With regard to remuneration for Directors, the Company has provided for a method of determining the amount of remuneration in internal rules resolved by the Board of Directors up to a total amount of remuneration approved by resolution at the General Meeting of Shareholders. To be more specific, for fixed remuneration, the amount of base remuneration of individual Directors is determined and paid as monthly remuneration after the amount of remuneration of individual Directors is set according to the base remuneration and job title (such as authority of representation, Chairman of the Board and Nomination and Remuneration Advisory Committee Member) of Directors.
With regard to remuneration for Executive Officers, the Company has provided for a method of determining the amount of remuneration in internal rules resolved by the Board of Directors. To be more specific, with regard to fixed remuneration, the amount of base remuneration for individual Executive Officers is determined and paid as monthly remuneration after the amount of remuneration of individual Executive Officers is set according to the position (President, Deputy President, Senior Management Executive Officer and Senior Vice President, etc.) and job title (Chief Executive Officer, etc.).
As bonuses, the Company pays STI that is subject to adjustment linked to performance in each year (revenue, operating profit, capital efficiency indicators (ROE) and qualitative evaluation) between 0% (no payment) and 200% (twice as much as the base amount for calculation) of the base amount for calculation, calculated based on the amount of individual base remuneration.
The Company adopted this method, considering it as appropriate for incentives because indicators can be clarified at the time of setting performance goals for each year and the amount of remuneration fluctuates according to changes in performance. The Board of Directors determined it after the Nomination and Remuneration Advisory Committee discussed and concluded it is appropriate, including the determination of specific indicators and adjustment coefficients linked to performance.
STI is applicable to Executive Officers including those who concurrently serve as Directors. External Directors and Directors who do not concurrently serve as Executive Officers are not eligible for STI.
In addition to the monetary remuneration under the internal rules (fixed remuneration and STI), the Company has introduced a stock remuneration system using trusts ("this system") as LTI for Directors of the Company (excluding External Directors and Directors who do not concurrently serve as Executive Officers).
The purpose of this system is to raise Directors’ awareness of contributing to the improvement of medium- to long-term performance and the enhancement of corporate value by further clarifying the linkage between the remuneration for Directors and the value of the Company's shares, and enabling Directors to share profit and risks arising from share price fluctuation with shareholders. The Company has also introduced a similar stock remuneration system for Executive Officers who do not concurrently serve as Directors.
An outline of this system is as follows.
 Eligibility for this system
Directors of the Company (excluding External Directors and Directors who do not concurrently serve as Executive Officers)
 Initial covered period
From the fiscal year ending March 31, 2022 to the fiscal year ending March 31, 2024
 The maximum amount of money that the Company contributes as funds necessary for the acquisition of the Company’s shares to be granted to the eligible Directors under  during the covered period under  (three (3) fiscal years)
Total amount: 96 million yen
 Method of acquiring the Company’s shares
Disposition of treasury shares or acquisition from a stock exchange (including off-hours trading)
 Limit to the total number of points and number of shares to be granted to the eligible Directors under 
290,000 points per fiscal year
(One (1) point is equivalent to one (1) share of the Company, and the maximum number of points per fiscal year is equivalent to 290,000 shares. However, in the event of a share split or share consolidation involving the Company’s shares, adjustment shall be made in accordance with the relevant split ratio, consolidation ratio, etc.)
 Criteria for granting points
Points are granted according to the position, etc.
 Timing of granting the Company’s shares to the eligible Directors under 
Generally at the time of resignation
In addition to the remuneration system described above, the Company has established an environment in which Directors and Executive Officers can voluntarily acquire the Company’s shares corresponding to a certain amount of money each month through the Executive Shareholding Association in order to enable management from the perspective of shareholders with an emphasis on medium- to long-term performance.