Corporate Governance

One of our most important management tasks is to consistently increase enterprise value by means of highly efficient and transparent management, while fulfilling our social responsibility and contributing to the welfare of the community based not only on compliance with laws, regulations, and our articles of incorporation, but also on corporate ethics. Achieving this will enable the azbil Group to live up to the trust placed in us by shareholders and all other stakeholders.

Basic Policy for Corporate Governance

(1) Ensuring shareholder rights and neutrality
So as to substantively ensure the rights of our shareholders, Azbil Corporation will adopt appropriate measures in accordance with the law and other regulations, and give due consideration to foreign and minority shareholders, thus creating an environment in which all shareholders can properly exercise their rights equally.
(2) Cooperation of stakeholders other than shareholders
As we aim to achieve sustainable growth and enhance enterprise value over the medium to long term, we are strongly aware of our corporate social responsibility and we believe that management should give due consideration to all stakeholders. That is why we have chosen “human-centered automation” as our corporate philosophy. Whilst helping to realize safety, comfort and fulfillment in people’s lives and work, we aim to contribute to the global environment. To meet these goals, we have embodied our principles for corporate behavior in a Code of Conduct that provides guidelines for all officers and employees of the company and throughout the azbil Group.
We also put great importance on human resources, regardless of gender, and believe that diversity in the workplace – among the employees themselves, their ideas and values – can contribute to achieving sustainable growth. We are, for example, actively promoting the advancement of female employees. The company has an internal reporting system, and we believe that it is important to encourage employees to freely make use of it, without holding back out of fear that reporting will put them at a disadvantage. We also believe that it is important to put information gained via this system to good use. For these reasons, we have instituted the CSR Hotline to make it easy for employees to discuss any matters or concerns they may have. This system ensures that the information received is reported to the president, the Audit & Supervisory Board and the outside directors.
(3) Ensuring appropriate disclosure of information and transparency
We are committed to disclosing information that will ensure transparency and fairness in decision-making and result in effective corporate governance. Specifically, we believe it is important that all stakeholders have a clear idea of financial information (the company’s financial condition, business results, etc.), non-financial information (management strategy, management plans, key issues, etc.), and other information (risks, governance, etc.). Therefore, in addition to the information that we are legally obligated to disclose, we strive to publish additional information. For example, we disclose such information as the way in which candidates for the Board are elected and the policy for deciding the directors’ remuneration. Going forwards, we will continually strive to provide more information to stakeholders and to ensure transparency. And, so as to ensure correct auditing by accounting auditors, the company provides adequate time for audits, and conducts regular interviews between accounting auditors and the president and director in charge of financial affairs. We also take such measures as implementing a quarterly report meeting attended by the accounting auditors, the Audit & Supervisory Board and the internal audit department.
(4) Responsibilities of the Board of Directors
The fundamental mission of the Board of Directors is to realize sustainable corporate growth while enhancing enterprise value over the medium to long term. As set forth in the Board Rules, important items for deliberation include our basic management strategy and plans; we reach appropriate management decisions through free, open-minded and constructive discussions. In addition, to ensure transparency and fairness in management, we implement timely disclosure, an internal control system and a risk management system. At the same time, there is a regular exchange of opinions between the Audit & Supervisory Board and the internal auditing department, allowing audits to be conducted properly and facilitating the expression of views on management.
We recognize the important role played by independent outside directors in ensuring that the Board of Directors fulfills its role and responsibilities. We have therefore appointed five independent outside directors with extensive experience and professional knowledge regarding corporate management and supervision. Drawing on their various fields of expertise and experience, these independent outside directors are fulfilling their responsibilities in a broad range of matters, advising on how to enhance enterprise value and overseeing management. In addition, so that the Board of Directors may effectively fulfill its role, as well as ensuring transparency and objectivity, we see it as important to promote diversity when appointing directors and Audit & Supervisory Board members; we thus take into consideration the overall balance of expertise and experience within the Board.
Regarding the planning for future appointments to management, the Nomination and Compensation Committee – the majority of whose members are independent outside directors – serves in an advisory role to the Board of Directors. The Committee deliberates matters relating to the preparation and selection of candidates, and keeps records of the course of these deliberations and the results. This ensures that the planning process for new appointments is impartial and objective. The Chairperson of the Nomination and Remuneration Committee, who is an independent outside director, duly reports on these deliberations to the Board of Directors. This systematic approach ensures that the Board is actively involved in the planning for new appointments, and that sufficient time and resources are allotted to the preparation of candidates.
As of June 25, 2019, there are eleven members of the Board, with outside directors making up more than one third of the total. Women and non-Japanese nationalities are represented, making the Board truly diverse. Furthermore, the Chairperson of the Board does not concurrently perform executive duties.
(5) Dialogue with shareholders
In addition to fulfilling corporate accountability, we strive to develop means and initiatives to promote a constructive dialogue with shareholders and investors in order to contribute to sustainable growth and the enhancement of enterprise value over the medium to long term. As regards the publishing of management strategy and plans, we disclose basic policies such as our profit plan, and we strive to provide clear explanations of the qualitative and quantitative targets (sales figures, operating income, ROE, etc.) in the medium-term plan and others, as well as how our strategy is designed to achieve those targets.
(5) Overview of corporate governance system and reasons for adopting the system
The Board of Directors makes decisions on basic operational policy, legal issues, and other important matters, and oversees the status of business execution. Functional separation between the Executive Officers and the Board of Directors enables swift business execution and strengthens the oversight of execution. The Board of Directors is convened monthly in principle. As to Executive Officers, the management meetings which Executive Officers with titles and representatives of the Audit & Supervisory Board Members attend are held twice a month as part of ongoing initiatives to strengthen business operations through prompt decision making and strict execution.
As of June 25, 2019, the Company has appointed eleven Directors, including five (Hirozumi Sone, Masato Iwasaki, Yoshimitsu Hojo, Takayuki Yokota, Kazuyasu Hamada) who are involved in business execution and have accumulated experience in the Company’s business and management, one (Tadayuki Sasaki) who serves as Chairperson of the Board of Directors as a dedicated director who does not concurrently perform executive duties, as well as five (Eugene H. Lee, Katsuhiko Tanabe, Takeshi Itoh, Waka Fujiso, Mitsuhiro Nagahama) who are Independent Outside Directors and have independence, broad experience, a wealth of expertise and knowledge, and rich diversity in the form of nationality and gender. Independent Outside Directors make up more than one third of the Board of Directors. In addition to working diligently to enhance the Company’s corporate value through appropriate oversight and advice during the decision-making process at Board of Directors meetings, these Independent Outside Directors regularly exchange opinions with the President and Group CEO. Moreover, upon collecting the self-evaluations and opinions on the effectiveness of the Board of Directors from the Directors and Audit & Supervisory Board Members each year, current evaluations and issues are shared at Board of Directors meetings as we pursue further increase of the effectiveness of the Board of Directors.
Additionally, the Company has established the Nomination and Remuneration Committee, an optional committee that serves as an advisory body to the Board of Directors. The committee’s goal is to ensure a higher level of fairness, objectivity, and transparency in the determination process of the nomination and remuneration of officers, to contribute to the Company’s enduring development and increasing medium- to long-term profitability and productivity. The committee deliberates not only the selection of Director candidates, Representative Director candidates, candidates for President & Group CEO, candidates for Chairperson of the Board, candidates for Directors who also serve as Executive Officers, the executive remuneration system, the remuneration plan, basic remuneration based on the executive remuneration system, individual performance evaluations, progress evaluation of qualitative targets, individual bonus amount, and amendments to the Director remuneration framework, but also the dismissal of Presidents & Group CEOs, Directors, Managing Executive Officers, and Directors who also serve as Executive Officers, as well as items related to the development of successors. The Chairperson of the Nomination and Remuneration Committee is elected through a mutual vote by the Independent Outside Directors. Per the regulations, the committee must be comprised of a majority of Independent Outside Directors. Currently, Eugene H. Lee (Independent Outside Director) serves as the committee chairperson. Katsuhiko Tanabe (Independent Outside Director), Takeshi Itoh (Independent Outside Director), and Hirozumi Sone (President and Group CEO) serve as committee members, with Independent Outside Directors comprising a majority of the committee.
Furthermore, the Company is a company with Audit & Supervisory Board in which five Audit & Supervisory Board members, including three Outside Audit & Supervisory Board Members (Kinya Fujimoto, Minoru Sakuma, Fumitoshi Sato), are appointed, with two of the Audit & Supervisory Board Members (Tomohiko Matsuyasu, Hisaya Katsuta)serving on a full-time basis as of June 25, 2019. The Audit & Supervisory Board members carry out rigorous audits of the administrative decisions and execution of business by the Directors and Executive Officers, primarily from the standpoint of the legality of the execution of business. Standing Audit & Supervisory Board Member Tomohiko Matsuyasu has experience in carrying out accounting procedures and preparing financial statements over the course of many years at the Company’s accounting division, and Standing Audit & Supervisory Board Member Kinya Fujimoto is qualified as a certified public accountant and has wealth of knowledge concerning financial affairs and accounting.
We believe that enhancing the functions of the above-mentioned Board of Directors and Audit & Supervisory Board and enhancing the management of the executive officer system is effective for further strengthening our corporate governance.

Corporate Governance Framework (As of June 25, 2019)

Changes to Improve Corporate Governance

We have been proactive in our efforts to strengthen corporate governance. Since fiscal year 2017, for example, we have been working to strengthen and upgrade corporate governance in order to ensure fairness, transparency, and impartiality in management. Recent initiatives include (1) abolishing the “counselor and advisor system,” (2) appointing a non-executive director to the post of Chairperson of the Board, (3) appointing an independent outside director to the post of chairperson of the Nomination and Remuneration Committee, and (4) increasing the number of outside directors.

Overall Balance and Diversity of the Board of Directors

The company appointed executive directors who have experience in our business and management, and outside directors with independence who have expertise, insight and broad experience in managing and directing companies on diverse backgrounds. In appointment of directors, the Board of Directors selects candidates after screening by the “Nomination and Remuneration Committee,” a voluntary advisory body which consists of independent outside directors (who constitute a majority) and representative directors, headed by an independent outside director. Also, as to the Audit & Supervisory Board, we are enhancing the supervisory function through appointing three independent outside members including one certified public accountant, as well as having members who have knowledge about finance, accounting and legal affairs, and at least one member with ample knowledge of finance and accounting. Thus, we maintain the Board of Directors with a good overall balance.
As of 25 June, 2019, we have five executive directors who have experience in our business and management, a chairperson of the Board who does not concurrently perform executive duties and five outside directors with broad experience, expertise and knowledge who are independent and diverse in such areas as nationality and gender. Outside directors now account for more than one-third of the 11-member Board of Directors.

Improving the Effectiveness of the Board of Directors

An effective Board of Directors forms the cornerstone of good corporate governance. With this in mind, we annually collect and assess self-evaluations and opinions from all board meeting attendees and use this information to enhance the Board’s functionality. Regarding matters to be discussed by the Board of Directors, we provide opportunities for prior explanation, mainly for outside officers, before the Board of Directors meetings to ensure a full understanding of the details, in order to facilitate active debate and discussion on essential points by a fully informed Board of Directors.
The Board of Directors also receives proactive input from members of the Audit & Supervisory Board. Guided by Japan’s Corporate Governance Code, we have created conditions in which our Audit & Supervisory Board and its members exercise their authority effectively and actively, and convey their opinions appropriately at Board of Directors meetings. Outside officers play an important role in the operation of the Board of Directors. More than half of the remarks at board meetings are made by outside directors and outside Audit & Supervisory Board members.
In fiscal 2018 (ended March 2019), the Board stepped up deliberations about growth strategies in each business segment, technology development, and human resource development, with a view to the long-term development of the company. It also received reports on business results and strategies of major subsidiaries and reports on business conditions at overseas subsidiaries in major regions and the responses to those conditions in order to strengthen the supervision of Group management. In addition, a team was organized to address responses in a cross-organizational manner and received detailed reports on efforts to resolve issues.
In fiscal year 2019 (ending March 2020), the Board of Directors continues to actively discuss management plans, business strategies, and the like with a view to long-term growth and formulation of the next medium-term plan, in order to fulfill its role in providing direction for the Group’s overall management strategies. Board members together recognize the need to strengthen their oversight function, particularly with respect to understanding the management status of domestic and overseas subsidiaries.We will continue striving to increase the effectiveness of the Board of Directors in order to achieve sustainable growth and enhance corporate value over the medium and long terms.

Executive Compensation

Decision-making Policy

To strengthen corporate governance and deliver sustainable increases in corporate value by achieving Group management goals, we have established policies on decision- making by the Board of Directors related to officer remuneration. Remuneration for directors is commensurate with their roles, responsibilities, and accomplishments and is designed to contribute to sustainable growth and improvement in corporate value.
The basic remuneration amounts paid to individual directors and the total amounts of bonuses paid to directors concurrently performing executive duties, as well as individual payments to concurrently performing directors, are kept within limits set at the General Shareholders’ Meeting. The president and CEO, appointed by resolution of the Board of Directors, produces a draft proposal of individual compensation amounts based on our Director Remuneration Regulations and Nomination and Remuneration Committee Regulations. The Nomination and Remuneration Committee makes the final decision after deliberating on the proposed amounts. Decisions on the remuneration amount for the representative director, who is a member of Nomination and Remuneration Committee, are made by the Committee without participation by the representative director in question.

Overview of the Nomination and Remuneration Committee

The Company has established an optional Nomination and Remuneration Committee as an advisory body of the Board of Directors to ensure transparency and objectivity in the remuneration determination process. The Nomination and Remuneration Committee reviews the executive remuneration plan, the basic remuneration amounts based on the executive remuneration system, individual performance evaluations, progress evaluations for qualitative items, the amount of individual bonus payments, and revision of remuneration amounts for Directors. Per the regulations, the Chairperson of the Nomination and Remuneration Committee is elected through a mutual vote among the Independent Outside Directors and the committee must be comprised of a majority of Independent Outside Directors.

Activities of the Nomination and Remuneration Committee and Board of Directors

The activities of the Nomination and Remuneration Committee relating to remuneration included evaluating the results of individual performance targets and the amounts of bonuses to be paid to individual Directors who concurrently perform executive duties in fiscal year 2017, as well as deliberating the determination of the basic remuneration amounts paid to individual Directors who concurrently perform executive duties in fiscal year 2018 at the meeting of the Nomination and Remuneration Committee held on May 21, 2018. Additionally, to ensure the objectivity and transparency of the executive remuneration determination process, the Committee has decided that an Outside Director serves as the Chairman of the Nomination and Remuneration Committee, and Mr. Eugene H. Lee, an Outside Director, was elected to the position of Chairperson through a mutual vote by the committee members.
The activities of the Board of Directors relating to remuneration included the decision to amend regulations to elect the Chairperson of the Nomination and Remuneration Committee from among Outside Directors through a mutual vote by the committee members and stipulating these details in the Nomination and Remuneration Committee Regulations at the 2nd Board of Directors meeting held on May 22, 2018.

Officer Remuneration: Breakdown, Approach, and Limits

Remuneration for directors who concurrently perform executive duties consists of basic remuneration—fixed amounts commensurate with their roles and responsibilities— as well as bonuses that are linked to fiscal year business results and that also reflect the degree to which medium-term targets have been achieved. Basic remuneration of directors who concurrently perform executive duties consists of three parts: director compensation, executive position remuneration, and executive responsibility remuneration. As for director remuneration, a fixed amount is paid to the representative director and a fixed amount is paid to other directors. Executive position remuneration is a fixed amount set for each position, and executive responsibility remuneration is commensurate with the responsibility grade for each individual based on the weight of responsibility, scope of role, and qualitative evaluations for the year. Responsibility grade is adjusted annually by the Nomination and Remuneration Committee after deliberation.
To encourage commonality of interest between directors concurrently performing executive duties on the one hand, and shareholders on the other, and to provide the directors and officers with ongoing incentives to enhance corporate value, we have an officer stock ownership plan to which they can contribute fixed annual amounts. They can purchase and continue to hold company stock in an amount proportional with each officer’s position and responsibilities through the officer stock ownership plan.
Directors (internal) who do not concurrently perform executive duties and outside directors receive only basic, fixed remuneration to ensure that they perform their management supervision function effectively. At the 84th Ordinary General Meeting of Shareholders, held on June 29, 2006, the total remuneration limit for directors was set at ¥450 million per year (total of eight directors; remuneration does not include employee portion of director’s salary).
With regard to remuneration for Audit & Supervisory Board members, only basic, fixed amounts are paid in consideration of their duties and authority. At the 85th Ordinary General Meeting of Shareholders, held on June 28, 2007, the total remuneration limit for Audit & Supervisory Board members was set at ¥120 million per year (total of five members), with individual payments decided through discussion by Audit & Supervisory Board members.

Performance-linked remuneration

Directors who concurrently perform executive duties receive bonuses based on performance evaluation and qualitative evaluation,* as well as the degree to which medium- term targets have been achieved. The portion that is linked to performance is designed to foster the sustainable growth and improved corporate value of the company. Specific calculations are based on ROE and other indicators—which reflect an increase in operating income, profitability, and capital efficiency—in order to evaluate how directors have fulfilled their Group consolidated management responsibilities. Another selected indicator is operating income growth rate, which reflects the efforts of directors to achieve medium- and long-term improvement in corporate value. The Nomination and Remuneration Committee discusses individual performance-linked remuneration amounts after comprehensive consideration of these indicators.
* We also take into consideration the degree of achievement of qualitative targets assigned individually to each role. These include objectives set at the beginning of each period for CSR and other activities and human resource succession training.

Contribution of Outside Officers

In addition to the requirements for independent officers stipulated by the Tokyo Stock Exchange, we follow criteria for independence that we have formulated when appointing outside officers as prescribed by the Companies Act. Candidates deemed capable of providing constructive suggestions and accurate observations and advice concerning the company’s business and the improvement of enterprise value in the medium and long terms are appointed as outside directors. Candidates who are knowledgeable about key aspects of finance, accounting, and auditing and who are independent of company executives are appointed as outside members of the Audit & Supervisory Board. Our outside officers, from their diverse perspectives, are active in asking questions and giving suggestions at Board of Directors meetings, thereby contributing to sustainable corporate growth and the enhancement of enterprise value over the medium and long terms.

Reasons for Appointing Outside Directors and Their Attendance Record

Eugene H. Lee

Mr. Eugene H. Lee brings a high level of expertise in international law and international business, as well as a wealth of experience and achievement in the management of global companies. In addition, he has an in-depth knowledge of Japan, Japanese business practices, and Japanese companies, as a result of his lengthy professional experience in Japan. He uses his experience in the management of global companies and advanced knowledge not only to monitor the execution of business as a member of the Board of Directors but also to make active suggestions aimed at increasing management transparency and fairness. In these ways, Mr. Lee fulfills his role of supervising and giving advice on business execution.
Attendance record: Board of Directors meetings 12 of 12

Katsuhiko Tanabe

As a lawyer who has held important positions of responsibility in the legal profession and who has a considerable record of achievement as an expert in corporate legal affairs, Mr. Katsuhiko Tanabe provides an expert viewpoint and deep insight into management. He utilizes his experience as an outside officer at multiple companies to monitor business execution as a member of the Board of Directors and also uses his extensive knowledge as a legal expert and deep insight into corporate governance to make active suggestions aimed at increasing management transparency and fairness. In these ways, Mr. Tanabe fulfills his role of supervising and giving advice on business execution.
Attendance record : Board of Directors meetings 12 of 12

Takeshi Itoh

Mr. Takeshi Itoh brings experience as an executive and analyst at Japanese and overseas investment banks and investment advisory companies. In addition, he has a substantial record of achievement in the sophisticated analysis of companies based on his lengthy experience of working overseas and his consulting work related to M&As, financing business operations and other matters. He not only utilizes his experience as an executive of investment management companies in and outside of Japan to monitor business execution as a member of the Board of Directors but also utilizes advanced knowledge and experience as an expert in international finance and investment fields to make active suggestions aimed at increasing management transparency and fairness. In these ways, Mr. Itoh fulfills his role in supervising and giving advice on business execution.

Attendance record: Board of Directors meetings 12 of 12

Waka Fujiso

Ms. Waka Fujiso brings a high level of expertise and a wealth of experience gained over many years as a prosecutor. After retiring from the Supreme Public Prosecutor’s Office, she taught at law school and served as a committee member for government agency councils. She uses her wide range of insight on legal matters and compliance to monitor business execution as a member of the Board of Directors and also gives assertive opinions from the perspectives of compliance and CSR, in addition to mentioning existence of legal issues, for enhancing management transparency and fairness. In these ways, Ms. Fujiso fulfills her role of supervising and giving advice on business execution.

Attendance record: 9 of 10 Board of Directors meetings
(appointed at the 96th General Meeting of Shareholders held on June 26, 2018)

Mitsuhiro Nagahama

Mr. Mitsuhiro Nagahama possesses broad knowledge and extensive experience in the financial/securities sectors and abroad, as he has successively served in important posts at financial institutions. As an Outside Audit & Supervisory Board member of the Company, he has audited all aspects of the company’s business, utilizing his excellent insights on corporate governance and corporate management, while helping improve the corporate governance and internal control systems from an independent standpoint. This time, utilizing his deep insights, we would like him not only to monitor the execution of business as a member of the Board of Directors, but also to provide impartial remarks and advice aimed at enhancing management transparency and fairness from wide-ranging perspectives. Based on these points, the company elected him as a new outside director.

Attendance record: Board of Directors meetings 12 of 12,the Audit & Supervisory Board meetings 14 of 14

Reasons for Appointing Outside members of the Audit & Supervisory Board and Their Attendance Record

Kinya Fujimoto

As a certified public accountant for many years, Mr. Kinya Fujimoto has a wealth of knowledge and experience concerning financial affairs and accounting, as well as the legal knowledge necessary for serving as an Audit & Supervisory Board member. Utilizing his knowledge and experience, he audits the company’s overall businesses, especially from financial and accounting perspectives, from a position of independence. At Board of Directors meetings, he asks questions and makes recommendations related to management of the company and other azbil Group members and the reinforcement of corporate governance.

Attendance record : Board of Directors meetings 12 of 12,the Audit & Supervisory Board meetings 14 of 14

Minoru Sakuma

Mr. Minoru Sakuma has held key positions at a government financial agency and has wide-ranging knowledge about international finance and extensive experience overseas. He also has management experience at an investment company and experience at a business company that develops global activities. The company believes that Mr. Sakuma will reflect his expert perspective, based on his knowledge and experience, to conduct overall business audits and improve the management level of Group companies. He also has knowledge on finance, accounting, and legal matters required of an Audit & Supervisory Board member and the ability to further strengthen corporate governance from an independent position. Based on these points, the company elected him as a new outside Audit & Supervisory Board member.

Fumitoshi Sato

Mr. Fumitoshi Sato has held key positions in Japan’s central bank and has wide-ranging knowledge and abundant experience in the financial field. He also has work experience and management experience as a director of a company in the manufacturing field, where he served in the department overseeing accounting, legal, and personnel affairs. The company believes that Mr. Sato will reflect his expert perspective, based on his knowledge and experience, to conduct overall business audits and strengthen the management of Group companies. He also has knowledge on finance, accounting, and legal matters required of an Audit & Supervisory Board member and the ability to further strengthen corporate governance from an independent position. Based on these points, the company elected him as a new outside Audit & Supervisory Board member.

Comment by an Outside Director

The Status and Direction of Azbil’s Corporate Governance

For a long time, Azbil has embraced a corporate governance system emphasizing social responsibility as part of its corporate culture. When the Japanese version of the Corporate Governance Code was formulated in 2015, we took a serious view of content to be included in our governance system. We now have a comprehensive corporate governance system that reflects our serious approach, including compliance with revisions to the Code in 2018. Our Board of Directors has 16 members, eight of whom are outside officers, and is highly diverse with respect to nationality, gender, and the like. Our Nomination and Remuneration Committee consists mainly of independent outside directors and is chaired by one such director. It engages mainly in deliberation on the officer remuneration system, CEO election and dismissal criteria, and the status of successor training. The officer remuneration system also takes into account the balance between basic remuneration and bonuses and determines contribution amounts to the officer stock ownership plan. Through long-term ownership of the company’s own shares, we aim to increase awareness among officers about shareholder perspectives.
Because of the nature of our business, male employees with technical backgrounds constitute the majority of our workforce. In recent years, however, we have been promoting the advancement of women, who now account for one-quarter of the nearly 100 new employees intake. Furthermore, while we hear about scandals in multiple corporations in the world, we believe such situations are very unlikely to happen in our company due to our corporate structure. We also perform meticulous inspections to make sure that the seeds of potential future problems have not been planted.
When formulating long-term business strategies, we hold extensive discussions at Board of Directors meetings, which include outside officers, about major future developments based on the progress of medium-term plans, in order to address domestic and international market trends and rapid technological changes. To achieve sustainable corporate growth, we must conduct business based on sound risk management to effectively address changing conditions, while emphasizing CSR management to fulfill our social responsibilities. I firmly believe we have found a good balance between sound business management and CSR management.

Outside Director
Takeshi Itoh