Message from the Chairman of the Board

In light of the challenging environment facing the Group, the Board has focused its discussions on three key themes: the evolution of Group governance, the advancement of structural reforms in overseas operations, and the review of capital policy and financial strategy. Working closely with the three statutory committees and the Finance Committee, we have identified key issues and sought to strengthen the Board’s oversight of important decision-making and the progress of management execution. As a result, while the evolution of Group governance has yielded some positive results, we recognize that continued discussion is necessary regarding structural reforms in overseas operations, as well as capital policy and financial strategy.

In particular, with regard to our overseas operations, we recognize that various challenges arising from multiple factors associated with the Group’s past business operations remain. We will exercise appropriate oversight to ensure that management executes key initiatives steadily and with speed, including reviewing underperforming businesses, rebuilding competitive advantage, optimizing costs, simplifying the organizational structure, and strengthening Group governance.

In March 2025, I became the first outside director to assume the role of Chairman of the Board, where independent outside directors constitute a majority. The Board benefits from active discussions among directors with diverse professional backgrounds, expertise, and experience. A wide range of perspectives and opinions are brought forward on important themes, and it is not uncommon for discussions to continue beyond the scheduled time. To further enhance the effectiveness of the Board, I believe it is essential to focus agendas on the most important issues and facilitate discussions in a way that draws out the diverse viewpoints of individual directors.

Going forward, as Chairman of the Board, I will continue to ensure the Board’s appropriate operation with independence and objectivity, further strengthen its oversight function and enhance its effectiveness, and contribute to enhancing the Group’s medium- to long-term corporate value.