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Basic Approach to Corporate Governance

Akebono established the following corporate mission: "Through 'Friction and Vibration, their Control and Analysis,' we are determined to protect, grow and support every individual life". Under this corporate mission, we aim to create new value through monozukuri (manufacturing excellence) and further enhance corporate and shareholder value. In addition, as a manufacturer of critical safety parts, we believe that it is important to maintain and promote healthy and beneficial relationships with all stakeholders including customers, shareholders, suppliers, our employees, and the regional communities in order to achieve sustainable growth and development.

To accomplish this, we have recognized that the strengthening of corporate governance is an issue of the utmost importance. Akebono has adopted the governance structure of a company with an Audit & Supervisory Committee to further strengthen corporate governance and enhance corporate value by enabling faster decision-making and further enhancing the supervisory function of the Board of Directors through measures such as allowing Directors who are Audit & Supervisory Committee Members to vote at the Board of Directors meetings.

In addition, Akebono established the "Internal Control Committee" for the purpose of effective and appropriate operation of the Group's internal control system. The Internal Control Committee continuously reviews and improves the overall operation of the system and reports the implementation status to the Board of Directors and the Audit & Supervisory Committee.

Under these systems, Akebono regards it as important to listen to the suggestions of investors, including shareholders, through constructive and continuous dialogue and reflect them in our management, and Akebono intends to further promote interactive communication.