Corporate Governance
CORPORATE GOVERNANCEIDEC CORPORATION

Last update: June 26, 2024

IDEC CORPORATION
Representative Director Chairman and President: Toshiyuki Funaki
Contact: 06-6398-2550
Securities Code: 6652
https://jp.idec.com

The corporate governance of IDEC CORPORATION (hereinafter referred to as the “Company”) is described below.

I Basic Views on Corporate Governance, Capital Structure, Corporate Profile and Other Basic Information
1. Basic Views
We, at the Company, believe that ensuring the transparency and efficiency of management for our stakeholders, including our shareholders, is thefoundation of our corporate governance. Therefore, we actively appoint outside directors, separate the management supervisory function and theexecution function, and always place importance on the transparency and efficiency of management.
We have also established and published the “IDEC Corporate Governance Policy,” which sets forth our views and operational policies regarding
corporate governance in the Company Group (hereinafter referred to as “the Group”).
“IDEC Corporate Governance Policy”: https://us.idec.com/media/governancepolicy2021-EN.pdf/[Reasons for Non-compliance with the Principles of the Corporate Governance Code]We respect the purpose of the Corporate Governance Code and are implementing all of its principles.

[Disclosure Based on the Principles of the Corporate Governance Code]Update[Principle 1.4 Cross-Shareholdings]
In the interest of maintaining its financial health, the IDEC Group does not, in principle, hold shares in other companies except when there is a rationale
for doing so.
A rationale for cross-shareholding exists when the Board of Directors has decided that a particular case of cross-shareholding promises to increase
the IDEC Group’s corporate value by realizing synergies and improving both sides’ competitive advantages in the market.
Such decisions must be based on a validation of the profitability of the cross-shareholding relationship that duly examines the risks, costs, and returns
involved from a medium to long term perspective, and must comprehensively consider the intended aims, such as maintaining and strengthening abusiness relationship or establishing a capital or business alliance.
Furthermore, the Company regularly validates the significance of existing cross-shareholdings in light of various criteria, including the purpose ofholding those shares. If a particular case of cross-shareholding is determined to be inappropriate, the shares are sold off after taking into accountdiverse considerations such as the impact on the Company and the market, and the issuer’s financial strategy.
We will not continue or reduce inappropriate transactions or interfere with the sale of shares due to shareholdings with companies which hold theCompany’s shares as cross-shareholdings. In addition, we will provide opportunities for dialogue with investors as necessary regarding the verification
details in the Board of Directors. We exercise our voting rights by comprehensively judging whether the investee company has established an
appropriate governance system, is making decisions that will lead to the enhancement of the Group’s corporate value over the medium to long term,
and is contributing to the enhancement of our corporate value.
[Principle 1.7 Related Party Transactions]
We have established a monitoring system whereby we periodically confirm with our directors whether or not there have been any related party
transactions, and when such transactions have occurred, the Board of Directors votes on them in accordance with the Company’s Board of Directors
Regulations, and the Audit and Supervisory Committee verifies the details of such transactions.
In addition, the Board of Directors appropriately oversees whether there are any transactions between the Company and its major shareholders andthe details of such transactions.
[Supplementary Principle 2.4.1 Ensuring Diversity including Promotion of Empowerment of Women] in the Company
1. Ensuring diversity in the promotion for core human resources
The Group will strive to create a work environment that promotes diversity, to allow every employee to work on a level playing field regardless ofgender, nationality, race, social status, family origin, religion, disability, etc., so that each and every employee with various personalities and values canfully demonstrate their abilities, based on the concept of “Management with respect for humanity.”(1) Cultivation and promotion of female managers
As part of efforts to develop an environment and culture in which a diverse range of human resources can take on challenges, we have been pursuing
initiatives enabling female employees to find success.
We set the target of raising the number of female managers at IDEC on a non-consolidated basis to 15 by the end of FY2025, and managed to achieve
this goal a year ahead of schedule by promoting initiatives such as awareness-raising training for all department general managers who play key roles
in promoting the success of female employees, and selective training for female managerial candidates. The ratio of female managers on a consolidated
basis was 23.9% in FY 2024.
(2) Recruiting and promoting a diverse range of human resources
To promote global business expansion, we hire a diverse range of talent irrespective of nationality, and make a point of developing an environment
conductive to those from various backgrounds, including efforts to produce multilingual records of important meetings.
We also hire individuals with diverse experience, including DX and AI-minded personnel who are able to drive business innovation, and those withhighly specialized knowledge that enables them to propose optimal solutions that address the issues faced by customers, or develop new products.
Going forward, we will continue to hire talent who possess the expertise and knowledge needed to strengthen our business.
2. Policies for human resource development and internal environment improvement aimed at ensuring diversity, and their implementation status
The IDEC Group has established the following as its main purpose: “Create the optimum environment for humans and machines, and to achieve safety,
ANSHIN, and well-being for people around the world.” This main purpose and the company’s vision (Pioneer the new norm for a safer and sustainable
world) constitute “The IDEC Way.” The goal of “The IDEC Way” is to realize a safer and more sustainable society that brings happiness and ANSHIN
to all people.
To achieve the vision of the IDEC Group, we will further expand our activities on a global scale and strive to contribute to the resolution of various
societal challenges through our business activities. To this end, we have made it a priority to hire and train personnel with diverse strengths who areable to manifest their capabilities and their passion and open the way to the future to become the leaders of the next-generation. We will continue toactively promote diversity & inclusion and carry out a variety of human resource development policies.
We will also protect the safety and mental and physical health of our employees, and will strive to ensure a healthy working environment that is freefrom discrimination.

[Principle 2.6 Roles of Corporate Pension Funds as Asset Owners]
With regard to the pension assets of the defined-benefit corporate pension plan, we receive regular reports from investment institutions on theinvestment status and investment policies, etc., and monitor them, taking into account the need to ensure the future payment of benefits to members,i.e., employees and beneficiaries, and the impact on the Company’s financial position. In addition, we are making efforts to assign and train personnel
with appropriate qualities to ensure that such monitoring can be carried out properly.
We have confirmed that our investment institutions accept Japan’s Stewardship Code (Principles for Responsible Institutional Investors), and by
entrusting the selection of individual financial instruments and the exercise of voting rights to these institutions, we ensure that there is no conflict ofinterest between the beneficiaries of the corporate pension plan and the Company.
[Principle 3.1 Full Disclosure]
1. Management Philosophy, Management Strategy and Management Plan
The Company actively disseminates information by posting the Top Message, Management Philosophy, Medium-Term Management Plan and theIntegrated Report (IDEC Report) on our website as follows:
Information for Shareholders and Investors: https://us.idec.com/idec-us/en/USD/ir-en
Medium-Term Management Plan: https://us.idec.com/idec-us/en/USD/about-IDEC/ir/medium-term-management-plan
Integrated Report (IDEC Report): https://us.idec.com/idec-us/en/USD/about-IDEC/ir/library/annual-reports
2. Basic Views and Policy on Corporate Governance
Please refer to “1. Basic Views” of “I. Basic Views on Corporate Governance, Capital Structure, Corporate Profile and Other Basic Information”
described above.
As of the date of submission of this report, the Company has 7 directors (excluding directors who are members of the Audit and Supervisory Committee),including 3 outside directors, and there are 3 outside directors who are members of the Audit and Supervisory Committee.
3. Policies for Determining the Remuneration of Directors
For the policies and procedures for determining the remuneration of directors, please refer to [Director Remuneration] “Disclosure of Policy on
Determining Remuneration Amounts and Calculation Methods” under “1. Organizational Composition and Operation” of “II. Business Management
Organization and Other Corporate Governance Systems regarding Decision-making, Execution of Business, and Oversight in Management” below.
4. Policy and procedure for director appointment and dismissal
The process of selecting candidates for directorships is based on a skills matrix outlining the expected skills and other requirements. The Nominating
Committee recommends candidates to the Board of Directors on the basis of the skills matrix review, and the nominations are made part of the agendaof the General Meeting of Shareholders through voting at a Board of Directors meeting attended by a majority of independent outside directors.
Directors who are deemed to no longer possess the expected skills and qualities of their position are considered for dismissal. Also, if a director isfound to have violated laws, regulations, the articles of incorporation, or otherwise be unfit for the discharge of their duties, the Board of Directors, acting
on a report by the Nominating Committee, votes on whether to include a proposal for the director’s dismissal in the General Meeting of Shareholders
agenda. This vote must be made at a meeting attended by a majority of independent outside directors.
5. Individual Reasons for Election of Directors
The reasons for the election and dismissal of individual directors of the Company are stated in the convocation notice of the General Shareholder
Meeting.
Notice of the 77th Annual General Meeting of Shareholders: https://us.idec.com/idec-us/en/USD/about-IDEC/ir/stock/meeting[Supplementary Principle 3.1.3 Sustainability etc.]
1. Commitment to sustainability
We consider the IDEC Group Code of Conduct, the CSR Charter, and the Ten Principles of the United Nations Global Compact to be importantcompasses for guiding our actions in line with our company philosophy, “The IDEC Way.” We are committed to helping achieve the Sustainable
Development Goals (SDGs) by tackling societal challenges through our business activities. Our efforts toward sustainability are being spearheaded by
the Sustainability Committee we launched in 2018.
Going forward, we will continue taking action under the Basic Sustainability Policy to resolve global challenges through our business activities, withthe ultimate aim of realizing a sustainable society. Our efforts include 1) advancing the safety, health, and well-being of all people through ourparticipation in and support for the Vision Zero campaign led by the International Social Security Association (ISSA) under the International Labour
Organization (ILO); 2) remaining attentive to climate change and other global environmental issues through our support for the Task Force on Climaterelated Financial Disclosures (TCFD); and 3) preparing to respond to future risks and opportunities.
2. Investment in human capital and intellectual property, etc.
As part of strengthening our business foundation, we conducted an employee engagement survey, extracted issues from the survey results, and havepromoted measures to address these issues. They include strengthening of human resource management systems, promotion of diversity and inclusion,
and workstyle innovation. Through the resolution of the issues that reflected the opinions of our employees, we will strengthen investment in humancapital and seek to improve employee engagement. Please refer to the following our website:
Social: https://us.idec.com/sustainability/social
As of May 31, 2024, the Company holds 228 patents and 332 design rights. We recognize that intellectual property is an important corporate asset,
make appropriate investments by filing applications and obtaining rights in order to secure advantages in our business and products, while respecting
the intellectual property of other companies and working to prevent infringement.
In the process of acquiring rights, we do not simply try to increase the number of rights, but conduct thorough examinations and follow full procedureswith the intention of utilizing the rights. Regarding the maintenance of the rights we hold, we re-examine all rights every year to keep up with changes
in products and to forestall other companies from gaining advantage, and reevaluate them as our property.
3. Impact of risks and opportunities related to climate change on the Company’s business activities and earnings, etc.
The Environmental Strategy Committee, a specialist committee of the Sustainability Committee chaired by the CEO, plays a key role in our efforts todisclose climate-related financial information.
The Environmental Strategy Committee is composed of employees from various departments and meets monthly under direction by the Senior
Executive Officer in charge of the Environment. Decisions made by the Environmental Strategy Committee are discussed by the Sustainability
Committee, reported to the Top Management Meeting for approval, then reported to the Board of Directors for final approval.
Progress on the goals set in the medium-term management plan started in 2022 are reviewed at bimonthly meetings, and response measures are
discussed if things are not progressing as planned. In FY2024, we also introduced a Performance Share Unit (PSU) system, as a medium-term incentive,
under which restricted common shares equivalent to up to 10% of compensation are allocated to directors and executive officers. Non-financial
indicators used in the calculation of PSUs include CO2 reduction ratio.
The Company has published the details of the above items in our website as follows:
Environment: https://us.idec.com/idec-us/en/USD/sustainability/environment[Supplementary Principle 4.1.1 Role and Responsibility of the Board of Directors]
We have established the Board of Directors Regulations, the Management Committee Regulations, and Administrative Authority Regulations, which
stipulate matters to be resolved by the Board of Directors, matters to be resolved by the Management Committee, and matters that can be decided

according to each position. Based on these regulations, the Board of Directors decides management policies and important matters, and based onthese policies and decisions, business execution is carried out by the directors in charge of business execution and executive officers.
[Principle 4.9 Independence Standards and Qualification for Independent Directors]
In order to ensure the transparency and soundness of management, we have established the “Policy on Independence of Outside Directors” as
described in [Independent Directors] “Matters relating to Independent Directors” under “1. Organizational Composition and Operation” of “II. Business
Management Organization and Other Corporate Governance Systems regarding Decision-making, Execution of Business, and Oversight inManagement” below. All of the 6 outside directors as of the date of submission of this report meet those requirements.
[Supplementary Principle 4.10.1 Use of Voluntary Structure]
As of the date of submission of this report, the Board of Directors of the Company consists of 10 members, of which 4 are inside directors and 6 are
independent outside directors, so the majority of the Board of Directors are independent outside directors.
As an advisory body to the Board of Directors, the Company has established the Nominating Committee and Remuneration Committee, the majorityof which consists of independent outside directors. For more details, please refer to [Voluntary Establishment of Nominating/Remuneration Committee]“Supplementary explanation” under “1. Organizational Composition and Operation” of “II. Business Management Organization and Other Corporate
Governance Systems regarding Decision-making, Execution of Business, and Oversight in Management” below.
[Supplementary Principle 4.11.1 Skill Matrix]
Since the Board of Directors of the Company supervises the execution of business and makes important policy decisions, we believe that it is desirable
for the Board of Directors to consist of directors who have diverse and abundant experience, broad perspectives, and a high level of expertise. The
knowledge, experience and skills of each director are disclosed as a skills matrix in the convocation notice of the General Shareholder Meeting, theIntegrated Report (IDEC Report), etc.
Notice of the 77th Annual General Meeting of Shareholders: https://us.idec.com/idec-us/en/USD/about-IDEC/ir/stock/meeting
Integrated Report (IDEC Report): https://us.idec.com/idec-us/en/USD/about-IDEC/ir/library/annual-reports
In addition, as of the date of submission of this report, 3 woman outside directors and 3 directors with management experience at other companies
have been appointed.
For the policy and procedures for the appointment of directors, please refer to the section 4 of [Principle 3.1 Full Disclosure] above.
[Supplementary Principle 4.11.2 Status of Concurrent Position of Directors]
In case a director in charge of business execution concurrently serves as an officer of another company, the Board of Directors Regulations stipulatethat the matter requires approval by the Board of Directors from the perspective of conflict of interest. In addition, if any director concurrently serves as
an officer of another listed company, it is disclosed in the business report (the convocation notice of the General Shareholder Meeting).
Notice of the 77th Annual General Meeting of Shareholders: https://us.idec.com/idec-us/en/USD/about-IDEC/ir/stock/meeting[Supplementary Principle 4.11.3 Evaluation of the Effectiveness of the Board of Directors]
1. Method of evaluation
In order to improve the effectiveness of the Board of Directors, an evaluation of all directors except the CEO has been conducted using a questionnairemethod every year since FY2016.
Since FY2022, a third-party organization has conducted the questionnaire survey and analyzed the responses. The results of their evaluation arereported to the Board of Directors, whose members share the issues identified and continuously strive to make improvements.
2. Results of third-party evaluations in FY2024
The FY2024 evaluation found that in terms of items such as strengthening ESG initiatives, the remuneration system, and succession planning,
evaluations improved since FY2023. The overall evaluation was generally positive, and the Board of Directors was evaluated as functioning effectively.
The Company has published the action and improvement to address the key issues in Integrated Report (IDEC Report).
Integrated Report (IDEC Report): https://us.idec.com/idec-us/en/USD/about-IDEC/ir/library/annual-reports[Supplementary Principle 4.14.2 Training for Directors]
When newly appointed executive officers take office, we will provide explanations of legal obligations, responsibilities, etc., as necessary, and provide
opportunities for outside directors to deepen their understanding of the Company's business. In addition, we will gather and provide various types of
information necessary for directors to fulfill their roles and functions, including information on the business environment and systems, and promoteparticipation in and holding training sessions using outside experts, etc. as necessary.
[Principle 5.1 Policy for Constructive Dialogue with Shareholders]
As for dialogue with shareholders and investors, including at company briefings, the executive officer who is an IR representative will be responsible
and strive to understand the Company’s shareholder structure. The executive officer will also organically collaborate not only with executive directors
such as representative director, executive officers and relevant divisions, but with outside directors as needed to work on the dialogue. The views andconcerns identified through the dialogue will be reported to the Management Committee and the Board of Directors as needed. To prevent insider
trading, efforts will be made to prevent leaks of insider information from the dialogue, pursuant to internal rules.
[Actions to ensure management that is conscious of cost of capital and stock price]
The IDEC Group has set shareholders’ equity cost at 8%, and based on that, set the weighted average cost of capital (WACC) at 6%. To generate
returns exceeding this mark and boost corporate value, we have established Return on Equity (ROE) and Return on Invested Capital (ROIC) as metrics,
which we aim to continually maintain at levels of 10% or higher.
In our medium-term management plan, we have strengthened our management structure by expanding net sales globally, optimizing sales prices toimprove operating income margins, reducing the cost ratio through the promotion of automation and improved efficiency in production, and appropriately
managing SG&A expenses. In addition, since it is necessary to enhance both profitability and capital efficiency to further improve ROE and ROIC, we
have consolidated our product line-up, revised unprofitable products, optimized fixed assets through a global site reorganization, actively expanded
investments leading to future reforms, and engaged in cash management. As a result, ROE and ROIC were 18.9% and 12.5% respectively in FY2023.
However, both sales and profit declined due to a deterioration of market environment in FY2024, combined with increased global inventory that took
longer than expected to sell through. ROE and ROIC also declined, ending up at 7.1% and 4.7 % respectively.
To ensure that the cost of capital continues to stay above 6%, we will drive improvements to capital efficiency including working capital and production
facilities, drive drastic cost reductions to further improve profitability by accelerating global site reorganization, business reforms DX and other
innovations.
The Company has published the Financial Capital including the above in Integrated Report (IDEC Report).
Integrated Report (IDEC Report): https://jp.idec.com/media/IDECReport2023-EN.pdf[Status of the Dialogue with Shareholders]
To gain their confidence in and fairly evaluate our management, the CEO, senior executive officers and head of the Strategic Planning Division play
active roles in IR and SR activities. This includes diligently responding to requests for interviews from shareholders and institutional investors. The

information acquired from those interactions, including appraisals and opinions concerning markets, is regularly reported to the Board of Directors, andsix such reports were made in FY 2024.
By sharing the opinions received as feedback with the Board of Directors, we can take concrete action to address them. We also work to enhanceinvestor relations tools such as our Shareholder Newsletter and website to better help shareholders and individual investors make informed investment
decisions, and proactively disclose our financial results and management strategies, as well as sustainability information, news and other topics.
The Strategic Planning Division, which is responsible for these activities, coordinates with related departments to collect and analysis various
management information. While ensuring thorough control over insider information, the division provides information internally and publicly in an timely
and appropriate manner.
Main details of dialogue and matters of interest-Business results and progress of the medium-term management plan
-Activities of the Nominating Committee and Remuneration Committee-The new remuneration system-Succession plans-Status of action and initiatives to address climate change-Response to human rights issues-Diversity & inclusion efforts-Approach to shareholder returns
The Company has published the status of the Dialogue with Shareholders in our website as follows:
Dialogs with Shareholders and Investors: https://us.idec.com/idec-us/en/USD/about-IDEC/ir/shareholder-dialogue

2. Capital Structure
Foreign Shareholding Ratio[Status of Major Shareholders]

From 20% to less than 30%

UpdateName / Company Name

Number of Shares
Owned

The Master Trust Bank of Japan, Ltd. (Account in trust)
Custody Bank of Japan, Ltd. (account in trust)
JP MORGAN CHASE BANK 385632
Funaki Kosan Ltd.
THE BANK OF NEW YORK MELLON 140044
Kazutaka Fujita
Toshihiro Fujita
JP MORGAN CHASE BANK 385781
INTERACTIVE BROKERS LLC
STATE STREET BANK WEST CLIENT - TREATY 505234

Controlling Shareholder (except for
Parent Company)―――

Parent Company

None

Percentage(%)

4,913,900
3,024,500
1,392,677
1,041,000
442,500
408,000
350,248
347,947
338,400
326,200

UpdateThe percentage is calculated after deducting treasury stock (3,789 thousand shares).

3. Corporate Attributes
Listed Stock Market and Market Section

Tokyo Stock Exchange
Prime Market

Fiscal Year-End

MarchType of BusinessElectric Appliances

Number of Employees (consolidated) as of
the End of the Previous Fiscal Year

More than 1000

Sales (consolidated) as of the End of thePrevious Fiscal Year

From 10 billion to less than 100 billion

Number of Consolidated Subsidiaries as of
the End of the Previous Fiscal Year

From 10 to less than 50

4. Policy on Measures to Protect Minority Shareholders in Conducting Transactions with Controlling Shareholder_____
5. Other Special Circumstances which may have Material Impact on Corporate Governance
_____

16.69
10.28
4.73
3.54
1.39
1.39
1.19
1.18
1.15
1.11

II Business Management Organization and Other Corporate Governance Systems regarding Decisionmaking, Execution of Business, and Oversight in Management
1. Organizational Composition and Operation
Organization Form

Company with Audit and Supervisory Committee[Directors]
Maximum Number of Directors Stipulated
12in Articles of Incorporation
Term of Office Stipulated in Articles of
1 year
Incorporation
Chairperson of the Board

President

Number of Directors

10

Appointment of Outside Directors

Appointed

Number of Outside Directors

6

Number of Independent Directors

6Outside Directors’ Relationship with the Company (1)NameAttributeab

Relationship with the Company*
c
d
e
f
g
h
i
j

Hiroshi Kobayashi

From another company

Hideyuki Ohkubo

From another company△

Mariko Sugiyama

From another company△

Yasuo Himeiwa

CPA

Michiko Kanai

LawyerEri Nakajima

Othersk※ Categories for “Relationship with the Company”※ ”○” when the director presently falls or has recently fallen under the category;“△” when the director fell under the category in the past
※ “●” when a close relative of the director presently falls or has recently fallen under the category;“▲”when a close relative of the director fell under the category in the pasta
Executive of the Company or its subsidiariesb
Non-executive director or executive of a parent company of the Companyc
Executive of a fellow subsidiary company of the CompanydA party whose major client or supplier is the Company or an executive thereofeMajor client or supplier of the Company or an executive thereoffConsultant, accountant or legal professional who receives a large amount of monetary consideration or other property from the Company
besides compensation as a director/kansayakugMajor shareholder of the Company (or an executive of the said major shareholder if the shareholder is a legal entity)hExecutive of a client or supplier company of the Company (which does not correspond to any of d, e, or f) (the director himself/herself
only)i
Executive of a company, between which and the Company outside directors/kansayaku are mutually appointed (the director
himself/herself only)j
Executive of a company or organization that receives a donation from the Company (the director himself/herself only)k
OthersOutside Directors’ Relationship with the Company (2)NameMembershipof Audit andSupervisory
Committee

Designationas
Independent
Director

Hiroshi Kobayashi〇

Hideyuki Ohkubo〇

Mariko Sugiyama〇

Yasuo Himeiwa〇〇

Michiko Kanai〇〇

Eri Nakajima〇〇

Supplementary Explanation of
the Relationship

Reasons of Appointment

He has been engaged in corporate management as a corporate
officer and domestic and overseas business in the automobile
industry for many years. Based on his extensive knowledge andexperience, he has been appointed to supervise the Company froman independent standpoint with no vested interest in the Company
and to provide pertinent and meaningful advice.
―――
In addition, the Company has designated him as an independent
director because he does not fall under any of the items listed as
possible problems in the criteria for determining independence
established by the stock exchanges and the Company, and because
he is deemed to be in an independent position without any risk of
causing a conflict of interest with general shareholders.
He is a former employee ofHe has been engaged in management and the factory automation
Mitsubishi Electric Corporation, a business for many years in the electrical machinery industry, and hisbusiness partner of the Company. extensive knowledge and experience are highly evaluated. He has
been appointed based on our belief that he can supervise the
However, the business volume
with Mitsubishi Electric Corporation Company from an independent standpoint with no vested interest inin the last financial year is less
the Company and provide pertinent and meaningful advice.
than 1% of the consolidated net
In addition, the Company has designated him as an independent
sales, which is considered to be
director because he does not fall under any of the items listed as
insignificant and not likely to affect possible problems in the criteria for determining independence
the judgment of shareholders and established by the stock exchanges and the Company, and because
investors. Therefore, there is no
he is deemed to be in an independent position without any risk of
independence issue.
causing a conflict of interest with general shareholders.
She has been engaged in a wide variety of businesses in the IT
She is an employee of Salesforce
industry for a long time and is highly regarded for her abundant
Japan Co., Ltd., a business partner
knowledge and experience. She has been appointed based on theof the Company. However, thebelief that she will supervise the Company and give the Company
business volume with Salesforce
her precise and productive advice from an independent perspective
Japan Co., Ltd.in the last financial
with no special interests, especially on the IT strategy and DX
is less than 1% of the consolidated
strategy of the Company.
net sales, which is considered to
In addition, the Company has designated her as an independent
be insignificant and not likely to
director because she does not fall under any of the items listed asaffect the judgment ofpossible problems in the criteria for determining independence
shareholders and investors.
established by the stock exchanges and the Company, and because
Therefore, there is noshe is deemed to be in an independent position without any risk of
independence issue.
causing a conflict of interest with general shareholders.
He is a certified public accountant and has a wealth of knowledge
and experience. He has considerable expertise in finance andaccounting based on his experience, and has been appointed tocontribute to the strengthening of the Company’s auditing systemfrom this perspective.
―――
In addition, the Company has designated him as an independent
director because he does not fall under any of the items listed as
possible problems in the criteria for determining independence
established by the stock exchanges and the Company, and because
he is deemed to be in an independent position without any risk of
causing a conflict of interest with general shareholders.
She has a high level of expertise in corporate legal affairs as alawyer, and has been appointed to contribute to the strengtheningof the Company’s auditing system from a legal perspective.
In addition, the Company has designated her as an independent―――
director because she does not fall under any of the items listed as
possible problems in the criteria for determining independence
established by the stock exchanges and the Company, and because
she is deemed to be in an independent position without any risk of
causing a conflict of interest with general shareholders.
She has been engaged in a wide range of fields in environmental
administration, such as global warming countermeasures, andpromotion of women’s empowerment, Given her abundant
knowledge and experience, she has been appointed to contribute tostrengthening the Company’s auditing system regarding
environmental initiatives and promotion of women’s empowerment―――
at the Company.
In addition, the Company has designated her as an independent
director because she does not fall under any of the items listed as
possible problems in the criteria for determining independence
established by the stock exchanges and the Company, and because
she is deemed to be in an independent position without any risk of
causing a conflict of interest with general shareholders.

[Audit and Supervisory Committee]
Committee’s Composition and Attributes of Chairperson

All Committee
Members

Full-time Members

Audit and Supervisory
Committee

3Appointment of Directors and/or Staff to
Support the Audit and Supervisory
Committee

Appointed

Inside Directors

1

Outside Directors
0Chairperson
3 Outside Director

Matters Related to the Independence of Such Directors and/or Staff from Executive Directors
The Audit and Supervisory Committee has the authority to give orders to the Internal Auditing Department, and the personnel affairs of
employees belonging to the Internal Auditing Department and the Secretariat of the Audit and Supervisory Committee, including issues suchas appointments, transfers, evaluations, and wages, must be decided upon after prior consultation with and consent from the Audit andSupervisory Committee, thereby ensuring independence from the executive departments. In addition, executive directors have established asystem for reporting to the Audit and Supervisory Committee, which prohibits any disadvantageous treatment to those who make reports.

Cooperation among Audit and Supervisory Committee, Accounting Auditors and Internal Auditing Departments[Cooperation Between Audit and Supervisory Committee and Accounting Auditors]
As a rule, the Audit and Supervisory Committee and the accounting auditors recognize the need to secure mutual independence and tomaintain mutual trust. In addition, based on the audit plan at the beginning of the year and the quarterly and year-end financial statements,
they hold regular reporting meetings about four times a year as per the annual plan. In addition, they have established a system of cooperationthat allows them to report to each other as necessary on events related to accounting audits.
[Cooperation Between Audit and Supervisory Committee and Internal Auditing Departments]
For the internal audit function, the Company has established the Internal Auditing Department under the administrative authority of theRepresentative Director Chairman and President, and the Audit and Supervisory Committee has the authority to monitor the Internal Auditing
Department including requesting reports from it, and also has the authority to give direct orders.

[Voluntary Establishment of Nominating/Remuneration Committee]
Voluntary Establishment of Committee(s)Corresponding to Nominating Committee orRemuneration Committee

Established

Committee’s Name, Composition, and Attributes of Chairperson

Committee’s NameAll Committee
Members

Full-timeMembers

Committee Corresponding
to Nominating Committee

Nominating Committee

4

0

1

3

0

0

InsideDirector

Committee Corresponding
to Remuneration
Committee

Remuneration Committee

5

0

1

4

0

0

InsideDirector

Inside Directors

OutsideDirectors

Outside Experts

Other

Chairperson

Supplementary Explanation< Nominating Committee>
The Company established a voluntary Nominating Committee in 2021 as an advisory body to the Board of Directors for objective, independent
decision-making on director nominations and plans for developing next-generation executive candidates. The Nominating Committee consistsof directors selected by the Board of Directors, and the majority of the members are outside directors. The Committee includes Director
Chairman as an internal director. The Committee currently consists of the following members:- Representative Director Chairman Toshiyuki Funaki (Chairman)- Outside Director Hiroshi Kobayashi- Outside Director Yasuo Himeiwa- Outside Director Michiko Kanai<Remuneration Committee>
The Company established a voluntary Remuneration Committee on October 1, 2022 as an advisory body to the Board of Directors forincreasing objectivity and transparency in the remuneration decision making process. The Remuneration Committee consists of directors
selected by the Board of Directors, and the majority of the members are outside directors. The Committee includes Director Chairman as aninternal director. The Committee currently consists of the following members:- Representative Director Chairman Toshiyuki Funaki (Chairman)- Outside Director Hiroshi Kobayashi- Outside Director Ohkubo Hideyuki- Outside Director Yasuo Himeiwa- Outside Director Michiko Kanai[Independent Directors]
Number of Independent Directors

6

Matters relating to Independent Directors
The Company considers an outside director to be independent if he/she falls under none of the items listed as possible problems indetermining independence as defined by the stock exchanges, and meets all of the criteria below. As all of the outside directors meet thequalifications, the Company has designated them as independent directors.
(1) He/she is not an executive of the Company (including the Group companies, hereinafter the same).
(2) He/she is not a party that has the Company as a major business partner or an executive of such a party.
(3) He/she is not a major business partner of the Company or its executive.
(4) He/she is not a consultant, accountant or legal professional (or a person belonging to an organization of the same kind including
corporation and partnership) who receives a large amount of monetary consideration or other property from the Company besides
compensation as an officer.
(5) He/she does not receive donations or grants of more than a certain amount from the Company.
(6) He/she is not a major shareholder of the Company or an executive of such a shareholder.
(7) He/she did not fall under any of (1) through (6) above during the five years prior to his/her appointment as a director.
(8) He/she is not the spouse or a relative within the second degree of relationship of a person who falls under any of (1) through (6) above.

[Incentives]
Incentive Policies for Directors

Performance-linked Remuneration

Supplementary Explanation<Overview of Remuneration system>
Remuneration for directors other than outside directors and directors who are Audit and Supervisory Committee members comprises basic
remuneration (a fixed amount based on position), performance-linked remuneration (bonus), and non-monetary (share-based) remuneration,
calculated in a ratio of 60:25: 15. Remuneration for outside directors and directors who are Audit and Supervisory Committee members islimited to fixed basic remuneration, in the interest of preserving the independence of their management oversight role.
<Framework of Remuneration>■Basic remuneration
Fixed monthly amount determined by comprehensively taking into account the director’s position/duties and the Company’s performance.
■Performance-based remuneration (bonus)
Performance-based cash remuneration whose amount reflects the relevant KPIs. The amount is paid in 12 equal monthly installments,
together with the monthly basic remuneration. Specifically, the amount is calculated by multiplying the standard bonus set for the position bya payout coefficient (0–200%) indicative of the director’s performance for the fiscal year.
■Non-monetary (share-based) remuneration
Comprises performance share units as a medium-term incentive, and restricted stocks as a long-term incentive.
Performance share units are provided in the form of the Company’s common stock, subject to restrictions on transfer. The amount is basedon a finalized number of share units calculated by multiplying the number of share units provided to each position by a payout coefficientreflecting the degree of achievement of financial KPIs and nonfinancial KPIs (e.g., CO2 reduction rate) that are focuses of the medium-term
management plan.
Restricted stocks are provided in the form of the Company’s common stock, subject to restrictions on transfer. The amount is equivalent toa standard amount determined by taking into account the Company’s performance, the scope of the director’s duties, and various
circumstances. In cases where the director is not a resident of Japan as of the provision of share-based remuneration, an equivalent amountof phantom shares is provided in lieu of performance share units and restricted stocks.
In cases where a director is guilty of serious misconduct, violations, etc., the Board of Directors will, based on the report made by the
Remuneration Committee, demand forfeiture or repayment of the director’s bonus and share-based remuneration, partially or in full.
Remuneration at the individual level is discussed by the Remuneration Committee, which reports the results to the Board of Directors.
Decisions on matters concerning individual remuneration are made solely by the CEO at Board meetings where independent outside
directors constitute the majority. In making these decisions, the CEO is expected to respect the Remuneration Committee’s report.

Recipients of Stock Options

Inside Directors/Employee/Subsidiaries’ Directors/Subsidiaries’ Employee

Supplementary Explanation
The Company’s stock option plan started as an incentive plan for senior management, including directors, and has been expanded to include
directors of the Group companies and employees with the aim of increasing the motivation and morale of the Company’s employees and contributing
to the improvement of the Group’s performance and increase in international competitiveness.

[Director Remuneration]
Disclosure of Individual Directors’ Remuneration

Selected Directors

Supplementary Explanation
Disclosure is made in accordance with the provisions of the Companies Act, the Financial Instruments and Exchange Act, the Cabinet Office Orderon Disclosure of Corporate Affairs, and other related laws and regulations.
Policy on Determining Remuneration Amounts
and Calculation Methods

Established

Disclosure of Policy on Determining Remuneration Amounts and Calculation Methods
1.

Basic policy
In order to ensure that remuneration for the Company’s directors (excl. outside directors and directors who are Audit and Supervisory Committee
Members) functions sufficiently as an incentive for the sustainable improvement of corporate value, when determining the remuneration of eachdirector, basic remuneration, performance-linked remuneration (bonus) and non-monetary remuneration (stock-based remuneration) shall be paid
as fixed remuneration in accordance with their responsibilities in consideration of the scope and scale of management.
Outside directors and directors who are Audit and Supervisory Committee Members receive only base remuneration as fixed remuneration
because they are responsible for supervising the management of the Company from an independent perspective.
2.
Policy for determining the amount of basic remuneration (monetary remuneration) for each individual (including policy for determining thetiming and conditions for granting remuneration)
The basic remuneration for the Company’s directors is fixed monthly remuneration, which is determined by comprehensively taking into accountthe position, responsibilities and financial situation of the Company.

3.
Policy for determining the details of performance-linked remuneration, etc., and non-monetary remuneration, as well as the number or
calculation method (including policy for determining the timing and conditions for granting remuneration)(1) Performance-linked remuneration (bonus)
In addition to the monthly basic remuneration, bonuses are paid monthly in 12 equal installments as performance-linked cash remuneration thatreflects Key Performance Indicators (KPI), in order to raise awareness of improving performance each fiscal year and to clarify commitments tostakeholders on these matters. The Company shall calculate bonuses by multiplying the base amount for bonus calculation specified for each officer
based on the Company performance payment factor (0% to 200%). The KPIs used for the calculation of bonuses shall be the consolidated
operating profit ratio for each fiscal year and personnel evaluations related to performance, etc., for the departments they are in charge of (excl.
exective directors).
(2) Non-monetary remuneration (stock-based remuneration)(2)-1 Details of stock-based remuneration
Stock-based remuneration consists of performance share units (hereinafter, PSU) as a medium-term incentive and restricted stock (hereinafter,RS) as a long-term incentive. Share units and ordinary shares (with restrictions on transfer) calculated in accordance with the position shall beallotted annually at a fixed time.
If a director is a non-resident at the time of granting stock-based remuneration, an equivalent amount of phantom stock shall be granted insteadof PSU and RS.
(2)-2 Policy for determining the calculation method for numbers(2)-2-1
PSU
As for PSU, the Company shall issue shares of common stock of the Company with transfer restrictions in accordance with the number of fixedshare units, which is calculated by multiplying the share units granted for each position by the payment factor corresponding to the degree ofachievement of financial indicators and non-financial indicators, which are emphasized in the Medium-term Management Plan (1 share unit = 1
common share). The KPIs used to calculate PSU shall be the degree of achievement of the targets set forth in the Medium-term Management Planas financial indicators, the degree of achievement of ESG-related targets as non-financial indicators, and personnel evaluations related toperformance, etc., for the departments they are in charge of (excl. exective directors)(2)-2-2
RS
As for RS, the Company shall allocate shares of common stock of the Company with transfer restrictions in a number equal to the base amountannually at a fixed time, determined in light of the business results of the Company, the scope of responsibilities of each director and various
circumstances.
4.
Policy for determining the ratio of monetary remuneration, performance-linked remuneration, etc., or non-monetary remuneration, etc., to theamount of remuneration, etc., for an individual director
The ratio of each type of remuneration for the Company’s directors (excl. outside directors and directors who are Audit and Supervisory
Committee Members) shall be set at base remuneration, bonus, PSU and RS = 60:25:10:5, with reference to other companies in the same industry
and of the same scale, and in consideration of the level of salaries, social conditions, etc., of the Company’s employees (This shall be the standard
that serves as a guideline for achieving 100% of the performance targets).
The level of remuneration and the proportion of remuneration shall be reviewed based on a report from the Remuneration Committee, as
appropriate, taking into consideration the Company’s business environment, social conditions and other circumstances.
5.

Matters concerning determining the details of remunerations, etc., for each director individually
When determining individual remunerations, etc., the Remuneration Committee shall discuss, in addition to each position, the businessperformance for executive directors, the expertise and outside management experience for outside directors, etc., and report the details to theBoard of Directors. Ultimately, the Board of Directors, the majority of which consists of independent outside directors, shall leave individual
remuneration to the discretion of the Representative Director Chairman and President. The Representative Director Chairman and President shallmake their decisions on individual remuneration, etc., respecting the recommendations of the Remuneration Committee.
6.

Malus and clawback of remuneration, etc.
In case a director of the Company has committed any serious misconduct or violation, based on the recommendation by the Remuneration
Committee, the Company shall demand the forfeiture or return of all or part of the bonus and stock-based remuneration.

[Supporting System for Outside Directors]
The Strategic Planning Department serves as the secretariat of the Board of Directors, and assists in the duties of outside directors as requestedby them or as necessary, and liaises between inside and outside directors as needed. With the objective of enhancing communication among
outside directors’ exchange session have been held since FY2019, and outside directors exchange their views and have a discussion on corporate
governance, products, the business of the Company, and medium- to long-term strategic policies of the Company, etc..

2. Matters related to functions such as business execution, auditing/supervision, nomination, and determination of
remuneration (Overview of the current corporate governance system) Update

1 Business execution functions■Board of Directors
The Board of Directors, consisting of 10 directors (including 6 outside directors), makes decisions on management policies and otherimportant matters, and supervises the execution of duties by directors. The Board of Directors deliberates in accordance with management
policies to prevent violations of laws and regulations as well as the Articles of Incorporation. In FY2024, the Board of Directors met a total of
7 times.

■Management Committee
The President serves as the chairperson and the Committee formulates management strategies and important policies. The meeting details
are promptly reported to other directors, and information is shared with executive officers and others as appropriate, which contributes tostrengthening the functions of the Board of Directors and enhancing management efficiency. In FY2024, the Management Committee met a
total of 8 times.
■Executive Officers Committee
At the Executive Officers Committee meetings executive officers who are also responsible for the respective functions report on the progress
and issues as appropriate. In FY2024, the Executive Officers Committee met a total of 12 times.
■Nominating Committee
The Company established a voluntary Nominating Committee in 2021 as an advisory body to the Board of Directors for objective,
independent decision-making on director nominations and plans for developing next-generation executive candidates. The committee is madeup of a majority of outside directors and frankly communicates its objective opinions on candidate selection and training to the management.
Our succession planning program seeks to continually cultivate talent who can help lead our sustainable growth worldwide. Candidates forrepresentative director and other executive positions are provided with general management training tailored to their future duties, and with
opportunities to participate in important meetings, including the Top Management Meeting and the Executive Officers’ Meeting. The Nominating
Committee receives reports on the progress of development of candidates, and expresses opinions on succession planning to the Board of
Directors. In FY2024, the Nominating Committee met a total of 3 times, and all members attended all committee.
Please refer to [Voluntary Establishment of Nominating/Remuneration Committee] “Supplementary explanation” under “1. Organizational
Composition and Operation” of “II. Business Management Organization and Other Corporate Governance Systems regarding Decision-making,Execution of Business, and Oversight in Management” described above.
■Remuneration Committee
As was indicated by the results of the survey on the effectiveness of the Board of Directors and by other observations, there were issues inthe design of our system of remuneration for directors, and a need to establish a Remuneration Committee. The Company launched a voluntary
Remuneration Committee with a majority of outside directors in 2022 as a body for reviewing and deliberating on the director remuneration
system. Since then, the committee has been examining remuneration system proposals. Through this committee, we are working to increase
objectivity and transparency in not only next-generation executive training and selection, but also the remuneration decision making process.
In FY2023, the committee reviewed and discussed our officer’s remuneration under the new director remuneration system, and met a total of
3 times.
Please refer to [Voluntary Establishment of Nominating/Remuneration Committee] “Supplementary explanation” under “1. Organizational
Composition and Operation” of “II. Business Management Organization and Other Corporate Governance Systems regarding Decision-making,Execution of Business, and Oversight in Management” described above.
■Sustainability Committee
The Sustainability Committee, chaired by the CEO, was established to develop our Group’s sustainability action policy. Five specializedcommittees were established under it to focus on specific policy areas: Environment, Social, Governance, plus two for areas of our strengths,
Safety and Quality; together referred to as “ESG+Sa+Q,” and these specialized committees are each chaired by an executive officer andconsist of knowledgeable, experienced members who develop measures pertaining to their respective themes. The Sustainability Committee
meets twice a year, and important matters discussed are reported to and supervised by the Top Management Meeting and the Board of
Directors as may be necessary.
Sustainability Leaders share the content of Sustainability Committee discussions with each employee at Workplace Training sessions, withthe aim of putting activities into practice and creating an open workplace where opinions can be exchanged. Employees submitted 475 opinions
and proposals, which were shared by the specialized committees in FY2024. This feedback is incorporated in our Group’s sustainability
activities.
2. Audit functions■Audits by the Audit and Supervisory Committee
With respect to audits by the Audit and Supervisory Committee, Audit and Supervisory Committee members attendi all meetings of theBoard of Directors and conduct field audits of internal departments, thereby having sufficiently monitored and supervised the execution ofduties by directors (excluding directors who are members of the Audit and Supervisory Committee) and executive officers. In addition, theAudit and Supervisory Committee, which consists of 3 directors, regularly meets to monitor business execution in terms of legality, etc. In
FY2024, the Audits by the Audit and Supervisory Committee met a total of 9 times.
■Internal Audits
As for internal audits, the Internal Auditing Department, under the administrative authority of the Representative Director Chairman andPresident as well as the Audit and Supervisory Committee, consists of 3 employees. The Internal Auditing Department regularly conducts theinternal audit with respect to business in each department including headquarter functions, accounting, compliance and business risks etc.,
monitors the execution of duties and timely and appropriately advise on improvement in efficiency of business. The Internal Auditing
Department directly reports the results of internal audit to the Audit and Supervisory Committee as well as Representative Director Chairman
and President to ensure the effectiveness of internal audit.
■Accounting Audits
As for the accounting audits, the Company receives full-year financial statement audits, internal control audits, and quarterly reviews inaccordance with the provisions of the Financial Instruments and Exchange Act.
In FY2023, the Company was audited by two certified public accountants, Takashi Ishii and Keiko Hishimoto, both of whom have been
auditing the Company for less than seven years. The number of assistants involved in the Company’s accounting audit operation is 12 certified
public accountants and 21 others. Apart from that, our major overseas subsidiaries are audited by local auditing firms.

3. Agreement Limiting Liability
All of the directors, excluding executive directors, etc., have entered into an agreement with the Company to limit their liability forcompensation in accordance with the provisions of Article 427, Paragraph 1 of the Companies Act, and the amount of liability based on thisagreement is capped by the amount stipulated in laws and regulations.

3. Reasons for Adoption of Current Corporate Governance System
The Company has shifted to a Company with an Audit and Supervisory Committee at the 71st Ordinary General Shareholder Meeting heldon June 15, 2018, with the aim of further speeding up decision-making, strengthening the supervisory function for business execution from asocial and multifaceted perspective. The Company has also realized a “separation of execution and supervision” under a system based on
auditing and supervision by the cooperation of outside directors appointed for the purpose of ensuring management transparency, andbusiness execution by representative directors and executive officers.
We believe that as an appropriate corporate governance body is functioning by having fair and objective supervision and auditing conducted
through this system.

III Implementation of Measures for Shareholders and Other Stakeholders
1. Measures to Vitalize the General Shareholder Meetings and Smooth Exercise of Voting Rights

UpdateSupplementary Explanation
Early Notification of General Shareholder
Meeting

We generally send out convocation notices three weeks prior to the date of theGeneral Shareholder Meeting.

Scheduling AGMs Avoiding the Peak Day

The 77th Ordinary General Shareholder Meeting was decided to be held on Friday,
June 14, 2024, at 10AM.

Allowing Electronic Exercise of Voting Rights

Since the 59th Ordinary General Shareholder Meeting held in 2006, we haveintroduced an online system for exercising voting rights.

Participation in Electronic Voting Platform
and Other Efforts to Facilitate the Exerciseof Voting Rights by Institutional Investors

Since the 76th Ordinary General Shareholder Meeting to be held in 2023, we haveused “Sharely”, virtual shareholder meeting support system, operated by Sharely Co.,
Ltd., in which voting rights may be exercised.

Providing Convocation Notice in English

An English version of the convocation notice is prepared and made available on theTokyo Stock Exchange website, and the Company’s website with Japanese version.

OthersWe have positioned the General Shareholder Meeting as a valuable opportunity fordirect dialogue with shareholders, and have created a video presentation of the business
report, which is an item to be reported at the General Shareholder Meeting, for easier
understanding of our corporate activities, and we streamed the meeting live so that moreshareholders could see it.
In addition, for the purpose of deepening shareholders’ understanding of theCompany’s initiatives for the relevant fiscal year when they exercise their voting rights,
the Company has taken measures such as using more visuals in the convocation noticeand posting it on its website.

2. IR Activities

UpdateSupplementary Explanation

Explanation bytherepresentatives
themselves

Regular Investor Briefings held forIndividual Investors

We regularly hold briefings on business results and medium-term
management plan, including company explanations and introductions of our
products and technologies, via live streaming on the web.

Not Held

Regular Investor Briefings for Analysts andInstitutional Investors

Basically, once or twice a year, the Company’s management holds a
briefing session or makes individual visits to explain future strategies andvisions, etc., and also holds quarterly briefings on business performance via
web live streaming, etc..

Held

Posting of IR Materials on Website

At present, we post financial results, financial explanatory materials, data
books, and shareholder newsletters after the end of each quarter in an effort
to disclose information in a more fair, equitable, and timely manner.
In addition, in producing the Integrated Report (IDEC Report) (Japanese andEnglish), we are working to speed up its publication and enrich its contents inorder to make the Company feel closer to investors, and at the same time,
we are promptly posting timely disclosure information reported to the stock
exchanges in our website.
In the future, we will consider posting explanatory materials with moredetailed information about the Company, such as briefing materials.

EstablishmentofDepartment
Manager in Charge of IR

Othersand/orTwo staff members in charge of IR are assigned to the Corporate Strategy
Planning Department. The department in charge of IR is as follows:[Department in charge] Strategic Planning Division[Person responsible] Yasuyuki Ogawa
We respond to individual interviews and visit explanations with securities
analysts and institutional investors as needed.

3. Measures to Ensure Due Respect for Stakeholders
Supplementary Explanation

Stipulation of Internal Rules for Respecting
the Position of Stakeholders

The Company has established the “IDEC Group Code of Conduct” for compliancematters and ensures that all officers and employees of the Company are fully aware ofand comply with its contents.
In addition, the IDEC Group Code of Conduct stipulates that we shall treat allindividuals, companies, and organizations that are our stakeholders in a fair andequitable manner, and that we shall respond to and deal with them appropriately.
The IDEC Group has formulated its long-term vision for 2050 and interim vision for2030. As a global corporation, the Group aims to achieve sustainable growth whiletackling societal challenges that include measures to deal with global warming andclimate change.
Actions to ensure sustainability, in particular initiatives for climate change, are essential
for companies from the standpoint of both responding to increased social needs andpreserving the global environment. Moreover, in the effort to achieve sustainable growth,environmental strategies are an important part of the Group’s business strategy, andtherefore an environmental response is viewed as a transition opportunity. We will
implement strategies for helping to achieve our Group’s main purpose of ensuring safety,
ANSHIN, and well-being for people around the world, through the development of ecofriendly products, environmental energy business, and other activities.
Specifically, “Promotion of initiatives to reduce environmental impact” are included as
one item in the basic strategy outlined in the medium-term management plan. We haveestablished sustainability KPIs and are pursuing an action plan that reflects our transition
opportunities toward the achievement of the goal.
Beginning with what can be achieved right now, we are addressing to achieve carbon
neutrality in order to realize our vision for 2050.
The IDEC Group CSR Charter declares our commitment to maximizing the well-beingof all stakeholders of the IDEC Group, including our employees, customers,
shareholders, investors, business associates, and global and local communities. The
IDEC Group CSR Charter is as follows:

Implementation of Environmental Activities,
CSR Activities etc.

<The IDEC Group CSR Charter>■To Employees
IDEC Group is committed to creating safe, friendly and motivating workplaces for
employees while building Group companies where they feel proud to work.
■ To Customers
IDEC Group assures that customers receive safe and reliable products of high quality
and high performance backed by its development, production and sales capabilities.
IDEC Group continues to increase public trust by providing excellent services andappropriate information disclosures.
■ To Shareholders and Investors
IDEC Group fulfills its global obligations by enforcing corporate accountability andhaving its records available regularly to shareholders through extensive investor relations(IR) activities. The Group also strives to maintain profits that meet shareholder
expectation and to increase the value of the Group.
■ To Business Associates
IDEC Group is committed to building strong partnerships for mutual success, growth
and trust with its business associates by establishing fair and rational trade standards.
■To Global and Local Communities
IDEC Group aims to contribute to global and local communities by forging partnerships
with deep understanding and respect for the culture and history of each local
communities. We also aim to develop a green society and a green economy throughenvironmental activities.
As mentioned above, for the information on our efforts on sustainability, please refer tothe following our website:
Sustainability: https://us.idec.com/idec-us/en/USD/sustainability

Development of Policies on Information
Provision to Stakeholders

The IDEC Group Code of Conduct states that, as part of our corporate activities, wewill strive to provide our stakeholders with the information they need about our overallmanagement in a timely, appropriate, and effective manner. At the same time, we aim to
be a highly transparent and “open company” by gathering information from society atlarge and using it to improve our management policies and the activities of eachdepartment.

OthersIDEC has established “Business foundation: Establish a management structure that
promotes value creation, foster an organizational climate and develop human resources”
as one of its four materiality goals. Corporate revitalization and strengthening humancapital will be indispensable in order to achieve sustainable growth and increase ourcorporate value. Accordingly, we are carrying out various initiatives to this end based on
the vision we established for 2030, and in coordination with the policies in the mediumterm management plan and the sustainability KPIs.
We have conducted an employee engagement survey since 2019, and have made theresulting “Engagement score” one of our sustainability KPIs. We are working to improveengagement by determining the current situation and the issues to be resolved and thenimplementing measures centering on priority issues. In addition, initiatives to promotedecent work as well as diversity & inclusion will be essential to further expand ourbusiness activities globally. We will focus our efforts on hiring global talent and increasing
the proportion of female managers to ensure human resource diversity.
We have defined filling important positions and conducting leadership training as
medium to long-term human resource strategies. We will systematically select and train
candidates to become the next-generation of managers as part of our efforts to achievesustainable growth for all Group companies.

IV Matters Related to the Internal Control System
1. Basic Views on Internal Control System and the Progress of System Development

Update1. Systems to ensure that the execution of duties by directors and employees of the Company and the Group companies complies with laws andregulations and the Articles of Incorporation[Corporate Governance](1) The Company shall actively appoint outside directors to strengthen the supervisory function of the Board of Directors with regard to the executionof duties by directors.
(2) In order to realize the enhancement of corporate value based on corporate goals and management philosophy, the Company shall establish the“IDEC Corporate Governance Policy” and promote the strengthening of corporate governance accordingly.
[Compliance](1) The Company shall establish the “IDEC Group Code of Conduct,” which sets forth the Company’s basic stance on corporate ethics andcompliance, and shall make it known to all directors and employees so that they will comply with the Code.
(2) The Company shall establish corporate ethics consultation desks and internal reporting desks inside and outside the Company, and widely accept
requests for consultation and reports from employees concerning violations of laws and regulations, violations of internal regulations, violations ofcorporate ethics, and harassment in the workplace. The contents of consultations and reports shall be deliberated by the “Risk Management
Committee” under the “Sustainability Committee” chaired by the President of the Company, and measures shall be taken to resolve the issues inaccordance with laws, regulations, the Articles of Incorporation, and corporate ethics.
(3) The legal departments shall provide information on compliance and laws and regulations to directors and employees on a regular basis, andeducation and enlightenment activities on compliance shall also be conducted on a regular basis.
4) In addition to the above, the Company shall periodically review and improve internal regulations and their operations concerning systems to ensurethat the execution of duties by directors and employees complies with laws and regulations and the Articles of Incorporation.
2. Systems for the storage and management of information related to the execution of duties by directors[Information Storage and Management Systems]
The following documents shall be stored and managed in accordance with internal regulations such as the Document Management Regulations,
Approval Regulations, Confidential Information Management Regulations, and Information Security Policy Basic Regulations: documents related to
the General Shareholder Meeting, documents related to the Board of Directors and other important meetings, approval requests, contracts, and otherdocuments (including electromagnetic records; the same shall apply hereinafter) containing information related to the execution of duties by directors
3. Regulations and other systems for managing the risk of loss of the Company and the Group companies[Risk Management Systems](1) The Company shall establish and operate the “Crisis Management Regulations” for the purpose of avoiding crises at the Company and the Group
companies in advance and minimizing damage if a crisis should materialize.
(2) In accordance with the Crisis Management Regulations, the “Risk Management Committee” shall be established under the "Sustainability
Committee" chaired by the President of the Company with the approval of the Board of Directors to manage risks at the Company and the Group
companies during normal times and to respond when a crisis materializes.
(3) In addition to responding to crises, the Risk Management Committee identifies and evaluates risks for the entire IDEC Group during normal times,
and implements measures to reduce risks. In addition, the “Hotline Section,” established within the Committee, shall handle internal reporting andimplement measures to strengthen compliance. The details of these efforts are reported to the “Sustainability Committee” that meets periodically, andthe Committee reports to the Board of Directors.
[Safety Confirmation and Recovery Systems]
In preparation for the occurrence of a disaster, etc., the Company shall establish a system for securing the safety of life and confirming the safety of
employees, and shall also promote the establishment of a system to ensure the continuation of important operations and early recovery in the eventof business interruption.
4. Systems to ensure that the efficient execution of duties by directors of the Company and the Group companies[Separation of Execution and Supervision]
The Company shall achieve separation of business execution and supervision by having the Board of Directors make decisions and supervise theexecution of business by directors (excluding directors who are members of the Audit and Supervisory Committee) and executive officers. In
addition, the Company shall establish a Management Committee chaired by the President to conduct preliminary deliberations and make decisions
within the scope of authority delegated by the Board of Directors, thereby strengthening the functions of the Board of Directors and improving
management efficiency.
[Administrative Authority and Audits]
The Company shall establish the “Administrative Authority Regulations” and the “Affiliated Company Management Regulations” which stipulate theduties, responsibilities and authority of each position and the division of duties in each organizational unit for the directors and employees of theCompany and the Group companies to ensure efficient management, and shall periodically audit whether the business is being conducted inaccordance with the stipulated duties and responsibilities.
5. Systems to ensure the appropriateness of operations in our corporate group[Group Company Management and Reporting Systems](1) The Company shall establish and implement the "Affiliated Company Management Regulations” which stipulate the matters necessary for themutual cooperation and prosperity of the Company and the Group companies, as well as the basic matters for the management, guidance anddevelopment of the affiliated companies.
(2) In accordance with the Affiliated Company Management Regulations, the Company shall have the Group companies report to the Company on aregular and continual basis on the status of their business performance and financial results.
(3) In order to ensure that officers and employees of our overseas Group companies understand our basic stance on compliance, the Company shalldisseminate the philosophy of the “IDEC Group Code of Conduct” on a global basis by translating it into major languages.

[Group Company Audits]
The Company shall maintain appropriate business operations at the Group companies by strengthening monitoring and auditing of them by having
the Company’s Internal Auditing Department and other related departments monitor and audit them in addition to monitoring and auditing within eachcompany.
6. Systems to ensure the reliability of financial reporting[Reliability of Financial Reporting]In order to ensure the reliability of the Group’s financial reporting, the Company shall develop related regulations and establish an appropriate
system in accordance with the standards for evaluating internal control over financial reporting. For the Group-wide development and enhancement of
the internal control system for financial reporting, the Company shall establish the “Policy for Internal Control over Financial Reporting," clarify theGroup-level promotion system, and establish a framework that allows each division and Group company to conduct self-assessments and the Internal
Auditing Department to conduct independent monitoring on a continual basis.
7. Matters related to employees who are requested by the Audit and Supervisory Committee to assist in its duties, and matters related to ensuring theindependence of such employees from directors (excluding directors who are members of the Audit and Supervisory Committee) and theeffectiveness of instructions to such employees[Audit and Supervisory Committee Staff]
If it becomes necessary to assign employees to assist the Audit and Supervisory Committee in its duties, or if the Audit and Supervisory Committee
so requests, the Company shall, upon consultation with the Audit and Supervisory Committee, assign employees who either work full-time for theCommittee or serve other departments concurrently, as Audit and Supervisory Committee staff. Such employees shall be placed under theadministrative authority of the Audit and Supervisory Committee with regard to the duties of the Audit and Supervisory Committee. In addition, thepersonnel affairs of such employees, including issues such as appointments, transfers, evaluations, and wages, shall be decided upon after priorconsultation with and consent of the Audit and Supervisory Committee to ensure their independence from the executive departments.
8. Systems for reporting to the Audit and Supervisory Committee by directors (excluding directors who are members of the Audit and Supervisory
Committee) and employees, systems for reporting to the Audit and Supervisory Committee otherwise, and other systems for ensuring effective audits
by the Audit and Supervisory Committee[Reporting Systems](1) Directors (excluding directors who are members of the Audit and Supervisory Committee) and employees of the Company and the Group
companies shall periodically report to the Audit and Supervisory Committee on the status of execution of their duties, and shall report as needed on
important corporate matters in particular. In addition, the Audit and Supervisory Committee may request reports from the directors (excluding directors
who are members of the Audit and Supervisory Committee) and employees of the Company and the Group companies as necessary, and theCompany shall improve the cooperation system of related departments so that audits can be conducted more effectively in the future.
(2) The Company shall not give any disadvantageous treatment to directors (excluding directors who are members of the Audit and Supervisory
Committee) and employees of the Company and the Group companies who have reported to the Audit and Supervisory Committee in accordancewith the preceding item.
(3) Executive Directors shall establish an environment in which Directors who are members of the Audit and Supervisory Committee can periodicallyexchange opinions with Directors (excluding Directors who are members of the Audit and Supervisory Committee) of the Company and the Group
companies and can attend important meetings such as Management Committee meetings.
[Cooperation with Internal Auditing Department]
The Audit and Supervisory Committee shall strengthen the cooperation with the Internal Auditing Department and may request the Internal Auditing
Department to report and exchange information on a regular basis, and the Company shall secure such opportunities. In addition, the Audit andSupervisory Committee shall have the administrative authority to direct and order the Internal Auditing Department.
[Expenses, etc.]
The Company shall budget a certain amount of money each year to cover expenses, etc. incurred in the execution of duties by the Audit andSupervisory Committee.

<Operational Status>
The Group is developing and operating an internal control system, and the operation status for the last consolidated fiscal year under review is asfollows.
(1) Systems for corporate governance- The Company has actively appointed Outside Directors. As of the end of the consolidated fiscal year under review, the Company has appointed six
Outside Directors out of ten Directors. Of those, the number of female Directors has been appointed three. These Outside Directors with diverse
backgrounds and expertise supervise the management and actively provide advice at meetings of the Board of Directors, thereby enhancing thetransparency of the Board of Directors and further strengthening the supervisory function.
- As an opportunity to enhance communication among Outside Directors, the Company has continuously held “Outside Directors’ Exchange
Sessions.” During the fiscal year under review, we explained the details of human capital initiatives at the Company and exchanged opinions with
employees and others involved in these initiatives.
- With the aim of further strengthening its corporate governance system, the Company continued to outsource the evaluation of the effectiveness of
the Board of Directors to third-party organizations during the consolidated fiscal year under review, identifying issues from an objective perspective
and developing improvement measures.
- The voluntary Nominating Committee, a majority of whose members are Outside Directors, met three times during the consolidated fiscal year underreview. As the Nominating Committee, the Committee reviewed the status of training for the candidates for the next generation of executives andmade recommendations to the Board of Directors on the selection of all candidates for Directors, including new ones.
- The voluntary Remuneration Committee, a majority of whose members are Outside Directors, met four times during the consolidated fiscal yearunder review and deliberated on remuneration under the new remuneration system for directors.
- Through close communication with each Group company and other means, we continued to strengthen corporate governance and realize synergies
through integration throughout the Group.
(2) Systems for compliance- In the Group, we held training sessions on compliance at each level, company-wide compliance training, and company-wide harassment-prevention
training.
- In order to publicize the Group’s stance on corruption, including bribery and profiteering, both internally and externally, we explained the basics of
the Anti-corruption Policy in the company-wide compliance training.
- The Company has established the “Hotline” as a point of contact for consultation and reporting on violations of laws and regulations and internal
rules, and on other inappropriate misconduct under normal social conventions. We have also been expanding the “Global Hotline” where ouroverseas Group companies can directly report to the point of contact at the head office.
(3) Systems for information storage and management- We have set retention periods for the minutes of the General Meetings of Shareholders, the minutes of the Board of Directors’ meetings, financial
statements and others in accordance with laws and regulations and keep to them appropriately.
- We implemented various information security measures and reviewed information-security-related regulations.
(4) Systems for risk management- In order to avoid or minimize crises in the Group, the Company has established the “Risk Management Committee” as an expert committee under
the Sustainability Committee to monitor the status of risk assessment and measures to address risks.
- The Company has developed the initial response flow and various manuals in case of a disaster and further promoted the measures to prevent or
mitigate disasters with regard to the business continuity plan (BCP) developed for distribution centers and major production offices in Japan toconfirm the safety of employees and their families, confirm the operating status of supply chains and business sites, and develop business continuity
planning systems.
- The Company has established the “Risk Monitoring Subcommittee” within the “Risk Management Committee” to strengthen the systems forevaluating the risks surrounding the Group, identifying high-risk events, and monitoring efforts to reduce those risks, and continues to develop a risk
map that assesses various risks to monitor the efforts of each department.
(5) Systems to ensure efficient performance of duties- The Board of Directors held meetings seven times during the consolidated fiscal year under review, and actively exchanges opinions involving
Outside Directors. We have strengthened cooperation with the Executive Officers Committee and the Top Management Meeting, and established asystem that enables efficient discussion and decision-making according to each role.
- The Company has established the “Administrative Authority Regulations,” the “Affiliated Company Management Regulations” and the “Ringi
Approval Regulations” which stipulate the responsibilities, authority, etc. of Directors, executive officers, and employees of the Company and theGroup companies, and revised the respective regulations for authority in the consolidated fiscal year under review based on the organizational
structure, business efficiency, and swift decision-making.
(6) Systems to ensure the appropriateness of operations in the Group- The Company has established the “Affiliated Company Management Regulations” for the mutual cooperation and prosperity of the Company and
the Group companies, and the Group companies have reported on their performance, etc. to the Company based on the Regulations. In addition, therelated departments including the Company’s Internal Auditing Department, etc. monitored and audited the Group companies as appropriate.
- We have established a risk map that includes these Group companies, and are sequentially expanding the scope of the companies subject to risk
monitoring activities in the Group.
(7) Systems to ensure the reliability of financial reporting- In order to ensure the reliability of financial reporting, the Company assessed the operational status of internal controls.
(8) Systems to ensure an effective audit by Audit and Supervisory Committee Members- The Company has established the Secretariat of the Audit and Supervisory Committee within the Internal Auditing Department, and has appointed
the General Manager of the Internal Auditing Department as the chief of the Secretariat, with one office employee with expertise (concurrently serving
as the internal auditor) serving as the Secretariat staff.
- The Company places the Internal Auditing Department under the administrative authority of the Representative Directors and the Audit andSupervisory Committee, and in particular, the Chairman of the Audit and Supervisory Committee gives independent and direct administrative orders to
the Secretariat of the Audit and Supervisory Committee.
- The Chairman of the Audit and Supervisory Committee, who is an appointed Audit and Supervisory Committee Member, participates in important
meetings other than the Board of Directors meetings such as the Top Management Meeting, etc. The chief of the Secretariat inspects minutes, etc. of
the Board of Directors meetings and other important meetings, ringi approval materials for decision-making of business execution, and otherimportant documents whenever necessary, and make necessary reports to the Audit and Supervisory Committee.
- The Audit and Supervisory Committee held nine meetings during the consolidated fiscal year under review, and Directors who are Audit andSupervisory Committee Members interviewed two Representative Directors at two of these meetings on management issues, etc. In addition, theCompany requested Executive Officers, etc. of the Internal Control Departments, such as the Accounting Department, etc. and other businessexecution departments to attend the Committee meetings and conducted necessary interviews.
- During the consolidated fiscal year under review, directors who are Audit and Supervisory Committee Members conducted audits of one of theGroup companies, and the Chairman of the Audit and Supervisory Committee conducted an audit of two Group companies, having confirmed thestatus of the development and operation of the internal control system. In addition, the Audit and Supervisory Committee received detailed reports on
all audits and investigations conducted by the Internal Auditing Department before and after the audits, etc. were conducted, and made the necessary
requests, etc.
- The Audit and Supervisory Committee voted on the activity budget at the Audit and Supervisory Committee meeting held in July, notified it to theRepresentative Directors, and gave instructions to the Accounting Department regarding expenditure procedures. Although no such expenses wereincurred during the consolidated fiscal year under review, the Company continues to ensure a system whereby the Chairman of the Audit andSupervisory Committee can independently allow ringi approval for unbudgeted expenses in the event of corporate scandals, etc.

2. Basic Views on Eliminating Anti-Social Forces and the Progress of Development of Measures■Basic Views on Eliminating Anti-Social Forces and Systems for Development of Measures
The Company has a basic policy to eliminate all involvement, including business relationships, with anti-social forces and groups that threaten theorder and safety of civil society when fulfilling its social responsibility in corporate activities, and declares in the “IDEC Code of Conduct” that it shallstrive to continue as a law-abiding and fair company.
In addition, the Company has clearly defined antisocial forces as a “crisis” in its ”Crisis Management Regulations” to prevent crises from occurringand to respond promptly when they occur, as well as gather information on a daily basis and formulate a “Manual for Dealing with Illegal Forces” toprepare for unreasonable demands in cooperation with police authorities and lawyers.
<Operational Status>
Systems to eliminate anti-social forces- The Company has declared that it will continue to be a fair company and regularly informed its employees about this declaration through training
sessions, etc.
- The entire company has collected information on the trends of anti-social forces on a daily basis and secured a system to prepare forunreasonable demands.

VOther
1. Adoption of Anti-Takeover Measures
Adoption of Anti-Takeover Measures

Not adopted

Supplementary Explanation———

2. Other Matters Concerning Corporate Governance System■Outline of Timely Disclosure
1. Basic Views
The “IDEC Group Code of Conduct,” which was established as a code of conduct for all directors and employees of the Group, states that we will
fulfill our corporate accountability by disclosing management philosophy and information such as business plans and results at appropriate times andin appropriate ways, and the entire group is working together to promote awareness and practice of this code. In addition to the Code of Conduct, wehave established internal regulations regarding the management and timely disclosure of corporate information, such as the “Confidential Information
Management Regulations” and “Insider Trading Regulations,” and have built a system to appropriately implement prompt, accurate and fair disclosureof corporate information.
2. Internal Systems
The Company has established a system whereby information pertaining to decisions, events and facts, and the settlement of accounts of theCompany and its subsidiaries is consolidated into the Strategic Planning Department through the heads of each department and the presidents of thesubsidiaries. Within this system, the executive officer in charge of corporate strategy planning, who is responsible for information management,
oversees and manages such information, thereby ensuring the appropriate management of undisclosed material facts, etc. and the prevention of
insider trading. From all aggregated information, the Corporate Strategy Planning Department selects, based on strict and fair judgment, informationthat meets the disclosure standards of the “Rules on Timely Disclosure of Corporate Information by Issuers of Listed Securities” stipulated by the
Tokyo Stock Exchange, Inc., and in principle, discloses such information immediately based on a resolution of the Board of Directors. In addition, weare making utmost efforts to ensure the appropriateness of the content of each disclosure document by having it prepared and verified by the relevant
departments from their respective standpoints, which clarifies the division of authority and enhances the internal check and balance function.

<Corporate Governance Structure>

17〇Correspondence Table for 2021 Revised Corporate Governance Code and IDEC Corporate Governance Policy
Item
Section 1: Securing the Rights and Equal Treatment of Shareholders
Securing the Rights of Shareholders
Opposing vote analysis
Delegation of certain powers of the general shareholder meeting to the Board of Directors
Consideration for minority shareholder rights
Exercise of Shareholder Rights at General Shareholder Meetings
Provision of information on general shareholders meetings
Early mailing of convocation notice, etc.
Date of general shareholders meeting
Adoption of electronic voting, etc., and use of voting rights exercise platform
Consultation with trust banks, etc.
Capital Policy
Cross-Shareholdings
Reduction of transactions after a cross-shareholder divests the company's share
Transactions with cross-shareholders
Anti-Takeover Measures
Tender offer
Examining and explaining capital policies
Related Party Transactions
Section 2: Appropriate Cooperation with Stakeholders Other Than Shareholders
Business Principles as the Foundation of Corporate Value Creation Over the Mid- to Long-Term
Code of Conduct
Code of conduct review
Addressing Sustainability
Addressing sustainability, consideration of global environmental issues, respect for humanrights, health, and crisis management
Diversity
Promotion of empowerment of women, etc.
Whistleblowing
Point of contact
Asset owners
Section 3: Ensuring Appropriate Information Disclosure and Transparency

Full Disclosure

Value-added disclosure

Disclosure of information in English, disclosure in English for companies listed on the Prime Market

Sustainability disclosure in line with TCFD equivalent framework

External Auditors

Section 4: Responsibilities of the Board
Roles and Responsibilities of the Board (1)Scope of delegation
Medium-term management plan
Succession plans
Roles and Responsibilities of the Board (2)Remuneration
Responsibility for setting sustainability policies and supervising the business portfolio
Roles and Responsibilities of the Board (3)Election and dismissal of senior management
Appointment of CEO
Dismissal of CEO
Supervision of compliance, group compliance using internal audits
Roles and Responsibilities of Kansayaku and the Kansayaku Board
Effectiveness of the Kansayaku Board
Fiduciary Responsibilities of Directors and Kansayaku
Business Execution and Oversight of the Management
Roles and Responsibilities of Independent Directors
Effective Use of Independent Directors, Outside Directors Accounting for 1/3 to Majority in Prime Market

Meeting of independent outside directors
Lead independent outside director
Independent outside directors who are independent of the controlling shareholder
Independence Standards and Qualification for Independent
Directors
Use of Optional Approach
Advisory committees with the majority of the members being outside directors in the Prime
MarketPreconditions for Board and Kansayaku Board Effectiveness
Balance of directors, skills matrix
Concurrent positions
Effectiveness evaluation
Active Board Deliberations
Measures for active deliberations
Information Gathering and Support Structure
Request for Information
Expert advice
Cooperation with the internal auditing department and fulfillment of the functions of the board of
directors and Kansayaku
Director and Kansayaku Training
Continual training
Disclosure of training policies
Section 5: Dialogue with Shareholders
Policy for Constructive Dialogue with Shareholders
Persons handling dialogue (directors including outside directors)
Measures for dialogue
Understanding the shareholder structure
Establishing and Disclosing Business Strategies and Business Plans
Business portfolio

CG CodeCorresponding CG Policy

Principle 1.1
Supplementary Principle 1.1.1
Supplementary Principle 1.1.2
Supplementary Principle 1.1.3
Principle 1.2
Supplementary Principle 1.2.1
Supplementary Principle 1.2.2
Supplementary Principle 1.2.3
Supplementary Principle 1.2.4
Supplementary Principle 1.2.5
Principle 1.3
Principle 1.4
Supplementary Principle 1.4.1
Supplementary Principle 1.4.2
Principle 1.5
Supplementary Principle 1.5.1
Principle 1.6
Principle 1.7

Section 1, 1 (1)Section 1, 1 (4)Section 4, 2 (2); Section 4, 4Section 1, 1 (2)Section 1, 1 (1), (3)Section 1, 1 (3)Section 1, 1 (3)Section 1, 1 (3)Section 1, 1 (3)Section 1, 1 (2)Section 1, 2
Section 1, 3
Section 1, 3
Section 1, 3
Section 1, 4Section 1, 4Section 1, 2
Section 1, 5

Principle 2.1
Principle 2.2
Supplementary Principle 2.2.1
Principle 2.3

General rule 1
Section 2, 2
Section 2, 2
Section 2, 3 (1)Supplementary Principle 2.3.1
Principle 2.4
Supplementary Principle 2.4.1
Principle 2.5
Supplementary Principle 2.5.1
Principle 2.6

Section 2, 3 (2), (3)Section 2, 4Section 2, 4Section 2, 5Section 2, 5Section 2 6

Principle 3.1 body text
Principle 3.1 (i)
(ii)
(iii)
(iv)
(v)
Supplementary Principle 3.1.1
Supplementary Principle 3.1.2
Supplementary Principle 3.1.3
Principle 3-2
Supplementary Principle 3.2.1 (i)(ii)
Supplementary Principle 3.2.2 (i)
(ii)
(iii)
(iv)

General rule 1
General rule 1
Section 4, 2 (5)Section 4, 1 (7); Section 4, 6
(2)
Section 4, 6 (3)Section 3, 1; Section 4, 6 (3)Section 3, 1; Section 4, 6 (3)Section 2, 3; Section 3, 1
Section 3, 2 (1)Section 3, 1 (2), (4)Section 3, 1 (2), (4)Section 3, 1 (3)Section 3, 1 (3)Section 3, 1 (3)Section 3, 1 (3)Principle 4.1
Supplementary Principle 4.1.1
Supplementary Principle 4.1.2
Supplementary Principle 4.1.3
Principle 4.2
Supplementary Principle 4.2.1
Supplementary Principle 4.2.2
Principle 4.3
Supplementary Principle 4.3.1
Supplementary Principle 4.3.2
Supplementary Principle 4.3.3
Supplementary Principle 4.3.4
Principle 4.4
Supplementary Principle 4.4.1
Principle 4.5
Principle 4.6
Principle 4.7 (i)
(ii)
(iii)
(iv)
Principle 4.8
Supplementary Principle 4.8.1
Supplementary Principle 4.8.2
Supplementary Principle 4.8.3

Section 4, 2 (1)Section 4, 2 (2)Section 4, 2 (3)Section 4, 2 (4)Section 4, 2 (5), 10
Section 4, 2 (5)Section 4, 2 (6)Section 4, 2 (8)Section 4, 2 (7)Section 4, 2 (7)Section 4, 2 (7)Section 4, 2 (8)Section 4, 3
Section 4, 3
Section 4, 4Section 4, 5
Section 4, 5
Section 4, 5
Section 4, 5
Section 4, 5
Section 4, 6 (1)Section 4, 5
Section 4, 5
Section 4, 6 (1)Principle 4.9
Principle 4.10

Section 4, 5 (2)Section 4, 7

Supplementary Principle 4.10.1

Section 4, 7
Section 2, 4; Section 4, 9;
Principle 4.11
Section 4, 6 (2)Supplementary Principle 4.11.1
Section 4, 6 (1), (2)Supplementary Principle 4.11.2
Section 4, 8
Supplementary Principle 4.11.3
Section 4, 9
Principle 4.12
Section 4, 10
Supplementary Principle 4.12.1 (i) Section 4, 10(ii)
Section 4, 10(iii)
Section 4, 10(iv)
Section 4, 10(v)
Section 4, 10
Principle 4.13
Section 4, 10
Supplementary Principle 4.13.1
Section 4, 10
Supplementary Principle 4.13.2
Section 4, 10
Supplementary Principle 4.13.3
Principle 4.14
Supplementary Principle 4.14.1
Supplementary Principle 4.14.2

Section 4, 10
Section 4, 11Section 4, 11Section 4, 11

Principle 5.1
Supplementary Principle 5.1.1
Supplementary Principle 5.1.2 (i)
(ii)
(iii)
(iv)
(v)
Supplementary Principle 5.1.3
Principle 5.2
Supplementary Principle 5.2.1

Section 5, 1
Section 5, 1
Section 5, 1
Section 5, 1
Section 5, 1
Section 5, 1
Section 5, 1
Section 5, 1
Section 4, 2 (3)Section 4, 2 (3)