Bridgestone : Compensation System for Directors and Executive Officers

Note: This document has been translated from a part of the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

Annual Securities Report

(Filed pursuant to Article 24, paragraph (1) of the Financial Instruments and Exchange Act of Japan) Business year

From January 1, 2023 To December 31, 2023

(105th Fiscal Period)

Bridgestone Corporation

(E01086)

105th Fiscal Period (from January 1, 2023 to December 31, 2023)

Annual Securities Report

1. This document was prepared for printing by adding a table of contents and pages to the Annual Securities Report, which is in accordance with Article 24, paragraph (1) of the Financial Instruments and Exchange Act, submitted as data on March 26, 2024 using the Electronic Data Processing System for Disclosure (EDINET) prescribed in Article 27-30, paragraph (2) of the aforementioned act.
2. The document does not include the attachments to the Annual Securities Report submitted as described above, but the Audit Report is bound in an unpaginated booklet.

Bridgestone Corporation

	Table of Contents
Annual Securities Report for the 105th Fiscal Period
Cover	1
Part I Information on the Company	2
I.	Overview of the Company	2
1.	Key financial data and trends	2
2.	History	6
3.	Description of business	7
4.	Subsidiaries and associates	9
5.	Employees	12
II.	Business Overview	16
1.	Management policy, management environment and issues to be addressed	16
2.	Approach to and initiatives for sustainability	20
3.	Business risks	36
4.	Management analysis of financial position, operating results and cash flows	40
5.	Important business contracts	47
6.	Research and development activities	48
III.	Facilities	51
1.	Overview of capital expenditures	51
2.	Major facilities	52
3.	Plans for addition and retirement of facilities	56
IV.	Status of the Company	57
1.	Shares of the Company	57
2.	Acquisition of treasury stock, etc	65
3.	Dividend policy	67
4.	Status of corporate governance	68
V.	Financial Information	115
1.	Consolidated Financial Statements, etc	116
2.	Non-consolidated Financial Statements, etc	193
VI.	Administrative Information on the Company's Shares	209
VII.	Reference Information on the Company	210
1.	Information on the parent company or equivalent of the Company	210
2.	Other reference information	210
Part II Information About Company Which Provides Guarantee to Reporting Company	212
Audit Report

Cover

[Document Submitted]	Annual Securities Report
[Article of the Applicable Law	Article 24, paragraph (1) of the Financial Instruments and
Requiring Submission of This	Exchange Act
Document]
[Filed to]	Director of the Kanto Local Finance Bureau
[Date of Submission]	March 26, 2024
[Business Year]	105th Fiscal Period (from January 1, 2023 to December 31, 2023)
[Company Name]	Bridgestone Corporation
[Company Name (in English)]	BRIDGESTONE CORPORATION
[Position and Name of Representative]	Shuichi Ishibashi
	Member of the Board
	Global CEO and Representative Executive Officer
[Location of Head Office]	3-1-1 Kyobashi, Chuo-ku, Tokyo
[Phone No.]	[phone]
[Contact for Communications]	Keisuke Murakami,
	Director, Global Financial Accounting Division
[Nearest Contact]	3-1-1 Kyobashi, Chuo-ku, Tokyo
[Phone No.]	[phone]
[Contact for Communications]	Keisuke Murakami,
	Director, Global Financial Accounting Division
[Place Where Available for Public	Tokyo Stock Exchange, Inc.
Inspection]	(2-1, Nihombashi Kabutocho, Chuo-ku, Tokyo)
	Fukuoka Stock Exchange
	(2-14-2 Tenjin, Chuo-ku, Fukuoka)

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Part I Information on the Company

I. Overview of the Company

1. Key financial data and trends

1. Consolidated financial data

Term			International Financial Reporting Standards
	101st	102nd	103rd	104th	105th
Year ended		December	December	December	December	December
	2019	2020	2021	2022	2023
Revenue		Yen in millions	3,507,243	2,695,224	3,246,057	4,110,070	4,313,800
Profit before tax		Yen in millions	335,510	27,412	377,594	423,458	444,154
Profit or loss attributable		Yen in millions	240,111	(23,301)	394,037	300,305	331,305
to owners of parent
Comprehensive income
attributable to owners of		Yen in millions	227,517	(108,005)	581,731	556,730	516,150
parent
Equity attributable to		Yen in millions	2,349,378	2,149,958	2,629,883	2,965,835	3,353,592
owners of parent
Total assets		Yen in millions	4,277,016	4,189,327	4,574,892	4,962,203	5,427,813
Total equity attributable to		Yen	3,336.92	3,053.35	3,734.23	4,333.80	4,898.25
owners of parent per share
Basic earnings (loss) per		Yen	332.31	(33.09)	559.56	432.20	483.99
share
Diluted earnings (loss) per		Yen	331.76	(33.09)	558.71	431.61	483.41
share
Ratio of equity attributable
to owners of parent to total		%	54.9	51.3	57.5	59.8	61.8
assets
Return on equity
attributable to owners of		%	10.0	(1.0)	16.5	10.7	10.5
parent
Price earnings ratio		Times	12.2	-	8.8	10.9	12.1
Cash flows from operating		Yen in millions	505,029	526,947	281,538	268,483	661,433
activities
Cash flows from investing		Yen in millions	(261,875)	(155,378)	131,701	(338,004)	(297,719)
activities
Cash flows from financing		Yen in millions	(240,458)	18,077	(379,321)	(364,109)	(183,657)
activities
Cash and cash equivalents		Yen in millions	432,924	810,546	787,542	518,905	724,601
at end of period
Number of employees		Persons	143,589	138,036	135,636	129,262	125,199

(Notes) 1. The Bridgestone Group (the "Group") prepares its consolidated financial statements based on International Financial Reporting Standards (IFRS) from the 102nd fiscal period, with the transition date of January 1, 2019.

1. Price earnings ratio is not listed for the 102nd fiscal period due to there being a basic loss per share.
2. The average number of temporary employees is omitted since the number is below 10% of the number of employees.
3. On March 31, 2021, FIRESTONE BUILDING PRODUCTS COMPANY, LLC (hereinafter "FSBP"), a subsidiary of Bridgestone Corporation (the "Company"), was sold to Holcim Participations (US) Inc. FSBP has thus been categorized as discontinued operations. Accordingly, the amounts of revenue and profit before tax for the 102nd fiscal period have been reclassified to present the respective amounts of continuing operations, excluding the discontinued operations.
4. On December 10, 2021, the Company decided to newly establish a wholly owned subsidiary through an absorption- type company split which will succeed the Company's anti-vibration rubber business, and after transferring all ownership of the Group's anti-vibration rubber business to the wholly owned subsidiary, it will sell all shares of stock in the wholly owned subsidiary to Anhui Zhongding Holding (Group) Co., Ltd. (hereinafter "AZ"). The anti- vibration rubber business has thus been categorized as discontinued operations. Accordingly, the amounts of revenue and profit before tax for the 102nd fiscal period have been reclassified to present the respective amounts of continuing operations, excluding the discontinued operations.
5. On December 10, 2021, the Company decided to newly establish a wholly owned subsidiary through an absorption- type company split which will succeed the Company's chemical products solutions business, and after transferring all

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ownership of the Group's chemical products solutions business to the wholly owned subsidiary, it will sell all shares of stock in the wholly owned subsidiary to Endeavour United II Investment Business Limited Partnership (hereinafter "EUF-2"), which is organized, managed, and operated by an investment fund Endeavour United Co., Ltd. (hereinafter "EU"). The chemical products solutions business has thus been categorized as discontinued operations. Accordingly, the amounts of revenue and profit before tax for the 102nd fiscal period have been reclassified to present the respective amounts of continuing operations, excluding the discontinued operations.

7. The Group has adopted International Accounting Standards (IAS) 12, "Income Taxes" (revised in May 2021), from the 105th fiscal period. Accordingly, the data for the 104th fiscal period are those after the retrospective application. Details of the changes in accounting policies are described in "V. Financial Information, 1. Consolidated Financial Statements, etc., (1) Consolidated Financial Statements, Notes to Consolidated Financial Statements, 2. Basis of Preparation."

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Term		J-GAAP
	101st	102nd
Year ended		December	December
	2019	2020
Net sales		Yen in millions	3,525,600	2,999,018
Ordinary Profit		Yen in millions	316,823	173,802
Profit or loss attributable to		Yen in millions	292,598	(2,016)
owners of parent
Comprehensive income		Yen in millions	237,629	(99,079)
Total equity		Yen in millions	2,344,290	2,119,718
Total assets		Yen in millions	3,946,505	3,876,270
Total equity per share		Yen	3,250.37	2,942.56
Earnings or loss per share		Yen	404.95	(2.86)
Diluted earnings per share		Yen	404.28	-
Equity ratio		%	58.0	53.5
Return on equity		%	12.5	(0.1)
Price earnings ratio		Times	10.0	-
Net cash provided by (used		Yen in millions	464,457	483,938
in) operating activities
Net cash provided by (used		Yen in millions	(266,910)	(157,772)
in) investing activities
Net cash provided by (used		Yen in millions	(198,601)	61,086
in) financing activities
Cash and cash equivalents		Yen in millions	435,319	810,546
at end of period
Number of employees		Persons	143,589	138,036

(Notes) 1. The average number of temporary employees is omitted since the number is below 10% of the number of employees.

1. Various figures derived from generally accepted accounting principles in Japan (J-GAAP) for the 102nd fiscal period have not been audited in accordance with the provisions of Article 193-2, paragraph (1) of the Financial Instruments and Exchange Act.
2. Diluted earnings per share is not listed for the 102nd fiscal period due to there being a net loss per share despite their being potential shares.
3. Price earnings ratio is not listed for the 102nd fiscal period due to there being a net loss per share.

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(2) Financial data for the Company

Term	101st	102nd	103rd	104th	105th
Year ended	December 2019	December 2020	December 2021	December 2022	December 2023
Net sales	Yen in millions	867,267	691,683	839,528	981,660	1,007,593
Ordinary Profit	Yen in millions	203,233	96,155	292,915	231,918	300,594
Profit	Yen in millions	224,719	82,914	167,024	164,341	284,215
Common stock	Yen in millions	126,354	126,354	126,354	126,354	126,354
Total number of	Thousands of	761,536	713,698	713,698	713,698	713,698
shares issued	shares
Total equity	Yen in millions	1,312,152	1,294,084	1,373,813	1,304,356	1,457,572
Total assets	Yen in millions	1,975,746	2,097,389	2,135,579	1,911,361	2,121,023
Total equity per	Yen	1,859.05	1,833.40	1,946.44	1,902.07	2,125.55
share
Dividend per		160	110	170	175	200
share
[Interim	Yen
dividend		[80]	[50]	[85]	[85]	[100]
amount]
Earnings per	Yen	311.00	117.76	237.18	236.52	415.19
share
Diluted earnings	Yen	310.49	117.57	236.83	236.20	414.70
per share
Equity ratio	%	66.2	61.6	64.2	68.1	68.6
Return on equity	%	16.4	6.4	12.5	12.3	20.6
Price earnings	Times	13.1	28.7	20.9	19.8	14.1
ratio
Dividend payout	%	51.4	93.4	71.7	74.0	48.2
ratio
Number of	Persons	14,567	14,858	14,745	13,903	14,106
employees
Total
shareholder	%	99.9	86.3	127.2	125.3	157.1
return
[Comparative
indicator:
TOPIX	%	[118.1]	[126.8]	[143.0]	[139.5]	[178.9]
(dividend
included)]
Highest share	Yen	4,734.0	4,082.0	5,467.0	5,509.0	6,245.0
price
Lowest share	Yen	3,888.0	2,861.5	3,307.0	4,042.0	4,548.0
price

(Notes) 1. The average number of temporary employees is omitted since the number is below 10% of the number of employees.

1. From April 4, 2022, the highest share price and lowest share price are those recorded on the Tokyo Stock Exchange (Prime Market). Prior to that, the prices were those recorded on the Tokyo Stock Exchange (First Section).
2. At the beginning of the 104th fiscal period, the Group adopted the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020) and relevant ASBJ regulations. The key financial data for the 104th fiscal period reflects the adoption of these accounting standards, etc.

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2. History

Date	Event
March 1931	Established Bridgestone Tire Co., Ltd in the city of Kurume, Fukuoka Prefecture in Japan. Commenced
	production of automotive tires.
October 1935	Commenced production of golf balls
May 1937	Relocated head office to Tokyo
September 1937	Commenced production of V-belts and rubber hoses
February 1942	Changed name to Nippon Tire Co., Ltd.
October 1949	Company split with the establishment of Bridgestone Cycle Company (now, BRIDGESTONE CYCLE
	CO., LTD.)
February 1951	Renamed back to Bridgestone Tire Co., Ltd.
October 1961	Listed on the Tokyo and Osaka Stock Exchanges
June 1967	Established joint venture in Thailand, Thai Japan Tyre Co., Ltd. (now, THAI BRIDGESTONE CO., LTD.)
September 1972	Established joint venture Bridgestone Spalding Co., Ltd. (now, BRIDGESTONE SPORTS CO., LTD.)
September 1973	Established joint venture in Indonesia, P.T. Bridgestone Tire Indonesia (now, PT BRIDGESTONE TIRE
	INDONESIA)
December 1980	Acquired Uniroyal Holdings Limited (now, BRIDGESTONE AUSTRALIA LTD.) in Australia
November 1982	Established BRIDGESTONE TIRE MANUFACTURING (U.S.A.), INC. in the U.S. (May 1990, merged
	with BRIDGESTONE/FIRESTONE, INC. (now, BRIDGESTONE AMERICAS TIRE OPERATIONS,
	LLC))
April 1984	Changed name to Bridgestone Corporation
January 1988	Established Bridgestone Finance Europe B.V. in the Netherlands (now, such operations have been
	succeeded by BRIDGESTONE TREASURY SINGAPORE PTE. LTD. in Singapore)
May 1988	Acquired the Firestone Tire & Rubber Company. (now, BRIDGESTONE AMERICAS TIRE
	OPERATIONS, LLC)
January 1989	Established BRIDGESTONE FINANCE CORPORATION
January 1993	Consolidated the sports business into BRIDGESTONE SPORTS CO., LTD.
December 1994	Bridgestone/Firestone Europe S.A. (now, BRIDGESTONE EUROPE NV/SA) became a holding-
	company structure for European operations with sales and logistics functions in Europe consolidated in
	that company
December 1994	Established BMAH Corporation (now, BRIDGESTONE AMERICAS, INC.) in the U.S.
January 1997	Acquired Fedstone (Pty) Limited (now, BRIDGESTONE SOUTH AFRICA HOLDINGS (PTY) LTD.),
	with the consolidated subsidiary Firestone South Africa (Pty) Ltd. in South Africa (now, BRIDGESTONE
	SOUTH AFRICA (PTY) LTD.)
July 1998	Established Bridgestone/Firestone Poland Sp. z o.o. (now, BRIDGESTONE POZNAN SP. Z O.O.) in
	Poland
November 1999	Established Bridgestone Middle East FZE (now, BRIDGESTONE MIDDLE EAST & AFRICA FZE) in
	the United Arab Emirates
March 2000	Established BRIDGESTONE TIRE MANUFACTURING (THAILAND) CO., LTD. in Thailand
December 2001	BRIDGESTONE/FIRESTONE, INC. (now, BRIDGESTONE AMERICAS TIRE OPERATIONS, LLC)
	split and reorganized by business with BRIDGESTONE/FIRESTONE AMERICAS HOLDING, INC.
	(now, BRIDGESTONE AMERICAS, INC.) as a holding company for management of businesses in the
	Americas
February 2003	Established BRIDGESTONE (WUXI) TIRE CO., LTD. in China
October 2004	Established BRIDGESTONE (CHINA) INVESTMENT CO., LTD. in China
August 2005	Acquired PT. Goodyear Sumatra Plantation (now PT BRIDGESTONE SUMATRA RUBBER ESTATE)
	in Indonesia
July 2006	Established BRIDGESTONE ASIA PACIFIC PTE. LTD. in Singapore
May 2007	BRIDGESTONE AMERICAS HOLDING, INC. (now, BRIDGESTONE AMERICAS, INC.) acquired
	Bandag, Incorporated (now, BRIDGESTONE BANDAG, LLC)
June 2014	Acquired Masthead Industries, LLC (now BRIDGESTONE HOSE AMERICA, INC.) in the U.S.
May 2017	BRIDGESTONE EUROPE NV/SA acquired Ets Paul Ayme (Holding) & Ayme er Fils SAS (now FIRST
	STOP AYME SAS) in France
April 2019	BRIDGESTONE EUROPE NV/SA acquired Tom Tom Telematics B.V. (now BRIDGESTONE
	MOBILITY SOLUTIONS B.V.) in Netherlands
September 2021	BRIDGESTONE AMERICAS, INC. acquired AZUGA HOLDINGS, INC.
December 2021	BRIDGESTONE MINING SOLUTIONS AUSTRALIA PTY. LTD. acquired OTRACO
	INTERNATIONAL PTY. LTD.

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3. Description of business

The Bridgestone Group (the "Group") comprises Bridgestone Corporation (the "Company"), 239 subsidiaries (of which 239 are consolidated subsidiaries), and 128 associates (of which 128 are accounted for using the equity method). The Group is engaged in the businesses below through its reporting segments "Japan," "China, Asia-Pacific," "Americas," and "Europe, Russia, Middle East, India and Africa," as well as through other segments.

Reporting segments have been reorganized from the first quarter ended March 31, 2023. Details are described in "V. Financial Information, 1. Consolidated Financial Statements, etc., (1) Consolidated Financial Statements, Notes to Consolidated Financial Statements, 6. Operating Segments."

Name of segment	Major businesses	Major companies
		[Controlling, manufacturing	Bridgestone Corporation
		and sales]
		[Controlling of tire sales]	BRIDGESTONE TIRE
			SOLUTION JAPAN CO.,
			LTD.
		[Tire sales]	BRIDGESTONE RETAIL
			JAPAN CO., LTD.
			BRIDGESTONE MINING
	Premium tire business		SOLUTIONS LATIN
		AMERICA S.A.
Japan	Solutions business
	BRIDGESTONE MINING
Chemical and industrial products and
		SOLUTIONS AUSTRALIA
	diversified products business [Sports, cycle]
		PTY. LTD.
		[Chemical and industrial	BRIDGESTONE
		product sales]	DIVERSIFIED PRODUCTS
			JAPAN CO., LTD.
		[Manufacturing and sales of	BRIDGESTONE SPORTS
		golf goods]	CO., LTD.
		[Manufacturing and sales of	BRIDGESTONE CYCLE
		bicycles, etc.]	CO., LTD.
		[Controlling and sales]	BRIDGESTONE ASIA
			PACIFIC PTE. LTD.
			BRIDGESTONE (CHINA)
			INVESTMENT CO., LTD.
		[Manufacturing and sales of	BRIDGESTONE (WUXI)
		tires]	TIRE CO., LTD.
China, Asia-	Premium tire business		THAI BRIDGESTONE CO.,
	LTD.
Pacific	Solutions business
	BRIDGESTONE TIRE
			MANUFACTURING
			(THAILAND) CO., LTD.
			PT BRIDGESTONE TIRE
			INDONESIA
		[Tire sales]	BRIDGESTONE
			AUSTRALIA LTD.

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