June 21, 2024
Inabata & Co., Ltd.
● Expertise and experience required of the Company’s directors (skill matrix)
Business &Name(*female)

InsideKatsutaro Inabata

Globalmanage-Electro-

Materials/

mentnics/

Chemi-Energycals●

Toyohiro Akao

Legal,industry knowledge

Finance &Food/
Life●
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HR &

IT &

ment &labor

digitalDirector●

internal

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Outside/Independent

Director(Audit and Supervisory
Committee Member)

Outside/Independent Inside●

Osamu Chonan●●

Hisayuki Suekawa●●

Nobukazu Kuboi

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●●Tomokazu Fujisawa●Noriya Yokota●Shiho Ito*

ESG●
●Takashi Shigemori

Minoru Sanariing

manage-control

Kenichi Yokota

Takako Hagiwara*account-risk

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[Our way of thinking about the skill matrix]
Management philosophy of Inabata & Co., Ltd. is “People come first, based on the spirit of“love (ai)” and “respect (kei),” and together we strive towards contributing to the developmentof society,” and our vision is “To continually evolve, serving clients and society, through global
operations and meeting their changing needs.” In addition, with around 2030 in mind, wehave set “IK Vision 2030” as a long-term vision that envisions our future status, and havepositioned the new mid-term business plan “New Challenge 2026” (“NC2026”) as a step towardthat long-term vision.
In identifying the skills expected of directors, we have decided from the viewpoint of the kindof skills that are required to build systems that enable the board of directors of the Company
to fulfill the functions relating to decision-making and the supervision of business execution,
as we expand globally, based on this management philosophy, vision, the long-term vision “IKVision 2030,” and the new mid-term business plan “NC2026.” From this point of view, we havespecifically identified the following skills and formulated a skill matrix.

●[Skills that our Board of Directors are expected to have]
1. Global management
We are expanding our business globally, and in particular, in our long-term vision “IK Vision2030,” we anticipate that the overseas business ratio will be 70% or greater. From this pointof view, in order to plan the future growth of Inabata & Co., Ltd., we believe that it is extremely
useful to appoint those who have knowledge of global corporate management as directors.
Therefore, especially when inviting outside directors, we make sure to include managers ofcompanies that are developing business globally, especially top management, or those withequivalent experience. The Global Management item in the skill matrix is based on top
management of a company that is developing business globally or whether the candidate hasexperience equivalent to this.
When judging the candidates under this requirement, Messrs. Katsutaro Inabata, Osamu
Chonan, and Hisayuki Suekawa all have abundant experience as executive managers inglobal companies, demonstrating their global management skills.
2. Business & industry knowledge
In managing a specialized trading firm like ours, first and foremost, vast expertise andexperience in each business field is indispensable. In particular, regarding executive directors
who are in charge of business execution, it is extremely important in practice to thedevelopment of the business of a trading firm like ours to hold a wide range of knowledge,
experience and personal connections in each of our business fields, and when appointing
executive directors, we give consideration to balance among those who have knowledge of theCompany’s business fields. More specifically, Mr. Katsutaro Inabata was engaged in theCompany’s plastics segment for many years. Mr. Toyohiro Akao was engaged for many years
in the information & electronics segment, and then, after being appointed director, hesupervised the chemicals and lifestyle industry segments. These two executives possess
knowledge and experience concerning different businesses of the Company.
When inviting outside directors, we give consideration to the broad knowledge and experiencein various business fields, and aim to include individuals capable of providing supervision andopinions on business strategies from an objective perspective. In regard to the candidates foroutside director, all of the candidates have valuable expertise in their respective fields ofbusiness gained from work at other companies.

3. Finance & accounting
Financial strategy (corporate finance) in corporate management is of course important, andwe believe that we need someone among executive directors who is responsible for financial
strategy and can lead efforts to improve corporate value through various dialogues withinvestors. Mr. Kenichi Yokota has long served in management positions in the finance,accounting, and IR departments, and as part of his duties, he has held dialogues with various
investors and provided valuable feedback to Company management as part of his consistentefforts to strengthen corporate governance and enhance corporate value. Mr. Takashi
Shigemori was engaged in the finance and accounting affairs at a global chemical company.
Additionally, after being appointed director at that company, he oversaw its finance andaccounting operations.
In addition, in order to strengthen the supervisory function for business execution, we believethat it is useful to include those who are familiar with finance and accounting among directors
who are Audit and Supervisory Committee members. Mr. Nobukazu Kuboi has long been
engaged in the Company’s finance and accounting operations. After being appointed full-time
audit & supervisory board member, he was engaged in the Company’s audit operations. Mr.
Noriya Yokota has held the position of CFO at a major global alcoholic beverages and softdrinks manufacturer. He has extensive knowledge and experience in finance, accounting, andIR operations. Ms. Shiho Ito has specialized expertise as a certified accountant. She has many
years of experience in accounting audits at various companies, and this experience will bevaluable in strengthening the Company’s supervisory function for business execution.

4. Legal, risk management & internal control
At Inabata & Co., Ltd., which is expanding its business globally, there are various risks suchas credit risk of business partners, risk related to business investment, latent risk associatedwith overseas business activities, foreign exchange fluctuation risk, and commodity market
fluctuation risks. Therefore, risk management is extremely important for management. As
director, Mr. Katsutaro Inabata has had direct control over the internal audit department,
and in that capacity he has been closely involved with risk management and internal controls.
In addition, he has served for many years as chair of the Compliance Committee. Mr. Kenichi
Yokota has served for many years as chair of the Company’s Internal Control Committee while
being directly involved in the establishment of internal control systems. After being appointed
director, he has been in charge of the legal and risk management departments.
In addition, we are committed to management that emphasizes compliance above all else, andin order to strengthen the supervisory function for business execution, we believe it is useful
to include those who are familiar with the law among directors who are Audit and Supervisory
Committee members without fail. Mr. Minoru Sanari is a registered attorney with expertisein all aspects of corporate legal affairs accumulated through his years of work as in-houselawyer at the largest city gas company in Japan.
Additionally, we have chosen to be a company with an audit and supervisory committee withthe aim of expediting management decision-making and strengthening the supervisory
function for business execution. Companies with an audit and supervisory committee arerequired to make effective use of the company internal control system to conduct systematicaudits. From this point of view, we believe that it is essential to include those who havespecialized knowledge and experience in internal control and auditing among directors whoare Audit and Supervisory Committee members. Mr. Nobukazu Kuboi has been engaged in
the establishment of internal control systems since the rollout of the J-SOX system. Mr.
Tomokazu Fujisawa has extensive hands-on experience in internal control and auditing
systems. His experience includes auditing at a major global pharmaceutical company andserving a full-time audit & supervisory board member and a director who is an audit andsupervisory committee member. Ms. Shiho Ito has extensive expertise and experience ininternal control and auditing after having been engaged in internal controls and audits ofvarious companies over many years as an employee of major audit firms.

5. HR & labor
In a trading firm like ours, human resources are our greatest asset, and human resource
development is an important management issue in the medium to long term. The new midterm business plan “NC2026” places a priority on improving the well-being of employees who
support our sustainable growth, promoting diversity and inclusion, further expanding healthand productivity management initiatives, and making greater investments in our humancapital. To implement this strategy, we believe it desirable for directors to include those whohave experience and skills in HR and labor, and we place great importance on this perspective
when inviting outside directors. During his experience as director, Mr. Katsutaro Inabata has
been in charge of the human resources department. Mr. Kenichi Yokota currently is in chargeof the human resources department and has extensive experience reforming various personnelsystems.
In addition, Ms. Takako Hagiwara has experience in human resources management at a major
global electronics manufacturer. Since her appointment as outside director, she has used her
extensive experience to provide advice and insights on the Company’s human resources
strategies and on the priority management issue of diversity promotion. Mr. Noriya Yokota
has extensive experience in human resources and labor, having served as director of groupwide human resources and general affairs at a major alcoholic beverages and soft drinks
manufacturer.
6. IT & digital
The Company’s new mid-term business plan “NC2026” includes a medium-term digitalstrategy as one of the core management strategies. The basic policy behind the new digitalstrategy is to enhance the management information infrastructure and strengthen group-widesecurity. To implement the digital strategy and promote data-driven management and digitaltransformation initiatives, we need specialized expertise in IT and digital technology. In
addition, threats to information security have been increasing year by year, and we believethat IT/digital skills are necessary to strengthen countermeasures against these.
Mr. Kenichi Yokota holds multiple national certifications in the IT and digital fields forinformation technology engineers and other experts. With that specialized knowledge, he has
led many initiatives aimed at strengthening the Group’s overall information security.
Additionally, Mr. Takashi Shigemori and Mr. Noriya Yokota both have broad expertise in theIT and digital field, having served as CIOs or equivalent positions at major global companies.

7. ESG
Inabata & Co., Ltd. established the Sustainability Committee in October 2021 and considers
the promotion of sustainability to be an important management issue. We also consider
improving the external evaluation of ESG as an important issue. From this point of view, webelieve that it is necessary to include those who have knowledge of sustainability and ESG incorporate management among directors, and we take these points into consideration wheninviting outside directors.
Mr. Katsutaro Inabata has expertise in all areas of ESG, having served as chair of theCompany’s Sustainability Committee. Mr. Kenichi Yokota has led initiatives to improve
corporate governance, and while in charge of human resources, he implemented employee
engagement surveys and health and productivity management programs. Through theseinitiatives, he has developed particular expertise in the Governance and Society aspects ofESG. Mr. Nobukazu Kuboi was closely engaged in worksite-level initiatives to introduce a
corporate governance code. He has developed particular expertise in the Governance aspect ofESG.
Additionally, Ms. Takako Hagiwara has extensive experience in human resources
policymaking and diversity promotion strategies. She is expected to take a leading role inmaking recommendations in the Society area of ESG. Mr. Noriya Yokota has been in chargeof management strategies at a major alcoholic beverages and soft drinks manufacturer thathas demonstrated leadership among Japanese companies for its advanced initiatives in theenvironmental area. He is expected to take a leading role in making recommendations in theEnvironment area of ESG.