MOL Group Corporate Management Plan

Taking the leap to becoming a global
social infrastructure company
March 31, 2023

The meaning behind
We, Mitsui O.S.K. Lines Group, which aims to achieve
new growth while expanding its field as a social
infrastructure company with its origins in the sea, hassymbolically named this challenge "BLUE ACTION*"
while valuing the preciousness of the ocean and theglobal environment.
We have also put it on the name of our new
management plan with its target year of 2035.

* Since October 2022, we have launched a PR promotion titled “BLUE ACTION MOL”
as a common term for MOL Group’s sustainable actions

which will achieve both the growth of MOL Group and the sustainability of society

2

Table of Contents
Introduction - Review of Rolling Plan and Overview of Sustainability Management
1. Long-term Changes in External Environment
2. Our Group’s Strengths
3. Vision for 2035
4. Business Portfolio Reform toward 2035
5. Financial Planning
6. Portfolio Strategy
7. Regional Strategy
8. Environmental Strategy
9. Addressing Sustainability Issues (Safety, Human Capital (HC), Digital Transformation (DX), Governance)
10. Action Plan - MOL Sustainability Plan (MSP)3

Introduction – Review of Rolling Plan (1)6 years have passed since we started a rolling approach management plan in FY2017 and our financial condition has improved
significantly since then. It is time for our group to anticipate the next stage and set new goals.

4Introduction - Review of Rolling Plan (2)In the new corporate management plan, we will change the previous rolling approach. While continuing to develop 3 core
strategies (portfolio, environment, and region), we will focus on presenting a trend towards realizing the Group Vision with amedium to long-term strategy.

Plan
RP2021
RP2022

Rolling Plan
Portfolio
Strategy
TOB toDaibiru /Utoc
Grow NonShipping
Business

Environmental
Strategy

Environmental
Vision 2.1

regional
strategy

Kicked Off
SpecialFormation for
India, to be
Enhanced to
Other Key
Areas

DX

Organizational
Strength

Initiatives for Sustainability Issues

Established
MOL Drybulk,
etc.
Envisage DXVision

Long-term
HR Plan

MOL Sustainability Plan (MSP)New Management Plan targeting 2035

5

Introduction - Overview of Sustainability Management
The implementation of BLUE ACTION 2035 supported by Corporate Mission and Values “MOL CHARTS” leads to the resolution ofsustainability issues, which in turn leads to an increase of our corporate value and the realization of the Group Vision.

Group
Corporate
MissionFrom the blue oceans, we sustain people's lives andensure a prosperous future.

Group
VisionWe will develop a variety of social infrastructurebusinesses in addition to traditional shipping businesses,
and will meet evolving social needs, including
environmental conservation, with innovative technology
and services.
The MOL group aims to be a strong and resilient
corporate group that provides new value to all
stakeholders and grows globally.

ValuesMOL
CHARTS

Challenge / Honesty / Accountability /Reliability / Teamwork / Safety6Introduction - Overview of"3 Core Strategies" taken over from Rolling Plan 2022 and the 5 most important items in the "Initiatives to Sustainability Issues,"
which is regarded as the foundation for the implementation of the 3 Core Strategies, will be placed at the center of BLUE ACTION
2035.
Group Vision

Vision for 2035
Long-term
Changes inExternal
Environment

Business Portfolio
Reform toward 2035

Core KPI

Profit Projection and
Investment Plan

Rebalancing Plan

Initiatives to Sustainability Issues

3 Core Strategies(Materiality)

Our Group’s
Strengths
Portfolio

RegionFinancial Plan andShareholder Return Policy

Environment

SafetyHuman Capital

DigitalTransformation(DX)

GovernanceMore detailed action plan “MOL Sustainability Plan” (MSP)
7

Introduction - Progress Monitoring Policy• We have set a target timeframe to realize the Group Vision for FY 2035 and divided the timeframe into 3 phases.
• “What We Want to Be in 2035” and “Target Business Portfolio” will be maintained through Phase 1.
• Regular monitoring of Core KPIs and annual update of action plans will commence in FY 2024.

2023

2024

2025

Phase 12030

Phase 22035

Phase 3

FY 2023 to FY 2025

FY 2026 to FY 2030

FY 2031 to FY 2035

Set a specific action plan

Continue the same
framework

Complete BLUE ACTION
2035 and prepare for the
next stage

Annual updateof action plan

Set action plan forPhase 2 in FY 2025
(the last year of Phase 1)

(FY)

8

１ Long-term Changes in External Environment
The business environment surrounding our group is changing rapidly.
In BLUE ACTION 2035, we have carried out a long-term megatrend analysis to envision the world and social structure of the future.
Key points of the long-term megatrend analysis
Long-term changes in macro external environment

Impact on our group's business environment• Slow growth in global economy• Slow growth in demand for transportation• Countermeasure to climate change• Energy shift (progress in electrification: increase of renewable energy)• Advances in technology• Strengthening environmental regulations• Development of circular economy and local production for local
consumption• Improved energy efficiency, shrinking demand for fossil fuel• Population growth/Change in population percentage in regions• Shift in the center of gravity of economic growth• Increased geopolitical risks• The rise of protectionism• Rebuilding the supply chain• Change and diversification of people’s values• Growing share of intangible service consumption in economic growth• People’s shift from quantative wealth to qualitative affluence• Expansion of impact investments

9

２ Our Group’s Strengths
For almost 140 years since our foundation, our group has used the sea as its main stage to build relationships with various
countries, companies, and people worldwide and to take on new business challenges.
In BLUE ACTION 2035, we have reconfirmed our strengths which have been fostered through a history of challenges.

Strengths fostered by our group• Track record in providing safe and stable transportation services as amultimodal shipping company• Strong partnerships with the world‘s leading companies, trust from customers
and society• Global group networks and the talented people who work there• Strong financial base to support business sustainability

What our group has always valued• Customer-oriented ethos• Steady improvement of safe and reliable operations• Strong sense of mission to build social infrastructure and a challenging spirit

Unite strengths and realize
what we want to be• Lead the industry and customers by
anticipating social needs• Expand business domains globally anddeliver new value to the world• Create conventional economic value aswell as social value

10

３

Vision for 2035 (1) Group Vision

3 Core Strategies and Initiatives for Sustainability Issues in Realizing Group Vision１

Develop a variety of social infrastructurebusinesses in addition to traditional
shipping businesses

What we want to achieve• Reform to a portfolio that can maintain profitability even during a shipping recession• Pursue both investment for growth and a yield that meets shareholders’ expectations (ROE 9 ~ 10%)

Business Size and Portfolio in FY2035• 400 billion yen of profit before tax/7.5 trillion yen of total assets• Market Driven Business : Stable Revenue Business = 40 : 60 @asset ratio

２

Meet the evolving social needs,
including environmental conservation,with innovative technology and services

SafetyDigital Transformation(DX)

Regional Strategy
Environmental Strategy

３

Be a strong and resilient corporategroup that provides new value toall stakeholders and grows globally.

Environment
Environmental Strategy

Portfolio Strategy

Human Capital (HC)Regional Strategy

Digital Transformation(DX)
Governance11

３

Vision for 2035 (2) Core KPI settings

Envision what we want to be from multiple perspectives by Core KPIs and monitor the progress of corporate management plan

Initiatives

Key Points of Phase 1 (~2025)

What we want to be in 2035

Pursue both investment for growth anda yield that meets shareholders’ expectations(ROE 9 ~ 10%)

See slide 11.

Portfolio

Measure and manage business profitability bysegment ROA and company-wide capital costs

Reform to a portfolio that can maintainprofitability even during a shipping recession

Region

Shift to an organizational structure to promotebusiness globally which supports portfolio
ReformDemonstrate presence in the global market asa global social infrastructure company

Environment

Implement and accelerate Initiatives
1 – 5 to achieve the MOL Group
Environmental Vision

Achieve GHG reduction targets set forth in the
MOL Group Environmental Vision

SafetyContinuously achieve “4 Zero*” with innovationfor our initiatives in safety

Establish a safety culture across regions andbusiness units

Human Capital

Centralize human capital planning acrossglobal MOL group as well as headquarters

Support achieving Group Vision from ahuman capital perspective

DigitalTransformation

Focus on changes in “Business” and “Culture”

Be a leading company using digital power toaddress social issues not limited to shipping

OverallFinancial
KPI

NonFinancial
KPI* 4 Zero = Zero for serious marine accidents, marine pollution caused by oil pollution, fatal industrial accidents, and serious cargo accidents

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３

Vision for 2035 (2) Core KPIs

Milestones in the final years of Phase 1 and 2 and Goal for the final year of Phase 3

Financial
KPI

NonFinancial
KPI

KPI

FY2022
Forecast

Phase 1
FY2025Phase 2
FY2030Phase 3
FY2035

Profit before tax (unit: JPY)

785 bil*1

240 bil

340 bil

400 bil

Net Gearing Ratio*2

0.83

0.9~1.0

ROE

47.5%

9~10%

Environment

GHG emissions intensity
reduction rate
(Compared to 2019)

Safety4 Zero*3

HumanCapitalDX▲3.6%(Results in 2021)-

Unachieved▲45%

Achieve(One fatal accident)

Percentage of female employees
in managerial positions(Office workers, non-consolidated)

9.2%

15%

Percentage of MGKP*4
incumbents(Female/Non-HQ/Under 40s)

5%/20%/10%

8%/30%/15%-

10%Conversion rate to value
creation and safety work
(cumulative)-[Reset by the end of Phase 1]

20%

30%

*1 FY2022 forecast shows ordinary profit. (Forecast as of FY2022 3Q)*2 The amount of interest-bearing liabilities is assumed to include off-balance assets (approx. 900 billion yen) such as charter hire liabilities that should be factored-in after IFRS is adopted.
*3 4 Zero = Zero for serious marine incidents, oil pollution, fatal accidents and serious cargo damage*4 MOL Group Key Positions, designated as equivalent to General Manager in Head Office, to be appointed and managed centrally across the group13

４

Business Portfolio Reform towards 2035 (1) Basic Policies
Concept focusing on “Profitability” and “Volatility”

In the market driven business, we will pursue high returns during booms in the shipping market, whilst increasing the weight ofthe stable revenue business, to ensure profitability even during recession periods. In the stable revenue business, we will further
grow not only long-term contracts for shipping but also the non-shipping business that we have been accelerating since the
Rolling Plan.
(Asset ratio)

MarketStableDriven : Revenue
Business
Business(Reference)
Shipping :NonShipping

FY2022
Forecast

50:50

FY2035Plan

Field

Our Business

Shipping

Containership
Car Carrier

Correlation withshipping market
Market Driven
Business(Highly correlated)= High volatility

Dry Bulk
Tanker

40:60

Liquefied Gas Carrier

75:25

Portfolio Strategy

60:40

NonShipping

Regional Strategy

Offshore Business,
Offshore Wind Power,
Alternative Fuel Business,
Logistics, Real Property,
Ferries, Cruises

Stable Revenue
Business(Low correlation)= Low volatility

Environmental Strategy
14

４

Business Portfolio Reform towards 2035 (2) Rebalancing Plan
Rebalancing in terms of profitability and volatility

Taking into account the growth potential and the alignment with our environmental strategy for each business, we will proceedwith asset rebalance so that the profitability of the entire company exceeds the volatility, and achieves both risk-taking throughincreased investment and a business portfolio that can maintain profitability even during recessions in the shipping market.

FY2015 - FY2019 (Before COVID)

FY2035

Asset increment in Liquefied Gas
Carriers, Offshore Business andReal Property is higher than others

The profitability of Containerships,
Car Carriers (PCC) and Dry Bulk is
improved notably but asset increase
is relatively restrained*The size of the circle indicates the amount of total invested assets

15

４

Business Portfolio Reform towards 2035 (2) Rebalancing Plan
Breakdown of asset allocation

While total assets will increase, the breakdown of asset increments will be more skewed to the stable revenue business, with abalanced profit structure.
Asset Ratio Trend (Billions of Yen)

Profit Ratio Trend (Billions of Yen)

Market Driven : Stable Revenue
Asset ratio in 2035 40:60(Profit ratio 60:40)

Market Driven BusinessStable Revenue Business(Reference)
Shipping: Non-Shipping
Asset ratio in 2035 60:40(Profit ratio 70:30)
Shipping
Non-Shipping(Note) Results in Dry Bulk and Tanker are allocated to market
driven business and stable revenue business.

16

４

Business Portfolio Reform towards 2035 (3) Profit Projection
Profit level at the end of each Phase (profit before tax)

(Unit: billions of yen)

FY2022*1

FY2025

FY2030

FY2035

Dry Bulk Business

58.0

25.0

29.0

31.0

Energy Business*2

42.0

70.0

84.0

96.0

Product Transportation Business

675.0

124.0

195.0

225.0

591.0

67.0

140.0

160.0

Wellbeing Lifestyle Business

8.0*1

19.0

29.0

45.0

Associated Business and Others

2.0

2.0

3.0

3.0

Total (A)

785.0

240.0

340.0

400.0

Projected Total Assets*3 (B)

4600

5400

6400

7500

ROA (A)/(B)

17.9%

4.4%

5.3%

5.3%

62.0/8%32.0/4%96.0/40%54.0/22%136.0/40%
86.0/25%160.0/40%
120.0/30%

Of which, containership business(Reference)

Profit from Stable Revenue Business/Ratio
Profit from Non-Shipping Business/Ratio*1 Figures in FY2022 indicate ordinaly profit as of FY2022 3Q. In FY2022, profit in Wellbeing Lifestyle Business consists of real property business only.
*2 The steaming coal transportation business and the chemical tanker business, both of which belong to multiple business units, are included in the “Energy Business."*3 Off-balance sheet assets under J-GAAP such as future charter fees are provisionaly calculated and factored-in. Precise calculation in accordance with IFRS will be verified later.

17

４

Business Portfolio Reform towards 2035 (4) Investment Plan
Breakdown in Phase 1

Towards 7.5 trillion yen in total assets projected by FY2035, we intend to invest approx. 3.8 trillion yen in total for Phase 1/2/3,
including 1.2 trillion yen in Phase 1.

Guidelines for Investment Amount by Business Units (On a cash-out basis. M&A, including deals led by regional organizations.)(Unit: billions of yen)

Market Driven
Business

Stable Revenue
Business

Total

Investment aligned withEnvironmental Strategy

Dry Bulk Business

70.0

40.0

110.0

88.0

Energy Business

110.0

420.0

530.0

440.0

Product Transportation Business

120.0

160.0

280.0

100.0

Wellbeing Lifestyle Business

-

275.0

275.0

22.0

Others

-

5.0

5.0

-

Total

300.0

900.0

1,200.0

650.0* Not including reinvestment by equity method affiliates* Includes investments which have been already decided (approx. 540 billion yen)18

５

Financial Plan (1) Shareholder Return Policy
Basic Plan

Policy in Rolling Plan 2022

Policy in Phase 1 of BLUE ACTION 2035

• Payout ratio: 25%• Payout ratio: 30%• Minimum dividend: 150 yen per share• Potential share buybacks subject to business environment

Payout Ratio(Yen per share)

20%

25%

30% (Minimum: 150 yen)

Dividend per share*to the figures after the stock split
converted.

150

Ideas behind return policy

•
•
•
•

Promote active investments with accumulated profits, which will lead to profit expansion and corporate value increase
Increase payout ratio to 30% and return the outcome of growth to shareholders
Introduce minimum dividend to prevent underpayments even if lower shipping market cycles occur
When profits exceed original expectations, capital controls such as additional shareholder retun may be implemented with 9~10% of ROE
target in mind,
19

５

Financial Plan (2) Cash Allocation
Outlook in Phase 1

Cash Frow from Operating Activities generated by both market driven business and stable revenue business will be utilized for
active investment in growth and stable shareholder returns.
Cash-in

Leverage external funds while
controlling Net Gearing Ratio

Continue asset replacement andcash generation

Cash-out

Dividend
190 billion yen
External Financing
460 billion yen

Investment BreakdownMarket Driven
300 billion yen

Asset Replacement
150 billion yen
Periodical review
subject to theprogress of BLUEACTION 2035

Stable generation of
250 billion yen of CF fromOperating Activities every year

Increase payout ratio from 25% to 30% as well as set 150 yen ofminimum guaranteed dividend.
Consider additional shareholder returns subject to businessenvironment

CF from Operating
Activities
780 billion yen

Investment
1.2 trillion yen
Stable Revenue
900 billion yen

Investment aligned withEnvironmental Strategy

Reduction of ourGroup’s GHG Emissions
350 billion yen

Low/Decarbonization
Energy Business300 billion yen

20

６

Portfolio Strategy

Improve capital efficiency, Apply IFRS, and Pursue M&A• Set ROA targets for each business segment and change the individual investment criteria to meet them. To improve capitalefficiency as well as profit scale, and to achieve our overall ROA that exceeds ROA Cost of Capital, we will continue to invest in
market driven business where high returns are expected, while increasing the inclination to invest in stable revenue business
which provide low returns at low volatility.
• Proceed with application of IFRS (International Accounting Standards) at earliest timing.
• Pursue M&A opportunities with a sense of speed for efficient portfolio Reform.
Definition(%)

Total Assets(Onbalance + Off-balance)

Cost

ReturnROA

Profit before Tax

Definition

ROA
Cost of Capital(%)

Capital cost
before tax

Convert to a total asset basis

Deduct interest
expenseWACC(Net Debt + Shareholders’ Equity)

Interest
expense(1-Tax)Total Assets

Total assets

Calculate the company-wide ROA Cost of Capital based on the formula above.
ROA targets for each business segment are allocated so that the company-wide ROA
exceeds the company-wide ROA Cost of Capital.

21

６

Portfolio Strategy
Action Plan (1)Dry Bulk Business

Energy BusinessDirection towards 2035

Directions toward 2035

Strategically increase our market exposure while dealing with changes in cargomix to capture high returns in shipping market booms.

Lead Green Transformation to aggressivly tackle the global trend of energy
shifts.

Action Plan

Action Plan

• Capture demand for transportation of new cargoes arising from thedevelopment of a decarbonized and low-carbon society and existing cargoesthat are expected to increase (biofuels, grains, fertilizers, semi-finishedproducts, etc.)• Develop a global commercial network to accommodate changes in the
global economy's supply chain and trade patterns.
• Enhance intelligence function to appropriately address changes in cargodemand, trade patterns, and shipping tonnage supply/demand• Develop environmentally friendly vessels that contribute to GHG emission
reductions• Increase market exposure tolerance to realize high returns<Tankers (including chemical tankers) >• Procure clean methanol as a marine fuel and acquire new business
opportunities, taking advantage of its partnership with Methanex
Corporation• Provide decarbonization solutions with alternative-fueled fleet<Liquefied Gas>
• Develop LNG Carrier fleet with mid- and short-term contract to increase ourmarket risk exposure based on megatrend analysis expecting increased LNG
demand in the future,• Increase LPG/Ammonia Carrier fleet<Offshore Business and Offshore Wind Power Business>• Participate in CCUS (Carbon Capture Utilization and Storage) business whichis expected to spread across Europe• Accumulate our trackrecord in participating in offshore wind power projects
in Taiwan and Japan, leading to the participation in associated business

22

６

Portfolio Strategy
Action Plan (2)Product Transportation BusinessWellbeing & Lifestyle BusinessDirection towards 2035

Direction towards 2035

Action Plan

Action Plan

Refine competitive advantages in containerships and car carriers as well as
achieve growth in non-shipping business by active investment in logistics.

<Containerships>• Maintain and expand the scale of advantage gained through ONE• Build up further advantage based on environmental and digital initiatives<Car Carriers>• Promote measures in environmental issues, enhance customer appreciation,and be our customers’ better choice as their partner• Prepare for the growing cargo demand from China and India<Logistics>• Position Utoc Corporation and MOL Logistics Co., Ltd. as core vehicles topursure further growth.
• Business expansion via M&A particularly in Asia

Develop a diversified business portfolio, including real property, ferries andcruises, to be a core pillar of our non-shipping business.

<Real Property>• Domestic: Expand asset types, challenge redevelopment and urban
develpment• Overseas: Seek new opportunities in new countries in Southeast Asia andIndia as well as expand our footprint in Vietnam and Australia,<Ferries>• Maximize the benefits from the integration of MOL Ferry Co., Ltd. and Ferry
Sunflower Limited• Strengthen our marketing capability of cargo and passenger businesses<Cruise>• Prepare for the launch of new cruise fleet and innovate our "Nippon Maru"
brand• Expand our customer base of overseas customers, especially inboundtravellers, as well as domestic customers

23

７

Regional Strategy

Shift to a global business promotion structure to support business portfolio reform

New Business
Promotion
Structure

Dedicated executive officers have been assigned to each region to strengthen the commercial and corporate structure of each region.
Accelerate promotion and training of non-Japanese executive candidates and promote business development led by regionalorganizations.
Improve the quality and speed of decision making, and enhance the collaboration between regional organizations and theheadquarters for business development and operation.

New businessdevelopment in nonshipping business inparticular

VisionStrengthening
competitiveness of ourshipping businessin each region

As a global social infrastructure business group, we will not only further refine our strengths in the domestic market in Japanbut also establish our presence in the global market and expand our business

Asia, Middle East, Oceania, Africa• Focus on regions where relatively high economic growths are
expected• In shipping, intraregional transport andin non-shipping, logistics, real property, offshore wind powerbusiness, alternative fuel business, etc.

Europe, Americas• Participate in business opportunities in both regions that are aheadin the environmental field and utilize the findings to expand ourbusiness in Asia and other regions.
• Investment in projects contributing to low-carbon anddecarbonization and alternative fuel business, including
participation in its supply chain.

24

８

Environmental Strategy (Initiatives to Sustainability Issues – Environment)
Update MOL Group Environmental Vision in April 2023 and continues to be a leader in environmental initiatives

25

８

Environmental Strategy (Initiatives to Sustainability Issues – Environment)“Action No. 1 – Adoption of Clean Alternative Fuels” in MOL Group Environmental Vision

In Phase 1, 16 LNG-fueled vessels will be delivered from shipyards. Preparation for the launch of zero-emissions ocean-goingvessels in the 2020s.
In addition to fleet arrangement, support the establishment of clean marine fuel supply chain leveraging our position as an offtaker through participating in projects from an early phase.
Investments in Phase 1 alignedwith Environmental Strategy

Alternative Fueled Fleet Roadmap(Vertical axis: Number of vessels operated by MOL)

(Cash out basis)

Already
DecidedNew

Subtotal

Reduction of ourGroup’s GHG Emissions

190.0

160.0

350.0

Low/Decarbonization
Energy Business

190.0

110.0

300.0

Total

380.0

270.0

650.0

(billions of yen)

Start reducing
emissions now byusing LNG ande/bio methanol

Increased use of e/bio
methane, shifting from
LNG (fossil fuel)

Increased use ofammonia and hydrogen fuels

Oil fuels

Bio-diesel

Ammonia/hydrogen

e/Bio methane / methanol

LNG

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９

Initiatives to Sustainability Issues – Safety
Innovation in safety initiatives

In FY2023, we plan to formulate a “Safety Vision”, a safety guideline for all of the MOL group that encompasses not only shipping
but also non-shipping business, with a concrete action plan “Safety Action 1.0”.
Changes in the internal environment

Changes in the external environment• Expansion of business areas in both shipping and non-shipping• Expansion of the fields where seamenare expected to be involved• Stakeholder requests for safety and security• Increased risks in terms of geopolitics, natural disasters and security(including cyber risks), etc.
• Evolution of technology

Direction of MOL Group Safety Vision

Establish a culture of safety across regions and business units
1. Outstanding capability in risk
and crisis management

2. Training and recruitment of seamen,
and appropriate allocation

3. Evolution and innovation of safety
quality by "technology innovation""S" in MOL CHARTS = Safety
Pursue the world’s highest level of a safety culture

ZERO TOLERANCE FOR FATAL ACCIDENTS ANDSERIOUS MARINE ACCIDENTS• Maintain a safety-first attitude and strive to reinforce safety awareness• Return to basics by comprehending workplace safety• Eradication of fatal accidents and serious marine accidents27

９

Initiatives for Sustainability Issues – Human Capital

HC Vision to be announced in April 2023 to Promote Human Capital Plan integrated across MOL Group globally
Demonstrate our group‘s views on “people” (officers, employees and seafarers of our group across the world) to internal/external
stakeholders, and demonstrate the value and attractiveness of working in our group.

HC Vision

All on Board, Success through Growth

Each individual who works in the MOL Group is essential for our sea-based social infrastructure business.
Each individual will be given the opportunity to develop strengths and achieve their full potential to provide new value,
thereby transforming our future.
The MOL Group, backed by our continuously growing and improving Human Capital, is underway on the blue ocean;sailing toward an exciting and bright horizon.
Basic Principle 1

Basic Principle 2

Basic Principle 3

Diversity, Equity & Inclusion

Mutually Empowered

Highly Engaged

We thoroughly respect human rights and comply
with all laws and regulations. We accept andwelcome a diverse range of colleagues, and create
opportunities that encourage each and everyone of
our people to play an active role in their own way.

We nurture an environment in which each andevery one of our people becomes a professionalwith a strong sense of ownership.
We collaborate with and mutually empower people
inside and outside the company. We enhance theabilities of each and every one of our colleagues,
transcending organizational and regionalboundaries, while maximizing group-wideorganizational capabilities.

We continue to create a group in which eachindividual can perform their best, feeling proud,
secure, healthy and energetic in belonging to thegroup.
We will create a basis for them to challengethemselves, thereby providing new value to theorganization.

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９

Initiatives for Sustainability Issues – Human Capital

Position Phase 1 as a "period of change," we launched a concrete action plan “HC ACTION 1.0”

HC ACTION 1.0

Basic Principle 1
Diversity, Equity
and Inclusion

Basic Principle 2
Mutually
empowered

Basic Principle 3
Highly engaged

1. Implementation of human capital acquisition and allocation
2. Achieving the right people in the right place(establishment of MGKP* and centralized management)
3. Implementing talent management using technology
4. Autonomous career development support
5. Improvement of employees’ engagement
6. Strengthening the capabilities of divisions managing human capital
7. Enhancement of attractiveness for Seamen

Demonstrate the above measures across the MOL group.
Achieve the transformation on track as soon as possible and support new business development with enhanced human capital.
*MOL Group Key Positions, designated as equivalent to General Manager in Head Office, to be appointed and managed centrally across the group.

29

９

Initiatives for Sustainability Issues – Digital Transformation (DX)
Drive change in both business and culture with DX Vision released in March 2023

We have set the overall roadmap and a concrete action plan “DX ACTION 1.0” for 3 years of Phase 1 under DX Vision

DX Vision

Towards the Blue Ocean, We TransformIntelligence and technologies unlock the potential of the sea. Inspiring diverse talents, we co-create new value.
Expertise and borderless creativity lead us towards the future. The blue ocean is our new frontier.
Towards the blue ocean, we will move ahead together with digital technology.

DX ACTION 1.0

Digitalizationand industryleading
operational
excellence

Digitization Initiatives
up until now~2025

Digitized/Digitalized

Promote digitalization andoptimize business processes

Transformation
to a leading company
using digital power
to address social issues

2026~

Transformed

Transform corporate value andsocial significance of the company
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９

Initiatives for Sustainability Issues – Digital Transformation (DX)
Focus on DX ACTION 1.0 to set transformation on track in Phase 1

DX Action 1.0 will focus on changes in two areas: “Business Transformation” and “Culture Transformation”.
The 3-year Action Plan will promote initiatives in the eight areas listed below
1. Data
2. Business process
Business
Transformation
with Digital

3. Business Management
4. Onboard Routine Tasks

DX ACTION
1.0

Change business,safety and service

5. Shore – Vessel Communication
6. Global Human Capital Management

CultureTransformation
with Digital
Change people,
organization and culture

7. Crews’ QOL
8. Nurturing New Value in Employees

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Initiatives for Sustainability Issues – Governance
Enhance overall governance to support the realization of Group VisionCorporate Governance• Evolution of Meeting of the Board of Directors (shift from a type of advising and making decisions on
individual matters into a type of strategy review and supervision for overall management)• Ensuring diversity in the Meeting of the Board of Directors (composition of independent outside, nonexecutive and executive directors, and their successors)• Rebuilding the corporate management base- Set KPIs and monitoring system for each business unit and region based on BLUE ACTION 2035
- Adoption of a management accounting system and IFRS enhancing overall optimization and transparency

Advanced Business
Management

Strengthened Intelligenceagainst Business Risks• Promotion of autonomous business development by regional organizations- Expand delegation of authority taking business and regional characteristics into account- Companywide monitoring with a chief officer system, and the establishment of a risk management system• Strengthening and implementing enterprise risk management including emerging risks(geopolitics, climate change and human rights, etc.)

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MOL Sustainability Plan (MSP)

Consists of a part of BLUE ACTION 2035 with minor updates in Initiative Focus
Updated summary (changes in FY2023 highlighted in blue)
Sustainability Issues

Initiative themes

Initiative themes• Value through Our Core
Business• Safety Levels• Creation of New Added Value• Climate ChangeCountermeasures• Preservation of Marine
Environments• Protection of Biodiversity• Prevention of Air Pollution

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Initiative themes

Initiative themes

Diversity, Equity & Inclusion
Mutually Empowered
Highly Engaged
Growing Together with Local
Communities• Groupwide Adoptionof Clean Energy• Increasing the Energy
Efficiency of Vessels• ICT Utilization for Safe,
Efficient Operation• Digital Transformation (DX)

Initiative themes
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Management Transparency
Information Security
Responsible Procurement
Respect for Human Rights
Fair Trade
Bribery Prevention

Targets
KPIs
Action Plan3334