Board Evaluation

All Kurita directors and members of the Audit & Supervisory Board performed analysis and evaluation of the effectiveness of the Board of Directors, and the Board of Directors adopted a resolution on the assessment results. The assessment results from the Board meeting held from January to December 2017 are as set forth below.

Analysis and Evaluation Method

Evaluation method This evaluation was conducted via a written survey, with each of the respondents identified. The aggregate results were discussed at Board meetings and helped members to better identify problems as well as decide future measures.
Assessment items
  1. Roles and responsibilities of the Board of Directors
  2. Collaboration with external directors and external Audit & Supervisory Board members
  3. Composition of the Board of Directors
  4. Operation of the Board of Directors
  5. Contributions of individual directors and Audit & Supervisory Board members
  6. Dialogue with shareholders
Evaluation period From January to December 2017

Evaluation Results

According to the evaluation results, the average self-evaluation of all Directors and members of the Audit & Supervisory Board was generally good in all six areas, indicating that the effectiveness of the Board of Directors is ensured.The areas of "contributions of individual Directors and members of the Audit & Supervisory Board" and "operation of the Board of Directors" were highly evaluated with less variance of evaluation among Inside Directors, External Directors and members of the Audit & Supervisory Board. On the other hand, certain items related to the "roles and responsibilities of the Board of Directors" were evaluated relatively lower than other items, and especially given a low evaluation by the External Directors. The issue and measures to be addressed in fiscal 2018 were resolved to improve such evaluation.

Issue

More in-depth discussion regarding the selection of successors to Directors is necessary.

Measures

  1. Various measures relevant to the development and evaluation of successors to Directors will be established in a systematic manner.
  2. Information regarding the selection and evaluation of successors to Directors will be provided to the Nomination and Remuneration Advisory Council in advance, and the contents of deliberation at the Board of Directors meetings based on the report by said Council will be improved.