P.43 Sustainability Management Policy (2)

Sustainability Management Policy Business Foundation How sustainability-oriented management links to social value and corporate value We have developed a logic model that complements our Value Creation Model and provides a detailed explanation of the process of value creation through sustainability-oriented management. In addition to “business activities,” we are defining how actions such as “ESG strategy execution,” “information disclosure,” and “stakeholder engagement” generate outputs and lead to outcomes. While various logic paths can be envisioned, by visualizing representative causal relationships, we aim to help both internal and external stakeholders under- stand the significance of “ESG strategy execution.”

Explanation of logic model

—Toward “a better tomorrow” and “increased corporate value” The purpose of our sustainability-oriented management is to realize “a better tomorrow” set forth in our Brand Promise, and achieve “increased corporate value,” including economic success. We believe that pursuing both these objectives in a well-balanced manner results in mutual reinforcement and leads to the sustainable development of society and our company. Therefore, in addition to expanding earnings and creating positive impacts on society through our business activities, we will advance the underpinning (i.e., the strengthening of the foundation) of business activities, the reduction of negative impacts, and the creation of positive impacts through ESG strategy execution. Furthermore, through proactive informa- tion disclosure and stakeholder engagement in connection with both business and ESG, we will strengthen relationships with customers, business partners, and other stakeholders to drive earnings expansion. We will also broaden understanding of our company through dialogue with investors and a focus on reducing our cost of capital. Logic model for sustainability-oriented management

Promotion of

Output

sustainability-oriented management

Reduction of negative impacts

• Reduction of GHG emissions
• Reduction of human rights risks
• Reduction of wrongdoings, etc.

Business activities “Joyful challenges”

• Media and Content
• Lifestyle
• Real Estate and others ESG strategy execution “Supporting business and creating environmental and social impacts”
• Climate change measures E • Biodiversity conservation
• Expansion of TBS GX business, etc.
• Human Capital

S Management

• Human rights protection
• SDGs campaigns
• Compliance

G • Strengthening of governance Information disclosure Stakeholder engagement Creation of positive impacts

• Wonderful “moments” through content from each business
• Development of world-class creators and other human resources
• Generation of our own renewable energy and contribution to the resolution of community and agricultural issues through the GX business
• Maintenance of natural environment in cities
• Expansion of interest in the SDGs, etc.

Strengthening of relationships with customers, business partners, etc. Expansion of earnings Strengthening of relationships with investors Reduction of cost of capital

Outcome

A better tomorrow A society filled with well-being A society where each individual can feel a sense of happiness, respect one another, hold hope for the future, while society supports those who take on challenges Increasing corporate value 43