Medium-Term Management Plan
“Real Change 2025”

Lead into the future

RealChange2025©2020. JA MITSUI LEASING, LTD., All rights reserved.

Real Change by connecting
into the future
Advocating “Real Challenge, Real Change” as ourmanagement philosophy, JA Mitsui Leasing
continues to work towards “the future businessenvisioned by our customers”.
Medium-Term Management Plan “Real Change2025” starting from April 2020 connects our internaland external resources through five Changes tomaximize the strength of the organization.

©2020. JA MITSUI LEASING, LTD., All rights reserved.

01

Five Changes

Change 01Change Mindset

Business model shift
We will accelerate the shift where everyone understands theprofitability of the different departments and accelerates
changes to a business model to pursue more profits.

Expansion of consolidated profit
We will expand consolidated profits for the entire group by
going beyond existing concepts and boundaries between
groups, creating a drive and great outlook for the business.

Change 02 Change how we work

together

Sharing information between groups
We can quickly understand customer management issues andsocial trends through sharing and collaborating with the group.

Improving productivity through constant review
of operations and business
By continuously reviewing operations and business, we aim to
improve productivity, increasing the amount of business we cando with the same manpower.

©2020. JA MITSUI LEASING, LTD., All rights reserved.

02

Five Changes

Change 03 Change the Target
Identify what to protect and what to attack
Looking ahead to the future, we will identify what we willprotect and what we will attack, selecting the fields in which wewill focus.

Provide solutions to customers'
management challenges
We resolve management issues as quickly as possible byenhancing communication with customer management.

Change 04 Change the field
Focus on new business domains
We will focus on initiatives on new business areas that capturesocial trends and the characteristics of the fields and regions inwhich the sales department is responsible.

Expansion of overseas businessWe will expand overseas business by developing “businessmodel based on products, businesses and finance” cultivatedthrough the previous medium-term management plan as agroup.

©2020. JA MITSUI LEASING, LTD., All rights reserved.

03

Five Changes

Change 05 Compete as a Team /aiming connectedorganization

Demonstrate the JAML Group's commitment andoriginality maximize organizational strength
By "connecting/cooperation“ information, know-how, networks,
and human resources within the Group in all fields, we will
maximize the commitment and uniqueness of the JAML groupand maximize our organizational strength.

©2020. JA MITSUI LEASING, LTD., All rights reserved.

04

Vision for Medium-Term Management Plan “Real Change 2025” 1

Connect and Cooperate
All JAML executives and employees are keen to "connect and cooperate" withspeed in order to maximize the group's "commitment and uniqueness".

Customersin new areas
Developing frontier areabusiness and create a newrevenue base

Cooperation
between divisions

Connection
between generations

Link the expertise andinformation of each division tocompete by the organization

Creating new value by
connecting generations andsharing their skills

SpecializedSales
Department

Functional
Divisions

JA M L

Area
Sales
Department

Businesspartners
Creating a new revenue
base through initiatives
that contribute to regional
revitalization and regional
revitalization

Affiliate
companies

Shareholder(Norinchukin Bankand Mitsui & Co.)

Information network ofshareholders, Leveraging
financial resources to compete
as an organization

Sharing useful
information internally andshowing originality

Existingcustomers

Emphasizing Speed©2020. JA MITSUI LEASING, LTD., All rights reserved.

05

Vision for Medium-Term Management Plan “Real Change 2025” 2

Change the business model
Promote transformation of business model and establish new revenue baseby maximizing use of competitive resources in organization.

Commitment

Challenge inNew Fields

Asset value
Early stage Biz
Regional
revitalization

JAML
NorinchukinBankNetwork utilizationof shareholder

Realestate

Subscription model
development
Mitsui& Co.

Connect andCooperate

Strengths

Network ofthe Norinchukin Bankand Mitsui & Co.
JA group
infrastructure
Ability tooriginate projects

UniquenessNew
agriculturalbusiness

Mobility

North
AmericaStrengthen origination
capability and network

EnergyLogistics

DXExpansion
in Strategic Fields

Fulfilment of revolving
type businesses
Domestic
area

MedicalAuto

Machinery

FoodandDistribution

Overseas

Ships
andAircraft

Further development of existing business fieldand improve productivity©2020. JA MITSUI LEASING, LTD., All rights reserved.

06

SloganLead into the future
Real Change 2025
Contribute to the Society
through the strength of Connect and Cooperate©2020. JA MITSUI LEASING, LTD., All rights reserved.

07

Review of previous Medium-Term Management Plan “Real Change 2020”

Results of major Initiatives

Current challenges

Diversiﬁed earnings by establishing unique and specialized
sales force.
▶ Growth of revolving business model in Real Estate related market.
▶ Expansion of targeted products, such as the environmental field,
to earn exit management revenue.

11

Strengthening Business Promotion Capabilities throughStrategic Alliances and Acquisitions.
▶ Expansion of new business areas utilizing overseas platforms.
▶ Accelerate investments in startup companies in ICT related areas.
2

Strategically allocating management resources and strengthening
the diversity of human resources to support growth.
▶ Reorganization of domestic affiliates to improve management
efficiency.
▶ Strengthen sales and business management by dispatchingexecutives to overseas affiliates.
3

Establishing a disciplined management system thatforms the basis of corporate growth.
▶ Development of operational risk management systems.
▶ Enhancement of business plan progress management
organization.(Establishment of profit and loss by division)▶ Due to intensified competition with banks and firms in otherindustries and “super” monetary easing, we are unable to expect
sustainable growth simply by extending the pursuit of volume.

Basic Policies I, II and III

2Proﬁt before Tax
ROA (exclude credit cost)(@JPY108/USD)
March 2018

March 2019

March 2020

JPY 24.4B
USD 226 MM

JPY 24.0B
USD 222 MM

JPY 23.4B
USD 217 MM

1.48%

1.56%

1.51%

©2020. JA MITSUI LEASING, LTD., All rights reserved.

Strategically allocating management resources andstrengthening the diversity of human resources to supportgrowth.

▶ It is necessary to thoroughly implement the strategic allocation ofgroup management resources (human, material and capital) and toimprove labor productivity by promoting work style reform.

45 Proﬁt and ROA

Transforming our business model and creatinga new revenue base.

Basic Policy IV

3Optimization and sophistication of the business foundationand management structure that support corporate growth.

▶ In order to improve productivity by optimizing business processes
and eliminating ineffectual things , it is necessary to makeconstant efforts, such as actively utilizing the latest IT technology.

Basic Policy V08

Outline of new Medium-term Management PlanDirection

Five KeyPolicies

We will grow as a distinctive and unique enterprisethat is one of the leading companies in the industry.
Improve external evaluations and increase the sense of well-being ofexecutives and employees while pursuing profitability and growth.
Key Policy Ⅰ

Responding to a society that is becoming borderless

Key Policy Ⅱ

Initiatives that contribute to regional revitalization and regional activation

Key Policy Ⅲ

Expand business in specialized fields by changing business models

Key Policy Ⅳ

Strategically allocating management resources and strengthening the diversity ofhuman resources to support growthKey Policy Ⅴ

Optimization and sophistication of the business foundation and management
structure that support corporate growthTargeted Annual Profit after Tax

Quantitative
TargetMarch 31, 2023

JPY

21~23 Billion

Equivalent to USD 194~213 MM©2020. JA MITSUI LEASING, LTD., All rights reserved.

March 31, 2025

JPY

30 Billion

Equivalent to USD 278 MM

09

Key Policy I

Responding to a society that is becoming borderless

Key Strategy

Strengthen overseas business development
centered on North America

Business development / expansion as a general leasing company
in the United States
Vendor Financing initiatives lead by FFCSI as a platform.
Expand business by entering into new regions / countries.
Develop business by fully utilizing shareholder relations. (network of the Norinchukin
Bank and Mitsui & Co.)
Develop leasing business of equipment that is widely traded at secondary market, andaccumulate know-how related to pricing of residual value, then transfer know-how toother markets.

Key Strategy

Initiatives in the DX related business field

Accelerate DX-related projects
Expansion of partnerships with players in the industry and establishment of alliancestructure.
Expanding investment in start-up companies.

Entering into Mobility related business
Promotion of MaaS, CASE related financing.
Create new business by fully utilizing JAML group's comprehensive strengths.
©2020. JA MITSUI LEASING, LTD., All rights reserved.

10Key Policy II

Initiatives that contribute to regional revitalization
and regional activation

Key Strategy

Strengthening businesses to solve
local social challenges

Accelerate renewable energy and self-consumption energy
related businesses
Entering into reginal production / consumption electric power supply business.
Contribution to regional revitalization and employment promotion through initiatives
such as biomass power generation.
Development and promotion of regional revitalization business with leading partners
including Japanese farmers and their agricultural co-operative organizations (“JA Group”) .
Promotion of initiatives that contribute to SDGs.

Accelerating businesses that contribute to the growth of
local agriculture, forestry, and fishery industries
Providing solutions to JA Group organizations and management challenges.
Develop regional agriculture network such as producers and production areas.

©2020. JA MITSUI LEASING, LTD., All rights reserved.

11Key Policy III

Expand business in specialized fields bychanging business models

Key Strategy

Expansion of asset business leveraging
origination functions

Secure stable real estate revenues and develop
new revenue baseStabilize earnings through revolving type businesses based on asset value.
Business Development in cooperation with JA Group.

Expansion of business through logistics innovation
and restructuring
Through the possession of logistics facilities and alliances with other companies,
create new businesses.
Increase presence in the distribution value chain.

Key Strategy

Further activation of existing business baseand improve productivity

Activate existing business base and improve productivity by utilizing expertise andknowledge in specialized fields.
Promoting Partner Strategy as a source of competitive advantage.

©2020. JA MITSUI LEASING, LTD., All rights reserved.

12

Key Policy IV, VKey Policy IV

Strategically allocating management resources andstrengthening the diversity of human resources tosupport growth
Key Strategy

Strategic allocation of management resources,
promotion of measures to raise human resources
and motivate employees

Strategic allocation of group management resources.
Promote personnel policies and work-life balance to motivate employees.
Improving productivity by promoting work style reform.

Key Policy V

Optimization and sophistication of the business foundationand management structure that support corporate growth
Key Strategy

Improving productivity through business process reforms,
optimizing overall operations, and improving management
system to respond to changes in the environment.

Enhancing group governance.
Optimize business processes, use IT to upgrade management and improve productivity bystrengthening sales support structure.
Enhancement of compliance and risk management structure in response to expansion of businessdomains and changes.
Establishment of a management structure that contributes to the realization of a sustainable society.
©2020. JA MITSUI LEASING, LTD., All rights reserved.

13

14