Declaration of Partnership Building
UNIVANCE CORPORATION declares that we focus on the following items in order tobuild new partnerships by promoting cooperation, coexistence and co-prosperity withbusiness partners in the supply chain and businesses that attempt to create value.
1. Coexistence and co-prosperity throughout the supply chain and new collaboration
beyond scale and affiliations
We work to improve added-value to the supply chain as a whole by encouraging tier 2
and further suppliers through our direct suppliers ("Tier N" to "Tier N+1"), and aim
to build coexistence and co-prosperity with our suppliers through cooperation that isbeyond existing business relationships and corporate scale. In doing so, we also
promote support such as advice on the introduction of telecommuting and BusinessContinuity Plan (BCP) formulation for our suppliers from the perspective of business
continuity and work style reform in the event of a disaster or the like.
(Individual items)
a. We work to create new businesses through open innovation.
b. We regularly share information and carry out activities with our suppliers toimprove competitiveness (in resolving issues such as quality and delivery time).
c. We strive for green procurement of products, parts, raw materials, subsidiarymaterials and such from suppliers with environmental consciousness.
2. Compliance with the Promotion Standards
We comply with desirable business practices between the parental enterprise andsubcontractors (Promotion Standards based on Act on the Promotion ofSubcontracting Small and Medium-sized Enterprises) and actively work to correctbusiness practices that hinder the establishment of partnerships with suppliers.
1) Method of determining prices
We do not make unreasonable requests for cost reduction. In determining thetransaction prices, we provide consultations if requested by subcontractors, and if
requested to revise transaction prices due to rising labor costs, we fully discuss
them. When concluding a contract, including the determination of transaction
prices, the parental enterprise clearly indicate and deliver the terms andconditions of the contract in writing and such.

2) Cost burden of die management, etc.
We conduct die transactions with reference to the contract template, promote thedisposal of unnecessary dies, and do not request subcontractors to store dies
without charge after the completion of mass production.
3) Terms of payment for bills, etc.
We pay subcontracting charge in cash whenever possible. In the case of paymentby bills, we do not make subcontractors bear the discount fee and the like, andendeavor to make usance within 60 days in the future.
4) Intellectual property and know-how
We conduct transactions based on intellectual property transaction guidelines andcontract templates, and do not request the conclusion of unilateral non-disclosureagreements, disclosure of know-how by taking advantage of our transactionalposition, and free transfer of intellectual property rights.
5) Negative effects caused by work style reform, etc.
In order to enable our suppliers to respond to work style reform, we make efforts
not to place orders with short delivery times or sudden changes in specifications
without incurring appropriate costs to subcontractors. We work to cover added
costs when such short delivery times, additional orders, or sudden specification
changes are unavoidable.
In the event of a disaster or the like, we do not impose the one-sided burden on
subcontractors in terms of business transactions, and give consideration tocontinuation of business relationships as much as possible when business resumes.
December 16, 2022
Iwao Suzuki
Representative Director, Chairperson and President