19-D-0287

July 1, 2019
JCR Green Finance Frame work Evaluation
B y Japan Credit Rating Agenc y, Ltd.
The Japan Credit Rating Agency, Ltd. (JCR) announces the following Green Finance Framework Evaluation Results.

JCR Assigns Green 1 (F) to the Green Finance Frameworkof Japan Prime Realty Investment Corporation
Subject:

Japan Prime Realty Investment Corporation Green Finance Framework<Green Finance Framework Evaluation Results>
Overall Evaluation

Green 1(F)Greenness Evaluation(Use of proceeds)
Management, Operation, andTransparency Evaluation

g1(F)
m1(F)

Chapter 1: Evaluation Overview
Japan Prime Realty Investment Corporation (the "Investment Corporation") is a multi-purpose J-REIT that invests inoffices and urban retail properties. In June 2002, it was listed on the Tokyo Stock Exchange (Real Estate Investment
Trust Securities Market). The sponsors of Tokyo Real estate Investment Management Co., Ltd. (the "AssetManagement Company") are Tokyo Tatemono Co., Ltd. (investment ratio: 52%), Yasuda Realty Co., Ltd.
(investment ratio: 18%), Taisei Corporation (investment ratio: 10%), Sompo Japan Nipponkoa Insurance Inc.
(investment ratio: 10%), and Meiji Yasuda Life Insurance Company (investment ratio: 10%). The current portfolio iscomprised of 63 projects, and the asset size is JPY439.5bn (on an acquisition price basis). The Investment
Corporation mainly invests in real estate consisting of offices (urban business facilities), commercial facilities
located in locations with a high degree of entertainment value, buildings of complexes, and their sites, as well as
asset-backed securities for these properties, etc.
In view of the fact that it is essential to meet the demands of society, such as the environment, society, andgovernance, in order for the Investment Corporation to grow stably over the medium to long term, The AssetManagement Company formulated the Sustainability Policy, and initiatives for the environment is picked up as oneof the Policy. In addition, the Investment Corporation regularly discloses the details of specific initiatives to achieve
the targets based on the setting of environmental targets, as well as the results of various monitoring data todemonstrate its positive efforts.
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The scope of the evaluation is the Green Finance Framework (the "Framework") of the Investment Corporation,
which was established to limit funds raised by green bonds and green loans ("Green Finance") to the use of proceedsthat have an environmental improvement effect. JCR assess whether the Framework conforms to the Green Bond
Principles (2018 edition), the Green Bond Guidelines (2017 edition) and the Green Loan Principles. The Green Bond
Principles, the Green Bond Guidelines and the Green Loan Principles are principles or guidelines voluntarily
published by the International Capital Markets Association (ICMA), the Ministry of the Environment, the Loan
Market Association (LMA) and the Asia Pacific Loan Market Association (APLMA), respectively, and are notbinding on them, but JCR assesses with reference to those principles and guidelines as globally unified standards at
this time.123
The Investment Corporation defines properties subject to the use of proceeds as properties for which 3 stars or moreof DBJ Green Building certification and B+ ranks or higher of CASBEE-Building has been acquired or are expected
to be acquired. JCR evaluates the use of proceeds specified by the Investment Corporation as having environmental
improvement effect.
The Investment Corporation intends to raise Green Finance based on clear environmental objectives. The internal
system for dealing with environmental issues has been properly established, and a system has been established toensure that departments with specialized environmental knowledge are also involved in the selection and process ofprojects for which funds are to be used. JCR confirmed the strong management and management system and hightransparency of the Investment Corporation, since environmental initiatives are being promoted while incorporating
opinions of outside experts.
As a result, based on JCR Green Finance Evaluation Methodology, JCR assigns "g1 (F)" for "Greenness Evaluation(Use of Proceeds) " and "m1 (F)" for "Management, Operation and Transparency Evaluation." Consequently, JCR
assigns "Green1 (F)" for overall "JCR Green Finance Framework Evaluation" to the Framework.
The Framework meets the standards for the items required in the Green Bond Principles, the Ministry of theEnvironment's Green Bond Guidelines, and the Green Loan Principles.

1

ICMA(International Capital Market Association) Green Bond Principles 2018https://www.icmagroup.org/green-social-and-sustainability-bonds/green-bond-principles-gbp/
2
Ministry of the Environment's Green Bond Guidelines 2017 http://greenbondplatform.env.go.jp/pdf/greenbond_guideline2017.pdf
3
LMA ( Loa n Ma rk et Ass oc iat i on) , AP LMA ( As ia n Mark et Loa n As s oc iat i on) Gr een Loa n Pr i nc ipl e 201 8
https://www.lma.eu.com/
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Chapter 2: Current Status of the Project on Each Evaluation Factor and JCR's
Evaluation
Evaluation Phase 1: Greenness Evaluation
Based on the current status described below and JCR's evaluation of the subject, JCR evaluated
100% of the use of proceeds was green project, and assigned "g1 (F)", the highest rank for Phase
1: Greenness Evaluation.

(1) JCR's Key Consideration in This Factor
In this section, JCR first confirms whether the use of proceeds set out in this framework is used for green projects
that have a clear environmental improvement effect. Next, in cases where the use of proceeds is expected to havea negative impact on the environment, JCR confirms that the impact is examined sufficiently by an internal
specialist department or an external third party and whether necessary measures for avoidance and mitigation
have been taken. Finally, JCR confirms the alignment with the Sustainable Development Goals (SDGs).

(2) Current Status of Evaluation Targets and JCR's Evaluation<The Framework for Use of Proceeds>
Funds procured through Green Finance will be appropriated to funds that fall under the following
categories.
■ Funds to acquire existing or new assets of Green Eligibility Assets (described below)■ Funds to repay borrowings required to acquire Green Eligibility Assets■ Redemption Funds for Investment Corporation Bonds Required for Acquisition of Green
Eligibility Assets[Green Eligibility Assets]
Green Eligibility Assets are selected from those who have obtained or intend to obtain certification
under any of the following criteria.
a) 5 stars, 4 stars, or 3 stars in DBJ Green Building certification<JCR's Evaluation for the Framework>a.

Environmental Improvement Effects of the Projecti. The use of proceeds is financing or refinancing of buildings (Green Buildings) that have alreadyacquired or are planning to acquire environmental certification for up to the top 3 certification categories
in the region, country, or internationally recognized certification levels, and is expected to contribute to
the improvement of the environment.
DBJ Green Building Certification
A certification system offered by DBJ (Development Bank of Japan) to evaluate real estate that isenvironmentally and socially conscious. The evaluation results are expressed by the number of stars, and theevaluation axis is "buildings with consideration for the environment and society." The certification evaluates
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disaster prevention); and Community (regional and landscape) & Partnership (collaboration withstakeholders). They are represented by 5 stars (the best in the country), 4 stars (very good), 3 stars (verygood), 2 stars (good), and 1 star (good). Although it is not an evaluation specializing, it has a high level ofrecognition in Japan and a certain level of evaluation items regarding environmental performance. Therefore,
JCR evaluates this certification as equivalent to the "Green Building with Recognized Standards andCertification" in the Green Project Classification as defined in the Green Bond Principles. However, as thiscertification is not limited to environmental performance, JCR considers desirable to confirm the evaluationof environmental performance on a case-by-case basis.
DBJ Green Building Certification is based not only on the environmental performance of the property to beevaluated, but also on use evaluations, including the comfort of tenants, risk management such as disasterprevention and crime prevention, consideration for the surrounding environment and communities, andcooperation with stakeholders. Designed for scoring while aggregating specific "excellent efforts" for theenvironment and society, there are many properties that do not reach the target of evaluation in the realestate market. For high evaluation, it is necessary for all stakeholders involved in buildings to beappropriately conscious not only of the environment but also of the building.
By the end of November 2018, only 548 properties had been certified with 3 stars or more. Therefore, theeligibility criteria of the Investment Corporation are considered to be limited to properties with highenvironmental performance among those aiming to acquire certification.
CASBEE (Comprehensive Building Environment Performance Assessment System)
An acronym for the Building Environment Performance Assessment System (Comprehensive Assessment
System for Built Environment Efficiency).
This is a method for evaluating and rating the environmental performance of buildings. In April 2001, theComprehensive Environmental Evaluation Research Committee for Buildings was established with thesupport of the Ministry of Land, Infrastructure, Transport and Tourism's Housing Bureau as a joint project
between industry, government, and academia. Since then, the committee has been continuously developing
and maintaining buildings. Evaluation tools include CASBEE-buildings, CASBEE-districts, and CASBEEproperties developed for the real estate market to provide easy-to-understand environmental performance.
The assessment results are divided into 5 grades: S rank (excellent), A rank (excellent), B+ rank (good), Brank (slightly inferior), and C-rank (inferior). CASBEE-real estate is classified into 4 grades: S rank
(excellent), A rank (excellent), B+ rank (good), and B rank (satisfying essential items). The evaluation
method is a reconfiguration and quantification of the performance in the 4 fields of energy efficiency,
resource efficiency, outdoor environment, and indoor environment in buildings from the viewpoints ofenvironmental quality of buildings (Q = Quality) and environmental burden of buildings (L = Load).
Evaluation is based on the BEE (Built Environment Efficiency) value with L as the denominator and Q as
the numerator. In addition to environmental considerations such as energy conservation and the use ofmaterials and equipment with low environmental impact, it is necessary to give consideration to indoor
comfort and landscape, and the high quality of comprehensive buildings is required for high evaluation. B+or higher, which the Investment Corporation has recently designated as an eligible criteria, is a building witha BEE of 1.0 or more, and is regarded as having the effect of improving the environment, since the quality isclearly superior to the environmental impact.
ii. The use of proceeds falls under the category of "regional, national or internationally recognized
standards and certification green buildings" and "energy conservation" among green projects as
defined in the Green Bond Principles or the Ministry of the Environment's Green Bond Guidelines.
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According to a survey conducted by the World Green Building Association, carbon dioxide emissions frombuildings account for 39% of total emissions. As a measure to prevent global warming in Japan, it isimportant to further promote green buildings with high energy-saving performance that reduce CO2
emissions from buildings. In addition, the Basic Energy Plan approved by the Cabinet in July 2018
stipulates that new housing and buildings will be obligated to comply with the Energy Conservation
Standards in stages by 2020. Therefore, it is consistent with Japan's energy conservation policy that theInvestment Corporation actively acquires and constructions buildings with high environmental certificationlevels.
b. Negative Impacts on the Environment
The Asset Management Company conducts a variety of investigations on the acquisition of properties byconfirming evaluation reports, etc. by experts. In addition, it has been confirmed that the buildings to beacquired do not have a negative impact on the environment, etc., by acquiring them on the term that theysatisfy the pre-determined check items, etc., within the Asset Management Company.
Therefore, JCR confirmed that appropriate consideration was given to the negative impact on theenvironment.
c. Consistency with SDGs
The purpose of the proceeds was classified into energy conservation, regional/national, or internationallyrecognized standards and certification Green Buildings. JCR evaluated the project as contributing to thefollowing SDGs objectives and targets, while referring to ICMA's SDGs mappings.
Objective 7: Ensure access to affordable, reliable, sustainable, and modern energy forall
Target 7.3. By 2030, double the global rate of improvement in energy efficiency.
Objective 9: Build resilient infrastructure, promote inclusive and sustainableindustrialization and foster innovation
Target 9.4. By 2030, upgrade infrastructure and retrofit industries to make themsustainable, with increased resource-use efficiency and greater adoption of clean andenvironmentally sound technologies and industrial processes, with all countries taking
action in accordance with their respective capabilities.
Target 11: Make cities and human settlements inclusive, safe, resilient and sustainable
Target 11.6. By 2030, reduce the adverse per capita environmental impact of cities,
including by paying special attention to air quality and municipal and other waste
management.

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Evaluation Phase 2: Management, Operations and Transparency Evaluation
Based on the current situation described below and JCR's evaluation of the subject, JCR
evaluated that the management and operational system had been well developed, thattransparency was very high, and that it was fully expected that the project would be implemented
as planned and that the proceeds would be adequately allocated. In Phase 2, JCR evaluated "m1(F)" as the highest level in terms of management, operation and transparency.

1. Appropriateness and Transparency Concerning Selection Standard and Processesof the Use of Proceeds(1) JCR's Key Consideration in This Factor
In this section JCR confirms the objectives to be achieved through green financing, the appropriateness of green
project selection standards and processes, and whether or not a series of processes are properly disclosed toinvestors and others.

(2) Current Status of Evaluation Targets and JCR's Evaluation
a.

Goals

<The Framework for Issuing Green Finance>
The Investment Corporation and the Asset Management Company launched the "JPR Brand Strategy" in
2003, the year after listing, and since then have worked for many years to improve the environment andenergy conservation of office buildings and other facilities, and to improve the level of satisfaction withtenants. In recent years, based on the recognition that ESG initiatives are an inseparable theme for thesustainable growth of the Investment Corporation, we have expanded our range of initiatives, including
contributing to local communities and strengthening governance, and are actively promoting sustainability
activities with various stakeholders.
The Investment Corporation will further promote initiatives for ESG through the implementation of Green
Finance. At the same time, by stimulating the demand of investors interested in ESG investments, theInvestment Corporation will expand the investor base of the Investment Corporation, and in turn, theJapanese green finance market will expand, thereby contributing to the growth of green finance as a stablemeans of financing in J-REIT.

<JCR's Evaluation for the Framework>
The Investment Corporation has been implementing the JPR Brand Strategy with the purpose of continuously
increasing the value of its assets from the year after its listing to the present day. The aim is to provide facilities
and spaces with high amenities at all times by providing high-quality services as well as safe and secure for allusers, and by providing environmentally friendly managements.
The Green Finance issued from the Framework is intended for the acquisition of Green Building. JCR assesses
that the Framework is consistent with the objectives of the Investment Corporation.
b. Selection standards
The standards for selecting assets subject to the use of funds for the Bonds (Green Eligibility Assets) are as
described above in Phase 1.
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According to the interviews conducted by the Asset Management Company, they are planning that theproperties subject to the use of proceeds of Green Finance will be evaluated and selected by the board of
directors and the director of the Finance and Accounting Department after the person in charge of the
Finance Department considers compliance with the eligibility criteria. JCR considers that selection
standards and project selection are appropriate.
c.

Processes<The Framework for the Selection Process>
The implementation of Green Finance is drafted by the board of directors and general manager of the
Finance Department of the Asset Management Company and approved by a majority of the members (thepresident, the general manager of the Investment Management Department, the general manager of the
Finance Department, and the general manager of the Planning and Management Department) after
confirming the qualification as a green finance by the Investment Policy Committee. Implementation ofGreen Finance is taken up as an agenda of the Sustainability Committee prior to issuance and reported after
publication.

<JCR's Evaluation for the Framework>
The Asset Management Company established a Sustainability Committee to continuously and systematicallypromote sustainability initiatives at the Investment Corporation. The committee meets at least twice a year under
the chairmanship of the President and Representative Director, and contributes to specific activities related tosustainability.
Implementation of Green Finance has been addressed and discussed in advance as an agenda of the Sustainability
Committee. It is then drafted by the director and general manager of the Finance Department and approved by theInvestment Policy Committee by a majority of the members of the management team, including the President,
after confirming the qualification as a green finance.
In addition, the Investment Corporation is expected to disclose its objectives, selection criteria, and processes forGreen Finance in press releases and this evaluation report by the Investment Corporation at the time of issuanceof bonds, and it is considered that transparency to investors is ensured.

2. Appropriateness and Transparency of Management of the Proceeds(1) JCR's Key Consideration in This Factor
It is usually assumed that the management of the funds varies widely depending on the issuer, but JCR confirms
whether the funds procured by the framework are properly allocated to green projects and whether a mechanism
and an internal system are in place to ensure that the funds are easily tracked and managed by the issuer.
JCR also emphasizes assessing whether the funds procured under the framework are expected to be used forgreen projects at an early stage, as well as how to manage and operate the funds that have not yet been allocatedto them.

(2) Current Status of Evaluation Targets and JCR's Evaluation<The Framework for Management of the Proceeds>
We will calculate Green Eligibility Debt by multiplying the total acquisition price of Green Eligibility
Assets by the ratio of interest-bearing debt to total assets, and use this amount as the upper limit for Green
Finance.
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<JCR's Evaluation for the Framework>
Through the interview with the Asset Management Company, JCR confirmed that the following procedures
would be implemented.
・ The funds procured through Green Finance are expected to be used for the acquisition of Green Building or
for the refinancing of the acquisition funds within 2 months after procurement, and it is assumed that there
will be no unallocated funds for a long period of time.
・ Until all Green Finance is redeemed/repaid, the balance management and unallocated funds will be
managed under the portfolio management approach. In the event that a property that is already subject to theuse of proceeds in Green Finance is excluded from the use of proceeds due to sell, etc., the AssetManagement Company confirms that Green Eligibility Liabilities (total acquisition price of Green
Eligibility Assets multiplied by the interest-bearing debt ratio to total assets) exceed the balance of Green
Finance.
・ Internal and external audits of these procedures are regularly conducted by the Asset Management Company.
JCR evaluates the adequacy and transparency of the Investment Corporation's cash management.

3. Reporting(1) JCR's Key Consideration in This Factor
In this section, JCR evaluates whether the disclosure system for investors before and after the issuance of green
finance, which is implemented with reference to the framework, is planned in detail and in an effective manner.

(2) Current Status of Evaluation Targets and JCR's Evaluation<The Framework for Reporting>
As long as Green Finance remains, the following indicators are published as of the end of December of each year.
a) Status of appropriation of fundsb) Number of Green Eligibility Assetsc) Third-party certification level obtained by each Green Eligibility Assetd) Total floor area of Green Eligibility Assetse) Energy consumption*f) CO2 emissions*g) Water consumption** For the e-g indicators, annual aggregate figures for Green Eligibility Assets will be disclosed. In some properties, wewill disclose to the extent that we have the energy management authority of them.

<JCR's Evaluation for the Framework>
a. Reporting on the appropriation of funds
In the Framework, the appropriation of Green Financing will be disclosed on the Investment Corporation's
website. JCR evaluates that the disclosures on unallocated funds are appropriate.
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The Investment Corporation plans to announce in their news release on the sale of the property that was the
subject of the use of proceeds if the property is excluded from the use of proceeds due to the sale of theproperty before the redemption/repayment of the Green Finance.
b. Reporting on environmental improvement effects
In addition to the third party certification levels acquired by the Green Eligibility Assets, the Investment
Corporation plans to disclose energy consumption, CO2 emissions, and water consumption limited to Green
Eligibility Assets.
JCR evaluates the disclosure items and frequency based on the Impact Reporting Metrics for Green
Building Projects established by the ICMA.

4. Organization’s Environmental Initiatives(1) JCR's Key Consideration in This Factor
In this section, JCR evaluates whether the management of the issuer regards environmental issues as a highpriority issue for management, and whether the green finance policy, process, and selection criteria for green
projects are clearly positioned through the establishment of a department specializing in environmental issues orcollaboration with external organizations.

(2) Current Status of Evaluation Targets and JCR's Evaluation
In view of the fact that it is essential to meet the demands of society, such as the environment, society, andgovernance, in order for the Investment Corporation to grow stably over the medium to long term, the AssetManagement Company formulated the Sustainability Policy, one of which is the environmental initiative.

(Source: JPR Sustainability Report)
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In addition, the Investment Corporation and the Asset Management Company recognize that consideration for theenvironmentis a key issue in real estate investment management, and set environmental goals of "reducing theconsumption unit and CO2 emission unit of the entire portfolio by 5% or more in 5 years from 2016".
In order to achieve this goal, the Investment Corporation listed activities that should be promoted as specificenergy conservation and CO2 management, and as part of the results of these activities, the Investment
Corporation published the results of monitoring energy consumption, water consumption, and CO2 emissions,
including electricity and gases, since FY2016. This information is summarized not only on the website, but also
in the Sustainability Report, and disclosure on sustainability is enhanced.
The sustainability activities of the Investment Corporation are promoted mainly by the Sustainability Committeeof the Asset Management Company mentioned above. The investment Management Division, which specializes
in environmental certification, is also involved in planning Green Finance. In addition, the Investment Company
established a system to ensure objectivity in the content of ESG implementation by incorporating the opinions ofexternal experts regarding ESG.
In addition to the above-mentioned goal-setting and execution systems for environmental conservation, theInvestment Company has got "Green Star" on GRESB for 5 consecutive years for strengthening relationships
with tenants and other stakeholders, and this has also contributed to its high reputation in the international
community. In May 2019, the Investment Company signed the Principles for Responsible Investment with theaim of further incorporating ESG perspectives into the investment decision-making process.
As stated above, JCR evaluates that the Investment Company regards environmental issues as a priority
management issue and as having concrete and clear goals and steadily addressing the environment.
■Evaluation result
Based on the JCR Green Finance Evaluation Methodology, JCR assigns "g1 (F)" for the "Greenness Evaluation(Uses of Proceeds)" and "m1 (F)" for the "Management, Operation, and Transparency Evaluation." As a result, JCR
assigns "Green 1 (F)" for the "JCR Green Finance Framework Evaluation" to the Framework. The framework
meets the standards for the items required in the Green Bond Principles, the Green Bond Guidelines, and the Green
Loan Principles.
[JCR Green Finance Framework Evaluation Matrix]
Management, Operation, and Transparency Evaluation

Greenness Evaluation

m1(F)

m2(F)

m3(F)

m4(F)

m5(F)

g1(F)

Green 1(F)Green 2(F)Green 3(F)Green 4(F)Green 5(F)g2(F)

Green 2(F)Green 2(F)Green 3(F)Green 4(F)Green 5(F)g3(F)

Green 3(F)Green 3(F)Green 4(F)Green 5(F)Not qualified

g4(F)Green 4(F)Green 4(F)Green 5(F)Not qualified Not qualified

g5(F)Green 5(F)Green 5(F)Not qualified

Not qualified Not qualified

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■ Scope of Subject
Issuer: Japan Prime Realty Investment Corporation (Security Code: 8955)
Assignment
Subject

Evaluation

JCR Green Finance Framework Evaluation :Green 1(F)Greenness Evaluation:g1(F)
Management, Operation, and Transparency Evaluation :m1(F)Green Finance Framework(Responsible analysts for this evaluation) Atsuko Kajiwara and Rieko Kikuchi
Important explanation regarding the evaluation of the Green Finance Framework
1. Assumptions, Significance, and Limitations of JCR Green Finance Framework Evaluation
JCR Green Finance Framework evaluation, which is granted and provided by Japan Credit Rating Agency, Ltd. (JCR), covers
the policies set out in the Green Finance Framework, and expresses the overall opinion of JCR at this time regarding theappropriateness of the Green Project as defined by JCR and the extent of management, operation and transparency initiatives
related to the use of funds and other matters. Therefore, it is not intended to evaluate the effects of specific environmental
improvements, management and operation systems, and transparency of individual bonds and borrowings, etc. to be
implemented based on these policies. In the event that an individual bond or individual borrowing based on this framework is
subject to a green finance evaluation, it is necessary to conduct a separate evaluation. In addition, the JCR Green Finance
Framework evaluation does not demonstrate the environmental improvement effects of individual bonds or borrows
implemented under this framework, and does not assume responsibility for environmental improvement effects. In principle,
JCR does not directly measure the environmental improvement effects of funds procured under the Green Finance Framework,
although JCR confirms the quantitative and qualitative measures by the issuer or a third party requested by the issuer.
2. Method used to perform this evaluation
The methodologies used in this assessment are described in "JCR Green Finance Evaluation" on the "Sustainable Finance ESG"
section of the JCR website (https://www.jcr.co.jp/en).
3. Relationship with Acts Concerning Credit Rating Business
The act of granting and providing an evaluation of JCR Green Finance Framework is conducted by JCR as a related businessand differs from the act related to the credit rating business.
4. Relationship with Credit Ratings
The Evaluation is different from the Credit Rating and does not commit to provide or make available for inspection a predetermined credit rating.
5. Third-Party Evaluation of JCR Green Finance Framework Evaluation
There are no capital or personnel relationships that may result in a conflict of interest between the evaluation parties and JCR.
■ Matters of Attention

The information contained in this document was obtained by JCR from the issuer and from accurate and reliable sources. However, such information may be
mistaken for human, mechanical or other reasons. Therefore, JCR makes no representation or warranty, express or implied, as to the accuracy, results, accuracy,
timeliness, completeness, marketability or fitness for any particular purpose of such information, and JCR assumes no responsibility for any errors, omissions orconsequences of using such information. JCR shall not be liable for any loss of opportunity, extraordinary, indirect, incidental or consequential damages of any kind,including any loss of money, which may result from any use of such information under any circumstances, whether contractual liability, tort liability, negligence orother cause of liability, and whether such damage is unforeseeable or unforeseeable. JCR Green Finance Evaluation does not express any opinion on the various
risks (credit risk, price fluctuation risk, market liquidity risk, price fluctuation risk, etc.) related to green finance, which is the target of the evaluation. In addition,
JCR Green Finance Evaluation is a comprehensive opinion of JCR at the present time and does not represent facts, nor does it make any recommendation regarding
risk assessment or decisions on the purchase, sale or holding of individual bonds, commercial paper, etc. JCR Green Finance Evaluation may be modified,suspended or withdrawn due to changes in information, lack of information or other reasons. All rights pertaining to this document, including data from JCR Green
Finance Evaluation, are held by JCR. All or part of this document, including data from JCR Green Finance Evaluation, is prohibited from being reproduced,
modified or otherwise altered without the permission of JCR.

■ Glossary

JCR Green Finance Framework Evaluation: The extent to which the funds procured through green finance are appropriated for green projects as defined by JCR, andthe degree to which the management, operation, and transparency of the green finance are managed. Evaluations are performed on a 5-point scale, from the top to
the top using the Green1 (F), Green2 (F), Green3 (F), Green4 (F), and Green5 (F) symbols.

■ Status of Registration as an External Evaluator of Green Finance・ Registered as an External Reviewer of Green Bonds by the Ministry of the Environment
・ ICMA (registration as an observer with the Institute of International Capital Markets)■ Other status of registration as a credit rating agency, etc.
・ Credit Rating Agency Commissioner (Rating) No. 1
・ EU Certified Credit Rating Agency
・ NRSRO: JCR is registered in the following 4 classes of 5 credit rating classes (as defined by the NRSRO(Nationally Recognized Statistical Rating Organization of
the U.S. Securities and Exchange Commission): (1) Financial institutions, broker-dealers, (2) insurance companies, (3) general business corporations, and (4)governments and municipalities. If we are subject to disclosures under Rule 17g-7(a) of the U.S. Securities and Exchange Commission, such disclosures areattached to news releases appearing on the JCR website (https://www.jcr.co.jp/en/).

■For further information, contact

Information Service Dept. TEL: 03-3544-7013 FAX: 03-3544-7026

Japan Credit Rating Agency, Ltd.
Jiji Press Building, 5-15-8 Ginza, Chuo-ku, Tokyo 104-0061, Japan
Tel. +81 3 3544 7013, Fax. +81 3 3544 7026

Copyright © Japan Credit Rating Agency, Ltd. All rights reserved.

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