallurgical coal, iron ore, oil, and gas; and the development and sale of real estate. The companies
recognize revenue based on the transfer, acceptance by the customer, or the dispatch of goods for- 30 -

domestic transactions, and recognize revenue based on the transfer of the risks and costs, which isdetermined by the incoterms, for international transactions. In case that the performance obligation isrendering of services such as logistic and warehouse, information and communication, technical support,
and arrangements related to the order, financing or delivery for commissions, revenue is recognized at thetime when the completion of services or the elapse of period for rendering services. In regard todetermining the time when the customer obtains control of that asset, the verified right to receive theconsideration, the legal title, the physical possession, the significant risk and rewards, and the acceptance
are assessed.
The consideration is normally received within a year and performance obligation do not include asignificant financing component.
For transactions where the performance obligation is satisfied over time, and only if its progress towards
complete satisfaction of the performance obligation can be reasonably measured, revenue is recognizedby measuring the progress towards the completion of the satisfaction of the performance obligation. Even
if the progress towards complete satisfaction of a performance obligation may not be reasonably
measurable, if the costs incurred in satisfying the performance obligation are expected to be recovered,revenue is recognized only to the extent of the costs incurred until the progress can be reasonably
measured.
Other revenue
Other revenue principally includes revenues from leasing activities in real estate, rolling stock, oceantransport vessels, aircraft, equipment and others; revenues from derivative commodity instruments andderivative financial instruments held for trading purposes; revenues from FVTPL investments; andrevenues from financing. See accounting policies for Leasing and Derivative instruments and hedging
activities for revenue recognition policies regarding leasing and derivative transactions, respectively.
Income taxes
Income taxes comprise current taxes and deferred taxes. Deferred income taxes reflect the impact of
temporary differences between assets and liabilities recognized for financial reporting purposes and theirtax bases, tax loss carryforwards and tax credit carryforwards. These deferred income taxes are measured
using the currently enacted or substantively enacted tax rates in effect for the year in which the temporary
differences, tax loss carryforwards or tax credit carryforwards are expected to reverse. Deferred tax assets
are recognized except for cases where such deferred tax assets are not deemed to be recoverable.
Deferred tax liabilities are recognized for taxable temporary differences arising from investments in
subsidiaries and equity accounted investees unless the companies are able to control the timing of thereversal of the temporary differences and it is probable that the temporary difference will not reverse in theforeseeable future. Deferred tax assets and liabilities are measured at the tax rates that are applicable to the
expected manner of recovery or settlement by management.
Upon the introduction of the Expansion of the Petroleum Resource Rent Tax Act in Australia, companies
are allowed to elect to use market value as a starting base for transitional projects existing at May 1, 2010.
A company electing to use the market value approach can obtain a deduction for the amortization of themarket value of the project. The Company’s Australian subsidiaries and equity accounted investees apply
the market value approach. The Petroleum Resource Rent Tax is regarded as an income tax subject to tax
effect accounting in accordance with IAS 12 “Income Taxes” and deferred tax assets have been recognized
for the operating assets based on the differences in book values for financial reporting purposes and theirtax bases except for the portion that is deemed not to be recoverable. In determining recoverability, several
tax deductible items such as royalties and the impact of future augmentation, which will be incurred on tax
losses carried forward in the Petroleum Resource Rent Tax, have been considered.

- 31 -

The companies recognize uncertain tax positions in income taxes in the consolidated financial statements if
it is not probable that the taxation authority will accept an uncertain tax treatment.
Earnings per share
Basic earnings per share attributable to owners of the parent are computed by dividing profit for the year
attributable to owners of the parent by the weighted-average number of common stock outstanding during
the reporting period, adjusted for the number of treasury stock acquired. Diluted earnings per share
attributable to owners of the parent reflects the potential dilution that could occur if securities or othercontracts to issue common stock were exercised or converted into common stock.
Changes in Accounting Policies
The companies applied the following new standards for the consolidated financial statements from April 1,
2023. Impacts from the application of these standards on the consolidated financial statements are immaterial.

IFRS

Title

IFRS 17

Insurance Contracts

IAS 12

Income Taxes(amended in May 2021)

IAS 12

Income Taxes(amended in May 2023)

Summaries
Fundamental amendment of accounting for insurance
contracts
Clarification of accounting treatment for deferred tax
related to assets and liabilities arising from a single
transaction
Accounting treatment and disclosures about income taxes
arising from tax law enacted to implement the Pillar Twomodel rules published by the OECD.

For the year ended March 31, 2024, the companies have retrospectively applied the temporary exception torecognizing and disclosing information about deferred tax assets and liabilities related to Pillar Two income
taxes in accordance with IAS12 “Income taxes” amended in May 2023.
Changes in Presentation“Income tax receivables”, which was included in “Other current assets” within “Current assets” for the year
ended March 31, 2023 is separately presented from the year ended March 31, 2024, from the perspective ofmateriality.
Accounting Estimates
The following is a list of items for which the amount was recorded in the consolidated financial statements
for FY March 2024 based on the accounting estimates, and which may have a material impact on the
consolidated financial statements for the next fiscal year.
The Russia-Ukraine situation and the resulting sanctions against Russia have a global impact and may
affect various business fields in which we operate. However, the extent of the impact varies amongproducts, businesses, and locations. Therefore, the estimates are determined based on each situation.
1.

Impairment and its reversal of non-financial Assets and Investments in Equity Accounted investee(1) Amount recorded on the consolidated statements of financial position
Property, plant and equipment
2,401,492 million yen
Investment property
282,253 million yen
Intangible assets
458,246 million yen- 32 -

Investments accounted for using the equity method

4,869,969 million yen(2) Other information
The Company and its subsidiaries perform impairment tests for non-financial assets (property, plantand equipment, investment property and intangible assets) and investments accounted for using theequity method as described in “3. Summary of Significant Accounting Policies”. In addition, theCompany and its consolidated subsidiaries perform an impairment’s reversal test, except for
goodwill.
Of the recoverable amount, the fair value is assessed as the price in an orderly transaction between
market participants, such as the market price of marketable investments in equity accounted
investees and the price on the appraisal report by the independent third party. The value in use isestimated using cash flow projections and discount rates based on the business plan authorized bymanagement or the operating plan reflecting the most recent condition of the non-financial asset, if
the business plan is not available. A profit margin which is deemed to be the market average and therisks inherent in the non-financial assets or cash-generation units is used as discount rate to calculate
value in use.
The factors to be considered when estimating future cash flow and determining discount rates varybecause of the difference in nature of the assets and in operating circumstances, such as location,
owner, operator, profitability and other factors.
For example, with respect to non-financial assets or cash-generating units related to resource
businesses such as crude oil, future cash flows are estimated using the oil price and the Company
forecasts that Brent Crude price will decrease from the recent US$85/bbl to US$80/bbl in the shortterm and remain at US$80/bbl after then, considering the recent market price and several third parties’
forecasts.
These estimates may be affected by uncertain future operating circumstances and changes in theexternal environment, and if actual cash flows differ from the estimates or the discount rate is revised,
it may have a material impact on the amount of recoverable amount in the consolidated financial
statements for the next fiscal year.
2.

Revaluation of financial instruments(1) Amount recorded on the consolidated statements of financial position
Trade and other receivables (Current)
2,216,735 million yen
Trade and other receivables (Non-current)
286,565 million yen
Other investments
2,319,900 million yen(2) Other information
Trade and other receivables
The Company and its subsidiaries measure the loss allowance for trade and other receivables as
described in “3. Summary of Significant Accounting Policies”.
The Estimates in measuring the loss allowance may be affected by future changes in credit risk andother factors. If the expected credit losses are revised due to existence of significant increase incredit risk and credit impairment, the amount of the loss allowance may be materially affected in
the consolidated financial statements for the next fiscal year.
Other investments
The Company and its subsidiaries measure other investments at fair value other than financial
assets measured at amortized cost as described in “3. Summary of Significant Accounting Policies”.
Other investments include non-marketable other investments measured at fair value principallyusing the discounted cash flow method, the market comparison approach and other appropriate
valuation techniques considering various assumptions, including expected future cash flows anddiscount rates reflecting the related risk of the investee. They are classified as level 3 considering
the degree to which these inputs are observable in the relevant markets.
Cash flow projections used in the discounted cash flow method are based on the business planauthorized by investee’s management, and a profit margin which is deemed to be the market
average and the risks inherent in the investment is used as discount rate to calculate fair value.
The fair value of non-marketable investment in the LNG project as of March 31, 2024 included in- 33 -

other investments was 224,930 million yen, and the significant unobservable inputs used inmeasuring the fair value was the price of crude oil.
The Company forecasts that Brent Crude price will decrease from the recent US$85/bbl to
US$80/bbl in the short term and remain at US$80/bbl after then, considering the recent market
price and several third parties’ forecasts.
Regarding the Russian LNG business, please refer to the Note of Other matters “Impact of theRussia-Ukraine situation on the Russian LNG business”.
These estimates may be affected by uncertain future operating circumstances and changes in theexternal environment, and if actual cash flows differ from the estimates or the discount rate isrevised, it may have a material impact on the amount of fair value in the consolidated financial
statements for the next fiscal year.
3.

Provisions(1) Amount recorded on the consolidated statements of financial position
Provisions (Current)
123,830 million yen
Provisions (Non-current)
261,593 million yen(2) Other information
The Company and its subsidiaries record an asset retirement obligation for costs of dismantling
and removing assets mainly related to mining and oil and gas production facilities as provisions as
described in “3. Summary of Significant Accounting Policies”.
The estimates of an asset retirement obligation may be affected by uncertain future operating
circumstances and changes in the external environment, and if costs of dismantling and removing
assets is revised, it may have a material impact on the amount of an asset retirement obligation in
the consolidated financial statements for the next fiscal year.

4.

Measurement of defined benefit obligations(1) Amount recorded on the consolidated statements of financial position
Retirement benefit liabilities
43,936 million yen(2) Other information
The Company and certain subsidiaries record the difference between the defined benefit obligation
related to defined benefit pension plans and severance indemnity plans and the fair value of plan
assets as retirement benefit liabilities as described in “3. Summary of Significant Accounting
Policies”.
The estimates of defined benefit obligation are based on actuarial various assumptions such as
discount rate. The discount rate used by the companies is determined based on the yield on highly
rated fixed-rate corporate bonds at the measurement date. Differences in actual results or revisions
to these actuarial assumptions may have a material impact on the amount of defined benefit
obligation in the consolidated financial statements for the next fiscal year.

5.

Recoverability of deferred tax assets(1) Amount recorded on the consolidated statements of financial position
Deferred tax assets
108,095 million yen(2) Other information
The Company and its subsidiaries determine the recoverability of deferred tax assets as describedin “3. Summary of Significant Accounting Policies”.
The amount of recoverable deferred tax assets is estimated based on all available evidence
including the timing when the temporary differences, tax loss carryforwards or tax credit
carryforwards are expected to reverse and the forecast of future taxable incomes of the Company
and its subsidiaries. The future taxable income is estimated mainly based on expected resource
prices, reserve estimation by external institutions and long-term sales agreements.

- 34 -

The estimates of recoverability of deferred tax assets may be affected by uncertain future economic
conditions and other factors, and if the forecast of future taxable incomes is revised or statutory tax
rates are changed, it may have a material impact on the amount of deferred tax assets in the
consolidated financial statements for the next fiscal year.
6.

Impact of climate change
The business of the Company and its consolidated subsidiaries that is affected by climate change and ofwhich related assets and liabilities are material is the business in the Energy segment. The assets andliabilities may be affected by future situations.
The material accounting estimates and judgments at the end of FY March 2024 are as follows.
The Energy segment consists mainly of oil and gas development businesses and LNG businesses. If thedemand for oil and gas and LNG were to decline due to further restrictions and tighter regulations as
the global trend toward low-carbon and decarbonization intensifies, it may lead to impairment ofproperty, plant, and equipment, a decrease in the investment of the equity accounted investee, and adecrease in the fair value of other investments in existing projects. These valuations are primarily
affected by the price of crude oil, and the assumptions are estimated by considering the recent market
price and the medium- to long-term outlook published by several third-party organizations. Of the thirdparty organizations, the Company focus on STEPS (Stated Policies Scenario) among scenarios
published by the IEA, but we also refer to other scenarios.
The main assets and liabilities in the energy segment recorded in the consolidated statements of financial
position as of the end of FY March 2024 are as follows.
Property, plant and equipment
Investments accounted for using the equity method
Other investments
Provisions (Non-current)

778,685 million yen
650,685 million yen
272,963 million yen
142,032 million yen

The accounting estimates in the consolidated financial statements are made by taking into consideration
the specific circumstances of each business in a comprehensive manner and are not determined solely
based on scenario analysis related to climate change for measurement of assets and liabilities.
Changes in Accounting Estimates
The material changes in accounting estimates in the Consolidated Financial Statements are as follows.
Impairment Losses for the Passenger Railway Business in Brazil
An impairment loss of 19,505 million yen in the Machinery & Infrastructure segment engaged in thepassenger railway business in Brazil was recorded in “Impairment reversal (loss) of fixed assets – net” in the
consolidated statements of income by reducing the carrying amount of intangible assets to the recoverable
amount of 27,423 million yen. The impairment loss was mainly due to a decrease in revenue and a valuation
using the probability-weighted average of future cash flows.
Impairment Losses for the Oil Development Business
Mitsui E&P Italia, a subsidiary in the Energy segment engaged in the onshore oil development in the
Basilicata region in Italy, recognized an impairment loss of 23,593 million yen in “Impairment reversal (loss)of fixed assets - net” in the consolidated statements of income by reducing the carrying amount of the
production equipment and others to the recoverable amount of 170,391 million yen. The impairment loss was
mainly due to a decrease in the recoverable reserves. The recoverable amount above represented the value in
use. The discount rate used to calculate the value in use is deemed to reflect the market average profit margin
and the risks inherent to the cash-generating unit.
Asset Retirement Obligations of Oil and Gas Projects
Several subsidiaries in the Energy segment, have respectively changed their estimates of the asset retirement
obligations for the decommissioning costs associated with the oil and gas projects. The decrease of 45,636- 35 -

million yen in asset retirement obligations due to these changes in estimate has been recorded in “Other
income (expense) - net” in the consolidated statements of income because the depreciation of the relevant
fixed assets has been completed.
Other changes in accounting estimates are described in the Note of Financial Instruments and Other matters“Impact of the Russia-Ukraine situation on the Russian LNG business”.
Notes to Consolidated Statements of Financial Position
1. Pledged assets and related liabilities(1) Assets pledged as collateral
923,740 million yen
The following assets are pledged as collateral for certain short-term debt, long-term debt, and guaranteeof contracts, etc.:
Cash and deposits

358,662 million yen

Trade and other receivables(current and non-current)

12,723 million yen

Investments

491,400 million yen

Property, plant and equipment 60,659 million yen(after deducting accumulated
depreciation and impairment losses)(2) Liabilities related to the assets pledged as collateral 90,080 million yen
2. Loss allowance for doubtful receivables directly deducted from trade and other receivables(current and non-current)
65,343 million yen(current)
17,326 million yen(non-current)
48,017 million yen
3. Accumulated depreciation and impairment losses of property, plant and equipment 2,981,908 million yen
4. Accumulated depreciation and impairment losses of investment property

94,225 million yen

5. Accumulated amortization and impairment losses of intangible assets

356,278 million yen

6. Contingent liabilities(Guarantees)
The table below summarizes the maximum potential amount of future payments of the companies’
guarantees as of March 31, 2024.
Financial Guarantees

1,126,225 million yen

Performance Guarantees

84,294 million yen

The maximum potential amounts of future payments of the companies’ guarantees bear no relationship tothe anticipated losses on these guarantees and indemnifications, and, in the aggregate, they greatly exceed
anticipated losses.
The companies evaluate risks involved for each guarantee through an internal screening procedure before
issuing a guarantee and regularly monitor outstanding positions and record adequate allowance to coverlosses expected from probable performance under these agreements. Reference for guarantee of the Russian
LNG business is made to “Impact of the Russia-Ukraine situation on the Russian LNG business” in othermatters.

- 36 -

Notes to Consolidated Statements of Changes in Equity
1. Number of common stock issued as of March 31, 2024
1,513,589,168 shares
16,239,125 shares of the Company’s treasury stock (including shares held by associated companies) are
included in the number of common stock issued, of which 7,250,650 shares are in regard to a share-based
compensation plan for employees.
2. Dividends from capital surplus and/or retained earnings(1) Amount of dividends paid
Resolution

Total amount ofdividends(Mn JPY)

Dividends per
share
(Yen)

Record date

Effective dateOrdinary general meeting ofshareholders held on June 21, 2023

114,607

75

March 31, 2023

June 22, 2023

Board of Directors’ meeting heldon October 31, 2023

128,665

85

September 30, 2023

December 4, 2023

282 million yen and 622 million yen dividends on shares in regard to a share-based compensation planfor employees are included in the total amount of dividends based on the resolution of the ordinary
general meeting of shareholders held on June 21, 2023 and the meeting of the Board of Directors heldon October 31, 2023.
(2) Dividends whose record date is in FY March 2024 but whose effective date is in the following fiscal
year.
The following resolution on dividends on common stock has been proposed on the agenda of the ordinary
general meeting of shareholders to be held on June 19, 2024.
① Total amount of dividends
127,894 million yen② Dividends per share
85 yen③ Record date
March 31, 2024
④ Effective dateJune 20, 2024
The dividends will be paid from retained earnings.
616 million yen dividends on shares in regard to a share-based compensation plan for employees areincluded in the total amount of dividends above.
3. The type and number of shares to be issued upon the exercise of stock acquisition rights as of March 31,
2024 (except for those shares whose first date of exercise period has not passed).
358,400 shares
Note: On May 1, 2024, the Board of Directors resolved to conduct a share split, which is scheduled to takeeffect on July 1, 2024. Each share of common stock will be split into two shares. The number of common
stock above and dividend per share are calculated based on the number of shares before the share split.
Financial Instruments
1. General information
The companies’ basic funding policy is to secure liquidity required for their smooth operations and tomaintain the strength and soundness of the statement of financial position. In order to achieve theirobjectives, the principal strategy is to obtain long-term funds from financial institutions and through theissuance of corporate bonds. In addition, the companies hold sufficient cash and highly-liquid short-term
financial instruments in order to maintain liquidity to flexibly meet capital requirements and to minimize
the harmful effect of the deteriorated financial market on future debt-service requirements.
Credit risk associated with notes and accounts receivable is managed through approvals of credit lines bymanagement and monitoring counterparty’s operations continuously.

- 37 -

Other investments mainly consisting of financial assets measured at FVTOCI and FVTPL are measured atfair value on a quarterly basis.
The companies are exposed to market risks related to foreign currency exchange rates, interest rates andcommodity prices in the ordinary course of business. In order to offset or reduce these risks, the companies
use various derivative instruments.
The companies have strictly separated the trading sections from the sections that record the results andpositions of derivative instruments. Executive officers in charge of risk management assess derivative
instruments and the market risks surrounding these instruments, and establish the companies’ risk
management policy, based on comprehensive evaluation and analysis periodically reported fromindependent risk management sections.
2. Fair value of financial instruments
The following table presents the carrying amount and fair value of financial instruments included within
the Consolidated Statement of Financial Position as of March 31, 2024. The fair values of current financial
assets and current financial liabilities are not disclosed because the carrying amounts approximate fairvalues.
Mn JPY
March 31, 2024
Carrying
amountFair value

Difference

Financial Assets
Non-current assets
Other investments
2,319,900
2,319,827(73)
Trade and other receivables and Other
497,359
497,330(29)
financial assets (Note)
Financial Liabilities
Non-current liabilities
Long-term debts, less current portion
4,150,926
4,212,609
61,683and Other financial liabilities (Note)(Note) Derivative assets and derivative liabilities are included in current and non-current Other financial
assets and Other financial liabilities, respectively. These are measured at fair value and their carrying
amounts are 556,487 million yen and 587,188 million yen, respectively.
3. Breakdown of Fair value level of financial instruments
IFRS 13 “Fair Value Measurement” defines fair value as the price that would be received to sell an asset
or paid to transfer a liability in an orderly transaction between market participants at the measurement date.
IFRS 13 establishes the fair value hierarchy that may be used to measure fair value, which is provided asfollows. The companies recognize transfers of assets or liabilities between levels of the fair value hierarchy
as of the end of each reporting period when the transfers occur.
Level 1:
Quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2:
Inputs other than quoted prices included within level 1 that are observable for the assets or liabilities, either
directly or indirectly. level 2 inputs include the following:- Quoted prices for similar assets or liabilities in active markets- Quoted prices for identical or similar assets or liabilities in markets that are not active- Inputs other than quoted prices that are observable for the assets or liabilities- Inputs that are derived principally from or corroborated by observable market data by correlation orother means
Level 3:
Unobservable inputs for the assets or liabilities.
- 38 -

(1) Fair value of financial instruments① Valuation techniques
Primary valuation techniques used for each financial instrument measured at fair value are as
follows:
Other financial assets
・ Other financial assets other than measured at amortized cost are measured at fair value.
・ Other financial assets other than measured at amortized cost are measured at fair value
principally using the discounted cash flow method and other appropriate valuation techniques
considering various assumptions, including expected future cash flows and discount rates
reflecting the related of the customer. The degree to which these inputs are observable in therelevant markets determines whether the investment is classified as level 3.
Other investments
・ Other investments other than measured at amortized cost are measured at fair value.
・ Publicly traded other investments are measured using the quoted market prices and classified
as level 1.
・ Non-marketable other investments are measured at fair value principally using the discounted
cash flow method, the market comparison approach and other appropriate valuation techniques
considering various assumptions, including expected future cash flows and discount rates
reflecting the related risks of the investee. They are classified as level 3, considering the degree
to which these inputs are observable in the relevant markets.
Derivative instruments
・ Derivative instruments mainly consist of derivative commodity instruments and derivative
financial instruments.
・ Exchange-traded derivative commodity instruments measured using quoted market prices inan active market are classified as level 1. Certain derivative commodity instruments measured
using observable inputs of the quoted prices obtained from markets, financial information
providers, and brokers, are classified as level 2. Also, the derivative commodity instruments
measured using unobservable inputs are classified as level 3.
・ Derivative financial instruments are mainly measured by discounted cash flow analysis using
foreign exchange and interest rates or quoted prices currently available for similar types ofagreements and are classified as level 2.
② Valuation process
The valuation process involved in level 3 measurements for each applicable asset and liability isgoverned by the model validation policy and related procedures pre-approved by appropriate
personnel. Based on the policy and procedures, the personnel determine the valuation model to be
utilized to measure each asset and liability at fair value. The Company engages independent
external experts of valuation to assist in the valuation process for certain assets over a specificamount, and their results of valuations are reviewed by the responsible personnel of the Company.
All of the valuations, including those performed by the external experts, are reviewed and approvedby the responsible personnel of the Company.
③ Information by fair value hierarchy
No assets or liabilities were transferred between level 1 and 2 for the year ended March 31, 2024.

- 39 -

Mn JPY
March 31, 2024

Fair value measurements using
Level 1

Assets:Other financial assets(Current):
Financial assets
measured at FVTPL
Total Other financial
assets (Current)
Other investments:
Financial assets
measured at FVTPL
Financial assets
measured at FVTOCI
Total other investments
Derivative assets:
Foreign exchange
contracts
Interest rate
contracts
Commodity
contracts
OthersTotal derivative assets
Liabilities (Note 2):
Derivative liabilities:
Foreign exchange
contracts
Interest rate contracts
Commodity
contracts
OthersTotal derivative
liabilities

Note 1

Note 2

Level 2

Level 3

Netting
adjustments(Note 1)

Total fairvalue

92,404

92,404

92,404

92,404

7,132

432,995

440,127

1,158,206

711,129

1,869,335

1,165,338

1,144,124–

2,309,462(1,049,948)

556,487(1,086,531)

587,188229,883
27,90358,3001,267,632

5,324

58,3001,525,418

17,39322,717333,022
34,573
95,7401,203,065

1,173
6,146

95,7401,570,660

7,319

Amounts of netting adjustments include the net amount when, and only when, thecompanies currently have a legally enforceable right to set off the recognized amounts,
and intend either to settle on a net basis or to realize the asset and settle the liability
simultaneously.
The amounts of financial liabilities measured at FVTPL were immaterial.

- 40 -

④ Reconciliation of assets measured at fair value on a recurring basis using significant unobservable
inputs (Level 3)
The reconciliation of financial assets measured at FVTPL for the year ended March 31, 2024 wereas follows:
Mn JPY
March 31, 2024
Balance at beginning of period
Gains (losses)
Purchases
Sales/Redemptions
Transfers into Level 3
Transfers out of Level 3 (Note 1)
Others (Note 2)
Balance at end of period

340,625
25,94260,211(9,635)–(1,800)110,056
525,399

Net change in unrealized gains (losses) still held at end of
period26,275Note 1
Note 2“Transfers out of Level 3” is due to the transfer into Level 1 as the initial public
offering of the shares.
“Others” includes the effect of changes in foreign exchange rates (including in theforeign currency translation adjustments), in scope of consolidation and others,
besides the effect of recognition of financial assets related to LNG project.

Gains (losses) related to financial assets measured at FVTPL were mainly included in “Revenue”
and “Gain (loss) on securities and other investments-net” in the Consolidated Statements of Income.
The reconciliation of financial assets measured at FVTOCI for the year ended March 31, 2024 wereas follows:
Mn JPY
March 31, 2024
Balance at beginning of period
Other comprehensive income (Note 1)
Purchases
Sales
Redemptions (Note 2)
Transfers into Level 3
Transfers out of Level 3 (Note 3)
Others (Note 4)
Balance at end of period
Note 1

Note 2

634,342
86,16427,098(11,428)(33,733)
–
(575)
9,261
711,129“Other comprehensive income” for the year ended March 31, 2024 increased mainly
due to increase of fair value in investment in LNG project reflecting the effect ofchange in foreign exchange rates, and the fair value in investment in the mineral &metal resources projects reflecting the rise in iron ore prices and the effect of change
in foreign exchange rates.
“Redemptions”, which was included in “Sales” for the fiscal year ended March 31,
2023, is separately presented for the fiscal year ended March 31, 2024 from the- 41 -

Note 3Note 4

perspective of materiality. “Sales” and “Redemptions” for the fiscal year ended March
31, 2023 were 25,215 million yen and 3,880 million yen, respectively.
“Transfers out of Level 3” is due to the transfer into Level 1 as the initial public
offering of the shares.
“Others” includes the effect of changes in scope of consolidation and others.

Other comprehensive income related to financial assets measured at FVTOCI was included in“Financial assets measured at FVTOCI” and “Foreign currency translation adjustment” in theConsolidated Statements of Comprehensive Income.
The reconciliation of derivative assets for the year ended March 31, 2024 were as follows:
Mn JPY
March 31, 2024
Balance at beginning of period
Gains (losses)
Other comprehensive income
Purchases
Set off
Transfers out of Level 3
Balance at end of period

38,104(20,443)
1,361
3,695
–
–
22,717

Net change in unrealized gains (losses) still held at end of
period(20,443)

The reconciliation of derivative liabilities for the year ended March 31, 2024 were as follows:
Mn JPY
March 31, 2024
Balance at beginning of period
Gains (losses)
Other comprehensive income
Purchases
Set off
Transfers out of Level 3
Balance at end of period

15,711(4,223)1,702
3,900(9,771)–
7,319

Net change in unrealized gains (losses) still held at end of
period(4,223)

Gains and losses of above table in relation to the derivative assets and liabilities for the year ended
March 31, 2024 have been recorded in “Revenue”, “Cost” and “Other income (expense) - net” in
the Consolidated Statements of Income. Other comprehensive income has been recorded in“Foreign currency translation adjustments” in the Consolidated Statements of Comprehensive
Income.

- 42 -

⑤ Quantitative information about Level 3 fair value measurements
Information about valuation techniques and significant unobservable inputs used for level 3 assets
measured at fair value on a recurring basis as of March 31, 2024 were as follows:
March 31, 2024

Valuation
Technique

Financial assets
measured at FVTPL
Financial assets
measured at
FVTOCI

Income approach

Principal
Unobservable
Input

Range

Discount rate

6.8%~33.0%

In addition to the above, the price of crude oil is one of the significant unobservable inputs usedin measuring the fair value of non-marketable equity securities related to LNG business. The
Company forecasts that Brent Crude price will decrease from the recent US$85/bbl to US$80/bbl
in the short term and remain at US$80/bbl after then, considering the recent market price andseveral third parties’ forecasts. Regarding the Russian LNG business, please refer to Other
matters “Impact of the Russia-Ukraine situation on the Russian LNG business”.
⑥ Information about sensitivity to changes in significant unobservable inputs
For recurring fair value measurements of financial assets measured at FVTOCI using the income
approach, increases (decreases) in discount rates would result in a lower (higher) fair value. For
securities related to LNG business, increase (decrease) in the price of crude oil would result in ahigher (lower) fair value.
(2) Financial assets and liabilities which are not measured by fair value
Financial assets and liabilities classified as non-current and are not measured by fair value were as
follows:
Mn JPY
March 31, 2024
Carrying
Fair
amountvalue
Financial Assets
Non-current assets
Other investments measured atamortized cost
Trade and other receivables (Note 1)
and Other financial assets (excluding
derivative assets) (Note 2)
Financial Liabilities
Non-current liabilities
Long-term debts (Note 1), less current
portion and Other financial liabilities(excluding derivative liabilities) (Note2)

10,43810,365363,485

363,456

3,962,267

4,023,950(Note 1) Trade and other receivables include loan receivable. Long-term debt includes borrowings andbonds payable. The fair values of non-current receivables with floating rates, including long-termloans receivable, and long-term debt with floating rates approximate their respective carrying amounts.
The fair values of non-current receivables with fixed rates and long-term debt with fixed rates are- 43 -

estimated by discounted cash flow analysis, using interest rates currently available for similar types ofloans, accounts receivable and borrowings with similar terms and remaining maturities.
(Note 2) The fair values of other financial assets and other financial liabilities (excluding derivative
assets and liabilities) approximate their respective carrying amounts.
The Company has presented the other financials assets and the other financial liabilities by excluding
the derivative assets and the derivative liabilities measured at fair value.
Non-current financial assets and liabilities (excluding derivative assets and liabilities) are classified as
Level 2 other than below as their fair values are measured using the discounted cash flow method
based on observable inputs including market interest rates.
Fair value
Valuation techniques and inputs

111,993 Millions of Yen
Their valuation is based on significant unobservable inputs
such as credit spreads, default probabilities, and estimated loss
rates on individual receivables using the discounted cash flow
method.

- 44 -

Notes to Investment Property
1. Status of investment property
The Company and certain subsidiaries own rental office buildings and rental commercial facilities inTokyo and other areas.
2. Fair value of investment property
The carrying amount of investment property as of March 31, 2024 was 282,253 million yen and fair valueof investment property was 676,182 million yen.
The carrying amount of investment property is measured at cost less any accumulated depreciation andaccumulated impairment losses. The fair value of investment property as of March 31, 2024 is based on avaluation conducted by independent valuation appraisers who have recent experience in the locations andcategories of the investment property being valued, and have the appropriate and recognized professional
qualifications (such as a registered appraiser). The valuation is based on inputs such as estimated rents anddiscount rates using primarily the income approach and conforms to the standards of the country where
the investment property is located.
Notes to Revenues
1. Disaggregation of revenue recognized from contracts with customers
Among “Revenue”, the disaggregation of revenue recognized from contracts with customers by businesssegment is as follows. The following business segment categories are same as in “Segment Information”.
“Segment Information” has been aggregated into reportable segments based on the similarities in thenature of the products and services, the production processes, the type of customer, the methods used for
distribution, and the regulatory environments surrounding their businesses, along with the similarities inthe economic characteristics based on the profitability indicators using gross profit, profit (loss) for theyear attributable to owners of the parent, etc.
Revenue other than revenue recognized from contracts with customers includes revenue related to leaseand financial instruments, etc.
(Unit: Mn JPY)
Mineral &Metal
resources
Revenuerecognizedfrom contracts
with customers

1,723,425

Energy1,019,492

Machinery&
Infrastructure

Chemicals

1,280,471

2,748,677

Iron &
Steel
products
678,680

Lifestyle2,415,116

Innovation &Corporate
development
195,811

All other

1,076

Total

10,062,748

2. Contract balances
The balances of receivables from contracts with customers and contract liabilities are as follows.
Balance atApril 1, 2023
Receivables from contracts with customers
Contract liabilities(Unit: Mn JPY)
Balance at
March 31, 2024

1,770,660

1,798,295

223,753

322,667

In the consolidated statements of financial position, receivables from contracts with customers are included
in “Trade and other receivables” and contract liabilities are included in “Advances from customers”.
Contract liabilities mainly consist of advances from customers prior to delivery in ships sales transactions.
If the time between transfer of goods or services to the customer and payment is within 1 year, the impact
of material financial factors is not adjusted. Of the revenue recognized in the year ended March 31, 2024,
the amount included in contract liabilities as of the beginning of the fiscal year is 117,248 million yen.

- 45 -

3. Transaction price allocated to the remaining performance obligations
The total transaction price allocated to the remaining performance obligations in FY March 2024 is 7,999.0
billion yen, these remaining performance obligations are expected to recognize revenue over a period of
16 years from the end of the fiscal year as the performance obligations are satisfied. Approximately 50%of the total transaction price allocated to the remaining performance obligations is expected to berecognized within 3 years. The contracts that have an original expected duration of one year or less, andthe contract that the companies recognize the revenue at the amount of consideration to which thecompanies have a right to invoice for the transactions which performance obligation satisfied over time,
are not included. In addition, there is no significant consideration from contracts with customers notincluded in the transaction price. If the price at the time of revenue recognition is undecided at the fiscal
year end, the future price is reasonably estimated based on the contract conditions and the prices publishedby third parties and allocated to the remaining performance obligations.
4. Assets recognized from the costs to obtain or fulfill a contract with a customer
For the year ended March 31, 2024, the amounts of assets recognized from the costs to obtain or fulfill
contracts with customers are immaterial. Also, if the amortization period of the asset to be recognized iswithin a year, the incremental costs of obtaining a contract is recognized as a cost when incurred.
Per Share Information
Equity attributable to owners of the parent per share
Basic earnings per share attributable to owners of the parent
Diluted earnings per share attributable to owners of the parent

5,036.80 yen
705.60 yen
705.14 yen

In the calculation of per share information, the number of shares related to the share-based compensation
plan for employees is included in the number of treasury stock. The number of treasury stock is deductedfrom the number of shares of common stock issued, in a calculation of the average number of shares ofcommon stock outstanding. The average number of treasury stock is 22,305,920 shares. On May 1, 2024, theBoard of Directors resolved to conduct a share split which is scheduled to take effect on July 1, 2024. Eachshare of common stock will be split into two shares. Earnings per share attributable to owners of the parent,
basic and earnings per share attributable to owners of the parent, diluted are calculated based on the numberof shares before the share split. For the details of the share split, please refer to “Subsequent Events”.
Subsequent Events
Share Split
The Company, at a meeting of the Board of Directors on May 1, 2024, resolved to conduct a share split andmake a partial amendment to the articles of incorporation in conjunction with this split.
1. Purpose of the Share Split
By lowering the stock price per investment unit of common stock, the Company will allow for investing tobecome more accessible for our shareholders, as well as enable greater liquidity in our stock and further
expansion of our investor base.
2. Overview of the Share Split(1) Method of the Share split
Each share of common stock owned by shareholders listed or recorded in the register of shareholders on therecord date of June 30, 2024 will be split into two shares.
Since this date falls on a non-business day of the administrator of the register of shareholders, the actual
record date will be June 28, 2024.
(2) Number of Shares to be Increased by the Share Split
Total number of issued shares prior to the share split 1,513,693,486
Number of shares to be increased by the share split 1,513,693,486
Total number of issued shares after the share split
3,027,386,972
Total number of issuable shares after the share split 5,000,000,000- 46 -

(3) Schedule for the Share Split
Public notice of record date (scheduled) June 11, 2024
Record date June 30, 2024
Effective dateJuly 1, 2024
3. Partial Amendment to the Articles of Incorporation(1) Purpose of the Amendment
In accordance with this share split, by resolution of the Board of Directors pursuant to Article 184 (2) of theCompanies Act of Japan, the Company will make the following partial amendment to the articles ofincorporation, effective from July 1, 2024.
(2) Details of the Amendment(Changes have been underlined)
Before the amendment
After the amendment(Total number of issuable shares)(Total number of issuable shares)
Article 6. The total number of shares that can be Article 6. The total number of shares that can beissued by the Company shall be 2,500,000,000.
issued by the Company shall be 5,000,000,000.

(3) Schedule of the Amendment
Date of Board of Directors’ resolution May 1, 2024
Effective dateJuly 1, 2024
4. Impacts on the per share information.
Per share information assuming that the share split was conducted at the beginning of the fiscal year ended
March 31, 2024 is as follows.
Equity attributable to owners of the parent per share
2,518.40 yen
Basic earnings per share attributable to owners of the parent
352.80 yen
Diluted earnings per share attributable to owners of the parent
352.57 yen
Annual Dividends per share
85 yenIssuance of New Shares as Post-Delivery Restricted-Stock-Based Remuneration
On April 9, 2024, the Board of Directors of the Company resolved to issue new shares as post-delivery
restricted-stock-based remuneration under the remuneration system of tenure-linked restricted stock unit, andthe payment of new shares was completed on April 30, 2024. The details are as follows.
(1) Class and number of shares issued: Common stock of the Company, 104,318 shares(2) Issue price:
7,271 yen per share(3) Total value of issue:
758,496,178 yen(4) Pay-in date:
April 30, 2024
(5) Categories and numbers of persons eligible for allocations, numbers of shares allocated:
Managing Officers (retirees)
6 persons, 104,318 shares
Stock Repurchase
At the meeting of the Board of Directors held on May 1, 2024, the Company resolved to repurchase its stockin accordance with Article 156 of the Companies Act of Japan, as applied pursuant to paragraph 3 of Article
165 of the Companies Act of Japan. Details of the repurchase are as follows.
1. Purpose of stock repurchase
To enhance shareholder return and to improve capital efficiency
2. Details of repurchase(1) Class of share: Common stock of the Company(2) Number of shares to be repurchased: Up to 40 million shares*(3) Total amount: Up to 200 billion yen- 47 -

(4) Repurchase period: From May 2, 2024 to September 20, 2024
(5) Repurchase method: Auction market on the Tokyo Stock Exchange* After the effective date (July 1, 2024) of “Share Split” above, the number of shares to be repurchased will
be up to 80 million shares.
Cancellation of Treasury StockAt the meeting of the Board of Directors held on May 1, 2024, the Company resolved to cancel a part of its
treasury stock in accordance with Article 178 of the Companies Act of Japan. Details of the cancellation are
as follows.
1. Class of share: Common stock of the Company
2. Total number of treasury stock to be cancelled: All shares repurchased pursuant to “Stock Repurchase”
above(In total, up to 2.64% of the total number of shares outstanding prior to the cancellation)
3. Scheduled date of cancellation: October 1, 2024
The Sale of Shares in PT Paiton Energy
The Company held 45.5% of shares in PT Paiton Energy, which is a coal-fired power generation affiliate inIndonesia under the Machinery & Infrastructure Segment, as of March 31, 2024. On April 30, 2024
(European time), the Company sold all shares in PT Paiton Energy and 2 related companies to the subsidiaryof Ratch Group Public Company Limited and the subsidiary of PT Medco Daya Abadi Lestari as part of an
ongoing strategy to reorganize its business portfolio. The sales price was 109,894 million yen, and in thefiscal year ending March 31, 2025, the Company will record 54,733 million yen of gains on the sale in “Gain(loss) on securities and other investments-net” in the consolidated statements of income.
Other matters
The Fire Incident of Intercontinental Terminals Company LLC
On March 17, 2019 (US time) a fire began at the Deer Park tank terminal of Intercontinental Terminals
Company (“ITC”), a wholly owned U.S. subsidiary of the Company. The Deer Park tank terminal islocated in the outskirts of Houston, Texas. The fire partially damaged tanks owned by ITC. ITC has
resumed its operation after discussions with related authorities. Harris County Fire Marshal’s Officereleased its final report with respect to the fire incident on December 6, 2019 (US time) and the reportclassified the fire as accidental, while not specifying the cause of the fire. On July 6, 2023, U.S. Chemical
Safety and Hazard Investigation Board released its final investigation report with respect to the fireincident, and determined that the fire was caused by the release of a flammable naphtha product from a
failure of the Tank 80-8 circulation pump, which accumulated in the area and ignited.
The profit and loss related to this incident recognized in the year ended March 31, 2024, and theoutstanding balance of related provision and assets recognized as reimbursement as of March 31, 2024 areimmaterial.
While there are multiple lawsuits that have been brought against ITC in relation to this incident, ITC hasreached an agreement to resolve many of the lawsuits and claims to the extent the settlement amount isfully covered by insurance. Certain additional lawsuits are not covered by the proposed settlement and willremain pending against ITC. The ultimate outcome of these lawsuits is not expected to have significant
impact on our consolidated financial position, operating results and cash flow.
Impact of the Security Situation in Northern Mozambique on LNG Project
The Company participates in the Mozambique LNG Project through Mitsui E&P Mozambique Area 1, an
equity accounted investee in the Energy segment. In April 2021, all project personnel evacuated the projectsite due to the deteriorating security situation in northern Mozambique where the project site is located, andon April 26, 2021, the project operator, TotalEnergies of France, announced that it had declared force
majeure under the joint operating agreement.
Progress has been seen in the restoration of order, stability and security in the region, and project partners
are working with the government and relevant stakeholders for an early restart of the construction, while
the exact restart date is still being reviewed.
The Company does not expect a significant impact on its consolidated financial position, operating results
and cash flow at this stage.
- 48 -

Impact of the Russia-Ukraine situation on the Russian LNG business
The Russian LNG business in which the Company, its subsidiary, and the equity accounted investee in the
Energy segment have invested, financed and guaranteed, is affected by the Russia-Ukraine situation that has
been ongoing since February 2022 and the resulting sanctions against Russia, etc. Based on discussions witheach partner, etc., the Company has evaluated its relevant assets and liabilities.
In relation to the investment in Sakhalin II project held by MIT SEL Investment, a subsidiary of the Company
that invests in Sakhalin Energy LLC (“SELLC”), while acknowledging the decision on the new LLC memberof SELLC confirmed by Order of the Government of the Russian Federation dated March 23, 2024 (No. 701),
the situation still remains uncertain as the relevant LLC members agreement is not signed, etc. Under thissituation, the fair value of our investment in the Sakhalin II project is measured using the income approachby expected present value technique and the probability-weighted average considering a scenario where thecontinuous dividend income is expected from SELLC and other scenarios. As a result, fluctuation of fairvalue recognized in the current period is immaterial. The outstanding balances of “Other investments” in the
consolidated statements of financial position related to this project as of March 31, 2024 was 87,642 million
yen. The fair value may increase or decrease due to further changes in situation hereafter.
In addition, with regards to the carrying amounts of the investments and loans to Japan Arctic LNG, an equity
accounted investee that invests in and finances the Arctic LNG 2 project, and financial guarantees related tothe business, the Company continues to take appropriate measures in compliance with laws and regulations
cooperating with stakeholders in response to the announcement from the Office of Foreign Assets Control of
the US Department of the Treasury, that Arctic LNG 2 has been designated as SDN (Specially DesignatedNationals) on November 2, 2023 (US time), and that specific entities related to the business have also been
designated as SDN on February 23, 2024 (US time), etc. The Company reviewed the recoverability and thelikelihood of performing guarantee considering the portion of liability based on the rights and obligations ofJapan Arctic LNG and the Company under various agreements including the shareholders agreement,
insurance such as overseas investment insurance, and third-party agreements.
In relation to the investment in Japan Arctic LNG, the Company reviewed the valuation of its assets and thefluctuation of book value in the investment are classified and included in “Share of profit (loss) of investments
accounted for using the equity method” in the consolidated statements of income and “Share of othercomprehensive income of investments accounted for using the equity method” in the consolidated statementsof comprehensive income respectively. In addition, the expected recovery amount by the compensation ofoverseas investment insurance is recognized in “Other financial assets” in the consolidated statements offinancial position and the same recognized amount is booked in “Other income (expense)” in the consolidated
statements of income.
In relation to the loans in Japan Arctic LNG, the Company measured the expected credit losses considering
the expected recovery amount by the compensation of loan insurance and included in “Selling, general andadministrative expense” in the consolidated statements of income.
In relation to the financial guarantees related to the business, the Company measured the expected credit
losses using weighted average considering a scenario with default of obligations by guarantees Japan Arctic
LNG and Arctic LNG 2, and other scenarios, taking into account the SDN designation of the specificentities related to the business, progress of discussions with partners, etc., and the cash flows that theCompany expects to receive based on third-party agreements. Additionally, for a part of the financial
guarantees, the Company measured the expected credit losses using the credit rating of the RussianFederation and it is recorded in “Other income (expense)” in the consolidated statements of income.
As a result of these accounting treatments, the impact on “Profit for the year” recognized in the consolidated
statements of income for the current period were immaterial. The outstanding balances of the investments
and loans* as of March 31, 2024 was 21,764 million yen, increased by 6,005 million yen from March 31,
2023. The balance of financial guarantees as contingent liabilities was 193,548 million yen, and the provision
for loss on guarantees increased by 56,025 million yen from March 31, 2023, and it included in “Other
financial liabilities” in the consolidated statements of financial position was 74,238 million yen.
If changes in the international situation surrounding Russia including the Russia-Ukraine situation occurs
hereafter, or if changes in the credit rating of the Russian Federation, changes in the business environment
caused by sanctions etc., and changes of the Company’s policies regarding Russian LNG business etc. occur,these estimates may have a significant impact on the amounts of related investments, loans, financial
guarantees and its recoverable or liable amounts in the consolidated financial statements for the next fiscal
year and thereafter. The Company ongoingly takes appropriate measures.
* Investments and loans are the sum of “Investments accounted for using the equity method”, and loans- 49 -

(net of loss allowance and after consideration of expected recovery amount of insurance) included in“Trade and other receivables” in the consolidated statements of financial position.

- 50 -

Non-Consolidated Financial Statements
Statements of Changes in Equity
Year ended March 31, 2024

(Mn JPY)
Shareholders’ equity
Capital surplus
Commonstock

Retained earnings
Other retained earnings
Retainedearnings carryforwardTotal
retainedearnings

1,555,912

1,762,129

Cash dividends(243,272)(243,272)

Net Income

535,348535,348

Balance at beginning of current
year

342,560

Capitalreserve

Total capitalsurplus368,837

368,837

Legalreserve

Generalreserve

27,745Specialreserve

176,851

1,619

Changes of items during the year

Acquisition of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Compensation costs related toshare-based payment

(348)

(348)

(135,921)(135,921)

502

502

502

Total changes of items during the
year

502

502

502

–

–

–

155,807

155,807

Balance at end of current year

343,062

369,339369,339

27,745

176,851

1,619

1,711,719

1,917,936

Net changes during the year of
items in valuation andtranslation adjustments

Shareholders’ equity

Valuation and translation adjustments

Net unrealized
Total
gains onTreasury stock shareholders’available-forequity
sale securities
Balance at beginning of current
year(66,104)

2,407,422

463,003

Deferred
losses onderivatives
under hedge
accounting(376,743)

Total valuation Subscription
and translation rights to sharesadjustments
86,259366

Total equity

2,494,047

Changes of items during the year
Cash dividends(243,272)

Net Income

535,348535,348(139,283)(139,283)(139,283)

864

515

135,921

–

–

1,004

1,004

Acquisition of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Compensation costs related toshare-based payment
Net changes during the year of
items in valuation andtranslation adjustments(243,272)(53)

18,114(229,311)(211,196)

462(211,196)

Total changes of items during theyear(2,498)154,312

18,114(229,311)(211,196)(53)(56,937)

Balance at end of current year

(68,602)2,561,734

481,117(606,055)(124,937)

313

2,437,110- 51 -

Year ended March 31, 2023 (Supplementary Information)(Mn JPY)
Shareholders’ equity

Capital surplus
Commonstock

Retained earnings
Other retained earnings
Retainedearnings carryforwardTotal
retainedearnings

1,142,460

1,348,676

Cash dividends(198,560)(198,560)

Net Income

922,579

922,579

Balance at beginning of current
year

342,383

Capitalreserve

Total capitalsurplus368,660

368,660

Legalreserve

Generalreserve

27,745Specialreserve

176,851

1,619

Changes of items during the year

Acquisition of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Compensation costs related toshare-based payment

(283)

(283)

(310,284)(310,284)

176

176

176

Total changes of items during the
year

176

176

176

–

–

–

413,452

413,452

Balance at end of current year

342,560

368,837

368,837

27,745

176,851

1,619

1,555,912

1,762,129

Net changes during the year of
items in valuation andtranslation adjustments

Shareholders’ equity

Valuation and translation adjustments

Net unrealized
Total
gains onTreasury stock shareholders’available-forequity
sale securities
Balance at beginning of current
year(106,899)

1,952,821

566,968

Deferred
losses onderivatives
under hedge
accounting(329,988)

Total valuation Subscription
and translation rights to sharesadjustments
236,980

469

Total equity

2,190,271

Changes of items during the year
Cash dividends(198,560)

Net Income

922,579

922,579(270,024)(270,024)(270,024)

536

253

310,284

–

–

353

353

Acquisition of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Compensation costs related toshare-based payment
Net changes during the year of
items in valuation andtranslation adjustments(198,560)(103)(103,965)(46,755)(150,721)

149(150,721)

Total changes of items during theyear

40,795454,601(103,965)(46,755)(150,721)(103)

303,776

Balance at end of current year

(66,104)

2,407,422

463,003(376,743)

86,259366

2,494,047- 52 -

Notes to Non-Consolidated Financial Statements (Year ended March 31, 2024)
Significant Accounting Policies
1. Securities are classified and accounted for as follows:
Trading securities, whose costs of sales are determined by the moving-average method, are stated at market
value. Held-to-maturity debt securities are stated at amortized cost determined by the straight-line method.
Investments in subsidiaries and associated companies are stated at cost determined by the moving-averagemethod.
Marketable available-for-sale securities, whose costs of sales are determined by the moving-averagemethod, are reported at market value at year-end with unrealized gains and losses reported in a separate
component of equity.
Non-marketable available-for-sale securities are stated at cost determined by the moving-average method.
Except for trading securities, those securities whose market value or equity in net assets is materially lower
than carrying value on and around the balance sheet date are devaluated after determining whether thevalue could be recoverable.
2. Derivatives are stated at fair value.
3. Inventories are stated at cost. Cost is determined principally by the specific identification method and,for certain items, by the moving-average method or the first-in, first-out method. The balance sheet
amount is calculated by reducing book value when the contribution of inventories to profitability
declines. Inventories for trading purpose are stated at market value.
4. Depreciation of tangible assets is computed using the declining-balance method. Depreciation ofbuildings (excluding equipment and fixtures) acquired on or after April 1, 1998 and depreciation ofequipment and fixtures and structures acquired on or after April 1, 2016, are computed using the straightline method. The estimated useful lives for the majority of tangible assets are as follows: Leased-out
Property: 5-50 years; Buildings and Structures: 3-50 years.
Amortization of intangible assets is computed using the straight-line method. Software for the Company’s
own use is amortized based on the straight-line method over the period it can be used (five years mainly).
Leased assets are included in their fixed asset category and are depreciated using the straight-line method
over the lease period.
5. To provide for possible losses on collection, the allowance for doubtful receivables that is set aside forreceivables in general is computed using the actual ratio of bad debts. For certain receivables, theamount deemed unrecoverable is set aside in the allowance on an individual basis.
The liability for retirement benefits is recorded based on projected benefit obligations and plan assets atthe balance sheet date of the Corporate Pension Fund plan and other retirement benefit plans. Estimatedretirement benefits are attributed to periods of service under the plan’s benefit formula. Unrecognized priorservice cost is amortized over seven years from the date of the revision of the pension plan, which is shorter
than the average remaining service period of employees. The unrecognized actuarial gain or loss that arosein the current year is amortized over seven years starting with the following fiscal year, which is shorter
than the average remaining service period of employees.
The difference between projected benefit obligations, after deducting the portion corresponding tounrecognized actuarial gain or loss and unrecognized prior service cost, and plan assets is recorded as theliability for retirement benefits or long-term prepaid expense (“Other” of “Investments and other assets”)
in the balance sheet.
To provide for contingent losses on the obligation for guarantees and commitments to subsidiaries andothers, a certain amount is set aside as deemed necessary, considering the financial condition of the primaryobligor.
6. Receivables and Payables denominated in foreign currencies are translated into Japanese yen at year-end
exchange rates on the balance sheet date. The foreign exchange gains and losses from translation arerecognized in the income statement.
- 53 -

7. For derivatives that meet hedge accounting criteria, except for available-for-sale securities, gains or losses
on derivatives are deferred until realization of the hedged items. For derivatives that meet hedge
accounting criteria for available-for-sale securities, fair value hedge accounting is applied. Foreign
currency forward exchange contracts to hedge monetary assets and liabilities denominated in foreign
currencies are stated at fair value and accounted for under the principle method of the AccountingStandards for Financial Instruments. The interest rate swaps which qualify for hedge accounting and meet
specific matching criteria are not re-measured at market value, but the differential paid or received under
the swap agreements is recognized on an accrual basis and included in interest expense or income.
The Company enters into derivative financial instrument transactions such as foreign exchange forward
contracts and foreign currency borrowings to hedge foreign exchange risk associated with monetary assets
and liabilities denominated in foreign currencies, net investments in foreign operations and forward
contracts of trade. The Company also enters into derivative financial instrument transactions such as
interest rate swap to hedge interest rate risk in the course of business activities. As for market risk, theCompany enters into derivative financial instrument transactions such as commodity future, forward tohedge market risk of commodities and trading contracts.
Apart from trading transaction risks, market volatility risks related to foreign currency exchange rates,interest rates and commodity prices in the ordinary course of business are hedged using derivative financial
instruments and foreign currency borrowings, considering the specific risk characteristics based on internalrisk control policies.
The effectiveness between the hedging instruments and the hedged items is evaluated considering
individual transaction characteristics.
Although the “Practical Solution on the Treatment of Hedge Accounting for Financial Instruments that
Reference LIBOR” issued on March 17, 2022 (ASBJ PITF No. 40) had been applied to below hedging
relationship until the suspension of publication of LIBOR at the end of June, 2023, due to the completionof the transition to alternative interest rate benchmarks during FY March 2024, there are no hedging
relationships which apply the practical report as of the end of March 2024.
(1) Hedge accounting method: Special hedge accounting for interest rate swaps ordeferred hedge accounting(2) Hedging instruments:
Interest rate swaps(3) Hedged items:
Long-term borrowings or bonds(4) Objective of the hedge:
To offset the fair value change or to fix the cash flows
8. Revenue recognition
Revenue from contracts with customers is recognized at the time when the performance obligations are
satisfied based on the 5 step approach (1. Identifying the contract with a customer, 2. Identifying theperformance obligations of the contract, 3. Determining the transaction price, 4. Allocating the transaction
price to performance obligations in the contract and 5. Recognizing the revenue when the entity satisfies
a performance obligation). Upon identifying the performance obligations of the contract, a considerationof whether an entity is a principal or an agent is made. If the nature of the entity’s promise is a performanceobligation to provide the specified goods or services as a principal, revenue is recognized at the grossamount. If the nature of the entity’s promise is a performance obligation to arrange for the provision of
goods or services by another party, revenues received as an agent is recognized at the amount of any fee
or commission to which it expects to be entitled or as a net amount. Revenue is recognized when (or as)
the companies satisfies a performance obligation by transferring a promised good or service (i.e. an asset)
to a customer when (or as) the customer obtains control of that asset. The time when the customer obtains
control of that asset is determined based on the ability to direct the use of and obtain substantially all of
the remaining benefits from the asset.
The Company’s main performance obligations are the sale of various products; the sale of a wide variety
of manufactured products such as metals, chemicals, foods, and general consumer merchandise; the salesof metallurgical coal, iron ore, oil, and gas. The Company recognizes revenue based on the transfer,acceptance by the customer, or the dispatch of goods for domestic transactions, and recognize revenue
based on the transfer of the risks and costs, which is determined by the incoterms, for international- 54 -

transactions. In case that the performance obligation is rendering of services such as arrangements related
to the order, financing or delivery for commissions, revenue is recognized at the time when the completionof services or the elapse of period for rendering services. In regard to determining the time when thecustomer obtains control of that asset, the verified right to receive the consideration, the legal title, thephysical possession, the significant risk and rewards, and the acceptance are assessed.
The consideration is normally received within a year and performance obligation do not include asignificant financing component.
For transactions where the performance obligation is satisfied over time, and only if its progress towards
complete satisfaction of the performance obligation can be reasonably measured, revenue is recognizedby measuring the progress towards the completion of the satisfaction of the performance obligation. Even
if the progress towards complete satisfaction of a performance obligation may not be reasonably
measurable, if the costs incurred in satisfying the performance obligation are expected to be recovered,revenue is recognized only to the extent of the costs incurred until the progress can be reasonably measured.
Accounting Estimates
The following is a list of items for which the amount was recorded in the financial statements for FY March2024 based on the accounting estimates, and which may have a significant impact on the financial statements
for the next fiscal year.
The Russia-Ukraine situation and the resulting sanctions against Russia have a global impact and may
affect various business fields in which we operate. However, the extent of the impact varies amongproducts, businesses, and locations. Therefore, the estimates are determined based on each situation.
1. Valuation of investments and ownership in subsidiaries and affiliates(1) Amount recorded on the statements of financial position
Investments and ownership in subsidiaries and associated companies
3,548,225 million yen (Items with no market price)(2) Other information
For investments and ownership in subsidiaries and affiliates with no market price, if the market value
or equity in net assets is materially lower than carrying value on and around the balance sheet date,the investments and ownership are devaluated after evaluating whether the value could berecoverable.
Since the evaluation of recoverability of the value is based on the business plans of subsidiaries andaffiliates, it may be affected by uncertain future economic environment and other factors. If the actual
results do not meet the plan, it may have a significant impact on the evaluation of recoverability inthe financial statements for the next fiscal year.
Changes in Accounting Estimates
Impact of the Russia-Ukraine situation on the Russian LNG business
The Russian LNG business in which the Company, the associated company in the Energy segment haveinvested, financed and guaranteed, is affected by the Russia-Ukraine situation that has been ongoing since
February 2022 and the resulting sanctions against Russia, etc. Based on discussions with each partner, etc.,
the Company has evaluated its relevant assets and liabilities.
With regards to the carrying amounts of the investments and loans to Japan Arctic LNG, an associatedcompany that invests in and finances the Arctic LNG 2 project, and financial guarantees related to thebusiness, the Company continues to take appropriate measures in compliance with laws and regulations
cooperating with stakeholders in response to the announcement from the Office of Foreign Assets Control of
the US Department of the Treasury, that Arctic LNG 2 has been designated as SDN (Specially DesignatedNationals) on November 2, 2023 (US time), and that specific entities related to the business have also been
designated as SDN on February 23, 2024 (US time), etc.. The Company reviewed the recoverability and thelikelihood of performing guarantee considering the portion of liability based on the rights and obligations ofJapan Arctic LNG and the Company under various agreements including the shareholders agreement,
insurance such as overseas investment insurance, and third-party agreements.

- 55 -

In relation to the investment in Japan Arctic LNG, the Company reviewed the valuation of its assets and thefluctuation of fair market value in the investment are classified and included in “Loss on write-down ofinvestments in securities and subsidiaries and associated companies” in the statements of income. In addition,
the expected recovery amount by the compensation of overseas investment insurance is recognized in “Other(current assets)” in the balance sheets and the same recognized amount is booked in “Non-operating income”
in the statements of income.
In relation to the loans in Japan Arctic LNG, the Company measured the expected credit losses considering
the expected recovery amount by the compensation of loan insurance and included in “Selling, general andadministrative expense (Other)” in the statements of income.
In relation to the financial guarantees related to the business, the Company measured the expected credit
losses using weighted average considering a scenario with default of obligations by guarantees Japan Arctic
LNG and Arctic LNG 2, and other scenarios, taking into account the SDN designation of the specific entities
related to the business, progress of discussions with partners, etc., and the cash flows that the Company
expects to receive based on third-party agreements, and it is recorded in “Provision for the obligation forguarantees and commitments” in the statements of income.
As a result of these accounting treatments, the impact on “Net income” recognized in the statements ofincome for the current period were immaterial. The outstanding balances of the investments and loans* as ofMarch 31, 2024 was 21,764 million yen, increased by 9,744 million yen from March 31, 2023. The balanceof financial guarantees as contingent liabilities was 193,547 million yen, and the provision for loss on
guarantees increased by 58,479 million yen from March 31, 2023, and it included in “Allowances for the
obligation for guarantees and commitments” in the balance sheets was 65,564 million yen.
If changes in the international situation surrounding Russia including the Russia-Ukraine situation occurs
hereafter, or if changes in the credit rating of the Russian Federation, changes in the business environment
caused by sanctions etc., and changes of the Company’s policies regarding Russian LNG business etc. occur,these estimates may have a significant impact on the amounts of related investments, loans, financial
guarantees and its recoverable or liable amounts in the consolidated financial statements for the next fiscal
year and thereafter. The Company ongoingly takes appropriate measures.
* Investments and loans are the sum of “Investments and ownership in subsidiaries and associatedcompanies”, and loans (net of loss allowance and after consideration of expected recovery amount of
insurance) included in “Other (current assets)” the balance sheets.
Notes to Balance Sheets
1. Pledged assets and related liabilities(Unit: Mn JPY)

Assets pledged as collateralType

Details

Book Value at End
of Period

As Security for
Trading Contracts

For Guarantees

Investments in securities, investments andownership in subsidiaries and associatedcompanies

307,816

5,445

302,371

Others (Note 2)

136,899

136,899–

Total
444,715
142,344
302,371
Note 1: In addition to the above, bank borrowings under certain provisions of loan agreements which require theCompany, upon the request of the bank, immediately to provide collateral, which is not specified in the loan
agreements, were 278,198 million yen.
Note 2: Security deposits and guarantee deposits related to business and derivative transactions are mainly included.

2. Financial assets held as collateral from others, for which the Company has free disposal rights:
3,633 million yen
3. Accumulated depreciation of tangible assets:

64,560 million yen

4. Accumulated amortization of intangible assets:

16,359 million yen- 56 -

5. Contingent liabilities(1) Guarantees(Unit: Mn JPY)
Amount of guarantee (Note 1)

The guaranteed
1. Guarantees related to trading partner bank borrowings, trade payables and other
Mitsui & Co. Cameron LNG Sales, LLC
Lepta Shipping Co., Ltd.
Mitsui & Co. Energy Trading Singapore Pte. Ltd.
MOZ LNG1 Financing Company Ltd.
Oriente Copper Netherlands B.V.
Yushan Energy Co., Ltd.
MEP South Texas LLC
Mitsui & Co. Financial Services (U.S.A.) Inc.
MEPAU Perth Basin Pty Ltd.
Mitsui Bussan Commodities Ltd.
Other-183 companies (Note 2)

1,077,611
271,927
207,061
148,422137,065
124,953
114,123
98,87482,22876,0501,486,375

Sub-total (Note 3)

3,824,692

2. Guarantees related to bank borrowings of overseas trading subsidiaries
Mitsui & Co. (Middle East) B.S.C.(c)Mitsui De Mexico, S. de R.L. de C.V.
Other-1 overseas trading subsidiary466,647
14,410250

Sub-total

481,308

Grand total
4,306,001
Note 1: For joint guarantee agreements with two or more guarantors or guarantee agreements with re-guarantees byother companies, the amounts presented above only include the portion which the Company bears under suchagreements.
Note 2: Reference for guarantee of the Russian LNG business is made to “Impact of the Russia-Ukraine situation on
the Russian LNG business” in changes in accounting estimates.
Note 3: Pledged investments and other letters similar to guarantees amounting to 302,371 million yen are included.
Note 4: Presented above are mainly subsidiaries and associated companies whose guarantee fee amounts and their
payment conditions have been determined individually considering their business substance.

(2) Notes receivable discounted amount to 48,960 million yen
Export bills of exchange under letters of credit, discounted at intermediary banks but not yet paid by
the banks extending the letters of credit, of 41,972 million yen are included in notes receivablediscounted.
6. Receivables from and payables to subsidiaries and associated companies:
Short-term receivables: 576,762 million yen
Long-term receivables: 219,349 million yen
Short-term payables: 1,172,906 million yen
Long-term payables: 10,531 million yen
Notes to Statements of Income
1. Transactions with subsidiaries and associated companies:
Revenue:
470,017 million yen
Cost:727,826 million yen
Other non-operating transactions:
767,927 million yen- 57 -

2. Gain on sales of investments in securities and subsidiaries and associated companies“Gain on sales of investments in securities and subsidiaries and associated companies” of 115,767 million
yen for the year ended March 31, 2024 mainly consists of below.
Mitsui Rail Capital Europe:

58,816 million yen

3. Loss on write-down of investments in securities and subsidiaries and associated companies“Loss on write-down of investments in securities and subsidiaries and associated companies” of 93,297
million yen for the year ended March 31, 2024 mainly consists of below.
Copper business in Chile:

23,403 million yen

Note to Statements of Changes in Equity
Number of treasury stock as of March 31, 2024
Common stock

16,208,150 shares

Out of the number of treasury stock above, 7,250,650 shares are related to the share-based compensation planfor employees.
Note: The number of common stock above is calculated based on the number of shares before a share split.
On May 1, 2024, the Board of Directors resolved to conduct a share split, which is scheduled to take effecton July 1, 2024. Each share of common stock will be split into two shares.
Tax-Effect Accounting
1. The principal items, which comprise deferred tax assets and deferred tax liabilities, were as follows:(Unit: Mn JPY)

Deferred tax assets
Allowance for doubtful receivables

15,201

Allowances for the obligation for guarantees and commitments

27,014

Investments in securities, subsidiaries and associated companies

304,656

Impairment loss of fixed assets

3,891

Accrued bonuses

15,746

Deferred losses on derivatives under hedge accounting

187,877

Loss carryforwards (Note)

45,354

Others

57,772

Subtotal deferred tax assets

657,511

Valuation allowance(625,173)

Total deferred tax assets

32,338Deferred tax liabilities
Net unrealized gains on available-for-sale securities

173,904

Pension and severance costs

13,315

Total deferred tax liabilities

187,219

Net deferred tax liabilities

154,881Note: 19,923 million yen of deferred tax assets arising from loss carryforwards will expire within 5 years and 25,431 million
yen will expire after 5 to 10 years.

2. Accounting for corporate tax and local corporate tax or tax effect accounting related to these taxes
The Company has applied the group tax sharing system. In accordance with the “Practical Solution on the
Accounting and Disclosure Under the Group Tax Sharing System” (ASBJ Practical Issues Task Force(PITF) No. 42), the Company have conducted accounting for corporate tax and local corporate tax oraccounting and disclosure of tax effect accounting.

- 58 -

Transactions with Related Parties
Company name: Mitsui Oil Exploration Co., Ltd.
Relationship: Subsidiary
Ownership of voting shares: 100% direct ownership
Relationship with related parties: Dispatching directors and deposits received
Transaction content: Deposits received
Transaction amount: 409,144 million yen
Amounts as of FY March 2024-end: 403,588 million yen
Transaction conditions and transaction policy: Financing condition is determined considering market
interest rates.
Company name: Mitsui & Co. Financial Services (Australia) Ltd.
Relationship: Subsidiary
Ownership of voting shares: 100% in-direct ownership
Relationship with related parties: Dispatching directors and loan payable
Transaction content: Loan payable
Transaction amount: 257,018 million yen
Amounts as of FY March 2024-end: 578,413 million yen
Transaction conditions and transaction policy: Financing condition is determined considering market interest
rates.
Per Share Information
Equity per share
Basic earnings per share
Diluted earnings per share

1,627.58 yen
355.12 yen
354.89 yen

In a calculation of per share information, the number of shares related to the share-based compensation planfor employees is included in the number of treasury stock. The number of treasury stock is deducted fromthe number of shares of common stock issued, in a calculation of the average number of shares of common
stock outstanding. The average number of treasury stock is 22,274,950 shares. On May 1, 2024, the Boardof Directors resolved to conduct a share split which is scheduled to take effect on July 1, 2024. Each shareof common stock will be split into two shares. Earnings per share attributable to owners of the parent, basic
and earnings per share attributable to owners of the parent, diluted are calculated based on the number ofshares before the share split. For the details of the share split, please refer to “Subsequent Events”.
Subsequent Events
Share Split
The Company, at a meeting of the Board of Directors on May 1, 2024, resolved to conduct a share split andmake a partial amendment to the articles of incorporation in conjunction with this split.
1. Purpose of the Share Split
By lowering the stock price per investment unit of common stock, the Company will allow for investing tobecome more accessible for our shareholders, as well as enable greater liquidity in our stock and further
expansion of our investor base.
2. Overview of the Share Split(1) Method of the Share split
Each share of common stock owned by shareholders listed or recorded in the register of shareholders on therecord date of June 30, 2024 will be split into two shares.
Since this date falls on a non-business day of the administrator of the register of shareholders, the actual
record date will be June 28, 2024.
(2) Number of Shares to be Increased by the Share Split
Total number of issued shares prior to the share split 1,513,693,486- 59 -

Number of shares to be increased by the share split
Total number of issued shares after the share split
Total number of issuable shares after the share split

1,513,693,486
3,027,386,972
5,000,000,000(3) Schedule for the Share Split
Public notice of record date (scheduled) June 11, 2024
Record date June 30, 2024
Effective dateJuly 1, 2024
3. Partial Amendment to the Articles of Incorporation(1) Purpose of the Amendment
In accordance with this share split, by resolution of the Board of Directors pursuant to Article 184 (2) of theCompanies Act of Japan, the Company will make the following partial amendment to the articles ofincorporation, effective from July 1, 2024.
(2) Details of the Amendment(Changes have been underlined)
Before the amendment
After the amendment(Total number of issuable shares)(Total number of issuable shares)
Article 6. The total number of shares that can be Article 6. The total number of shares that can beissued by the Company shall be 2,500,000,000.
issued by the Company shall be 5,000,000,000.

(3) Schedule of the Amendment
Date of Board of Directors’ resolution May 1, 2024
Effective dateJuly 1, 2024
4. Impacts on the per share information.
Per share information assuming that the share split was conducted at the beginning of the fiscal year ended
March 31, 2024 is as follows.
Equity per share
813.79 yen
Basic earnings per share
177.56 yen
Diluted earnings per share
177.44 yen
Issuance of New Shares as Post-Delivery Restricted-Stock-Based Remuneration
On April 9, 2024, the Board of Directors of the Company resolved to issue new shares as post-delivery
restricted-stock-based remuneration under the remuneration system of tenure-linked restricted stock unit, andthe payment of new shares was completed on April 30, 2024. The details are as follows.
(1) Class and number of shares issued: Common stock of the Company, 104,318 shares(2) Issue price:
7,271 yen per share(3) Total value of issue:
758,496,178 yen(4) Pay-in date:
April 30, 2024
(5) Categories and numbers of persons eligible for allocations, numbers of shares allocated:
Managing Officers (retirees)
6 persons, 104,318 shares
Stock Repurchase
At the meeting of the Board of Directors held on May 1, 2024, the Company resolved to repurchase its stockin accordance with Article 156 of the Companies Act of Japan, as applied pursuant to paragraph 3 of Article
165 of the Companies Act of Japan. Details of the repurchase are as follows.
1. Purpose of stock repurchase
To enhance shareholder return and to improve capital efficiency
2. Details of repurchase(1) Class of share: Common stock of the Company(2) Number of shares to be repurchased: Up to 40 million shares*- 60 -

(3) Total amount: Up to 200 billion yen(4) Repurchase period: From May 2, 2024 to September 20, 2024
(5) Repurchase method: Auction market on the Tokyo Stock Exchange* After the effective date (July 1, 2024) of “Share Split” above, the number of shares to be repurchased will
be up to 80 million shares.
Cancellation of Treasury StockAt the meeting of the Board of Directors held on May 1, 2024, the Company resolved to cancel a part of its
treasury stock in accordance with Article 178 of the Companies Act of Japan. Details of the cancellation are
as follows.
1. Class of share: Common stock of the Company
2. Total number of treasury stock to be cancelled: All shares repurchased pursuant to “Stock Repurchase”
above(In total, up to 2.64% of the total number of shares outstanding prior to the cancellation)
3. Scheduled date of cancellation: October 1, 2024
The Sale of Shares in PT Paiton Energy
The Company held 45.5% share in PT Paiton Energy, which is a coal-fired power generation associatedcompany in Indonesia, as of March 31, 2024. On April 30, 2024 (European time), the Company sold allshares in PT Paiton Energy to the subsidiary of Ratch Group Public Company Limited and the subsidiary of
PT Medco Daya Abadi Lestari as part of an ongoing strategy to reorganize its business portfolio. The sales
price was 94,943 million yen, and in the fiscal year ending March 31, 2025, the Company will record 85,014
million yen of gains on the sale in “Gain on sales of investments in securities and subsidiaries and associatedcompanies” in the statements of income.

- 61 -

Reference

Equity Securities Held [Supplementary Information]
Please refer to “(Reference) [Equity Securities Held]” on pages 33-34 of the “Notice of the 105th Ordinary
General Meeting of Shareholders” for the principal information of equity securities held.
(i) Concept of the classification of shares for investment
We may hold investment shares for the purpose of creating new businesses and strong business clusters
through both trading and business investment. In addition to profit from such trading, changes in the valueof shares and dividends thereon, we strive to increase medium- to long-term economic profit by creating new
business opportunities and raising corporate value by providing our functions. Based on such business model,
our criterion for the classification of shares for investment held for pure investment purposes is “Investment
held for the purposes of realizing gains solely arising from changes in the value of shares or dividends
thereon”, and one in which we can consider mainly about economic gain from the shares in question at thetime of its acquisition or disposal, without much consideration required on collaboration and business
relationships with investees. Other investments are defined as shares for investment held for purposes otherthan pure investment purposes.
Regardless of the classification of shares for investment held for pure investment purposes and shares forinvestment held for purposes other than pure investment purposes, all shares will continue to be similarly
verified in respect of the rationale for holding and the voting rights will be exercised appropriately.
(ii) Policy on the exercise of voting rights of shares for investment
With respect to the exercise of voting rights of shares for investment, the content of each proposal shall beconsidered based on the management policies and business plans etc., of the investee, and deliberation shallbe conducted on a case-by-case basis while comprehensively considering the perspectives of (1) whether or
not the proposal contributes to enhancing corporate value of the investee or mutual benefit of the shareholders,and (2) the impact that the proposal may have on corporate value of the Company in terms of creation ofbusiness opportunities, and building, maintaining and strengthening of business and collaborative
relationship with the investee.
(iii) Method to verify the policy and rational of holdings of shares for investment
At the Company, the Portfolio Management Committee, which is an advisory body to the Executive
Committee, establishes company-wide portfolio strategy as well as investment and loan policies, periodicallymonitors the company-wide portfolio, and verifies the rationale for holding of all assets including shares forinvestment through asset portfolio review that is conducted each year. When acquiring shares for investment,
the Company shall conduct a prior stringent assessment of profitability and capital efficiency, as well as thelikelihood of creating business opportunities, or building, maintaining, and strengthening the business andcollaborative relationships. At the same time, for listed shares, the Company shall verify the economic
rationale based on the status of dividends, business-related profits, and other related profits, in comparison
to total cost such as acquisition cost, fair value and its cost of capital, and conduct verification of qualitative
aspects based on the status of and outlook for the creation of business opportunities, as well as business andcollaborative relationship with each investee. If, as a result of these verifications, the rational of holding theseassets has significantly declined, our policy is to sell and reduce such assets. Further, the Board of Directors
confirms that the qualitative rationale is verified for holding all individual shares, and identifies shares thatwill be considered for sale in the future due to dilution of the rationale, considering both qualitative andquantitative aspects.
(iv) Shares for investment held for purposes other than pure investment purposes(a) Method to verify the policy and rational of holdings of shares and details of reviews by the Board of
Directors
Please refer to (iii) “Method to verify the policy and rational of holdings of shares for investment”
above.
Of the 50 shares listed as Specified Investment Shares (Amount on balance sheet for FY March 2024:
476,596 million yen), the purpose for holding the major investees and the amount on balance sheet are
as follows, the total amount of which is 189,718 million yen.

- 62 -

1. Seven & i Holdings Co., Ltd. (Amount on balance sheet: 107,360 million yen)
A major retail holding company centered on Seven-Eleven Japan and Ito-Yokado, and ourimportant business partner in the distribution business. Through provision of centralized
management functions for food materials/ingredients and packaging (including supply anddemand management), as well as logistics functions (such as operations of cooperative distribution
centers), we aim to mutually maximize both companies’ corporate value.
2. GOLDWIN INC. (Amount on balance sheet: 43,081 million yen)
A major manufacturer of sportswear and sports goods, and our important business partner in the
sports and outdoor apparel and equipment field, which is one of the focus areas of our brand &retail business area. By engaging in transactions in the development, manufacturing and supply ofsports apparel-related materials and products, and in co-exploration to seek opportunities for new
business creation in Japan and overseas, we aim to contribute to the mutual enhancement of bothcompanies’ corporate value.
3. Yamato Kogyo Co., Ltd. (Amount on balance sheet: 39,277 million yen)An electric furnace steel manufacturer and the most important business partner in our global
electric furnace strategy, which actively expands business overseas, mainly manufacturing andsales of steel for construction purposes in the U.S. and Thailand. We have been engaging intransactions of raw materials and products with them and their group companies. We also hold a
20% stake in Siam Yamato Steel Co., Ltd., which is Yamato Kogyo’s Thai business.

- 63 -

(b) Information on the Number of Shares and Amounts Recorded in the Balance Sheet by Company forSpecified Investment Shares and Deemed Shares Held
Specified Investment Shares
FY March 2024
Company

Seven & i Holdings
GOLDWIN
Yamato Kogyo

FY March 2023

Number of shares Number of shares(Shares)(Shares)Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

48,667,440

16,222,480

107,360

96,9294,367,504

4,367,504

43,08155,0304,573,000

4,573,000

39,277

24,419

10,162,300

8,387,300

MODEC

31,147

11,7257,500,000

7,500,000

TOYOTA MOTOR
28,44012,879,000

14,1004,293,000

Yamaha Motor
18,333

14,8533,474,078

3,474,078

Mitsui Chemicals
15,046

11,846- 64 -

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding, and reason for increase in
number of shares

Holding of
Mitsui’s share

Refer to the (iv)-(a) above for the
purpose of holding. The number ofshares increased due to a share split.

noRefer to the (iv)-(a) above for the
purpose of holding.

yes

Refer to the (iv)-(a) above for the
purpose of holding.

yesMainly in the Machinery & Infrastructure
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to long-term
charter business for floating production,
storage and offloading systems, etc., andhas entered into a business allianceagreement to jointly promote suchbusiness by mutually utilizing
management resources, know-how,brands, customer bases, etc. as a strategic
partner. The number of shares increased
due to subscription for shares throughthird-party allotment.

noMainly in the Machinery & Infrastructure
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to automobile
business area.

yes

Mainly in the Machinery & Infrastructure
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to motorcycle
business area, etc. The number of shares
increased due to a share split.

yes

Mainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to basic & green materials, mobility,
health care, food packaging business, etc.

yes

FY March 2024
Company

FY March 2023

Number of shares Number of shares(Shares)(Shares)Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

3,000,000

3,000,000

Mitsui Fudosan
14,8297,452

2,448,509

2,448,509

BIPROGY
11,094

7,957

13,776,000

13,776,000

Toray Industries
10,195

10,4202,144,000

4,288,000

TBS HOLDINGS
9,345

8,168

2,459,954

2,459,954

NIPPON STEEL
9,023

8,754,000

7,675

8,754,000

TOYO ENGINEERING
8,517

4,946

4,175,422

4,175,422

J-OIL MILLS
8,100

6,350

3,349,110

3,349,110

NIPPN
7,944

5,559

- 65 -

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding, and reason for increase in
number of shares

Holding of
Mitsui’s share

The Company holds shares mainly forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to real estatebusiness.

yes

Mainly in the Innovation & Corporate
Development Segment, the Company
holds shares for the purpose of creating
business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to IT related services.

noMainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to chemicals including raw materials forresin and high performance films, etc.

yes

Mainly in the Innovation & Corporate
Development Segment, the Company
holds shares for the purpose of creating
business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to media related business.

no

Mainly in the Iron & Steel Products
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to steel productsrelated business.

yes

Mainly in the Machinery & Infrastructure
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to engineeringbusiness for renewable power plants,
carbon neutral related plants, ammonia /urea fertilizer chemical plants,
petrochemical plants, etc.

yes

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to vegetable oils.

yes

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to wheat, wheat flour and processed foodbusinesses.

yes

FY March 2024
Company

FY March 2023

Number of shares Number of shares(Shares)(Shares)Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

1,576,500

3,153,000

KATO SANGYO
7,228

11,067

1,454,000

1,454,000

Sumitomo Metal Mining
6,669

7,341

1,015,000

1,015,000

Nippon Soda
6,150

2,385,590

4,684

2,385,590

AIR WATER

MS & AD InsuranceGroup Holdings

5,713

3,960

684,900

684,900

5,570

2,812

1,540,000

1,540,000

Showa Sangyo
5,390

3,906

2,550,000

2,550,000

MITSUI E&S
4,883

1,063

2,246,500

2,246,500

TOSOH
4,632

4,036

- 66 -

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding, and reason for increase in
number of shares

Holding of
Mitsui’s share

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to processed food wholesale.

yes

Mainly in the Mineral & Metal
Resources Segment, the Company holds
shares for the purpose of creating
business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to non-ferrous metal business, etc.

noMainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to agrochemicals business andmethionine business.

yes

Mainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in theoverseas industrial gas market, andentered into a strategic allianceagreement aimed at global collaboration
centered on the industrial gas business.

no

The Company holds shares mainly forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to insurancerelated business.

yes

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to feed, flour and oils businesses.

noMainly in the Machinery & Infrastructure
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to shipping
business.

noMainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to chlor-alkali business.

yes

FY March 2024
Company

FY March 2023

Number of shares Number of shares(Shares)(Shares)Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

1,266,252

1,266,252

Shin Nippon Air
Technologies
4,387

2,361

1,108,691

1,108,691

Kaneka
4,228

3,824

730,882

730,882

GODO STEEL
4,180

2,481

939,500

939,500

IHI

Mitsubishi UFJ Financial
Group

3,851

3,119

2,326,000

2,326,000

3,621

1,372,400

1,972

686,200

Morinaga

ISHIHARA SANGYOKAISHA

3,603

2,576

2,019,200

2,019,200

3,571

2,251

1,470,000

1,470,000

KYOEI STEEL
3,545

2,363

- 67 -

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding, and reason for increase in
number of shares

Holding of
Mitsui’s share

Mainly in the Machinery & Infrastructure
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to business
relating to supply and maintenance of air
conditioning systems.

noMainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to chemicals like olefin and vinyl
chloride resin.

yes

Mainly in the Iron & Steel Products
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to steel productsrelated business.

yes

The Company holds shares mainly forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to industrial
equipment business, etc.

yes

The Company holds shares mainly forthe purpose of building, maintaining or
strengthening financial business
relationships.

yes

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to dairy products and confectionary
ingredients businesses. The number ofshares increased due to a share split.

noMainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to titanium dioxide-related products andtitanium ore.

noMainly in the Mineral & Metal
Resources Segment, the Company holds
shares for the purpose of creating
business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to resource recycling business, etc.

no

FY March 2024
Company

FY March 2023

Number of shares Number of shares(Shares)(Shares)Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

2,352,000

2,352,000

ZEON
3,106

3,290

1,002,050

1,002,050

TV TOKYO Holdings
2,994

2,479

1,784,094

1,784,094

Tayca

Sumitomo Mitsui
Financial Group

2,713

2,094

296,550

296,550

2,641

1,571

1,087,400

1,087,400

Denka
2,551

2,974

3,222,720

3,222,720

DaikyoNishikawa
2,484

2,078

737,600

737,600

ADEKA
2,378

1,665

- 68 -

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding, and reason for increase in
number of shares

Holding of
Mitsui’s share

Mainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to aliphatic (C5) monomer, specialty
chemicals.

yes

Mainly in the Innovation & Corporate
Development Segment, the Company
holds shares for the purpose of creating
business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to media-related business.

no

Mainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to surfactants, titanium dioxide, etc.

no

The Company holds shares mainly forthe purpose of building, maintaining or
strengthening financial business
relationships.

yes

Mainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to chemical materials.

yes

Mainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to automobile components, etc.

noMainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to processed oils.

noFY March 2024
Company

FY March 2023

Number of shares Number of shares(Shares)(Shares)Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

705,500

705,500

S Foods
2,363

2,009

15,340,000

17,570,000

Yantai north Andre juice
2,228

1,948

1,500,000

1,500,000

IINO KAIUN KAISHA
1,839

1,506

1,679,454

1,679,454

JK Holdings
1,800

1,731

1,680,800

2,101,000

RIKEN TECHNOS
1,687

1,237

66,666,666

66,666,666

Khonburi Sugar
1,594

1,459

1,333,300

2,000,000

TAKARA HOLDINGS
1,427

2,044

252,335,000

252,335,000

Pelat Timah Nusantara
Tbk
1,235

1,313

- 69 -

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding, and reason for increase in
number of shares

Holding of
Mitsui’s share

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to Australian beef related business, etc.

yes

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to fruit juice business, etc.

noMainly in the Machinery & Infrastructure
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to shipping
business.

noMainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to housing materials.

yes

Mainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to PVC resin, PVC compound, etc.

yes

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to sugar.

no

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to ethanol-related business.

yes

Mainly in the Iron & Steel Products
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to packaging steelbusiness, etc.

no

FY March 2024
Company

FY March 2023

Number of shares Number of shares(Shares)(Shares)Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

1,000,000

1,000,000

Tohoku Electric Power
1,196

659

445,335

445,335

CENTRAL SECURITY
PATROLS
1,189

1,207

423,300

423,300

YAMAE GROUPHOLDINGS
1,182

766

3,398,714

3,398,714

MUNSIN GARMENT
1,018

487

–

750,000

Mitsuboshi Belting
–

2,951

–

1,318,822

Hankuk Carbon
–

1,669

*

1,269,842

Lhyfe

Perusahaan Sadur Timah
Malaysia

*

1,363

*

9,362,500

*

1,294

- 70 -

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding, and reason for increase in
number of shares

Holding of
Mitsui’s share

The Company holds shares mainly forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to energy
industry.

noMainly in the Innovation & Corporate
Development Segment, the Company
holds shares for the purpose of creating
business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to outsourcing services business.

yes

Mainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to logistics and distribution in Japan.

noMainly in the Lifestyle Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to brand and retail business in Taiwan.

noMainly in the Chemicals Segment, theCompany held shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to automobile components, etc. All of theshares were sold during FY March 2024.

noMainly in the Chemicals Segment, theCompany held shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to carbon fiber reinforced-matrixcomposites, etc. All of the shares weresold during FY March 2024.

noMainly in the Chemicals Segment, theCompany holds shares for the purpose ofcreating business opportunities, building,maintaining or strengthening businessand collaborative relationship in relation
to hydrogen production and related areas.

noMainly in the Iron & Steel Products
Segment, the Company holds shares forthe purpose of creating business
opportunities, building, maintaining or
strengthening business and collaborative
relationship in relation to packaging steelbusiness, etc.

no

Notes 1. We verify the rationale of holding shares through verification of the status of dividends, business-related profits,
and other related profits in comparison to total cost such as acquisition cost, fair value and our cost of capital, as
well as verification and review of the qualitative significance of holding shares. However, the quantitative effects
of holding shares are not disclosed in consideration of our relationships with business partners and others.
2. “–” represents not possessed as Specified Investment Shares. “*” means omission due to 1% or less than Mitsui’s
capital and out of top 60 ranking.
3. Holding of Mitsui’s share is described based solely on the register of shareholders as of March 31, 2024. The shares
not held as of March 31, 2024 are based on the register of shareholders as of March 31, 2023. In addition, when theshare is of a holding company, the portion held by major subsidiaries of the holding company is taken into accountand described to the extent that it can be confirmed.

Deemed Shareholdings
FY March 2024
Company

FY March 2023

Number of shares Number of shares(Shares)(Shares)Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

11,231,000

11,231,000

TOYOTA MOTOR
42,587

21,1142,030,100

2,030,100

MS & AD InsuranceGroup Holdings
16,5108,335

3,474,000

3,474,000

Mitsui Chemicals
15,045

11,8462,801,000

2,801,000

Mitsui Fudosan
13,845

6,957- 71 -

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding and reason for increase in
number of shares

Holding of
Mitsui’s share

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

yes

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

yes

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

yes

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

yes

FY March 2024
Company

FY March 2023

Number of shares Number of shares(Shares)(Shares)Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

994,000

994,000

Toyo Suisan Kaisha
9,418

5,516

1,999,500

1,999,500

Mitsui O.S.K. Lines
9,217

6,618

2,200,000

2,200,000

Katakura Industries
4,268

4,083

910,000

910,000NIPPON STEEL
3,337

2,839

757,800

757,800

SANYO SHOKAI
2,205

1,179

- 72 -

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding and reason for increase in
number of shares

Holding of
Mitsui’s share

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

no

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

yes

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

no

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

yes

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

yes

FY March 2024

FY March 2023

Number of shares Number of shares(Shares)(Shares)Company

Amount onbalance sheet(Mn JPY)

Amount onbalance sheet(Mn JPY)

1,446,700

2,170,000

TAKARA HOLDINGS
1,548

2,217

Purpose of holding, outline of businessalliance, etc., quantitative effect ofholding and reason for increase in
number of shares

Holding of
Mitsui’s share

To supplement the pension financial
situation, the Company contributes thisshare to the Company’s employee
retirement benefit trust with retaining theauthority to give instructions on theexercise of voting rights and decides
whether or not to sell based on thepension financial situation.

yes

Note: In selection of top ranking companies in terms of the amount recorded on the balance sheet, Specified Investment
Shares and Deemed Shareholdings are not combined.
In addition, as for notes 1 through 3 for Specified Investment Shares, Deemed Shareholdings are treated in the samemanner.

(v) Dividend income, gain or loss on sales, and valuation gain or loss of shares for investment whose
holding purpose is pure investment in FY March 2024
(Mn JPY)
Classification

FY March 2024
Total amount ofdividend income

Total amount of gain
Total amount ofor loss on sales
valuation gain or loss

Unlisted shares

24,248–

Shares excluding unlisted shares

61,925(150)(Note 1)
228,416[(4,201)] (Note 2)

Notes: 1. For unlisted shares, “Total amount of valuation gain or loss” has not been provided because they have no market
price, and thus their fair value is extremely difficult to determine.
2. The figure shown in square brackets in “Total amount of valuation gain or loss” represents the amount of impairment
recognized in FY March 2024 that is included in the total.

(vi) Names, number of shares and amount on balance sheet of shares for investment whose holding
purpose was changed from purposes other than pure investment purposes to pure investment
purposes
FY March 2024
Names of listed shares

Number of shares(Shares)GRID

552,000

Total amount on balancesheet(Mn JPY)
1,863

Note: The total shown for the amounts of shareholdings regarding respective issues may not match the sum of the individual
amounts because the amounts are rounded down to the nearest million yen.

- 73 -

Appointment Standards for Directors and Audit & Supervisory Board Members andCriteria of Independence for External Members[Appointment of Directors]
1) Mitsui selects candidates for positions of Director considering the following appointment standard for
Directors.
- Person with excellent overall character who possesses qualities valuable for the management of Mitsui- Person possessing both strong leadership skills and high moral caliber and with law-abiding spirit anda strong intention to contribute to public interest- Person with no health concerns for the execution of duties- Person possessing capability for smooth performance as a Director of “decision-making related to the
execution of operations of the Company” and “oversight of the execution of duties by Directors” to be
conducted by the Board of Directors- Person excelling in capability, foresight and insight to make best judgment for the Company strictly incompliance with duty of care of a good manager and duty of loyalty expected of a Director and inaccordance with the “business judgment rule”
2) Selection of candidates for positions of Director is conducted after confirmation is obtained from theNomination Committee that the necessary requirements based on the selection processes and theappointment standard for Directors established by the Nomination Committee are fulfilled.
[Appointment of External Directors]
1) Mitsui has decided that as the appointment standard for External Directors, the prospective person’s
extensive business experience and knowledge are required to deliberate on such Board of Directors
meeting proposals as investments and loans, and knowledge of his or her particular area of business isused.
2) Mitsui has decided that in selecting candidates for the positions of External Director, it puts great value
on ensuring their independence from Mitsui in the pursuit of their management oversight functions. Also,with a view to overseeing business operations in a way that reflects the standpoint of our diverse
stakeholders, Mitsui takes into consideration the field from which candidates originate, along with theirgender.
Given that Mitsui is a general trading company with extensive business dealings, it has been decided to makeappropriate efforts by the Board of Directors to handle with likely conflicts of interest involving theprospective External Director in individual transactions with external parties.
[Appointment of Audit & Supervisory Board Members]
1) Mitsui selects candidates for positions of Audit & Supervisory Board Member giving consideration to
the following appointment standard for Audit & Supervisory Board Members.
- Person of excellent personality and considerable insight, possessing outstanding capability andachievements or abundant knowledge in the fields of legal affairs, financial affairs and accounting,business management, and other various fields- With respect to Internal Audit & Supervisory Board Members, person well-acquainted with actual
conditions of the Company and possessing capability to conduct appropriate audits
2) For the selection of candidates for positions of Audit & Supervisory Board Member, Directors prepare a
proposal for election through consultation with Audit & Supervisory Board Members and obtainagreement of the Audit & Supervisory Board in advance. The Audit & Supervisory Board deliberates on
the advisability of agreeing with the proposal for election of Audit & Supervisory Board Members to besubmitted to the General Meetings of Shareholders by the Board of Directors.
[Role and appointment of External Audit & Supervisory Board Members]
External Audit & Supervisory Board Members are appointed with the objective of further heightening theneutrality and independence of the auditing system, and it is particularly expected that External Audit &Supervisory Board Members objectively express their auditing opinions from the standpoint of neutrality,
building on such factors as that independence. When selecting candidates for positions of External Audit &- 74 -

Supervisory Board Member, the Audit & Supervisory Board confirms that no issues with independence arise
by taking into consideration not only the appointment standard provided for in “Appointment of Audit &Supervisory Board Members” above, but also such factors as relations with the Company, the management
and important staff.
[Criteria of independence]
External Directors or External Audit & Supervisory Board Members of Mitsui (hereinafter referred to as“External Members”) who do not fall under any of the following items are to be judged to have independence.
1) Person who is currently or was in the past 10 years an Executive Director, Executive Officer, Managing
Officer, manager, employee, administrative officer, etc. (hereinafter referred to as “executing person”) of
Mitsui or Mitsui’s consolidated subsidiaries
2) Person or the executing person of a corporation holding either directly or indirectly 10% or more of thetotal number of the voting rights of Mitsui
3) Person whose major business partner is Mitsui or Mitsui’s consolidated subsidiaries (*1) or the executing
person of the same
*1 If the relevant business partner received from Mitsui or Mitsui’s consolidated subsidiary the payment equivalent to
2% or more of its annual consolidated transaction volume in the most recent fiscal year or the relevant business partner
obtained from Mitsui or Mitsui’s consolidated subsidiary the money loans equivalent to 2% or more of its consolidated
total assets in the most recent fiscal year, the relevant business partner is deemed to be the person whose major
business partner is Mitsui or Mitsui’s consolidated subsidiary.

4) Major business partner of Mitsui or Mitsui’s consolidated subsidiary (*2) or the executing person of thesame*2 If Mitsui or Mitsui’s consolidated subsidiary received from the relevant business partner the payment equivalent to
2% or more of Mitsui’s annual consolidated transaction volume in the most recent fiscal year or the relevant business
partner provided Mitsui or Mitsui’s consolidated subsidiary with the money loans equivalent to 2% or more of Mitsui’s
consolidated total assets, the relevant business partner is deemed to be the major business partner of Mitsui or Mitsui’s
consolidated subsidiary.

5) Person who is in charge of auditing operations of Mitsui or Mitsui’s consolidated subsidiary, as partners
etc. of the auditing firm of the Independent Auditor of Mitsui or Mitsui’s consolidated subsidiary6) Person providing professional services such as consultant, lawyer and certified public accountant who
received from Mitsui monetary payment or other property benefits 10 million yen or more in total otherthan officer remuneration in the most recent fiscal year (if the one who received the relevant property isan organization such as corporation and association, it shall be referred to the person who belongs to anorganization which received from Mitsui property benefits more than higher of either 10 million yen or
2% of the consolidated gross sales of such organization)7) Person or the executing person of a corporation who received the annual total of 10 million yen or moreof donations or aid funds from Mitsui or Mitsui’s consolidated subsidiary in the most recent fiscal year
8) Person who has fallen under any of 2) to 7) above in the past three years9) Spouse or relative within the second degree of kinship (hereinafter referred to as “close relatives”) of theperson who is currently or has been recently the important executing person of Mitsui or Mitsui’s
consolidated subsidiary (including Director who is not the executing person in the case of External Audit& Supervisory Board Member)10) Close relatives of the person who currently falls or has fallen recently under any of 2) to 7) above(excluding the one who is not important)
The full text of the “Mitsui & Co., Ltd. Corporate Governance and Internal Control Principles”, in which theabove are stipulated, is available on the Company’s website.
(https://www.mitsui.com/jp/en/company/outline/governance/system/pdf/corp_gov.pdf)- 75 -