On April 19, 2023, Strategic Capital Inc. started its activist campaign against TACHI-S Co., Ltd. by submitting a request to convene an Extraordinary General Meeting of Shareholders for the following proposals: (i) Increase the Dividend on Equity (DOE) to 6%: Set the dividend payment to a DOE of 6%, (ii) Dispose of cross-shareholdings: Set a dividend payment of one Tokyo Boshoku share for every 27 shares held or the equivalent in cash, (iii) Revision of the provisions of articles with regard to cross-shareholdings: The Board shall assess each cross-shareholding, specifically examining whether the purpose of holding is appropriate and whether the benefits and risks cover the cost of capital. At least once a year, sound the Company's intention to sell its cross- 2 shareholdings with the issuer and disclose the response in the Corporate Governance Report.