TOP MESSAGE

Transitioning from an
Apparel Company to a
Good Community
Co-Creation Company

The Adastria Group celebrated its 70th anniversary last year. Ever since our founding, in every era, we havebeen continually striving to be a company that brings a sense of excitement to our customers’ daily lives withinthat era.
Under our philosophy of “Be a person needed, Be a company needed”, we have strived to always be the kind ofcompany that makes all of our stakeholders feel “I’m glad I found Adastria” throughout our history. Our mission, “Play fashion!,” expresses our unchanged objective to use fashion to enrich people’s lives and make them
happy.
The “fashion” we propose now is not just limited to the framework of the apparel industry, but extended to allother tangible and intangible day-to-day scene for enjoying life in your own way such as food, living environments, culture, and art.
Moving forward, we will work to provide more fun options to people all over the world every day, contributing
to a richer way of life. To this end, we will continue to grow, striving to become a Good Community Co-Creation
Company that brings new value to the world with like-minded associates in collaboration with various partners
inside and outside of the company.

Chairman of The Board

Michio Fukuda

Representative Director and President

Osamu Kimura

THE MISSION OF ADASTRIA GROUPMISSION

Fashion that inspires you.
Fashion that creates a vibrant community.
Fashion for living your best life.

VISION
Joyful options galore!

VALUESWe always act with our customers in mind.
Taking on new challenges enables us to grow and evolve.
We value diversity and progressing as a team.
Contributing to society by helping others.
Making everyday life an adventure.

BUSINESS MODEL

Multi-brand

The ADASTRIA Group operates over 30 brands in Japan and abroad. Since this multi-brand approachenables us to remain a close companion in our customers’ lives for a long time, we are promoting branddevelopment and product line expansion to maximize our lifetime value for each individual.

Value Chain

We based on the opinions of customers and staff, quickly make use of trends and store information in
our product development. Our streamlined value chain covers everything from planning, to production,
distribution, and sales, enabling us to provide new fashion to customers around the world.

Adastria’s Value Chain
By integrating processes fromdesign to material development,
patterning, and production
management, we are able toachieve differentiated productdevelopment.

Distribution

Production

Our in-house logistics center speeds up
mechanization and automation, reducing
costs and environmental burden anddelivering products with high efficiency.

Logistics

Collection, Reuse
and Recycling ofUsed Clothing

Systems
Brand
Development
and Planning

By integrating the entire value

chain from design, factory production,
logistics and sales into our IT system,
we are able to utilize data and improve

We not only reuse or recycle allremaining
inventory, but also collect usedclothing at 170 storesnationwide, aiming to build a
circular economy of fashion
together with our customers.

Marketingand SalesFlow

We apply store information
gained through interviews withcustomers and project proposals by sales staff to productplanning initiatives.

of
In
fo
rm
at
io
n

operational efﬁciency.

Store Information,
Trend Information,
Customer Feedback

By giving sales staff a place to utilize theircustomer service and proposal abilities inour stores and on e-commerce sites, we
provide services with high customer
satisfaction.

Multi-category
In addition to apparel, we offer fashion items andservices for the diverse lifestyles of each and every
customer in a variety of categories surrounding
daily life.

Multi-faceted product categories make itpossible forofferings to be combined in many ways.
1. Can develop new brands to suit changing customer and market needs
2. Can expand shop/branch channels as needed
3. Can create larger in-store floor area [large-scaleretail space]

Housing Food

■ Furniture■ Interior items■ Green/Decorative plants■ Kitchenware■ House cleaning products■ Bath and laundry products■ Cafe■ Restaurant■ Grocery

BeautyPlay / Study■ Outdoors■ Travel■ Hobbies■ Workshop■ Stationery■ Park project■ Cosmetics■ Lingerie■ Room wear

■ Sports■ Wellness■ Men’s clothing■ Women’s clothing■ Kids’ clothing■ Clothing accessories■ Maternity wear
■ Formal wear

Health Clothing

BRAND

Adastria Group Brands

At the time when people have a wide range of options for assembling their personal styles, The
Adastria Group has expanded to a diverse variety of brands including not only apparel but also

other business types such as restaurants, with offerings tailored to the sensibility and creative
lifestyle of each individual customer.

Apparel Goods

TargetMen and women from 20s to 40s, kids from 6 to 15
Location Shopping centers
Category Men’s, women’s, kids’, food and beverages

TargetMen and women aged 25 to 35
Location Shopping centers, fashion malls and road-side stores
Category Men’s and women’s fashions, interior items,sundries,
cosmetics, outdoor goods, sports fashions, food andbeverages

TargetMen and women from 20s to 30s, kids from 4 to 15
Location Fashion malls, shopping centers and road-side stores
Category Women’s fashions

Target
Women from 30s to 40s
Location Shopping centers, fashion malls
Category Women’s fashions, sundries, interior items, foodand beverages

TargetAgeless, genderless
Location Shopping centers
Category Men’s and women’s fashions, sundries,grocery

Target
Women from 20s to 30s
Location fashion malls and shopping centers
Category Women’s fashions(Kids’ and men’s fashions also available at some stores)

Food

A Hawaiian cafe and restaurant chain with its main location in Waikiki that spreads the message of island culture. The premium loco moco is a local dish that has won
awards numerous times in Hawaii.

The facility features cafes, restaurants, and shops and alsooffers barbecue and picnic goods for enjoying the outdoors
in the park. Out on the open terrace, customers can relax in
our foot baths by the water and also enjoy craft beers.

A Japanese restaurant inside the Kyushu
National Museum. Enjoy Kyushu specialties
such as sukiyaki made with local blackhaired wagyu beef. There is also an attachedfoot bath tea area.

BRANDS
A list of all our brands andother detailed information isavailable here.

Selected Brands by April 2024

PICK UP
Adastria Group e-commerce site Dot-ST, which brings together more than 30 brands, is an import-

Web Business

ant contact point with our over 18 million members. Through projects such as the Staff Board where

over 4,000 shop staff post lifestyle content, live commerce streams, and abundant product reviews,
our community linking customers with brands and stores is continually evolving day by day. The

platform has now been converted to an open format, and we started to expand the service of thehandling of products made by other companies. With Dot-ST playing a central role, we will support
deeper connections between customers and participating companies, as well as community formation, achieving the good community co-creation that the Adastria Group strives for.

Open conversion company list (as of February 29th, 2024)

Open version of e-commerce
platform allowing use by othercompanies

Diversification of Customer
Contact Points

Access the Dot-ST site here

As a space providing fashion for customers to discover, we are expanding our digital services. Our

OMO model “Dot-ST Store” allows customers to experience the worldview of our e-commerce site,
and we have also launched a flea market service in which Adastria staff can post and sell items, aswell as a metaverse platform specially-designed for fashion. Through these and other initiatives, weare diversifying customer contact points.

Access StyMore here

Store

CtoC

Metaverse

Expansion of the Dot-ST store

Flea market: Dot-C

StyMoreOMO model store to meet the needs of eas-

A flea market service where customers can

A metaverse platform specially-designed forier and more fun shopping for fashion items
and other products

buy staff members’ favorite items.

fashion.

PICK UP

BtoB BusinessWe are expanding our BtoB business which utilizes the strengths of Adastria’s value chain such asplanning, production, and store development. With Adastria Lifestyle Creation (ALC) at the forefront,
we are carrying out projects such as uniform design for staff at other companies and medical facili-ties, interior design for hotels and commercial facilities, and provision of project strategy proposals
and sales support, creating value for various industries and companies.

Ito-Yokado Co., Ltd.
FOUND GOOD

ALC
Adastria Lifestyle Creation

Intermestic Inc.

Lib Service

Staff Uniforms

Detached houses

O0uniko and ... EDIT HOUSE

ALC is a specialized team that takes on cooperative projects with a diverse array of industries andbusinesses, achieving new business through creation. Up until now, Adastria has worked with morethan 30 brands, carried out these projects with numerous companies, group, and brands. The con-tent covers a wide range from planning and sales of collaboration items to supporting new businessventures of other companies. Leveraging its proprietary proposals and wide-ranging knowledge andresources, Adastria treasures customer feedback and strives to create mutually beneficial projects,
aiming to be a good community creation company.

Examples of past initiatives

Ohfuji InstituteAqua World

Kyoto Marubeni Co., Ltd.

childcare center pupils

Staff uniforms

Shichi-Go-San kimono collection

Uniforms for preschool and certified

Ibaraki Prefecture Oarai Aquarium

LOWRYS FARM KIDS

Access the ALC official
website here.

PICK UPWith a focus on store expansion in the Greater China region, we are carrying out business worldwide,

Overseas Businessincluding local brand operations in the United States. Using a global strategy with localized productdevelopment and store expansion tailored to the specific market characteristics of deployment areas,
we are creating shared values with each region, aiming to bring a sense of excitement to daily life forcustomers all over the world through fashion.

China Mainland

niko and ... SHANGHAIGLOCAL

TaiwanGLOB AL

Hong Kong

LOCA L

Thailand*1

Philippines*1*1(In Preparation)

*2

*1

*2

USA

*1 E-commerce only
*2 E-commerce launch planned for fall 2024.

Global Strategy

ShanghaiTaiwanBangkok

The concept for our flagship store, “niko and ...

Due to the strong affinity with Japanese cul-

We launched our first store in Bangkok, Thai-

you to unexpected ideas and joy.” The shop isbrands, with over 15 available on the site. On

mate and lifestyle culture characteristics, we

SHANGHAI” is “our refined sensibility guides
very popular, and there are always large

crowds at store events held in collaboration
with local companies and creators.

ture, we have expanded our lineup to multiple

the Dot-ST TAIWAN official web store, there areover 800,000 members, and localization isprogressing through efforts such as using local
celebrities for commercials.

land in 2023. With consideration for the clirevised the content to suit local needs for apparel and lifestyle goods, and gathered prod-

ucts from local companies. We are building up
Thailand as a base in Southeast Asia and striving for further expansion in the region.

SUSTAINABILITYThe Sustainability that
we aim to achieve

Our business can only exist through connections with our stakeholders and society as a whole. As the social

environment continues to undergo rapid changes, we must face numerous challenges such as global
warming, low birth rates and aging population, and depopulation of rural areas.

With consideration for the relationship between these social issues and our businesses, we have determined

three major themes for the initiatives that we are carrying out for the achievement of sustainable management.

Bring the joy of fashion to the future.
Fashion has the power to make our daily life positive.
Let's start with what we can do for the environment, people and the community while
enjoying our lives because the best way to keep doing it is to have fun doing it.
Adastria Group Sustainability Activity Vision and Group Policy
Materialities

Protecting
the Environment

Empowering People

Growing With
Local Communities

Reduce the environmental impact of ourbusiness and make theworld of fashion
sustainable

Create an environment
where customers,
employees, and others
look forward to eachnew day
Create new value
in collaboration
with communities

VisionGroup Policy

Engage in manufacturingthat leads to the
futureBalance environmental considerations
with sales activities

Switch to sustainable raw materials and processing
Reduce and absorb CO2 emissions

Create a world without fashion loss

Zero clothing incineration

A society in which people enjoy fashion in
their own way

Suggest fashion for the enjoyment of each individual

Be an organization that is healthy mentallyand physically, encouraging employees intheir individuality and ability

Create diverse and rewarding work environments
Foster employee wellbeing

Revitalize the communities surrounding
our stores

Connect with communities through fashion

Foster sustainable development inproduction areas

Fair and ethical procurement

Specific Examples of Our Actions
Creating an environment ofdiversity and worthwhile work

Manufacturing Linked to the Future
We are expanding our use of materials which are
high-quality, reasonably priced, friendly to the environment and society, and can be stably supplied tocustomers. In addition, we have established an inhouse Materials Development Department and areworking on initiatives for development of proprietary sustainable materials with reduced environmental burdens and special functionality.

Through activity support for women, who make upover 70% of the regular employees, we are carryingout initiatives to promote diversity in our organization. In addition, through provisions such as healthcare collaborations with the Adastria health insurance association, insurance projects aligned withthe characteristics of employees, and other benefit
services, we carry out strategic health management
for achieving employee well-being.
Management

50
40

45 %
35 %

34 %

10

Original sustainability mark applied to products which use environmentally-friendly materials

19 %
10 %
2010

2015

February

February(Present)

Target2024

target of%women inmanagement
positionsAverage ratio of womenin management
positions in Japanesecompanies as of 2024:

13 %

（%）

SeniorManagement

30

30 %

20

2025

10 %

Change in Percentage of Female Managers“RENU™” recycled polyester is used for a portion of the filling
along with “AIRTHERMAL,” an environmentally-friendly andlightweight material that also provides moisture and bulk.

With gratitude for the support and assistance to our
growth received from the area, we are providing
the support of ADASTRIA fashion products for activities in a v ariety of fields such as sports, art, andculture striving to invigorate the city of Mito, Ibaraki
where our company originated.

Government

35 %

30

Region of Our Origin: Mito

Certified as an “Excellent Corporation for Health Management”
two years in a row

We regularly hold events at the Adastria Mito Arena in cooperation with local residents

Sponsor of the Ibaraki Robots and Mito Hollyhock local
professional sports teams

The details of our sustainability
activities are available here.

ADASTRIA HISTORY

4 major transformations in the business model
Changing by the time to continue growing

1953

1950-1999
1953.101973.03
1982.09
1992.03
1993.03
1997

Established Fukudaya Clothes Store Inc.
in Mito, Ibaraki Prefecture.
Began retailsales of men’s clothing.

Established Fukudaya Clothes Store Inc. in Mito,
Ibaraki Prefecture.

Opened Men’s casual clothing store VEGA.
Opened jeans and casual fashion store POINT.
Transformed POINT into chain stores in ’84.
Started developing LOWRYS FARM.
Moved into retailsales of ladies casual wear.
Changed company name to POINT INC.
Started rolling out LOWRYS FARM store brand.

Began retail sales of men’s clothing.

Change 1

Opened Men’s casualclothing store VEGA.

2000-2009
2000.12
2002.122003.03
2004.022007.10
2008.03

Enter into the blank market of
Men’s casual wear in Mito city.

Registered company’s stock in Japan
Securities Dealers Association.
Listed company’sstock on the second section ofTokyo Stock Exchange (TSE).
Opened the ﬁrst store in Taiwan. Began developing
overseas business operations.
Listed company’s stock on the ﬁrst section ofTokyo Stock Exchange (TSE).
Started e-commerce businesson own corporate website.
Opened the ﬁrst store in Hong Kong.
Transformed into verticallyintegrated

Change 2 1982
Opened jeans and casual
fashion store POINT.
Transformed POINT into chain
stores in ’84.

Scrap the old frame work.
Shifted to chain store operations.

2010-20202010.102012.102013.09

2014.112015.0306
09
2017. 02
03
04

Opened the ﬁrst store in Mainland China.
Started membership-based point service on our own
e-commerce businesscorporate website.
Moved to a holding companystructure,changing name to Adastria Holdings Co., Ltd.
as the holding company.
Merged Trinity Arts Inc., and others.
Completelyrevamped own e-commerce site and started
ofﬁcial online store service“Dot-ST”.
Merged Adastria Holdings Co., Ltd. and POINT INC.,
TRINITY ARTS INC. Shifted to a holding companystructure.
Changed company name to Adastria Co., Ltd.
Transferred control of product planning andproduction functions from subsidiaries.
Incorporated ALICIA Co.,Ltd as a group company.
Founded ELEMENT RULE Co., Ltd.
Founded Adastria USA, Inc.

Changed company name to BUZZWIT Co., Ltd.
from ALICIA Co., Ltd.
2019. 12 Registered members of ofﬁcial online store “Dot-ST”
exceeded 10 million.
2020. 11 Founded ADOORLINK Co., Ltd.
2018. 08

1973

Change 3 1997
Started rolling out
LOWRYS FARM store brand
Developed own store brand.
Transformed into a
OEM/ODM-type casual
fashion chain.

Change 4 2010
Transformed into verticallyintegrated SPA company.
Initiated projects for vertical
integration,
including in-house planningand production

2022
2022 022022 04

2023
2023 04

Zetton Inc. joined the Corporate GroupMoved to the Prime Market following the TSE
market classiﬁcation review

Start of expansion into Thailand

2015

Changed company name to Adastria Co., Ltd .

ADASTRIA HISTORY
We Arrived In Shibu

ya-2017.

ABOUT US

ABOUT US
Company Name

Adastria Co., Ltd.

Consolidated net sales

275,596 million yen *1

Headquarters

27th Floor, Shibuya Hikarie, 2-21-1,
Shibuya-ku, Tokyo, Japan

Business activities

Planning, producing, and retailingclothes and sundry goods

Telephone+81-3-5466-2010

Number of employees

6,603 full-time employees *2

Founded

October 22nd, 1953

Number of stores

Capital2,660 million yen

Domestic 1, 370 / Overseas 122*1
Dining facilities 71*1

Number of sharesissued48,800 thousand

Other

Directors

Chairman of The Board
Michio Fukuda

Domestic Support Units: 4
Number of domestic distribution centers: 8
Number of overseas distribution centers: 6
Number of overseas production bases: 6*2Representative Director and President
Osamu Kimura*1 As of the end of February 2024
*2 As of the end of February 2024, Consolidated group companies

Group Companies

ADOORLINK Co., Ltd.
Shibuyaminami-Tokyu
Bldg,Shibuya2-16-5, Shibuya-ku,
Tokyo, Japan
Telephone+81-3-5466-1720
Founded
October 31, 2017
Business activities Management and developmentof food service operations

Headquarters

BUZZWIT Co., Ltd.
6F Daiba Frontier Bldg., 2-3-2
Daiba, Minato-ku, Tokyo
Telephone+81-3-5466-1728
FoundedNovember 21, 2016
Business activities Planning, manufacture and salesof apparel, sundries, etc.

Headquarters

ELEMENT RULE Co., Ltd.
19F Shin-Aoyama Bldg. West,1-1-1 Minami-Aoyama, Minato-ku,
Tokyo
Telephone+81-3-5466-2077
FoundedMarch 1, 2017
Business activities Planning, manufacture and sales ofapparel, sundries, etc

Headquarters

ZETTON Co., Ltd.
9F VORT-Shibuya-briller Bldg,
Jinantyo1-20-5,Shibuya-ku,
Tokyo, Japan
October 26, 1995
FoundedBusiness activities Management ,development andconsulting of restaurants etc.

Headquarters

Adastria Logistics Co., Ltd.
1-15 (Gate A) Chuo Kogyo Danchi,
Ibaraki-machi, Higashiibaraki-gun,Ibaraki
Telephone+81-29-219-0171
FoundedJune 1988
Business activities Logistics operations for groupcompanies

Headquarters

Headquarters＜ Other group companies ＞
・Adastria Asia Co., Ltd.

・Velvet, LLC

・Adastria (Shanghai) Co., Ltd.

・NATURAL NINE TRADING(SHANGHAI) LTD.

・niko and ... (Shanghai) Co.,Ltd.

・SES GLOBAL Logistics(Shanghai) Co., Ltd.

・Adastria Taiwan Co., Ltd.
・Adastria (Thailand) Co.,Ltd.
・Adastria USA, Inc.

Adastria General Support Co., Ltd.
19th Floor, Shibuya Hikarie, 2-21-1,
Shibuya-ku, Tokyo, Japan
Telephone+81-3-5466-2018
FoundedDecember 19, 2013
Business activities Comprehensive services for groupcompanies