The Company holds shares of business partners when deemed beneficial for improving our medium-to long-term corporate value from the perspective of building and strengthening relationships. For all shares held, the Board of Directors annually deliberates on whether to retain them and determines which shares to continue holding, considering both quantitative aspects such as trading volume and dividends, and qualitative aspects such as the importance of strengthening relationships in future business strategies.

As a result of the above verification, for shares not recognized as contributing to our medium-to long-term corporate value, we proceed with phased, planned sales after discussions with the business partners, considering stock prices and market impact, and we will continue to aim for a reduction in cross-shareholdings.

We make decisions on whether to approve or disapprove of all proposals by comprehensively considering factors such as whether it would impair the corporate value of the entity in which we hold shares and whether it would contribute to its medium- to long-term corporate value.