NEWS RELEASE
June 17, 2020

[ MIRAIT Technologies Corporation ]“MiratecDrone Corp.” Established as New Company
for Drone BusinessTo commence provision of three new services on July 1
MIRAIT Technologies Corporation (head office: Osaka-shi, Osaka; President: Kouichi
Takahatake; “MIRAIT Technologies”), which is a consolidated subsidiary of MIRAIT
Holdings Corporation, will establish MiratecDrone Corp. (head office: Shinagawa-ku,Tokyo; President: Yasuyuki Sasaki; “MIRATECDRONE”) on July 1, 2020 to specializein the drone business.

MIRAIT Technologies sees drones to be “moving sensors” and entered the drone
business in 2017 as an area with unlimited potential in the area of IoT moving forward.
The company has provided services such as a drone school business, inspection ofvarious facilities and buildings, drone operation for other business operators, and has
trained approximately 600 pilots at its drone schools. Furthermore, in its inspections ofvarious facilities and buildings, MIRAIT Technologies has actively collaborated andformed alliances with other companies to provide services with advanced functions
such as 3D autopilot, flight management, real-time relays, high-speed imagetransmission, and image analysis. The drone operation service is provided by over 150
pilots who have obtained advanced skills such as agricultural spraying and surveying.
More than 3,000 flights have been conducted when combining inspection operations
and the drone operation service, resulting in the accumulation of advanced flight andoperation know-how in a variety of areas as the company has worked to enhance thefunctions of its comprehensive drone service.

Meanwhile, the market for the drone business in Japan is steadily expanding in a wide
range of areas such as agriculture, infrastructure inspection and surveying, and themarket is expected to expand particularly in the area of structural inspection as
infrastructure ages. In such a market environment, because the expansion of the drone
market is anticipated to accelerate further in future, and the company has establisheda system including technology and personnel for providing a wide range of services at
the top class in the industry, it has decided to establish MIRATECDRONE as a newcompany to speed up decision making, and further expand business by providing

services to infrastructure companies, local governments, building managementcompanies and agricultural corporations through the provision of a broad service menu
centered on the area of facility inspection.
In particular, MIRATECDRONE will conduct business in the three areas of Alliances,
Sales & Systems, and Human Resources & Schools. In the central area of Alliances,the company will work to expand not only photography, but also advanced image
analysis and surveying services in the areas of infrastructure inspection and agriculture.
Furthermore, in the area of Sales & Systems, in addition to the sale and leasing ofdrone equipment, it will strengthen its business by providing maintenance services andconsulting for the creation of drone operation systems. Moreover, it will provide basic
skill training for piloting drones, in addition to operating specialized schools for skills
such as structural inspection and surveying.
Furthermore, starting on July 1, the company will begin providing Drone Park Manager
supporting the management of large parks, Drone Water Checker supporting water
quality inspections in water reservoirs and High Quality Turf Management System
supporting golf course turf management as new services utilizing the results of trials
related to facility inspection.
Through these businesses, it aims for sales of 320 million yen in the first year and 1.03
billion yen in five years from now.

Overview of MiratecDrone Corp.

Established:

July 1, 2020

Representative:

Yasuyuki Sasaki, President

Head office address: Miratec Daiichi Building, 1-20-10 Ebara, Shinagawa-ku, Tokyo
Paid-in capital:

100 million yen (Capital reserve: 100 million yen)

Shareholders:

MIRAIT Technologies Corporation 100%

Employees:

14Business locations: Drone Technoport Kobe
3-1-10 Koyochonishi, Higashinada-ku, Kobe-shi, Hyogo
Drone Technoport Kumagaya345-1 Muraoka, Kumagaya-shi, Saitama
Business lines:

Data collection and analysis using drones, sales and systemdevelopment, schools

Overview of New ServicesDrone Park Manager system supporting the management of large parks
In large parks and leisure parks, management companies perform an enormous volumeof operations such as safety management of expansive areas and inspections of many
facilities in a short time. The system is a system that utilizes drones to improve theefficiency and increasing the sophistication of a variety of management operations suchas management of the condition of the entire area and deterioration of key facilities andvegetation, and has the following functions.
(1) Drones take photographs of the entire area, and the images are used to inspect
for any anomalies(2) The images of the site taken in (1) are relayed to the office in real time(3) Inspections of high locations in park buildings and facilities are conductedsafely using drones
These functions make it possible to reduce management operations and improve
inspections.

Drone Water Checker service supporting reservoir water quality inspections
Waterworks business operators periodically conduct water quality inspections ofreservoirs by taking water samples in a boat and performing visual inspections of theoccurrence of algae. This system uses drones to improve the efficiency of water quality
inspections of reservoirs, and includes the two types of system below.
(1) Drones are used to take water samples for water quality inspections
It is a system in which a drone is piloted from the reservoir shore to be flown toany part of the reservoir to take a water sample. It is possible to take water
samples much more quickly and safely than the conventional method using a boat.
(2)

Inspection of the occurrence of algae in the water

It is a system enabling the visualization of the occurrence of algae in the water by
analyzing images taken by a drone equipped with a multispectral camera. It wasdifficult to determine the occurrence of algae in the water by visual inspections,and this system makes it possible to take measures to address the algae morequickly.

High Quality Turf Management System service supporting golf course turf
management also enabling inspections of turf and tree vitality
There is currently a shortage of personnel with many years of experience conducting
operations for maintaining the condition of large areas of turf on golf courses. This is asystem enabling the visualization of the condition of turf by analyzing images taken by adrone equipped with a multispectral camera. The system enables greenkeepers to
conduct visual inspections in a short period of time, and also makes it possible to takesteps more quickly because the deterioration of vitality which cannot be ascertained byvisual inspection can be determined.
End