Climate Change Data

Environmental Metrics

ESG Focus Areas

• Governance

Governance Achievements

• Established a Board of Directors with 4 directors (including 1 outside director) and 3 Audit & Supervisory Committee members (all outside directors).
• Implemented a stock option system.
• Adopted a corporate governance system with an Audit & Supervisory Committee.
• Implemented measures to enhance shareholder meetings and voting rights.

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Renewable Energy
• Content Creation
• Corporate Governance

Environmental Achievements

• Opened Toyama Prefecture Shikason-Kyukason power plant in March 2017 and focused on developing new small hydropower plants in mountainous areas.

Social Achievements

• Not disclosed

Governance Achievements

• Established a compliance program and internal audit group to ensure compliance with laws and regulations. Implemented a system for reporting to the Audit Committee.

Climate Goals & Targets

Environmental Challenges

• Uncertainties in the global economy and fluctuations in the financial capital market.
• Growth and development of both content and renewable energy businesses.

Mitigation Strategies

• Focusing on the growth of the content business and the development of renewable energy as a new pillar.
• Developing new and strong content for various platforms.
• Expanding small hydropower projects nationwide.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Governance

Governance Achievements

• Established a Board of Directors with 4 members (including 1 outside director) and an Audit Committee with 3 outside directors to enhance monitoring and oversight.
• Implemented a system of monthly board meetings and additional meetings as needed for timely decision-making.
• Introduced an executive officer system to strengthen management and expedite decision-making and execution.
• Implemented a one-year term for directors to adapt to changing business environments.
• Established internal control systems to ensure compliance with laws and regulations, including a compliance action guideline and regulations, and regular internal audits.

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Governance

Governance Achievements

• Established a Board of Directors with 5 members, including 3 independent outside directors and 3 audit committee members (all outside directors).
• Implemented a system to limit the liability of outside directors.
• Adopted a compensation system for directors that considers performance and contributions.
• Implemented measures to enhance shareholder meetings, including early dispatch of notices and avoidance of concentrated dates.

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Diversity
• Succession Planning
• CEO Selection and Dismissal
• Board Effectiveness
• Sustainability
• Human Capital Investment
• Intellectual Property Investment
• Research and Development Investment

Social Achievements

• Commitment to diversity in management positions (women, foreigners, mid-career hires)

Governance Achievements

• Establishment of a Nomination and Remuneration Committee with a majority of independent outside directors

Climate Goals & Targets

Environmental Challenges

• Lack of a concrete succession plan for the CEO
• Lack of objective and transparent procedures for CEO selection and dismissal
• Lack of a defined process for evaluating board effectiveness
• Lack of a medium-term management plan with quantitative predictions
• Lack of a defined business portfolio strategy

Mitigation Strategies

• Future plans to develop a succession plan, improve CEO selection/dismissal processes, evaluate board effectiveness, and develop a business portfolio strategy

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Diversity
• Governance
• Sustainability
• Human Capital Investment
• Intellectual Property Investment
• Research and Development Investment

Social Achievements

• Commitment to diversity in management positions (women, foreigners, mid-career hires).

Governance Achievements

• Establishment of a Nomination and Remuneration Committee composed of a majority of independent outside directors.
• Implementation of a restricted stock compensation plan for directors to align interests with shareholders.

Climate Goals & Targets

Environmental Challenges

• Rapidly changing business environment making it difficult to create a quantitative mid-term management plan.
• Lack of a defined successor plan for the CEO.
• Lack of a defined process for CEO selection and dismissal.
• Lack of a defined process for evaluating the effectiveness of the board of directors.

Mitigation Strategies

• Future plans to develop a successor plan for the CEO, and to establish objective and transparent procedures for CEO selection, dismissal, and board effectiveness evaluation.
• Future plans to develop a basic policy for business portfolio and capital policy, including strategic human resource investment, R&D investment, and capital expenditure.

Supply Chain Management

Climate-Related Risks & Opportunities