SUMITOMO CHEMICAL COMPANY, LIMITED
Notice of the 143rd Ordinary General Meeting of Shareholders
THIS DOCUMENT IS A SUMMARY OF A NOTICE AND THE ATTACHMENTS THERETO,
THE ORIGINALS OF WHICH ARE IN THE JAPANESE LANGUAGE. THIS DOCUMENT IS
MADE ONLY FOR THE REFERENCE PURPOSES OF SHAREHOLDERS WHO LIVE IN
COUNTRIES OUTSIDE OF JAPAN AND DOES NOT CONSTITUTE A FORMAL
TRANSLATION OF THE ORIGINAL NOTICE AND THE ATTACHMENTS.

IN THISSUMMARY, CERTAIN INFORMATION IS INTENTIONALLY OMITTED. THE ORIGINALSCONTAIN MORE INFORMATION, SUCH AS THE REPORTS OF THE ACCOUNTING
AUDITORS AND THE BOARD OF CORPORATE AUDITORS, ETC., WHILE SOMESUPPLEMENTAL

INFORMATIONNOTCONTAINEDIN

THE

ORIGINALSIS

ADDITIONALLY GIVEN IN THIS SUMMARY AS FOOTNOTES WITH ASTERISKS.

To Our Shareholders:
Please take notice that Sumitomo Chemical Company, Limited (the “Company”) has called
an Ordinary General Meeting of Shareholders to be held in Tokyo, Japan on June 21, 2024 (the“Meeting”) for the following purposes.
In convening this year’s Ordinary General Meeting of Shareholders, the Company hastaken electronic provision measures for the information contained in the reference materials for
the Ordinary General Meeting of Shareholders, etc. (“matters subject to electronic provision
measures”) and posted the information on the Company’s website.
■ Company website:
https://www.sumitomo-chem.co.jp/english/ir/stocks/meeting/In addition, the matters subject to electronic provision measures have been posted on theTokyo Stock Exchange’s website. Please access the below website, enter the Company’s name or
securities code (4005) to run a search, and select “Basic information” and then “Documents for
public inspection/PR information” to view the information.
■ Tokyo Stock Exchange website (“Listed Company Search”):
https://www2.jpx.co.jp/tseHpFront/JJK020010Action.do?Show=Show

MATTERS TO BE REPORTED:
No. 1.

Reports on the Company’s business report, consolidated financial statements, and theresults of both the Accounting Auditor’s and the Board of Corporate Auditors’ auditsof the Company’s consolidated financial statements for the 143rd fiscal period (from
April 1, 2023, to March 31, 2024) (the “143rd fiscal period”).

No. 2.

Reports on the Company’s non-consolidated financial statements for the 143rd fiscal
period.

MATTERS TO BE RESOLVED:
No. 1.

To elect ten Directors.

2 / 56

EXPLANATION OF THE SUBJECT MATTERS OF THE MEETING
No. 1.

Reports on the Company’s business report, consolidated financial statements, and theresults of both the Accounting Auditor’s and the Board of Corporate Auditors’ auditsof the Company’s consolidated financial statements for the 143rd fiscal period.

No. 2.

Reports on the Company’s non-consolidated financial statements for the 143rd fiscal
period.

* The financial statements for the 143rd fiscal period have been audited by the Accounting Auditors(certified public accountants under Japanese law) and the Corporate Auditors of the Company pursuant
to the Companies Act (kaishahou) (Law No. 86 of 2005).

3 / 56

No. 1. To elect ten Directors.
The terms of office of all twelve Directors will expire at the close of this Meeting.
The Company has decided to review the member composition for the Board of Directors withthe aim of strengthening the role of the Board of Directors in monitoring functions such as“management oversight” and “deliberation and evaluation of medium- to long-term management
strategies and policies.”
Accordingly, the election of ten Directors is proposed, reducing the number of internal
Directors by three, for a total of five, and increasing the number of Outside Directors by one, for a
total of five.
The candidates for Director are as follows:
CandidateCurrent Principal Occupation and Responsibility at
the Company

Name

No.

1

Masakazu Tokura (Male)(Reappointment)

Representative
Director, Chairman

2

Keiichi Iwata(Reappointment)

Representative
Director, President &Executive President(Male)

3

Hiroshi Ueda

(Male)(Reappointment)

Director &Executive Vice
President

4

Hiroshi Niinuma(Male)(Reappointment)

Director &Executive Vice
President

5

Noriaki Takeshita (Male)(New
appointment)

Senior Managing
Executive Officer

4 / 56

Supervision of Research
Planning and Coordination,
Digital and Data Science
Innovation, Process &Production Technology &Safety Planning, Production& Safety Fundamental
Technology Center,
Engineering, Intellectual
Property, Responsible Care,
Industrial Technology &Research Laboratory,
Environmental Health
Science Laboratory,
Advanced Materials
Development Laboratory,
Bioscience ResearchLaboratory
Supervision of General
Affairs, External Relations,
Legal, Sustainability,
Human Resources, Osaka
Office Administration
Supervision of Corporate
Planning, IT Innovation,
General Manager ofCorporate Planning OfficeAttendance at
the Board of
Directors
meetings
13 out of 13
meetings(100%)
13 out of 13
meetings(100%)

13 out of 13
meetings(100%)

13 out of 13
meetings(100%)—

Candidate

Name

No.

6

Hiroshi Tomono(Male)

7

Motoshige Itoh

(Male)

8

Atsuko Muraki(Female)9

Akira Ichikawa(Male)

10

Yumiko Noda

(Female)(Reappointment,
Outside Director,
Independent
Officer)(Reappointment,
Outside Director,
Independent
Officer)(Reappointment,
Outside Director,
Independent
Officer)(Reappointment,
Outside Director,
Independent
Officer)(New
appointment,
Outside Director,
Independent
Officer)Current Principal Occupation and Responsibility at
the Company

Attendance at
the Board of
Directors
meetings

Director

12 out of 13
meetings(92%)

Director

13 out of 13
meetings(100%)

Director

13 out of 13
meetings(100%)

Director

13 out of 13
meetings(100%)—

5 / 56

Candidate No.

Career Summary, Principal Occupation and Responsibility at theCompany, and Important Concurrent Post

Name

1

Masakazu Tokura(Reappointment)

April 1974
June 2003
June 2006
June 2008

Joined the Company
Executive Officer
Managing Executive Officer
Representative Director &Managing Executive Officer
April 2009 Representative Director &Senior Managing Executive Officer
April 2011 Representative Director, President &Executive President
April 2019 Representative Director, Chairman
up to the present date

Birth Date
The Numberof Shares
Owned in the
Company
July 10, 1950
393,417
SharesImportant Concurrent Post
Chairman of KEIDANREN (Japan Business Federation)[Reason for selection as a Director nominee, etc.]
Masakazu Tokura served as a Director & Executive President for eight
years from April 2011 to March 2019, contributing to theimprovement of corporate value of the Company. He has been
focusing on the operations of the Board of Directors of the Company
as a Director, Chairman since April 2019. He was continuously
selected as a Director nominee since he has extensive businessexperience and advanced knowledge of the overall management of theCompany, as described above.

2

Keiichi Iwata(Reappointment)

April 1982
April 2010
April 2013
April 2018
June 2018

Joined the Company
Executive Officer
Managing Executive Officer
Senior Managing Executive Officer
Representative Director &Senior Managing Executive Officer
April 2019 Representative Director, President &Executive President
up to the present date
[Reason for selection as a Director nominee, etc.]
Since joining the Company, Keiichi Iwata has mainly engaged inbusiness planning in the Fine Chemicals Sector and the IT-related
Chemicals Sector and has worked abroad in Belgium. After his
appointment as an Executive Officer, he experienced planning andadministration as well as sales management and was in charge of theEnergy & Functional Materials Sector as a Director & Senior
Managing Executive Officer in 2018. He was appointed as a Director& Executive President in April 2019, and has formulated and been
implementing the current Corporate Business Plan. Currently, he isalso leading immediate-term, concentrated measures to improvebusiness performance and fundamental structural reforms. He wascontinuously selected as a Director nominee since he has extensive
business experience and advanced knowledge of the overall businessof the Company, as described above.

6 / 56

October 11,
1957
297,617
SharesCandidate No.

Career Summary, Principal Occupation and Responsibility at theCompany, and Important Concurrent Post

Name

3

Hiroshi Ueda
(Reappointment)

April 1982
June 2008
April 2009
April 2011
April 2016
June 2016

Joined the Company
Associate Officer
Executive Officer
Managing Executive Officer
Senior Managing Executive Officer
Representative Director &Senior Managing Executive Officer
June 2018 Director & Senior Managing Executive Officer
April 2019 Director & Executive Vice President
up to the present dateCurrent Responsibility at the Company
Supervision of Research Planning and Coordination, Digitaland Data Science Innovation, Process & Production Technology& Safety Planning, Production & Safety Fundamental
Technology Center, Engineering, Intellectual Property,
Responsible Care, Industrial Technology & ResearchLaboratory, Environmental Health Science Laboratory,
Advanced Materials Development Laboratory, Bioscience
Research Laboratory[Reason for selection as a Director nominee, etc.]
Since joining the Company, Hiroshi Ueda has mainly engaged in
manufacturing and industrial research. In addition to them, he was
responsible for business development, business planning, andsafety/environment/hygiene-related operations at each plant after his
appointment as an Executive Officer. He was in charge of the Energy& Functional Materials Sector as a Director & Senior Managing
Executive Officer since 2016 and is currently in charge of Research
Planning and Coordination, Digital and Data Science Innovation,
Process & Production Technology & Safety Planning, Engineering,Responsible Care, and corporate research facilities as a Director &Executive Vice President. He was continuously selected as a Director
nominee since he has extensive business experience and advanced
knowledge of the overall business of the Company, as describedabove.

7 / 56Birth Date
The Numberof Shares
Owned in the
Company
August 5,
1956
201,604
SharesCandidate No.

Career Summary, Principal Occupation and Responsibility at theCompany, and Important Concurrent Post

Name

4

Hiroshi Niinuma

April 1981 Joined the Company
April 2010 Executive Officer
April 2013 Managing Executive Officer
April 2018 Senior Managing Executive Officer
June 2018 Director & Senior Managing Executive Officer
April 2022 Director & Executive Vice President
up to the present dateCurrent Responsibility at the Company
Supervision of General Affairs, External Relations, Legal,
Sustainability, Human Resources, Osaka Office Administration(Reappointment)
Important Concurrent Post
Director of Sumitomo Pharma Co., Ltd. (scheduled)[Reason for selection as a Director nominee, etc.]
Since joining the Company, Hiroshi Niinuma has mainly engaged in
the operations such as general affairs and human resources. In addition
to them, he was responsible for a wide range of administrative
departments such as Legal, CSR, Internal Control and Audit,
Corporate Communications, Procurement and Logistics, and worked
on ensuring compliance, developing and improving a corporate
governance structure after his appointment as an Executive Officer.
He is currently in charge of General Affairs, External Relations,
Legal, Sustainability, Human Resources, and more as a Director &Executive Vice President. He was continuously selected as a Director
nominee since he has extensive business experience and advanced
knowledge of the overall business of the Company, as describedabove.

8 / 56Birth Date
The Numberof Shares
Owned in the
Company
March 5,
1958
164,704
SharesCandidate No.

Career Summary, Principal Occupation and Responsibility at theCompany, and Important Concurrent Post

Name

5

Noriaki Takeshita(New appointment)

April 1982
April 2010
April 2013
June 2017
April 2018

Joined the Company
Executive Officer
Managing Executive Officer
Representative Director & Managing Executive Officer
Representative Director & Senior Managing Executive
OfficerJune 2023 Senior Managing Executive Officer
up to the present dateCurrent Responsibility at the Company
Supervision of Corporate Planning, IT Innovation, General
Manager of Corporate Planning Office
Important Concurrent Post
Deputy Chairman of Rabigh Refining and Petrochemical
Company[Reason for selection as a Director nominee, etc.]
Since joining the Company, Noriaki Takeshita has mainly engaged inbusiness planning in the Petrochemicals & Plastics Sector, also humanresources department and has worked abroad in Singapore and Saudi
Arabia (the Rabigh Project). After his appointment as an Executive
Officer, he experienced planning and administration as well as sales
management and was in charge of the Essential Chemicals & Plastics
Sector from 2017 to 2023. He is currently in charge of Corporate
Planning and IT Innovation as a Senior Managing Executive Officer.
He was selected as a Director nominee since he has extensive businessexperience and advanced knowledge of the overall business of theCompany, as described above.

9 / 56Birth Date
The Numberof Shares
Owned in the
Company
July 23, 1958
146,733
SharesCandidate No.

Career Summary, Principal Occupation and Responsibility at theCompany, and Important Concurrent Post

Name

April 1971

Joined Sumitomo Metal Industries, Ltd.
(Currently NIPPON STEEL CORPORATION)
June 1998
Director of Sumitomo Metal Industries, Ltd.
June 1999
Managing Executive Officer of Sumitomo Metal
Industries, Ltd.
April 2003
Senior Managing Executive Officer of
Sumitomo Metal Industries, Ltd.
June 2003
Director & Senior Managing Executive Officer
of Sumitomo Metal Industries, Ltd.
Hiroshi Tomono
April 2005
Representative Director & Vice President of
Sumitomo Metal Industries, Ltd.
(Reappointment,
June 2005
Representative Director & President of
Outside Director,
Sumitomo Metal Industries, Ltd.
Independent Officer) October 2012
Representative Director & President & COO of
Nippon Steel & Sumitomo Metal Corporation(Currently NIPPON STEEL CORPORATION)
April 2014
Representative Director & Vice Chairman of
Nippon Steel & Sumitomo Metal Corporation
April 2015
Director & Adviser of Nippon Steel &Sumitomo Metal Corporation
June 2015
Adviser of Nippon Steel & Sumitomo Metal
Corporation
June 2015
Outside Director of the Company
up to the present dateJune 2020
Senior Adviser of NIPPON STEELCORPORATION
up to the present date

Birth Date
The Numberof Shares
Owned in the
Company
July 13, 1945

6

Important Concurrent Post
Outside Director of Japan Nuclear Fuel Limited
Outside Director of The Kansai Electric Power Company,
Incorporated[Reason for selection as an Outside Director nominee and outline of
expected roles]
Hiroshi Tomono can be expected to make decisions on importantmanagement matters at the Board of Directors of the Company,
appropriately oversee business execution, provide well-balanced
advice based on an extensive view on overall management, makerecommendations based on his expertise in research, technology,
manufacturing and other areas, and support appropriate risk-taking,by making use of his abundant experience and extensive knowledge
as a management executive of a business corporation. Accordingly,
he was continuously selected as an Outside Director nominee.

10 / 56

0 SharesCandidate No.

Career Summary, Principal Occupation and Responsibility at theCompany, and Important Concurrent Post

Name

December 1993

7

Motoshige Itoh
(Reappointment,
Outside Director,
Independent Officer)

Professor, Faculty of Economics, The Universityof Tokyo
April 1996
Professor, Graduate School of Economics, The
University of Tokyo
October 2007
Dean, Graduate School of Economics, Facultyof Economics, The University of Tokyo
April 2016
Professor, Faculty of International Social
Sciences, Gakushuin University
June 2018
Outside Director of the Company
up to the present date
Important Concurrent Post
Outside Director of Shizuoka Financial Group, Inc.
Outside Director of JX Nippon Mining & Metals Corporation
Outside Director of Hagoromo Foods Corporation[Reason for selection as an Outside Director nominee and outline of
expected roles]
Motoshige Itoh can be expected to make decisions on importantmanagement matters at the Board of Directors of the Company,
appropriately oversee business execution, and provide advice andrecommendations based on his advanced expertise, by making use of
his expert knowledge of economics, etc. through his long experience
as a university professor and his wealth of experience and extensive
knowledge of economic, social and other issues from his track record
as a member of various government deliberative committees.
Accordingly, he was continuously selected as an Outside Director
nominee. Although Motoshige Itoh only has experience withenterprise management as an outside director or auditor, the Company
has determined that he is capable of appropriately performing theduties of an Outside Director of the Company, due to the reasonsmentioned above.

11 / 56

Birth Date
The Numberof Shares
Owned in the
Company
December19, 1951

0 SharesCandidate No.

Career Summary, Principal Occupation and Responsibility at theCompany, and Important Concurrent Post

Name

April 1978
8

Atsuko Muraki(Reappointment,
Outside Director,
Independent Officer)

Joined Ministry of Labour (Currently Ministryof Health Labour and Welfare)
October 2005
Counsellor for Policy Evaluation, Minister’s
Secretariat of Ministry of Health Labour andWelfareSeptember 2006
Deputy Director-General, Equal Employment,Children and Families Bureau of Ministry of
Health Labour and Welfare
July 2008
Director-General, Equal Employment, Children
and Families Bureau of Ministry of Health
Labour and Welfare
September 2010
Director-General for Policies on Cohesive
Society of Cabinet Office
September 2012
Director-General, Social Welfare and War
Victims’ Relief Bureau of Ministry of Health
Labour and Welfare
July 2013
Vice Minister of Health Labour and Welfare of
Ministry of Health Labour and Welfare
October 2015
Retired from Ministry of Health Labour andWelfareJune 2018
Outside Director of the Company
up to the present date
[Reason for selection as an Outside Director nominee and outline of
expected roles]
Atsuko Muraki can be expected to make decisions on importantmanagement matters at the Board of Directors of the Company,
appropriately oversee business execution, and provide advice andrecommendations based on her advanced expertise, by making use ofher wealth of experience and extensive knowledge in legal, social andother issues deriving from her employment over many years at
administrative bodies as a civil servant as well as her expertise
especially in human resources. Accordingly, she was continuously
selected as an Outside Director nominee. Although Atsuko Muraki
only has experience with enterprise management as an outside director
or auditor, the Company has determined that she is capable ofappropriately performing the duties of an Outside Director of theCompany, due to the reasons mentioned above.

12 / 56

Birth Date
The Numberof Shares
Owned in the
Company
December28, 1955

0 SharesCandidate No.

Career Summary, Principal Occupation and Responsibility at theCompany, and Important Concurrent Post

Name

9

Akira Ichikawa(Reappointment,
Outside Director,
Independent Officer)

April 1978
June 2007

Joined Sumitomo Forestry Co., Ltd.
Executive Officer & General Manager ofCorporate Planning Department of Sumitomo
Forestry Co., Ltd.
June 2008
Director, Managing Executive Officer of
Sumitomo Forestry Co., Ltd.
April 2010
Representative Director, President of Sumitomo
Forestry Co., Ltd.
April 2020
Representative Director, Chairman of the Boardof Sumitomo Forestry Co., Ltd.
up to the present dateJune 2022
Outside Director of the Company
up to the present date
Important Concurrent Post
Representative Director, Chairman of the Board of Sumitomo
Forestry Co., Ltd.
Outside Director of Konica Minolta, Inc.

[Reason for selection as an Outside Director nominee and outline of
expected roles]
Akira Ichikawa can be expected to make decisions on importantmanagement matters at the Board of Directors of the Company,
appropriately oversee business execution, provide well-balanced
advice based on an extensive view on overall management, makerecommendations based on his expertise in global operations,sustainability and other areas, and support appropriate risk-taking, bymaking use of his abundant experience and extensive knowledge as amanagement executive of a business corporation. Accordingly, he wascontinuously selected as an Outside Director nominee.

13 / 56

Birth Date
The Numberof Shares
Owned in the
Company
November
12, 1954

0 SharesCandidate No.

Career Summary, Principal Occupation and Responsibility at theCompany, and Important Concurrent Post

Name

April 1982

10

Yumiko Noda
(New appointment,
Outside Director,
Independent Officer)

Joined Bank of America Corporation Tokyo
BranchMarch 1996
Deputy General Manager (Head of Structured
Finance Department), London Branch, The
Long-Term Credit Bank of Japan, Limited
January 2000
Partner (Head of PPP (Public Private
Partnership) and Privatization), PwC Financial
Advisory Services Co., Ltd. (Currently PwC
Advisory LLC)
June 2007
Deputy Mayor of Yokohama City
January 2011
Partner (Head of PPP and Infrastructure AsiaPacific), PwC Advisory Co., Ltd. (Currently
PwC Advisory LLC)
October 2017
President and Representative Director of Veolia
Japan K.K. (Currently Veolia Japan GK)
June 2020
Chairman and Representative Director of Veolia
Japan GKup to the present date

Birth Date
The Numberof Shares
Owned in the
Company
January 26,
1960
0 SharesImportant Concurrent Post
Chairman and Representative Director of Veolia Japan GK
Outside Director of Idemitsu Kosan Co., Ltd. (Scheduled toretire on the date of the company’s Ordinary General Meetingof Shareholders this year)
Outside Director of Mizuho Financial Group, Inc.
Outside Director of East Japan Railway Company[Reason for selection as an Outside Director nominee and outline of
expected roles]
Yumiko Noda can be expected to make decisions on importantmanagement matters at the Board of Directors of the Company,
appropriately oversee business execution, provide well-balanced
advice based on an extensive view on overall management, makerecommendations based on her expertise in global management,
finance and other areas, and support appropriate risk-taking, bymaking use of her abundant experience and extensive knowledge as amanagement executive of a globally expanding business corporation,
as well as her deep expertise in finance at financial institutions andconsulting companies. Accordingly, she was newly selected as an
Outside Director nominee.

NOTES: 1
2
3

None of the above candidates has any conflicts of interest with the Company.
Mr. Hiroshi Tomono, Mr. Motoshige Itoh, Ms. Atsuko Muraki, Mr. Akira
Ichikawa, and Ms. Yumiko Noda are the candidates for Outside Director.
Mr. Hiroshi Tomono, Mr. Motoshige Itoh, Ms. Atsuko Muraki, and Mr. Akira
Ichikawa are currently Outside Directors of the Company. Mr. Hiroshi Tomono’s
term of office will be nine years, Mr. Motoshige Itoh’s term of office will be six
years, Ms. Atsuko Muraki’s term of office will be six years, and Mr. Akira

14 / 56

4

5

6

7

8

9

Ichikawa’s term of office will be two years at the close of this Meeting.
Pursuant to the regulations of the Tokyo Stock Exchange, Inc., the Company has
designated Mr. Hiroshi Tomono, Mr. Motoshige Itoh, Ms. Atsuko Muraki, and
Mr. Akira Ichikawa as Independent Directors and Ms. Yumiko Noda as a
candidate for Independent Director, who have no risk of having conflicts ofinterest with ordinary shareholders.
The following facts were discovered by The Kansai Electric Power Company,
Incorporated (“KEPCO”) where Mr. Hiroshi Tomono has been serving as an
Outside Director since June 2020: employees, etc. of KEPCO improperly browsed
and used customer information of power producers and suppliers other than
KEPCO that was managed by Kansai Transmission and Distribution, Inc.
(“Kansai Transmission and Distribution”), a subsidiary of KEPCO; some
employees of KEPCO used ID, etc. held by Kansai Transmission and Distribution
to access and inappropriately browse a website managed and operated by the
Ministry of Economy, Trade and Industry; and KEPCO had performed acts that
violated Article 3 of the Anti-Monopoly Act, which prohibits unreasonable
restraint of trade. Although Mr. Hiroshi Tomono was unaware of these facts until
these incidents came to light, he’s been fulfilling his duties by regularly making
suggestions at the Board of Directors and committees, etc. in which he serves tostrengthen governance and compliance and making recommendations for theverification, etc. of the implementation status of the business improvement plan
aimed at preventing recurrence and the status of steps taken by the emergency
response committee.
At Sompo Japan Insurance Inc. (“Sompo Japan Insurance”), a subsidiary of
Sompo Holdings, Inc. (“Sompo Holdings”), where Ms. Atsuko Muraki served as
Outside Audit & Supervisory Board Member and Outside Director from June2017 to June 2021, a case involving acts that are considered to violate the AntiMonopoly Act and acts that are inappropriate in light of the purpose of the Act, as
well as a case of inappropriate handling by Sompo Japan Insurance regarding
fraudulent automobile insurance claims by a used car sales company, occurred. In
January 2024, Sompo Holdings received a business improvement order from the
Financial Services Agency regarding its management of Sompo Japan Insurance
based on the Insurance Business Act. Although Ms. Atsuko Muraki was unawareof the inappropriate fact at Sompo Japan Insurance until the incident came to light,
during her tenure at Sompo Holdings, she fulfilled her duties as Outside Audit &Supervisory Board Member and Outside Director by speaking up about theimportance of Group governance and legal compliance at Audit & Supervisory
Board meetings and Board of Directors meetings.
Mr. Akira Ichikawa’s role as Chairman of the Board at Sumitomo Forestry Co.,
Ltd. is mainly to oversee management. He has no area of responsibility, and his
involvement in day-to-day business execution decisions is limited. The business
relationship between Sumitomo Forestry Co., Ltd. and the Company represents
less than 0.1% of consolidated sales for both companies, and Sumitomo ForestryCo., Ltd. is neither a major business partner nor a major shareholder.
The Company executed limitation of liability contracts with Mr. Hiroshi Tomono,
Mr. Motoshige Itoh, Ms. Atsuko Muraki, and Mr. Akira Ichikawa that limit their
liabilities for damages to the Company pursuant to Article 423(1) of theCompanies Act, up to the total of the amounts listed in the items of Article 425(1)of the Companies Act (the “Limitation of Liability Contracts”). When they arereappointed to Outside Directors of the Company, the Company will continue theLimitation of Liability Contracts. In addition, if Ms. Yumiko Noda is appointed
to Outside Director of the Company, the Company will execute a contract withher with the same content as the Limitation of Liability Contracts.
The Company entered into a directors and officers liability insurance contract withan insurance company, as stipulated in Article 430-3(1) of the Companies Act., to

15 / 56

10

cover damages and dispute costs such as litigation costs, lawyer fees, andarbitration/settlement costs (including those arising in connection with lost
shareholder derivative suits and claims for damages from the Company) thatshould be legally borne by the insured. If each candidate is elected as a Director,
he or she will be covered by the insurance contract, and the Company plans torenew the insurance contract with the same content during his or her term of office.
Mr. Hiroshi Niinuma is scheduled to become a Director of Sumitomo Pharma Co.,
Ltd. on the date of said company’s Annual Shareholders' Meeting to be held in
June 2024.

16 / 56

(Reference)
Expertise and experience of Directors and Corporate Auditors (to be complete after the close of the
143rd Ordinary General Meeting of Shareholders)
Corporate
Management

Directors:
Masakazu
TokuraKeiichi
Iwata
Hiroshi
Ueda
HiroshiNiinuma
NoriakiTakeshita
HiroshiTomonoBusinessstrategy/MarketingTechnology/
Research

Global

○

○

○

○

○

○

○

ESG/

Finance/

Sustainability Accounting

resources andlabor

Legal/○

Knowledge ofCompliance/

other

Internal

specialized

controlfields○○(IT/DX)

○

○

Human

○
○

○

○

○
○
○
(international

MotoshigeItoh○economics)○(IT/DX)

AtsukoMuraki
Akira○
Ichikawa
Yumiko○Noda
Corporate Auditors:
Kunio
NozakiHironobu
Nishi
Mitsuhiro
Aso
Yoshitaka
Kato
MichioYoneda

○
○

○

○

○

○

○

○

○

○

○

○

○

○

○

○
○

○
○

○

○

(financial
markets)* The above table shows up to three of the major areas of each person’s expertise and experience with ○.

17 / 56

(Reference)
Criteria for Designation of Independent Directors & Auditors (Revised June 23, 2015)
1. These criteria set conditions for designation of the Company’s Outside Directors & Auditors(meaning Outside Directors and Outside Corporate Auditors) as “Independent Directors &Auditors” defined in the listing rules of stock exchanges in Japan.
2. If none of the conditions given in (1) to (9) below applies, a person, in principle, shall beconsidered to have no material interest in the Company and may be designated as
Independent Directors & Auditors.
The person(1) Is an executor of business, i.e. someone who executes business of the Company or acompany of the Company’s Group (a Director (other than Outside Director), an
executive officer, or an employee (by whatever name, someone having an employment
relationship with the Company or with the company of the Group)).
(2) Is an executor of business who executes business of a major client or business partnerof the Company. The “a major client or business partner” means any of the following.
(a) A vendor providing products or services to the Company, or a customer to which theCompany is providing products or services, of which the total amount of suchtransactions in the fiscal year nearest to the time of intended designation as an
Independent Directors & Auditors exceeds 2% of their total sales or exceeds 2% of
the Company’s nonconsolidated sales, respectively.
(b) A financial institution providing loans to the Company, of which the total amount of
the loans at the end of the fiscal year nearest to the time of intended designation as
Independent Directors & Auditors exceeds 2% of the Company’s total
nonconsolidated borrowings; provided that, even if the amount does not exceed 2%, afinancial institution indicated as a lender to the Company on annual securities reports,business reports or other public documents shall be considered “a major business
partner.”(3) A consultant, certified public accountant, attorney or other expert receiving
remuneration from the Company in addition to the remuneration payable to theCompany’s Directors, Officers, Etc., of which the total amount of the remuneration paid,
other than the remuneration payable to the Company’s Directors, Officers, Etc., in thefiscal year nearest to the time of intended designation as Independent Directors &Auditors exceeds 10 million yen; provided that, even if the amount does not exceed 10
million yen, the person shall be considered a recipient of a substantial amount of
remuneration if it exceeds 50% of that person’s annual income.
(4) A person who works for an organization that is a consulting firm, tax accounting firm,law office, other corporate body, partnership, etc., whose sales to the Company in thefiscal year nearest to the time of intended designation as Independent Directors &Auditors exceeds 2% of the organization's total sales or 10 million yen, whichever islarger.
(5) A shareholder of the Company whose share of voting rights at the end of the fiscal year
nearest to the time of intended designation as Independent Directors & Auditors is 10%
or more (a total of direct and indirect holdings) or an executor of business at theshareholder entity.

18 / 56

(6) Of the companies in which the Company holds shares, an entity in which the Company’s
share of voting rights at the end of the fiscal year nearest to the time of intended
designation as Independent Directors & Auditors is 10% or more (a total of direct andindirect holdings) or an executor of business at the entity.
(7) A person who works for an auditing firm that conducts statutory audits of the Company.
(8) A person to whom (1) above was applicable in the past or to whom any of (2) to (7)above was applicable in the past one year or equivalent period.
(9) A spouse or a close relative (second-degree relative or closer) of a person to whom anyof the following applies.
(a) A person listed in (1) to (7) above.
(b) A person who, in the past year or equivalent period, was an executor of business of
the Company or a company of the Company's Group. If an outside Corporate Auditor
is to be designated as Independent Directors & Auditors, a Director not executing
business or an accounting advisor (including its employees who are to perform
relevant specific duties if the accounting advisor is a body corporate).
(c) In (a) and (b) above, “an executor of business” shall mean a person executing animportant business at a company or a business partner, i.e. a Director having businessexecution functions, an Executive Officer or an employee having a position of
department manager, its equivalent or above, and shall not include persons below theposition of department manager or its equivalent.
(d) The above (a) notwithstanding, a person who “works for an organization” in (4)above shall not include a person who is neither an executor of important business inthe organization nor, if the organization is an auditing firm, law office or otherorganization specializing in accounting or law, etc., a person who has specialized
qualifications, such as a certified public accountant and attorney.
(e) The above (a) notwithstanding, a person who “works for an auditing firm” in (7)above shall include neither a person who is not an executor of important business inthe firm nor a person who does not have specialized qualifications, such as a certified
public accountant.
3. Even where the conditions set forth in 2. above do not apply, if there are circumstances that,in the judgment of the Company, sufficiently indicates any of Outside Directors & Auditors
being incapable of performing his or her duties as Independent Directors & Auditors, thatparticular Outside Directors & Auditors shall not be designated as Independent Directors &Auditors.
4. With respect to an Outside Directors & Auditors whom the Company intends to designate
as Independent Directors & Auditors in accordance with the foregoing, the Company shall,
upon his or her written consent, designate that Outside Directors & Auditors as Independent
Directors & Auditors, and shall make notification thereof to the stock exchanges on which
the Company is listed. Prior to making the notification, the matter shall be reported to theBoard of Directors and the Board of Corporate Auditors.

19 / 56ATTACHMENTS

Business Report(April 1, 2023 - March 31, 2024)

1. Overview of the Company Group(1)

Business Progress and Results
For FY2023, the global economy showed a gradual deceleration due to the negative
impact of factors such as the continued monetary tightening policies in Europe and the US,
and the prolonged economic stagnation in China. In the petrochemical and semiconductor
sectors, the business environment remained difficult, with sluggish product market
conditions and a delay in the full-scale recovery of demand. In addition, in Japan's
economy, economic recovery came to a standstill against the backdrop of a decline in
consumption due to inflation.
In addition to these circumstances, due to the impact of the loss of exclusivity for
LATUDA® in the U.S. As a result, the Group’s sales revenue decreased by ¥448.4 billion
compared to FY2022, to ¥2,446.9 billion. In terms of profits and losses, core operating
income* was a loss of ¥149.0 billion, operating income was a loss of ¥488.8 billion, andnet income attributable to owners of the parent was a loss of ¥311.8 billion. Results inevery category of income were much lower than FY2022. The Company’s nonconsolidated sales amounted to ¥809.6 billion, and net income was ¥8.7 billion.
Note: “Core operating income and loss” is a gain and loss concept that reflects recurring
earning capacity by deducting gains and losses incurred by non-recurring factors
from operating profit and loss, which includes the share of profits or losses frominvestments accounted for using the equity method.
The Company has regrettably decided to pay a year-end dividend of ¥3 per share inlight of the poor operating results of FY2023 described above, as well as the continuously
unpredictable business environment. As a result, the Company’s annual dividend for
FY2023 is ¥9 per share, including an interim dividend of ¥6 per share.
Financial Results by Business Segment
Essential Chemicals & Plastics
The market prices for synthetic resins, methyl methacrylate and various industrial
chemicals stayed on a low level due to a decrease in raw material prices. Shipments
decreased owing to lower demand for petrochemical products resulting from the global
economic slowdown and the Company's exit from caprolactam business. As a result, sales
revenue decreased by ¥78.9 billion from FY2022, to ¥774.0 billion. Core operating income
posted a loss of ¥90.7 billion, lower by ¥56.5 billion from FY2022, due to the declined
market prices and impact of lower shipment volumes, as well as a deterioration in thefinancial performance of Rabigh Refining and Petrochemical Company, an affiliatedcompany accounted for by the equity-method.
Energy & Functional Materials
The market prices of aluminum and the battery metals for cathode materials remained
at a low level. In addition, shipments were sluggish, particularly for products forautomotive-related applications. As a result, sales revenue decreased by ¥42.2 billion fromFY2022, to ¥300.3 billion. Core operating income was ¥7.8 billion, decreased by ¥7.4
billion from FY2022.

20 / 56

IT-related Chemicals
Shipments of display-related materials and processing materials for semiconductors,
such as high-purity chemicals and photoresists, decreased as consumers' sentiment
deteriorated in the face of inflation concerns. As a result, sales revenue decreased by ¥17.1
billion from FY2022, to ¥414.2 billion. Core operating income was ¥44.0 billion,
decreased by ¥3.6 billion fromFY2022.
Health & Crop Sciences
Sales of crop protection products decreased since a price spike of generic products
tapered off and shipments decreased due to an increase of inventories in the market inSouth America. Moreover, the market price of methionine (feed additives) decreased fromFY2022. As a result, sales revenue decreased by ¥52.4 billion from FY2022 to ¥546.0
billion. Core operating income was ¥30.9 billion, decreased by ¥26.4 billion from FY2022,
because of deteriorated market conditions of methionine and the liquidation of crop
protection products inventory in the midst of weaker demand in South America.
Pharmaceuticals
In North America, revenue showed a decrease owing to the impact of the loss of
exclusivity for LATUDA® (atypical antipsychotic) in the U.S., despite an increase in salesof ORGOVYX® (therapeutic agent for advanced prostate cancer), MYFEMBREE®
(therapeutic agent for uterine fibroids and endometriosis) and GEMTESA® (therapeutic
agent for overactive bladder). In addition, there was a decrease in revenue due to thetransfer of all shares of two consolidated subsidiaries within Japan. As a result, sales
revenue decreased by ¥242.1 billion from FY2022, to ¥342.7 billion. Core operating
income posted a loss of ¥133.0 billion, lower by ¥149.2 billion from FY2022, as the
reduction in selling, general and administrative expenses, primarily owing to the loss of
exclusivity for LATUDA® and the combination of group companies in North America,
was outweighed by the decrease in gross profit on account of a revenue decline.
OthersIn addition to the above five segments, the Group supplies electric power and steam,designs chemical plants and supervises the construction of those facilities, provides
transportation and warehousing, and conducts physical property analysis andenvironmental analysis. Sales revenue of these businesses decreased by ¥15.6 billion fromFY2022, to ¥69.8 billion, and core operating income decreased by ¥2.3 billion fromFY2022, to ¥8.1 billion.
Capital Expenditures
In the fiscal year under review, the Companies’ capital expenditures totaled ¥158.4
billion, which includes investments for new installations and the expansion of
manufacturing facilities as well as renovations and rationalization of existing facilities.
Major facilities completed in the fiscal year under review include the introduction of
the Company’s high-efficiency gas turbine as part of rationalization in the Essential
Chemicals & Plastics Sector, the new installation of an overseas subsidiary’s photoresist
manufacturing facilities in the IT-related Chemicals Sector, and the new construction of theCompany’s manufacturing plant for nucleic acid drug in the Health & Crop Sciences Sector.
Major facilities under construction in the fiscal year under review include the following:
the new installation of an overseas subsidiary’s semiconductor process chemical plant in
the IT-related Chemicals Sector; the new construction of the Company’s manufacturing
plant for small molecule drugs in the Health & Crop Sciences Sector; and the new
construction of the Company’s research sites as part of their reorganization in the Others
Sector.
Financing
To respond to financing needs during the fiscal year under review, the Company raised

21 / 56

funds, primarily via borrowings from banks and the issue of corporate bonds. As a result,the balance of borrowings (including corporate bonds) increased by ¥102.1 billion from theprevious fiscal year, to ¥1,563.5 billion.
(2)

Issues to be Addressed

Recognition of the Current Situation
Since the 2000s, we have promoted three core strategies: fundamentally strengthening
the competitiveness of the petrochemical business, securing critical mass in the life sciencesbusiness, and developing new businesses centered on ICT, with the aim of strengthening
our medium- to long-term earnings capacity. As a result, we have achieved a certain levelof success in terms of global business development and specialization through the
expansion of non-petrochemical businesses such as health & crop sciences and IT-related
chemicals.
On the other hand, due to external factors such as the acceleration of thecommoditization of technology and the construction of new large-scale plants in China andother countries, as well as internal factors such as the dispersion of management resources
as the five business sectors aimed for their own growth and a lack of discernment anddevelopment capabilities in pharmaceuticals, the petrochemical business, including Petro
Rabigh in particular, as well as Sumitomo Pharma Co., Ltd.’s business performance, weresluggish.
As a result, we recorded a final deficit of ¥311.8 billion in FY2023, the largest since ourfounding, and we recognize that our growth model based on our existing five businesssectors has reached its limit.

22 / 56Immediate-term, concentrated measures to improve business performance
In light of the current situation, we have been implementing immediate-term,
concentrated measures to improve business performance since November of last year toincrease the certainty of a V-shaped recovery in business performance in FY2024, and tostrengthen our financial position in preparation for fundamental structural reforms that are
being carried out alongside these measures.
These improvement measures aimed to generate approximately ¥500.0 billion in cashby the end of FY2024 through business restructuring, inventory reduction, selective
investment, asset sales, and the leverage of surplus funds, but seeing as progress has
exceeded our initial expectations, we have added an additional ¥100.0 billion to the target,
pushing it up to approximately ¥600.0 billion. In terms of business restructuring, we areproceeding with consecutive sales of non-core businesses from the perspective of finding
the best owner, including the transfer of an LCD chemical business in China and a postharvest business in the United States. Regarding inventory reduction, we reduced inventoryby ¥75.0 billion, half of our target, by the end of FY2023. In terms of selective investment,
we are expecting a cumulative reduction of ¥150.0 billion over the three years beginningfrom FY2022. Sales of cross-shareholdings are also progressing smoothly, with sales
already exceeding the initial plan. Overall, we are currently certain that we will generatecash of approximately ¥400.0 billion.

23 / 56

Performance Forecast for FY2024
Regarding our business performance for FY2024, we expect a V-shaped recovery andprofitable core operating income of ¥100.0 billion and net income attributable to owners of
the parent of ¥20.0 billion. In terms of core operating income and loss, this is a significant
improvement of ¥249.0 billion year on year, and regarding Sumitomo Pharma Co., Ltd.,
which will account for more than half of this, we are expecting a total improvement of¥134.0 billion mainly due to cost reduction effects of approximately ¥110.0 billion throughcost curtailment, narrowing down of clinical trial costs, personnel reductions, etc., as wellas maximized sales expansion of three key products. Aside from Sumitomo Pharma Co.,
Ltd., we expect an improvement of ¥66.0 billion due to the effects of anticipatory
investments in crop protection products and semiconductor materials, business restructuring,
and already implemented measures, including the effects of impairment losses. Moreover,
we expect an improvement of ¥19.0 billion due to improvements in the external
environment, including a recovery in the petrochemical market, as well as an improvementof ¥30.0 billion due to the contribution of immediate-term, concentrated measures toimprove business performance.
Item
Sales revenue
Core operating income
Net income attributableto owners of the parent
ROE
ROI

FY2023 results
2,446.9(149.0)(Billions of yen)
FY2024 forecast
2,670.0
100.0(311.8)20.0(29.2)%(16.1)%

2.1%
0.9%

24 / 56

Fundamental Structural Reforms
In order to achieve sustainable growth after a V-shaped recovery in FY2024, we needto come up with fundamental solutions to the structural management issues faced by theCompany. Under the name of “Fundamental Structural Reforms,” we are working on a
“Revival Strategy” that aims to rebuild existing businesses and a “Growth Strategy” thataims to establish a new long-term growth model and develop new growth drivers.
<Fundamental Structural Reforms (Revival Strategy)>
The Revival Strategy involves the following measures.
Sumitomo Pharma Co., Ltd.’s top priority is to curtail losses and narrow down the cost
structure to one that suits its needs by thoroughly rationalizing selling, general andadministrative expenses and research and development expenses. In addition, the Company
will take more extensive measures than ever before, including hiring external experts incorporate revitalization, strengthening governance by dispatching multiple managementhuman resources, and providing debt guarantees to Sumitomo Pharma Co., Ltd. We arealso aiming to get business performance back on track by expanding sales of three key
products, accelerating the development of two cancer drugs, establishing a new company
for regenerative medicine & cell therapies, and integrating management within the Group.
We will pursue all options to build a sustainable growth model.
Regarding Petro Rabigh, the Company and Saudi Aramco have formed a “joint task
force” and both companies have agreed to work intensively in the short-term to resolve
urgent issues, including the strengthening of earnings capacity. In the domestic Essential
Chemicals business, we will work on business restructuring to ensure survival, including
rationalizing ethylene plants and collaborating with companies involved in polyolefins.

<Fundamental Structural Reforms (Growth Strategy)>

25 / 56

Since our founding, we have achieved growth and contributed to society based on the
Sumitomo business concept of “Harmony between the individual, the nation and society”(Sumitomo manifests this concept by seeking to benefit not only its own business, but alsoboth the nation and society). Even when it comes to the fundamental structural reforms
currently underway, we are formulating our policies based on this idea.
As part of our policy for fundamental structural reforms (Growth Strategy), we havedefined our long-term corporate vision as becoming an “Innovative Solution Provider,” andhave expressed our determination to provide solutions to the issues faced by society
through our innovative products and technologies.
To achieve this, we reorganized our current five business sectors into four in October ofthis year, and decided to address the four social issues of food, ICT, healthcare, andenvironment in each business area. We provide solutions to society using the various leading
technologies and product groups that we have cultivated over the years, and going forward, we
aim to continue to be a company with a strong global presence by leveraging important assets
focused on GX, DX, and BX, and continuously creating innovative solutions.

<Positioning for New Business Area in the Growth Strategy>
In each of the four new business areas, we will clarify our strategic position and develop
a well-balanced portfolio strategy.
Agriculture and ICT-related “Agro & life solutions” and “ICT solutions” have been
designated as core growth drivers, and by focusing management resources on them, we aim
to achieve core operating income of ¥100.0 billion in each area by 2030.
On the other hand, concerning “Advanced medical solutions,” which handles the new
growth areas of leading-edge medicine business and CDMO business, and “Essential &green materials,” which is shifting focus from conventional petrochemicals to value
creation centered on environmental impact reduction technologies, we aim to achieve
combined core operating income of ¥100.0 billion by 2035.
<Summary>
Looking ahead, our biggest management challenge is to first achieve a V-shaped
recovery in business performance in FY2024. As we do this, we will also return to a growthtrajectory by pursuing fundamental structural reforms, including the thorough streamliningof Sumitomo Pharma Co., Ltd. and the repositioning of Petro Rabigh.
Following this, we will strengthen our financial position, concentrate management
resources on agriculture-related and ICT-related areas, and build a new growth model by

26 / 56

2030. Then, we will aim to achieve further growth through measures such as social
implementation of environmental impact reduction technologies and full-scale
development of regenerative medicine & cell therapies businesses.

27 / 56

(3) Assets and Income
1) Trends in assets and income of the GroupThe 140th term The 141st term The 142nd term The 143rd term
(April 1, 2020 to (April 1, 2021 to (April 1, 2022 to (April 1, 2023 to
Item
March 31, 2021) March 31, 2022) March 31, 2023) March 31, 2024)
IFRS
Sales revenue
2,287.0
2,765.3
2,895.3
2,446.9(Billions of yen)Core operating
income
147.6
234.8
92.8
(149.0)(Billions of yen)
Net income
attributable toowners of the
46.0
162.1
7.0
(311.8)parent(Billions of yen)
Basic earnings per
28.16 yen
99.16 yen
4.27 yen(190.69) yen
share
ROE
Equityattributable toowners of theparent(Billions of yen)
Total equity(Billions of yen)
Total assets(Billions of yen)

4.7%

14.5%

0.6%

(29.2)%

1,019.2

1,218.1

1,171.2

965.8

1,482.1

1,702.0

1,489.2

1,164.4

3,990.3

4,308.2

4,165.5

3,934.8

2) Trends in assets and income of the Company
The 140th term The 141st term The 142nd term The 143rd term
(April 1, 2020 to (April 1, 2021 to (April 1, 2022 to (April 1, 2023 to
Item
March 31, 2021) March 31, 2022) March 31, 2023) March 31, 2024)
Japanese GAAPNet sales
646.0
797.4
894.4
809.6
(Billions of yen)
Ordinary income
38.1
68.5
69.5
53.4
(Billions of yen)
Net income
41.7
61.7
50.4
8.7
(Billions of yen)
Net income per25.52 yen
37.76 yen30.85 yen5.32 yenshare
Net assets
346.2
368.8
378.0
370.4
(Billions of yen)
Total assets
1,729.7
1,740.1
1,772.9
1,899.6(Billions of yen)

28 / 56

(4)Principal Businesses (as of March 31, 2024)
Business sector
Major products and businesses
Essential Chemicals & Plastics Synthetic resins, raw materials for synthetic fibers, various
industrial chemicals, methyl methacrylate products, synthetic
resin processed products, etc.

Energy & Functional Materials

Alumina, aluminum, specialty chemicals, additives, synthetic
rubber, engineering plastics, battery materials, etc.

IT-related Chemicals

Optical products, semiconductor processing materials,
compound semiconductor materials, touch screen sensor
panels, etc.

Health & Crop Sciences

Crop protection chemicals, fertilizers, agricultural materials,
household insecticides, products for control of infectious
diseases, feed additives, active pharmaceutical ingredients andintermediates, etc.

Pharmaceuticals

Pharmaceuticals for medical treatment, radiopharmaceuticals,
etc.

NOTE:

Aside from the above, as “Others”, the Group supplies electric power and steam,designs chemical plants/supervises the construction of those facilities, provides
transportation
andwarehousing,andconducts
physicalproperty
analysis/environmental analysis, etc.

29 / 56

(5) Principal Business Locations (as of March 31, 2024)
1) The Company
Head offices
Tokyo, Osaka
Branch offices Tokyo, Osaka, Nagoya Branch Office, Fukuoka Branch OfficePlantsEhime Works, Chiba Works, Osaka Works, Ohe Works (Ehime), Ibaraki
Works, Oita Works, Misawa Works (Aomori)
Research
Industrial Technology & Research Laboratory (Osaka), Environmental Healthlaboratories
Science Laboratory (Osaka), Advanced Materials Development Laboratory(Ibaraki), Bioscience Research Laboratory (Osaka)
NOTES: 1 Oita Works includes Okayama Plant and Gifu Plant.
2 Research laboratories are shown as corporate research facilities. There also exist
business sector research laboratories, such as the Health & Crop Sciences ResearchLaboratory (Hyogo).

2) Material subsidiaries
Domestic
Sumitomo Pharma Co., Ltd. (Osaka, Tokyo, Mie, Oita)
Tanaka Chemical Corporation (Fukui, Osaka)Koei Chemical Co., Ltd. (Chiba, Tokyo)
Taoka Chemical Co., Ltd. (Osaka, Hyogo, Ehime)
Overseas
United States
Sumitomo Chemical America, Inc.
Valent North America LLC
Valent BioSciences LLC
Sumika Semiconductor Materials Texas Inc.
Sumitomo Pharma America, Inc.
BrazilSumitomo Chemical Brasil Indústria Química S.A.
Chile
Sumitomo Chemical Chile S.A.
United Kingdom Cambridge Display Technology Limited
Switzerland
Urovant Sciences GmbH
Sumitomo Pharma Switzerland GmbH
India
Sumitomo Chemical India Limited
Singapore
Sumitomo Chemical Asia Pte Ltd
The Polyolefin Company (Singapore) Pte. Ltd.
South Korea
Dongwoo Fine-Chem Co., Ltd.
SSLM Co., Ltd.
TaiwanSumika Technology Co., Ltd.
China
XUYOU Electronic Materials (Wuxi) Co., Ltd.
Sumika Electronic Materials (Wuxi) Co., Ltd.

30 / 56(6)Status of material subsidiaries (as of March 31, 2024)
Ratio ofCompany name
Capitalvotingrights (%)
Sumitomo Chemical
BRL 3,125,762 thousand
100.00Brasil Indústria
Química S.A.

Sumitomo Chemical
America, Inc.

USD 663,092 thousand

100.00

Valent North America
LLC

USD 382,574 thousand

100.00(100.00)

Valent BioSciences
LLC

USD 268,972 thousand

100.00(100.00)

Sumika Polymers
America Corp.
CDT Holdings Limited

USD 222,544 thousand

100.00(100.00)
100.00Cambridge Display
Technology Limited

GBP 183,716 thousand

100.00(100.00)

Dongwoo Fine-Chem
Co., Ltd.

KRW 290,499 million

100.00SumikaSemiconductor
Materials Texas Inc.
SSLM Co., Ltd.

USD 130,000 thousand

100.00(80.00)KRW 280,000 million

100.00Japan-Singapore
Petrochemicals Co.,
Ltd.
Sumitomo PharmaCo., Ltd.
Sumitomo Pharma
America, Inc.
Sumitomo Pharma UK
Holdings, Ltd.

JPY 23,877 million

79.67

JPY 22,400 million

51.78

USD 1,710,032
thousandUSD 2,785,182
thousand

100.00(100.00)
100.00(100.00)

Sumitomo Pharma
Switzerland GmbH
Urovant SciencesGmbH
XUYOU Electronic
Materials (Wuxi) Co.,Ltd.

USD 1,015,312
thousandUSD 1,198,609
thousandRMB 1,115,757
thousand

100.00(100.00)
100.00(100.00)
100.00(55.00)

GBP 187,511 thousand

31 / 56

Principal business
Development, promotion andsales of crop protection
chemicals, feed additives andhousehold insecticides andmanufacture of crop protection
chemicals
Investment in related companies
in the United States and sale ofchemical products
Provision of back-office services
to related companies in North
America
Research, development,
manufacture and sale ofbiorational—
Investment in Cambridge Display
Technology Limited
R&D and licenses in polymer
organic light emitting diodes anddevices
Manufacture and sale of process
chemicals for semiconductors anddisplays, photoresists, optical
functional films, touch screen
sensor panels, etc.
Manufacture and sale of process
chemicals for semiconductors
Manufacture and sale of heatresistant separators
Investment in PCS (Pte.) Ltd.
Manufacture and sale ofpharmaceuticals
Manufacture and sale ofpharmaceuticals
Investment in affiliatedcompanies conducting researchand development and managing
outsourced production ofpharmaceuticals
Manufacture and sale ofpharmaceuticals
Research and development ofpharmaceuticals
Manufacture and sale of optical
functional films

Company name
Sumika Electronic
Materials (Wuxi) Co.,Ltd.
Sumika Technology
Co., Ltd.

Ratio ofvotingrights (%)
100.00(10.00)Capital
RMB 1,276,517
thousand

Processing and sale of optical
functional films

Manufacture and sale of optical
functional films and sputteringtargets, research and development,
and sale of color resists, and saleof photoresists
Sumitomo Chemical
USD 150,565 thousand
100.00
Manufacture and sale of
Asia Pte Ltd
petrochemical products, etc. andsupervision of the Sumitomo
Chemical Group in the Southeast
Asia, India, and Oceania area
The Polyolefin
USD 51,690 thousand
70.00
Manufacture and sale of lowCompany (Singapore)(70.00)density polyethylene andPte. Ltd.
polypropylene
Sumitomo Chemical
USD 80,388 thousand
100.00Sale, etc. of crop protection
Chile S.A.
chemicals and feed additives
Tanaka Chemical
JPY 9,155 million
50.46
Manufacturing and sale ofCorporation
positive electrode materials forrechargeable batteries
Sumitomo Chemical
INR 2,745,881 thousand
75.00
Development, promotion andIndia Limited
sales of crop protection products,
feed additives and household
insecticides and manufacture ofcrop protection chemicals
Koei Chemical Co.,
JPY 2,343 million
55.90
Manufacture and sale ofLtd.
(0.25)
pharmaceutical and crop
protection related chemicals andfunctional chemicals, etc.
Taoka Chemical Co.,
JPY 1,572 million
50.61
Manufacture and sale of fineLtd.
(0.29)
chemicals, functional materials,
resin additives, etc.
Sumitomo Pharma America Holdings, Inc., Sumitomo Pharma Oncology, Inc., Sumitovant BiopharmaInc., Myovant Sciences Ltd., Myovant Sciences, Inc., Myovant Sciences LLC, Urovant Sciences LLC,
Enzyvant Therapeutics GmbH, and Altavant Sciences GmbH, which were listed in the previous fiscal
year, have ceased to exist due to the reorganization of Sumitomo Pharma’s subsidiaries in the UnitedStates and Europe during the fiscal year under review.
Spirovant Sciences LLC (formerly Spirovant Sciences Inc.), which was listed in the previous fiscal
year, has been removed from material subsidiaries as all the equities of the company were transferredin March 2024.
Myovant Holdings Limited, which was listed in the previous fiscal year, has been removed frommaterial subsidiaries as its importance has decreased.
NOTES: 1
2

3

TWD 4,417 million

Principal business

84.96

Figures contained in parentheses ( ) for ratio of voting rights are the ratio of voting
rights held by subsidiaries of the Company.
Capital for Sumitomo Chemical America, Inc., Valent North America LLC, Valent
BioSciences LLC, CDT Holdings Limited, Cambridge Display Technology Limited,
Sumika Semiconductor Materials Texas Inc., Sumitomo Pharma America, Inc.,
Sumitomo Pharma UK Holdings, Ltd., Sumitomo Pharma Switzerland GmbH, andUrovant Sciences GmbH are shown as paid-in capital.
Sunovion Pharmaceuticals Inc. changed its trade name to Sumitomo Pharma America,

32 / 56

Inc., Sumitovant Biopharma Ltd. changed its trade name to Sumitomo Pharma UK
Holdings, Ltd., and Myovant Sciences GmbH changed its trade name to Sumitomo
Pharma Switzerland GmbH.
(7) Employees (as of March 31, 2024)
1) Employees of the Group

Business category
Essential Chemicals & Plastics
Energy & Functional Materials
IT-related Chemicals
Health & Crop Sciences
Pharmaceuticals
OthersCompanywide shared

Number of employees(Persons)
4,068
3,025
7,437
7,899
5,727
2,651
1,354

Notes

The number of employees
decreased by 1,411 persons
year-on-year.
NOTE: The number of employees does not include employees who are temporary, part-time,
contracted, or seconded outside of consolidated subsidiaries.
Total

32,161

2) Employees of the Company
Number of employees

Average years of
employment
years

Average age

persons

Notes

The number of
employees increased
6,706
41.6
15.7
by 69 persons yearon-year.
NOTE: The number of employees does not include employees who are temporary, part-time,
contracted, or seconded to other companies.
(8)

Primary sources of borrowings and amounts (as of March 31, 2024)
Source of borrowing
Amount of borrowing (Balance)(Billions of yen)
Sumitomo Mitsui Banking Corporation
201.8
Sumitomo Mitsui Trust Bank, Limited
88.3
Development Bank of Japan Inc.
74.1
The Norinchukin Bank
63.8
MUFG Bank, Ltd.
40.6
NOTES: 1 The amount of borrowing listed above includes loans from overseas subsidiariesof the sources.
2 Aside from the above, there are 232.4 billion yen in borrowings as syndicatedloans, managed by financial institutions such as the Sumitomo Mitsui Banking
Corporation.

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2. Status of Shares (as of March 31, 2024)(1)

Total number of shares authorized to be issued

5,000,000,000 shares

Total number of shares outstanding

1,656,449,145 shares(including 20,500,922 shares of theCompany’s treasury shares)(2)

Number of shareholders(3)

Major shareholders

277,733 persons

Number ofsharesShareholding
ratio

thousandshares%The Master Trust Bank of Japan, Ltd. (Trust account)

231,385

14.14

Custody Bank of Japan, Ltd. (Trust account)

98,584

6.02

Sumitomo Life Insurance Company

71,0004.33

BNYMSANV AS AGENT/CLIENTS LUX UCITS NON
TREATY 1

48,205

2.94

Nippon Life Insurance Company

41,031

2.50

Custody Bank of Japan, Ltd. (Master trust for the Sumitomo Mitsui
Trust Bank and trust account for retirement benefits for Sumitomo
Life Insurance Company)

29,0001.77

Sumitomo Chemical Employee Stock Ownership Plan

28,516

1.74

Custody Bank of Japan, Ltd. (Trust account 4)27,801

1.69

Mitsubishi UFJ Morgan Stanley Securities Co., Ltd.

23,6191.44

Sumitomo Mitsui Banking Corporation

23,073

1.41

Shareholder name

NOTE: The Company’s treasury shares (20,500,922 shares) were excluded in the calculationof the percentage of shares held.
(4)

Shares granted to Company officers and Executive Officers during the fiscal year underreview as consideration for performance of duties
Number of
Number of officers
sharesgranted with shares

Directors (excluding Outside Directors)

296,600 shares

8

Executive Officers (excluding non-residents of Japan)

292,338 shares26

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3. Company Officers(1)

Directors and Corporate Auditors (as of March 31, 2024)
Areas of responsibility and significant
PositionName
concurrent positions

Representative Director,
Chairman

Masakazu Tokura

Representative Director,
President(Concurrently serving as
Executive President)

Keiichi Iwata

Representative Director(Concurrently serving as
Senior Managing
Executive Officer)

Masaki Matsui

Supervision of IT-related Chemicals
SectorRepresentative Director(Concurrently serving as
Senior Managing
Executive Officer)

Nobuaki Mito

Supervision of Health & Crop Sciences
SectorChairman of Valent U.S.A. LLC
Chairman of Valent BioSciences LLC

Representative Director(Concurrently serving as
Senior Managing
Executive Officer)

Motoyuki Sakai

Supervision of Energy & Functional
Materials Sector

Representative Director(Concurrently serving as
Senior Managing
Executive Officer)

Seiji Takeuchi

Supervision of Essential Chemicals &Plastics Sector, Business Development fora Circular System for Plastics
Director of Rabigh Refining andPetrochemical Company

Director(Concurrently serving as
Executive Vice President)

Hiroshi Ueda

Supervision of Research Planning and
Coordination, Digital and Data Science
Innovation, Process & Production
Technology & Safety Planning, Production& Safety Fundamental Technology Center,
Engineering, Intellectual Property,
Responsible Care, Industrial Technology& Research Laboratory, Environmental
Health Science Laboratory, Advanced
Materials Development Laboratory,
Bioscience Research Laboratory

Director(Concurrently serving as
Executive Vice President)

Hiroshi Niinuma

Supervision of General Affairs, External
Relations, Legal, Human Resources, Osaka
Office Administration

Director(Outside Director,
Independent Officer)

Hiroshi Tomono

Senior Adviser of NIPPON STEELCORPORATION
Outside Director of Japan Nuclear Fuel
LimitedOutside Director of The Kansai ElectricPower Company, Incorporated

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Chairman of KEIDANREN (Japan
Business Federation)

Position

Areas of responsibility and significant
concurrent positions
Outside Director of East Japan Railway
Company
Outside Director of Shizuoka Financial
Group, Inc.
Outside Director of JX Nippon Mining &Metals Corporation
Outside Director of Hagoromo Foods
Corporation

Name

Director(Outside Director,
Independent Officer)

Motoshige ItohDirector(Outside Director,
Independent Officer)

Atsuko Muraki

Director(Outside Director,
Independent Officer)

Akira Ichikawa

Standing Corporate
Auditor

Kunio Nozaki

Standing Corporate
AuditorHironobu Nishi

Corporate Auditor(Outside Corporate
Auditor, Independent
Officer)

Mitsuhiro Aso

Attorney
External Director of Sumitomo Mitsui
Trust Holdings, Inc.

Corporate Auditor(Outside Corporate
Auditor, Independent
Officer)

Yoshitaka Kato

Certified Public Accountant
Outside Corporate Auditor of Sumitomo
Corporation

Corporate Auditor(Outside Corporate
Auditor, Independent
Officer)

Michio Yoneda

Outside Director of Asahi BroadcastingGroup Holdings Corporation
Outside Director of Toyo Tire Corporation

Representative Director, Chairman of theBoard of Sumitomo Forestry Co., Ltd.
Outside Director of Konica Minolta, Inc.

NOTES: 1

Of the Directors, Mr. Hiroshi Tomono, Mr. Motoshige Itoh, Ms. Atsuko Muraki, and
Mr. Akira Ichikawa are Outside Directors.
2 Of the Corporate Auditors, Mr. Mitsuhiro Aso, Mr. Yoshitaka Kato, and Mr. Michio
Yoneda are Outside Corporate Auditors.
3 The Company has designated Mr. Hiroshi Tomono, Mr. Motoshige Itoh, Ms. Atsuko
Muraki, Mr. Akira Ichikawa, Mr. Mitsuhiro Aso, Mr. Yoshitaka Kato, and Mr. Michio
Yoneda as Independent Directors / Auditors pursuant to the regulations of the Tokyo
Stock Exchange, Inc. and has made notification to said Exchange.
4 Corporate Auditor Mr. Yoshitaka Kato is qualified as a certified public accountant, andhas a significant amount of knowledge regarding finance and accounting.
5 There are no special interests between the Company and the companies where
Outside Directors and Outside Corporate Auditors hold significant concurrent
positions.

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6

Directors and Corporate Auditors who retired in the fiscal year under review are as
follows.
Position at time ofretirement

Name

Director(Concurrently serving as
Senior Managing
Executive Officer)

Noriaki Takeshita

Director

Kingo Akahori

Areas of responsibility andsignificant concurrent positions attime of retirement
Supervision of Corporate
Planning, IT Innovation
Deputy Chairman of RabighRefining and Petrochemical
Company

Corporate Auditor
Hiroaki Yoshida(Retired on June 21, 2023 because of the expiration of the term of office.)
7

Positions, areas of responsibility and significant concurrent positions for Directors andCorporate Auditors as of April 1, 2024 are as follows.
Position

Name

Representative Director,
Chairman
Representative Director,
President(Concurrently serving as
Executive President)
Representative Director(Concurrently serving as
Senior Managing
Executive Officer)
Representative Director(Concurrently serving as
Senior Managing
Executive Officer)

Masakazu Tokura

Representative Director(Concurrently serving as
Senior Managing
Executive Officer)
Representative Director(Concurrently serving as
Senior Managing
Executive Officer)

Motoyuki Sakai

Areas of responsibility andsignificant concurrent positions
Chairman of KEIDANREN(Japan Business Federation)

Keiichi Iwata

Masaki Matsui

Supervision of IT-related
Chemicals Sector

Nobuaki Mito

Supervision of Health & Crop
Sciences Sector
Chairman of Valent U.S.A. LLC
Chairman of Valent BioSciences
LLC
Supervision of Energy &Functional Materials Sector

Seiji Takeuchi

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Supervision of Essential
Chemicals & Plastics Sector,
Business Development for
Circular Carbon Economy
Director of Rabigh Refining andPetrochemical Company

Position

Name

Director(Concurrently serving as
Executive Vice President)

Hiroshi Ueda

Director(Concurrently serving as
Executive Vice President)

Hiroshi Niinuma

Director(Outside Director,
Independent Officer)

Hiroshi Tomono

Director(Outside Director,
Independent Officer)

Motoshige ItohDirector(Outside Director,
Independent Officer)
Director(Outside Director,
Independent Officer)

Atsuko Muraki

Standing Corporate
AuditorStanding Corporate
AuditorCorporate Auditor(Outside Corporate
Auditor, Independent
Officer)
Corporate Auditor(Outside Corporate
Auditor, Independent
Officer)

Kunio Nozaki

Akira Ichikawa

Areas of responsibility andsignificant concurrent positions
Supervision of Research Planningand Coordination, Digital andData Science Innovation, Process& Production Technology &Safety Planning, Production &Safety Fundamental Technology
Center, Engineering, Intellectual
Property, Responsible Care,
Industrial Technology &Research Laboratory,
Environmental Health Science
Laboratory, Advanced Materials
Development Laboratory,
Bioscience Research Laboratory
Supervision of General Affairs,
External Relations, Legal,
Sustainability, Human Resources,
Osaka Office Administration
Senior Adviser of NIPPONSTEEL CORPORATION
Outside Director of Japan
Nuclear Fuel Limited
Outside Director of The Kansai
Electric Power Company,
Incorporated
Outside Director of East Japan
Railway Company
Outside Director of Shizuoka
Financial Group, Inc.
Outside Director of JX Nippon
Mining & Metals Corporation
Outside Director of Hagoromo
Foods Corporation

Representative Director,
Chairman of the Board of
Sumitomo Forestry Co., Ltd.
Outside Director of Konica
Minolta, Inc.

Hironobu Nishi
Mitsuhiro Aso

Attorney
External Director of Sumitomo
Mitsui Trust Holdings, Inc.

Yoshitaka Kato

Certified Public Accountant
Outside Corporate Auditor of
Sumitomo Corporation

38 / 56

Position
Corporate Auditor(Outside Corporate
Auditor, Independent
Officer)

Name
Michio Yoneda

39 / 56

Areas of responsibility andsignificant concurrent positions
Outside Director of Asahi
Broadcasting Group Holdings
Corporation
Outside Director of Toyo Tire
Corporation

(2)Compensation to Directors and Corporate Auditors
1) Policies and procedures for determining compensation of senior management andDirectors(A) Basic policy for remunerations of Directors, etc.
i. The remuneration of senior management and Directors (excluding Outside Directors)
shall consist of Basic Compensation as fixed compensation and Bonuses and Stock
Compensation as variable compensation. In addition, the remuneration of Outside
Directors shall consist of Basic Compensation and Bonuses.
ii. Basic Compensation is designed according to roles and responsibilities as basic
remuneration for the performance of duties so that the actions of senior management andDirectors are not aimed at short-term or sub-optimal effects.
iii. The amount of Bonuses shall largely reflect the Company’s consolidated financial results
for a fiscal year in order to heighten short-term incentive to achieve the annual target ofthe business plans.
iv. Stock Compensation is designed to promote further value sharing with shareholders andserve as a medium- to long-term incentive for the continuous growth of the Company.
v. The remuneration shall be set at levels which are designed to be objectively competitive
to attract and retain outstanding talent while comprehensively taking into considerationsuch factors as the scale and content of the Company’s business and external evaluationsof ESG and other non-financial factors. Based on surveys by a third-party organizationand other materials, such levels shall be checked annually whether or not to be objectively
appropriate.
vi. When the consolidated performance target (core operating income) for the original final
fiscal year of the Corporate Business Plan (FY2022-2024) is achieved, the remunerationof Directors (excluding Outside Directors) shall be designed so that the ratio of fixedcompensation to variable compensation is approximately 1 to 1 and the ratio of short-term
incentives (Bonuses) to medium- to long-term incentives (Stock Compensation) invariable compensation is approximately 7 to 3.
(B) Mechanisms of each remuneration element
i. Basic Compensation
The level of Basic Compensation shall be determined based on the policy described in
section (A) v. to vi. above.
While Basic Compensation for each year shall be fixed, the Company will adopt a
mechanism where the Basic Compensation level would be changed in the event where
the Company’s position has changed in terms of “growth,” “earnings capacity,” and“outside evaluations” from a comprehensive and medium- to long-term perspective.
As main indicators for determining the change in the Company position, the Company
will apply the following: in terms of “growth,” sales revenue, total assets and market
capitalization; in terms of “earnings capacity,” net income (attributable to the parent
company), ROE, ROI and D/E ratio; and in terms of “outside evaluations,” credit ratingsand ESG index selected by GPIF (Government Pension Investment Fund).
The amounts to be paid to each person will be determined in accordance with the baseamount set by each position.
ii. Bonuses (short-term incentive)
Bonuses shall be paid on the condition that performance for that fiscal year exceeds aparticular level and shall be determined based on the bonus calculation formula.
In order to reflect the current earnings capacity of the relevant business year (including
financial activities) to the amount of bonuses, the Company will apply the combined valueof consolidated core operating income and financial profit and loss to the performanceindicator concerning the bonus calculation formula. In addition, the Company will set thecoefficient of the calculation formula so that it will get larger as the position of a person
gets higher.
<Bonus calculation formula>

40 / 56

Consolidated performance indicator(core operating income + financial profit and loss

×

Coefficientiii. Stock Compensation (medium- to long-term incentive)
Stock Compensation shall be restricted stock compensation. Restricted stocks shall beallocated at a certain time after the ordinary general meeting of shareholders each year
according to the amount determined for each position, and it shall be obligatory to holdthe stocks during the term of office. In addition, the Company shall set the ratio of Stock
Compensation to total remuneration so that it will get larger as the position of a person
gets higher.
<Overview of restricted stock compensation plan>• Transfer restriction period
Until the retirement from the position of Director and Executive Officer notconcurrently serving as a Director at the Company• Removal of transfer restrictions
On the condition that the eligible person continuously served as a Director or
Executive Officer not concurrently serving as a Director at the Company during his or
her terms of office, the Company shall remove transfer restrictions on all Allotted
Shares when the transfer restriction period ends.
However, a) if the eligible person resigns from his or her position as a Director andExecutive Officer not concurrently serving as a Director at the Company before the endof his or her term of office owing to a justifiable reason, or b) if the eligible person
resigns from his or her position as a Director and Executive Officer not concurrently
serving as a Director at the Company after the end of his or her term of office, but
before the end of the transfer restriction period for any reason other than justifiable
cause, the Company shall reasonably adjust the number of Allotted Shares from which
to remove transfer restrictions and the timing of the removal of transfer restrictions, asnecessary.
• Conditions of forfeiture of shares
If the eligible person is found to be in material violation of any law, regulation orinternal rule, all allotted shares, including those whose transfer restrictions have been
removed, shall be forfeited (the Company shall acquire them without consideration).
(C) Procedures for determining remunerations of Directors, etc.
The Company shall establish a Remuneration Advisory Committee as an advisory bodyto the Board of Directors on a remuneration system for senior management and Directors,
levels of remuneration, and other matters incidental thereto. Composed of Directors (amajority are Outside Directors), the Committee shall advise the Board of Directors, when
determining officer remuneration system, levels of remuneration, etc., so that greatertransparency and fairness can be ensured regarding the remuneration.
The remuneration amount of Directors shall be set at a level not higher than the upper
limit of a total remuneration prescribed by the resolution of the 125th Ordinary General
Meeting of Shareholders held on June 23, 2006 (i.e., 1.0 billion yen or less per year).
Furthermore, the amount of remuneration to be paid to Directors (excluding Outside
Directors) for granting restricted stock shall be determined within the upper limit of 400
million yen per year set by the resolution of the 141st Ordinary General Meeting of
Shareholders held on June 23, 2022.
The Board of Directors shall deliberate on and decide the method of determining
remunerations of Directors, etc., based on the advice from the Remuneration Advisory
Committee. Furthermore, the individual remuneration of senior management and Directors
shall be determined by the Remuneration Advisory Committee, which is authorized by the
Board of Directors, in accordance with the policies for determining compensation of senior
management and Directors. The Board of Directors, therefore, has concluded that thecontent of individual remuneration is in line with the determination policies. The

41 / 56

Remuneration Advisory Committee consists of Representative Directors and Outside
Directors, and the majority of the members are Outside Directors. The structure of theRemuneration Advisory Committee as of the end of the fiscal year under review is asfollows:
Masakazu Tokura (Representative Director, Chairman)
Keiichi Iwata (Representative Director, President)
Hiroshi Tomono (Outside Director)
Motoshige Itoh (Outside Director)
Atsuko Muraki (Outside Director)
Akira Ichikawa (Outside Director)

2) Total amount of compensation to Directors and Corporate Auditors for the fiscal year
under review

Category of Directors

Number of
persons

Total amount ofcompensation

Total amount of compensation by type
Basic
Bonuses
Stock
Compensation(performanceCompensation(fixedlinked(non-monetary
remuneration)
remuneration)
remuneration)

Directors
14 persons
634 million yen
505 million yen
129 million yen(Of which, Outside(4 persons)(60 million yen)
(60 million yen)(-)
Directors)
Corporate Auditors(Of which, Outside
6 persons
122 million yen
122 million yen
Corporate(3 persons)(43 million yen)
(43 million yen)
Auditors)
Total
20 persons
756 million yen
627 million yen- 129 million yen
NOTES: 1. The above number of persons and amount of compensation includes two Directors
and one Corporate Auditor who retired during the fiscal year under review.
2. Due to a resolution by an Ordinary General Meeting of Shareholders, the total
amount of monetary compensation for Directors is 1.0 billion yen or less perannum, and the total amount of monetary compensation for Corporate Auditors is
150.00 million yen or less per annum (resolved at the 125th Ordinary General
Meeting of Shareholders held on June 23, 2006). The numbers of Directors andCorporate Auditors as of the close of the 125th Ordinary General Meeting of
Shareholders are ten and five, respectively. In addition, the total amount ofcompensation paid to grant restricted stock separately from the above monetarycompensation is 400 million yen or less per annum (resolved at the 141st Ordinary
General Meeting of Shareholders held on June 23, 2022). The number of Directors(excluding Outside Directors) as of the close of the 141st Ordinary General
Meeting of Shareholders is eight.
3. Bonuses (performance-linked remuneration) will not be paid in light of businessperformance for the period.
4. Stock Compensation (non-monetary remuneration) shows the amount charged in
the fiscal year under review as restricted stock compensation.
5. In light of poor business performance, the Representative Director, Chairman and
Representative Director, President voluntarily returned 10% of their monthly
basic compensation from November 2023 to April 2024. From May 2024 to
September 2024, the monthly basic compensation of the Representative Director,
Chairman and Representative Director, President will be reduced by 20%, and themonthly basic compensation of other Directors (including Outside Directors) and
Executive Officers will be reduced by 5 to 10%.

(3)

Outline of the directors and officers liability insurance
The Company entered into a directors and officers liability insurance contract with an

42 / 56

insurance company, as stipulated in Article 430-3(1) of the Companies Act., to coverdamages and dispute costs such as litigation costs, lawyer fees, and arbitration/settlement
costs (including those arising in connection with lost shareholder derivative suits andclaims for damages from the Company) that should be legally borne by the insured. The
insured covered by the insurance contract includes Directors, Corporate Auditors, andExecutive Officers. In addition, as a measure to prevent the insured’s proper execution ofduties from being hindered, the insurance contract includes a provision regarding
deductibles and provides that damages that do not reach a certain amount shall not becovered. There are also certain exclusions, such as no coverage for any damage caused bycriminal acts and acts performed by the insured with the knowledge that they are inviolation of laws and regulations.

(Reference)
Executive Officers (excluding persons concurrently serving as Directors) are as follows.
(As of April 1, 2024)
Position

Name

Areas of responsibility

Senior Managing
Executive Officer

Noriaki Takeshita

Supervision of Corporate Planning, IT
Innovation, General Manager of Corporate
Planning Office

Managing Executive
Officer

Naoyuki Inoue

Engaged in Sumitomo Chemical Asia Pte
LtdManaging Executive
Officer

Keigo Sasaki

Supervision of Corporate
Communications, Accounting, FinanceManaging Executive
Officer

Kenji Ohno

Supervision of Internal Control and Audit,
Procurement, Logistics, In charge of Legal
Dept.

Managing Executive
Officer

Takanari Yamaguchi

In charge of Research Planning &Coordination Dept., Digital and Data Science
Innovation Dept., Intellectual Property Dept.,
Industrial Technology & ResearchLaboratory, Environmental Health Science
Laboratory, Advanced Materials
Development Laboratory, Bioscience
Research Laboratory

Managing Executive
Officer

Hirokazu Murata

In charge of Ehime Works, General
Manager of Ehime WorksManaging Executive
Officer

Koichi Ogino

In charge of Process & Production
Technology & Safety Planning Dept.,
Production & Safety Fundamental
Technology Center, Engineering Dept.,
Responsible Care Dept.

Managing Executive
Officer

Juan Ferreira

In charge of AgroSolutions Div. –International

43 / 56

Position

Name

Areas of responsibility

Managing Executive
Officer

Shinsuke Shojima

In charge of AgroSolutions Div. –International, Environmental Health Div.,
Animal Nutrition Div.

Managing Executive
Officer

Akira Nakanishi

In charge of Planning & Coordination
Office, IT-related Chemicals Sector,
Quality Assurance Office, IT-related
Chemicals Sector

Managing Executive
Officer

Masao Shimizu

In charge of Human Resources Dept.,
Osaka Office Administration Dept.

Managing Executive
Officer

Hiroaki Fujimoto

In charge of AgroSolutions Div.- Japan

Managing Executive
Officer

Kanako Fukuda

In charge of Sustainability Dept., General
Manager of Sustainability Dept.

Managing Executive
Officer

Hiroyoshi Mukai

In charge of Planning & Coordination
Office, Energy & Functional Materials
Sector, General Manager of Planning &Coordination Office, Energy & Functional
Materials Sector

Managing Executive
Officer

Satoshi Honda

In charge of Electronic Materials Div.,SCIOCS Div., Ibaraki Works

Executive Officer

Yoshihiro Ino

In charge of IT Innovation Dept., Digitaland Data Science Innovation Dept.

Executive Officer

Tetsuo Takahashi

In charge of Planning & Coordination
Office, Essential Chemicals & Plastics
Sector, Essential Materials Div.

Executive Officer

Tomoyuki Hirayama

In charge of General Affairs Dept.,
External Relations Dept., General Manager
of External Relations Dept.

Executive Officer

Takeo Kitayama

In charge of Business Development Officefor Circular Carbon Economy, Resinrelated Business Development Dept.,
Polyolefins Div., Automotive Materials
Div., MMA Div.

Executive Officer

Noriaki Oku

In charge of Chiba Works, General
Manager of Chiba Works

Executive Officer

Junpei Tsuji

In charge of Research Planning &Coordination Office

Executive Officer

Toshihiro Yamauchi

In charge of Accounting Dept., General
Manager of Accounting Dept.

44 / 56

Position

Name

Areas of responsibility

Executive Officer

Kyoko Odawara

In charge of Environmental Health Science
Laboratory, Research Director ofEnvironmental Health Science Laboratory

Executive Officer

Shinichi Takemura

In charge of Optical Materials Div., ITrelated Chemicals Research Laboratory

Executive Officer

Tadashi Katayama

In charge of AgroSolutions Div. –International, General Manager of
AgroSolutions Div. – International

Executive Officer

Sawa Matsubara

In charge of Finance Dept.

Executive Officer

Masao Inoue

In charge of AgroSolutions Div. - Japan,
Pharma Solutions Div., General Manager
of AgroSolutions Div. - Japan

Executive Officer

Jongchan Lee

Engaged in Dongwoo Fine-Chem

Executive Officer

Kazunori Itabashi

In charge of Planning & Coordination
Office, Health & Crop Sciences Sector,
General Manager of Planning &Coordination Office, Health & Crop
Sciences Sector

Executive Officer

Yuji Kato

In charge of Corporate Planning Office(Business Development), General Manager
of Corporate Planning Office (Business
Development)

Executive Officer

Shigenori Saito

In charge of Corporate Planning Office(Strategic Planning), General Manager ofCorporate Planning Office (Strategic
Planning)

45 / 56

4. Outside Officers(1)

Main activities during the fiscal year under review
Title
Name
Main activities
Hiroshi Tomono

Motoshige Itoh

OutsideDirector

Atsuko Muraki

Mr. Hiroshi Tomono is expected to mainly oversee management
and provide advice from an experienced management
perspective. He attended 12 out of 13 Board of Directors
meeting held during the fiscal year under review and actively
made statements from such perspective. Specifically, he provided
advice by making use of his technical expertise and provided
oversight based on an extensive view on overall management,
regarding agenda items such as business structure reforms,
important investments, business strategies for core businesses,
and risk management. He also served as a member of the nonmandatory Nomination Advisory Committee and theRemuneration Advisory Committee, and made appropriate
statements in deliberations at the committees, contributing to theimprovement of transparency and fairness regarding thenomination and compensation of executives.
Mr. Motoshige Itoh is expected to oversee management andprovide advice by making use of his expert knowledge of
economics, etc. and his wealth of experience from his trackrecord as a member of various government deliberative
committees. He attended all 13 Board of Directors meetings
held during the fiscal year under review and actively madestatements based on such knowledge and experience.
Specifically, he provided management oversight and advice
based on an extensive view on overall management by making
use of his expertise, regarding agenda items such as global
management, business structure reforms, digital transformation,and sustainability. He also served as a member of the nonmandatory Nomination Advisory Committee and theRemuneration Advisory Committee, and made appropriate
statements in deliberations at the committees, contributing to theimprovement of transparency and fairness regarding thenomination and compensation of executives.
Ms. Atsuko Muraki is expected to oversee management andprovide advice by making use of her wealth of experience andextensive knowledge mainly in legal, social and other issues,
especially her expertise in human resources, deriving fromher employment at administrative bodies as a civil servant.
She attended all 13 Board of Directors meetings held during the
fiscal year under review and actively made statements based onsuch experience, knowledge, and expertise. Specifically, sheprovided management oversight and advice based on an
extensive view on overall management by making use of her
expertise, regarding agenda items such as utilization of humanresources and organizational revitalization, corporate
governance, sustainability, and business structure reforms. She
also served as a member of the non-mandatory Nomination
Advisory Committee and the Remuneration Advisory
Committee, and made appropriate statements in deliberations at
the committees, contributing to the improvement of transparency
and fairness regarding the nomination and compensation of
executives.

46 / 56

TitleName
Akira Ichikawa

Mitsuhiro Aso

OutsideCorporate
AuditorYoshitaka Kato

Main activities
Mr. Akira Ichikawa is expected to mainly oversee management
and provide advice from an experienced management
perspective. He attended all 13 Board of Directors meetings
held during the fiscal year under review and actively madestatements from such perspective. Specifically, he provided
management oversight and advice based on an extensive view on
overall management, regarding agenda items such global
management, business structure reforms, important investments,
sustainability, and risk management. He also served as a memberof the non-mandatory Nomination Advisory Committee and theRemuneration Advisory Committee, and made appropriate
statements in deliberations at the committees, contributing to theimprovement of transparency and fairness regarding thenomination and compensation of executives.
Mr. Mitsuhiro Aso is expected to conduct audits by making useof his expertise and experience as a lawyer and his wealth of
insight and advanced knowledge regarding corporate risk
management and crisis management, and to express opinions
regarding corporate management and corporate governanceconsiderations. He attended all 13 Board of Directors meetings
and all 14 Board of Corporate Auditors meetings held during
the fiscal year under review, and actively expressed opinionsfrom such perspective. Furthermore, in coordination with other
Corporate Auditors, he conducted audits mainly over thedevelopment and operation of the Group’s internal control
system, risk management operations, measures taken to ensure
thorough compliance, steps taken for appropriate operations
regarding financial reporting, and actions for management plans.
Mr. Yoshitaka Kato is expected to conduct audits by making useof his advanced expertise, wealth of experience and advanced
knowledge in corporate accounting, finance, and corporate
auditing operations as a certified public accountant, and to
express opinions regarding corporate management and corporate
governance considerations. He attended all 13 Board of
Directors meetings and all 14 Board of Corporate Auditors
meetings held during the fiscal year under review, andactively expressed opinions from such perspective. Furthermore,in coordination with other Corporate Auditors, he conducted
audits mainly over the development and operation of the Group’s
internal control system, risk management operations, measurestaken to ensure thorough compliance, steps taken for appropriate
operations regarding financial reporting, and actions for
management plans.

47 / 56

TitleNameMichio Yoneda

Main activities
Mr. Michio Yoneda is expected to conduct audits by making useof his abundant experience and advanced knowledge in capital
markets and business management that he has accumulated infinancial and securities market management and stock exchange
management, and to express opinions regarding corporate
management and corporate governance considerations. He
attended all 13 Board of Directors meetings and all 14 Boardof Corporate Auditors meetings held during the fiscal year
under review, and actively expressed opinions from such
perspective. Furthermore, in coordination with other Corporate
Auditors, he conducted audits mainly over the development andoperation of the Group’s internal control system, risk
management operations, measures taken to ensure thoroughcompliance, steps taken for appropriate operations regarding
financial reporting, and actions for management plans.

(2) Summary of the limitation of liability contracts
The Company has concluded limitation of liability contracts with each Outside Officer that limit
their liabilities for damages to the Company pursuant to Article 423(1) of the Companies Act, up to
the total of the amounts listed in the items of Article 425(1) of the Companies Act, provided that theexecution of duties by Outside Officers were in good faith and without gross negligence.

48 / 56

5. Policy for Decisions on the Distribution of Surplus
In decision on the distribution of surplus, the Company views shareholder return as one of themost important management issues, and in comprehensive consideration of factors such as
business results for each term, the dividend payout ratio, and standards for internal reserves
required for future business expansion, the Company’s basic policy is to continue providing stabledividends. Furthermore, over the mid- to long-term, the Company aims to achieve a stabledividend payout ratio of approximately 30%.
The Company plans to utilize internal reserves for capital investment and other loans andinvestments with the intent of improving competitiveness in significant businesses and enrichingoverseas business, utilizing these in an effort to improve profitability.
Dividends are generally provided twice per year at the interim and year-end, and to flexibly
implement dividends such as profit distribution to shareholders, the Company’s Articles ofIncorporation state that the body to determine dividends, etc., shall be the Board of Directors.

49 / 56

Consolidated Financial Statements
Consolidated Statement of Financial Position(Millions of Yen)
(Reference)
143rd term
142nd term
(As of(As ofMarch 31,
March 31,
2024)
2023)
Current assets:
1,675,882 1,762,884
Cash and cash equivalents
217,449
305,844
Trade and other receivables
620,022603,161
Other financial assets
31,33831,237
Inventories
709,637
744,474
Other current assets
79,07770,670Subtotal
1,657,523 1,755,386
Assets held for sale
18,359
7,498
AssetsNon-current assets:
Property, plant andequipment
Goodwill
Intangible assets
Investments accounted forusing equity method
Other financial assets
Retirement benefit asset
Deferred tax assets
Other non-current assets

Total assets

2,258,936

2,402,619

796,526

829,355

263,757
272,921266,868
403,996

319,988402,980

412,747
110,390
37,07045,537313,115
99,25339,492
47,5603,934,818

4,165,503

Liabilities

Current liabilities:
Bonds and borrowings
Trade and other payables
Other financial liabilities
Income taxes payable
Provisions
Other current liabilities
Subtotal
Liabilities directly
associated with assets held
for sale(Reference)
143rd term
142nd term
(As of(As ofMarch 31,
March 31,
2024)
2023)
1,443,487 1,278,367
585,905
396,903543,384
515,865
77,61074,931
8,545
31,772
90,919129,030
129,087
128,060
1,435,450 1,276,561
8,037

1,806

Non-current Liabilities:
1,326,965
Bonds and borrowings
977,581
Other financial liabilities
100,144
Retirement benefit liabilities
30,589Provisions
46,059Deferred tax liabilities
121,146
Other non-current liabilities
51,446

1,397,947
1,064,463
98,594
26,42738,443
101,164
68,856

Total liabilities
EquityEquity attributable toowners of the parent:
Share capital
Capital surplus
Retained earnings
Treasury shares
Other components of equity
Other comprehensive
income associated withassets held for sale

2,770,452

2,676,314

965,753

1,171,192

89,938237
578,175(8,355)304,033

89,810891,552(8,349)
197,830

1,725

349

Non-controlling interests

198,613

317,997

Total equity
Total liabilities and equity

1,164,366
3,934,818

1,489,189
4,165,503

50 / 56—

Consolidated Statement of Profit or Loss
(Millions of Yen)
143rd term
(April 1, 2023 toMarch 31, 2024)(Reference)
142nd term
(April 1, 2022 toMarch 31, 2023)

2,446,893

2,895,283(1,947,198)(2,074,357)

499,695

820,926(887,124)(878,261)

Other operating income

27,93569,227

Other operating expenses(71,934)(36,079)

Share of profit (loss) of investments accounted
for using the equity method(57,398)(6,797)

Operating income (loss)(488,826)(30,984)

Finance income

72,997

70,836

Finance expenses(46,963)(39,621)

Income before taxes (loss)(462,792)

231

Income tax expenses(2,657)(47,096)(465,449)(46,865)

Owners of the parent(311,838)

6,987

Non-controlling interests(153,611)(53,852)(465,449)(46,865)

Sales revenue
Cost of sales
Gross profit
Selling, general and administrative expenses

Net income (loss)

Net income (loss) attributable to:

Net income (loss)

51 / 56

Consolidated Statement of Changes in Equity(From April 1, 2023 to March 31, 2024)
Balance at April 1, 2023
Net income (loss)
Other comprehensive
incomeTotal comprehensive income
Issuance of new shares
Purchase of treasury shares
Disposal of treasury shares
Dividends
Changes due to newconsolidation
Loss of control ofsubsidiaries
Transactions with noncontrolling interests
Transfer from othercomponents of equity toretained earnings
Other changes
Transfer to othercomprehensive income
associated with assets held
for sale
Total transactions withownersBalance at March 31, 2024

(Millions of Yen)

Equity attributable to owners of the parent
Share capital
Capital surplus
Retained earnings—
891,552
89,810——(311,838)

Treasury shares(8,349)
—

—

—

—

—

—
128
—
—
—

—
128
—
0
—

(311,838)———(19,628)

—
—
(5)
0
—

—

—

—

—

—

—

(290)

—

—

109

—

—

—

—

18,453

—

—

—

(74)

—

—

—

—

—

128

237

(1,539)(5)

89,938237

578,175(8,355)52 / 56

Equity attributable to owners of the parent
Other components of equity
Remeasurementsof financial assets
measured at fair Remeasurements
Cash flow
value throughof defined
hedgesotherbenefit planscomprehensive
incomeBalance at April
1, 2023
Net income(loss)
Other
comprehensive
incomeTotal
comprehensive
incomeIssuance of newsharesPurchase oftreasury shares
Disposal oftreasury shares
Dividends
Changes due tonewconsolidation
Loss of controlof subsidiaries
Transactions
with noncontrollinginterests
Transfer fromothercomponents ofequity toretainedearnings
Other changes
Transfer toothercomprehensive
incomeassociated withassets held forsale
Total transactions
with owners
Balance at March
31, 2024

Exchangedifferences ontranslation offoreign
operations

Total

Other
Equitycomprehensive
incomeattributable toassociated with owners of theassets held forparentsale

81,869—(539)

116,500

197,830349

1,171,192

—

—

—

—

—

—

(311,838)

24,972(4,940)858

103,568

124,458—

124,458

24,972(4,940)858

103,568

124,458—(187,380)

—

—

—

—

—

—

256

—

—

—

—

—

—

(5)

—

—

—

—

—

—

0

—

—

—

—

—

—

(19,628)

—

—

—

—

—

—

—

—

—

—

1,923

1,923

(349)

1,284

—

—

—

—

—

—

109

(23,393)

4,940

—

—

(18,453)

—

—

—

—

—

—

—

—

(74)

—

—

—

(1,725)(1,725)

1,725—(23,393)

4,940

—

198

(18,255)

1,376(18,058)

83,448—319

220,266

304,033

1,725

965,753

53 / 56

Balance at April
1, 2023
Net income(loss)
Other
comprehensive
incomeTotal
comprehensive
incomeIssuance of newsharesPurchase oftreasury shares
Disposal oftreasury shares
Dividends
Changes due tonewconsolidation
Loss of controlof subsidiaries
Transactions
with noncontrollinginterests
Transfer fromothercomponents ofequity toretainedearnings
Other changes
Transfer toothercomprehensive
incomeassociated withassets held forsale
Total transactions
with owners
Balance at March
31, 2024

Non-controllinginterests

Total equity

317,997

1,489,189(153,611)(465,449)

38,988

163,446(114,623)(302,003)

—

256

—

(5)

—

0

(5,954)(25,582)

54

54

—

1,284

1,139

1,248

—

—

—

(74)

—

—

(4,761)(22,819)

198,613

1,164,366

54 / 56

Non-consolidated Financial Statements
Non-consolidated Balance Sheet
AssetsCurrent assets:
Cash on hand and in banks
Trade notes receivable
Trade accounts receivable
Merchandise and finished
goodsWork in process
Raw materials and supplies
Non-trade accounts
receivable
Other
Allowance for doubtfulreceivables
Non-current assets:
Property, plant andequipment:
Buildings
Structures
Machinery and equipment
VehiclesTools and furniture
Land
Leased assets
Construction in progress(Millions of Yen)

(Reference)
143rd term
142nd term
(As of March(As of March
31, 2024)
31, 2023)

709,482
68,957738
232,274

611,973
5,821
1,772
232,010

205,579

210,671

1,221
64,721

2,059
66,88490,981

83,59059,845

14,939(14,833)(5,773)

1,190,149 1,160,955
223,085

258,21745,25923,03069,846258
11,101
47,61592
25,88347,73428,03588,609268
10,74747,73824
35,064

Intangible assets:
PatentSoftware
Goodwill
Other
Investments and other noncurrent assets:

22,964105
17,403
1,324
4,132

23,660174
17,301
1,422
4,762

944,100

879,078

Investment securities

63,26674,387614,423

622,637588

590

47,78050,156Long-term loans receivable

113,603

38,775Long-term prepaid expenses
Prepaid pension expense
Other
Allowance for doubtfulreceivables

13,18785,282
6,571

14,04372,609
6,495

(598)

(615)

Investments in subsidiaries
and affiliates
Investments in capital
Investments in subsidiaries
and affiliates’ capital

Total assets

1,899,631 1,772,927

Liabilities
Current liabilities:
Trade notes payable
Trade accounts payable
Short-term borrowing
Bonds due within one year
Commercial paper
Non-trade accounts payable
Accrued expenses
Deposits received
Reserve for bonuses
Reserve for repairs
Reserve for removal cost of
property, plant and equipment
Other
Non-current Liabilities:
Bonds
Long-term borrowing due
after one year
Deferred tax liabilities
Long-term deposits received
Long-term advances received
Reserve for removal cost of
property, plant and equipment
Reserve for loss on businessof subsidiaries and affiliates
Reserve for repairs
Reserve for environmental
measures
Other(Reference)
143rd term
142nd term
(As of March(As of March
31, 2024)
31, 2023)

646,486
2,050
158,206
198,316
20,00074,00092,528
13,57867,242
7,850
7,328

554,651
3,017
152,961
159,361
30,00045,00078,97913,37847,143
10,100
7,315

760

1,386

4,628
882,728
480,000

6,012
840,278
460,000

344,580

333,080

19,962
7,150
5,152

19,2337,250
7,466

15,387

8,692

4,882

11

2,397

1,225

1,300

1,304

1,918

2,017

Total liabilities
1,529,214 1,394,929
Net assets
Shareholders’ equity:
338,995
349,668
Common stock
89,93889,810Capital surplus:
23,93723,809Additional paid-in capital
23,93523,806
Other capital surplus
22
Retained earnings:
233,475
244,398
Legal reserve
21,361
21,361Other retained earnings
212,114223,038
General reserve
130,000
130,000
Retained earnings brought
82,114
93,038forwardTreasury stock(8,355)(8,349)Valuation and translation
31,42228,330adjustments:
Valuation difference on
31,252
28,811
available-for-sale securities
Deferred gains on hedges
171
(480)
377,999
Total net assets
370,418
Total liabilities and net assets 1,899,631 1,772,927

55 / 56

Non-consolidated Statement of Income(Millions of Yen)

809,559664,331
145,228
142,789
2,439
82,05363,53014,0904,433
31,067
10,507
12,093
3,861
4,605
53,42553,53629,851(Reference)
142nd term
(April 1, 2022 toMarch 31, 2023)
894,389
729,734
164,655
156,802
7,853
83,44755,02821,8706,549
21,771
7,793
8,928
1,381
3,669
69,52912,974
7,226

23,685–––96,80757,00423,182

4,353
1,395
30,04516,3091,829

11,221

6,345

5,400

4,390

–

1,173

10,1542,547(1,097)
8,704

52,458709
1,305
50,444

143rd term
(April 1, 2023 toMarch 31, 2024)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest and dividend income
Foreign exchange gain
Other income
Non-operating expenses
Interest expense
Derivative losses
Cost of inactive facilities
Other expenses
Ordinary income
Special gains
Gain on sale of investment securities
Gain on sale of shares of subsidiaries andassociates
Gain on sale of non-current assets
Gain on extinguishment of tie-in shares
Special losses
Impairment loss
Loss on related business
Loss on disposal of property, plant andequipment
Loss on valuation of investment securities
Loss on sale of shares of subsidiaries andassociates
Income before income taxes
Income taxes – current
Income taxes – deferred
Net income

NOTES:
1. Business report is listed as follows:(1) Fractions less than 0.1 billion yen or 1 million yen have been rounded to the nearest 0.1 billion
yen or million yen.
(2) Stock prices listed in units of 1,000 are shown rounded down to the nearest 1,000 shares.
2. Fractions less than 1 million yen have been rounded to the nearest million yen with respect to theConsolidated Financial Statements, the Consolidated Statement of Profit or Loss, theConsolidated Statement of Changes in Equity, the Non-consolidated Financial Statements, andthe Non-consolidated Statement of Income.
56 / 56