Note: This document has been translated from a part of the Japanese original for reference purposes only. In the event of any
discrepancy between this translated document and the Japanese original, the original shall prevail.

Securities Code: 6333
June 8, 2022
To Shareholders:
Yoshihiro Koroyasu,
President & CEO,TEIKOKU ELECTRIC MFG. CO., LTD.
60 Hirano, Shingu-cho, Tatsuno City, Hyogo Prefecture

Notice of the 118th Annual General Meeting of Shareholders
You are cordially invited to attend the 118th Annual General Meeting of Shareholders of TEIKOKU ELECTRIC
MFG. CO., LTD. (the “Company”). The meeting will be held for the purposes as described below.
This year, in light of the COVID-19 situation, with the utmost priority on the safety of shareholders,shareholders are requested to refrain from attending this general meeting of shareholders as much as possible
and, since it is possible to exercise voting rights in writing or via the Internet, etc., to exercise their voting
rights by no later than 5:00 p.m. on Tuesday, June 28, 2022 (JST) following the instruction indicated below
upon reviewing the Reference Documents for the General Meeting of Shareholders below.
1. Date and Time: Wednesday, June 29, 2022 at 10:00 a.m. (JST)
2. Venue:
Seiwa Hall on the 3rd floor of the Company’s factory office building
60 Hirano, Shingu-cho, Tatsuno City, Hyogo Prefecture
3. Agenda
Items to be reported:
1. The Business Report, Consolidated Financial Statements, and Non-consolidated Financial Statements for
the Company’s 118th Fiscal Year (April 1, 2021 to March 31, 2022)
2. Results of audits by the Independent Auditor and the Audit & Supervisory Committee of the Consolidated
Financial Statements for the Company’s 118th Fiscal Year
Matters to be resolved:
Proposal No. 1
Appropriation of Surplus
Proposal No. 2
Partial Amendments to the Articles of Incorporation
Proposal No. 3
Election of Four Directors (Excluding Directors Who Are Members of Audit &Supervisory Committee)
Proposal No. 4
Election of Four Directors Who Are Members of Audit & Supervisory Committee
Notice Concerning the Novel Coronavirus (COVID-19)
In order to prevent the spread of COVID-19 and ensure the safety of shareholders, shareholders are requested
to refrain from coming to the venue of this general meeting of shareholders as much as possible.
Even if you come to the venue of the meeting, your cooperation is appreciated in letting us measure your bodytemperature, using alcohol disinfectant, wearing a face mask, etc. A person who is confirmed to have a bodytemperature of 37.5 C
̐ or above or the like may not be admitted into the venue of the meeting. Please note inadvance that admission may be restricted as there will be less seats available for the purpose of reducing
contact risk.

-1-1. When attending the meeting, please submit the enclosed Voting Rights Exercise Form to the reception desk.
2. Among documents to be provided with this notice, the “Notes on Consolidated Financial Statements” of the Consolidated Financial
Statements and the “Notes on Non-consolidated Financial Statements” of the Non-consolidated Financial Statements are posted on
the Company’s website (https://www.teikokudenki.co.jp/) in place of this notice in accordance with laws and regulations and theCompany’s Articles of Incorporation.
The Consolidated Financial Statements and the Non-consolidated Financial Statements audited by the Independent Auditor and the
Audit & Supervisory Committee in preparing the audit reports are the accompanying documents of this notice as well as the items
to be mentioned as the “Notes on Consolidated Financial Statements” and the “Notes on Non-consolidated Financial Statements”.
3. If it is necessary to modify the contents of the Reference Documents for the General Meeting of Shareholders, the Business Report,
the Consolidated Financial Statements, and the Non-consolidated Financial Statements, the modified versions will be posted on the
Company’s website (https://www.teikokudenki.co.jp/).

-2-

Reference Documents for the General Meeting of Shareholders
Proposal No. 1
Appropriation of Surplus
The Company considers the return of profits to shareholders to be one of its highest management priorities anddecides on the appropriation of surplus after comprehensive consideration of future business development and otherfactors. The Company has given consideration to the business performance of the fiscal year and proposes to pay
year-end dividends for the 118th fiscal year as follows:(1) Type of dividend property
To be paid in cash.
(2) Allotment of dividend property and their aggregate amount
Common stock ¥32 per share
Total dividends ¥608,133,184
As the Company has already paid an interim dividend of ¥18 per share, the annual dividend will be ¥50 per
share.
(3) Effective date of dividends of surplus
The effective date of dividends shall be June 30, 2022.

-3-

Proposal No. 2

Partial Amendments to the Articles of Incorporation

1.

Reasons for the Amendment
Since the revised provisions provided for in the proviso to Article 1 of the Supplementary Provisions of the Act
Partially Amending the Companies Act (Act No. 70 of 2019) are to be enforced on September 1, 2022, theCompany proposes to make the following changes to its Articles of Incorporation in preparation for the
introduction of the system for providing informational materials for the general meeting of shareholders inelectronic format.
(1)
Article 15, paragraph (1) in “Proposed amendments” below will stipulate that the Company shall takemeasures for providing information that constitutes the content of reference documents for the general
meeting of shareholders, etc. in electronic format.
(2)
Article 15, paragraph (2) in “Proposed amendments” below will establish the provision to limit thescope of the items to be stated in the paper-based documents to be delivered to shareholders whorequested the delivery of paper-based documents.
(3)
Since the provisions for Internet Disclosure and Deemed Provision of Reference Documents for the
General Meeting of Shareholders, Etc. (Article 15 of the current Articles of Incorporation) will nolonger be required, they will be deleted.
(4)
Accompanying the aforementioned establishment and deletion of provisions, supplementary provisions
regarding the effective date, etc. will be established.

2.

Details of the amendments
Amendments are described as follow.
(Amendments are underlined.)
Current Articles of Incorporation

Proposed Amendments

Article 15. (Internet Disclosure and Deemed Provision ofReference Documents for the General Meeting of(Deleted)

Shareholders, Etc.)
When the Company convenes a general meeting ofshareholders, if it discloses information that is to be statedor indicated in the reference documents of the general
meeting of shareholders, business report, financial
statements and consolidated financial statements throughthe internet in accordance with the provisions prescribed by
the Ordinance of the Ministry of Justice, it may be deemedthat the Company has provided this information toshareholders.
(Newly established)

Article 15. (Measures, etc. for Providing Information inElectronic Format)
1. When the Company convenes a general meeting ofshareholders, it shall take measures for providing
information that constitutes the content of reference
documents for the general meeting of shareholders, etc.
in electronic format.
2. Among items for which the measures for providing
information in electronic format will be taken, theCompany may exclude all or some of those items
designated by the Ministry of Justice Order fromstatements in the paper-based documents to be delivered
to shareholders who requested the delivery of paperbased documents by the record date of voting rights.

-4-Current Articles of Incorporation(Newly established)

Proposed Amendments(Supplementary Provisions)
Article 1.
1. The amendment to the Articles of Incorporation
pertaining to Article 15 shall be effective from
September 1, 2022, which is the date of enforcement of
the revised provisions provided for in the proviso to
Article 1 of the Supplementary Provisions of the Act
Partially Amending the Companies Act (Act No. 70 of2019) (hereinafter referred to as the “Date of
Enforcement”).
2. Notwithstanding the provisions of the preceding
paragraph, preamendment Article 15 of the Articles ofIncorporation (Internet Disclosure and Deemed
Provision of Reference Documents for the General
Meeting of Shareholders, Etc.) shall remain effective
regarding any general meeting of shareholders held by
the end of February, 2023.
3. These Supplementary Provisions shall be deleted on thedate when six months have elapsed from the Date of
Enforcement or three months have elapsed from the dateof the general meeting of shareholders in the preceding
paragraph, whichever is later.

-5-

Proposal No. 3

Election of Four Directors (Excluding Directors Who Are Members of Audit & Supervisory
Committee)
The terms of office of all Five Directors (excluding Directors Who Are Members of Audit & Supervisory Committee;
the same applies hereinafter in this proposal) will expire at the conclusion of this General Meeting of Shareholders.
Consequently, the Company proposes the election of Four Directors, lowering the number of Directors by one toenhance the efficiency of the management system. The Audit & Supervisory Committee of the Company has no
particular opinion on this proposal.
The candidates for Director are as follows:
Candidate
No.

Name(Date of birth)

Career summary, position and responsibility in the Company,
and significant concurrent positions outside the Company
April 1987
January 2010

1

Number of theCompany’s shares
ownedJoined the Company
General Manager, Metering Pump
Development Project Team of Domestic Sales
H.Q.
July 2010
General Manager, Engineering Dept. ofTechnical Development H.Q.
June 2011
General Manager, Quality Assurance Dept. ofProcurement H.Q.
January 2013 General Manager, R&D Dept. of TechnicalDevelopment H.Q.
June 2013
Chief of Technical Development H.Q., General
Manager of R&D Dept.
March 2014
Chief of Technical Development H.Q., General
Manager of R&D Dept., General Manager ofEngineering Dept.
June 2015
Director, Chief of Technical Development H.Q.,
Yoshihiro Koroyasu
24,200 shares
General Manager of R&D Dept., General(February 28, 1963)
Manager of Engineering Dept.
October 2016 Director, Chief of Quality Assurance H.Q.,
General Manager of Quality Assurance Dept.
June 2017
Director, Executive Officer, Chief of Quality
Assurance H.Q., General Manager of Quality
Assurance Dept.
April 2018
Director, Executive Officer, Assistant to the
President
June 2018
Director [Member of Audit & Supervisory
Committee]
June 2020
Director, Managing Executive Officer, Chief ofTechnical Development H.Q., General Manager
of R&D Dept.
February 2021 President & CEO, Chief of TechnicalDevelopment H.Q.
June 2021
President & CEO (current position)
Reasons for nomination as candidate for Director
Yoshihiro Koroyasu has been in charge of the Technical Development and Quality Assurance Depts. and is well versedin the technology and quality of the Company’s products. He also has knowledge of the corporate governance of theGroup through his experience as a Member of Audit & Supervisory Committee. Since he assumed the office ofPresident & CEO in February, 2021, he has been endeavoring to develop a corporate atmosphere allowing the free andnonchalant expression of opinions, officers’ and employees’ attitudes to entertain opinions earnestly, and a corporate
culture for broadly sharing information. In addition, he has been vigorously working to reinforce the organizational
capacity of the Group as a whole by, for instance, leading the institution of the Management Policy and Action
Guidelines to clarify the direction to which the Company should be headed.
The Company expects that he can continue to provide appropriate supervision of the management of the Group andcontribute to the enhancement of the Company’s corporate value, and his reappointment as Director is requested.

-6-Candidate
No.

Name
(Date of birth)

Career summary, position and responsibility in the Company,
and significant concurrent positions outside the Company
April 1985

2

Number of theCompany’s shares
ownedJoined The Taiyo Kobe Bank, Limited(currently Sumitomo Mitsui Banking
Corporation)
February 2015 Joined the Company
General Manager, General Affairs Dept. of
Administration H.Q.
September
General Manager, Corporate Planning Dept. of2015
Administration H.Q.
April 2018
Chief of Corporate Planning H.Q., General
Manager of Corporate Planning Dept.
Kiyoshi Murata
June 2018
Executive Officer, Chief of Corporate Planning
8,900 shares(July 18, 1962)
H.Q., General Manager of Corporate Planning
Dept.
June 2019
Director, Executive Officer, Chief of Corporate
Planning H.Q., General Manager of Corporate
Planning Dept.
September
Director, Executive Officer, Chief of2019
Administration H.Q., General Manager ofCorporate Planning Dept.
June 2021
Director, Managing Executive Officer, Chief of
Administration H.Q., General Manager ofCorporate Planning Dept. (current position)
Reasons for nomination as candidate for Director
As Director in charge of Administration, Kiyoshi Murata oversees internal units for general affairs, corporate planning,
and information systems and is working vigorously to develop a management plan, establish corporate governance,
reinforce internal control and promote investor relations. In addition, he has also been strenuously working on thethorough implementation of measures against COVID-19 infection and the revision of human resource management
systems and work style. As the Company judged, in light of such a track record, that his wide range of knowledge cancontinue to contribute to the enhancement of its corporate value, the Company nominated him as a candidate for
Director again.

-7-

Candidate
No.

Name
(Date of birth)

Career summary, position and responsibility in the Company,
and significant concurrent positions outside the Company
April 1986
October 2007

3

Number of theCompany’s shares
ownedJoined the Company
General Manager, East Japan Sales Dept. ofDomestic Sales H.Q.
April 2009
General Manager, Procurement Dept. ofProduction H.Q.
January 2012 General Manager, West Japan Sales Dept. ofDomestic Sales H.Q.
October 2013 General Manager, Production Control Dept. ofProduction H.Q.
April 2018
Deputy Chief of Production Control H.Q.,
General Manager of Procurement Dept.
January 2019 Chief of Procurement H.Q., General Manager
of Procurement Dept.
Tetsuzo Sato
99,700 shares
June 2019
Executive Officer, Chief of Procurement H.Q.,(February 28, 1964)
General Manager of Procurement Dept.
September
Executive Officer, Deputy Chief of Production
2019
H.Q., General Manager of R&D Dept.
April 2020
Executive Officer, Chief of TechnicalDevelopment H.Q., General Manager of R&D
Dept.
June 2020
Director, Executive Officer, Chief of Sales H.Q.
and Chairman of DALIAN TEIKOKUCANNED MOTOR PUMP CO., LTD. (current
position)
Significant concurrent positions outside the Company
Chairman of DALIAN TEIKOKU CANNED MOTOR PUMP
CO., LTD.
Reasons for nomination as candidate for Director
Beside overseeing sales operations in Japan and other countries as Director in charge of sales, Tetsuzo Sato has held
positions of responsibility in internal units in charge of technical development, production management, procurement,
etc. and is thus well acquainted with the Company’s operations. In addition, he has served as Chairman of a Chinese
subsidiary since June, 2020 and worked vigorously to expand the business and reinforce the corporate governance of
the Chinese subsidiary.
As the Company judged, in light of such a track record and experience, that he is a person capable of contributing to theenhancement of its corporate value, the Company nominated him as a candidate for Director again.

-8-

Candidate
No.

Name
(Date of birth)

Career summary, position and responsibility in the Company,
and significant concurrent positions outside the Company
April 1986
October 2007
April 2009
April 2012
October 2012

January 2014

Takashi Kagen(August 7, 1963)

September
2015
April 2017
June 20174

October 2017

April 2018
January 2019
September
2019
June 2020
June 2021

Joined the Company
General Manager, Sales Planning Dept. ofDomestic Sales H.Q.
General Manager, East Japan Sales Dept. ofDomestic Sales H.Q.
General Manager, International Business Dept.
of International Sales H.Q.
General Manager, International Business Dept.
of International Sales H.Q.
Vice President of TEIKOKU USA INC.
General Manager, Project Dept. of International
Sales H.Q.
Chief of Project H.Q., General Manager ofProject Dept.
Chief of Procurement H.Q., General Manager
of Procurement Dept.
Executive Officer, Chief of Procurement H.Q.,
General Manager of Procurement Dept.
Executive Officer, Chief of Procurement H.Q.,
General Manager of Procurement Dept.,
General Manager of Cost Control Dept.
Executive Officer, Chief of Manufacturing H.Q.
Executive Officer, Chief of Sales H.Q.
Office Manager of Internal Audit Office

Number of theCompany’s shares
owned

15,800 shares

Director [Member of Audit & Supervisory
Committee]
Director, Executive Officer, Chief of TechnicalDevelopment H.Q. (current position)

Reasons for nomination as candidate for Director
Besides overseeing internal units for technology, development and projects as Director in charge of technicaldevelopment, Takashi Kagen has held positions of responsibility in internal units in charge of domestic and oversea
sales, projects, procurement, manufacturing, etc. and is thus well acquainted with the Company’s operations.
In addition, he has acquired knowledge on the Group’s corporate governance through his experience as a Member ofAudit & Supervisory Committee. As the Company judged, in light of his adequate track record and experience in a wide
range of areas, that he is a person capable of contributing to the enhancement of its corporate value, the Company
nominated him as a candidate for Director again.
(Notes) 1. There is no special interest between any of the candidates and the Company.
2. The Company has entered into an indemnity agreement as specified in Article 430-2, paragraph (1) of the Companies Act
with each candidate. If the reelection of each candidate is approved, the Company plans to renew the aforementioned
indemnity agreement with each of them.
3. The Company has entered into a directors and officers liability insurance contract as specified in Article 430-3, paragraph(1) of the Companies Act with an insurance company. If the reelection of each candidate is approved, each candidate will
be insured by the said insurance contract. The said insurance contract is planned to be renewed under equivalent terms
and conditions when it is renewed next time.

-9-

Proposal No. 4
Election of Four Directors Who Are Members of Audit & Supervisory Committee
The terms of office of all Four Directors who are Members of Audit & Supervisory Committee will expire at theconclusion of this general meeting of shareholders. Therefore, the Company proposes the election of Four Directors
who are Members of Audit & Supervisory Committee. In addition, the consent of the Audit & Supervisory Committeeof the Company has been obtained for this proposal.
Candidates for the role of Director who is a Member of Audit & Supervisory Committee are as follows:
Candidate
No.

Name(Date of birth)

Career summary, position and responsibility in the Company,
and significant concurrent positions outside the Company
April 1987

1

Number of theCompany’s shares
ownedJoined The Taiyo Kobe Bank, Limited(currently Sumitomo Mitsui Banking
Corporation)
Takashi Abe
April 2020
Joined the Company
300 shares(October 18, 1964)
General Manager, Assistant to Chief of
Administration H.Q.
June 2021
Director [Member of Audit & Supervisory
Committee] (current position)
Reasons for nomination as candidate for Director who is a Member of Audit & Supervisory Committee
Takashi Abe participates in managerial decision making as a Director who is a Member of Audit & Supervisory
Committee and also audits the execution, supervises management, etc. in collaboration with Outside Directors(Members of Audit & Supervisory Committee) and the corporate unit in charge of internal audit. In light also of hisabundant experience in overseas operations and his track records in establishing the system of overseas subsidiaries
management, revising the audit system and method, etc., the Company judges that he can play a sufficient role in
conducting highly effective audit, etc. of the management of the Group as a whole and nominated him again as a
candidate for a Director who is a Member of Audit & Supervisory Committee.

- 10 -

Candidate
No.

Name
(Date of birth)

Career summary, position and responsibility in the Company,
and significant concurrent positions outside the Company
April 1990

2

Number of theCompany’s shares
ownedJoined Kitayama Law Office (currently Kobe
Kyobashi LPC); Registered with Kobe Bar
Association (currently HYOGO BAR
ASSOCIATION)
May 2009
Deputy Representative of Kobe Kyobashi LPC
April 2012
President of HYOGO BAR ASSOCIATION
June 2015
Outside Director of the Company
September
Outside Director of F.O. HOLDINGS CO.,2015
LTD. (current position)
April 2016
Head of HYOGO District Office of JAPANLEGAL SUPPORT CENTER
June 2016
Outside Director of the Company [Member ofKoji Hayashi
Audit & Supervisory Committee] (current－(September 18, 1959)
position)
June 2016
Outside Auditor of MIWA CORPORATION(current position)
January 2017 Representative of Kobe Kyobashi LPC (current
position)
April 2022
Vice President of the Japan Federation of Bar
Associations (current position)
Significant concurrent positions outside the Company
Vice President of the Japan Federation of Bar Associations
Attorney at law (Representative partner and office manager ofKobe Kyobashi LPC)
Outside Director of F.O. HOLDINGS CO., LTD.
Outside Auditor of MIWA CORPORATION
Reasons for nomination as candidate for Outside Director who is a Member of Audit & Supervisory Committee
Koji Hayashi, who has extensive experience and expertise as an attorney at law, supervises the Company’s management
and provides advice on its management in general, primarily in areas of legal affairs and compliance, from an
independent standpoint. Expecting him to play the role of reinforcing the supervisory function of the Board of Directorsof the Company, supervising the execution of business, etc. from the said perspective of his, the Company nominatedhim again as a candidate for an Outside Director who is a Member of Audit & Supervisory Committee.
He has never in the past been involved in the management of a company except as an outside officer. However, theCompany judges he will appropriately fulfill his duties as an Outside Director who is a Member of Audit & Supervisory
Committee based on the above reasons.

- 11 -

Candidate
No.

Name
(Date of birth)

Career summary, position and responsibility in the Company,
and significant concurrent positions outside the Company
April 1973
April 2001

3

4

(Notes) 1.
2.
3.
4.

Number of theCompany’s shares
ownedJoined ITOCHU Corporation
Deputy General Manager, Textile Material
Division of ITOCHU Corporation
October 2004 Assistant President, Finance, Insurance &Logistics Service Company of ITOCHU
Corporation
April 2005
General Manager, Orient Corporation Business
Ichiro Kawashima－
Dept. of ITOCHU Corporation(July 24, 1950)
July 2007
Executive Officer of Orient Corporation
June 2011
Corporate Auditor of ORIFA Servicer
Corporation
June 2018
Outside Director of the Company [Member ofAudit & Supervisory Committee] (current
position)
Reasons for nomination as candidate for Outside Director who is a Member of Audit & Supervisory Committee
Ichiro Kawashima, who has extensive business experience including experience in overseas operations and a wide
range of knowledge, supervises the Company’s management and provides advice on its management in generalprimarily in the area of business strategies from an independent standpoint. Expecting him to play the role ofreinforcing the supervisory function of the Board of Directors of the Company, supervising the execution of business,
etc. from the said perspective of his, the Company nominated him again as a candidate for an Outside Director who is a
Member of Audit & Supervisory Committee.
July 1989
Joined Century Audit Corporation (currently
Ernst & Young ShinNihon LLC)
March 1992
Registered as certified public accountant
July 1996
Joined Kawakami Certified Public Accountant
OfficeJuly 1998
Established Oki Certified Public Accountant
Office (current position)
June 2010
Director, the Hyogo Chapter of the JapaneseInstitute of Certified Public Accountants
Yoshimasa Oki
15,000 shares
April 2011
Comprehensive Outside Auditor of Himeji City
(February 13, 1967)
June 2011
Outside Auditor of Okano Food Holdings Co.,
Ltd. (current position)
June 2018
Outside Director of the Company [Member ofAudit & Supervisory Committee] (current
position)
Significant concurrent positions outside the Company
Certified public accountant (Oki Certified Public Accountant
Office)Outside Auditor of Okano Food Holdings Co., Ltd.
Reasons for nomination as candidate for Outside Director who is a Member of Audit & Supervisory Committee
Yoshimasa Oki, who has abundant experience as a certified public accountant and a wide range of knowledge,
supervises the Company’s management and provides advice on its management in general primarily in areas of finance,accounting, etc. from an independent standpoint. Expecting him to play the role of reinforcing the supervisory functionof the Board of Directors of the Company, supervising the execution of business, etc. from the said perspective of his,the Company nominated him again as a candidate for an Outside Director who is a Member of Audit & Supervisory
Committee.
He has never in the past been involved in the management of a company except as an outside officer. However, theCompany judges he will appropriately fulfill his duties as an Outside Director who is a Member of Audit & Supervisory
Committee based on the above reasons.
There is no special interest between any of the candidates and the Company.
Koji Hayashi, Ichiro Kawashima and Yoshimasa Oki are candidates for Outside Director.
At the conclusion of this General Meeting of Shareholders, Koji Hayashi will have served as an Outside Director of theCompany for seven years and Ichiro Kawashima and Yoshimasa Oki will have served for four years.
Pursuant to Article 427, paragraph (1) of the Companies Act and the Company’s Articles of Incorporation, the Company
has entered into agreements with Koji Hayashi, Ichiro Kawashima and Yoshimasa Oki to limit their liability for damages- 12 -

5.

6.

7.

8.
9.

as provided for in Article 423, paragraph (1) of the Companies Act to the amount provided for in laws and regulations. If
the reelection of them is approved, the Company plans to renew the aforementioned agreements with them.
If the reelection of Takashi Abe is approved, pursuant to Article 427, paragraph (1) of the Companies Act and theCompany’s Articles of Incorporation, the Company plans to enter into an agreement with him to limit his liability fordamages as provided for in Article 423, paragraph (1) of the Companies Act to the amount provided for in laws andregulations.
The Company has entered into an indemnity agreement as specified in Article 430-2, paragraph (1) of the Companies Act
with each candidate. If the reelection of each candidate is approved, the Company plans to renew the aforementioned
indemnity agreement with each of them.
The Company has entered into a directors and officers liability insurance contract as specified in Article 430-3, paragraph(1) of the Companies Act with an insurance company. If the reelection of each candidate is approved, each candidate will
be insured by the said insurance contract. The said insurance contract is planned to be renewed under equivalent terms
and conditions when it is renewed next time.
The Company has registered Koji Hayashi, Ichiro Kawashima and Yoshimasa Oki with the Tokyo Stock Exchange, Inc.
as independent officers pursuant to the regulations of the Tokyo Stock Exchange, Inc.
During the term of office of Koji Hayashi, Ichiro Kawashima and Yoshimasa Oki as Audit & Supervisory Committee
Member of the Company, the Company identified that certain models of canned motor pumps sold had been shipped
under improper performance tests, and the Company disclosed the said fact in June 2021. Although none of them had beenaware of this fact before they received a report from the Company, they had been raising awareness of the importance ofcompliance at meetings of the Board of Directors and elsewhere. After the fact was revealed, they fulfilled their
responsibility by strongly demanding the determination of the factual relationship and the investigation of causes and thereinforcement of quality control and compliance systems and, at the same time, making recommendations for recurrence
prevention, etc.

- 13 -

[For your information: skill matrix of Directors]
If Proposals 3 and 4 are approved and adopted as originally proposed, the skill matrix of Directors as of the conclusion of this general
meeting will be as given below.
Technical
Finance,
SDGs &
development,
Sales &
Legal affairs &accounting &GlobalNamecorporate
manufacturing &marketinghuman resources risk management
management
ITmanagement
〇
〇
〇
〇
〇
Yoshihiro Koroyasu〇〇〇〇
Kiyoshi Murata〇〇〇〇
Tetsuzo Sato〇〇〇〇
Takashi Kagen〇〇〇
Takashi Abe〇
Koji Hayashi〇〇
Ichiro Kawashima〇
Yoshimasa Oki*
The above list does not represent all specialties and experience that each Director candidate has.

- 14 -